0000737758-20-000022 | 10-Q | XBRL Viewer

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Cover Page - shares	9 Months Ended
Cover Page - shares	Jul. 31, 2020	Aug. 27, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 31, 2020
Document Transition Report	false
Entity File Number	1-8649
Entity Registrant Name	THE TORO COMPANY
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	41-0580470
Entity Address, Address Line One	8111 Lyndale Avenue South
Entity Address, City or Town	Bloomington
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55420-1196
City Area Code	952
Local Phone Number	888-8801
Title of 12(b) Security	Common Stock, par value $1.00 per share
Trading Symbol	TTC
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		107,297,491
Entity Central Index Key	0000737758
Amendment Flag	false
Current Fiscal Year End Date	--10-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3

Condensed Consolidated Statements of Earnings (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Income Statement [Abstract]
Net sales	$ 840,972	$ 838,713	$ 2,537,853	$ 2,403,705
Cost of sales	546,398	572,732	1,648,474	1,600,809
Gross profit	294,574	265,981	889,379	802,896
Selling, general and administrative expense	178,622	192,037	556,503	521,173
Operating earnings	115,952	73,944	332,876	281,723
Interest expense	(8,304)	(9,004)	(25,119)	(20,440)
Other income, net	3,345	6,295	10,746	17,152
Earnings before income taxes	110,993	71,235	318,503	278,435
Provision for income taxes	22,025	10,628	60,998	42,718
Net earnings	$ 88,968	$ 60,607	$ 257,505	$ 235,717
Basic net earnings per share of common stock (usd per share)	$ 0.83	$ 0.57	$ 2.39	$ 2.21
Diluted net earnings per share of common stock (usd per share)	$ 0.82	$ 0.56	$ 2.37	$ 2.18
Weighted-average number of shares of common stock outstanding — Basic (in shares)	107,710	107,005	107,561	106,644
Weighted-average number of shares of common stock outstanding — Diluted (in shares)	108,543	108,253	108,569	108,024

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Statement of Comprehensive Income [Abstract]
Net earnings	$ 88,968	$ 60,607	$ 257,505	$ 235,717
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	14,011	(3,815)	8,120	(4,151)
Derivative instruments, net of tax of $(4,589); $701; $(3,558); and $347, respectively	(14,885)	2,263	(11,559)	1,420
Pension and retiree medical benefits	0	0	912	0
Other comprehensive loss, net of tax	(874)	(1,552)	(2,527)	(2,731)
Comprehensive income	$ 88,094	$ 59,055	$ 254,978	$ 232,986

- Definition

Amount, after deduction of tax, noncontrolling interests, dividends on preferred stock and participating securities; of income (loss) available to common shareholders.

+ References

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+ Details

Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Statement of Comprehensive Income [Abstract]
Derivative instruments, tax	$ (4,589)	$ 701	$ (3,558)	$ 347

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
ASSETS
Cash and cash equivalents	$ 394,141	$ 151,828	$ 143,317
Receivables, net	294,672	268,768	312,239
Inventories, net	656,208	651,663	620,612
Prepaid expenses and other current assets	39,225	50,632	54,235
Total current assets	1,384,246	1,122,891	1,130,403
Property, plant, and equipment, net	457,891	437,317	426,415
Goodwill	424,228	362,253	380,503
Other intangible assets, net	413,270	352,374	319,886
Right-of-use assets	81,634
Investment in finance affiliate	22,580	24,147	25,108
Deferred income taxes	9,772	6,251	3,603
Other assets	20,242	25,314	23,815
Total assets	2,813,863	2,330,547	2,309,733
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current portion of long-term debt	108,869	79,914	99,877
Accounts payable	268,747	319,230	304,661
Accrued liabilities	404,314	357,826	351,865
Short-term lease liabilities	15,182
Total current liabilities	797,112	756,970	756,403
Long-term debt, less current portion	782,036	620,899	620,804
Long-term lease liabilities	69,752
Deferred income taxes	71,346	50,579	46,940
Other long-term liabilities	39,585	42,521	41,764
Stockholders’ equity:
Preferred stock, par value $1.00 per share, authorized 1,000,000 voting and 850,000 non-voting shares, none issued and outstanding	0	0	0
Common stock, par value $1.00 per share, authorized 175,000,000 shares; issued and outstanding 107,264,098 shares as of July 31, 2020, 106,549,344 shares as of August 2, 2019, and 106,742,082 shares as of October 31, 2019	107,264	106,742	106,549
Retained earnings	981,344	784,885	763,941
Accumulated other comprehensive loss	(34,576)	(32,049)	(26,668)
Total stockholders’ equity	1,054,032	859,578	843,822
Total liabilities and stockholders’ equity	$ 2,813,863	$ 2,330,547	$ 2,309,733

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Preferred stock
Preferred stock, par value (in dollars per share)	$ 1.00	$ 1.00	$ 1.00
Preferred stock, issued (in shares)	0	0	0
Preferred stock, outstanding (in shares)	0	0	0
Common stock
Common stock, par value (in dollars per share)	$ 1.00	$ 1.00	$ 1.00
Common stock, authorized (in shares)	175,000,000	175,000,000	175,000,000
Common stock, issued (in shares)	107,264,098	106,742,082	106,549,344
Common stock, outstanding (in shares)	107,264,098	106,742,082	106,549,344
Voting preferred stock
Preferred stock
Preferred stock, authorized (in shares)	1,000,000	1,000,000	1,000,000
Non-voting preferred stock
Preferred stock
Preferred stock, authorized (in shares)	850,000	850,000	850,000

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019
Cash flows from operating activities:
Net earnings	$ 257,505	$ 235,717
Adjustments to reconcile net earnings to net cash provided by operating activities:
Non-cash income from finance affiliate	(6,161)	(9,135)
Distributions from finance affiliate, net	7,729	6,569
Depreciation of property, plant and equipment	55,272	48,770
Amortization of other intangible assets	14,591	13,633
Fair value step-up adjustment to acquired inventory	3,951	31,304
Stock-based compensation expense	10,322	10,258
Deferred income taxes	(3,425)	449
Other	521	4,440
Changes in operating assets and liabilities, net of the effect of acquisitions:
Receivables, net	(17,687)	(54,446)
Inventories, net	18,248	(54,541)
Prepaid expenses and other assets	7,827	10,734
Accounts payable, accrued liabilities, deferred revenue and other liabilities	(42,817)	15,361
Net cash provided by operating activities	305,876	259,113
Cash flows from investing activities:
Purchases of property, plant and equipment	(46,627)	(56,801)
Proceeds from asset disposals	204	4,636
Investment in unconsolidated entities	0	(150)
Acquisitions, net of cash acquired	(138,225)	(691,822)
Net cash used in investing activities	(184,648)	(744,137)
Cash flows from financing activities:
Borrowings under debt arrangements	636,025	900,000
Repayments under debt arrangements	(446,025)	(491,000)
Proceeds from exercise of stock options	11,939	25,482
Payments of withholding taxes for stock awards	(2,102)	(2,632)
Purchases of TTC common stock	0	(20,043)
Dividends paid on TTC common stock	(80,683)	(72,009)
Net cash provided by financing activities	119,154	339,798
Effect of exchange rates on cash and cash equivalents	1,931	(581)
Net increase (decrease) in cash and cash equivalents	242,313	(145,807)
Cash and cash equivalents as of the beginning of the fiscal period	151,828	289,124
Cash and cash equivalents as of the end of the fiscal period	$ 394,141	$ 143,317

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Retained Earnings	Accumulated Other Comprehensive Loss	Cumulative Effect, Period of Adoption, Adjustment	Cumulative Effect, Period of Adoption, Adjustment Retained Earnings
Balance at beginning of period at Oct. 31, 2018	$ 668,916	$ 105,601	$ 587,252	$ (23,937)	$ 864	$ 864
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cash dividends paid on common stock	(72,009)		(72,009)
Issuance of shares for stock options exercised and restricted stock units vested	24,078	1,351	22,727
Stock-based compensation expense	10,258		10,258
Contribution of stock to a deferred compensation trust	1,404		1,404
Purchase of common stock	$ (22,675)	(403)	(22,272)
Accounting standards update [Extensible List]	us-gaap:AccountingStandardsUpdate201409Member
Other comprehensive loss	$ (2,731)			(2,731)
Net earnings	235,717		235,717
Balance at end of period at Aug. 02, 2019	843,822	106,549	763,941	(26,668)
Balance at beginning of period at May. 03, 2019	805,277	106,434	723,959	(25,116)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cash dividends paid on common stock	(24,079)		(24,079)
Issuance of shares for stock options exercised and restricted stock units vested	1,074	126	948
Stock-based compensation expense	3,233		3,233
Purchase of common stock	(738)	(11)	(727)
Other comprehensive loss	(1,552)			(1,552)
Net earnings	60,607		60,607
Balance at end of period at Aug. 02, 2019	843,822	106,549	763,941	(26,668)
Balance at beginning of period at Oct. 31, 2019	859,578	106,742	784,885	(32,049)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cash dividends paid on common stock	(80,683)		(80,683)
Issuance of shares for stock options exercised and restricted stock units vested	9,371	551	8,820
Stock-based compensation expense	10,322		10,322
Contribution of stock to a deferred compensation trust	2,568		2,568
Purchase of common stock	(2,102)	(29)	(2,073)
Other comprehensive loss	(2,527)			(2,527)
Net earnings	257,505		257,505
Balance at end of period at Jul. 31, 2020	1,054,032	107,264	981,344	(34,576)
Balance at beginning of period at May. 01, 2020	984,950	107,111	911,541	(33,702)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cash dividends paid on common stock	(26,939)		(26,939)
Issuance of shares for stock options exercised and restricted stock units vested	3,592	162	3,430
Stock-based compensation expense	4,955		4,955
Purchase of common stock	(620)	(9)	(611)
Other comprehensive loss	(874)			(874)
Net earnings	88,968		88,968
Balance at end of period at Jul. 31, 2020	$ 1,054,032	$ 107,264	$ 981,344	$ (34,576)

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Statement of Stockholders' Equity [Abstract]
Cash dividends paid on common stock (in dollars per share)	$ 0.25	$ 0.225	$ 0.75	$ 0.675
Issuance of share-based payment awards (in shares)	162,488	126,514	550,835	1,351,822
Purchase of shares of common stock (in shares)	9,206	10,885	28,818	403,130

Basis of Presentation

9 Months Ended

Jul. 31, 2020

Accounting Policies [Abstract]

Basis of Presentation


1			Basis of Presentation

The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and notes required by United States ("U.S.") generally accepted accounting principles ("GAAP") for complete financial statements. Unless the context indicates otherwise, the terms "company," "TTC," "we," "our," or "us" refer to The Toro Company and its consolidated subsidiaries. All intercompany accounts and transactions have been eliminated from the unaudited Condensed Consolidated Financial Statements.

In the opinion of management, the unaudited Condensed Consolidated Financial Statements include all adjustments, consisting primarily of recurring accruals, considered necessary for the fair presentation of the company's Consolidated Financial Position, Results of Operations, and Cash Flows for the periods presented. Since the company’s business is seasonal, operating results for the nine months ended July 31, 2020 cannot be annualized to determine the expected results for the fiscal year ending October 31, 2020.

The company’s fiscal year ends on October 31, and quarterly results are reported based on three-month periods that generally end on the Friday closest to the quarter end. For comparative purposes, however, the company’s second and third quarters always include exactly 13 weeks of results so that the quarter end date for these two quarters is not necessarily the Friday closest to the calendar month end.

The company completed its acquisition of The Charles Machine Works, Inc. ("CMW") on April 1, 2019. CMW's financial position, results of operations, and cash flows were historically reported based on a calendar month end. The company aligned the quarterly periods of CMW with the company's quarterly fiscal periods during fiscal 2020. For the third quarter of fiscal 2019, July 31, 2019 was the period end closest to the company's fiscal third quarter ended August 2, 2019. This reporting period difference did not have a significant impact on the Consolidated Financial Position, Results of Operations, and Cash Flows of the company as of and for the three and nine month periods ended August 2, 2019. Refer to Note 2, Business Combinations, for additional information regarding the company's acquisition of CMW.

For further information regarding the company's basis of presentation, refer to the Consolidated Financial Statements and Notes to Consolidated Financial Statements included in the company’s Annual Report on Form 10-K for the fiscal year ended October 31, 2019. The policies described in that report are used for preparing the company's quarterly reports on Form 10-Q.

Impact of COVID-19 Pandemic

In March 2020, the World Health Organization declared the novel coronavirus ("COVID-19") outbreak a global pandemic. The global outbreak of COVID-19 negatively impacted the global economy, disrupted global supply chains, created significant volatility and disruption in financial markets, and resulted in an economic recession. COVID-19 has had a material impact on the company and the future broader implications of the COVID-19 pandemic on the company remain uncertain and will depend on certain future developments, including the duration, scope, and severity of the pandemic; its impact on the company's employees, customers, and suppliers; and the range of government mandated restrictions and other measures. This uncertainty could have a material impact on accounting estimates and assumptions utilized to prepare the Condensed Consolidated Financial Statements in future reporting periods, which could result in a material adverse impact on the company's Consolidated Financial Position, Results of Operations, and Cash Flows.

Accounting Policies and Estimates

In preparing the Condensed Consolidated Financial Statements in conformity with U.S. GAAP, management must make decisions that impact the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures, including disclosures of contingent assets and liabilities. Such decisions include the selection of the appropriate accounting principles to be applied and the assumptions on which to base accounting estimates. Estimates are used in determining, among other items, sales promotion and incentive accruals, incentive compensation accruals, income tax accruals, legal accruals, inventory valuation and reserves, warranty reserves, allowance for doubtful accounts, pension and post-retirement accruals, self-insurance accruals, useful lives for tangible and finite-lived intangible assets, future cash flows associated with impairment testing for goodwill, indefinite-lived intangible assets and other long-lived assets, and valuations of the assets acquired and liabilities assumed in a business combination, when applicable. These estimates and assumptions are based on management’s best estimates and judgments at the time they are made and are generally derived from management's understanding and analysis of the relevant and current circumstances, historical experience, and actuarial and other independent external third-party specialist valuations, when applicable. Management evaluates its estimates and assumptions on an ongoing basis using historical

experience and other factors that management believes to be reasonable under the circumstances, including the economic environment. Management adjusts such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with certainty, including those impacted by the COVID-19 pandemic, actual amounts could differ significantly from those estimated at the time the Condensed Consolidated Financial Statements are prepared.

New Accounting Pronouncements Adopted

In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-02, Leases (Topic 842) ("ASU 2016-02"), which, among other things, requires lessees to recognize most leases on-balance sheet. The standard requires the recognition of right-of-use assets and lease liabilities by lessees for those leases classified as operating leases under legacy accounting guidance at Accounting Standards Codification ("ASC") Topic 840, Leases. The standard also requires a greater level of quantitative and qualitative disclosures regarding the nature of the entity’s leasing activities than were previously required under U.S. GAAP. In January 2018, the FASB issued ASU No. 2018-01, Leases (Topic 842): Land Easement Practical Expedient for Transition to Topic 842, which provides an optional transition practical expedient to not evaluate existing or expired land easements under the amended lease guidance. In July 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842 (Leases), which provides narrow amendments to clarify how to apply certain aspects of the new lease standard. Additionally, in July 2018, the FASB issued ASU No. 2018-11, Leases (Topic 842): Targeted Improvements, which provides an alternative transition method that permits an entity to use the effective date of ASU No. 2016-02 as the date of initial application through the recognition of a cumulative effect adjustment to the opening balance of retained earnings upon adoption. Consequently, an entity's reporting for the comparative periods presented in the financial statements in which it adopts the new lease standard will continue to be in accordance with previous U.S. GAAP under ASC Topic 840, Leases.

ASU No. 2016-02, as augmented by ASU No. 2018-01, ASU No. 2018-10, and ASU No. 2018-11 (the "amended guidance"), was adopted by the company on November 1, 2019, the first quarter of fiscal 2020, under the modified retrospective transition method with no cumulative-effect adjustment to beginning retained earnings within the Condensed Consolidated Balance Sheet as of such date. Under such transition method, the company elected the following practical expedients:

•The transition package of practical expedients, which among other things, allows the company to carryforward the historical lease classification determined under previous U.S. GAAP.

•The transition practical expedient to not reassess the company's accounting for land easements that exist as of the adoption of the amended guidance.

•The short-term lease exemption to not record right-of-use assets and lease liabilities on the Condensed Consolidated Balance Sheet for leases with an initial lease term of 12 months or less, which has resulted in recognizing the lease payments related to such leases within the company's Condensed Consolidated Statements of Earnings on a straight-line basis over the lease term.

The company did not elect the transition practical expedient to use hindsight in determining the lease term and in assessing the impairment of right-of-use assets.

Upon adoption of the amended guidance, the company recorded $78.1 million of right-of-use assets and $77.1 million of corresponding lease liabilities within the Condensed Consolidated Balance Sheet as of November 1, 2019. The adoption of the standard did not have a material impact on the company's Condensed Consolidated Statements of Earnings, Condensed Consolidated Statements of Cash Flows, business processes, internal controls, and information systems. As permitted under the amended guidance, prior period amounts were not restated, but are and will continue to be reported under the legacy accounting guidance that was in effect for the respective prior periods.

In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which amends ASC 718, Compensation - Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. The standard requires that most of the guidance related to stock compensation granted to employees be followed for nonemployees, including the measurement date, valuation approach, and performance conditions. The amended guidance was adopted in the first quarter of fiscal 2020 and did not have a material impact on the company's Condensed Consolidated Financial Statements.

Business Combinations

9 Months Ended

Jul. 31, 2020

Business Combinations [Abstract]

Business Combinations


2			Business Combinations

Venture Products, Inc. ("Venture Products")

On March 2, 2020 ("Venture Products closing date"), pursuant to an Agreement and Plan of Merger ("Venture Products merger agreement") and an agreement to purchase the real property used by Venture Products ("Venture Products purchase agreement") both dated January 20, 2020, the company completed its acquisition of Venture Products, a privately held Ohio

corporation and the manufacturer of Ventrac-branded products. Venture Products designs, manufactures, and markets articulating turf, landscape, and snow and ice management equipment for grounds, landscape contractor, golf, municipal, and rural acreage customers and provides innovative product offerings that broadened and strengthened the company's Professional segment and expanded its dealer network.

The Venture Products transaction was structured as a merger, pursuant to which a wholly-owned subsidiary of the company merged with and into Venture Products, with Venture Products continuing as the surviving entity and a wholly-owned subsidiary of the company. As a result of the merger, all of the outstanding equity securities of Venture Products were canceled and now only represent the right to receive the applicable consideration as described in the Venture Products merger agreement. The Venture Products purchase agreement was with an affiliate of Venture Products and was for the real estate used by Venture Products. As of the Venture Products closing date, the company paid preliminary merger consideration of $165.9 million, which consisted of a cash payment of $136.4 million and a $29.5 million holdback to satisfy any indemnification or certain other obligations of Venture Products to TTC. The preliminary merger consideration was subject to certain customary adjustments based on, among other things, the amount of actual cash, debt, and working capital in the business of Venture Products as of the Venture Products closing date. During the third quarter of fiscal 2020, the company finalized the customary adjustments, which resulted in an aggregate merger consideration of $163.2 million ("Venture Products purchase price"). As a result, $4.5 million of the holdback set aside for such customary adjustments was released accordingly and the remaining holdback of $25.0 million is expected to expire during the company's fourth quarter of fiscal 2021. The company funded the cash payment with borrowings under its existing unsecured senior revolving credit facility. For additional information regarding the company's unsecured senior revolving credit facility utilized to fund the Venture Products purchase price, refer to Note 6, Indebtedness. As a result of the acquisition, the company incurred approximately $0.6 million of acquisition-related transaction costs during the nine month period ended July 31, 2020. No acquisition-related transaction costs were incurred during the three month period ended July 31, 2020. Acquisition-related transaction costs are recorded within selling, general and administrative expense within the Condensed Consolidated Statements of Earnings.

Preliminary Venture Products Purchase Price Allocation

The company accounted for the acquisition in accordance with the accounting standards codification guidance for business combinations, whereby the Venture Products purchase price was allocated to the acquired net tangible and intangible assets of Venture Products based on their fair values as of the Venture Products closing date. As of July 31, 2020, the company has substantially completed its process for measuring the fair values of the assets acquired and liabilities assumed based on information available as of the Venture Products closing date, with the exception of the company's valuation of income taxes as the company requires additional information to finalize its valuation of income taxes. Thus, the preliminary measurements of fair value reflected for income taxes are subject to change as additional information becomes available and as additional analysis is performed. The company expects to finalize its preliminary valuation of income taxes as soon as practicable, but no later than one year from the closing date of the acquisition, as required.

The following table summarizes the allocation of the Venture Products purchase price to the fair values assigned to the Venture Products assets acquired and liabilities assumed. These fair values are based on internal company and independent external third-party valuations and are subject to change as certain asset and liability valuations are finalized:


(Dollars in thousands)	March 2, 2020
Cash and cash equivalents	$	3,476
Receivables	6,342
Inventories	23,000
Prepaid expenses and other current assets	239
Property, plant and equipment	26,976
Goodwill	62,252
Other intangible assets	75,300
Accounts payable	(4,075)
Accrued liabilities	(5,959)
Deferred income tax liabilities	(20,850)
Total fair value of net assets acquired	166,701
Less: cash and cash equivalents acquired	(3,476)
Total Venture Products purchase price	$	163,225

The goodwill recognized is primarily attributable to the value of the workforce, the reputation of Venture Products, expected future cash flows, and expected synergies, including customer and dealer growth opportunities and integrating and expanding existing product lines. Key areas of expected cost synergies include increased purchasing power for commodities, components,

parts, and accessories, and supply chain consolidation. The goodwill resulting from the acquisition of Venture Products was recognized within the company's Professional segment and is the primary driver for the increase in the company's Professional segment goodwill to $412.2 million as of July 31, 2020 from $350.3 million as of October 31, 2019. Goodwill is non-deductible for tax purposes. As permitted under the accounting standards codification guidance for business combinations, the company recorded a $2.9 million decrease to the carrying value of goodwill as of July 31, 2020 as a result of finalizing the Venture Products purchase price for certain customary adjustments. Such purchase accounting adjustment did not impact the company's Consolidated Statements of Earnings for the three and nine month periods ended July 31, 2020.

Other Intangible Assets Acquired

The allocation of the Venture Products purchase price to the net assets acquired resulted in the recognition of $75.3 million of other intangible assets as of the Venture Products closing date. The fair values of the acquired trade name and customer-related intangible assets were determined using the income approach. Under the income approach, an intangible asset's fair value is equal to the present value of future economic benefits to be derived from ownership of the asset. The fair value of the trade name was determined using the relief from royalty method, which is based on the hypothetical royalty stream that would be received if the company were to license the trade name and was based on expected future revenues. The fair value of the customer-related intangible asset was determined using the excess earnings method and was based on the expected operating cash flows attributable to the customer-related intangible asset, which were determined by deducting expected economic costs, including operating expenses and contributory asset charges, from revenue expected to be generated from the customer-related intangible asset. The useful lives of the trade name and customer-related intangible assets were determined based on the period of expected cash flows used to measure the fair value of the respective intangible assets adjusted as appropriate for entity-specific factors including legal, regulatory, contractual, competitive, economic, and/or other factors that may limit the useful life of the respective intangible asset.

