Document_and_Entity_Informatio
Document and Entity Information (USD $) | 3 Months Ended |
In Millions, except Share data, unless otherwise specified | Mar. 31, 2015 |
Document and Entity Information [Abstract] | |
Document Type | 10-Q |
Document Period End Date | 31-Mar-15 |
Amendment Flag | FALSE |
Document Fiscal Year Focus | 2015 |
Document Fiscal Period Focus | Q1 |
Current Fiscal Year End Date | -19 |
Entity Registrant Name | UNITED TECHNOLOGIES CORP /DE/ |
Entity Central Index Key | 101829 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Public Float | $105,495 |
Entity Common Stock, Shares Outstanding | 890,201,794 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statement of Operations Condensed Consolidated Statement of Operations (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenue, Net [Abstract] | ||
Sales Revenue, Goods, Net | $10,373 | $10,692 |
Sales Revenue, Services, Net | 4,168 | 4,053 |
Total net sales | 14,541 | 14,745 |
Costs and Expenses [Abstract] | ||
Cost of products sold | 7,830 | 8,081 |
Cost of services sold | 2,693 | 2,609 |
Research and development | 602 | 624 |
Selling, general and administrative | 1,563 | 1,596 |
Total costs and expenses | 12,688 | 12,910 |
Other income, net | 421 | 263 |
Operating profit | 2,274 | 2,098 |
Interest expense, net | 218 | 225 |
Income before income taxes | 2,056 | 1,873 |
Income tax expense | 558 | 567 |
Net Income | 1,498 | 1,306 |
Less: Noncontrolling interest in subsidiaries' earnings | 72 | 93 |
Net income attributable to common shareowners | $1,426 | $1,213 |
Earnings Per Share, Basic [Abstract] | ||
Basic | $1.60 | $1.35 |
Earnings Per Share, Diluted [Abstract] | ||
Diluted | $1.58 | $1.32 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statement of Comprehensive Income (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent [Abstract] | ||
Foreign currency translation adjustments arising during period | ($705) | ($109) |
Reclassification adjustments for (gain) loss on sale of an investment in a foreign entity recognized in Other income, net | 2 | -3 |
Total Foreign currency translation adjustments | -707 | -106 |
Statement of Comprehensive Income [Abstract] | ||
Net income | 1,498 | 1,306 |
Pension and post-retirement benefit plans | ||
Pension and post-retirement benefit plans adjustments during the period | 52 | 19 |
Amortization of actuarial loss, prior service cost and transition obligation | 217 | 104 |
Total pension and post-retirement benefit plans, before tax | -269 | -123 |
Tax expense | -97 | -40 |
Pension and Other Postretirement Benefit Plans, Net of Tax | -172 | -83 |
Unrealized gain on available-for-sale securities | ||
Unrealized holding gain arising during period | 86 | 32 |
Reclassification adjustments for gain included in Other income, net | 28 | 24 |
Total unrealized gain on available for-sale securities, before tax | 58 | 8 |
Tax expense | 22 | 3 |
Total unrealized gain on available for-sale securities, net of tax | 36 | 5 |
Change in unrealized cash flow hedging | ||
Unrealized cash flow hedging loss arising during the period | -184 | -80 |
Loss reclassified into Product Sales | -57 | -18 |
Total unrealized loss on cash-flow hedging, before tax | -127 | -62 |
Tax benefit | -36 | -12 |
Total unrealized loss on cash-flow hedging, net of tax | -91 | -50 |
Other comprehensive loss, net of tax | -590 | -68 |
Comprehensive income | 908 | 1,238 |
Comprehensive income attributable to noncontrolling interest | 32 | 86 |
Comprehensive income attributable to common shareowners | $876 | $1,152 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheet (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Assets | ||
Cash and Cash Equivalents, at Carrying Value | $5,281 | $5,235 |
Accounts receivable, net | 11,512 | 11,317 |
Inventories and contracts in progress, net | 10,336 | 9,865 |
Future income tax benefits, current | 1,893 | 1,931 |
Other Assets, current | 936 | 1,410 |
Total Current Assets | 29,958 | 29,758 |
Customer financing assets | 993 | 978 |
Future income tax benefits | 1,462 | 1,494 |
Fixed assets | 19,632 | 19,764 |
Less: Accumulated depreciation | 10,457 | 10,488 |
Fixed assets, net | 9,175 | 9,276 |
Goodwill | 27,557 | 27,796 |
Intangible assets, net | 15,571 | 15,560 |
Other assets | 6,611 | 6,427 |
Total Assets | 91,327 | 91,289 |
Liabilities and Equity | ||
Short-term borrowings | 2,314 | 126 |
Accounts payable | 6,929 | 6,967 |
Accrued liabilities | 14,616 | 14,006 |
Long-term debt currently due | 1,870 | 1,796 |
Total Current Liabilities | 25,729 | 22,895 |
Long-term debt | 17,809 | 17,872 |
Future pension and postretirement benefit obligations | 6,494 | 6,683 |
Other long-term liabilities | 10,993 | 11,135 |
Total Liabilities | 61,025 | 58,585 |
Commitments and contingent liabilities (Note 13) | ||
Redeemable noncontrolling interest | 135 | 140 |
Shareowners' Equity: | ||
Common Stock | 15,032 | 15,300 |
Treasury Stock | 24,520 | 21,922 |
Retained earnings | 45,462 | 44,611 |
Unearned ESOP shares | 113 | 115 |
Accumulated other comprehensive loss | -7,211 | -6,661 |
Total Shareowners' Equity | 28,650 | 31,213 |
Noncontrolling interest | 1,517 | 1,351 |
Total Equity | 30,167 | 32,564 |
Total Liabilities and Equity | $91,327 | $91,289 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statement of Cash Flows (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating Activities: | ||
Net income | $1,498 | $1,306 |
Adjustments to reconcile income from continuing operations to net cash flows provided by operating activities of continuing operations: | ||
Depreciation and amortization | 479 | 467 |
Deferred income tax provision | 145 | 44 |
Stock compensation cost | 51 | 60 |
Change in: | ||
Accounts receivable | 450 | 66 |
Inventories and contracts in progress | 453 | 712 |
Other current assets | 0 | 5 |
Accounts payable and accrued liabilities | 264 | 262 |
Global pension contributions | 45 | 84 |
Other operating activities, net | 179 | -63 |
Net cash flows provided by operating activities | 1,310 | 1,335 |
Investing Activities: | ||
Capital expenditures | 348 | 333 |
Investments in businesses | 230 | 17 |
Dispositions of businesses | 158 | 123 |
(Increase) decrease in customer financing assets, net | 14 | -12 |
Increase in collaboration intangible assets | 132 | 142 |
Receipts (payments) from settlements of derivative contracts | -569 | 113 |
Other investing activities, net | -170 | -28 |
Net cash flows used in provided by (used in) investing activities | 173 | -442 |
Financing Activities of Continuing Operations: | ||
Issuance of long-term debt, net | 10 | 6 |
Increase (decrease) in short-term borrowings, net | 2,177 | -200 |
Proceeds from Common Stock issued under employee stock plans | 24 | 86 |
Dividends paid on Common Stock | 553 | 514 |
Repurchase of Common Stock | 3,000 | 335 |
Other financing activities, net | -42 | -38 |
Net cash flows used in financing activities | -1,384 | -995 |
Effect of Exchange Rate on Cash and Cash Equivalents [Abstract] | ||
Effect of foreign exchange rate changes on cash and cash equivalents | -53 | -40 |
Net increase (decrease) in cash and cash equivalents | 46 | -142 |
Cash and Cash Equivalents | 5,235 | 4,619 |
Cash and Cash Equivalents | $5,281 | $4,477 |
Introduction_of_Notes_to_Conde
Introduction of Notes to Condensed Consolidated Financial Statements | 3 Months Ended |
Mar. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Introduction of Notes to Condensed Consolidated Financial Statements | The Condensed Consolidated Financial Statements at March 31, 2015 and for the quarters ended March 31, 2015 and 2014 are unaudited, but in the opinion of management include all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of the results for the interim periods. The results reported in these Condensed Consolidated Financial Statements should not necessarily be taken as indicative of results that may be expected for the entire year. Certain reclassifications have been made to the prior year amounts to conform to the current year presentation. The financial information included herein should be read in conjunction with the financial statements and notes in our Annual Report to Shareowners (2014 Annual Report) incorporated by reference to our Annual Report on Form 10-K for calendar year 2014 (2014 Form 10-K). |
Acquisitions_Dispositions_Good
Acquisitions, Dispositions, Goodwill and Other Intangible Assets | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||||||||||||||||||||||||
Acquisitions, Dispositions, Goodwill and Other Intangible Assets [Text Block] | Acquisitions, Dispositions, Goodwill and Other Intangible Assets | ||||||||||||||||||||||||
