Ford 2014 Annual Report Download - page 127

FORD MOTOR COMPANY AND SUBSIDIARIES
NOTES TO THE FINANCIAL STATEMENTS
NOTE 5. FINANCIAL SERVICES SECTOR FINANCE RECEIVABLES (Continued)
Included in the recorded investment in finance receivables at December 31, 2014 and 2013 were consumer
receivables of $24.4 billion and $27.7 billion and non-consumer receivables of $21.8 billion and $23.9 billion, respectively,
that have been sold for legal purposes in securitization transactions but continue to be reported in our consolidated
financial statements. The receivables are available only for payment of the debt issued by, and other obligations of, the
securitization entities that are parties to those securitization transactions; they are not available to pay the other
obligations or the claims of Ford Credit’s other creditors. Ford Credit holds the right to receive the excess cash flows not
needed to pay the debt issued by, and other obligations of, the securitization entities that are parties to those
securitization transactions (see Notes 13 and 15).
Contractual maturities of total finance receivables outstanding at December 31, 2014 reflect contractual repayments
due from customers or borrowers as follows (in millions):
Due in Year Ending December 31,
2015 2016 2017 Thereafter Total
Consumer
Retail financing, gross (a) $ 16,080 $14,821 $11,694 $13,261 $ 55,856
Non-Consumer
Dealer financing 28,585 1,528 187 1,040 31,340
Other financing 1,016 9 1 — 1,026
Total finance receivables $ 45,681 $16,358 $11,882 $14,301 $ 88,222
__________
(a) Contractual maturities of retail financing, gross include $154 million of estimated unguaranteed residual values related to direct finance leases
Our finance receivables are pre-payable without penalty, so prepayments may cause actual maturities to differ from
contractual maturities. The above table, therefore, is not to be regarded as a forecast of future cash collections. For
wholesale receivables, which are included in dealer financing, maturities stated above are estimated based on historical
trends, as maturities on outstanding amounts are scheduled upon the sale of the underlying vehicle by the dealer.
Aging
For all finance receivables, we define “past due” as any payment, including principal and interest, that is at least
31 days past the contractual due date. The recorded investment of consumer receivables greater than 90 days past due
and still accruing interest was $17 million and $14 million at December 31, 2014 and 2013, respectively. The recorded
investment of non-consumer receivables greater than 90 days past due and still accruing interest was $3 million and
$21 million at December 31, 2014 and 2013, respectively.
The aging analysis of our finance receivables balances at December 31 was as follows (in millions):
2014 2013
Consumer
31-60 days past due $ 718 $754
61-90 days past due 97 105
91-120 days past due 29 27
Greater than 120 days past due 52 63
Total past due 896 949
Current 53,200 49,248
Consumer finance receivables 54,096 50,197
Non-Consumer
Total past due 117 89
Current 32,249 30,887
Non-Consumer finance receivables 32,366 30,976
Total recorded investment $ 86,462 $ 81,173
•
•
FS-21