The fair values of the other intangible assets acquired on the Venture Products closing date, related accumulated amortization from the Venture Products closing date through July 31, 2020, and weighted-average useful lives in years were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Finite-lived - customer-related	16.0	$	19,100	$	(497)	$	18,603
Indefinite-lived - trade name		56,200		—		56,200
Total other intangible assets, net		$	75,300	$	(497)	$	74,803

Amortization expense for the finite-lived intangible assets resulting from the acquisition of Venture Products for the three and nine month periods ended July 31, 2020 was $0.3 million and $0.5 million, respectively. Estimated amortization expense for the remainder of fiscal 2020 and succeeding fiscal years is as follows: fiscal 2020 (remainder), $0.3 million; fiscal 2021, $1.2 million; fiscal 2022, $1.2 million; fiscal 2023, $1.2 million; fiscal 2024, $1.2 million; fiscal 2025, $1.2 million; and after fiscal 2025, $12.3 million.

Results of Operations

Venture Product's results of operations are included within the company's Professional reportable segment in the company's Condensed Consolidated Financial Statements from the Venture Products closing date. During the three and nine month periods ended July 31, 2020, the company recognized $21.2 million and $32.5 million, respectively, of net sales from Venture Product's operations. Venture Product's operations had an immaterial impact on Professional segment earnings for the three and nine month periods ended July 31, 2020. Unaudited pro forma financial information is not disclosed as the Venture Products acquisition was not considered material to the company's Consolidated Results of Operations.

The Charles Machine Works, Inc.

On April 1, 2019 ("CMW closing date"), pursuant to the Agreement and Plan of Merger dated February 14, 2019 ("CMW merger agreement"), the company completed the acquisition of CMW, a privately held Oklahoma corporation. CMW designs, manufactures, and markets a range of professional products to serve the underground construction market, including horizontal directional drills, walk and ride trenchers, compact utility loaders/skid steers, vacuum excavators, asset locators, pipe rehabilitation solutions, and after-market tools. CMW provides innovative product offerings that broadened and strengthened the company's Professional segment product portfolio and expanded its dealer network, while also providing a complementary geographic manufacturing footprint.

The transaction was structured as a merger, pursuant to which a wholly-owned subsidiary of the company merged with and into CMW, with CMW continuing as the surviving entity and a wholly-owned subsidiary of the company. As a result of the merger, all of the outstanding equity securities of CMW were canceled and now only represent the right to receive the applicable

consideration as described in the CMW merger agreement. At the CMW closing date, the company paid preliminary merger consideration of $679.3 million that was subject to customary adjustments based on, among other things, the amount of actual cash, debt and working capital in the business of CMW at the CMW closing date. During the fourth quarter of fiscal 2019, the company finalized such cash, debt and working capital adjustments and these adjustments resulted in an aggregate merger consideration of $685.0 million ("CMW purchase price"). The company funded the CMW purchase price by using a combination of cash proceeds from the issuance of borrowings under the company's unsecured senior term loan credit agreement and borrowings under the company's unsecured senior revolving credit facility. For additional information regarding the financing agreements utilized to fund the CMW purchase price, refer to Note 6, Indebtedness. As a result of the acquisition, the company incurred approximately $10.2 million of acquisition-related transaction costs, all of which were incurred during the fiscal year ended October 31, 2019 and recorded within selling, general and administrative expense within the Consolidated Statements of Earnings for such fiscal period. During the three and nine month periods ended August 2, 2019, the company recorded acquisition-related transaction costs of $0.5 million and $10.2 million, respectively.

CMW Purchase Price Allocation

The company accounted for the acquisition in accordance with the accounting standards codification guidance for business combinations, whereby the total CMW purchase price was allocated to the acquired net tangible and intangible assets of CMW based on their fair values as of the CMW closing date. These fair values were based on internal company and independent external third-party valuations. The following table summarizes the allocation of the CMW purchase price to the fair values assigned to the CMW assets acquired and liabilities assumed:


(Dollars in thousands)	April 1, 2019
Cash and cash equivalents	$	16,341
Receivables	65,674
Inventories	241,429
Prepaid expenses and other current assets	8,050
Property, plant and equipment	142,779
Goodwill	134,657
Other intangible assets	264,190
Other long-term assets	7,971
Accounts payable	(35,892)
Accrued liabilities	(51,943)
Deferred income tax liabilities	(85,277)
Other long-term liabilities	(6,665)
Total fair value of net assets acquired	701,314
Less: cash and cash equivalents acquired	(16,341)
Total CMW purchase price	$	684,973

The goodwill recognized was primarily attributable to the value of the workforce, the reputation of CMW and its family of brands, customer and dealer growth opportunities, and expected synergies. Key areas of expected cost synergies include increased purchasing power for commodities, components, parts, and accessories, supply chain consolidation, and administrative efficiencies. The goodwill resulting from the acquisition of CMW was recognized within the company's Professional segment. During the second quarter of fiscal 2020, the company completed its valuation of income taxes to finalize the CMW purchase price allocation, which resulted in a decrease to the carrying amount of goodwill of $0.9 million from the amounts reported within the Company's Annual Report on Form 10-K for the fiscal year ended October 31, 2019. Goodwill is mostly non-deductible for tax purposes.

Segment Data

9 Months Ended

Jul. 31, 2020

Segment Reporting [Abstract]

Segment Data


3			Segment Data

The company's businesses are organized, managed, and internally grouped into segments based on similarities in products and services. Segment selection is based on the manner in which management organizes segments for making operating and investment decisions and assessing performance. The company has identified eleven operating segments and has aggregated certain of those segments into two reportable segments: Professional and Residential. The aggregation of the company's segments is based on the segments having the following similarities: economic characteristics, types of products and services, types of production processes, type or class of customers, and method of distribution. The company's remaining activities are presented as "Other" due to their insignificance. These Other activities consist of the company's wholly-owned domestic distribution companies, the company's corporate activities, and the elimination of intersegment revenues and expenses.

The following tables present summarized financial information concerning the company’s reportable segments and Other activities:


(Dollars in thousands)
Three Months Ended July 31, 2020	Professional		Residential		Other		Total
Net sales	$	623,615	$	204,961	$	12,396	$	840,972
Intersegment gross sales (eliminations)	12,738		23		(12,761)		—
Earnings (loss) before income taxes	$	113,652	$	28,545	$	(31,204)	$	110,993


(Dollars in thousands)
Nine Months Ended July 31, 2020	Professional		Residential		Other		Total
Net sales	$	1,879,423	$	632,807	$	25,623	$	2,537,853
Intersegment gross sales (eliminations)	38,151		84		(38,235)		—
Earnings (loss) before income taxes	322,385		87,233		(91,115)		318,503
Total assets	$	1,967,882	$	268,562	$	577,419	$	2,813,863


(Dollars in thousands)
Three Months Ended August 2, 2019	Professional		Residential		Other		Total
Net sales	$	676,756	$	148,234	$	13,723	$	838,713
Intersegment gross sales (eliminations)	13,779		78		(13,857)		—
Earnings (loss) before income taxes	$	81,592	$	16,151	$	(26,508)	$	71,235


(Dollars in thousands)
Nine Months Ended August 2, 2019	Professional		Residential		Other		Total
Net sales	$	1,855,268	$	525,539	$	22,898	$	2,403,705
Intersegment gross sales (eliminations)	51,104		257		(51,361)		—
Earnings (loss) before income taxes	319,689		51,253		(92,507)		278,435
Total assets	$	1,784,707	$	218,528	$	306,498	$	2,309,733

The following table presents the details of operating loss before income taxes for the company's Other activities:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Corporate expenses	$	(29,078)	$	(26,287)	$	(76,961)	$	(88,958)
Interest expense	(8,304)		(9,004)		(25,119)		(20,440)
Earnings from wholly-owned domestic distribution companies and other income, net	6,178		8,783		10,965		16,891
Total operating loss	$	(31,204)	$	(26,508)	$	(91,115)	$	(92,507)

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Revenue

9 Months Ended

Jul. 31, 2020

Revenue from Contract with Customer [Abstract]

Revenue


4			Revenue

The company enters into contracts with its customers for the sale of products or rendering of services in the ordinary course of business. A contract with commercial substance exists at the time the company receives and accepts a purchase order under a sales contract with a customer. The company recognizes revenue when, or as, performance obligations under the terms of a contract with its customer are satisfied, which occurs with the transfer of control of product or services. Control is typically transferred to the customer at the time a product is shipped, or in the case of certain agreements, when a product is delivered or as services are rendered. Revenue is recognized based on the transaction price, which is measured as the amount of consideration the company expects to receive in exchange for transferring product or rendering services pursuant to the terms of the contract with a customer. The amount of consideration the company receives and the revenue the company recognizes varies with changes in sales promotions and incentives offered to customers, as well as anticipated product returns. A provision is made at the time revenue is recognized as a reduction of the transaction price for expected product returns, rebates, floor plan costs, and other sales promotion and incentive expenses. If a contract contains more than one performance obligation, the transaction price is allocated to each performance obligation based on the relative standalone selling price of the respective promised good or service. The company does not recognize revenue in situations where collectability from the customer is not

probable, and defers the recognition of revenue until collection is probable or payment is received and performance obligations are satisfied.

Freight and shipping revenue billed to customers concurrent with revenue producing activities is included within revenue and the cost for freight and shipping is recognized as an expense within cost of sales when control has transferred to the customer. Shipping and handling activities that occur after control of the related products is transferred are treated as a fulfillment activity rather than a promised service, and therefore, are not considered a performance obligation. Sales, use, value-added, and other excise taxes the company collects concurrent with revenue producing activities are excluded from revenue. Incremental costs of obtaining a contract for which the performance obligations will be satisfied within the next twelve months are expensed as incurred. Incidental items, including goods or services, that are immaterial in the context of the contract are recognized as expense when incurred. Additionally, the company has elected not to disclose the balance of unfulfilled performance obligations for contracts with a contractual term of twelve months or less.

The following tables disaggregate the company's reportable segment net sales by major product type and geographic market (in thousands):


Three Months Ended July 31, 2020	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	525,285	$	199,012	$	7,029	$	731,326
Irrigation	98,330		5,949		5,367		109,646
Total net sales	$	623,615	$	204,961	$	12,396	$	840,972

Revenue by geographic market:
United States	$	500,828	$	177,734	$	12,396	$	690,958
Foreign Countries	122,787		27,227		—		150,014
Total net sales	$	623,615	$	204,961	$	12,396	$	840,972


Nine Months Ended July 31, 2020	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	1,618,337	$	608,870	$	16,389	$	2,243,596
Irrigation	261,086		23,937		9,234		294,257
Total net sales	$	1,879,423	$	632,807	$	25,623	$	2,537,853

Revenue by geographic market:
United States	$	1,464,393	$	539,836	$	25,623	$	2,029,852
Foreign Countries	415,030		92,971		—		508,001
Total net sales	$	1,879,423	$	632,807	$	25,623	$	2,537,853


Three Months Ended August 2, 2019	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	582,932	$	143,814	$	8,983	$	735,729
Irrigation	93,824		4,420		4,740		102,984
Total net sales	$	676,756	$	148,234	$	13,723	$	838,713

Revenue by geographic market:
United States	$	515,437	$	122,843	$	13,723	$	652,003
Foreign Countries	161,319		25,391		—		186,710
Total net sales	$	676,756	$	148,234	$	13,723	$	838,713


Nine Months Ended August 2, 2019	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	1,588,581	$	502,780	$	13,613	$	2,104,974
Irrigation	266,687		22,759		9,285		298,731
Total net sales	$	1,855,268	$	525,539	$	22,898	$	2,403,705

Revenue by geographic market:
United States	$	1,409,954	$	423,521	$	22,898	$	1,856,373
Foreign Countries	445,314		102,018		—		547,332
Total net sales	$	1,855,268	$	525,539	$	22,898	$	2,403,705

Contract Liabilities

Contract liabilities relate to deferred revenue recognized for cash consideration received at contract inception in advance of the company's performance under the respective contract and generally relate to the sale of separately priced extended warranty contracts, service contracts, and non-refundable customer deposits. The company recognizes revenue over the term of the contract in proportion to the costs expected to be incurred in satisfying the performance obligations under the separately priced extended warranty and service contracts. For non-refundable customer deposits, the company recognizes revenue as of the point in time in which the performance obligation has been satisfied under the contract with the customer, which typically occurs upon change in control at the time a product is shipped. As of July 31, 2020 and October 31, 2019, $20.8 million and $22.0 million, respectively, of deferred revenue associated with outstanding separately priced extended warranty contracts, service contracts, and non-refundable customer deposits was reported within accrued liabilities and other long-term liabilities in the Condensed Consolidated Balance Sheets. For the three and nine months ended July 31, 2020, the company recognized $2.3 million and $8.7 million, respectively, of the October 31, 2019 deferred revenue balance within net sales in the Condensed Consolidated Statements of Earnings. The company expects to recognize approximately $1.9 million of the October 31, 2019 deferred revenue amount within net sales throughout the remainder of fiscal 2020, $6.4 million in fiscal 2021, and $5.0 million thereafter.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Goodwill and Other Intangible Assets, Net

9 Months Ended

Jul. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets, Net


5			Goodwill and Other Intangible Assets, Net

The company's acquisition of Venture Products on March 2, 2020 resulted in the recognition of $62.3 million and $75.3 million of preliminary goodwill and other intangible assets, respectively. For additional information on the company's acquisition of Venture Products, refer to Note 2, Business Combinations.

Goodwill

The changes in the carrying amount of goodwill by reportable segment for the first nine months of fiscal 2020 were as follows:


(Dollars in thousands)	Professional		Residential		Other		Total
Balance as of October 31, 2019	$	350,250	$	10,469	$	1,534	$	362,253
Goodwill acquired	62,252		—		—		62,252
Purchase price allocation adjustment	(866)		—		—		(866)
Translation adjustments	560		29		—		589
Balance as of July 31, 2020	$	412,196	$	10,498	$	1,534	$	424,228

Other Intangible Assets, Net

The components of other intangible assets, net as of July 31, 2020 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,232	$	(13,697)	$	4,535
Non-compete agreements	5.5	6,871		(6,804)		67
Customer-related	18.2	239,661		(44,368)		195,293
Developed technology	7.6	51,999		(34,232)		17,767
Trade names	15.3	7,540		(2,453)		5,087
Backlog and other	0.6	4,390		(4,390)		—
Total finite-lived	15.5	328,693		(105,944)		222,749
Indefinite-lived - trade names		190,521		—		190,521
Total other intangible assets, net		$	519,214	$	(105,944)	$	413,270

The components of other intangible assets, net as of August 2, 2019 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,242	$	(12,916)	$	5,326
Non-compete agreements	5.5	6,879		(6,792)		87
Customer-related	18.3	195,223		(29,479)		165,744
Developed technology	7.6	50,279		(30,203)		20,076
Trade names	15.5	7,590		(2,004)		5,586
Backlog and other	0.6	7,380		(5,187)		2,193
Total finite-lived	15.0	285,593		(86,581)		199,012
Indefinite-lived - trade names		120,874		—		120,874
Total other intangible assets, net		$	406,467	$	(86,581)	$	319,886

The components of other intangible assets, net as of October 31, 2019 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,230	$	(13,102)	$	5,128
Non-compete agreements	5.5	6,868		(6,786)		82
Customer-related	18.4	220,390		(33,547)		186,843
Developed technology	7.6	51,911		(31,289)		20,622
Trade names	15.4	7,496		(2,109)		5,387
Backlog and other	0.6	4,390		(4,390)		—
Total finite-lived	15.5	309,285		(91,223)		218,062
Indefinite-lived - trade names		134,312		—		134,312
Total other intangible assets, net		$	443,597	$	(91,223)	$	352,374

Amortization expense for finite-lived intangible assets during the third quarter of fiscal 2020 and fiscal 2019 was $5.0 million and $7.4 million, respectively. Amortization expense for finite-lived intangible assets during the first nine months of fiscal 2020 and 2019 was $14.6 million and $12.9 million, respectively. Estimated amortization expense for the remainder of fiscal 2020 and succeeding fiscal years is as follows: fiscal 2020 (remainder), $4.9 million; fiscal 2021, $19.5 million; fiscal 2022, $18.3 million; fiscal 2023, $16.5 million; fiscal 2024, $15.5 million; fiscal 2025, $13.9 million; and after fiscal 2025, $134.1 million.

Indebtedness

9 Months Ended

Jul. 31, 2020

Debt Disclosure [Abstract]

Indebtedness


6			Indebtedness

The following is a summary of the company's indebtedness:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Revolving credit facility	$	—	$	—	$	—
$200 million term loan	100,000		100,000		100,000
$300 million term loan	180,000		200,000		180,000
$190 million term loan	190,000		—		—
3.81% series A senior notes	100,000		100,000		100,000
3.91% series B senior notes	100,000		100,000		100,000
7.800% debentures	100,000		100,000		100,000
6.625% senior notes	123,962		123,900		123,916
Less: unamortized discounts, debt issuance costs, and deferred charges	3,057		3,219		3,103
Total long-term debt	890,905		720,681		700,813
Less: current portion of long-term debt	108,869		99,877		79,914
Long-term debt, less current portion	$	782,036	$	620,804	$	620,899

Principal payments required on the company's outstanding indebtedness, based on the maturity dates defined within the company's debt arrangements, for the remainder of fiscal 2020 and succeeding five fiscal years are as follows: fiscal 2020 (remainder), $0.0 million; fiscal 2021, $28.5 million; fiscal 2022, $161.3 million; fiscal 2023, $127.2 million; fiscal 2024, $153.0 million; fiscal 2025, $0.0 million; and after fiscal 2025, $425.0 million.

Revolving Credit Facility

The company has an unsecured senior five-year revolving credit facility with a borrowing capacity of $600.0 million that expires in June 2023. Included in the company's $600.0 million revolving credit facility is a $10.0 million sublimit for standby letters of credit and a $30.0 million sublimit for swingline loans. At the company's election, and with the approval of the named borrowers on the revolving credit facility and the election of the lenders to fund such increase, the aggregate maximum principal amount available under the facility may be increased by an amount up to $300.0 million. Funds are available under the revolving credit facility for working capital, capital expenditures, and other lawful corporate purposes, including, but not limited to, acquisitions and common stock repurchases, subject in each case to compliance with certain financial covenants described below. In connection with the entry into the revolving credit facility during June 2018, the company incurred approximately $1.9 million of debt issuance costs, which are being amortized over the life of the revolving credit facility under the straight-line method as the results obtained are not materially different from those that would result from the use of the effective interest method. The company classifies the debt issuance costs related to its revolving credit facility within other assets on the Condensed Consolidated Balance Sheets, regardless of whether the company has any outstanding borrowings on the revolving credit facility.

As of July 31, 2020, the company had no borrowings under the revolving credit facility, but did have $2.0 million outstanding under the sublimit for standby letters of credit, which resulted in $598.0 million of unutilized availability under the revolving credit facility. As of August 2, 2019, the company had no borrowings under the revolving credit facility, $1.9 million outstanding under the sublimit for standby letters of credit, and $598.1 million of unutilized availability under the revolving credit facility. As of October 31, 2019, the company had no borrowings under the revolving credit facility but did have $1.9 million outstanding under the sublimit for standby letters of credit, which resulted in $598.1 million of unutilized availability under the revolving credit facility. Typically, the company's revolving credit facility is classified as long-term debt within the company's Condensed Consolidated Balance Sheets as the company has the ability to extend the outstanding borrowings under the revolving credit facility for the full-term of the facility. However, if the company intends to repay a portion of the outstanding balance under the revolving credit facility within the next twelve months, the company reclassifies that portion of outstanding borrowings under the revolving credit facility to current portion of long-term debt within the Condensed Consolidated Balance Sheets. As of July 31, 2020, August 2, 2019, and October 31, 2019, no outstanding borrowings under the company's revolving credit facility were classified as current portion of long-term debt within the Condensed Consolidated Balance Sheets.

The company's revolving credit facility contains customary covenants, including, without limitation, financial covenants, such as the maintenance of minimum interest coverage and maximum leverage ratios; and negative covenants, which among other

things, limit disposition of assets, consolidations and mergers, restricted payments, liens, and other matters customarily restricted in such agreements. Most of these restrictions are subject to certain minimum thresholds and exceptions. The company was in compliance with all covenants related to the credit agreement for the company's revolving credit facility as of July 31, 2020, August 2, 2019, and October 31, 2019.

Outstanding loans under the revolving credit facility, if applicable, other than swingline loans, bear interest at a variable rate generally based on LIBOR or an alternative variable rate based on the highest of the Bank of America prime rate, the federal funds rate or a rate generally based on LIBOR, in each case subject to an additional basis point spread as defined in the credit agreement. Swingline loans under the revolving credit facility bear interest at a rate determined by the swingline lender or an alternative variable rate based on the highest of the Bank of America prime rate, the federal funds rate or a rate generally based on LIBOR, in each case subject to an additional basis point spread as defined in the credit agreement. Interest is payable quarterly in arrears. For the three month period ended July 31, 2020, no interest expense was incurred on the company's revolving credit facility as the company did not have outstanding borrowings during such period. For the nine month period ended July 31, 2020, the company incurred interest expense of approximately $0.8 million under the revolving credit facility. For the three and nine month periods ended August 2, 2019, the company incurred interest expense of approximately $0.2 million and $1.9 million, respectively, under the revolving credit facility.

$500.0 Million Term Loan Credit Agreement

In March 2019, the company entered into a term loan credit agreement with a syndicate of financial institutions for the purpose of partially funding the purchase price of the company's acquisition of CMW and the related fees and expenses incurred in connection with such acquisition. The term loan credit agreement provided for a $200.0 million three year unsecured senior term loan facility maturing on April 1, 2022 and a $300.0 million five year unsecured senior term loan facility maturing on April 1, 2024 (collectively, the "$500.0 million term loan"). The funds under the $500.0 million term loan were received on April 1, 2019 in connection with the closing of the company's acquisition of CMW. There are no scheduled principal amortization payments prior to maturity on the $200.0 million three year unsecured senior term loan facility. For the $300.0 million five year unsecured senior term loan facility, the company is required to make quarterly principal amortization payments of 2.5 percent of the original aggregate principal balance reduced by any applicable prepayments beginning with the last business day of the thirteenth calendar quarter ending after April 1, 2019, with the remainder of the unpaid principal balance due at maturity. No principal payments are required during the first three and one-quarter (3.25) years of the $300.0 million five year unsecured senior term loan facility. The term loan facilities may be prepaid and terminated at the company's election at any time without penalty or premium.

