Adoption of New Revenue Recognition Standard (ASC 606...

Adoption of New Revenue Recognition Standard (ASC 606), New Retirement Benefits Accounting (ASU 2017-07), and Other

Financial Presentation Changes

April 2018

Adoption of New Revenue Recognition Standard, New Retirement Benefits Accounting, and Other Financial

Presentation ChangesApril 2018

2Safe Harbor Statement and Disclosures

All statements other than statements of historical fact contained in this presentation including statements regarding our competitive strengths; business strategy; future financial position or

operating results; budgets; projections with respect to revenue, income, earnings (or loss) per share, capital expenditures, dividends, capital structure or other financial items; costs; and plans

and objectives of management regarding operations and products, are forward-looking statements. These statements may include terminology such as “may”, “will”, “expect”, “could”, “should”,

“intend”, “estimate”, “anticipate”, “believe”, “outlook”, “continue”, “remain”, “on track”, “design”, “target”, “objective”, “goal”, “forecast”, “projection”, “prospects”, “plan”, or similar terminology.

Forward-looking statements are not guarantees of future performance. Rather, they are based on current views and assumptions and involve known and unknown risks, uncertainties and other

factors, many of which are outside our control and are difficult to predict. If any of these risks and uncertainties materialize or other assumptions underlying any of the forward-looking

statements prove to be incorrect the actual results or developments may differ materially from any future results or developments expressed or implied by the forward-looking statements.

Factors, risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements include, among others: the many interrelated

factors that affect consumer confidence and worldwide demand for capital goods and capital goods-related products; general economic conditions in each of our markets; changes in

government policies regarding banking, monetary and fiscal policies; legislation, particularly relating to capital goods-related issues such as agriculture, the environment, debt relief and subsidy

program policies, trade and commerce and infrastructure development; government policies on international trade and investment, including sanctions, import quotas, capital controls and tariffs;

actions of competitors in the various industries in which we compete; development and use of new technologies and technological difficulties; the interpretation of, or adoption of new,

compliance requirements with respect to engine emissions, safety or other aspects of our products; production difficulties, including capacity and supply constraints and excess inventory levels;

labor relations; interest rates and currency exchange rates; inflation and deflation; energy prices; prices for agricultural commodities; housing starts and other construction activity; our ability to

obtain financing or to refinance existing debt; a decline in the price of used vehicles; the resolution of pending litigation and investigations on a wide range of topics, including dealer and supplier

litigation, follow-on private litigation in various jurisdictions after the settlement of the EU antitrust investigation announced on July 19, 2016, intellectual property rights disputes, product

warranty and defective product claims, and emissions and/or fuel economy regulatory and contractual issues; our pension plans and other post-employment obligations; political and civil unrest;

volatility and deterioration of capital and financial markets, including possible effects of “Brexit”, terror attacks in Europe and elsewhere, and other similar risks and uncertainties and our success

in managing the risks involved in the foregoing. Further information concerning factors, risks, and uncertainties that could materially affect the Company’s financial results is included in our

annual report on Form 20-F for the year ended December 31, 2017, prepared in accordance with U.S. GAAP and in the Company’s EU Annual Report at December 31, 2017, prepared in

accordance with EU-IFRS. Investors should refer to and consider the incorporated information on risks, factors, and uncertainties in addition to the information presented here. Investors should

consider non-GAAP financial measures in addition to, and not as a substitute for, financial measures prepared in accordance with U.S. GAAP. Reconciliations of non-GAAP measures to the

most directly comparable GAAP measure are presented in our earning releases, which are available in EDGAR on the SEC’s website at www.sec.gov and on our website at

www.cnhindustrial.com/en-us/investor_relations/financial_information.

Forward-looking statements are based upon assumptions relating to the factors described in this presentation, which are sometimes based upon estimates and data received from third parties.

