Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Balance Sheet Classifications, Fair Value, Gross and Pro-Forma Net Amounts of Derivative Financial Instruments

The following table presents the balance sheet classification, fair value, gross and pro forma net amounts of derivative financial instruments:


		June 30, 2025								December 31, 2024
		ASSETS				LIABILITIES				ASSETS				LIABILITIES
Derivatives designated under hedge accounting:
Interest-rate contracts:
Financial Services:
Other assets		$	46.6							$	132.2
Deferred taxes and other liabilities						$	132.2							$	41.1
Foreign-exchange contracts:
Truck, Parts and Other:
Other current assets			9.1								67.6
Accounts payable, accrued expenses and other							96.6								3.0
Financial Services:
Other assets											5.8
Deferred taxes and other liabilities							4.1
Commodity contracts:
Truck, Parts and Other:
Other current assets			.2
Accounts payable, accrued expenses and other							.4
		$	55.9			$	233.3			$	205.6			$	44.1
Derivatives not designated as hedging instruments:
Foreign-exchange contracts:
Truck, Parts and Other:
Other current assets		$	.4							$	1.2
Accounts payable, accrued expenses and other						$	1.3							$	2.4
Financial Services:
Other assets			.1								.2
Deferred taxes and other liabilities							.1								.2
		$	.5			$	1.4			$	1.4			$	2.6
Gross amounts recognized in Balance Sheets		$	56.4			$	234.7			$	207.0			$	46.7
Less amounts not offset in financial instruments:
Truck, Parts and Other:
Foreign-exchange contracts		$	(1.2	)		$	(1.2	)		$	(.9	)		$	(.9	)
Financial Services:
Interest-rate contracts			(13.1	)			(13.1	)			(11.4	)			(11.4	)
Pro forma net amount		$	42.1			$	220.4			$	194.7			$	34.4

Amount of Loss (Gain) from Derivative Financial Instruments Recorded in Consolidated Statements of Comprehensive Income

The following table presents the amount of loss (gain) from derivative financial instruments recorded in the Consolidated Statements of Comprehensive Income:


	Three Months Ended								Six Months Ended
	June 30, 2025								June 30, 2025
	INTEREST-				FOREIGN-				INTEREST-				FOREIGN-
	RATE				EXCHANGE				RATE				EXCHANGE
Truck, Parts and Other:
Net sales and revenues
Cash flow hedges					$	6.8							$	4.0
Cost of sales and revenues
Cash flow hedges						(1.3	)							(10.8	)
Derivatives not designated as hedging instruments						.3								(.4	)
Interest and other (income) expenses, net
Cash flow hedges						17.8								30.2
Net investment hedges						(2.5	)							(6.6	)
Derivatives not designated as hedging instruments						6.5								7.8
					$	27.6							$	24.2
Financial Services:
Interest and other borrowing expenses
Cash flow hedges	$	113.1			$	7.0			$	175.5			$	12.8
Fair value hedges		.4								1.4
Derivatives not designated as hedging instruments						(.2	)							(.1	)
	$	113.5			$	6.8			$	176.9			$	12.7
Total	$	113.5			$	34.4			$	176.9			$	36.9


	Three Months Ended								Six Months Ended
	June 30, 2024								June 30, 2024
	INTEREST-				FOREIGN-				INTEREST-				FOREIGN-
	RATE				EXCHANGE				RATE				EXCHANGE
Truck, Parts and Other:
Net sales and revenues
Cash flow hedges					$	.4							$	9.2
Cost of sales and revenues
Cash flow hedges						(17.5	)							(24.9	)
Derivatives not designated as hedging instruments						(.6	)							.2
Interest and other (income) expenses, net
Cash flow hedges						1.2								2.5
Net investment hedges						(2.1	)							(5.6	)
Derivatives not designated as hedging instruments						(7.6	)							(7.5	)
					$	(26.2	)						$	(26.1	)
Financial Services:
Interest and other borrowing expenses
Cash flow hedges	$	(42.4	)		$	(2.8	)		$	(66.9	)		$	(5.0	)
Fair value hedges		2.3								5.1
Derivatives not designated as hedging instruments						2.4								2.2
	$	(40.1	)		$	(.4	)		$	(61.8	)		$	(2.8	)
Total	$	(40.1	)		$	(26.6	)		$	(61.8	)		$	(28.9	)

Amounts Related to Cumulative Basis Adjustments for Fair Value Hedges

The following table presents the amounts recorded on the Consolidated Balance Sheets related to cumulative basis adjustments for fair value hedges:


		June 30				December 31
		2025				2024
Financial Services
Term notes:
Carrying amount of the hedged liabilities		$	656.4			$	543.1
Cumulative basis adjustment increase (decrease) included in the carrying amount			6.2				(8.6	)

Pre-Tax Effects of (Loss) Gain Derivative Instruments Recognized in OCI

The following table presents the pre-tax effects of (loss) gain on cash flow hedges recognized in other comprehensive income (loss) (OCI):


		Three Months Ended												Six Months Ended
		June 30, 2025												June 30, 2025
		INTEREST-				FOREIGN-								INTEREST-				FOREIGN-
		RATE				EXCHANGE				COMMODITY				RATE				EXCHANGE				COMMODITY
(Loss) gain recognized in OCI:
Truck, Parts and Other						$	(31.2	)		$	1.6							$	(42.5	)		$	1.4
Financial Services		$	(124.1	)			(5.7	)						$	(196.1	)			(14.8	)
		$	(124.1	)		$	(36.9	)		$	1.6			$	(196.1	)		$	(57.3	)		$	1.4


		Three Months Ended												Six Months Ended
		June 30, 2024												June 30, 2024
		INTEREST-				FOREIGN-								INTEREST-				FOREIGN-
		RATE				EXCHANGE				COMMODITY				RATE				EXCHANGE				COMMODITY
Gain (loss) recognized in OCI:
Truck, Parts and Other						$	33.5			$	(8.4	)						$	47.0			$	(13.0	)
Financial Services		$	56.9				2.4							$	81.6				5.1
		$	56.9			$	35.9			$	(8.4	)		$	81.6			$	52.1			$	(13.0	)

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