As of July 31, 2020, the company had prepaid $100.0 million and $120.0 million against the outstanding principal balances of the $200.0 million three year unsecured senior term loan facility and $300.0 million five year unsecured senior term loan facility, respectively. Thus, as of July 31, 2020, there were $100.0 million and $180.0 million of outstanding borrowings under the $500.0 million term loan for the $200.0 million three year unsecured senior term loan facility and the $300.0 million five year unsecured senior term loan facility, respectively.

In connection with the company's entry into the $500.0 million term loan in March 2019, the company incurred approximately $0.6 million of debt issuance costs, which are being amortized over the life of the respective term loans under the straight-line method as the results obtained are not materially different from those that would result from the use of the effective interest method. Unamortized deferred debt issuance costs are netted against the outstanding borrowings under the $500.0 million term loan on the company's Condensed Consolidated Balance Sheets.

The $500.0 million term loan contains customary covenants, including, without limitation, financial covenants generally consistent with those applicable under the company's revolving credit facility, such as the maintenance of minimum interest coverage and maximum leverage ratios; and negative covenants, which among other things, limit disposition of assets, consolidations and mergers, restricted payments, liens, and other matters customarily restricted in such agreements. Most of these restrictions are subject to certain minimum thresholds and exceptions. The company was in compliance with all covenants related to the company's $500.0 million term loan as of July 31, 2020. Outstanding borrowings under the $500.0 million term loan bear interest at a variable rate based on LIBOR or an alternative variable rate, subject to an additional basis point spread as defined in the $500.0 million loan credit agreement. Interest is payable quarterly in arrears. For the three and nine month periods ended July 31, 2020, the company incurred interest expense of approximately $0.9 million and $4.3 million, respectively, on the outstanding borrowings under the $500.0 million term loan. For the three and nine month periods ended August 2, 2019, the company incurred interest expense of approximately $3.7 million and $5.3 million, respectively, on the outstanding borrowings under the $500.0 million term loan.

$190.0 Million Term Loan Credit Agreement

On March 30, 2020, the company entered into a term loan credit agreement ("$190.0 million term loan") with certain financial institutions for the purpose of refinancing certain of its outstanding borrowings incurred in connection with the company's acquisition of Venture Products on March 2, 2020, as well as a precautionary measure to increase the company's liquidity and

preserve financial flexibility in light of the current uncertainty in the global financial and commercial markets as a result of COVID-19. The $190.0 million term loan provided for a $190.0 million three year unsecured senior term loan facility maturing on June 19, 2023. In connection with the company's entry into the $190.0 million term loan, the company incurred immaterial debt issuance costs, which are being deferred and amortized over the life of the $190.0 million term loan and are netted against the outstanding borrowings under the $190.0 million term loan on the company's Condensed Consolidated Balance Sheets.

Beginning with the last business day of March 2021, the company is required to make quarterly amortization payments on the $190.0 million term loan equal to 5.0% for the first four payments and 7.5% thereafter of the original aggregate principal amount reduced by any applicable prepayments. The $190.0 million term loan may be prepaid and terminated at the company's election at any time without penalty or premium. Amounts repaid or prepaid may not be reborrowed. As of July 31, 2020, there was $190.0 million of outstanding borrowings under the $190.0 million term loan and the company has reclassified $108.9 million of the remaining outstanding principal balance under the $190.0 million term loan, net of the related proportionate share of deferred debt issuance costs, to current portion of long-term debt within the Condensed Consolidated Balance Sheets. As of July 31, 2020, approximately $19.0 million of the $108.9 million that has been reclassified to current portion of long-term debt within the Condensed Consolidated Balance Sheets represents required quarterly amortization payments due within the next twelve months and the remaining $89.9 million represents the amount the company intends to prepay utilizing anticipated cash flows from operations within the next twelve months.

The $190.0 million term loan contains customary covenants, including, without limitation, financial covenants generally consistent with those applicable under the company's revolving credit facility, such as the maintenance of minimum interest coverage and maximum leverage ratios; and negative covenants, which among other things, limit disposition of assets, consolidations and mergers, restricted payments, liens, and other matters customarily restricted in such agreements. Most of these restrictions are subject to certain minimum thresholds and exceptions. The company was in compliance with all covenants related to the $190.0 million term loan as of July 31, 2020. Outstanding borrowings under the $190.0 million term loan bear interest at a variable rate based on LIBOR or an alternative variable rate with a minimum rate of 0.75 percent, subject to an additional basis point spread as defined in the term credit loan agreement. Interest is payable quarterly in arrears. For the three and nine month periods ended July 31, 2020, the company incurred interest expense of approximately $1.1 million and $1.5 million on the outstanding borrowings under the $190.0 million term loan.

3.81% Series A and 3.91% Series B Senior Notes

On April 30, 2019, the company entered into a private placement note purchase agreement with certain purchasers ("holders") pursuant to which the company agreed to issue and sell an aggregate principal amount of $100.0 million of 3.81% Series A Senior Notes due June 15, 2029 ("Series A Senior Notes") and $100.0 million of 3.91% Series B Senior Notes due June 15, 2031 ("Series B Senior Notes" and together with the Series A Senior Notes, the "Senior Notes"). On June 27, 2019, the company issued $100.0 million of the Series A Senior Notes and $100.0 million of the Series B Senior Notes pursuant to the private placement note purchase agreement. The Senior Notes are senior unsecured obligations of the company.

The company has the right to prepay all or a portion of either series of the Senior Notes in an amount equal to not less than 10.0 percent of the principal amount of the Senior Notes then outstanding upon notice to the holders of the series of Senior Notes being prepaid for 100.0 percent of the principal amount prepaid, plus a make-whole premium, as set forth in the private placement note purchase agreement, plus accrued and unpaid interest, if any, to the date of prepayment. In addition, at any time on or after the date that is 90 days prior to the maturity date of the respective series, the company has the right to prepay all of the outstanding Senior Notes of such series for 100.0 percent of the principal amount so prepaid, plus accrued and unpaid interest, if any, to the date of prepayment. Upon the occurrence of certain change of control events, the company is required to prepay all of the Senior Notes for the principal amount thereof plus accrued and unpaid interest, if any, to the date of prepayment.

The private placement note purchase agreement contains customary representations and warranties of the company, as well as certain customary covenants, including, without limitation, financial covenants, such as the maintenance of minimum interest coverage and maximum leverage ratios, and other covenants, which, among other things, provide limitations on transactions with affiliates, mergers, consolidations and sales of assets, liens and priority debt. The company was in compliance with all representations, warranties, and covenants related to the private placement note purchase agreement as of July 31, 2020.

In connection with the company's issuance of the Senior Notes in June 2019, the company incurred approximately $0.7 million of debt issuance costs, which are being amortized over the life of the respective Senior Notes under the straight-line method as the results obtained are not materially different from those that would result from the use of the effective interest method. Unamortized deferred debt issuance costs are netted against the outstanding borrowings under the respective Senior Notes on the company's Condensed Consolidated Balance Sheets.

Interest on the Senior Notes is payable semiannually on the 15th day of June and December in each year. For the three and nine month periods ended July 31, 2020, the company incurred interest expense of approximately $1.9 million and $5.8 million, respectively, on the outstanding borrowings under the private placement note purchase agreement relating to the Senior Notes.

For the three and nine month periods ended August 2, 2019, the company incurred interest expense of approximately $0.8 million on the outstanding borrowings under the private placement note purchase agreement relating to the Senior Notes. No principal is due on the Senior Notes prior to their stated due dates.

7.8% Debentures

In June 1997, the company issued $175.0 million of debt securities consisting of $75.0 million of 7.125 percent coupon 10-year notes and $100.0 million of 7.8 percent coupon 30-year debentures. The $75.0 million of 7.125 percent coupon 10-year notes were repaid at maturity during fiscal 2007. In connection with the issuance of $175.0 million in long-term debt securities, the company paid $23.7 million to terminate three forward-starting interest rate swap agreements with notional amounts totaling $125.0 million. These swap agreements had been entered into to reduce exposure to interest rate risk prior to the issuance of the new long-term debt securities. As of the inception of one of the swap agreements, the company had received payments that were recorded as deferred income to be recognized as an adjustment to interest expense over the term of the new debt securities. As of the date the swaps were terminated, this deferred income totaled $18.7 million. The excess termination fees over the deferred income recorded was deferred and is being recognized as an adjustment to interest expense over the term of the debt securities issued. Interest on the debentures is payable semiannually on the 15th day of June and December in each year. For the three and nine month periods ended July 31, 2020 and August 2, 2019, the company incurred interest expense of approximately $2.0 million and $6.0 million, respectively.

6.625% Senior Notes

On April 26, 2007, the company issued $125.0 million in aggregate principal amount of 6.625 percent senior notes due May 1, 2037 and priced at 98.513 percent of par value. The resulting discount of $1.9 million and the underwriting fee and direct debt issuance costs of $1.5 million associated with the issuance of these senior notes are being amortized over the term of the notes using the straight-line method as the results obtained are not materially different from those that would result from the use of the effective interest method. Although the coupon rate of the senior notes is 6.625 percent, the effective interest rate is 6.741 percent after taking into account the issuance discount. The senior notes are unsecured senior obligations of the company and rank equally with the company's other unsecured and unsubordinated indebtedness. The indentures under which the senior notes were issued contain customary covenants and event of default provisions. The company may redeem some or all of the senior notes at any time at the greater of the full principal amount of the senior notes being redeemed or the present value of the remaining scheduled payments of principal and interest discounted to the redemption date on a semi-annual basis at the treasury rate plus 30 basis points, plus, in both cases, accrued and unpaid interest. In the event of the occurrence of both (i) a change of control of the company, and (ii) a downgrade of the notes below an investment grade rating by both Moody's Investors Service, Inc. and Standard & Poor's Ratings Services within a specified period, the company would be required to make an offer to purchase the senior notes at a price equal to 101 percent of the principal amount of the senior notes plus accrued and unpaid interest to the date of repurchase. Interest on the senior notes is payable semiannually on the 1st day of May and November in each year. For the three and nine month periods ended July 31, 2020 and August 2, 2019, the company incurred interest expense of approximately $2.1 million and $6.3 million, respectively.

Management Actions

9 Months Ended

Jul. 31, 2020

Discontinued Operations and Disposal Groups [Abstract]

Management Actions


7			Management Actions

On August 1, 2019, during the company's fiscal 2019 third quarter, the company announced a plan to wind down its Toro-branded large directional drill and riding trencher product categories within its Professional segment product portfolio ("Toro underground wind down"). As of July 31, 2020, the company continues to expect to incur total pretax charges of approximately $10.0 million to $11.0 million related to the Toro underground wind down. The majority of such charges have already been incurred and substantially all remaining anticipated costs are expected to be incurred by the end of fiscal 2020. For the nine month period ended July 31, 2020, the company incurred $0.9 million of pre-tax charges related to inventory write-downs to net realizable value. No pre-tax charges were incurred during the three month period ended July 31, 2020 related to the Toro underground wind down. For the three and nine month periods ended August 2, 2019, the company recorded $7.2 million of pre-tax charges related to inventory write-downs to net realizable value and accelerated depreciation on fixed assets no longer used within cost of sales in the Condensed Consolidated Statements of Earnings as a result of the Toro underground wind down. Additionally, the company recorded $1.9 million of pre-tax charges related to anticipated inventory retail support activities within net sales in the Condensed Consolidated Statements of Earnings for the three and nine month periods ended August 2, 2019. As of July 31, 2020, the company had a remaining accrual balance of $0.9 million related to the anticipated inventory retail support activities within accrued liabilities in the Condensed Consolidated Balance Sheet. The remainder of the estimated pre-tax charges are anticipated to be primarily comprised of costs related to the write-down of future component parts inventory purchases to finalize assembly of the company's remaining Toro-branded large directional drill and riding trencher inventory.

Inventories

9 Months Ended

Jul. 31, 2020

Inventory Disclosure [Abstract]

Inventories


8			Inventories

Inventories are valued at the lower of cost or net realizable value, with cost determined by the first-in, first-out ("FIFO") method for a majority of the company's inventories and the last-in, first-out ("LIFO") and average cost methods for all other inventories. The company establishes a reserve for excess, slow-moving, and obsolete inventory that is equal to the difference between the cost and estimated net realizable value for that inventory. These reserves are based on a review and comparison of current inventory levels to planned production, as well as planned and historical sales of the inventory.

On March 2, 2020, with the acquisition of Venture Products, the company acquired $23.0 million of inventory based on fair value purchase accounting adjustments. For additional information on the company's acquisition of Venture Products, refer to Note 2, Business Combinations.

Inventories were as follows:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Raw materials and work in process	$	197,439	$	174,348	$	179,967
Finished goods and service parts	540,840		518,465		553,767
Total FIFO value	738,279		692,813		733,734
Less: adjustment to LIFO value	82,071		72,201		82,071
Total inventories, net	$	656,208	$	620,612	$	651,663

Property and Depreciation

9 Months Ended

Jul. 31, 2020

Property, Plant and Equipment [Abstract]

Property and Depreciation


9			Property and Depreciation

Property, plant, and equipment assets are carried at cost less accumulated depreciation. The company provides for depreciation of property, plant, and equipment utilizing the straight-line method over the estimated useful lives of the assets. Buildings, land improvements, and leasehold improvements are generally depreciated over 10 to 40 years, machinery and equipment are generally depreciated over two to 15 years, tooling is generally depreciated over three to five years, and computer hardware and software and website development costs are generally depreciated over two to five years. Expenditures for major renewals and improvements, which substantially increase the useful lives of existing assets, are capitalized, and expenditures for general maintenance and repairs are charged to operating expenses as incurred. Interest is capitalized during the construction period for significant capital projects.

On March 2, 2020, with the acquisition of Venture Products, the company acquired $27.0 million of property, plant, and equipment based on fair value purchase accounting adjustments. For additional information on the company's acquisition of Venture Products, refer to Note 2, Business Combinations.

Property, plant and equipment was as follows:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Land and land improvements	$	56,257	$	55,786	$	55,613
Buildings and leasehold improvements	289,484		259,928		276,556
Machinery and equipment	474,519		420,262		453,314
Tooling	218,851		224,230		226,870
Computer hardware and software	95,891		91,577		94,409
Construction in process	77,227		70,367		34,937
Property, plant, and equipment, gross	1,212,229		1,122,150		1,141,699
Less: accumulated depreciation	754,338		695,735		704,382
Property, plant, and equipment, net	$	457,891	$	426,415	$	437,317

Warranty Guarantees

9 Months Ended

Jul. 31, 2020

Product Warranties Disclosures [Abstract]

Warranty Guarantees


10			Warranty Guarantees

The company’s products are warranted to provide assurance that the product will function as expected and to ensure customer confidence in design, workmanship, and overall quality. Warranty coverage is generally provided for specified periods of time and on select products’ hours of usage, and generally covers parts, labor, and other expenses for non-maintenance repairs. Warranty coverage generally does not cover operator abuse or improper use. An authorized company distributor or dealer must perform warranty work. Distributors and dealers submit claims for warranty reimbursement and are credited for the cost of repairs, labor, and other expenses as long as the repairs meet the company's prescribed standards. Service support outside of the warranty period is provided by authorized distributors and dealers at the customer's expense. In addition to the standard warranties offered by the company on its products, the company also sells separately priced extended warranty coverage on select products for a prescribed period after the original warranty period expires.

The company recognizes expense and provides an accrual for estimated future warranty costs at the time of sale and also establishes accruals for major rework campaigns. Warranty accruals are based primarily on the estimated number of products under warranty, historical average costs incurred to service warranty claims, the trend in the historical ratio of claims to sales, and the historical length of time between the sale and resulting warranty claim. The company periodically assesses the adequacy of its warranty accruals based on changes in these factors and records any necessary adjustments if actual claims experience indicates that adjustments are necessary. For additional information on the contract liabilities associated with the company's separately priced extended warranties, refer to Note 4, Revenue.

The changes in accrued warranties were as follows:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Beginning balance	$	102,884	$	95,752	$	96,604	$	76,214
Provisions	15,186		14,232		46,289		42,734
Acquisitions	—		—		2,557		14,272
Claims	(16,800)		(17,514)		(48,430)		(39,685)
Changes in estimates	226		2,096		4,476		1,031
Ending balance	$	101,496	$	94,566	$	101,496	$	94,566

Investment in Finance Affiliate

9 Months Ended

Jul. 31, 2020

Equity Method Investments and Joint Ventures [Abstract]

Investment in Finance Affiliate


11			Investment in Finance Affiliate

In fiscal 2009, the company and TCF Inventory Finance, Inc. ("TCFIF"), a subsidiary of TCF National Bank, established the Red Iron joint venture ("Red Iron") to primarily provide inventory financing to certain distributors and dealers of certain of the company’s products in the U.S. Under such joint venture, the company owns 45 percent of Red Iron and TCFIF owns 55 percent of Red Iron. Under a separate agreement, TCF Commercial Finance Canada, Inc. ("TCFCFC") provides inventory financing to dealers of the company's products in Canada. On December 20, 2019, during the first quarter of fiscal 2020, the company amended certain agreements pertaining to the Red Iron joint venture. The purpose of these amendments was, among other things, to: (i) adjust certain rates under the floor plan financing rate structure charged to the company’s distributors and dealers participating in financing arrangements through the Red Iron joint venture; (ii) extend the term of the Red Iron joint venture from October 31, 2024 to October 31, 2026, subject to two-year extensions thereafter unless either the company or TCFIF provides written notice to the other party of non-renewal at least one year prior to the end of the then-current term; (iii) amend certain exclusivity-related provisions, including the definition of the company's products that are subject to exclusivity, inclusion of a two-year review period by the company for products acquired in future acquisitions to assess, without a commitment to exclusivity, the potential benefits and detriments of including such acquired products under the Red Iron financing arrangement, and the pro-rata payback over a five-year period of the exclusivity incentive payment the company received from TCFIF in 2016; (iv) extend the maturity date of the revolving credit facility used by Red Iron primarily to finance the acquisition of inventory from the company by its distributors and dealers from October 31, 2024 to October 31, 2026 and to increase the amount available under such revolving credit facility from $550 million to $625 million; and (v) memorialize certain other non-material amendments.

The company accounts for its investment in Red Iron under the equity method of accounting. The company and TCFIF each contributed a specified amount of the estimated cash required to enable Red Iron to purchase the company’s inventory financing receivables and to provide financial support for Red Iron’s inventory financing programs. Red Iron borrows the remaining requisite estimated cash utilizing a $625.0 million secured revolving credit facility established under a credit agreement between Red Iron and TCFIF. The company’s total investment in Red Iron as of July 31, 2020, August 2, 2019, and October 31,

2019 was $22.6 million, $25.1 million, and $24.1 million, respectively. The company has not guaranteed the outstanding indebtedness of Red Iron.

Under the financing agreement between Red Iron and the company, Red Iron provides financing for certain dealers and distributors. These transactions are structured as an advance in the form of a payment by Red Iron to the company on behalf of a distributor or dealer with respect to invoices financed by Red Iron. These payments extinguish the obligation of the dealer or distributor to make payment to the company under the terms of the applicable invoice. The company has also entered into a limited inventory repurchase agreement with Red Iron and TCFCFC. Under such limited inventory repurchase agreement, the company has agreed to repurchase products repossessed by Red Iron and TCFCFC, up to a maximum aggregate amount of $7.5 million in a calendar year. The company's financial exposure under this limited inventory repurchase agreement is limited to the difference between the amount paid to Red Iron and TCFCFC for repurchases of repossessed product and the amount received upon the subsequent resale of the repossessed product. The company has repurchased immaterial amounts of inventory under this limited inventory repurchase agreement for the nine months ended July 31, 2020 and August 2, 2019.

Under separate agreements between Red Iron and the dealers and distributors, Red Iron provides loans to the dealers and distributors for the advances paid by Red Iron to the company. The net amount of receivables financed for dealers and distributors under this arrangement for the nine months ended July 31, 2020 and August 2, 2019 were $1,374.3 million and $1,513.3 million, respectively. As of July 31, 2020, Red Iron’s total assets were $457.2 million and total liabilities were $407.0 million. The total amount of receivables due from Red Iron to the company as of July 31, 2020, August 2, 2019, and October 31, 2019 were $21.0 million, $32.5 million and $21.7 million, respectively.

Stock-Based Compensation

9 Months Ended

Jul. 31, 2020

Share-based Payment Arrangement [Abstract]

Stock-Based Compensation


12			Stock-Based Compensation

Compensation costs related to stock-based awards were as follows:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Unrestricted common stock awards	$	—	$	—	$	693	$	592
Stock option awards	2,483		1,678		6,577		4,841
Performance share awards	1,665		666		327		2,483
Restricted stock unit awards	807		890		2,725		2,342
Total compensation cost for stock-based awards	$	4,955	$	3,234	$	10,322	$	10,258

Unrestricted Common Stock Awards

During the first nine months of fiscal years 2020 and 2019, 8,920 and 10,090 shares, respectively, of fully vested unrestricted common stock awards were granted to certain members of the company's Board of Directors as a component of their compensation for their service on the Board of Directors and are recorded in selling, general and administrative expense in the Condensed Consolidated Statements of Earnings. No shares of fully vested unrestricted common stock awards were granted during the third quarter of fiscal years 2020 and 2019.

Stock Option Awards

Under The Toro Company Amended and Restated 2010 Equity and Incentive Plan, as amended and restated (the "2010 plan"), stock options are granted with an exercise price equal to the closing price of the company’s common stock on the date of grant, as reported by the New York Stock Exchange. Options are generally granted to executive officers, other employees, and non-employee members of the company’s Board of Directors on an annual basis in the first quarter of the company’s fiscal year. Options generally vest one-third each year over a three-year period and have a ten-year term. Other options granted to certain employees vest in full on the three-year anniversary of the date of grant and have a ten-year term. Compensation cost equal to the grant date fair value is generally recognized for these awards over the vesting period. Stock options granted to executive officers and other employees are subject to accelerated vesting if the option holder meets the retirement definition set forth in the 2010 plan. In that case, the fair value of the options is expensed in the fiscal year of grant because generally, if the option holder is employed as of the end of the fiscal year in which the options are granted, such options will not be forfeited but continue to vest according to their schedule following retirement. Similarly, if a non-employee director has served on the company’s Board of Directors for ten full fiscal years or more, the awards vest immediately upon retirement, and therefore, the fair value of the options granted is fully expensed on the date of the grant.

The fair value of each stock option is estimated on the date of grant using the Black-Scholes valuation method. The expected life is a significant assumption as it determines the period for which the risk-free interest rate, stock price volatility, and dividend yield must be applied. The expected life is the average length of time in which executive officers, other employees, and non-employee directors are expected to exercise their stock options, which is primarily based on historical exercise

experience. The company groups executive officers and non-employee directors for valuation purposes based on similar historical exercise behavior. Expected stock price volatilities are based on the daily movement of the company’s common stock over the most recent historical period equivalent to the expected life of the option. The risk-free interest rate for periods within the contractual life of the option is based on the U.S. Treasury rate over the expected life at the time of grant. Dividend yield is estimated over the expected life based on the company’s historical cash dividends paid, expected future cash dividends and dividend yield, and expected changes in the company’s stock price.