Business Acquisitions and Dispositions. During the quarter ended March 31, 2015, our investment in business acquisitions was $247 million, including debt assumed of $17 million, and consisted of the acquisition of the majority interest in a UTC Climate, Controls & Security joint venture and a number of small acquisitions, primarily in our commercial businesses. | |||||||||||||||||||||||||
As a result of the 2012 transactions related to IAE International Aero Engines AG (IAE), Pratt & Whitney holds a 61% net interest in the collaboration and a 49.5% ownership interest in IAE. IAE's business purpose is to coordinate the design, development, manufacturing and product support of the V2500 jet engine program through involvement with the collaborators. IAE retains limited equity with the primary economics of the V2500 program passed to the participants in the separate collaboration arrangement. As such, we have determined that IAE is a variable interest entity with Pratt & Whitney its primary beneficiary, and IAE has, therefore, been consolidated. The carrying amounts and classification of assets and liabilities for IAE in our Condensed Consolidated Balance Sheet as of March 31, 2015 are as follows: | |||||||||||||||||||||||||
(Dollars in millions) | |||||||||||||||||||||||||
Current assets | $ | 1,980 | |||||||||||||||||||||||
Noncurrent assets | 928 | ||||||||||||||||||||||||
Total assets | $ | 2,908 | |||||||||||||||||||||||
Current liabilities | $ | 2,061 | |||||||||||||||||||||||
Noncurrent liabilities | 1,359 | ||||||||||||||||||||||||
Total liabilities | $ | 3,420 | |||||||||||||||||||||||
Goodwill. Changes in our goodwill balances for the quarter ended March 31, 2015 were as follows: | |||||||||||||||||||||||||
(Dollars in millions) | Balance as of | Goodwill | Foreign Currency Translation and Other | Balance as of | |||||||||||||||||||||
January 1, 2015 | Resulting from Business Combinations | 31-Mar-15 | |||||||||||||||||||||||
Otis | $ | 1,664 | $ | 7 | $ | (81 | ) | $ | 1,590 | ||||||||||||||||
UTC Climate, Controls & Security | 9,408 | 336 | (312 | ) | 9,432 | ||||||||||||||||||||
Pratt & Whitney | 1,481 | — | (1 | ) | 1,480 | ||||||||||||||||||||
UTC Aerospace Systems | 14,892 | — | (185 | ) | 14,707 | ||||||||||||||||||||
Sikorsky | 347 | — | (3 | ) | 344 | ||||||||||||||||||||
Total Segments | 27,792 | 343 | (582 | ) | 27,553 | ||||||||||||||||||||
Eliminations and other | 4 | — | — | 4 | |||||||||||||||||||||
Total | $ | 27,796 | $ | 343 | $ | (582 | ) | $ | 27,557 | ||||||||||||||||
Intangible Assets. Identifiable intangible assets are comprised of the following: | |||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||||||||||
(Dollars in millions) | Gross Amount | Accumulated | Gross Amount | Accumulated | |||||||||||||||||||||
Amortization | Amortization | ||||||||||||||||||||||||
Amortized: | |||||||||||||||||||||||||
Service portfolios | $ | 1,975 | $ | (1,254 | ) | $ | 2,103 | $ | (1,309 | ) | |||||||||||||||
Patents and trademarks | 366 | (189 | ) | 361 | (190 | ) | |||||||||||||||||||
IAE collaboration | 3,003 | (32 | ) | 2,872 | (20 | ) | |||||||||||||||||||
Customer relationships and other | 12,267 | (2,665 | ) | 12,189 | (2,623 | ) | |||||||||||||||||||
17,611 | (4,140 | ) | 17,525 | (4,142 | ) | ||||||||||||||||||||
Unamortized: | |||||||||||||||||||||||||
Trademarks and other | 2,100 | — | 2,177 | — | |||||||||||||||||||||
Total | $ | 19,711 | $ | (4,140 | ) | $ | 19,702 | $ | (4,142 | ) | |||||||||||||||
Customer relationship intangible assets include payments made to our customers to secure certain contractual rights. We amortize these intangible assets based on the underlying pattern of economic benefit, which may result in an amortization method other than straight-line. We classify amortization of such payments as a reduction of sales. The IAE collaboration intangible asset is amortized based upon the economic pattern of benefits as represented by the underlying cash flows. Amortization of intangible assets was approximately $179 million for each of the quarters ended March 31, 2015 and 2014. The following is the expected amortization of intangible assets for the years 2015 through 2020, which reflects an increase in expected amortization expense due to the pattern of economic benefit on certain aerospace intangible assets. | |||||||||||||||||||||||||
(Dollars in millions) | Remaining 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | |||||||||||||||||||
Amortization expense | $ | 521 | $ | 692 | $ | 729 | $ | 771 | $ | 744 | $ | 728 | |||||||||||||
Earnings_Per_Share
Earnings Per Share | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Earnings Per Share [Text Block] | Earnings Per Share | |||||||
Quarter Ended March 31, | ||||||||
(Dollars in millions, except per share amounts; shares in millions) | 2015 | 2014 | ||||||
Net income attributable to common shareowners | $ | 1,426 | $ | 1,213 | ||||
Basic weighted average number of shares outstanding | 890.3 | 900.9 | ||||||
Stock awards and equity units | 13.9 | 16.1 | ||||||
Diluted weighted average number of shares outstanding | 904.2 | 917 | ||||||
Earnings Per Share of Common Stock: | ||||||||
Basic | $ | 1.6 | $ | 1.35 | ||||
Diluted | 1.58 | 1.32 | ||||||
The computation of diluted earnings per share excludes the effect of the potential exercise of stock awards, including stock appreciation rights and stock options, when the average market price of the common stock is lower than the exercise price of the related stock awards during the period. These outstanding stock awards are not included in the computation of diluted earnings per share because the effect would be anti-dilutive. For the quarter ended March 31, 2015, the number of stock awards excluded from the computation was approximately 0.4 million. There were no anti-dilutive stock awards excluded from the computation for the quarter ended March 31, 2014. |
Inventories_and_Contracts_in_P
Inventories and Contracts in Progress | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Inventory Disclosure [Abstract] | ||||||||
Inventories and Contracts in Progress | Inventories and Contracts in Progress | |||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
Raw materials | $ | 2,058 | $ | 2,056 | ||||
Work-in-process | 4,006 | 3,596 | ||||||
Finished goods | 3,941 | 3,776 | ||||||
Contracts in progress | 8,210 | 8,189 | ||||||
18,215 | 17,617 | |||||||
Less: | ||||||||
Progress payments, secured by lien, on U.S. Government contracts | (434 | ) | (300 | ) | ||||
Billings on contracts in progress | (7,445 | ) | (7,452 | ) | ||||
$ | 10,336 | $ | 9,865 | |||||
Inventory also includes capitalized contract development costs related to certain aerospace programs at UTC Aerospace Systems. As of March 31, 2015 and December 31, 2014, these capitalized costs were $131 million and $141 million, respectively, which will be liquidated as production units are delivered to the customer. |
Borrowings_and_Lines_of_Credit
Borrowings and Lines of Credit | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Borrowings and Lines of Credit | Borrowings and Lines of Credit | |||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
Commercial paper | $ | 2,180 | $ | — | ||||
Other borrowings | 134 | 126 | ||||||
Total short-term borrowings | $ | 2,314 | $ | 126 | ||||
At March 31, 2015, we had revolving credit agreements with various banks permitting aggregate borrowings of up to $5.85 billion pursuant to a $2.20 billion revolving credit agreement and a $2.15 billion multicurrency revolving credit agreement, both of which expire in May 2019, and a $1.5 billion revolving credit agreement, entered into on March 11, 2015, which expires in September 2015. As of March 31, 2015, there were no borrowings under these revolving credit agreements. The undrawn portions of these revolving credit agreements are also available to serve as backup facilities for the issuance of commercial paper. As of March 31, 2015, our maximum commercial paper borrowing limit was $4.35 billion. We use our commercial paper borrowings for general corporate purposes, including the funding of potential acquisitions, debt refinancing, and repurchases of our common stock. Commercial paper borrowings as of March 31, 2015 were largely used to initially finance the accelerated share repurchase agreements entered into on March 13, 2015. See Note 11 for further discussion of these accelerated share repurchase agreements. | ||||||||
Long-term debt consisted of the following: | ||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
LIBOR§ plus 0.500% floating rate notes due 2015 | $ | 500 | $ | 500 | ||||
4.875% notes due 2015* | 1,200 | 1,200 | ||||||
5.375% notes due 2017* | 1,000 | 1,000 | ||||||
1.800% notes due 2017* | 1,500 | 1,500 | ||||||
6.800% notes due 2018‡ | 99 | 99 | ||||||
6.125% notes due 2019* | 1,250 | 1,250 | ||||||
8.875% notes due 2019 | 271 | 271 | ||||||
4.500% notes due 2020* | 1,250 | 1,250 | ||||||
4.875% notes due 2020‡ | 171 | 171 | ||||||