Such estimates and data are often revised. Our actual results could differ materially from those anticipated in such forward-looking statements. Forward-looking statements speak only as of the

date on which such statements are made, and we undertake no obligation to update or revise publicly our forward-looking statements. Further information concerning CNH Industrial and its

businesses, including factors that potentially could materially affect CNH Industrial’s financial results, is included in CNH Industrial’s reports and filings with the U.S. Securities and Exchange

Commission (“SEC”), the Autoriteit Financiële Markten (“AFM”) and Commissione Nazionale per le Società e la Borsa (“CONSOB”).

All future written and oral forward-looking statements by CNH Industrial or persons acting on the behalf of CNH Industrial are expressly qualified in their entirety by the cautionary statements

contained herein or referred to above.



3Agenda

1 Changes in Accounting Standards

2 2017 Recast Financials

3 Transition from Operating Profit to Adjusted EBIT and

Adjusted EBITDA

4 Appendix



Overview

▪ In Fiscal Year 2018, CNH Industrial will adopt for U.S. GAAP reporting updated FASB accounting standards for

revenue recognition (ASC 606) and retirement benefits accounting (ASU 2017-07)

▪ The new standards are not estimated to have a material impact on our financial results – specifically our consolidated

revenues, net income, earnings per share, and net industrial debt. However, they will have an impact on how we

present certain transactions like the interest compensation paid from Industrial Activities to Financial Services for the

“interest-free” period of dealer floor plan financing, as well as certain other services to customers

▪ We will adopt these new standards on a retrospective basis. Thus, starting with the first quarter of 2018 all current

periods, and historical financial information will be presented on a recast basis, when we report earnings

▪ Included with this presentation are preliminary and unaudited recast financial statements for Fiscal Year 2016 and

2017, including 2017 by quarter, to provide full comparability for the historical periods

▪ All amounts in this presentation are in millions of U.S. dollars, except percentages and per share figures, and are

prepared in accordance with U.S. GAAP, unless otherwise stated

4

Changes in Accounting

Standards



Changes in accounting standards | Summary1 6

Type of Change Category Summary of Impact

Revenue

Recognition (ASC 606)

Classification of Interest

compensation paid to

Financial Services

from Industrial Activities

• Reclassification of interest compensation paid to Financial Services from Industrial Activities for the

“interest-free” period of dealer floor plan financing

• Prior treatment was as Industrial Activities interest expense; new treatment will be as a reduction

of Industrial Activities net sales and operating profit

• In the consolidated Statement of Operations, no change will result to total revenues and total

operating profit, as the transactions between Industrial Activities and Financial Services are

eliminated

Revenue recognition of

certain services and certain

other incentives

• The adoption of the new Revenue Recognition standard requires that certain services and certain

other incentives provided by the Company to its customers be accounted for with a different

recognition timing for revenues and margin

• As a consequence, we estimated a reduction of net equity at January 1, 2016 (date of the first time

retrospective adoption of the new standard) of $122 million

• The impact on the Statement of Operations in subsequent years is not significant

Other

• The new Revenue Recognition standard will also result in changes in classification between net

revenues and expenses, and changes in classification for certain assets and liabilities. The

overall impact on total net revenues and expenses and on total assets and liabilities is not

significant

Retirement Benefit

Accounting (ASU 2017-07)

Reclassification of non-

service cost component

• Amendment requires the disaggregation of the service cost component from the other

components of net benefit cost

• The classification of these other components will be recognized outside of operating results

Additional disclosures on these changes can be found in our 2017 Annual Report on Form 20-F

2017 Recast Financials



82 2017 Consolidated Statement of Operations Recast

(1) Finance and Interest Income also includes Financial Services Rental fees on operating lease contracts, as well as Proceeds from the sale of used equipment at the end of operating lease