The table below illustrates the weighted-average valuation assumptions for options granted in the first nine months of the following fiscal periods:


	Fiscal 2020	Fiscal 2019
Expected life of option in years	6.31	6.31
Expected stock price volatility	19.53%	19.83%
Risk-free interest rate	1.73%	2.77%
Expected dividend yield	0.99%	1.18%
Per share weighted-average fair value at date of grant	$15.23	$12.83

Performance Share Awards

Under the 2010 plan, the company grants performance share awards to executive officers and other employees under which they are entitled to receive shares of the company’s common stock contingent on the achievement of performance goals of the company and businesses of the company, which are generally measured over a three-year period. The number of shares of common stock a participant receives can be increased (up to 200 percent of target levels) or reduced (down to zero) based on the level of achievement of performance goals and will vest at the end of a three-year period. Performance share awards are generally granted on an annual basis in the first quarter of the company’s fiscal year. Compensation cost is recognized for these awards on a straight-line basis over the vesting period based on the per share fair value as of the date of grant and the probability of achieving each performance goal. The per share weighted-average fair value of performance share awards granted during the first quarter of fiscal 2020 and 2019 was $77.33 and $59.58, respectively. No performance share awards were granted during the second or third quarters of fiscal 2020 and 2019.

Restricted Stock Unit Awards

Under the 2010 plan, restricted stock unit awards are generally granted to certain employees that are not executive officers. Occasionally, restricted stock unit awards may be granted, including to executive officers, in connection with hiring, mid-year promotions, leadership transition, or retention. Restricted stock unit awards generally vest one-third each year over a three-year period, or vest in full on the three-year anniversary of the date of grant. Such awards may have performance-based rather than time-based vesting requirements. Compensation cost equal to the grant date fair value, which is equal to the closing price of the company’s common stock on the date of grant multiplied by the number of shares subject to the restricted stock unit awards, is recognized for these awards over the vesting period. The per share weighted-average fair value of restricted stock unit awards granted during the first nine months of fiscal 2020 and 2019 was $74.43 and $66.00, respectively.

Stockholders' Equity

9 Months Ended

Jul. 31, 2020

Stockholders' Equity Note [Abstract]

Stockholders' Equity


13			Stockholders' Equity

Accumulated Other Comprehensive Loss

The components of accumulated other comprehensive loss ("AOCL"), net of tax, within the Condensed Consolidated Statements of Stockholders' Equity were as follows:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Foreign currency translation adjustments	$	22,905	$	33,862	$	31,025
Pension and post-retirement benefits	3,949		561		4,861
Cash flow derivative instruments	7,722		(7,755)		(3,837)
Total accumulated other comprehensive loss	$	34,576	$	26,668	$	32,049

The components and activity of AOCL, net of tax, for the three and nine month periods ended July 31, 2020 and August 2, 2019 were as follows:


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of May 1, 2020	$	36,916	$	3,949	$	(7,163)	$	33,702
Other comprehensive (income) loss before reclassifications	(14,011)		—		16,838		2,827
Amounts reclassified from AOCL	—		—		(1,953)		(1,953)
Net current period other comprehensive (income) loss	(14,011)		—		14,885		874
Balance as of July 31, 2020	$	22,905	$	3,949	$	7,722	$	34,576


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of October 31, 2019	$	31,025	$	4,861	$	(3,837)	$	32,049
Other comprehensive (income) loss before reclassifications	(8,120)		—		17,529		9,409
Amounts reclassified from AOCL	—		(912)		(5,970)		(6,882)
Net current period other comprehensive (income) loss	(8,120)		(912)		11,559		2,527
Balance as of July 31, 2020	$	22,905	$	3,949	$	7,722	$	34,576


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of May 3, 2019	$	30,047	$	561	$	(5,492)	$	25,116
Other comprehensive (income) loss before reclassifications	3,815		—		(773)		3,042
Amounts reclassified from AOCL	—		—		(1,490)		(1,490)
Net current period other comprehensive (income) loss	3,815		—		(2,263)		1,552

Balance as of August 2, 2019	$	33,862	$	561	$	(7,755)	$	26,668


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of October 31, 2018	$	29,711	$	561	$	(6,335)	$	23,937
Other comprehensive loss before reclassifications	4,151		—		2,905		7,056
Amounts reclassified from AOCL	—		—		(4,325)		(4,325)
Net current period other comprehensive (income) loss	4,151		—		(1,420)		2,731
Balance as of August 2, 2019	$	33,862	$	561	$	(7,755)	$	26,668

For additional information on the components reclassified from AOCL to the respective line items within net earnings for the company's cash flow hedging derivative instruments, refer to Note 17, Derivative Instruments and Hedging Activities.

Per Share Data

9 Months Ended

Jul. 31, 2020

Earnings Per Share [Abstract]

Per Share Data


14			Per Share Data

Reconciliations of basic and diluted weighted-average shares of common stock outstanding were as follows:


	Three Months Ended			Nine Months Ended
(Shares in thousands)	July 31, 2020	August 2, 2019	July 31, 2020	August 2, 2019
Basic
Weighted-average number of shares of common stock	107,710	107,005	107,547	106,630
Assumed issuance of contingent shares	—	—	14	14
Weighted-average number of shares of common stock and assumed issuance of contingent shares	107,710	107,005	107,561	106,644

Diluted
Weighted-average number of shares of common stock and assumed issuance of contingent shares	107,710	107,005	107,561	106,644
Effect of dilutive securities	833	1,248	1,008	1,380
Weighted-average number of shares of common stock, assumed issuance of contingent shares, and effect of dilutive securities	108,543	108,253	108,569	108,024

Incremental shares from options and restricted stock units are computed under the treasury stock method. Options to purchase 635,002 and 378,850 shares of common stock during the third quarter of fiscal 2020 and 2019, respectively, were excluded from diluted net earnings per share because they were anti-dilutive. Options to purchase 493,723 and 865,648 shares of common stock during the first nine months of fiscal 2020 and 2019, respectively, were excluded from diluted net earnings per share because they were anti-dilutive.

Contingencies

9 Months Ended

Jul. 31, 2020

Loss Contingency [Abstract]

Contingencies


15			Contingencies

Litigation

The company is party to litigation in the ordinary course of business. Such matters are generally subject to uncertainties and to outcomes that are not predictable with assurance and that may not be known for extended periods of time. Litigation occasionally involves claims for punitive, as well as compensatory damages arising out of the use of the company’s products. Although the company is self-insured to some extent, the company maintains insurance against certain product liability losses. The company is also subject to litigation and administrative and judicial proceedings with respect to claims involving asbestos and the discharge of hazardous substances into the environment. Some of these claims assert damages and liability for personal injury, remedial investigations or clean up and other costs and damages. The company is also typically involved in commercial disputes, employment disputes, and patent litigation cases in which it is asserting or defending against patent infringement claims. To prevent possible infringement of the company’s patents by others, the company periodically reviews competitors’ products. To avoid potential liability with respect to others’ patents, the company regularly reviews certain patents issued by the U.S. Patent and Trademark Office and foreign patent offices. Management believes these activities help minimize its risk of being a defendant in patent infringement litigation. The company is currently involved in patent litigation cases, including cases by or against competitors, where it is asserting and defending against claims of patent infringement. Such cases are at varying stages in the litigation process.

The company records a liability in its Condensed Consolidated Financial Statements for costs related to claims, including future legal costs, settlements and judgments, where the company has assessed that a loss is probable and an amount can be reasonably estimated. If the reasonable estimate of a probable loss is a range, the company records the most probable estimate of the loss or the minimum amount when no amount within the range is a better estimate than any other amount. The company discloses a contingent liability even if the liability is not probable or the amount is not estimable, or both, if there is a reasonable possibility that a material loss may have been incurred. In the opinion of management, the amount of liability, if any, with respect to these matters, individually or in the aggregate, will not materially affect its Consolidated Results of Operations, Financial Position, or Cash Flows.

Leases

9 Months Ended

Jul. 31, 2020

Leases [Abstract]

Leases

The company enters into contracts that are, or contain, operating lease agreements for certain property, plant, or equipment assets in the normal course of business, such as buildings for manufacturing facilities, office space, distribution centers, and warehouse facilities; land for product testing sites; machinery and equipment for research and development activities, manufacturing and assembly processes, and administrative tasks; and vehicles for sales, service, marketing, and distribution activities. Contracts that explicitly or implicitly relate to property, plant, and equipment are assessed at inception to determine if the contract is, or contains, a lease. Such contracts for operating lease agreements convey the company's right to direct the use of, and obtain substantially all of the economic benefits from, an identified asset for a defined period of time in exchange for consideration.

The lease term begins and is determined upon lease commencement, which is the point in time when the company takes possession of the identified asset, and includes all non-cancelable periods. The lease term may also include options to extend or terminate the lease when it is reasonably certain that such options will be exercised after considering all relevant economic and financial factors. Options to extend or terminate a lease are generally exercisable at the company's sole discretion, subject to any required minimum notification period and/or other contractual terms as defined within the respective lease agreement, as applicable. The company's renewal options generally range from extended terms of two to ten years. Certain leases also include options to purchase the identified asset. Lease expense for the company's operating leases is recognized on a straight-line basis over the lease term and is recorded within cost of sales or selling, general and administrative expense within the Condensed Consolidated Statements of Earnings as dictated by the nature and use of the underlying asset. The company does not recognize right-of-use assets and lease liabilities, but does recognize expense on a straight-line basis, for short-term operating leases which have a lease term of 12 months or less and do not include an option to purchase the underlying asset.

Lease payments are determined at lease commencement and represent fixed lease payments as defined within the respective lease agreement or, in the case of certain lease agreements, variable lease payments that are measured as of the lease commencement date based on the prevailing index or market rate. Future adjustments to variable lease payments are defined and scheduled within the respective lease agreement and are determined based upon the prevailing market or index rate at the time of the adjustment relative to the market or index rate determined at lease commencement. Certain other lease agreements contain variable lease payments that are determined based upon actual utilization of the identified asset. Such future adjustments to variable lease payments and variable lease payments based upon actual utilization of the identified asset are not included within the determination of lease payments at commencement but rather, are recorded as variable lease expense in the period in which the variable lease cost is incurred. Additionally, the company's operating leases generally do not include material residual value guarantees. The company has operating leases with both lease components and non-lease components. For all underlying asset classes, the company accounts for lease components separately from non-lease components based on the relative market value of each component. Non-lease components typically consist of common area maintenance, utilities, and/or other repairs and maintenance services. The costs related to non-lease components are not included within the determination of lease payments at commencement.

Right-of-use assets represent the company's right to use an underlying asset throughout the lease term and lease liabilities represent the company's obligation to make lease payments arising from the lease agreement. The company accounts for operating lease liabilities at lease commencement and on an ongoing basis as the present value of the minimum remaining lease payments under the respective lease term. Minimum remaining lease payments are discounted to present value based on the rate implicit in the operating lease agreement or the estimated incremental borrowing rate at lease commencement if the rate implicit in the lease is not readily determinable. Generally, the estimated incremental borrowing rate is used as the rate implicit in the lease is not readily determinable. The estimated incremental borrowing rate represents the rate of interest that the company would have to pay to borrow on a general and unsecured collateralized basis over a similar term, an amount equal to the lease payments in a similar economic environment. The company determines the estimated incremental borrowing rate at lease commencement based on available information at such time, including lease term, lease currency, and geographical market. Right-of-use assets are measured as the amount of the corresponding operating lease liability for the respective operating lease agreement, adjusted for prepaid or accrued lease payments, the remaining balance of any lease incentives received, unamortized initial direct costs, and impairment of the operating lease right-of-use asset, as applicable.

The following table presents the lease expense incurred on the company’s operating, short-term, and variable leases:


	Three Months Ended		Nine Months Ended
(Dollars in thousands)	July 31, 2020		July 31, 2020
Operating lease expense	$	4,036	$	14,253
Short-term lease expense	876		2,204
Variable lease expense	20		116
Total lease expense	$	4,932	$	16,573

The following table presents supplemental cash flow information related to the company's operating leases:


	Three Months Ended		Nine Months Ended
(Dollars in thousands)	July 31, 2020		July 31, 2020
Operating cash flows for amounts included in the measurement of lease liabilities	$	3,683	$	13,949
Right-of-use assets obtained in exchange for lease obligations	$	1,656	$	18,698

The following table presents other lease information related to the company's operating leases as of July 31, 2020:


(Dollars in thousands)	July 31, 2020
Weighted-average remaining lease term of operating leases in years	7.2
Weighted-average discount rate of operating leases	2.80	%

The following table reconciles the total undiscounted future cash flows based on the anticipated future minimum operating lease payments by fiscal year for the company's operating leases to the present value of operating lease liabilities recorded within the Condensed Consolidated Balance Sheets as of July 31, 2020:


(Dollars in thousands)	July 31, 2020
2020 (remaining)	$	24,574
2021	17,822
2022	15,172
2023	12,102
2024	10,787
Thereafter	33,468
Total future minimum operating lease payments	113,925
Less: imputed interest	28,991
Present value of operating lease liabilities	$	84,934

The following table presents future minimum operating lease payments by respective fiscal year for non-cancelable operating leases under the legacy lease accounting guidance at ASC Topic 840, Leases, as of October 31, 2019:


(Dollars in thousands)	October 31, 2019
2020	$	17,135
2021	15,764
2022	12,806
2023	9,772
2024	8,863
Thereafter	18,732
Total future minimum lease payments	$	83,072

Derivative Instruments and Hedging Activities

9 Months Ended

Jul. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities


17			Derivative Instruments and Hedging Activities

Risk Management Objective of Using Derivatives

The company is exposed to foreign currency exchange rate risk arising from transactions in the normal course of business, such as sales to third-party customers, sales and loans to wholly-owned foreign subsidiaries, foreign plant operations, and purchases from suppliers. The company’s primary currency exchange rate exposures are with the Euro, the Australian dollar, the Canadian dollar, the British pound, the Mexican peso, the Japanese yen, the Chinese Renminbi, and the Romanian New Leu against the U.S. dollar, as well as the Romanian New Leu against the Euro.

To reduce its exposure to foreign currency exchange rate risk, the company actively manages the exposure of its foreign currency exchange rate risk by entering into various derivative instruments to hedge against such risk, authorized under company policies that place controls on these hedging activities, with counterparties that are highly rated financial institutions. The company’s policy does not allow the use of derivative instruments for trading or speculative purposes. The company has also made an accounting policy election to use the portfolio exception with respect to measuring counterparty credit risk for derivative instruments and to measure the fair value of a portfolio of financial assets and financial liabilities on the basis of the net open risk position with each counterparty.

The company’s hedging activities primarily involve the use of forward currency contracts to hedge most foreign currency transactions, including forecasted sales and purchases denominated in foreign currencies. The company uses derivative instruments only in an attempt to limit underlying exposure from foreign currency exchange rate fluctuations and to minimize earnings and cash flow volatility associated with foreign currency exchange rate fluctuations. Decisions on whether to use such derivative instruments are primarily based on the amount of exposure to the currency involved and an assessment of the near-term market value for each currency.

The company recognizes all derivative instruments at fair value on the Condensed Consolidated Balance Sheets as either assets or liabilities. The accounting for changes in the fair value of a derivative instrument depends on whether it has been designated and qualifies as a cash flow hedging instrument.

Cash Flow Hedging Instruments

The company formally documents relationships between cash flow hedging instruments and the related hedged transactions, as well as its risk management objective and strategy for undertaking cash flow hedging instruments. This process includes linking all cash flow hedging instruments to the forecasted transactions, such as sales to third parties and costs associated with foreign plant operations, including purchases from suppliers. At the cash flow hedge’s inception and on an ongoing basis, the company formally assesses whether the cash flow hedging instruments have been highly effective in offsetting changes in the cash flows of the hedged transactions and whether those cash flow hedging instruments may be expected to remain highly effective in future periods.

Changes in the fair values of the spot rate component of outstanding, highly effective cash flow hedging instruments included in the assessment of hedge effectiveness are recorded in other comprehensive income within AOCL on the Condensed Consolidated Balance Sheets and are subsequently reclassified to net earnings within the Condensed Consolidated Statements of Earnings during the same period in which the cash flows of the underlying hedged transaction affect net earnings. Changes in the fair values of hedge components excluded from the assessment of effectiveness are recognized immediately in net earnings under the mark-to-market approach. The classification of gains or losses recognized on cash flow hedging instruments and excluded components within the Condensed Consolidated Statements of Earnings is the same as that of the underlying exposure. Results of cash flow hedging instruments, and the related excluded components, of sales and costs associated with foreign plant operations, including purchases from suppliers, are recorded in net sales and cost of sales, respectively. The maximum amount of time the company hedges its exposure to the variability in future cash flows for forecasted trade sales and purchases is two years. Results of cash flow hedges of intercompany loans are recorded in other income, net as an offset to the remeasurement of the foreign loan balance.

When it is determined that a derivative instrument is not, or has ceased to be, highly effective as a cash flow hedge, the company discontinues cash flow hedge accounting prospectively. The gain or loss on the dedesignated derivative instrument remains in AOCL and is reclassified to net earnings within the same Condensed Consolidated Statements of Earnings line item as the underlying exposure when the forecasted transaction affects net earnings. When the company discontinues cash flow hedge accounting because it is no longer probable, but it is still reasonably possible that the forecasted transaction will occur by the end of the originally expected period or within an additional two-month period of time thereafter, the gain or loss on the derivative instrument remains in AOCL and is reclassified to net earnings within the same Condensed Consolidated Statements of Earnings line item as the underlying exposure when the forecasted transaction affects net earnings. However, if it is probable that a forecasted transaction will not occur by the end of the originally specified time period or within an additional two-month period of time thereafter, the gains and losses that were in AOCL are immediately recognized in net earnings within other

income, net in the Condensed Consolidated Statements of Earnings. In all situations in which cash flow hedge accounting is discontinued and the derivative instrument remains outstanding, the company carries the derivative instrument at its fair value on the Condensed Consolidated Balance Sheets, recognizing future changes in the fair value within other income, net in the Condensed Consolidated Statements of Earnings.

As of July 31, 2020, the notional amount outstanding of forward contracts designated as cash flow hedging instruments was $265.0 million.

Derivatives Not Designated as Cash Flow Hedging Instruments

The company also enters into foreign currency contracts that include forward currency contracts to mitigate the remeasurement of specific assets and liabilities on the Condensed Consolidated Balance Sheets. These contracts are not designated as cash flow hedging instruments. Accordingly, changes in the fair value of hedges of recorded balance sheet positions, such as cash, receivables, payables, intercompany notes, and other various contractual claims to pay or receive foreign currencies other than the functional currency, are recognized immediately in other income, net, on the Condensed Consolidated Statements of Earnings together with the transaction gain or loss from the hedged balance sheet position.

The following table presents the fair value and location of the company’s derivative instruments on the Condensed Consolidated Balance Sheets:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Derivative assets:
Derivatives designated as cash flow hedging instruments:
Prepaid expenses and other current assets
Forward currency contracts	$	(645)	$	12,511	$	8,642
Derivatives not designated as cash flow hedging instruments:
Prepaid expenses and other current assets
Forward currency contracts	753		3,920		2,256
Total assets	$	108	$	16,431	$	10,898

Derivative liabilities:
Derivatives designated as cash flow hedging instruments:
Accrued liabilities
Forward currency contracts	$	5,248	$	—	$	—
Derivatives not designated as cash flow hedging instruments:
Accrued liabilities
Forward currency contracts	849		—		9
Total liabilities	$	6,097	$	—	$	9

The company entered into an International Swap Dealers Association ("ISDA") Master Agreement with each counterparty that permits the net settlement of amounts owed under their respective contracts. The ISDA Master Agreement is an industry standardized contract that governs all derivative contracts entered into between the company and the respective counterparty. Under these master netting agreements, net settlement generally permits the company or the counterparty to determine the net amount payable or receivable for contracts due on the same date or in the same currency for similar types of derivative transactions. The company records the fair value of its derivative instruments at the net amount on its Condensed Consolidated Balance Sheets.

The following table presents the effects of the master netting arrangements on the fair value of the company’s derivative instruments that are recorded on the Condensed Consolidated Balance Sheets:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Derivative assets:
Forward currency contracts:
Gross amounts of recognized assets	$	1,116	$	16,496	$	11,056
Gross liabilities offset in the Condensed Consolidated Balance Sheets	(1,008)		(65)		(158)
Net amounts of assets presented in the Condensed Consolidated Balance Sheets	$	108	$	16,431	$	10,898

Derivative liabilities:
Forward currency contracts:
Gross amounts of recognized liabilities	$	(6,465)	$	—	$	(9)
Gross assets offset in the Condensed Consolidated Balance Sheets	368		—		—
Net amounts of liabilities presented in the Condensed Consolidated Balance Sheets	$	(6,097)	$	—	$	(9)

The following tables present the impact and location of the amounts reclassified from AOCL into net earnings on the Condensed Consolidated Statements of Earnings and the impact of derivative instruments on the Condensed Consolidated Statements of Comprehensive Income for the company's derivatives designated as cash flow hedging instruments for the three and nine months ended July 31, 2020 and August 2, 2019:


	Three Months Ended
	Gain Reclassified from AOCL into Earnings						Gain (Loss) Recognized in OCI on Derivatives
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Net sales	$	1,795	$	1,350	$	(13,501)	$	2,022
Cost of sales	158		140		(1,384)		241
Total derivatives designated as cash flow hedging instruments	$	1,953	$	1,490	$	(14,885)	$	2,263


	Nine Months Ended
	Gain Reclassified from AOCL into Earnings						Gain (Loss) Recognized in OCI on Derivatives
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Net sales	$	5,272	$	3,828	$	(10,396)	$	1,307
Cost of sales	698		497		(1,163)		113
Total derivatives designated as cash flow hedging instruments	$	5,970	$	4,325	$	(11,559)	$	1,420

For the third quarter and first nine months of fiscal 2020, the company recognized approximately $0.6 million and $0.1 million of losses within other income, net on the Condensed Consolidated Statements of Earnings due to the discontinuance of cash flow hedge accounting on certain forward currency contracts designated as cash flow hedging instruments as a result of the COVID-19 pandemic and its anticipated impact on the probability of realizing hedged forecasted transactions. For the third quarter and first nine months of fiscal 2019, the company did not discontinue cash flow hedge accounting on any forward currency contracts designated as cash flow hedging instruments. As of July 31, 2020, the company expects to reclassify approximately $6.1 million of losses from AOCL to earnings during the next twelve months.