8.750% notes due 2021 | 250 | 250 | ||||||
3.100% notes due 2022* | 2,300 | 2,300 | ||||||
1.550% junior subordinated notes due 2022† | 1,100 | 1,100 | ||||||
7.100% notes due 2027‡ | 141 | 141 | ||||||
6.700% notes due 2028 | 400 | 400 | ||||||
7.500% notes due 2029* | 550 | 550 | ||||||
5.400% notes due 2035* | 600 | 600 | ||||||
6.050% notes due 2036* | 600 | 600 | ||||||
6.800% notes due 2036‡ | 134 | 134 | ||||||
7.000% notes due 2038‡ | 159 | 159 | ||||||
6.125% notes due 2038* | 1,000 | 1,000 | ||||||
5.700% notes due 2040* | 1,000 | 1,000 | ||||||
4.500% notes due 2042* | 3,500 | 3,500 | ||||||
Project financing obligations | 176 | 147 | ||||||
Other (including capitalized leases)‡ | 364 | 378 | ||||||
Total principal long-term debt | 19,515 | 19,500 | ||||||
Other (fair market value adjustments and discounts)‡ | 164 | 168 | ||||||
Total long-term debt | 19,679 | 19,668 | ||||||
Less: current portion | 1,870 | 1,796 | ||||||
Long-term debt, net of current portion | $ | 17,809 | $ | 17,872 | ||||
* | We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||||||
† | The junior subordinated notes are redeemable at our option, in whole or in part, on a date not earlier than August 1, 2017. The redemption price will be the principal amount, plus accrued and unpaid interest, if any, up to but excluding the redemption date. We may extend or eliminate the optional redemption date as part of a remarketing of the junior subordinated notes which could occur between April 29, 2015 and July 15, 2015 or between July 23, 2015 and July 29, 2015. | |||||||
‡ | Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||||||
§ | The three-month LIBOR rate as of March 31, 2015 was approximately 0.3%. | |||||||
On April 14, 2015, we announced our intention to conduct an optional remarketing of the 1.550% junior subordinated notes due in 2022, between April 29, 2015 and July 15, 2015. | ||||||||
We have an existing universal shelf registration statement filed with the Securities and Exchange Commission (SEC) for an indeterminate amount of equity and debt securities for future issuance, subject to our internal limitations on the amount of equity and debt to be issued under this shelf registration statement. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes |
We conduct business globally and, as a result, UTC or one or more of our subsidiaries files income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. In the normal course of business we are subject to examination by taxing authorities throughout the world, including such major jurisdictions as Australia, Belgium, Canada, China, France, Germany, Hong Kong, Italy, Japan, Singapore, South Korea, Spain, the United Kingdom and the United States. With few exceptions, we are no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations for years before 2003. | |
In the ordinary course of business, there is inherent uncertainty in quantifying our income tax positions. We assess our income tax positions and record tax benefits for all years subject to examination based upon management’s evaluation of the facts, circumstances, and information available at the reporting date. It is reasonably possible that over the next twelve months the amount of unrecognized tax benefits may change within a range of a net increase of $35 million to a net decrease of $460 million as a result of additional worldwide uncertain tax positions, the revaluation of current uncertain tax positions arising from developments in examinations, in appeals, or in the courts, or the closure of tax statutes. See Note 13, Contingent Liabilities, for discussion regarding uncertain tax positions, included in the above range, related to pending litigation with respect to certain deductions claimed in Germany. | |
UTC tax years 2011 and 2012 are currently under review by the Examination Division of the Internal Revenue Service (IRS), which is expected to continue beyond the next 12 months. Goodrich Corporation tax years 2011 and 2012 through the date of acquisition by UTC are currently under review by the Examination Division of the IRS, which is also expected to continue beyond the next 12 months. |
Employee_Benefit_Plans
Employee Benefit Plans | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Defined Pension, Defined Contribution and Other Postretirement Benefit Plans [Abstract] | ||||||||||||||||
Employee Benefit Plans [Text Block] | Employee Benefit Plans | |||||||||||||||
Pension and Postretirement Plans. We sponsor both funded and unfunded domestic and foreign defined pension and other postretirement benefit plans, and defined contribution plans. Contributions to our plans were as follows: | ||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||
Defined benefit plans | $ | 45 | $ | 84 | ||||||||||||
Defined contribution plans | $ | 96 | $ | 90 | ||||||||||||
There were no contributions to our domestic defined benefit pension plans in the quarters ended March 31, 2015 and 2014. The following table illustrates the components of net periodic benefit cost for our defined pension and other postretirement benefit plans: | ||||||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||
Quarter Ended March 31, | Quarter Ended March 31, | |||||||||||||||
(Dollars in millions) | 2015 | 2014 | 2015 | 2014 | ||||||||||||
Service cost | $ | 125 | $ | 122 | $ | 1 | $ | 1 | ||||||||
Interest cost | 351 | 380 | 8 | 10 | ||||||||||||
Expected return on plan assets | (569 | ) | (554 | ) | — | — | ||||||||||
Amortization | (3 | ) | (2 | ) | — | — | ||||||||||
Recognized actuarial net loss (gain) | 221 | 107 | (1 | ) | (1 | ) | ||||||||||
Net settlement and curtailment loss | 6 | — | — | — | ||||||||||||
Total net periodic benefit cost | $ | 131 | $ | 53 | $ | 8 | $ | 10 | ||||||||
Restructuring_and_Other_Costs
Restructuring and Other Costs | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||||||
Restructuring and Other Costs | Restructuring Costs | |||||||||||||||
During the quarter ended March 31, 2015, we recorded net pre-tax restructuring costs totaling $93 million for new and ongoing restructuring actions. We recorded charges in the segments as follows: | ||||||||||||||||
(Dollars in millions) | ||||||||||||||||
Otis | $ | 6 | ||||||||||||||
UTC Climate, Controls & Security | 24 | |||||||||||||||
Pratt & Whitney | 13 | |||||||||||||||
UTC Aerospace Systems | 50 | |||||||||||||||
Total | $ | 93 | ||||||||||||||
Restructuring charges incurred during the quarter ended March 31, 2015 primarily relate to actions initiated during 2015 and 2014, and were recorded as follows: | ||||||||||||||||
(Dollars in millions) | ||||||||||||||||
Cost of sales | $ | 22 | ||||||||||||||
Selling, general and administrative | 71 | |||||||||||||||
Total | $ | 93 | ||||||||||||||
2015 Actions. During the quarter ended March 31, 2015, we recorded net pre-tax restructuring costs totaling $64 million, including $5 million in cost of sales and $59 million in selling, general and administrative expenses. The 2015 actions relate to ongoing cost reduction efforts, including workforce reductions and the consolidation of field operations. | ||||||||||||||||
We are targeting the majority of the remaining workforce and all facility related cost reduction actions for completion during 2015 and 2016. No specific plans for significant other actions have been finalized at this time. All costs incurred during the quarter ended March 31, 2015 relate to severance. The following table summarizes the accrual balance and utilization for the 2015 restructuring actions: | ||||||||||||||||
(Dollars in millions) | Total | |||||||||||||||
Net pre-tax restructuring costs | $ | 64 | ||||||||||||||
Utilization and foreign exchange | (3 | ) | ||||||||||||||
Balance at March 31, 2015 | $ | 61 | ||||||||||||||
The following table summarizes expected, incurred and remaining costs for the 2015 restructuring actions by segment: | ||||||||||||||||
(Dollars in millions) | Expected | Costs Incurred Quarter Ended March 31, 2015 | Remaining Costs at | |||||||||||||
Costs | March 31, 2015 | |||||||||||||||
Otis | $ | 1 | $ | — | $ | 1 | ||||||||||
UTC Climate, Controls & Security | 20 | (16 | ) | 4 | ||||||||||||
Pratt & Whitney | 1 | (1 | ) | — | ||||||||||||
UTC Aerospace Systems | 49 | (47 | ) | 2 | ||||||||||||
Total | $ | 71 | $ | (64 | ) | $ | 7 | |||||||||
2014 Actions. During the quarter ended March 31, 2015, we recorded net pre-tax restructuring costs totaling $23 million for restructuring actions initiated in 2014, including $14 million in cost of sales and $9 million in selling, general and administrative expenses. The 2014 actions relate to ongoing cost reduction efforts, including workforce reductions and the consolidation of field operations. The following table summarizes the accrual balances and utilization by cost type for the 2014 restructuring actions: | ||||||||||||||||