As Reported

Total impact of

New Revenue

Recognition Standard

Impact of

New Retirement

Benefits Accounting

As Recast

Revenues

Net Sales 26,168 (399) - 25,769

Finance and Interest Income (1) 1,193 739 - 1,932

Total Revenues 27,361 340 - 27,701

Costs and Expenses

Cost of goods sold 21,621 (40) (9) 21,572

Selling, general and administrative expenses 2,330 - (15) 2,315

Research and Development expenses 957 - - 957

Restructuring expenses 93 - - 93

Interest expense 942 (2) - 940

Other, net 738 403 24 1,165

Total Costs and Expenses 26,681 361 - 27,042

Income (Loss) before income taxes and Equity in

income of unconsolidated subsidiaries and affiliates680 (21) - 659

Income tax (expense) (455) (2) - (457)

Equity in income of unconsolidated subsidiaries and

affiliates88 - - 88

Net Income (Loss) 313 (23) - 290

Net Income (Loss) attributable to Non Controlling interest 18 - - 18

Net Income (Loss) attributable to Controlling interest 295 (23) - 272



92 Summary of impacts on 2017 Segment Revenues and Results

As Reported

Total impact of

New Revenue


Impact of

New Retirement Benefits

Accounting

As Recast

Revenues by Segment

Agricultural Equipment 11,130 (447) - 10,683

Construction Equipment 2,626 (96) - 2,530

Commercial Vehicles 10,415 147 - 10,562

Powertrain 4,372 (3) - 4,369

Eliminations and Other (2,375) - - (2,375)

Net Sales of Industrial Activities 26,168 (399) - 25,769

Financial Services 1,625 403 2,028

Eliminations and Other (432) 336 (96)

Total Revenues 27,361 340 - 27,701

Operating Profit by Segment

Agricultural Equipment 949 (237) 16 728

Construction Equipment 21 (42) 5 (16)

Commercial Vehicles 272 (78) 3 197

Powertrain 362 (2) - 360

Eliminations and Other (85) - - (85)

Operating Profit of Industrial Activities 1,519 (359) 24 1,184

Financial Services 479 - - 479

Eliminations and Other (336) 336 - -

Total Operating Profit 1,662 (23) 24 1,663



102 Interest Compensation Walk

($mn)

In 2018 Company expects to improve Interest Compensation by ~$90mn-$130mn

(210) to (250)

~90 to ~130

70 to 90

20 to 40

(5) to (10)

(338)

2017 Floorplan Days Interest Spread FX & Base Rate Risk 2018E



112 Recast of Statement of Financial Position at December 31, 2017

As ReportedAdjustments and

reclassificationsAs Recast

ASSETS

Cash and cash equivalents 5,430 - 5,430

Restricted cash 770 - 770

Trade receivables, net 496 - 496

Financing receivables, net 19,842 (47) 19,795

Inventories, net 6,280 172 6,452

Property, plant and equipment, net 7,003 (172) 6,831

Investments in unconsolidated subsidiaries and affiliates 561 - 561

Equipment under operating leases 1,845 - 1,845

Goodwill 2,472 - 2,472

Other intangible assets, net 792 - 792

Deferred tax assets 818 34 852

Derivative assets 77 - 77

Contract assets (Current / non Current) - 54 54

Other assets 1,889 (18) 1,871

Total Assets 48,275 23 48,298

LIABILITIES & EQUITY

Debt 25,895 - 25,895

Trade payables 6,060 - 6,060

Deferred tax liabilities 97 (3) 94

Pension, postretirement and other postemployment benefits 2,300 - 2,300

Derivative liabilities 98 - 98

Contract liabilities (Current / non Current) - 609 609

Other liabilities 9,400 (415) 8,985

Total Liabilities 43,850 191 44,041

Total Equity (with Redeemable non controlling interest) 4,425 (168) 4,257

Total Liabilities and Equity 48,275 23 48,298

Transition from Operating Profit

to Adjusted EBIT and Adjusted

EBITDA



133 Adjusted EBIT and Adjusted EBITDA as Measures of Segment Results

▪ In connection with the change in accounting standards, the Company reviewed the metrics on which the operating

segments will be assessed

▪ Starting in 2018, the Chief Operating Decision Maker (CODM) will assess performance and make decisions about

resource allocation based upon Adjusted EBIT and Adjusted EBITDA

▪ There will be no change to how the segments are defined within CNH Industrial

▪ Using Adjusted EBITDA as one of the key metrics for segment profit has an added benefit for investors as it helps to

demonstrate the cash flow potential of the individual segments and their value within the overall portfolio

All figures presented in the following slides are recast following the adoption of the new accounting standards.