The following tables present the impact and location of derivative instruments on the Condensed Consolidated Statements of Earnings for the company’s derivatives designated as cash flow hedging instruments and the related components excluded from effectiveness testing:


	Gain Recognized in Earnings on Cash Flow Hedging Instruments
(Dollars in thousands)	July 31, 2020						August 2, 2019
Three Months Ended	Net Sales		Cost of Sales		Net Sales		Cost of Sales
Condensed Consolidated Statements of Earnings income (expense) amounts in which the effects of cash flow hedging instruments are recorded	$	840,972	$	(546,398)	$	838,713	$	(572,732)
Gain on derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Amount of gain reclassified from AOCL into earnings	1,795		158		1,350		140
Gain on components excluded from effectiveness testing recognized in earnings based on changes in fair value	$	191	$	86	$	1,262	$	18


	Gain Recognized in Earnings on Cash Flow Hedging Instruments
(Dollars in thousands)	July 31, 2020						August 2, 2019
Nine Months Ended	Net Sales		Cost of Sales		Net Sales		Cost of Sales
Condensed Consolidated Statements of Earnings income (expense) amounts in which the effects of cash flow hedging instruments are recorded	$	2,537,853	$	(1,648,474)	$	2,403,705	$	(1,600,809)
Gain on derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Amount of gain reclassified from AOCL into earnings	5,272		698		3,828		497
Gain on components excluded from effectiveness testing recognized in earnings based on changes in fair value	$	3,183	$	231	$	3,579	$	34

The following table presents the impact and location of derivative instruments on the Condensed Consolidated Statements of Earnings for the company’s derivatives not designated as cash flow hedging instruments:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Gain (loss) on derivatives not designated as cash flow hedging instruments
Forward currency contracts:
Other income, net	$	(7,093)	$	(555)	$	(5,316)	$	172
Total gain (loss) on derivatives not designated as cash flow hedging instruments	$	(7,093)	$	(555)	$	(5,316)	$	172

Fair Value Measurements

9 Months Ended

Jul. 31, 2020

Fair Value Disclosures [Abstract]

Fair Value Measurements


18			Fair Value Measurements

The company categorizes its assets and liabilities into one of three levels based on the assumptions (inputs) used in valuing the asset or liability. Estimates of fair value for financial assets and financial liabilities are based on the framework established in the accounting guidance for fair value measurements. The framework defines fair value, provides guidance for measuring fair value, and requires certain disclosures. The framework discusses valuation techniques such as the market approach (comparable market prices), the income approach (present value of future income or cash flows), and the cost approach (cost to replace the service capacity of an asset or replacement cost). The framework utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. Level 1 provides the most reliable measure of fair value, while Level 3 generally requires significant management judgment. The three levels are defined as follows:

Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2: Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3: Unobservable inputs reflecting management’s assumptions about the inputs used in pricing the asset or liability.

Recurring Fair Value Measurements

The company's derivative instruments consist of forward currency contracts that are measured at fair value on a recurring basis. The fair value of such forward currency contracts is determined based on observable market transactions of forward currency prices and spot currency rates as of the reporting date. There were no transfers between the levels of the fair value hierarchy during the three and nine month periods ended July 31, 2020 and August 2, 2019, or the twelve months ended October 31, 2019.

The following tables present, by level within the fair value hierarchy, the company's financial assets and liabilities that are measured at fair value on a recurring basis as of July 31, 2020, August 2, 2019, and October 31, 2019, according to the valuation technique utilized to determine their fair values:


(Dollars in thousands)			Fair Value Measurements Using Inputs Considered as:
July 31, 2020	Fair Value		Level 1		Level 2		Level 3
Assets:
Forward currency contracts	$	108	$	—	$	108	$	—
Total assets	$	108	$	—	$	108	$	—

Liabilities:
Forward currency contracts	$	6,097	$	—	$	6,097	$	—
Total liabilities	$	6,097	$	—	$	6,097	$	—


(Dollars in thousands)			Fair Value Measurements Using Inputs Considered as:
August 2, 2019	Fair Value		Level 1		Level 2		Level 3
Assets:
Forward currency contracts	$	16,431	$	—	$	16,431	$	—
Total assets	$	16,431	$	—	$	16,431	$	—


(Dollars in thousands)			Fair Value Measurements Using Inputs Considered as:
October 31, 2019	Fair Value		Level 1		Level 2		Level 3
Assets:
Forward currency contracts	$	10,898	$	—	$	10,898	$	—
Total assets	$	10,898	$	—	$	10,898	$	—

Liabilities:
Forward currency contracts	$	9	$	—	$	9	$	—
Total liabilities	$	9	$	—	$	9	$	—

Nonrecurring Fair Value Measurements

The company measures certain assets and liabilities at fair value on a nonrecurring basis. Assets and liabilities that are measured at fair value on a nonrecurring basis include long-lived assets, goodwill, and indefinite-lived intangible assets, which would generally be recorded at fair value as a result of an impairment charge. Assets acquired and liabilities assumed as part of business combinations are measured at fair value. For additional information on the company's business combinations and the related nonrecurring fair value measurement of the assets acquired and liabilities assumed, refer to Note 2, Business Combinations.

Other Fair Value Disclosures

The carrying amounts of the company's short-term financial instruments, including cash and cash equivalents, accounts receivable, accounts payable, and short-term debt, including current maturities of long-term debt, when applicable, approximate their fair values due to their short-term nature.

As of July 31, 2020 and October 31, 2019, the company's long-term debt included $424.0 million and $423.9 million, respectively, of gross fixed-rate debt that is not subject to variable interest rate fluctuations. The gross fair value of such long-term debt is determined using Level 2 inputs by discounting the projected cash flows based on quoted market rates at which similar amounts of debt could currently be borrowed. As of July 31, 2020, the estimated gross fair value of long-term debt with fixed interest rates was $500.4 million compared to its gross carrying amount of $424.0 million. As of October 31, 2019, the estimated gross fair value of long-term debt with fixed interest rates was $493.8 million compared to its gross carrying amount of $423.9 million.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Subsequent Events

9 Months Ended

Jul. 31, 2020

Subsequent Events [Abstract]

Subsequent Events


19			Subsequent Events

The company has evaluated all subsequent events and concluded that no subsequent events have occurred that would require recognition in the Condensed Consolidated Financial Statements or disclosure in the Notes to the Condensed Consolidated Financial Statements.

Basis of Presentation (Policies)	9 Months Ended
Basis of Presentation (Policies)	Jul. 31, 2020
Accounting Policies [Abstract]
Basis of Presentation	The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and notes required by United States ("U.S.") generally accepted accounting principles ("GAAP") for complete financial statements. Unless the context indicates otherwise, the terms "company," "TTC," "we," "our," or "us" refer to The Toro Company and its consolidated subsidiaries. All intercompany accounts and transactions have been eliminated from the unaudited Condensed Consolidated Financial Statements.In the opinion of management, the unaudited Condensed Consolidated Financial Statements include all adjustments, consisting primarily of recurring accruals, considered necessary for the fair presentation of the company's Consolidated Financial Position, Results of Operations, and Cash Flows for the periods presented.
Fiscal Period	The company’s fiscal year ends on October 31, and quarterly results are reported based on three-month periods that generally end on the Friday closest to the quarter end. For comparative purposes, however, the company’s second and third quarters always include exactly 13 weeks of results so that the quarter end date for these two quarters is not necessarily the Friday closest to the calendar month end.
Accounting Policies and Estimates	In preparing the Condensed Consolidated Financial Statements in conformity with U.S. GAAP, management must make decisions that impact the reported amounts of assets, liabilities, revenues, expenses, and the related disclosures, including disclosures of contingent assets and liabilities. Such decisions include the selection of the appropriate accounting principles to be applied and the assumptions on which to base accounting estimates. Estimates are used in determining, among other items, sales promotion and incentive accruals, incentive compensation accruals, income tax accruals, legal accruals, inventory valuation and reserves, warranty reserves, allowance for doubtful accounts, pension and post-retirement accruals, self-insurance accruals, useful lives for tangible and finite-lived intangible assets, future cash flows associated with impairment testing for goodwill, indefinite-lived intangible assets and other long-lived assets, and valuations of the assets acquired and liabilities assumed in a business combination, when applicable. These estimates and assumptions are based on management’s best estimates and judgments at the time they are made and are generally derived from management's understanding and analysis of the relevant and current circumstances, historical experience, and actuarial and other independent external third-party specialist valuations, when applicable. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors that management believes to be reasonable under the circumstances, including the economic environment. Management adjusts such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with certainty, including those impacted by the COVID-19 pandemic, actual amounts could differ significantly from those estimated at the time the Condensed Consolidated Financial Statements are prepared.
New Accounting Pronouncements Adopted	In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-02, Leases (Topic 842) ("ASU 2016-02"), which, among other things, requires lessees to recognize most leases on-balance sheet. The standard requires the recognition of right-of-use assets and lease liabilities by lessees for those leases classified as operating leases under legacy accounting guidance at Accounting Standards Codification ("ASC") Topic 840, Leases. The standard also requires a greater level of quantitative and qualitative disclosures regarding the nature of the entity’s leasing activities than were previously required under U.S. GAAP. In January 2018, the FASB issued ASU No. 2018-01, Leases (Topic 842): Land Easement Practical Expedient for Transition to Topic 842, which provides an optional transition practical expedient to not evaluate existing or expired land easements under the amended lease guidance. In July 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842 (Leases), which provides narrow amendments to clarify how to apply certain aspects of the new lease standard. Additionally, in July 2018, the FASB issued ASU No. 2018-11, Leases (Topic 842): Targeted Improvements, which provides an alternative transition method that permits an entity to use the effective date of ASU No. 2016-02 as the date of initial application through the recognition of a cumulative effect adjustment to the opening balance of retained earnings upon adoption. Consequently, an entity's reporting for the comparative periods presented in the financial statements in which it adopts the new lease standard will continue to be in accordance with previous U.S. GAAP under ASC Topic 840, Leases. ASU No. 2016-02, as augmented by ASU No. 2018-01, ASU No. 2018-10, and ASU No. 2018-11 (the "amended guidance"), was adopted by the company on November 1, 2019, the first quarter of fiscal 2020, under the modified retrospective transition method with no cumulative-effect adjustment to beginning retained earnings within the Condensed Consolidated Balance Sheet as of such date. Under such transition method, the company elected the following practical expedients: •The transition package of practical expedients, which among other things, allows the company to carryforward the historical lease classification determined under previous U.S. GAAP. •The transition practical expedient to not reassess the company's accounting for land easements that exist as of the adoption of the amended guidance. •The short-term lease exemption to not record right-of-use assets and lease liabilities on the Condensed Consolidated Balance Sheet for leases with an initial lease term of 12 months or less, which has resulted in recognizing the lease payments related to such leases within the company's Condensed Consolidated Statements of Earnings on a straight-line basis over the lease term. The company did not elect the transition practical expedient to use hindsight in determining the lease term and in assessing the impairment of right-of-use assets. Upon adoption of the amended guidance, the company recorded $78.1 million of right-of-use assets and $77.1 million of corresponding lease liabilities within the Condensed Consolidated Balance Sheet as of November 1, 2019. The adoption of the standard did not have a material impact on the company's Condensed Consolidated Statements of Earnings, Condensed Consolidated Statements of Cash Flows, business processes, internal controls, and information systems. As permitted under the amended guidance, prior period amounts were not restated, but are and will continue to be reported under the legacy accounting guidance that was in effect for the respective prior periods. In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which amends ASC 718, Compensation - Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. The standard requires that most of the guidance related to stock compensation granted to employees be followed for nonemployees, including the measurement date, valuation approach, and performance conditions. The amended guidance was adopted in the first quarter of fiscal 2020 and did not have a material impact on the company's Condensed Consolidated Financial Statements.
Derivative Instruments and Hedging Activities	Risk Management Objective of Using Derivatives The company is exposed to foreign currency exchange rate risk arising from transactions in the normal course of business, such as sales to third-party customers, sales and loans to wholly-owned foreign subsidiaries, foreign plant operations, and purchases from suppliers. The company’s primary currency exchange rate exposures are with the Euro, the Australian dollar, the Canadian dollar, the British pound, the Mexican peso, the Japanese yen, the Chinese Renminbi, and the Romanian New Leu against the U.S. dollar, as well as the Romanian New Leu against the Euro. To reduce its exposure to foreign currency exchange rate risk, the company actively manages the exposure of its foreign currency exchange rate risk by entering into various derivative instruments to hedge against such risk, authorized under company policies that place controls on these hedging activities, with counterparties that are highly rated financial institutions. The company’s policy does not allow the use of derivative instruments for trading or speculative purposes. The company has also made an accounting policy election to use the portfolio exception with respect to measuring counterparty credit risk for derivative instruments and to measure the fair value of a portfolio of financial assets and financial liabilities on the basis of the net open risk position with each counterparty. The company’s hedging activities primarily involve the use of forward currency contracts to hedge most foreign currency transactions, including forecasted sales and purchases denominated in foreign currencies. The company uses derivative instruments only in an attempt to limit underlying exposure from foreign currency exchange rate fluctuations and to minimize earnings and cash flow volatility associated with foreign currency exchange rate fluctuations. Decisions on whether to use such derivative instruments are primarily based on the amount of exposure to the currency involved and an assessment of the near-term market value for each currency. The company recognizes all derivative instruments at fair value on the Condensed Consolidated Balance Sheets as either assets or liabilities. The accounting for changes in the fair value of a derivative instrument depends on whether it has been designated and qualifies as a cash flow hedging instrument. Cash Flow Hedging Instruments The company formally documents relationships between cash flow hedging instruments and the related hedged transactions, as well as its risk management objective and strategy for undertaking cash flow hedging instruments. This process includes linking all cash flow hedging instruments to the forecasted transactions, such as sales to third parties and costs associated with foreign plant operations, including purchases from suppliers. At the cash flow hedge’s inception and on an ongoing basis, the company formally assesses whether the cash flow hedging instruments have been highly effective in offsetting changes in the cash flows of the hedged transactions and whether those cash flow hedging instruments may be expected to remain highly effective in future periods. Changes in the fair values of the spot rate component of outstanding, highly effective cash flow hedging instruments included in the assessment of hedge effectiveness are recorded in other comprehensive income within AOCL on the Condensed Consolidated Balance Sheets and are subsequently reclassified to net earnings within the Condensed Consolidated Statements of Earnings during the same period in which the cash flows of the underlying hedged transaction affect net earnings. Changes in the fair values of hedge components excluded from the assessment of effectiveness are recognized immediately in net earnings under the mark-to-market approach. The classification of gains or losses recognized on cash flow hedging instruments and excluded components within the Condensed Consolidated Statements of Earnings is the same as that of the underlying exposure. Results of cash flow hedging instruments, and the related excluded components, of sales and costs associated with foreign plant operations, including purchases from suppliers, are recorded in net sales and cost of sales, respectively. The maximum amount of time the company hedges its exposure to the variability in future cash flows for forecasted trade sales and purchases is two years. Results of cash flow hedges of intercompany loans are recorded in other income, net as an offset to the remeasurement of the foreign loan balance. When it is determined that a derivative instrument is not, or has ceased to be, highly effective as a cash flow hedge, the company discontinues cash flow hedge accounting prospectively. The gain or loss on the dedesignated derivative instrument remains in AOCL and is reclassified to net earnings within the same Condensed Consolidated Statements of Earnings line item as the underlying exposure when the forecasted transaction affects net earnings. When the company discontinues cash flow hedge accounting because it is no longer probable, but it is still reasonably possible that the forecasted transaction will occur by the end of the originally expected period or within an additional two-month period of time thereafter, the gain or loss on the derivative instrument remains in AOCL and is reclassified to net earnings within the same Condensed Consolidated Statements of Earnings line item as the underlying exposure when the forecasted transaction affects net earnings. However, if it is probable that a forecasted transaction will not occur by the end of the originally specified time period or within an additional two-month period of time thereafter, the gains and losses that were in AOCL are immediately recognized in net earnings within other income, net in the Condensed Consolidated Statements of Earnings. In all situations in which cash flow hedge accounting is discontinued and the derivative instrument remains outstanding, the company carries the derivative instrument at its fair value on the Condensed Consolidated Balance Sheets, recognizing future changes in the fair value within other income, net in the Condensed Consolidated Statements of Earnings. As of July 31, 2020, the notional amount outstanding of forward contracts designated as cash flow hedging instruments was $265.0 million. Derivatives Not Designated as Cash Flow Hedging Instruments The company also enters into foreign currency contracts that include forward currency contracts to mitigate the remeasurement of specific assets and liabilities on the Condensed Consolidated Balance Sheets. These contracts are not designated as cash flow hedging instruments. Accordingly, changes in the fair value of hedges of recorded balance sheet positions, such as cash, receivables, payables, intercompany notes, and other various contractual claims to pay or receive foreign currencies other than the functional currency, are recognized immediately in other income, net, on the Condensed Consolidated Statements of Earnings together with the transaction gain or loss from the hedged balance sheet position.
Fair Value Measurements	Recurring Fair Value MeasurementsThe company's derivative instruments consist of forward currency contracts that are measured at fair value on a recurring basis. The fair value of such forward currency contracts is determined based on observable market transactions of forward currency prices and spot currency rates as of the reporting date. Nonrecurring Fair Value Measurements The company measures certain assets and liabilities at fair value on a nonrecurring basis. Assets and liabilities that are measured at fair value on a nonrecurring basis include long-lived assets, goodwill, and indefinite-lived intangible assets, which would generally be recorded at fair value as a result of an impairment charge. Assets acquired and liabilities assumed as part of business combinations are measured at fair value. For additional information on the company's business combinations and the related nonrecurring fair value measurement of the assets acquired and liabilities assumed, refer to Note 2, Business Combinations. Other Fair Value Disclosures The carrying amounts of the company's short-term financial instruments, including cash and cash equivalents, accounts receivable, accounts payable, and short-term debt, including current maturities of long-term debt, when applicable, approximate their fair values due to their short-term nature.

Business Combinations (Tables)

9 Months Ended

Jul. 31, 2020

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed


(Dollars in thousands)	March 2, 2020
Cash and cash equivalents	$	3,476
Receivables	6,342
Inventories	23,000
Prepaid expenses and other current assets	239
Property, plant and equipment	26,976
Goodwill	62,252
Other intangible assets	75,300
Accounts payable	(4,075)
Accrued liabilities	(5,959)
Deferred income tax liabilities	(20,850)
Total fair value of net assets acquired	166,701
Less: cash and cash equivalents acquired	(3,476)
Total Venture Products purchase price	$	163,225

The following table summarizes the allocation of the CMW purchase price to the fair values assigned to the CMW assets acquired and liabilities assumed:


(Dollars in thousands)	April 1, 2019
Cash and cash equivalents	$	16,341
Receivables	65,674
Inventories	241,429
Prepaid expenses and other current assets	8,050
Property, plant and equipment	142,779
Goodwill	134,657
Other intangible assets	264,190
Other long-term assets	7,971
Accounts payable	(35,892)
Accrued liabilities	(51,943)
Deferred income tax liabilities	(85,277)
Other long-term liabilities	(6,665)
Total fair value of net assets acquired	701,314
Less: cash and cash equivalents acquired	(16,341)
Total CMW purchase price	$	684,973

Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Finite-lived - customer-related	16.0	$	19,100	$	(497)	$	18,603
Indefinite-lived - trade name		56,200		—		56,200
Total other intangible assets, net		$	75,300	$	(497)	$	74,803

Segment Data (Tables)

9 Months Ended

Jul. 31, 2020

Segment Reporting [Abstract]

Summarized Financial Information Concerning Reportable Segments

The following tables present summarized financial information concerning the company’s reportable segments and Other activities:


(Dollars in thousands)
Three Months Ended July 31, 2020	Professional		Residential		Other		Total
Net sales	$	623,615	$	204,961	$	12,396	$	840,972
Intersegment gross sales (eliminations)	12,738		23		(12,761)		—
Earnings (loss) before income taxes	$	113,652	$	28,545	$	(31,204)	$	110,993


(Dollars in thousands)
Nine Months Ended July 31, 2020	Professional		Residential		Other		Total
Net sales	$	1,879,423	$	632,807	$	25,623	$	2,537,853
Intersegment gross sales (eliminations)	38,151		84		(38,235)		—
Earnings (loss) before income taxes	322,385		87,233		(91,115)		318,503
Total assets	$	1,967,882	$	268,562	$	577,419	$	2,813,863


(Dollars in thousands)
Three Months Ended August 2, 2019	Professional		Residential		Other		Total
Net sales	$	676,756	$	148,234	$	13,723	$	838,713
Intersegment gross sales (eliminations)	13,779		78		(13,857)		—
Earnings (loss) before income taxes	$	81,592	$	16,151	$	(26,508)	$	71,235


(Dollars in thousands)
Nine Months Ended August 2, 2019	Professional		Residential		Other		Total
Net sales	$	1,855,268	$	525,539	$	22,898	$	2,403,705
Intersegment gross sales (eliminations)	51,104		257		(51,361)		—
Earnings (loss) before income taxes	319,689		51,253		(92,507)		278,435
Total assets	$	1,784,707	$	218,528	$	306,498	$	2,309,733

Summary of Components of Loss Before Income Taxes Included in Other Segment

The following table presents the details of operating loss before income taxes for the company's Other activities:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Corporate expenses	$	(29,078)	$	(26,287)	$	(76,961)	$	(88,958)
Interest expense	(8,304)		(9,004)		(25,119)		(20,440)
Earnings from wholly-owned domestic distribution companies and other income, net	6,178		8,783		10,965		16,891
Total operating loss	$	(31,204)	$	(26,508)	$	(91,115)	$	(92,507)

Revenue (Tables)

9 Months Ended

Jul. 31, 2020

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The following tables disaggregate the company's reportable segment net sales by major product type and geographic market (in thousands):


Three Months Ended July 31, 2020	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	525,285	$	199,012	$	7,029	$	731,326
Irrigation	98,330		5,949		5,367		109,646
Total net sales	$	623,615	$	204,961	$	12,396	$	840,972

Revenue by geographic market:
United States	$	500,828	$	177,734	$	12,396	$	690,958
Foreign Countries	122,787		27,227		—		150,014
Total net sales	$	623,615	$	204,961	$	12,396	$	840,972


Nine Months Ended July 31, 2020	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	1,618,337	$	608,870	$	16,389	$	2,243,596
Irrigation	261,086		23,937		9,234		294,257
Total net sales	$	1,879,423	$	632,807	$	25,623	$	2,537,853

Revenue by geographic market:
United States	$	1,464,393	$	539,836	$	25,623	$	2,029,852
Foreign Countries	415,030		92,971		—		508,001
Total net sales	$	1,879,423	$	632,807	$	25,623	$	2,537,853


Three Months Ended August 2, 2019	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	582,932	$	143,814	$	8,983	$	735,729
Irrigation	93,824		4,420		4,740		102,984
Total net sales	$	676,756	$	148,234	$	13,723	$	838,713

Revenue by geographic market:
United States	$	515,437	$	122,843	$	13,723	$	652,003
Foreign Countries	161,319		25,391		—		186,710
Total net sales	$	676,756	$	148,234	$	13,723	$	838,713


