Fair Value Measurements (Tables)

6 Months Ended

Apr. 30, 2021

Schedule of Financial Instruments Measured at Fair Value, Recurring Basis

The following table presents the financial instruments measured at fair value on a recurring basis, other than those discussed in Note 1, Summary of Significant Accounting Policies:


	As of April 30, 2021								As of October 31, 2020
(in millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets



Derivative financial instruments:
Commodity forward contracts(A)	$	—	$	11	$	—	$	11	$	—	$	4	$	—	$	4
Foreign currency contracts(A)	—		2		—		2		—		5		—		5

Total assets	$	—	$	13	$	—	$	13	$	—	$	9	$	—	$	9
Liabilities
Derivative financial instruments:
Commodity forward contracts(B)	$	—	$	—	$	—	$	—	$	—	$	2	$	—	$	2
Foreign currency contracts(B)	—		2		—		2		—		3		—		3
Guarantees	—		—		22		22		—		—		29		29
Total liabilities	$	—	$	2	$	22	$	24	$	—	$	5	$	29	$	34

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(A) The asset values of commodity forward contracts and foreign currency contracts are included in Other current assets and Other noncurrent assets in the accompanying Consolidated Balance Sheets.

(B) The liability values of commodity forward contracts and foreign currency contracts are included in Other current liabilities and Other noncurrent 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 April 30,				Six Months Ended April 30,
(in millions)	2021		2020		2021		2020
Guarantees at beginning of period	$	(23)	$	(24)	$	(29)	$	(27)

Net (issuances) terminations	—		(7)		5		(5)
Settlements	1		3		2		4
Guarantees at end of period	$	(22)	$	(28)	$	(22)	$	(28)

Carrying Values and Estimated Fair Values of Financial Instruments

The following tables present the carrying values and estimated fair values of financial instruments:


	As of April 30, 2021
	Estimated Fair Value								Carrying Value
(in millions)	Level 1		Level 2		Level 3		Total
Assets
Retail notes	$	—	$	—	$	237	$	237	$	232

Liabilities
Debt:
Manufacturing operations
Senior Secured Term Loan Credit Agreement, due 2025	—		—		1,546		1,546		1,537

9.5% Senior Secured Notes, due 2025	—		649		—		649		590
6.625% Senior Notes, due 2026	—		1,133		—		1,133		1,088




Loan Agreement related to 4.75% Tax Exempt Bonds, due 2040	—		238		—		238		223

Financed lease obligations	—		—		37		37		36
Other(A)	—		—		5		5		5
Financial Services operations
Asset-backed debt issued by consolidated SPEs, due serially through 2022	—		—		969		969		967

Bank credit facilities, due dates from 2021 through 2026	—		—		822		822		836
Commercial paper, at variable rates, program matures in 2022	15		—		—		15		15
Borrowings secured by operating and finance leases, due serially through 2026	—		—		171		171		169


	As of October 31, 2020
	Estimated Fair Value								Carrying Value
(in millions)	Level 1		Level 2		Level 3		Total
Assets
Retail notes	$	—	$	—	$	223	$	223	$	222

Liabilities
Debt:
Manufacturing operations
Senior Secured Term Loan Credit Agreement, due 2025	—		—		1,538		1,538		1,543
9.5% Senior Secured Notes, due 2025	—		665		—		665		589
6.625% Senior Notes, due 2026	—		1,137		—		1,137		1,087




Loan Agreement related to 4.75% Tax Exempt Bonds, due 2040	—		227		—		227		223

Financed lease obligations	—		—		46		46		45
Other(A)	—		—		7		7		7
Financial Services operations
Asset-backed debt issued by consolidated SPEs, at various rates, due serially through 2022	—		—		726		726		724

Bank credit facilities, due dates from 2021 through 2026	—		—		914		914		940

Borrowings secured by operating and finance leases, due serially through 2026	—		—		171		171		170

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(A)Excludes non-financial instrument debt of $1 million and $2 million as of April 30, 2021 and October 31, 2020, respectively.