(Dollars in millions) | Severance | Facility Exit, | Total | |||||||||||||
Lease | ||||||||||||||||
Termination and | ||||||||||||||||
Other Costs | ||||||||||||||||
Restructuring accruals at January 1, 2015 | $ | 162 | $ | 9 | $ | 171 | ||||||||||
Net pre-tax restructuring costs | 14 | 9 | 23 | |||||||||||||
Utilization and foreign exchange | (46 | ) | (10 | ) | (56 | ) | ||||||||||
Balance at March 31, 2015 | $ | 130 | $ | 8 | $ | 138 | ||||||||||
The following table summarizes expected, incurred and remaining costs for the 2014 restructuring actions by segment: | ||||||||||||||||
(Dollars in millions) | Expected | Costs Incurred in 2014 | Costs Incurred Quarter Ended March 31, 2015 | Remaining Costs at | ||||||||||||
Costs | March 31, 2015 | |||||||||||||||
Otis | $ | 133 | $ | (98 | ) | $ | (6 | ) | $ | 29 | ||||||
UTC Climate, Controls & Security | 127 | (86 | ) | (7 | ) | 34 | ||||||||||
Pratt & Whitney | 86 | (64 | ) | (10 | ) | 12 | ||||||||||
UTC Aerospace Systems | 84 | (72 | ) | — | 12 | |||||||||||
Sikorsky | 20 | (20 | ) | — | — | |||||||||||
Eliminations and other | 5 | (5 | ) | — | — | |||||||||||
Total | $ | 455 | $ | (345 | ) | $ | (23 | ) | $ | 87 | ||||||
2013 Actions. As of March 31, 2015, we have approximately $71 million of accrual balances remaining related to 2013 actions. |
Financial_Instruments
Financial Instruments | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||
Derivative Financial Instruments | Financial Instruments | |||||||||||||||
We enter into derivative instruments for risk management purposes only, including derivatives designated as hedging instruments under the Derivatives and Hedging Topic of the FASB ASC and those utilized as economic hedges. We operate internationally and, in the normal course of business, are exposed to fluctuations in interest rates, foreign exchange rates and commodity prices. These fluctuations can increase the costs of financing, investing and operating the business. We have used derivative instruments, including swaps, forward contracts and options to manage certain foreign currency, interest rate and commodity price exposures. | ||||||||||||||||
The four quarter rolling average of the notional amount of foreign exchange contracts hedging foreign currency transactions was $14.5 billion and $13.9 billion at March 31, 2015 and December 31, 2014, respectively. | ||||||||||||||||
The following table summarizes the fair value of derivative instruments as of March 31, 2015 and December 31, 2014 which consist solely of foreign exchange contracts: | ||||||||||||||||
Asset Derivatives | Liability Derivatives | |||||||||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | March 31, 2015 | December 31, 2014 | ||||||||||||
Derivatives designated as hedging instruments | $ | 34 | $ | 3 | $ | 380 | $ | 248 | ||||||||
Derivatives not designated as hedging instruments | 97 | 139 | 230 | 71 | ||||||||||||
The impact from foreign exchange derivative instruments that qualified as cash flow hedges was as follows: | ||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||
Loss recorded in Accumulated other comprehensive loss | $ | (184 | ) | $ | (80 | ) | ||||||||||
Loss reclassified from Accumulated other comprehensive loss into Product sales (effective portion) | $ | 57 | $ | 18 | ||||||||||||
Assuming current market conditions continue, a $176 million pre-tax loss is expected to be reclassified from Accumulated other comprehensive loss into Product sales to reflect the fixed prices obtained from foreign exchange hedging within the next 12 months. At March 31, 2015, all derivative contracts accounted for as cash flow hedges will mature by April 2017. | ||||||||||||||||
We recognized gains of $18 million and $26 million in Other income, net on the Condensed Consolidated Statement of Comprehensive Income from foreign exchange contracts not designated as hedging instruments in the quarters ended March 31, 2015 and 2014, respectively. During the quarter ended March 31, 2015, we received $569 million from settlements of derivative contracts. During the quarter ended March 31, 2014, we made payments of $113 million to settle derivative contracts. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Disclosures | Fair Value Measurements | |||||||||||||||
The Fair Value Measurements and Disclosure Topic of the FASB ASC establishes a valuation hierarchy for disclosure of the inputs to the valuations used to measure fair value. A financial asset or liability's classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. This hierarchy prioritizes the inputs into three broad levels as follows: | ||||||||||||||||
• | Level 1 - quoted prices in active markets for identical assets or liabilities; | |||||||||||||||
• | Level 2 - inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly; and | |||||||||||||||
• | Level 3 - unobservable inputs based on our own assumptions used to measure assets and liabilities at fair value. | |||||||||||||||
The following tables provide the valuation hierarchy classification of assets and liabilities that are carried at fair value and measured on a recurring and nonrecurring basis in our Condensed Consolidated Balance Sheet as of March 31, 2015 and December 31, 2014: | ||||||||||||||||
March 31, 2015 (Dollars in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Recurring fair value measurements: | ||||||||||||||||
Available-for-sale securities | $ | 982 | $ | 982 | $ | — | $ | — | ||||||||
Derivative assets | 131 | — | 131 | — | ||||||||||||
Derivative liabilities | (610 | ) | — | (610 | ) | — | ||||||||||
December 31, 2014 (Dollars in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Recurring fair value measurements: | ||||||||||||||||
Available-for-sale securities | $ | 961 | $ | 961 | $ | — | $ | — | ||||||||
Derivative assets | 142 | — | 142 | — | ||||||||||||
Derivative liabilities | (319 | ) | — | (319 | ) | — | ||||||||||
Nonrecurring fair value measurements: | ||||||||||||||||
Business dispositions | 3 | — | 3 | — | ||||||||||||
We have recorded net gains of approximately $126 million during the quarter ended March 31, 2015, as a result of a fair value adjustment related to the acquisition of a controlling interest in a UTC Climate, Controls & Security joint venture investment. | ||||||||||||||||
Valuation Techniques. Our available-for-sale securities include equity investments that are traded in active markets, either domestically or internationally, and are measured at fair value using closing stock prices from active markets. Our derivative assets and liabilities include foreign exchange contracts and commodity derivatives that are measured at fair value using internal models based on observable market inputs such as forward rates, interest rates, our own credit risk and our counterparties' credit risks. As of March 31, 2015, there were no significant transfers in and out of Level 1 and Level 2. | ||||||||||||||||
As of March 31, 2015, there has not been any significant impact to the fair value of our derivative liabilities due to our own credit risk. Similarly, there has not been any significant adverse impact to our derivative assets based on our evaluation of our counterparties' credit risks. | ||||||||||||||||
The following table provides carrying amounts and fair values of financial instruments that are not carried at fair value in our Condensed Consolidated Balance Sheet at March 31, 2015 and December 31, 2014: | ||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||
(Dollars in millions) | Carrying | Fair | Carrying | Fair | ||||||||||||
Amount | Value | Amount | Value | |||||||||||||
Long-term receivables | $ | 146 | $ | 138 | $ | 214 | $ | 204 | ||||||||
Customer financing notes receivable | 252 | 250 | 262 | 260 | ||||||||||||
Short-term borrowings | (2,314 | ) | (2,314 | ) | (126 | ) | (126 | ) | ||||||||
Long-term debt (excluding capitalized leases) | (19,650 | ) | (22,530 | ) | (19,634 | ) | (22,254 | ) | ||||||||
Long-term liabilities | (289 | ) | (276 | ) | (80 | ) | (74 | ) | ||||||||
The following table provides the valuation hierarchy classification of assets and liabilities that are not carried at fair value in our Condensed Consolidated Balance Sheet as of March 31, 2015: | ||||||||||||||||
(Dollars in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Long-term receivables | $ | 138 | $ | — | $ | 138 | $ | — | ||||||||
Customer financing notes receivable | 250 | — | 250 | — | ||||||||||||
Short-term borrowings | (2,314 | ) | — | (2,180 | ) | (134 | ) | |||||||||
Long-term debt (excluding capitalized leases) | (22,530 | ) | — | (22,138 | ) | (392 | ) | |||||||||
Long-term liabilities | (276 | ) | — | (276 | ) | — | ||||||||||