Nine Months Ended August 2, 2019	Professional		Residential		Other		Total
Revenue by product type:
Equipment	$	1,588,581	$	502,780	$	13,613	$	2,104,974
Irrigation	266,687		22,759		9,285		298,731
Total net sales	$	1,855,268	$	525,539	$	22,898	$	2,403,705

Revenue by geographic market:
United States	$	1,409,954	$	423,521	$	22,898	$	1,856,373
Foreign Countries	445,314		102,018		—		547,332
Total net sales	$	1,855,268	$	525,539	$	22,898	$	2,403,705

Goodwill and Other Intangible Assets, Net (Tables)

9 Months Ended

Jul. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

The changes in the carrying amount of goodwill by reportable segment for the first nine months of fiscal 2020 were as follows:


(Dollars in thousands)	Professional		Residential		Other		Total
Balance as of October 31, 2019	$	350,250	$	10,469	$	1,534	$	362,253
Goodwill acquired	62,252		—		—		62,252
Purchase price allocation adjustment	(866)		—		—		(866)
Translation adjustments	560		29		—		589
Balance as of July 31, 2020	$	412,196	$	10,498	$	1,534	$	424,228

Schedule of Finite-Lived Intangible Assets

The components of other intangible assets, net as of July 31, 2020 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,232	$	(13,697)	$	4,535
Non-compete agreements	5.5	6,871		(6,804)		67
Customer-related	18.2	239,661		(44,368)		195,293
Developed technology	7.6	51,999		(34,232)		17,767
Trade names	15.3	7,540		(2,453)		5,087
Backlog and other	0.6	4,390		(4,390)		—
Total finite-lived	15.5	328,693		(105,944)		222,749
Indefinite-lived - trade names		190,521		—		190,521
Total other intangible assets, net		$	519,214	$	(105,944)	$	413,270

The components of other intangible assets, net as of August 2, 2019 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,242	$	(12,916)	$	5,326
Non-compete agreements	5.5	6,879		(6,792)		87
Customer-related	18.3	195,223		(29,479)		165,744
Developed technology	7.6	50,279		(30,203)		20,076
Trade names	15.5	7,590		(2,004)		5,586
Backlog and other	0.6	7,380		(5,187)		2,193
Total finite-lived	15.0	285,593		(86,581)		199,012
Indefinite-lived - trade names		120,874		—		120,874
Total other intangible assets, net		$	406,467	$	(86,581)	$	319,886

The components of other intangible assets, net as of October 31, 2019 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,230	$	(13,102)	$	5,128
Non-compete agreements	5.5	6,868		(6,786)		82
Customer-related	18.4	220,390		(33,547)		186,843
Developed technology	7.6	51,911		(31,289)		20,622
Trade names	15.4	7,496		(2,109)		5,387
Backlog and other	0.6	4,390		(4,390)		—
Total finite-lived	15.5	309,285		(91,223)		218,062
Indefinite-lived - trade names		134,312		—		134,312
Total other intangible assets, net		$	443,597	$	(91,223)	$	352,374

Schedule of Indefinite-Lived Intangible Assets

The components of other intangible assets, net as of July 31, 2020 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,232	$	(13,697)	$	4,535
Non-compete agreements	5.5	6,871		(6,804)		67
Customer-related	18.2	239,661		(44,368)		195,293
Developed technology	7.6	51,999		(34,232)		17,767
Trade names	15.3	7,540		(2,453)		5,087
Backlog and other	0.6	4,390		(4,390)		—
Total finite-lived	15.5	328,693		(105,944)		222,749
Indefinite-lived - trade names		190,521		—		190,521
Total other intangible assets, net		$	519,214	$	(105,944)	$	413,270

The components of other intangible assets, net as of August 2, 2019 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,242	$	(12,916)	$	5,326
Non-compete agreements	5.5	6,879		(6,792)		87
Customer-related	18.3	195,223		(29,479)		165,744
Developed technology	7.6	50,279		(30,203)		20,076
Trade names	15.5	7,590		(2,004)		5,586
Backlog and other	0.6	7,380		(5,187)		2,193
Total finite-lived	15.0	285,593		(86,581)		199,012
Indefinite-lived - trade names		120,874		—		120,874
Total other intangible assets, net		$	406,467	$	(86,581)	$	319,886

The components of other intangible assets, net as of October 31, 2019 were as follows:


(Dollars in thousands)	Weighted-Average Useful Life in Years	Gross Carrying Amount		Accumulated Amortization		Net
Patents	9.9	$	18,230	$	(13,102)	$	5,128
Non-compete agreements	5.5	6,868		(6,786)		82
Customer-related	18.4	220,390		(33,547)		186,843
Developed technology	7.6	51,911		(31,289)		20,622
Trade names	15.4	7,496		(2,109)		5,387
Backlog and other	0.6	4,390		(4,390)		—
Total finite-lived	15.5	309,285		(91,223)		218,062
Indefinite-lived - trade names		134,312		—		134,312
Total other intangible assets, net		$	443,597	$	(91,223)	$	352,374

Indebtedness (Tables)

9 Months Ended

Jul. 31, 2020

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

The following is a summary of the company's indebtedness:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Revolving credit facility	$	—	$	—	$	—
$200 million term loan	100,000		100,000		100,000
$300 million term loan	180,000		200,000		180,000
$190 million term loan	190,000		—		—
3.81% series A senior notes	100,000		100,000		100,000
3.91% series B senior notes	100,000		100,000		100,000
7.800% debentures	100,000		100,000		100,000
6.625% senior notes	123,962		123,900		123,916
Less: unamortized discounts, debt issuance costs, and deferred charges	3,057		3,219		3,103
Total long-term debt	890,905		720,681		700,813
Less: current portion of long-term debt	108,869		99,877		79,914
Long-term debt, less current portion	$	782,036	$	620,804	$	620,899

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
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-Paragraph 1
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Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 835
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Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 505
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Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
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-Topic 235
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-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
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Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
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Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
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Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
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-URI http://asc.fasb.org/extlink&oid=75038535&loc=d3e64711-112823

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
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-URI http://asc.fasb.org/extlink&oid=114775985&loc=d3e28878-108400

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21475-112644

+ Details

Inventories (Tables)

9 Months Ended

Jul. 31, 2020

Inventory Disclosure [Abstract]

Schedule of Inventories

Inventories were as follows:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Raw materials and work in process	$	197,439	$	174,348	$	179,967
Finished goods and service parts	540,840		518,465		553,767
Total FIFO value	738,279		692,813		733,734
Less: adjustment to LIFO value	82,071		72,201		82,071
Total inventories, net	$	656,208	$	620,612	$	651,663

Property and Depreciation (Tables)

9 Months Ended

Jul. 31, 2020

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

Property, plant and equipment was as follows:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Land and land improvements	$	56,257	$	55,786	$	55,613
Buildings and leasehold improvements	289,484		259,928		276,556
Machinery and equipment	474,519		420,262		453,314
Tooling	218,851		224,230		226,870
Computer hardware and software	95,891		91,577		94,409
Construction in process	77,227		70,367		34,937
Property, plant, and equipment, gross	1,212,229		1,122,150		1,141,699
Less: accumulated depreciation	754,338		695,735		704,382
Property, plant, and equipment, net	$	457,891	$	426,415	$	437,317

Warranty Guarantees (Tables)

9 Months Ended

Jul. 31, 2020

Product Warranties Disclosures [Abstract]

Schedule of Warranty Provisions, Claims, and Changes in Estimates

The changes in accrued warranties were as follows:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Beginning balance	$	102,884	$	95,752	$	96,604	$	76,214
Provisions	15,186		14,232		46,289		42,734
Acquisitions	—		—		2,557		14,272
Claims	(16,800)		(17,514)		(48,430)		(39,685)
Changes in estimates	226		2,096		4,476		1,031
Ending balance	$	101,496	$	94,566	$	101,496	$	94,566

Stock-Based Compensation (Tables)

9 Months Ended

Jul. 31, 2020

Share-based Payment Arrangement [Abstract]

Schedule of Compensation Cost Related to Stock-Based Awards

Compensation costs related to stock-based awards were as follows:


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Unrestricted common stock awards	$	—	$	—	$	693	$	592
Stock option awards	2,483		1,678		6,577		4,841
Performance share awards	1,665		666		327		2,483
Restricted stock unit awards	807		890		2,725		2,342
Total compensation cost for stock-based awards	$	4,955	$	3,234	$	10,322	$	10,258

Schedule of Assumptions for Options Granted

The table below illustrates the weighted-average valuation assumptions for options granted in the first nine months of the following fiscal periods:


	Fiscal 2020	Fiscal 2019
Expected life of option in years	6.31	6.31
Expected stock price volatility	19.53%	19.83%
Risk-free interest rate	1.73%	2.77%
Expected dividend yield	0.99%	1.18%
Per share weighted-average fair value at date of grant	$15.23	$12.83

Stockholders' Equity (Tables)

9 Months Ended

Jul. 31, 2020

Stockholders' Equity Note [Abstract]

Schedule of Components of Accumulated Other Comprehensive Loss (AOCL), Net of Tax

The components of accumulated other comprehensive loss ("AOCL"), net of tax, within the Condensed Consolidated Statements of Stockholders' Equity were as follows:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Foreign currency translation adjustments	$	22,905	$	33,862	$	31,025
Pension and post-retirement benefits	3,949		561		4,861
Cash flow derivative instruments	7,722		(7,755)		(3,837)
Total accumulated other comprehensive loss	$	34,576	$	26,668	$	32,049

Schedule of Components and Activity of AOCL

The components and activity of AOCL, net of tax, for the three and nine month periods ended July 31, 2020 and August 2, 2019 were as follows:


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of May 1, 2020	$	36,916	$	3,949	$	(7,163)	$	33,702
Other comprehensive (income) loss before reclassifications	(14,011)		—		16,838		2,827
Amounts reclassified from AOCL	—		—		(1,953)		(1,953)
Net current period other comprehensive (income) loss	(14,011)		—		14,885		874
Balance as of July 31, 2020	$	22,905	$	3,949	$	7,722	$	34,576


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of October 31, 2019	$	31,025	$	4,861	$	(3,837)	$	32,049
Other comprehensive (income) loss before reclassifications	(8,120)		—		17,529		9,409
Amounts reclassified from AOCL	—		(912)		(5,970)		(6,882)
Net current period other comprehensive (income) loss	(8,120)		(912)		11,559		2,527
Balance as of July 31, 2020	$	22,905	$	3,949	$	7,722	$	34,576


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of May 3, 2019	$	30,047	$	561	$	(5,492)	$	25,116
Other comprehensive (income) loss before reclassifications	3,815		—		(773)		3,042
Amounts reclassified from AOCL	—		—		(1,490)		(1,490)
Net current period other comprehensive (income) loss	3,815		—		(2,263)		1,552

Balance as of August 2, 2019	$	33,862	$	561	$	(7,755)	$	26,668


(Dollars in thousands)	Foreign Currency Translation Adjustments		Pension and Post-Retirement Benefits		Cash Flow Hedging Derivative Instruments		Total
Balance as of October 31, 2018	$	29,711	$	561	$	(6,335)	$	23,937
Other comprehensive loss before reclassifications	4,151		—		2,905		7,056
Amounts reclassified from AOCL	—		—		(4,325)		(4,325)
Net current period other comprehensive (income) loss	4,151		—		(1,420)		2,731
Balance as of August 2, 2019	$	33,862	$	561	$	(7,755)	$	26,668

Per Share Data (Tables)

9 Months Ended

Jul. 31, 2020

Earnings Per Share [Abstract]

Reconciliations of basic and diluted weighted-average shares of common stock outstanding

Reconciliations of basic and diluted weighted-average shares of common stock outstanding were as follows:


	Three Months Ended			Nine Months Ended
(Shares in thousands)	July 31, 2020	August 2, 2019	July 31, 2020	August 2, 2019
Basic
Weighted-average number of shares of common stock	107,710	107,005	107,547	106,630
Assumed issuance of contingent shares	—	—	14	14
Weighted-average number of shares of common stock and assumed issuance of contingent shares	107,710	107,005	107,561	106,644

Diluted
Weighted-average number of shares of common stock and assumed issuance of contingent shares	107,710	107,005	107,561	106,644
Effect of dilutive securities	833	1,248	1,008	1,380
Weighted-average number of shares of common stock, assumed issuance of contingent shares, and effect of dilutive securities	108,543	108,253	108,569	108,024

Leases (Tables)

9 Months Ended

Jul. 31, 2020

Leases [Abstract]

Supplemental Cash Flow and Other Lease Information

The following table presents the lease expense incurred on the company’s operating, short-term, and variable leases:


	Three Months Ended		Nine Months Ended
(Dollars in thousands)	July 31, 2020		July 31, 2020
Operating lease expense	$	4,036	$	14,253
Short-term lease expense	876		2,204
Variable lease expense	20		116
Total lease expense	$	4,932	$	16,573

The following table presents supplemental cash flow information related to the company's operating leases:


	Three Months Ended		Nine Months Ended
(Dollars in thousands)	July 31, 2020		July 31, 2020
Operating cash flows for amounts included in the measurement of lease liabilities	$	3,683	$	13,949
Right-of-use assets obtained in exchange for lease obligations	$	1,656	$	18,698

The following table presents other lease information related to the company's operating leases as of July 31, 2020:


(Dollars in thousands)	July 31, 2020
Weighted-average remaining lease term of operating leases in years	7.2
Weighted-average discount rate of operating leases	2.80	%

Future Minimum Operating Lease Payments


(Dollars in thousands)	July 31, 2020
2020 (remaining)	$	24,574
2021	17,822
2022	15,172
2023	12,102
2024	10,787
Thereafter	33,468
Total future minimum operating lease payments	113,925
Less: imputed interest	28,991
Present value of operating lease liabilities	$	84,934

Contractual Obligation, Fiscal Year Maturity Schedule


(Dollars in thousands)	October 31, 2019
2020	$	17,135
2021	15,764
2022	12,806
2023	9,772
2024	8,863
Thereafter	18,732
Total future minimum lease payments	$	83,072

Derivative Instruments and Hedging Activities (Tables)

9 Months Ended

Jul. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Fair Value of Derivatives and Consolidated Balance Sheet Location

The following table presents the fair value and location of the company’s derivative instruments on the Condensed Consolidated Balance Sheets:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Derivative assets:
Derivatives designated as cash flow hedging instruments:
Prepaid expenses and other current assets
Forward currency contracts	$	(645)	$	12,511	$	8,642
Derivatives not designated as cash flow hedging instruments:
Prepaid expenses and other current assets
Forward currency contracts	753		3,920		2,256
Total assets	$	108	$	16,431	$	10,898

Derivative liabilities:
Derivatives designated as cash flow hedging instruments:
Accrued liabilities
Forward currency contracts	$	5,248	$	—	$	—
Derivatives not designated as cash flow hedging instruments:
Accrued liabilities
Forward currency contracts	849		—		9
Total liabilities	$	6,097	$	—	$	9

Schedule of Effects of Master Netting Arrangements on Fair Value of Derivative Contracts Recorded in Consolidated Balance Sheets

The following table presents the effects of the master netting arrangements on the fair value of the company’s derivative instruments that are recorded on the Condensed Consolidated Balance Sheets:


(Dollars in thousands)	July 31, 2020		August 2, 2019		October 31, 2019
Derivative assets:
Forward currency contracts:
Gross amounts of recognized assets	$	1,116	$	16,496	$	11,056
Gross liabilities offset in the Condensed Consolidated Balance Sheets	(1,008)		(65)		(158)
Net amounts of assets presented in the Condensed Consolidated Balance Sheets	$	108	$	16,431	$	10,898

Derivative liabilities:
Forward currency contracts:
Gross amounts of recognized liabilities	$	(6,465)	$	—	$	(9)
Gross assets offset in the Condensed Consolidated Balance Sheets	368		—		—
Net amounts of liabilities presented in the Condensed Consolidated Balance Sheets	$	(6,097)	$	—	$	(9)

Schedule of Impact of Derivative Instruments on Consolidated Statements of Earnings for Derivatives Designated as Cash Flow Hedging Instruments


	Three Months Ended
	Gain Reclassified from AOCL into Earnings						Gain (Loss) Recognized in OCI on Derivatives
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Net sales	$	1,795	$	1,350	$	(13,501)	$	2,022
Cost of sales	158		140		(1,384)		241
Total derivatives designated as cash flow hedging instruments	$	1,953	$	1,490	$	(14,885)	$	2,263


	Nine Months Ended
	Gain Reclassified from AOCL into Earnings						Gain (Loss) Recognized in OCI on Derivatives
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Net sales	$	5,272	$	3,828	$	(10,396)	$	1,307
Cost of sales	698		497		(1,163)		113
Total derivatives designated as cash flow hedging instruments	$	5,970	$	4,325	$	(11,559)	$	1,420


	Gain Recognized in Earnings on Cash Flow Hedging Instruments
(Dollars in thousands)	July 31, 2020						August 2, 2019
Three Months Ended	Net Sales		Cost of Sales		Net Sales		Cost of Sales
Condensed Consolidated Statements of Earnings income (expense) amounts in which the effects of cash flow hedging instruments are recorded	$	840,972	$	(546,398)	$	838,713	$	(572,732)
Gain on derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Amount of gain reclassified from AOCL into earnings	1,795		158		1,350		140
Gain on components excluded from effectiveness testing recognized in earnings based on changes in fair value	$	191	$	86	$	1,262	$	18


	Gain Recognized in Earnings on Cash Flow Hedging Instruments
(Dollars in thousands)	July 31, 2020						August 2, 2019
Nine Months Ended	Net Sales		Cost of Sales		Net Sales		Cost of Sales
Condensed Consolidated Statements of Earnings income (expense) amounts in which the effects of cash flow hedging instruments are recorded	$	2,537,853	$	(1,648,474)	$	2,403,705	$	(1,600,809)
Gain on derivatives designated as cash flow hedging instruments:
Forward currency contracts:
Amount of gain reclassified from AOCL into earnings	5,272		698		3,828		497
Gain on components excluded from effectiveness testing recognized in earnings based on changes in fair value	$	3,183	$	231	$	3,579	$	34

Schedule of Impact of Derivative Instruments on Consolidated Statements of Earnings for Derivatives Not Designated as Hedging Instruments


	Three Months Ended						Nine Months Ended
(Dollars in thousands)	July 31, 2020		August 2, 2019		July 31, 2020		August 2, 2019
Gain (loss) on derivatives not designated as cash flow hedging instruments
Forward currency contracts:
Other income, net	$	(7,093)	$	(555)	$	(5,316)	$	172
Total gain (loss) on derivatives not designated as cash flow hedging instruments	$	(7,093)	$	(555)	$	(5,316)	$	172

Fair Value Measurements (Tables)

9 Months Ended

Jul. 31, 2020

Fair Value Disclosures [Abstract]

Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis


(Dollars in thousands)			Fair Value Measurements Using Inputs Considered as:
July 31, 2020	Fair Value		Level 1		Level 2		Level 3
Assets:
Forward currency contracts	$	108	$	—	$	108	$	—
Total assets	$	108	$	—	$	108	$	—

Liabilities:
Forward currency contracts	$	6,097	$	—	$	6,097	$	—
Total liabilities	$	6,097	$	—	$	6,097	$	—


(Dollars in thousands)			Fair Value Measurements Using Inputs Considered as:
August 2, 2019	Fair Value		Level 1		Level 2		Level 3
Assets:
Forward currency contracts	$	16,431	$	—	$	16,431	$	—
Total assets	$	16,431	$	—	$	16,431	$	—


(Dollars in thousands)			Fair Value Measurements Using Inputs Considered as:
October 31, 2019	Fair Value		Level 1		Level 2		Level 3
Assets:
Forward currency contracts	$	10,898	$	—	$	10,898	$	—
Total assets	$	10,898	$	—	$	10,898	$	—

Liabilities:
Forward currency contracts	$	9	$	—	$	9	$	—
Total liabilities	$	9	$	—	$	9	$	—

Basis of Presentation - Narrative (Details) - USD ($) $ in Thousands		9 Months Ended
	Nov. 01, 2019	Aug. 02, 2019	Jul. 31, 2020
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Right-of-use assets			$ 81,634
Operating lease liabilities			$ 84,934
Accounting standards update [Extensible List]	us-gaap:AccountingStandardsUpdate201602Member	us-gaap:AccountingStandardsUpdate201409Member
ASU No. 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Right-of-use assets	$ 78,100
Operating lease liabilities	$ 77,100

- Definition

Indicates amendment to accounting standards.

