PACCAR 2012 Annual Report Download - page 66

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 RETAIL CUSTOMER
OWNER/ RETAIL
At December 31, 2012 WHOLESALE FLEET OPERATOR DEALER TOTAL
Current and up to 30 days past due $ 1,537.0 $ 3,934.8 $ 1,369.0 $ 1,429.7 $ 8,270.5
31-60 days past due .5 9.4 7.9 17.8
Greater than 60 days past due 3.5 12.4 12.1 28.0
$ 1,541.0 $ 3,956.6 $ 1,389.0 $ 1,429.7 $ 8,316.3
retail customer
owner/ retail
At December 31, 2011 wholesale fleet operator dealer total
Current and up to 30 days past due $ 1,498.7 $ 3,095.4 $ 1,365.2 $ 1,220.2 $7,179.5
31-60 days past due .5 11.2 11.9 23.6
Greater than 60 days past due 17.8 49.7 17.1 84.6
$ 1,517.0 $ 3,156.3 $ 1,394.2 $ 1,220.2 $ 7,287.7
Troubled Debt Restructurings: The balance of TDRs was $38.5 and $26.0 at December 31, 2012 and 2011,
respectively. At modification date, the pre-modification and post-modification recorded investment balances by
portfolio class are as follows:
2012 2011
RECORDED INVESTMENT recorded investment
PRE- POST- pre- post-
MODIFICATION MODIFICATION modification modification
Fleet $ 64.0 $ 54.2 $ 27.7 $ 27.5
Owner/Operator 2.7 2.7 5.6 5.6
$ 66.7 $ 56.9 $ 33.3 $ 33.1
The decrease in the post-modification recorded investment in 2012 primarily reflects a TDR of one large customer in
the U.S. during the fourth quarter of 2012. The restructuring resulted in a charge-off of $8.2 at December 31, 2012.
A specific reserve had been provided for this exposure in prior periods. The effect on the allowance for credit losses
from such modifications was not significant at December 31, 2011.
The post-modification recorded investment in finance receivables modified as TDRs during the previous twelve months
that subsequently defaulted (i.e., became more than 30 days past-due) in the year ended December 31, 2012 was
$19.3 and $.6 for fleet and owner/operator, respectively.
Repossessions: When the Company determines a customer is not likely to meet its contractual commitments, the
Company repossesses the vehicles which serve as collateral for the loans, finance leases and equipment under operating
lease. The Company records the vehicles as used truck inventory included in Financial Services other assets on the
balance sheet. The balance of repossessed inventory at December 31, 2012 and 2011 is $20.9 and $16.0 respectively.
Proceeds from the sales of repossessed assets were $62.2, $80.1 and $135.3 for the years ended December 31, 2012,
2011 and 2010, respectively. These amounts are included in proceeds from asset disposals in the Consolidated
Statements of Cash Flows. Write-downs of repossessed equipment on operating leases are recorded as impairments
and included in Financial Services depreciation and other expense on the Consolidated Statements of Income.
N O T E S T O C O N S O L I D A T E D F I N A N C I A L S T A T E M E N T S
December 31, 2012, 2011 and 2010 (currencies in millions)