We had commercial aerospace financing and other contractual commitments totaling approximately $10.9 billion and $11.3 billion as of March 31, 2015 and December 31, 2014, respectively, related to commercial aircraft and certain contractual rights to provide product on new aircraft platforms. Risks associated with changes in interest rates on these commitments are mitigated by the fact that interest rates are variable during the commitment term, and are set at the date of funding based on current market conditions, the fair value of the underlying collateral and the credit worthiness of the customers. As a result, the fair value of these financings is expected to equal the amounts funded. The fair value of these commitments is not readily determinable. |
LongTerm_Financing_Receivables
Long-Term Financing Receivables | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Receivables [Abstract] | ||||||||
Long-Term Financing Receivables [Text Block] | Long-Term Financing Receivables | |||||||
Our long-term financing receivables primarily represent balances related to our aerospace businesses, such as long-term trade accounts receivable, leases receivable, and notes receivable. We also have other long-term receivables related to our commercial businesses; however, both the individual and aggregate amounts of those other receivables are not significant. | ||||||||
Long-term trade accounts receivable, including unbilled receivables primarily related to long-term aftermarket contracts, represent amounts arising from the sale of goods and services with a contractual maturity date of greater than one year, and are recognized as Other assets in our Condensed Consolidated Balance Sheet. Notes and leases receivable represent notes and lease receivables other than receivables related to operating leases, and are recognized as Customer financing assets in our Condensed Consolidated Balance Sheet. The following table summarizes the balance by class of aerospace business-related long-term receivables as of March 31, 2015 and December 31, 2014. | ||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
Long-term trade accounts receivable | $ | 1,069 | $ | 1,045 | ||||
Notes and leases receivable | 411 | 381 | ||||||
Total long-term receivables | $ | 1,480 | $ | 1,426 | ||||
Customer credit ratings range from customers with an extremely strong capacity to meet financial obligations, to customers whose uncollateralized receivable is in default. There can be no assurance that actual results will not differ from estimates or that consideration of these factors in the future will not result in an increase or decrease to the allowance for credit losses on long-term receivables. Based upon the customer credit ratings, approximately 7% of our total long-term receivables were considered to bear high credit risk as of both March 31, 2015 and December 31, 2014. | ||||||||
For long-term trade accounts receivable, we evaluate credit risk and collectability individually to determine if an allowance is necessary. Our long-term receivables included in the table above are individually evaluated for impairment, and we had valuation reserves of $10 million as of both March 31, 2015 and December 31, 2014. At March 31, 2015 and December 31, 2014, we did not have any significant balances that are considered to be delinquent, on non-accrual status, past due 90 days or more, or considered to be impaired. |
Shareowners_Equity_and_Noncont
Shareowners' Equity and Noncontrolling Interest | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ||||||||||||||||||||||||
Shareowners' Equity and Noncontrolling Interest | Shareowners' Equity and Noncontrolling Interest | |||||||||||||||||||||||
A summary of the changes in shareowners' equity and noncontrolling interest comprising total equity for the quarters ended March 31, 2015 and 2014 is provided below: | ||||||||||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||
(Dollars in millions) | Share-owners' | Non-controlling Interest | Total | Share-owners' | Non-controlling Interest | Total | ||||||||||||||||||
Equity | Equity | Equity | Equity | |||||||||||||||||||||
Equity, beginning of period | $ | 31,213 | $ | 1,351 | $ | 32,564 | $ | 31,866 | $ | 1,353 | $ | 33,219 | ||||||||||||
Comprehensive income for the period: | ||||||||||||||||||||||||
Net income | 1,426 | 72 | 1,498 | 1,213 | 93 | 1,306 | ||||||||||||||||||
Total other comprehensive loss | (550 | ) | (40 | ) | (590 | ) | (61 | ) | (7 | ) | (68 | ) | ||||||||||||
Total comprehensive income for the period | 876 | 32 | 908 | 1,152 | 86 | 1,238 | ||||||||||||||||||
Common Stock issued under employee plans | 125 | 125 | 165 | 165 | ||||||||||||||||||||
Common Stock repurchased | (3,000 | ) | (3,000 | ) | (335 | ) | (335 | ) | ||||||||||||||||
Dividends on Common Stock | (553 | ) | (553 | ) | (514 | ) | (514 | ) | ||||||||||||||||
Dividends on ESOP Common Stock | (19 | ) | (19 | ) | (18 | ) | (18 | ) | ||||||||||||||||
Dividends attributable to noncontrolling interest | (55 | ) | (55 | ) | (56 | ) | (56 | ) | ||||||||||||||||
Sale of subsidiary shares from noncontrolling interest | 11 | 14 | 25 | 1 | 24 | 25 | ||||||||||||||||||
Acquisition of noncontrolling interest | 172 | 172 | — | — | ||||||||||||||||||||
Disposition of noncontrolling interest | (3 | ) | (3 | ) | — | — | ||||||||||||||||||
Redeemable noncontrolling interest | (3 | ) | 6 | 3 | — | (29 | ) | (29 | ) | |||||||||||||||
Equity, end of period | $ | 28,650 | $ | 1,517 | $ | 30,167 | $ | 32,317 | $ | 1,378 | $ | 33,695 | ||||||||||||
On March 13, 2015, we entered into accelerated share repurchase (ASR) agreements with each of Goldman, Sachs & Co. (Goldman Sachs) and Morgan Stanley & Co. LLC (Morgan Stanley) to repurchase shares of our common stock for an aggregate purchase price of $2.65 billion. Each ASR agreement provides for the repurchase of our common stock based on the average of the daily volume-weighted average prices of our common stock during the term of such ASR agreement, less a discount and subject to adjustments pursuant to the terms and conditions of the ASR agreement. | ||||||||||||||||||||||||
On March 13, 2015, we paid the aggregate purchase price and received an initial delivery of 18.6 million shares of common stock at a price of $121.24 per share, representing approximately 85% of the shares expected to be repurchased. The aggregate purchase price was recorded as a reduction to shareowners’ equity, consisting of a $2.25 billion billion increase in treasury stock and a $398 million decrease in additional paid-in capital. Upon final settlement of the ASR agreements, under certain circumstances, each of Goldman Sachs and Morgan Stanley may be required to deliver additional shares of common stock, or, under certain circumstances, we may be required to deliver shares of common stock or to make a cash payment, at our election, to Goldman Sachs and Morgan Stanley. The final settlement of the transactions under the ASR agreements is expected to occur no later than the fourth quarter of 2015 and may be accelerated at the option of Goldman Sachs or Morgan Stanley, as the case may be. | ||||||||||||||||||||||||
Each of the ASR agreements contains customary terms for these types of transactions, including the mechanisms to determine the number of shares or the amount of cash that will be delivered at settlement, the required timing of delivery upon settlement, the specific circumstances under which adjustments may be made to the repurchase transactions, the specific circumstances under which the repurchase transactions may be canceled prior to the scheduled maturity and various acknowledgments, representations and warranties made by the Company and Goldman Sachs or Morgan Stanley, as applicable, to one another. | ||||||||||||||||||||||||
A summary of the changes in each component of accumulated other comprehensive income (loss), net of tax for the quarters ended March 31, 2015 and 2014 is provided below: | ||||||||||||||||||||||||
(Dollars in millions) | Foreign | Defined | Unrealized Gains | Unrealized | Accumulated | |||||||||||||||||||
Currency | Benefit | (Losses) on | Hedging | Other | ||||||||||||||||||||
Translation | Pension and | Available-for-Sale | (Losses) | Comprehensive | ||||||||||||||||||||
Post- | Securities | Gains | (Loss) Income | |||||||||||||||||||||
retirement | ||||||||||||||||||||||||
Plans | ||||||||||||||||||||||||
Quarter Ended March 31, 2015 | ||||||||||||||||||||||||
Balance at December 31, 2014 | $ | (1,051 | ) | $ | (5,709 | ) | $ | 308 | $ | (209 | ) | $ | (6,661 | ) | ||||||||||
Other comprehensive (loss) income before reclassifications, net | (665 | ) | 35 | 54 | (132 | ) | (708 | ) | ||||||||||||||||
Amounts reclassified, pretax | (2 | ) | 217 | (28 | ) | 57 | 244 | |||||||||||||||||
Tax (benefit) expense reclassified | — | (80 | ) | 10 | (16 | ) | (86 | ) | ||||||||||||||||