143 Reconciliation of Net Income to Adjusted EBIT and Adjusted EBITDA (under US GAAP)

2017 2016

Industrial

Activities

Financial

ServicesTotal

Industrial

Activities

Financial

ServicesTotal

Net Income (Loss) (1) (162) 452 290 (595) 334 (261)

Add back:

Interest expenses of Industrial Activities, net of interest income and eliminations 482 - 482 541 - 541

Foreign exchange (gains) losses, net 124 - 124 142 - 142

Finance and Non-service component of Pension and OPEB 102 - 102 107 - 107

Income tax expenses 415 42 457 136 161 297

Adjustments:

Restructuring expenses 90 3 93 43 1 44

Venezuelan re-measurement and impairment of assets, and 2017 year-end

deconsolidation of Venezuelan operations92 - 92 34 - 34

Chinese JVs restructuring - - - 9 - 9

European Commission settlement - - - 551 - 551

Adjusted EBIT 1,143 497 1,640 968 496 1,464

Depreciation and Amortization 720 5 725 710 6 716

D&A Operating Leasing and Buyback 328 297 625 284 261 545

Adjusted EBITDA 2,191 799 2,990 1,962 763 2,725

(1) For Industrial Activities, net income / (loss) net of “ Results from intersegment investments”

($mn)



153 Reconciliation of Net Income to Adjusted EBIT and Adjusted EBITDA by Segment (under US GAAP)


2017

AG CE CV PTUnallocated Items,

Elim. & Other

Industrial

Activities

Financial

ServicesTotal

Net Income (Loss) (1) (162) 452 290

Add back:

Interest expenses of Industrial Activities, net of

interest income and eliminations 482 - 482

Foreign exchange (gains) losses, net 124 - 124

Finance and non-service component of Pension

and OPEB102 - 102

Income tax expenses 415 42 457

Adjustments:

Restructuring expenses 14 4 69 3 - 90 3 93

Venezuelan re-measurement and impairment of

assets, and 2017 year-end deconsolidation of

Venezuelan operations

- - - - 92 92 - 92

Adjusted EBIT 791 (16) 195 360 (187) 1,143 497 1,640

Depreciation and Amortization 315 65 212 128 - 720 5 725

D&A Operating Leasing and Buyback - - 328 - - 328 297 625

Adjusted EBITDA 1,106 49 735 488 (187) 2,191 799 2,990



163 Reconciliation of Net Income to Adjusted EBIT and Adjusted EBITDA by Segment (under US GAAP)


2016

AG CE CV PTUnallocated Items,

Elim. & Other

Industrial

Activities

Financial

ServicesTotal

Net Income (Loss) (1) (595) 334 (261)

Add back:

Interest expenses of Industrial Activities, net of

interest income and eliminations 541 - 541

Foreign exchange (gains) losses, net 142 142

Finance and non-service component of Pension and

OPEB107 107

Income tax expenses 136 161 297

Adjustments:

Restructuring expenses 9 - 34 - - 43 1 44

Venezuelan re-measurement and impairment of

assets, and 2017 year-end deconsolidation of

Venezuelan operations

- - - - 34 34 - 34

Chinese JVs restructuring - - - - 9 9 - 9

European Commission settlement - - - - 551 551 - 551

Adjusted EBIT 642 (44) 279 233 (142) 968 496 1,464

Depreciation and Amortization 309 69 208 124 - 710 6 716

D&A Operating Leasing and Buyback - - 284 - - 284 261 545

Adjusted EBITDA 951 25 771 357 (142) 1,962 763 2,725



FY 2018E | US GAAP Financial Targets

(*) Outlook is not provided on diluted EPS, most comparable GAAP financial measure of this non-GAAP financial measure, as the income or expense excluded from the calculation of adjusted diluted EPS are, by definition, not predictable and uncertain

