Receivables (Tables)

12 Months Ended

Dec. 30, 2017

Receivables [Abstract]

Components of Trade and Other Accounts Receivable

The components of Snap-on’s trade and other accounts receivable as of 2017 and 2016 year end are as follows:

(Amounts in millions)	2017		2016
Trade and other accounts receivable	$	690.2	$	612.8
Allowances for doubtful accounts		(14.6)		(14.0)
Total trade and other accounts receivable – net	$	675.6	$	598.8

Components of Current Finance and Contract Receivables

The components of Snap-on’s current finance and contract receivables as of 2017 and 2016 year end are as follows:

(Amounts in millions)	2017		2016
Finance receivables, net of unearned finance charges of $21.0 million and $17.0 million, respectively	$	523.1	$	488.1
Contract receivables, net of unearned finance charges of $17.6 million and $15.6 million, respectively		98.1		89.3
Total		621.2		577.4
Allowances for doubtful accounts:
Finance receivables		(17.7)		(15.6)
Contract receivables		(1.3)		(1.2)
Total		(19.0)		(16.8)
Total current finance and contract receivables – net	$	602.2	$	560.6
Finance receivables – net	$	505.4	$	472.5
Contract receivables – net		96.8		88.1
Total current finance and contract receivables – net	$	602.2	$	560.6

Components of Finance and Contract Receivables Beyond One Year

The components of Snap-on’s finance and contract receivables with payment terms beyond one year as of 2017 and 2016 year end are as follows:

(Amounts in millions)	2017		2016
Finance receivables, net of unearned finance charges of $16.7 million and $13.0 million, respectively	$	1,078.0	$	967.5
Contract receivables, net of unearned finance charges of $25.5 million and $21.5 million, respectively		325.9		289.4
Total		1,403.9		1,256.9
Allowances for doubtful accounts:
Finance receivables		(38.8)		(33.0)
Contract receivables		(3.3)		(2.7)
Total		(42.1)		(35.7)
Total long-term finance and contract receivables – net	$	1,361.8	$	1,221.2
Finance receivables – net	$	1,039.2	$	934.5
Contract receivables – net		322.6		286.7
Total long-term finance and contract receivables – net	$	1,361.8	$	1,221.2

Schedule of Long-Term Finance and Contract Receivables

Long-term finance and contract receivables installments, net of unearned finance charges, as of 2017 and 2016 year end are scheduled as follows:

	2017				2016
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Due in Months:
13 – 24	$	415.1	$	77.6	$	380.9	$	69.5
25 – 36		333.3		67.6		296.9		60.2
37 – 48		225.5		56.5		196.8		49.7
49 – 60		104.1		42.8		92.9		37.7
Thereafter		–		81.4		–		72.3
Total	$	1,078.0	$	325.9	$	967.5	$	289.4

Aging of Finance and Contract Receivables

The aging of finance and contract receivables as of 2017 and 2016 year end is as follows:

(Amounts in millions)	30-59 Days Past Due		60-90 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Total Not Past Due		Total		Greater Than 90 Days Past Due and Accruing
2017 year end:
Finance receivables	$	19.3	$	13.9	$	20.1	$	53.3	$	1,547.8	$	1,601.1	$	15.4
Contract receivables		1.2		0.6		1.9		3.7		420.3		424.0		0.6
2016 year end:
Finance receivables	$	15.1	$	9.8	$	17.0	$	41.9	$	1,413.7	$	1,455.6	$	13.2
Contract receivables		1.4		0.9		1.4		3.7		375.0		378.7		0.5

Schedule of Performing and Nonperforming Finance and Contract Receivables

The amount of performing and nonperforming finance and contract receivables based on payment activity as of 2017 and 2016 year end is as follows:

	2017				2016
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Performing	$	1,573.1	$	421.7	$	1,430.7	$	376.7
Nonperforming		28.0		2.3		24.9		2.0
Total	$	1,601.1	$	424.0	$	1,455.6	$	378.7

Schedule of Finance and Contract Receivables on Nonaccrual Status

The amount of finance and contract receivables on nonaccrual status as of 2017 and 2016 year end is as follows:

(Amounts in millions)	2017		2016
Finance receivables	$	12.6	$	11.7
Contract receivables		1.7		1.5

Rollforward of Allowances for Doubtful Accounts for Finance and Contract Receivables

The following is a rollforward of the allowances for doubtful accounts for finance and contract receivables for 2017 and 2016:

	2017				2016
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Allowances for doubtful accounts:
Beginning of year	$	48.6	$	3.9	$	38.2	$	4.4
Provision		54.6		2.7		44.0		1.0
Charge-offs		(53.3)		(2.5)		(39.8)		(1.8)
Recoveries		6.6		0.4		6.2		0.4
Currency translation		–		0.1		–		(0.1)
End of year	$	56.5	$	4.6	$	48.6	$	3.9

Rollforward of Combined Allowances for Doubtful Accounts Related to Trade and Other Accounts Receivable

The following is a rollforward of the combined allowances for doubtful accounts related to trade and other accounts receivable, as well as finance and contract receivables, for 2017, 2016 and 2015:

(Amounts in millions)	Balance at Beginning of Year		Expenses		Deductions (1)		Balance at End of Year
Allowances for doubtful accounts:
2017	$	66.5	$	65.1	$	(55.9)	$	75.7
2016		59.3		51.5		(44.3)		66.5
2015		52.4		45.1		(38.2)		59.3

⁽¹⁾ Represents write-offs of bad debts, net of recoveries, and the net impact of currency translation.