Balance at March 31, 2015 | $ | (1,718 | ) | $ | (5,537 | ) | $ | 344 | $ | (300 | ) | $ | (7,211 | ) | ||||||||||
(Dollars in millions) | Foreign | Defined | Unrealized Gains | Unrealized | Accumulated | |||||||||||||||||||
Currency | Benefit | (Losses) on | Hedging | Other | ||||||||||||||||||||
Translation | Pension and | Available-for-Sale | (Losses) | Comprehensive | ||||||||||||||||||||
Post- | Securities | Gains | (Loss) Income | |||||||||||||||||||||
retirement | ||||||||||||||||||||||||
Plans | ||||||||||||||||||||||||
Quarter Ended March 31, 2014 | ||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 170 | $ | (3,267 | ) | $ | 296 | $ | (79 | ) | $ | (2,880 | ) | |||||||||||
Other comprehensive (loss) income before reclassifications, net | (102 | ) | 13 | 22 | (65 | ) | (132 | ) | ||||||||||||||||
Amounts reclassified, pretax | 3 | 104 | (24 | ) | 18 | 101 | ||||||||||||||||||
Tax (benefit) expense reclassified | — | (34 | ) | 7 | (3 | ) | (30 | ) | ||||||||||||||||
Balance at March 31, 2014 | $ | 71 | $ | (3,184 | ) | $ | 301 | $ | (129 | ) | $ | (2,941 | ) | |||||||||||
Amounts reclassified related to our defined benefit pension and postretirement plans include amortization of prior service costs and transition obligations, and actuarial net losses recognized during each period presented. These costs are recorded as components of net periodic pension cost for each period presented (see Note 6 for additional details). | ||||||||||||||||||||||||
All noncontrolling interests with redemption features, such as put options, that are not solely within our control (redeemable noncontrolling interests) are reported in the mezzanine section of the Condensed Consolidated Balance Sheet, between liabilities and equity, at the greater of redemption value or initial carrying value. A summary of the changes in redeemable noncontrolling interest recorded in the mezzanine section of the Condensed Consolidated Balance Sheet for the quarters ended March 31, 2015 and 2014 is provided below: | ||||||||||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||||||||||
Redeemable noncontrolling interest, beginning of period | $ | 140 | $ | 111 | ||||||||||||||||||||
Net income | 1 | 6 | ||||||||||||||||||||||
Foreign currency translation, net | (7 | ) | (2 | ) | ||||||||||||||||||||
Dividends attributable to noncontrolling interest | (3 | ) | (3 | ) | ||||||||||||||||||||
Redeemable noncontrolling interest fair value adjustment | 4 | — | ||||||||||||||||||||||
Redeemable noncontrolling interest reclassification to noncontrolling interest | — | 25 | ||||||||||||||||||||||
Redeemable noncontrolling interest, end of period | $ | 135 | $ | 137 | ||||||||||||||||||||
Changes in noncontrolling interests that do not result in a change of control and where there is a difference between fair value and carrying value are accounted for as equity transactions. A summary of these changes in ownership interests in subsidiaries and the pro-forma effect on Net income attributable to common shareowners had they been recorded through net income for the quarters ended March 31, 2015 and 2014 is provided below: | ||||||||||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||||||||||
Net income attributable to common shareowners | $ | 1,426 | $ | 1,213 | ||||||||||||||||||||
Transfers to noncontrolling interests: | ||||||||||||||||||||||||
Increase in common stock for sale of subsidiary shares | 23 | 4 | ||||||||||||||||||||||
Decrease in common stock for purchase of subsidiary shares | (12 | ) | (3 | ) | ||||||||||||||||||||
Net income attributable to common shareowners after transfers to noncontrolling interests | $ | 1,437 | $ | 1,214 | ||||||||||||||||||||
Guarantees
Guarantees | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Service and Product Warranties and Product Performance Guarantees [Abstract] | |||||||||
Guarantees [Text Block] | Guarantees | ||||||||
We extend a variety of financial, market value and product performance guarantees to third parties. There have been no material changes to guarantees outstanding since December 31, 2014. The changes in the carrying amount of service and product warranties and product performance guarantees for the quarters ended March 31, 2015 and 2014 are as follows: | |||||||||
(Dollars in millions) | 2015 | 2014 | |||||||
Balance as of January 1 | $ | 1,313 | $ | 1,360 | |||||
Warranties and performance guarantees issued | 76 | 79 | |||||||
Settlements made | (71 | ) | (71 | ) | |||||
Other | (4 | ) | (39 | ) | |||||
Balance as of March 31 | $ | 1,314 | $ | 1,329 | |||||
Contingent_Liabilities
Contingent Liabilities | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingent Liabilities [Text Block] | Contingent Liabilities |
Summarized below are the matters previously described in Note 17 of the Notes to the Consolidated Financial Statements in our 2014 Annual Report, incorporated by reference in our 2014 Form 10-K, updated as applicable. | |
Except as otherwise noted, while we are unable to predict the final outcome, based on information currently available, we do not believe that resolution of any of the following matters will have a material adverse effect upon our competitive position, results of operations, cash flows or financial condition. | |
Environmental. Our operations are subject to environmental regulation by federal, state and local authorities in the United States and regulatory authorities with jurisdiction over our foreign operations. As described in Note 1 to the Consolidated Financial Statements in our 2014 Annual Report, we have accrued for the costs of environmental remediation activities and periodically reassess these amounts. We believe that the likelihood of incurring losses materially in excess of amounts accrued is remote. Additional information pertaining to environmental matters is included in Note 1 to the Consolidated Financial Statements in our 2014 Annual Report. | |
Government. We are now, and believe that, in light of the current U.S. Government contracting environment, we will continue to be the subject of one or more U.S. Government investigations. If we or one of our business units were charged with wrongdoing as a result of any of these investigations or other government investigations (including violations of certain environmental or export laws) the U.S. Government could suspend us from bidding on or receiving awards of new U.S. Government contracts pending the completion of legal proceedings. If convicted or found liable, the U.S. Government could fine and debar us from new U.S. Government contracting for a period generally not to exceed three years. The U.S. Government could void any contracts found to be tainted by fraud. | |
Our contracts with the U.S. Government are also subject to audits. Like many defense contractors, we have received audit reports which recommend that certain contract prices should be reduced to comply with various government regulations. Some of these audit reports involved substantial amounts. We have made voluntary refunds in those cases we believe appropriate, have settled some allegations and continue to litigate certain cases. In addition, we accrue for liabilities associated with those matters that are probable and can be reasonably estimated. The most likely settlement amount to be incurred is accrued based upon a range of estimates. Where no amount within a range of estimates is more likely, then we accrued the minimum amount. | |
Legal Proceedings. | |
F100 Engine Litigation | |
As previously disclosed, the United States Government sued us in 1999 in the United States District Court for the Southern District of Ohio, claiming that Pratt & Whitney violated the civil False Claims Act and common law. The claims relate to the “Fighter Engine Competition” between Pratt & Whitney's F100 engine and General Electric's F110 engine. The government alleged that it overpaid for F100 engines under contracts awarded by the U.S. Air Force in fiscal years 1985 through 1990 because Pratt & Whitney inflated its estimated costs for some purchased parts and withheld data that would have revealed the overstatements. At trial, which ended in April 2005, the government claimed Pratt & Whitney's liability to be approximately $624 million. On August 1, 2008, the trial court held that the Air Force had not suffered any actual damages because Pratt & Whitney had made significant price concessions after the alleged overstatements were made. However, the trial court judge found that Pratt & Whitney violated the False Claims Act due to inaccurate statements contained in its 1983 initial engine pricing proposal. In the absence of actual damages, the trial court awarded the government the maximum civil penalty of approximately $7 million, or $10,000 for each of the 709 invoices Pratt & Whitney submitted in 1989 and later under the contracts. In September 2008, both the government and UTC appealed the decision to the United States Court of Appeals for the Sixth Circuit. In November 2010, the Sixth Circuit affirmed Pratt & Whitney's liability for the civil penalty under the False Claims Act, but remanded the case to the trial court for further proceedings on the issues of False Claims Act damages and common law liability and damages. | |