FY 2018E Guidance:

Net sales of Industrial Activities $27bn - $28bn

Adjusted diluted EPS (*) $0.63 - $0.67

Net industrial debt $0.8bn - $1.0bn

Guidance unchanged since January 30, 2018

173

Appendix



2017 Consolidated Statement of Operations Recast by quarter 194

Q1 2017

As Reported

Q1 2017

As Recast

Q2 2017

As Reported

Q2 2017

As Recast

Q3 2017

As Reported

Q3 2017

As Recast

Q4 2017

As Reported

Q4 2017

As Recast

Revenues

Net Sales 5,384 5,290 6,655 6,525 6,331 6,238 7,798 7,716

Finance and Interest Income (1) 297 495 293 478 299 451 304 508

Total Revenues 5,681 5,785 6,948 7,003 6,630 6,689 8,102 8,224

Costs and Expenses

Cost of goods sold 4,497 4,482 5,427 5,393 5,242 5,229 6,455 6,468

Selling, general and administrative

expenses542 539 575 571 559 555 654 650

Research and Development

expenses191 191 228 228 243 243 295 295

Restructuring expenses 12 12 12 12 53 53 16 16

Interest expense 219 219 234 233 259 258 230 230

Other, net 141 263 139 247 174 250 284 405

Total Costs and Expenses 5,602 5,706 6,615 6,684 6,530 6,588 7,934 8,064

Income (Loss) before income

taxes and Equity in income of

unconsolidated subsidiaries and

affiliates

79 79 333 319 100 101 168 160

Income tax (expense) (48) (51) (113) (110) (64) (62) (230) (234)

Equity in income of unconsolidated

subsidiaries and affiliates18 18 27 27 21 21 22 22

Net Income (Loss) 49 46 247 236 57 60 (40) (52)

Net Income (Loss) attributable to

Non Controlling interest3 3 5 5 4 4 6 6

Net Income (Loss) attributable to

Controlling interest46 43 242 231 53 56 (46) (58)




204 Summary of impacts on 2017 Segment Revenues and Results by Quarter

Q1 2017

As Reported

Q1 2017

As Recast

Q2 2017

As Reported

Q2 2017

As Recast

Q3 2017

As Reported

Q3 2017

As Recast

Q4 2017

As Reported

Q4 2017

As Recast

Revenues by Segment

Agricultural Equipment 2,346 2,240 2,893 2,766 2,651 2,547 3,240 3,130

Construction Equipment 523 502 676 650 642 618 785 760

Commercial Vehicles 2,091 2,125 2,575 2,598 2,537 2,573 3,212 3,266

Powertrain 1,002 1,001 1,136 1,136 1,075 1,074 1,159 1,158

Eliminations and Other (578) (578) (625) (625) (574) (574) (598) (598)