+ References

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+ Details

Business Combinations - Narrative (Details) - USD ($)			3 Months Ended			5 Months Ended	9 Months Ended		12 Months Ended
Business Combinations - Narrative (Details) - USD ($)	Mar. 02, 2020	Apr. 01, 2019	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019	Jul. 31, 2020	Jul. 31, 2020	Aug. 02, 2019	Oct. 31, 2021
Business Acquisition [Line Items]
Business combination, consideration transferred, holdback expired			$ 4,500,000
Goodwill			424,228,000	$ 362,253,000	$ 380,503,000	$ 424,228,000	$ 424,228,000	$ 380,503,000
Purchase price allocation adjustment							(866,000)
Amortization of other intangible assets			5,000,000.0		7,400,000		14,600,000	12,900,000
Fiscal 2020 (remainder)			4,900,000			4,900,000	4,900,000
Fiscal 2021			19,500,000			19,500,000	19,500,000
Fiscal 2022			18,300,000			18,300,000	18,300,000
Fiscal 2023			16,500,000			16,500,000	16,500,000
Fiscal 2024			15,500,000			15,500,000	15,500,000
Fiscal 2025			13,900,000			13,900,000	13,900,000
After 2025			134,100,000			134,100,000	134,100,000
Scenario, Forecast
Business Acquisition [Line Items]
Business combination, consideration transferred, holdback									$ 25,000,000.0
Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Payments to acquire businesses, gross	$ 136,400,000
Business combination, consideration transferred, holdback	29,500,000
Total CMW purchase price	163,225,000		163,200,000
Business combination, acquisition related costs			0				600,000
Goodwill	62,252,000
Purchase price allocation adjustment						(2,900,000)
Other intangible assets	75,300,000
Amortization of other intangible assets			300,000				500,000
Fiscal 2020 (remainder)			300,000			300,000	300,000
Fiscal 2021			1,200,000			1,200,000	1,200,000
Fiscal 2022			1,200,000			1,200,000	1,200,000
Fiscal 2023			1,200,000			1,200,000	1,200,000
Fiscal 2024			1,200,000			1,200,000	1,200,000
Fiscal 2025			1,200,000			1,200,000	1,200,000
After 2025			12,300,000			12,300,000	12,300,000
Revenue of acquiree since acquisition date			21,200,000				32,500,000
The Charles Machine Works, Inc.
Business Acquisition [Line Items]
Total CMW purchase price		$ 684,973,000		685,000,000.0
Business combination, acquisition related costs				10,200,000	$ 500,000			$ 10,200,000
Goodwill		134,657,000
Purchase price allocation adjustment			(900,000)
Other intangible assets		264,190,000
Professional \| Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Goodwill			$ 412,200,000	$ 350,300,000		$ 412,200,000	$ 412,200,000
Previously Reported \| Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Preliminary purchase price	$ 165,900,000
Previously Reported \| The Charles Machine Works, Inc.
Business Acquisition [Line Items]
Preliminary purchase price		$ 679,300,000

Business Combinations - Allocation of Preliminary Purchase Price, Venture Products (Details) - USD ($) $ in Thousands		3 Months Ended
	Mar. 02, 2020	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Business Acquisition [Line Items]
Goodwill		$ 424,228	$ 362,253	$ 380,503
Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Cash and cash equivalents	$ 3,476
Receivables	6,342
Inventories	23,000
Prepaid expenses and other current assets	239
Property, plant and equipment	26,976
Goodwill	62,252
Other intangible assets	75,300
Accounts payable	(4,075)
Accrued liabilities	(5,959)
Deferred income tax liabilities	(20,850)
Total fair value of net assets acquired	166,701
Less: cash and cash equivalents acquired	(3,476)
Total CMW purchase price	$ 163,225	$ 163,200

Business Combinations - Summary of Intangible Assets, Venture Products (Details) - USD ($) $ in Thousands		5 Months Ended	9 Months Ended
	Oct. 31, 2019	Jul. 31, 2020	Jul. 31, 2020	Aug. 02, 2019
Business Acquisition [Line Items]
Weighted-Average Useful Life in Years	15 years 6 months		15 years 6 months	15 years
Gross Carrying Amount	$ 309,285	$ 328,693	$ 328,693	$ 285,593
Accumulated Amortization	(91,223)	(105,944)	(105,944)	(86,581)
Net	218,062	222,749	222,749	199,012
Total other intangible assets, gross	443,597	519,214	519,214	406,467
Total other intangible assets, net	$ 352,374	$ 413,270	413,270	$ 319,886
Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Weighted-Average Useful Life in Years		16 years
Gross Carrying Amount		$ 19,100	19,100
Accumulated Amortization		(497)	(497)
Net		18,603	18,603
Total other intangible assets, gross		75,300	75,300
Total other intangible assets, net		74,803	74,803
Trade names \| Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Indefinite-lived - trade name		$ 56,200	$ 56,200

Business Combinations - Allocation of Preliminary Purchase Price, The Charles Machine Works (Details) - USD ($) $ in Thousands		3 Months Ended
	Apr. 01, 2019	Oct. 31, 2019	Jul. 31, 2020	Aug. 02, 2019
Business Acquisition [Line Items]
Goodwill		$ 362,253	$ 424,228	$ 380,503
The Charles Machine Works, Inc.
Business Acquisition [Line Items]
Cash and cash equivalents	$ 16,341
Receivables	65,674
Inventories	241,429
Prepaid expenses and other current assets	8,050
Property, plant and equipment	142,779
Goodwill	134,657
Other intangible assets	264,190
Other long-term assets	7,971
Accounts payable	(35,892)
Accrued liabilities	(51,943)
Deferred income tax liabilities	(85,277)
Other long-term liabilities	(6,665)
Total fair value of net assets acquired	701,314
Less: cash and cash equivalents acquired	(16,341)
Total CMW purchase price	$ 684,973	$ 685,000

Segment Data - Narrative (Details)	9 Months Ended
Segment Data - Narrative (Details)	Jul. 31, 2020 segment
Segment Reporting [Abstract]
Number of operating segments	11
Number of reportable segments	2

Segment Data - Summarized Financial Information of Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019	Oct. 31, 2019
Financial information concerning reportable segments
Revenues	$ 840,972	$ 838,713	$ 2,537,853	$ 2,403,705
Earnings (loss) before income taxes	110,993	71,235	318,503	278,435
Total assets	2,813,863	2,309,733	2,813,863	2,309,733	$ 2,330,547
Operating Segments \| Professional
Financial information concerning reportable segments
Revenues	623,615	676,756	1,879,423	1,855,268
Earnings (loss) before income taxes	113,652	81,592	322,385	319,689
Total assets	1,967,882	1,784,707	1,967,882	1,784,707
Operating Segments \| Residential
Financial information concerning reportable segments
Revenues	204,961	148,234	632,807	525,539
Earnings (loss) before income taxes	28,545	16,151	87,233	51,253
Total assets	268,562	218,528	268,562	218,528
Intersegment gross sales (eliminations)
Financial information concerning reportable segments
Revenues	(12,761)	(13,857)	(38,235)	(51,361)
Intersegment gross sales (eliminations) \| Professional
Financial information concerning reportable segments
Revenues	12,738	13,779	38,151	51,104
Intersegment gross sales (eliminations) \| Residential
Financial information concerning reportable segments
Revenues	23	78	84	257
Other
Financial information concerning reportable segments
Revenues	12,396	13,723	25,623	22,898
Earnings (loss) before income taxes	(31,204)	(26,508)	(91,115)	(92,507)
Total assets	$ 577,419	$ 306,498	$ 577,419	$ 306,498

- Definition

Sum of the carrying amounts as of the balance sheet date of all assets that are recognized. Assets are probable future economic benefits obtained or controlled by an entity as a result of past transactions or events.

+ References

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- Definition

Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest.

+ References

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+ Details

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Segment Data - Components of Loss before Income Taxes Included in Other (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Components of the loss before income taxes included in "Other"
Interest expense	$ (8,304)	$ (9,004)	$ (25,119)	$ (20,440)
Earnings from wholly-owned domestic distribution companies and other income, net	3,345	6,295	10,746	17,152
Earnings before income taxes	110,993	71,235	318,503	278,435
Other
Components of the loss before income taxes included in "Other"
Corporate expenses	(29,078)	(26,287)	(76,961)	(88,958)
Interest expense	(8,304)	(9,004)	(25,119)	(20,440)
Earnings from wholly-owned domestic distribution companies and other income, net	6,178	8,783	10,965	16,891
Earnings before income taxes	$ (31,204)	$ (26,508)	$ (91,115)	$ (92,507)

- Definition

+ References

+ Details

Revenue - Disaggregation by Major Product Type and Geographic Market (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Disaggregation of Revenue [Line Items]
Revenues	$ 840,972	$ 838,713	$ 2,537,853	$ 2,403,705
United States
Disaggregation of Revenue [Line Items]
Revenues	690,958	652,003	2,029,852	1,856,373
Foreign Countries
Disaggregation of Revenue [Line Items]
Revenues	150,014	186,710	508,001	547,332
Equipment
Disaggregation of Revenue [Line Items]
Revenues	731,326	735,729	2,243,596	2,104,974
Irrigation
Disaggregation of Revenue [Line Items]
Revenues	109,646	102,984	294,257	298,731
Operating Segments \| Professional
Disaggregation of Revenue [Line Items]
Revenues	623,615	676,756	1,879,423	1,855,268
Operating Segments \| Professional \| United States
Disaggregation of Revenue [Line Items]
Revenues	500,828	515,437	1,464,393	1,409,954
Operating Segments \| Professional \| Foreign Countries
Disaggregation of Revenue [Line Items]
Revenues	122,787	161,319	415,030	445,314
Operating Segments \| Professional \| Equipment
Disaggregation of Revenue [Line Items]
Revenues	525,285	582,932	1,618,337	1,588,581
Operating Segments \| Professional \| Irrigation
Disaggregation of Revenue [Line Items]
Revenues	98,330	93,824	261,086	266,687
Operating Segments \| Residential
Disaggregation of Revenue [Line Items]
Revenues	204,961	148,234	632,807	525,539
Operating Segments \| Residential \| United States
Disaggregation of Revenue [Line Items]
Revenues	177,734	122,843	539,836	423,521
Operating Segments \| Residential \| Foreign Countries
Disaggregation of Revenue [Line Items]
Revenues	27,227	25,391	92,971	102,018
Operating Segments \| Residential \| Equipment
Disaggregation of Revenue [Line Items]
Revenues	199,012	143,814	608,870	502,780
Operating Segments \| Residential \| Irrigation
Disaggregation of Revenue [Line Items]
Revenues	5,949	4,420	23,937	22,759
Other
Disaggregation of Revenue [Line Items]
Revenues	12,396	13,723	25,623	22,898
Other \| United States
Disaggregation of Revenue [Line Items]
Revenues	12,396	13,723	25,623	22,898
Other \| Foreign Countries
Disaggregation of Revenue [Line Items]
Revenues	0	0	0	0
Other \| Equipment
Disaggregation of Revenue [Line Items]
Revenues	7,029	8,983	16,389	13,613
Other \| Irrigation
Disaggregation of Revenue [Line Items]
Revenues	$ 5,367	$ 4,740	$ 9,234	$ 9,285

Revenue - Contract Liabilities (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Jul. 31, 2020	Jul. 31, 2020	Oct. 31, 2019
Revenue from Contract with Customer [Abstract]
Contract with customer, liability	$ 20.8	$ 20.8	$ 22.0
Contract with customer liability revenue recognized	$ 2.3	$ 8.7

Revenue - Performance Obligation (Details) $ in Millions	Jul. 31, 2020 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-08-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, amount	$ 1.9
Revenue, remaining performance obligation, expected timing of satisfaction, period	3 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-11-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, amount	$ 6.4
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-11-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, amount	$ 5.0
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year

Goodwill and Other Intangible Assets, Net Goodwill and other Intangible Assets, Net - Narrative (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Mar. 02, 2020	Oct. 31, 2019	Aug. 02, 2019
Goodwill [Line Items]
Goodwill	$ 424,228		$ 362,253	$ 380,503
Venture Products, Inc Affiliate
Goodwill [Line Items]
Goodwill		$ 62,252
Other intangible assets		$ 75,300

Goodwill and Other Intangible Assets, Net - Changes in Net Carrying Amount of Goodwill (Details) $ in Thousands	9 Months Ended
	Jul. 31, 2020 USD ($)
Changes in the net carrying amount of goodwill
Goodwill, beginning balance	$ 362,253
Goodwill acquired	62,252
Purchase price allocation adjustment	(866)
Translation adjustments	589
Goodwill, ending balance	424,228
Operating Segments \| Professional
Changes in the net carrying amount of goodwill
Goodwill, beginning balance	350,250
Goodwill acquired	62,252
Purchase price allocation adjustment	(866)
Translation adjustments	560
Goodwill, ending balance	412,196
Operating Segments \| Residential
Changes in the net carrying amount of goodwill
Goodwill, beginning balance	10,469
Goodwill acquired	0
Purchase price allocation adjustment	0
Translation adjustments	29
Goodwill, ending balance	10,498
Other
Changes in the net carrying amount of goodwill
Goodwill, beginning balance	1,534
Goodwill acquired	0
Purchase price allocation adjustment	0
Translation adjustments	0
Goodwill, ending balance	$ 1,534

Goodwill and Other Intangible Assets, Net - Components of Other Intangible Assets (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
	Oct. 31, 2019	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Other Intangible Assets
Weighted-Average Useful Life in Years	15 years 6 months			15 years 6 months	15 years
Gross Carrying Amount	$ 309,285	$ 328,693	$ 285,593	$ 328,693	$ 285,593
Accumulated Amortization	(91,223)	(105,944)	(86,581)	(105,944)	(86,581)
Net	218,062	222,749	199,012	222,749	199,012
Indefinite-lived - trade names	134,312	190,521	120,874	190,521	120,874
Total other intangible assets, gross	443,597	519,214	406,467	519,214	406,467
Total other intangible assets, net	$ 352,374	413,270	319,886	413,270	319,886
Estimated amortization expense
Amortization of other intangible assets		5,000	7,400	14,600	$ 12,900
Fiscal 2020 (remainder)		4,900		4,900
Fiscal 2021		19,500		19,500
Fiscal 2022		18,300		18,300
Fiscal 2023		16,500		16,500
Fiscal 2024		15,500		15,500
Fiscal 2025		13,900		13,900
After 2025		134,100		$ 134,100
Patents
Other Intangible Assets
Weighted-Average Useful Life in Years	9 years 10 months 24 days			9 years 10 months 24 days	9 years 10 months 24 days
Gross Carrying Amount	$ 18,230	18,232	18,242	$ 18,232	$ 18,242
Accumulated Amortization	(13,102)	(13,697)	(12,916)	(13,697)	(12,916)
Net	$ 5,128	4,535	5,326	$ 4,535	$ 5,326
Non-compete agreements
Other Intangible Assets
Weighted-Average Useful Life in Years	5 years 6 months			5 years 6 months	5 years 6 months
Gross Carrying Amount	$ 6,868	6,871	6,879	$ 6,871	$ 6,879
Accumulated Amortization	(6,786)	(6,804)	(6,792)	(6,804)	(6,792)
Net	$ 82	67	87	$ 67	$ 87
Customer-related
Other Intangible Assets
Weighted-Average Useful Life in Years	18 years 4 months 24 days			18 years 2 months 12 days	18 years 3 months 18 days
Gross Carrying Amount	$ 220,390	239,661	195,223	$ 239,661	$ 195,223
Accumulated Amortization	(33,547)	(44,368)	(29,479)	(44,368)	(29,479)
Net	$ 186,843	195,293	165,744	$ 195,293	$ 165,744
Developed technology
Other Intangible Assets
Weighted-Average Useful Life in Years	7 years 7 months 6 days			7 years 7 months 6 days	7 years 7 months 6 days
Gross Carrying Amount	$ 51,911	51,999	50,279	$ 51,999	$ 50,279
Accumulated Amortization	(31,289)	(34,232)	(30,203)	(34,232)	(30,203)
Net	$ 20,622	17,767	20,076	$ 17,767	$ 20,076
Trade names
Other Intangible Assets
Weighted-Average Useful Life in Years	15 years 4 months 24 days			15 years 3 months 18 days	15 years 6 months
Gross Carrying Amount	$ 7,496	7,540	7,590	$ 7,540	$ 7,590
Accumulated Amortization	(2,109)	(2,453)	(2,004)	(2,453)	(2,004)
Net	$ 5,387	5,087	5,586	$ 5,087	$ 5,586
Backlog and other
Other Intangible Assets
Weighted-Average Useful Life in Years	7 months 6 days			7 months 6 days	7 months 6 days
Gross Carrying Amount	$ 4,390	4,390	7,380	$ 4,390	$ 7,380
Accumulated Amortization	(4,390)	(4,390)	(5,187)	(4,390)	(5,187)
Net	$ 0	$ 0	$ 2,193	$ 0	$ 2,193

Indebtedness - Summary of Debt (Details) - USD ($)	Jul. 31, 2020	Mar. 30, 2020	Oct. 31, 2019	Aug. 02, 2019	Jun. 27, 2019	Apr. 30, 2019	Mar. 31, 2019
Debt Instrument [Line Items]
Less: unamortized discounts, debt issuance costs, and deferred charges	$ 3,057,000		$ 3,103,000	$ 3,219,000
Total long-term debt	890,905,000		700,813,000	720,681,000
Less: current portion of long-term debt	(108,869,000)		(79,914,000)	(99,877,000)
Long-term debt, less current portion	782,036,000		620,899,000	620,804,000
Line of Credit
Debt Instrument [Line Items]
Long-term debt, gross	$ 100,000,000		100,000,000	100,000,000
Debt instrument, interest rate, stated percentage	7.80%
6.625% senior notes
Debt Instrument [Line Items]
Long-term debt, gross	$ 123,962,000		123,916,000	123,900,000
Debt instrument, interest rate, stated percentage	6.625%
Senior Notes \| $200 million term loan
Debt Instrument [Line Items]
Long-term debt, gross	$ 100,000,000		100,000,000	100,000,000
Debt instrument, face amount	200,000,000						$ 200,000,000.0
Senior Notes \| $300 million term loan
Debt Instrument [Line Items]
Long-term debt, gross	180,000,000		180,000,000	200,000,000
Debt instrument, face amount	300,000,000						$ 300,000,000.0
Senior Notes \| $190 million term loan
Debt Instrument [Line Items]
Long-term debt, gross	190,000,000		0	0
Debt instrument, face amount	$ 190,000,000	$ 190,000,000.0
Debt instrument, interest rate, stated percentage	0.75%
Less: current portion of long-term debt	$ (108,900,000)
Long-term debt, less current portion	89,900,000
Senior Notes \| 3.81% series A senior notes
Debt Instrument [Line Items]
Long-term debt, gross	$ 100,000,000		100,000,000	100,000,000
Debt instrument, face amount					$ 100,000,000.0	$ 100,000,000.0
Debt instrument, interest rate, stated percentage	3.81%					3.81%
Senior Notes \| 3.91% series B senior notes
Debt Instrument [Line Items]
Long-term debt, gross	$ 100,000,000		100,000,000	100,000,000
Debt instrument, face amount					$ 100,000,000.0	$ 100,000,000.0
Debt instrument, interest rate, stated percentage	3.91%					3.91%
Line of Credit
Debt Instrument [Line Items]
Long-term debt, gross	$ 0		$ 0	$ 0

Indebtedness - Narrative (Details)				1 Months Ended			3 Months Ended		9 Months Ended
Indebtedness - Narrative (Details)	Mar. 30, 2020 USD ($) payment	Apr. 30, 2019 USD ($)	Apr. 26, 2007 USD ($)	Mar. 31, 2019 USD ($)	Jun. 30, 2018 USD ($)	Jun. 30, 1997 USD ($) instrument	Jul. 31, 2020 USD ($)	Aug. 02, 2019 USD ($)	Jul. 31, 2020 USD ($)	Aug. 02, 2019 USD ($)	Oct. 31, 2019 USD ($)	Jun. 30, 2019 USD ($)	Jun. 27, 2019 USD ($)	Jun. 01, 2018 USD ($)
Debt Instrument [Line Items]
Fiscal 2020 (remainder)							$ 0.0		$ 0.0
Fiscal 2021							28,500,000		28,500,000
Fiscal 2022							161,300,000		161,300,000
Fiscal 2023							127,200,000		127,200,000
Fiscal 2024							153,000,000.0		153,000,000.0
Fiscal 2025							0.0		0.0
After fiscal 2025							425,000,000.0		425,000,000.0
Long-term debt							890,905,000	$ 720,681,000	890,905,000	$ 720,681,000	$ 700,813,000
Current portion of long-term debt							108,869,000	99,877,000	108,869,000	99,877,000	79,914,000
Long-term debt, less current portion							782,036,000	620,804,000	782,036,000	620,804,000	620,899,000
Line of Credit
Debt Instrument [Line Items]
Long-term debt, gross							$ 100,000,000	100,000,000	$ 100,000,000	100,000,000	100,000,000
Debt instrument, interest rate, stated percentage							7.80%		7.80%
Debt Securities Issued In June 1997
Debt Instrument [Line Items]
Debt instrument, face amount						$ 175,000,000.0
Corporate Debt Securities
Debt Instrument [Line Items]
Debt instrument, term						30 years
Long-term debt						$ 100,000,000.0
Debt instrument, interest rate, stated percentage						7.80%	7.80%		7.80%
Interest expense, debt							$ 2,000,000.0	6,000,000.0	$ 2,000,000.0	6,000,000.0
Payment made to terminate interest rate derivatives						$ 23,700,000
Number of interest rate derivatives held \| instrument						3
Derivative, notional amount						$ 125,000,000.0
Deferred income earned on swap balance at termination						$ 18,700,000
Coupon 7.125 Percent Debt Notes
Debt Instrument [Line Items]
Debt instrument, term						10 years
Debt instrument, face amount						$ 75,000,000.0
Debt instrument, interest rate, stated percentage						7.125%
6.625% senior notes
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate			0.30%
Senior Notes
Debt Instrument [Line Items]
Interest expense, debt							2,100,000	6,300,000	2,100,000	6,300,000
Line of Credit
Debt Instrument [Line Items]
Debt instrument, term					5 years
Maximum borrowing capacity under credit facility														$ 600,000,000.0
Line of credit facility, maximum borrowing capacity, accordion feature					$ 300,000,000.0
Payments of debt issuance costs					1,900,000
Long-term debt, gross							0	0	0	0	0
Debt instrument, unused borrowing capacity, amount							598,000,000.0	598,100,000	598,000,000.0	598,100,000	598,100,000
Interest expense, debt							0	200,000	800,000	1,900,000
Senior Notes
Debt Instrument [Line Items]
Payments of debt issuance costs				$ 600,000
Interest expense, debt							900,000	3,700,000	4,300,000	5,300,000
Senior Notes \| $200 million and $300 million term loans
Debt Instrument [Line Items]
Debt instrument, face amount				$ 500,000,000.0
Senior Notes \| $200 million term loan
Debt Instrument [Line Items]
Debt instrument, term				3 years
Long-term debt, gross							100,000,000	100,000,000	100,000,000	100,000,000	100,000,000
Debt instrument, face amount				$ 200,000,000.0			200,000,000		200,000,000
Repayments of long-term lines of credit									100,000,000.0
Senior Notes \| $300 million term loan
Debt Instrument [Line Items]
Debt instrument, term				5 years
Long-term debt, gross							180,000,000	200,000,000	180,000,000	200,000,000	180,000,000
Debt instrument, face amount				$ 300,000,000.0			300,000,000		300,000,000
Amortization payment percentage				2.50%
Principal payment requirement term				3 years 3 months
Repayments of long-term lines of credit									120,000,000.0
Senior Notes \| $190 million term loan
Debt Instrument [Line Items]
Debt instrument, term	3 years
Long-term debt, gross							190,000,000	0	190,000,000	0	0
Debt instrument, face amount	$ 190,000,000.0						$ 190,000,000		$ 190,000,000
Debt instrument, interest rate, stated percentage							0.75%		0.75%
Current portion of long-term debt							$ 108,900,000		$ 108,900,000
Long-term debt, current maturities, amortization payments							19,000,000.0		19,000,000.0
Interest expense, debt							1,100,000		1,500,000
Long-term debt, less current portion							89,900,000		89,900,000
Senior Notes \| Series A and Series B Senior Notes
Debt Instrument [Line Items]
Debt issuance costs, gross												$ 700,000
Interest expense, debt							1,900,000	800,000	5,800,000	800,000
Senior Notes \| Series A and Series B Senior Notes \| Debt Instrument, Redemption, Period One
Debt Instrument [Line Items]
Debt instrument, redemption price, percentage		10.00%
Senior Notes \| Series A and Series B Senior Notes \| Debt Instrument, Redemption, Period Two
Debt Instrument [Line Items]
Debt instrument, redemption price, percentage		100.00%
Senior Notes \| Series A and Series B Senior Notes \| Debt Instrument, Redemption, Period Three
Debt Instrument [Line Items]
Debt instrument, redemption price, percentage		100.00%
Senior Notes \| 3.81% series A senior notes
Debt Instrument [Line Items]
Long-term debt, gross							$ 100,000,000	100,000,000	$ 100,000,000	100,000,000	100,000,000
Debt instrument, face amount		$ 100,000,000.0											$ 100,000,000.0
Debt instrument, interest rate, stated percentage		3.81%					3.81%		3.81%
Senior Notes \| 3.91% series B senior notes
Debt Instrument [Line Items]
Long-term debt, gross							$ 100,000,000	100,000,000	$ 100,000,000	100,000,000	100,000,000
Debt instrument, face amount		$ 100,000,000.0											$ 100,000,000.0
Debt instrument, interest rate, stated percentage		3.91%					3.91%		3.91%
Senior Notes \| 6.625% senior notes
Debt Instrument [Line Items]
Debt instrument, face amount			$ 125,000,000.0
Debt instrument, interest rate, stated percentage			6.625%				6.625%		6.625%
Debt instrument issuance price as percentage of par value			98.513%
Debt instrument, unamortized discount			$ 1,900,000
Unamortized debt issuance expense			$ 1,500,000
Debt instrument, interest rate, effective percentage							6.741%		6.741%
Debt instrument, repurchase offer due to change of control and downgrade of notes below an investment grade rating, percentage of principal									101.00%
Standby Letters of Credit \| Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity under credit facility					10,000,000.0
Long-term debt							$ 2,000,000.0	$ 1,900,000	$ 2,000,000.0	$ 1,900,000	$ 1,900,000
Bridge Loan \| Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity under credit facility					$ 30,000,000.0
Debt Instrument, Repayment Period One \| Senior Notes \| $190 million term loan
Debt Instrument [Line Items]
Amortization payments, number of payments, year one \| payment	4
Amortization payment percentage	5.00%
Debt Instrument, Repayment Period Two \| Senior Notes \| $190 million term loan
Debt Instrument [Line Items]
Amortization payments, loan percentage, thereafter	7.50%