On June 18, 2012, the trial court found that Pratt & Whitney had breached obligations imposed by common law based on the same conduct with respect to which the court previously found liability under the False Claims Act. Under the common law claims, the U.S. Air Force seeks damages for events occurring before March 3, 1989, which are not recoverable under the False Claims Act. | |
On June 17, 2013, the trial court awarded the government approximately $473 million in damages and penalties, plus prejudgment interest in an amount to be determined. On July 1, 2013, the trial court, after determining the amount of prejudgment interest, entered judgment in favor of the government in the amount of approximately $664 million. The trial court also awarded post-judgment interest on the full amount of the judgment to accrue from July 2, 2013, at the federal variable interest rate determined pursuant to 28 U.S.C. § 1961. The judgment included four different components: (1) common law damages of approximately $109 million; (2) prejudgment interest on common law damages of approximately $191 million; (3) False Claims Act treble damages of approximately $357 million; and (4) penalties of approximately $7 million. The penalty component of the judgment previously was affirmed by the United States Court of Appeals in 2010. | |
We filed an appeal from the judgment to the United States Court of Appeals for the Sixth Circuit on August 26, 2013. On April 6, 2015, the Sixth Circuit reversed the trial court’s decision and vacated the prior damages award, noting that the government did not prove any damages. The Court rejected as a matter of law the evidence submitted by the government on damages and remanded the case to the trial court to decide in the first instance whether the government should have another opportunity to prove that it suffered any actual damages. We continue to believe that the government suffered no actual damages as a result of the inaccurate statements made in 1983, and continue not to accrue a reserve beyond the approximately $7 million of penalties referenced above and post-judgment interest on such penalties, which in the aggregate are not material. | |
Cost Accounting Standards Claim | |
By letter dated December 24, 2013, a Divisional Administrative Contracting Officer of the United States Defense Contract Management Agency asserted a claim and demand for payment of approximately $211 million against Pratt & Whitney. The claim is based on Pratt & Whitney's alleged noncompliance with cost accounting standards from January 1, 2005 to December 31, 2012, due to its method of determining the cost of collaborator parts used in the calculation of material overhead costs for government contracts. We believe this claim is without merit. On March 18, 2014, Pratt & Whitney filed an appeal to the Armed Services Board of Contract Appeals. | |
German Tax Litigation | |
As previously disclosed, UTC has been involved in administrative review proceedings with the German Tax Office, which concern approximately €215 million (approximately $237 million) of tax benefits that we have claimed related to a 1998 reorganization of the corporate structure of Otis operations in Germany. Upon audit, these tax benefits were disallowed by the German Tax Office. UTC estimates interest associated with the aforementioned tax benefits is an additional approximately €118 million (approximately $130 million). On August 3, 2012, we filed suit in the local German Tax Court (Berlin-Brandenburg). In 2008 the German Federal Tax Court (FTC) denied benefits to another taxpayer in a case involving a German tax law relevant to our reorganization. The determination of the FTC on this other matter was appealed to the European Court of Justice (ECJ) to determine if the underlying German tax law is violative of European Union principles. On September 17, 2009, the ECJ issued an opinion in this case that is generally favorable to the other taxpayer and referred the case back to the FTC for further consideration of certain related issues. In May 2010, the FTC released its decision, in which it resolved certain tax issues that may be relevant to our suit and remanded the case to a lower court for further development. In 2012, the lower court decided in favor of the other taxpayer and the German Government again appealed the findings to the FTC. In November 2014, the FTC ruled in favor of the German Government, and against the other taxpayer. We believe that the FTC decision in the case involving the other taxpayer is not determinative of the outcome in our case, and we will continue vigorously to litigate the matter. However, in light of the FTC decision in the case involving the other taxpayer, we fully accrued for the matter during the quarter ended December 31, 2014. While we continue to litigate the matter at the local German Tax Court, UTC made tax and interest payments to German tax authorities of €20 million (approximately $22 million) in the quarter ended March 31, 2015 and expects to make tax and interest payments of €176 million (approximately $194 million) in April 2015 to avoid additional interest accruals pending final resolution of this matter. | |
Other. | |
As described in Note 16 to the Consolidated Financial Statements in our 2014 Annual Report, we extend performance and operating cost guarantees beyond our normal warranty and service policies for extended periods on some of our products. We have accrued our estimate of the liability that may result under these guarantees and for service costs that are probable and can be reasonably estimated. | |
We have accrued for environmental investigatory, remediation, operating and maintenance costs, performance guarantees and other litigation and claims based on our estimate of the probable outcome of these matters. While it is possible that the outcome of these matters may differ from the recorded liability, we believe that resolution of these matters will not have a material impact on our competitive position, results of operations, cash flows or financial condition. | |
We also have other commitments and contingent liabilities related to legal proceedings, self-insurance programs and matters arising out of the normal course of business. We accrue contingencies based upon a range of possible outcomes. If no amount within this range is a better estimate than any other, then we accrue the minimum amount. | |
We are also subject to a number of routine lawsuits, investigations and claims (some of which involve substantial amounts) arising out of the ordinary course of our business. We do not believe that these matters will have a material adverse effect upon our competitive position, results of operations, cash flows or financial condition. |
Segment_Financial_Data
Segment Financial Data | 3 Months Ended | |||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||
Note 14: Segment Financial Data | Segment Financial Data | |||||||||||||||||||||
Our operations are classified into five principal segments: Otis, UTC Climate, Controls & Security, Pratt & Whitney, UTC Aerospace Systems and Sikorsky. The segments are generally based on the management structure of the businesses and the grouping of similar operating companies, where each management organization has general operating autonomy over diversified products and services. | ||||||||||||||||||||||
Results for the quarters ended March 31, 2015 and 2014 are as follows: | ||||||||||||||||||||||
Net Sales | Operating Profits | Operating Profit Margins | ||||||||||||||||||||
(Dollars in millions) | 2015 | 2014 | 2015 | 2014 | 2015 | 2014 | ||||||||||||||||
Otis | $ | 2,745 | $ | 2,955 | $ | 527 | $ | 570 | 19.2 | % | 19.3 | % | ||||||||||
UTC Climate, Controls & Security | 3,852 | 3,851 | 729 | 537 | 18.9 | % | 13.9 | % | ||||||||||||||
Pratt & Whitney | 3,332 | 3,329 | 419 | 388 | 12.6 | % | 11.7 | % | ||||||||||||||
UTC Aerospace Systems | 3,548 | 3,450 | 569 | 590 | 16 | % | 17.1 | % | ||||||||||||||
Sikorsky | 1,267 | 1,361 | 92 | 86 | 7.3 | % | 6.3 | % | ||||||||||||||
Total segments | 14,744 | 14,946 | 2,336 | 2,171 | 15.8 | % | 14.5 | % | ||||||||||||||
Eliminations and other | (203 | ) | (201 | ) | 48 | 39 | ||||||||||||||||
General corporate expenses | — | — | (110 | ) | (112 | ) | ||||||||||||||||
Consolidated | $ | 14,541 | $ | 14,745 | $ | 2,274 | $ | 2,098 | 15.6 | % | 14.2 | % | ||||||||||