Net Sales of Industrial

Activities5,384 5,290 6,655 6,525 6,331 6,238 7,798 7,716

Financial Services 396 512 400 502 409 478 420 536


Total Revenues 5,681 5,785 6,948 7,003 6,630 6,689 8,102 8,224


Agricultural Equipment 159 104 303 242 208 158 279 224

Construction Equipment (22) (31) 17 7 13 2 13 6

Commercial Vehicles 28 16 91 71 59 44 94 66

Powertrain 74 74 98 97 88 88 102 101


Operating Profit of

Industrial Activities219 143 481 389 351 275 468 377

Financial Services 120 120 125 125 120 120 114 114

Eliminations and Other (82) - (83) - (83) - (88) -

Total Operating Profit 257 263 523 514 388 395 494 491



2016 Consolidated Statement of Operations Recast 214

As Reported

Total impact of

New Revenue


Impact of

New Retirement

Benefits Accounting

As Recast

Revenues

Net Sales 23,669 (453) - 23,216

Finance and Interest Income (1) 1,203 676 - 1,879

Total Revenues 24,872 223 - 25,095

Costs and Expenses

Cost of goods sold 19,539 (108) (11) 19,420

Selling, general and administrative expenses 2,262 - (16) 2,246

Research and Development expenses 860 - - 860

Restructuring expenses 44 - - 44

Interest expense 1,028 (2) - 1,026

Other, net 1,148 346 27 1,521

Total Costs and Expenses 24,881 236 - 25,117

Income (Loss) before income taxes and Equity in

income of unconsolidated subsidiaries and affiliates(9) (13) - (22)

Income tax (expense) (298) 1 - (297)

Equity in income of unconsolidated subsidiaries and

affiliates58 - - 58

Net Income (Loss) (249) (12) - (261)

Net Income (Loss) attributable to Non Controlling interest 3 - - 3

Net Income (Loss) attributable to Controlling interest (252) (12) - (264)




Summary of impacts on 2016 Segment Revenues and Results 224

As Reported

Total impact of

New Revenue


Impact of

New Retirement Benefits

Accounting

As Recast

Revenues by Segment

Agricultural Equipment 10,120 (430) - 9,690

Construction Equipment 2,304 (98) - 2,206

Commercial Vehicles 9,553 75 - 9,628

Powertrain 3,707 - - 3,707

Eliminations and Other (2,015) - - (2,015)

Net Sales of Industrial Activities 23,669 (453) - 23,216

Financial Services 1,570 346 - 1,916

Eliminations and Other (367) 330 - (37)

Total Revenues 24,872 223 - 25,095


Agricultural Equipment 818 (235) 12 595

Construction Equipment 2 (50) 4 (44)

Commercial Vehicles 333 (60) 10 283

Powertrain 232 - 1 233

Eliminations and Other (94) - - (94)

Operating Profit of Industrial Activities 1,291 (345) 27 973

Financial Services 478 - - 478

Eliminations and Other (330) 330 - -

Total Operating Profit 1,439 (15) 27 1,451



234 Recast of Statement of Financial Position at December 31, 2016

As ReportedAdjustments and

reclassificationsAs Recast

ASSETS

Cash and cash equivalents 5,017 - 5,017

Restricted cash 837 - 837

Trade receivables, net 623 - 623

Financing receivables, net 18,662 (48) 18,614

Inventories, net 5,609 120 5,729

Property, plant and equipment, net 6,397 (123) 6,274

Investments in unconsolidated subsidiaries and affiliates 487 - 487

Equipment under operating leases 1,907 - 1,907

Goodwill 2,449 - 2,449

Other intangible assets, net 787 - 787

Deferred tax assets 937 34 971

Derivative assets 95 - 95

Contract assets (Current / non Current) - 39 39

Other assets 1,740 (14) 1,726

Total Assets 45,547 8 45,555

LIABILITIES & EQUITY

Debt 25,276 - 25,276

Trade payables 5,185 - 5,185

Deferred tax liabilities 84 (2) 82

Pension, postretirement and other postemployment benefits 2,276 - 2,276

Derivative liabilities 249 - 249

Contract liabilities (Current / non Current) - 485 485

Other liabilities 8,005 (344) 7,661

Total Liabilities 41,075 139 41,214

Total Equity (with Redeemable non controlling interest) 4,472 (131) 4,341

Total Liabilities and Equity 45,547 8 45,555

April 2018Adoption of New Revenue Recognition Standard, New Retirement Benefits Accounting, and Other Financial

