Harley Davidson 2014 Annual Report Download - page 66

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5.€€€€Finance Receivables
Finance receivables, net at December€31 for the past five years were as follows (in thousands):€
2014 2013 2012 2011 2010
Wholesale
United States $903,380 $800,491 $776,633 $778,320 $735,481
Canada 48,941 44,721 39,771 46,320 78,516
Total wholesale 952,321 845,212 816,404 824,640 813,997
Retail
United States 5,398,006 5,051,245 4,850,450 4,858,781 5,126,699
Canada 209,918 213,799 222,665 228,709 250,462
Total retail 5,607,924 5,265,044 5,073,115 5,087,490 5,377,161
6,560,245 6,110,256 5,889,519 5,912,130 6,191,158
Allowance for credit losses (127,364)(110,693)(107,667)(125,449)(173,589)
Total finance receivables, net $6,432,881 $5,999,563 $5,781,852 $5,786,681 $6,017,569
€HDFS offers wholesale financing to the Company’s independent dealers. Wholesale loans to dealers are generally
secured by financed inventory or property and are originated in the U.S. and Canada.
HDFS provides retail financial services to customers of the Company’s independent dealers in the U.S. and Canada.€The
origination of retail loans is a separate and distinct transaction between HDFS and the retail customer, unrelated to the
Company’s sale of product to its dealers. Retail finance receivables consist of secured promissory notes and installment loans.
HDFS holds either titles or liens on titles to vehicles financed by promissory notes and installment loans. As of December€31,
2014 and 2013, approximately 12% of gross outstanding finance receivables were originated in Texas; there were no other state
that accounted for more than 10%.
Unused lines of credit extended to the Company's wholesale finance customers totaled $1.01 billion at both
December€31, 2014 and 2013.€Approved but unfunded retail finance loans totaled $168.7 million and $149.8 million at
December€31, 2014 and 2013, respectively.
Wholesale finance receivables are related primarily to motorcycles and related parts and accessories sales to independent
Harley-Davidson dealers and are generally contractually due within one year. Retail finance receivables are primarily related to
sales of motorcycles to the dealers’ customers. On December€31, 2014, contractual maturities of finance receivables were as
follows (in thousands):€
United€States Canada Total
2015 $ 1,856,097 $ 86,518 $ 1,942,615
2016 1,029,075 40,378 1,069,453
2017 1,155,891 45,041 1,200,932
2018 1,259,696 50,243 1,309,939
2019 953,581 36,679 990,260
Thereafter 47,046 — 47,046
Total $ 6,301,386 $ 258,859 $ 6,560,245
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