Property and Equipment, Net (Tables)

12 Months Ended

Oct. 31, 2015

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment Disclosure [Text Block]

7. Property and Equipment, Net

As of October 31, Property and equipment, net included the following:



(in millions)	2015		2014
Land	$	87	$	82
Buildings	493		518
Leasehold improvements	56		60
Machinery and equipment	2,097		2,232
Furniture, fixtures, and equipment	478		487
Equipment leased to others	613		677
Construction in progress	67		41
Total property and equipment, at cost	3,891		4,097
Less: Accumulated depreciation and amortization	2,546		2,535
Property and equipment, net	$	1,345	$	1,562

Certain of our property and equipment serve as collateral for borrowings. See Note 10, Debt, for description of borrowings.

As of October 31, equipment leased to others and assets under financing arrangements and capital lease obligations are as follows:



(in millions)	2015		2014
Equipment leased to others	$	613	$	677
Less: Accumulated depreciation	220		210
Equipment leased to others, net	$	393	$	467

Buildings, machinery, and equipment under financing arrangements and capital lease obligations	$	70	$	70
Less: Accumulated depreciation and amortization	34		32
Assets under financing arrangements and capital lease obligations, net	$	36	$	38

For the years ended October 31, 2015, 2014, and 2013, depreciation expense, amortization expense related to assets under financing arrangements and capital lease obligations, and interest capitalized on construction projects are as follows:



(in millions)	2015		2014		2013
Depreciation expense	$	190	$	206	$	260
Depreciation of equipment leased to others	76		105		135
Amortization expense	5		3		—
Interest capitalized	1		—		5

Certain depreciation expense on buildings used for administrative purposes is recorded in Selling, general and administrative expenses.

Capital Expenditures

At October 31, 2015, 2014, and 2013, respectively, commitments for capital expenditures were $17 million, $15 million, and $11 million respectively. At October 31, 2015, 2014, and 2013, liabilities related to capital expenditures that are included in accounts payable were $2 million, $1 million, and $2 million, respectively.

Leases

We lease certain land, buildings, and equipment under non-cancelable operating leases and capital leases expiring at various dates through 2025. Operating leases generally have 1 to 20 year terms, with one or more renewal options, with terms to be negotiated at the time of renewal. Various leases include provisions for rent escalation to recognize increased operating costs or require us to pay certain maintenance and utility costs. Our rent expense for the years ended October 31, 2015, 2014, and 2013 was $57 million, $62 million, and $74 million, respectively. Rental income from subleases for the years ended October 31, 2015, 2014, and 2013 was $11 million, $10 million, and $7 million, respectively.

Future minimum lease payments at October 31, 2015, for those leases having an initial or remaining non-cancelable lease term in excess of one year and certain leases that are treated as finance lease obligations, are as follows:



(in millions)	Financing Arrangements and Capital Lease Obligations		Operating Leases		Total
2016	$	10	$	56	$	66
2017	10		44		54
2018	10		38		48
2019	9		31		40
2020	9		28		37
Thereafter	11		45		56
	59		$	242	$	301
Less: Interest portion	10
Total	$	49

Asset Retirement Obligations

We have a number of asset retirement obligations in connection with certain owned and leased locations, leasehold improvements, and sale and leaseback arrangements. Certain of our production facilities contain asbestos that would have to be removed if such facilities were to be demolished or undergo a major renovation. The fair value of the conditional asset retirement obligations as of the balance sheet date has been determined to be immaterial. Asset retirement obligations relating to the cost of removing improvements to leased facilities or returning leased equipment at the end of the associated agreements are not material.

Schedule Of Property Plant And Equipment [Table Text Block]

As of October 31, Property and equipment, net included the following:



(in millions)	2015		2014
Land	$	87	$	82
Buildings	493		518
Leasehold improvements	56		60
Machinery and equipment	2,097		2,232
Furniture, fixtures, and equipment	478		487
Equipment leased to others	613		677
Construction in progress	67		41
Total property and equipment, at cost	3,891		4,097
Less: Accumulated depreciation and amortization	2,546		2,535
Property and equipment, net	$	1,345	$	1,562

Schedule Of Equipment Leased To Others And Assets Under Financing Arrangements And Capital Lease Obligations [Table Text Block]

As of October 31, equipment leased to others and assets under financing arrangements and capital lease obligations are as follows:



(in millions)	2015		2014
Equipment leased to others	$	613	$	677
Less: Accumulated depreciation	220		210
Equipment leased to others, net	$	393	$	467

Buildings, machinery, and equipment under financing arrangements and capital lease obligations	$	70	$	70
Less: Accumulated depreciation and amortization	34		32
Assets under financing arrangements and capital lease obligations, net	$	36	$	38

Schedule Of Depreciation Amortization Expenses And Interest Capitalized [Table Text Block]



(in millions)	2015		2014		2013
Depreciation expense	$	190	$	206	$	260
Depreciation of equipment leased to others	76		105		135
Amortization expense	5		3		—
Interest capitalized	1		—		5

Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block]



(in millions)	Financing Arrangements and Capital Lease Obligations		Operating Leases		Total
2016	$	10	$	56	$	66
2017	10		44		54
2018	10		38		48
2019	9		31		40
2020	9		28		37
Thereafter	11		45		56
	59		$	242	$	301
Less: Interest portion	10
Total	$	49