Presentation Changes

Non-GAAP Financial Measures

CNH Industrial monitors its operations through the use of several non-GAAP financial measures. CNH Industrial’s management believes that these non-GAAP financial measures provide useful and relevant information regarding itsresults and allow management and investors to assess CNH Industrial’s operating trends, financial performance and financial position without effects caused by differing capital structures. Management uses these non-GAAP measuresto identify operational trends, as well as make decisions regarding future spending, resource allocations and other operational decisions as they provide additional transparency with respect to our core operations. These non-GAAPfinancial measures have no standardized meaning presented in U.S. GAAP or EUIFRS and are unlikely to be comparable to other similarly titled measures used by other companies due to potential differences between the companies incalculations. As a result, the use of these non-GAAP measures has limitations and should not be considered as substitutes for measures of financial performance and financial position prepared in accordance with U.S. GAAP and/or EU-IFRS.

CNH Industrial non-GAAP financial measures are defined as follows:

Operating Profit under U.S. GAAP: Operating Profit of Industrial Activities is defined as net sales less cost of goods sold, selling, general and administrative expenses, and research and development expenses. Operating Profit of Financial Services is defined as revenues less selling, general and administrative expenses, interest expenses and certain other operating expenses.

Adjusted EBIT: is defined as net income/(loss) before income taxes, interest expenses of Industrial Activities, net, restructuring charges, the finance and non-service component of pension and other post-employment benefits costs, foreign exchange gains/(losses), and certain exceptional items.

Adjusted EBITDA: is defined as Adjusted EBIT plus depreciation and amortization (including on assets under operating leases and assets sold under buy-back commitments)

Adjusted Net Income (Loss): is defined as net income (loss), less restructuring charges and exceptional items, after tax. In particular, exceptional items are specifically disclosed items that management considers rare or discrete events that are infrequent in nature and not reflective of on-going operational activities.

Adjusted Diluted EPS: is computed by dividing Adjusted Net Income (loss) attributable to CNH Industrial N.V. by a weighted-average number of common shares outstanding during the period that takes into consideration potential common shares outstanding deriving from the CNH Industrial share-based payment awards, when inclusion is not antidilutive. When we provide guidance for adjusted diluted EPS, we do not provide guidance on an earnings per share basis because the GAAP measure will include potentially significant items that have not yet occurred and are difficult to predict with reasonable certainty prior to year-end.

Adjusted Income Taxes: is defined as income taxes less the tax effect of restructuring expenses and exceptional items and exceptional tax charges.

Adjusted Effective Tax Rate (Adjusted ETR): is computed by dividing a) adjusted income taxes by b) income (loss) before income taxes and equity in income of unconsolidated subsidiaries and affiliates, less restructuring expenses and exceptional items.

Net Debt and Net Debt of Industrial Activities (or Net Industrial Debt): Net Debt is defined as total debt less intersegment notes receivable, cash and cash equivalents, restricted cash and derivative hedging debt. CNH Industrial provides the reconciliation of Net Debt to Total Debt, which is the most directly comparable measure included in the consolidated balance sheets. Due to different sources of cash flows used for the repayment of the debt between Industrial Activities and Financial Services (by cash from operations for Industrial Activities and by collection of financing receivables for Financial Services), management separately evaluates the cash flow performance of Industrial Activities using Net Debt of Industrial Activities.

Available Liquidity: is defined as cash and cash equivalents plus restricted cash and undrawn committed facilities.

Change excl. FX or Constant Currency: CNH Industrial discusses the fluctuations in revenues on a constant currency basis by applying the prior year average exchange rates to current year’s revenues expressed in local currency in order to eliminate the impact of foreign exchange rate fluctuations.

24

Corporate Presentation 2017

Investor Relations Team

e-mail: [email protected]

website: www.cnhindustrial.com

▪ Federico Donati – Head of Global Investor Relations +44 (207) 76 - 60386

+39 (011) 00 - 71929

▪ Noah Weiss – Investor Relations North America +1 (630) 887 - 3745

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