Fair Value Measurements (Tables)

3 Months Ended

Jan. 31, 2020

Fair Value Disclosures [Abstract]

Financial instruments measured at fair value, recurring basis

The following table presents the financial instruments measured at fair value on a recurring basis:

	As of January 31, 2020								As of October 31, 2019
(in millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets
Derivative financial instruments:
Foreign currency contracts(A)	$	—	$	1	$	—	$	1	$	—	$	1	$	—	$	1
Total assets	$	—	$	1	$	—	$	1	$	—	$	1	$	—	$	1
Liabilities
Derivative financial instruments:
Commodity forward contracts(B)	$	—	$	1	$	—	$	1	$	—	$	1	$	—	$	1
Foreign currency contracts(B)	—		3		—		3		—		2		—		2
Guarantees	—		—		24		24		—		—		27		27
Total liabilities	$	—	$	4	$	24	$	28	$	—	$	3	$	27	$	30

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(A) The asset value of foreign currency contracts is included in Other current assets in the accompanying Consolidated Balance Sheets.

(B)

The liability value of commodity forward contracts and foreign currency contracts is included in Other current liabilities in the accompanying Consolidated Balance Sheets.

Financial instruments classified within Level 3

The following table presents the changes for those financial instruments classified within Level 3 of the valuation hierarchy:

	Three Months Ended January 31,
(in millions)	2020			2019
Guarantees, at beginning of period	$	(27	)	$	(24	)
Net terminations	2			2
Settlements	1			1
Guarantees, at end of period	$	(24	)	$	(21	)

Carrying values and estimated fair values of financial instruments

	As of January 31, 2020
	Estimated Fair Value								Carrying Value
(in millions)	Level 1		Level 2		Level 3		Total
Assets
Retail notes	$	—	$	—	$	212	$	212	$	215
Liabilities
Debt:
Manufacturing operations
Senior Secured Term Loan Credit Agreement, due 2025	—		—		1,570		1,570		1,553
6.625% Senior Notes, due 2026	—		1,155		—		1,155		1,086
Loan Agreement related to 6.75% Tax Exempt Bonds, due 2040	—		231		—		231		220
Financed lease obligations	—		—		53		53		53
Other(A)	—		—		8		8		8
Financial Services operations
Asset-backed debt issued by consolidated SPEs, due serially through 2023	—		—		675		675		673
Bank credit facilities, due dates from 2020 through 2025	—		—		962		962		978
Commercial paper, program matures in 2022	44		—		—		44		44
Borrowings secured by operating and finance leases, due serially through 2024	—		—		120		120		119

	As of October 31, 2019
	Estimated Fair Value								Carrying Value
(in millions)	Level 1		Level 2		Level 3		Total
Assets
Retail notes	$	—	$	—	$	205	$	205	$	208
Liabilities
Debt:
Manufacturing operations
Senior Secured Term Loan Credit Agreement, due 2025	—		—		1,552		1,552		1,556
6.625% Senior Notes, due 2026	—		1,122		—		1,122		1,085
Loan Agreement related to 6.75% Tax Exempt Bonds, due 2040	—		234		—		234		220
Financed lease obligations	—		—		60		60		60
Other(A)	—		—		9		9		9
Financial Services operations
Asset-backed debt issued by consolidated SPEs, at various rates, due serially through 2023	—		—		995		995		991
Bank credit facilities, due dates from 2019 through 2025	—		—		1,038		1,038		1,059
Commercial paper, at variable rates, program matures in 2022	84		—		—		84		84
Borrowings secured by operating and finance leases, due serially through 2024	—		—		122		122		122

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(A)

Excludes non-financial instrument debt of $1 million and $2 million as of January 31, 2020 and October 31, 2019