Investments in Non-Consolidated Affiliates (Notes)

12 Months Ended

Oct. 31, 2015

Investments in and Advances to Affiliates, Schedule of Investments [Abstract]

Equity Method Investments and Joint Ventures Disclosure [Text Block]

9. Investments in Non-consolidated Affiliates

Investments in non-consolidated affiliates is comprised of our interests in partially-owned affiliates of which our ownership percentages range from 30% to 50%. We do not control these affiliates, but have the ability to exercise significant influence over their operating and financial policies. We account for them using the equity method of accounting. We made no new and incremental investments in these non-consolidated affiliates for 2015 and 2014.

The following table summarizes 100% of the combined assets, liabilities, and equity of our equity method affiliates as of October 31:

	(Unaudited)
(in millions)	2015		2014
Assets:
Current assets	$	240	$	252
Noncurrent assets	154		130
Total assets	$	394	$	382
Liabilities and equity:
Current liabilities	$	195	$	191
Noncurrent liabilities	35		12
Total liabilities	230		203
Partners' capital and stockholders' equity:
NIC	68		75
Third parties	96		104
Total partners' capital and stockholders' equity	164		179
Total liabilities and equity	$	394	$	382

The following table summarizes 100% of the combined results of operations of our equity method affiliates for the years ended October 31:

	(Unaudited)
(in millions)	2015		2014		2013
Net sales	$	554	$	527	$	448
Costs, expenses, and income tax expense	536		500		412
Net income	$	18	$	27	$	36

We recorded sales to certain of these affiliates totaling $7 million, $8 million, and $63 million in 2015, 2014, and 2013, respectively. We also purchased $245 million, $219 million, and $245 million of products and services from certain of these affiliates in 2015, 2014, and 2013, respectively.

Amounts due to and due from our affiliates arising from the sale and purchase of products and services as of October 31, are as follows:

(in millions)	2015		2014
Receivables due from affiliates	$	1	$	1
Payables due to affiliates	30		30

As of October 31, 2015 and 2014, our share of net unfunded earnings in non-consolidated affiliates totaled $16 million and $25 million, respectively.

In February 2013, the Company sold its interests in the Mahindra Joint Ventures to Mahindra for $33 million. As a result of the divestiture, the Global Operations segment recognized a gain of $26 million in 2013. As part of the transaction, the Company entered into licensing and service agreements with Mahindra.