Management Actions - Narrative (Details) - Disposal Group, Not Discontinued Operations - Toro Underground Wind Down - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019	Oct. 31, 2020
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income (loss) from individually significant component disposed of or held-for-sale, excluding discontinued operations, attributable to parent, before income tax	$ 0		$ 900,000
Disposal group, inventory write-down		$ 7,200,000		$ 7,200,000
Accrued liabilities	$ 900,000		$ 900,000
Net Sales
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income (loss) from individually significant component disposed of or held-for-sale, excluding discontinued operations, attributable to parent, before income tax		$ 1,900,000		$ 1,900,000
Scenario, Forecast \| Minimum
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income (loss) from individually significant component disposed of or held-for-sale, excluding discontinued operations, attributable to parent, before income tax					$ 10,000,000.0
Scenario, Forecast \| Maximum
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income (loss) from individually significant component disposed of or held-for-sale, excluding discontinued operations, attributable to parent, before income tax					$ 11,000,000.0

Inventories Inventories - Narrative (Details) $ in Thousands	Mar. 02, 2020 USD ($)
Venture Products, Inc Affiliate
Business Acquisition [Line Items]
Inventory acquired	$ 23,000

Inventories - Schedule of Inventory (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Inventory Disclosure [Abstract]
Raw materials and work in process	$ 197,439	$ 179,967	$ 174,348
Finished goods and service parts	540,840	553,767	518,465
Total FIFO value	738,279	733,734	692,813
Less: adjustment to LIFO value	82,071	82,071	72,201
Total inventories, net	$ 656,208	$ 651,663	$ 620,612

Property and Depreciation - Narrative (Details) - USD ($) $ in Thousands	9 Months Ended
	Jul. 31, 2020	Mar. 02, 2020
Buildings and leasehold improvements \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	10 years
Buildings and leasehold improvements \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	40 years
Equipment \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	15 years
Tooling \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	5 years
Software and Software Development Costs \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	5 years
Venture Products, Inc Affiliate
Property, Plant and Equipment [Line Items]
Property, plant and equipment		$ 26,976

Property and Depreciation - Summary (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	$ 1,212,229	$ 1,141,699	$ 1,122,150
Less: accumulated depreciation	754,338	704,382	695,735
Property, plant, and equipment, net	457,891	437,317	426,415
Land and land improvements
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	56,257	55,613	55,786
Buildings and leasehold improvements
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	289,484	276,556	259,928
Machinery and equipment
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	474,519	453,314	420,262
Tooling
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	218,851	226,870	224,230
Computer hardware and software
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	95,891	94,409	91,577
Construction in process
Property, Plant and Equipment [Line Items]
Property, plant, and equipment, gross	$ 77,227	$ 34,937	$ 70,367

Warranty Guarantees - Schedule of Changes in Accrued Warranties (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Warranty provisions, claims, and changes in estimates
Beginning balance	$ 102,884	$ 95,752	$ 96,604	$ 76,214
Provisions	15,186	14,232	46,289	42,734
Acquisitions	0	0	2,557	14,272
Claims	(16,800)	(17,514)	(48,430)	(39,685)
Changes in estimates	226	2,096	4,476	1,031
Ending balance	$ 101,496	$ 94,566	$ 101,496	$ 94,566

Investment in Finance Affiliate - Narrative (Details) - USD ($)	9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Dec. 20, 2019	Oct. 31, 2019	Jun. 01, 2018
Schedule of Equity Method Investments
Total assets	$ 2,813,863,000	$ 2,309,733,000		$ 2,330,547,000
Red Iron Acceptance, LLC
Schedule of Equity Method Investments
Portion owned by Toro (as a percent)	45.00%
Portion owned by TCFIF (as a percent)	55.00%
Period of unlimited automatic extensions after the initial term of joint venture	2 years
Period of notice to be given by parties under joint venture for not extending initial term of joint venture	1 year
Period of review for products acquired in future acquisitions to asses potential benefits and detriments	2 years
Period of pro-rata payback after initial term of joint venture	5 years
Maximum borrowing capacity under credit facility	$ 625,000,000.0
Investment in joint venture	22,600,000	25,100,000		24,100,000
Maximum aggregate amount of products repossessed by Red Iron and the TCFIF Canadian affiliate, entity has agreed to repurchase in a calendar year	7,500,000
Net amount of new receivables financed for dealers and distributors	1,374,300,000	1,513,300,000
Equity method investment summarized financial information, receivables, net	21,000,000.0	$ 32,500,000		21,700,000
Line of Credit
Schedule of Equity Method Investments
Maximum borrowing capacity under credit facility					$ 600,000,000.0
Line of Credit \| Red Iron Acceptance, LLC \| TCFIF secured revolving credit facility
Schedule of Equity Method Investments
Maximum borrowing capacity under credit facility			$ 625,000,000	$ 550,000,000
Equity Method Investment, Nonconsolidated Investee or Group of Investees \| Red Iron Acceptance, LLC
Schedule of Equity Method Investments
Total assets	457,200,000
Total liabilities	$ 407,000,000.0

Stock-Based Compensation - Compensation Costs Related to Stock-Based Awards Granted (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Stock-Based Compensation
Total compensation cost for stock-based awards	$ 4,955	$ 3,234	$ 10,322	$ 10,258
Unrestricted common stock awards
Stock-Based Compensation
Total compensation cost for stock-based awards	0	0	$ 693	$ 592
Unrestricted common stock awards \| Board of Directors
Stock-Based Compensation
Fully vested unrestricted common stock awards granted (in shares)			8,920	10,090
Stock option awards
Stock-Based Compensation
Total compensation cost for stock-based awards	2,483	1,678	$ 6,577	$ 4,841
Performance share awards
Stock-Based Compensation
Total compensation cost for stock-based awards	1,665	666	327	2,483
Restricted stock unit awards
Stock-Based Compensation
Total compensation cost for stock-based awards	$ 807	$ 890	$ 2,725	$ 2,342

Stock-Based Compensation - Stock Option Awards (Details) - Stock option awards - $ / shares	9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019
Assumptions for options granted
Expected life of option in years	6 years 3 months 21 days	6 years 3 months 21 days
Expected stock price volatility (as a percent)	19.53%	19.83%
Risk-free interest rate (as a percent)	1.73%	2.77%
Expected dividend yield (as a percent)	0.99%	1.18%
Weighted-average fair value at date of grant (in dollars per share)	$ 15.23	$ 12.83
Board of Directors
Stock-Based Compensation
Vesting period	3 years
Term of options	10 years
Certain employees
Stock-Based Compensation
Vesting period	3 years
Term of options	10 years
Non-employee members of Board of Directors
Stock-Based Compensation
Requisite service period for non-employee director after which fair value of options granted is fully expensed on the date of grant	10 years
Tranche One \| Board of Directors
Stock-Based Compensation
Vesting (as a percent)	33.33%
Tranche Two \| Board of Directors
Stock-Based Compensation
Vesting (as a percent)	33.33%
Tranche Three \| Board of Directors
Stock-Based Compensation
Vesting (as a percent)	33.33%

Stock-Based Compensation - Performance Share Awards and Restricted Stock and Restricted Stock Unit Awards (Details) - $ / shares	3 Months Ended						9 Months Ended
	Jul. 31, 2020	May 01, 2020	Jan. 31, 2020	Aug. 02, 2019	May 03, 2019	Feb. 01, 2019	Jul. 31, 2020	Aug. 02, 2019
Restricted stock and restricted stock unit awards
Stock-Based Compensation
Weighted-average fair value of awards granted (in dollars per share)							$ 74.43	$ 66.00
Vesting period							3 years
Performance share awards
Stock-Based Compensation
Performance goal period							3 years
Weighted-average fair value of awards granted (in dollars per share)			$ 77.33			$ 59.58
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period (in shares)	0	0		0	0
Performance share awards \| Maximum
Stock-Based Compensation
Vesting (as a percent)							200.00%
Performance share awards \| Minimum
Stock-Based Compensation
Vesting (as a percent)							0.00%
Tranche One \| Restricted stock and restricted stock unit awards
Stock-Based Compensation
Vesting (as a percent)							33.33%
Tranche Two \| Restricted stock and restricted stock unit awards
Stock-Based Compensation
Vesting (as a percent)							33.33%
Tranche Three \| Restricted stock and restricted stock unit awards
Stock-Based Compensation
Vesting (as a percent)							33.33%

Stockholders' Equity - Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Accumulated other comprehensive loss (AOCL)
Foreign currency translation adjustments	$ 22,905	$ 31,025	$ 33,862
Pension and post-retirement benefits	3,949	4,861	561
Cash flow derivative instruments	7,722	(3,837)	(7,755)
Total accumulated other comprehensive loss	$ 34,576	$ 32,049	$ 26,668

- Definition

Accumulated change in equity from transactions and other events and circumstances from non-owner sources, net of tax effect, at period end. Excludes Net Income (Loss), and accumulated changes in equity from transactions resulting from investments by owners and distributions to owners. Includes foreign currency translation items, certain pension adjustments, unrealized gains and losses on certain investments in debt and equity securities, other than temporary impairment (OTTI) losses related to factors other than credit losses on available-for-sale and held-to-maturity debt securities that an entity does not intend to sell and it is not more likely than not that the entity will be required to sell before recovery of the amortized cost basis, as well as changes in the fair value of derivatives related to the effective portion of a designated cash flow hedge.

+ References + Details

Stockholders' Equity - Components and Activity of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Components and activity of accumulated other comprehensive loss
Balance as of the beginning of the fiscal period	$ (984,950)	$ (805,277)	$ (859,578)	$ (668,916)
Other comprehensive (income) loss before reclassifications	2,827	3,042	9,409	7,056
Amounts reclassified from AOCL	(1,953)	(1,490)	(6,882)	(4,325)
Net current period other comprehensive (income) loss	874	1,552	2,527	2,731
Balance as of the end of the fiscal period	(1,054,032)	(843,822)	(1,054,032)	(843,822)
Accumulated Other Comprehensive Loss
Components and activity of accumulated other comprehensive loss
Balance as of the beginning of the fiscal period	33,702	25,116	32,049	23,937
Net current period other comprehensive (income) loss	874	1,552	2,527	2,731
Balance as of the end of the fiscal period	34,576	26,668	34,576	26,668
Foreign Currency Translation Adjustments
Components and activity of accumulated other comprehensive loss
Balance as of the beginning of the fiscal period	36,916	30,047	31,025	29,711
Other comprehensive (income) loss before reclassifications	(14,011)	3,815	(8,120)	4,151
Net current period other comprehensive (income) loss	(14,011)	3,815	(8,120)	4,151
Balance as of the end of the fiscal period	22,905	33,862	22,905	33,862
Pension and Post-Retirement Benefits
Components and activity of accumulated other comprehensive loss
Balance as of the beginning of the fiscal period	3,949	561	4,861	561
Amounts reclassified from AOCL			(912)
Net current period other comprehensive (income) loss	0		(912)
Balance as of the end of the fiscal period	3,949	561	3,949	561
Cash Flow Hedging Derivative Instruments
Components and activity of accumulated other comprehensive loss
Balance as of the beginning of the fiscal period	(7,163)	(5,492)	(3,837)	(6,335)
Other comprehensive (income) loss before reclassifications	16,838	(773)	17,529	2,905
Amounts reclassified from AOCL	(1,953)	(1,490)	(5,970)	(4,325)
Net current period other comprehensive (income) loss	14,885	(2,263)	11,559	(1,420)
Balance as of the end of the fiscal period	$ 7,722	$ (7,755)	$ 7,722	$ (7,755)

- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

+ References + Details

Per Share Data - Reconciliations of Basic and Diluted Weighted-Average Share (Details) - shares	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Basic
Weighted-average number of shares of common stock (in shares)	107,710,000	107,005,000	107,547,000	106,630,000
Assumed issuance of contingent shares (in shares)	0	0	14,000	14,000
Weighted-average number of shares of common stock and assumed issuance of contingent shares (in shares)	107,710,000	107,005,000	107,561,000	106,644,000
Diluted
Weighted-average number of shares of common stock and assumed issuance of contingent shares (in shares)	107,710,000	107,005,000	107,561,000	106,644,000
Effect of dilutive securities (in shares)	833,000	1,248,000	1,008,000	1,380,000
Weighted-average number of shares of common stock, assumed issuance of contingent shares, and effect of dilutive securities (in shares)	108,543,000	108,253,000	108,569,000	108,024,000
Options, restricted stock, and restricted stock units, excluded from the diluted earnings per share (in shares)	635,002	378,850	493,723	865,648

Leases - Narrative (Details)	Jul. 31, 2020
Minimum
Lessee, Lease, Description [Line Items]
Lessee, operating lease, renewal term	2 years
Maximum
Lessee, Lease, Description [Line Items]
Lessee, operating lease, renewal term	10 years

Leases - Lease Expense Incurred (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Jul. 31, 2020	Jul. 31, 2020
Leases [Abstract]
Operating lease expense	$ 4,036	$ 14,253
Short-term lease expense	876	2,204
Variable lease expense	20	116
Total lease expense	$ 4,932	$ 16,573

Leases - Supplemental Cash Flow and Other Lease Information (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Jul. 31, 2020	Jul. 31, 2020
Leases [Abstract]
Operating cash flows for amounts included in the measurement of lease liabilities	$ 3,683	$ 13,949
Right-of-use assets obtained in exchange for lease obligations	$ 1,656	$ 18,698

Leases - Summary of Other Lease Information (Details)	Jul. 31, 2020
Leases [Abstract]
Weighted-average remaining lease term of operating leases in years	7 years 2 months 12 days
Weighted-average discount rate of operating leases	2.80%

Leases - Schedule of Future Minimum Operating Lease Payments (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019
ASC Topic 842 Leases
2020 (remaining)	$ 24,574
2021	17,822
2022	15,172
2023	12,102
2024	10,787
Thereafter	33,468
Total future minimum operating lease payments	113,925
Less: imputed interest	28,991
Present value of operating lease liabilities	$ 84,934
ASC Topic 840 Leases
2020		$ 17,135
2021		15,764
2022		12,806
2023		9,772
2024		8,863
Thereafter		18,732
Total future minimum lease payments		$ 83,072

Derivative Instruments and Hedging Activities - Narrative (Details)	3 Months Ended	9 Months Ended
	Jul. 31, 2020 USD ($)	Jul. 31, 2020 USD ($)
Derivative Instruments, Gain (Loss) [Line Items]
Maximum length of time hedged in cash flow hedge		2 years
Cash flow hedge effectiveness measurement period		2 months
Loss on discontinuation of cash flow hedge due to forecasted transaction probable of not occurring	$ 600,000	$ 100,000
Gain (loss) from AOCL earnings		(6,100,000)
Forward currency contracts
Derivative Instruments, Gain (Loss) [Line Items]
Derivative, notional amount	$ 265,000,000.0	$ 265,000,000.0

Derivative Instruments and Hedging Activities - Fair Value and Location of Derivative Instruments (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Fair value of derivatives
Derivative assets:	$ 108	$ 10,898	$ 16,431
Derivative liabilities:	6,097	9	0
Forward currency contracts
Fair value of derivatives
Derivative assets:	108	10,898	16,431
Derivative liabilities:	6,097	9	0
Forward currency contracts \| Derivatives designated as cash flow hedging instruments: \| Prepaid expenses and other current assets
Fair value of derivatives
Derivative assets:	(645)	8,642	12,511
Forward currency contracts \| Derivatives designated as cash flow hedging instruments: \| Accrued liabilities
Fair value of derivatives
Derivative liabilities:	5,248	0	0
Forward currency contracts \| Derivatives not designated as cash flow hedging instruments: \| Prepaid expenses and other current assets
Fair value of derivatives
Derivative assets:	753	2,256	3,920
Forward currency contracts \| Derivatives not designated as cash flow hedging instruments: \| Accrued liabilities
Fair value of derivatives
Derivative liabilities:	$ 849	$ 9	$ 0

Derivative Instruments and Hedging Activities - Effects of Master Netting Arrangements (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Derivative assets:
Net amounts of assets presented in the Condensed Consolidated Balance Sheets	$ 108	$ 10,898	$ 16,431
Derivative liabilities:
Net amounts of liabilities presented in the Condensed Consolidated Balance Sheets	(6,097)	(9)	0
Forward currency contracts
Derivative assets:
Gross amounts of recognized assets	1,116	11,056	16,496
Gross liabilities offset in the Condensed Consolidated Balance Sheets	(1,008)	(158)	(65)
Net amounts of assets presented in the Condensed Consolidated Balance Sheets	108	10,898	16,431
Derivative liabilities:
Gross amounts of recognized liabilities	(6,465)	(9)	0
Gross assets offset in the Condensed Consolidated Balance Sheets	368	0	0
Net amounts of liabilities presented in the Condensed Consolidated Balance Sheets	$ (6,097)	$ (9)	$ 0

Derivative Instruments and Hedging Activities - Impact and Location of Amounts Reclassified from AOCL and Impacts and Location on OCI (Details) - Cash flow hedging - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Gain Reclassified from AOCL into Earnings	$ 1,953	$ 1,490	$ 5,970	$ 4,325
Gain (Loss) Recognized in OCI on Derivatives	(14,885)	2,263	(11,559)	1,420
Forward currency contracts \| Net Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain Reclassified from AOCL into Earnings	1,795	1,350	5,272	3,828
Gain (Loss) Recognized in OCI on Derivatives	(13,501)	2,022	(10,396)	1,307
Forward currency contracts \| Cost of Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain Reclassified from AOCL into Earnings	158	140	698	497
Gain (Loss) Recognized in OCI on Derivatives	$ (1,384)	$ 241	$ (1,163)	$ 113

Derivative Instruments and Hedging Activities - Impact and Location of Derivative Instruments for Derivatives Designated as Cash Flow Hedging and the Related Components Excluded From Effectiveness Testing (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Net sales	$ 840,972	$ 838,713	$ 2,537,853	$ 2,403,705
Cost of Sales	(546,398)	(572,732)	(1,648,474)	(1,600,809)
Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain reclassified from AOCL into earnings	1,953	1,490	5,970	4,325
Net Sales \| Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Net sales	840,972	838,713	2,537,853	2,403,705
Cost of Sales \| Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Cost of Sales	(546,398)	(572,732)	(1,648,474)	(1,600,809)
Forward currency contracts \| Net Sales \| Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain reclassified from AOCL into earnings	1,795	1,350	5,272	3,828
Gain on components excluded from effectiveness testing recognized in earnings based on changes in fair value	191	1,262	3,183	3,579
Forward currency contracts \| Cost of Sales \| Cash flow hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain reclassified from AOCL into earnings	158	140	698	497
Gain on components excluded from effectiveness testing recognized in earnings based on changes in fair value	$ 86	$ 18	$ 231	$ 34

- Definition

+ References

+ Details

Derivative Instruments and Hedging Activities - Impact and Location of Derivatives Not Designated As Cash Flow Hedging Instruments (Details) - Other income, net - Derivatives not designated as cash flow hedging instruments: - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 31, 2020	Aug. 02, 2019	Jul. 31, 2020	Aug. 02, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Total gain (loss) on derivatives not designated as cash flow hedging instruments	$ (7,093)	$ (555)	$ (5,316)	$ 172
Forward currency contracts
Derivative Instruments, Gain (Loss) [Line Items]
Total gain (loss) on derivatives not designated as cash flow hedging instruments	$ (7,093)	$ (555)	$ (5,316)	$ 172

Fair Value Measurements - Fair Value Hierarchy (Details) - USD ($) $ in Thousands	Jul. 31, 2020	Oct. 31, 2019	Aug. 02, 2019
Assets:
Forward currency contracts	$ 108	$ 10,898	$ 16,431
Liabilities:
Forward currency contracts	6,097	9	0
Forward currency contracts
Assets:
Forward currency contracts	108	10,898	16,431
Liabilities:
Forward currency contracts	6,097	9	0
Measured on a recurring basis
Assets:
Total assets	108	10,898	16,431
Liabilities:
Total liabilities	6,097	9
Measured on a recurring basis \| Forward currency contracts
Assets:
Forward currency contracts	108	10,898	16,431
Liabilities:
Forward currency contracts	6,097	9
Measured on a recurring basis \| Level 1
Assets:
Total assets	0	0	0
Liabilities:
Total liabilities	0	0
Measured on a recurring basis \| Level 1 \| Forward currency contracts
Assets:
Forward currency contracts	0	0	0
Liabilities:
Forward currency contracts	0	0
Measured on a recurring basis \| Level 2
Assets:
Total assets	108	10,898	16,431
Liabilities:
Total liabilities	6,097	9
Measured on a recurring basis \| Level 2 \| Forward currency contracts
Assets:
Forward currency contracts	108	10,898	16,431
Liabilities:
Forward currency contracts	6,097	9
Measured on a recurring basis \| Level 3
Assets:
Total assets	0	0	0
Liabilities:
Total liabilities	0	0
Measured on a recurring basis \| Level 3 \| Forward currency contracts
Assets:
Forward currency contracts	0	0	$ 0
Liabilities:
Forward currency contracts	$ 0	$ 0

Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions	Jul. 31, 2020	Oct. 31, 2019
Assets and liabilities measured at fair value disclosures
Long-term debt, percentage bearing fixed interest, amount	$ 424.0	$ 423.9
Level 2
Assets and liabilities measured at fair value disclosures
Long-term debt, fair value	$ 500.4	$ 493.8