See Note 7 to the Condensed Consolidated Financial Statements for a discussion of restructuring costs included in segment operating results. |
Accounting_Pronouncements
Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Accounting Pronouncements | Accounting Pronouncements |
In May 2014, the FASB issued Accounting Standards Update (ASU) No. 2014-09, "Revenue from Contracts with Customers" (Topic 606). This ASU is intended to clarify the principles for recognizing revenue by removing inconsistencies in revenue requirements; providing a more robust framework for addressing revenue issues; improving comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets; and providing more useful information to users of financial statements through improved revenue disclosure requirements. In April 2015, the FASB voted to defer the effective date of the new revenue recognition standard by one year. As a result, the provisions of this ASU are now effective for interim and annual periods beginning after December 15, 2017. We are currently evaluating the impact of this ASU. | |
In February 2015, the FASB issued ASU No. 2015-02, "Amendments to the Consolidation Analysis." This update is intended to improve targeted areas of consolidation guidance by simplifying the consolidation evaluation process, and by placing more emphasis on risk of loss when determining a controlling financial interest. The provisions of this ASU are effective for interim and annual periods beginning after December 15, 2015. We are currently evaluating the impact of this ASU. | |
In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. This ASU more closely aligns the treatment of debt issuance costs with debt discounts and premiums and requires debt issuance costs be presented as a direct deduction from the carrying amount of the related debt. The amendments in this ASU are effective for financial statements issued for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years. This ASU is not expected to have a significant impact on our financial statements or disclosures. |
Acquisitions_Dispositions_Good1
Acquisitions, Dispositions, Goodwill and Other Intangible Assets (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||||||||||||||||||||||||
Schedule of Variable Interest Entities [Table Text Block] | |||||||||||||||||||||||||
(Dollars in millions) | |||||||||||||||||||||||||
Current assets | $ | 1,980 | |||||||||||||||||||||||
Noncurrent assets | 928 | ||||||||||||||||||||||||
Total assets | $ | 2,908 | |||||||||||||||||||||||
Current liabilities | $ | 2,061 | |||||||||||||||||||||||
Noncurrent liabilities | 1,359 | ||||||||||||||||||||||||
Total liabilities | $ | 3,420 | |||||||||||||||||||||||
Schedule of Goodwill [Table Text Block] | |||||||||||||||||||||||||
(Dollars in millions) | Balance as of | Goodwill | Foreign Currency Translation and Other | Balance as of | |||||||||||||||||||||
January 1, 2015 | Resulting from Business Combinations | 31-Mar-15 | |||||||||||||||||||||||
Otis | $ | 1,664 | $ | 7 | $ | (81 | ) | $ | 1,590 | ||||||||||||||||
UTC Climate, Controls & Security | 9,408 | 336 | (312 | ) | 9,432 | ||||||||||||||||||||
Pratt & Whitney | 1,481 | — | (1 | ) | 1,480 | ||||||||||||||||||||
UTC Aerospace Systems | 14,892 | — | (185 | ) | 14,707 | ||||||||||||||||||||
Sikorsky | 347 | — | (3 | ) | 344 | ||||||||||||||||||||
Total Segments | 27,792 | 343 | (582 | ) | 27,553 | ||||||||||||||||||||
Eliminations and other | 4 | — | — | 4 | |||||||||||||||||||||
Total | $ | 27,796 | $ | 343 | $ | (582 | ) | $ | 27,557 | ||||||||||||||||
Intangible Assets Disclosure [Table Text Block] | |||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||||||||||
(Dollars in millions) | Gross Amount | Accumulated | Gross Amount | Accumulated | |||||||||||||||||||||
Amortization | Amortization | ||||||||||||||||||||||||
Amortized: | |||||||||||||||||||||||||
Service portfolios | $ | 1,975 | $ | (1,254 | ) | $ | 2,103 | $ | (1,309 | ) | |||||||||||||||
Patents and trademarks | 366 | (189 | ) | 361 | (190 | ) | |||||||||||||||||||
IAE collaboration | 3,003 | (32 | ) | 2,872 | (20 | ) | |||||||||||||||||||
Customer relationships and other | 12,267 | (2,665 | ) | 12,189 | (2,623 | ) | |||||||||||||||||||
17,611 | (4,140 | ) | 17,525 | (4,142 | ) | ||||||||||||||||||||
Unamortized: | |||||||||||||||||||||||||
Trademarks and other | 2,100 | — | 2,177 | — | |||||||||||||||||||||
Total | $ | 19,711 | $ | (4,140 | ) | $ | 19,702 | $ | (4,142 | ) | |||||||||||||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | |||||||||||||||||||||||||
(Dollars in millions) | Remaining 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | |||||||||||||||||||
Amortization expense | $ | 521 | $ | 692 | $ | 729 | $ | 771 | $ | 744 | $ | 728 | |||||||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ||||||||
Quarter Ended March 31, | ||||||||
(Dollars in millions, except per share amounts; shares in millions) | 2015 | 2014 | ||||||
Net income attributable to common shareowners | $ | 1,426 | $ | 1,213 | ||||
Basic weighted average number of shares outstanding | 890.3 | 900.9 | ||||||
Stock awards and equity units | 13.9 | 16.1 | ||||||
Diluted weighted average number of shares outstanding | 904.2 | 917 | ||||||
Earnings Per Share of Common Stock: | ||||||||
Basic | $ | 1.6 | $ | 1.35 | ||||
Diluted | 1.58 | 1.32 | ||||||
Inventories_and_Contracts_in_P1
Inventories and Contracts in Progress (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Inventory Disclosure [Abstract] | ||||||||
Schedule of Inventory, Current [Table Text Block] | ||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
Raw materials | $ | 2,058 | $ | 2,056 | ||||
Work-in-process | 4,006 | 3,596 | ||||||
Finished goods | 3,941 | 3,776 | ||||||
Contracts in progress | 8,210 | 8,189 | ||||||
18,215 | 17,617 | |||||||
Less: | ||||||||
Progress payments, secured by lien, on U.S. Government contracts | (434 | ) | (300 | ) | ||||
Billings on contracts in progress | (7,445 | ) | (7,452 | ) | ||||
$ | 10,336 | $ | 9,865 | |||||
Borrowings_and_Lines_of_Credit1
Borrowings and Lines of Credit (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Schedule of Short-Term Debt [Table Text Block] | ||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
Commercial paper | $ | 2,180 | $ | — | ||||
Other borrowings | 134 | 126 | ||||||
Total short-term borrowings | $ | 2,314 | $ | 126 | ||||
Schedule of Long-term Debt [Table Text Block] | ||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
LIBOR§ plus 0.500% floating rate notes due 2015 | $ | 500 | $ | 500 | ||||
4.875% notes due 2015* | 1,200 | 1,200 | ||||||
5.375% notes due 2017* | 1,000 | 1,000 | ||||||
1.800% notes due 2017* | 1,500 | 1,500 | ||||||
6.800% notes due 2018‡ | 99 | 99 | ||||||
6.125% notes due 2019* | 1,250 | 1,250 | ||||||
8.875% notes due 2019 | 271 | 271 | ||||||
4.500% notes due 2020* | 1,250 | 1,250 | ||||||
4.875% notes due 2020‡ | 171 | 171 | ||||||
8.750% notes due 2021 | 250 | 250 | ||||||
3.100% notes due 2022* | 2,300 | 2,300 | ||||||
1.550% junior subordinated notes due 2022† | 1,100 | 1,100 | ||||||
7.100% notes due 2027‡ | 141 | 141 | ||||||
6.700% notes due 2028 | 400 | 400 | ||||||
7.500% notes due 2029* | 550 | 550 | ||||||
5.400% notes due 2035* | 600 | 600 | ||||||
6.050% notes due 2036* | 600 | 600 | ||||||
6.800% notes due 2036‡ | 134 | 134 | ||||||
7.000% notes due 2038‡ | 159 | 159 | ||||||
6.125% notes due 2038* | 1,000 | 1,000 | ||||||
5.700% notes due 2040* | 1,000 | 1,000 | ||||||
4.500% notes due 2042* | 3,500 | 3,500 | ||||||
Project financing obligations | 176 | 147 | ||||||
Other (including capitalized leases)‡ | 364 | 378 | ||||||
Total principal long-term debt | 19,515 | 19,500 | ||||||
Other (fair market value adjustments and discounts)‡ | 164 | 168 | ||||||
Total long-term debt | 19,679 | 19,668 | ||||||
Less: current portion | 1,870 | 1,796 | ||||||
Long-term debt, net of current portion | $ | 17,809 | $ | 17,872 | ||||
* | We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||||||
† | The junior subordinated notes are redeemable at our option, in whole or in part, on a date not earlier than August 1, 2017. The redemption price will be the principal amount, plus accrued and unpaid interest, if any, up to but excluding the redemption date. We may extend or eliminate the optional redemption date as part of a remarketing of the junior subordinated notes which could occur between April 29, 2015 and July 15, 2015 or between July 23, 2015 and July 29, 2015. | |||||||
‡ | Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||||||
§ | The three-month LIBOR rate as of March 31, 2015 was approximately 0.3%. |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Defined Pension, Defined Contribution and Other Postretirement Benefit Plans [Abstract] | ||||||||||||||||
Schedule of Defined Benefit Plans Disclosures [Table Text Block] | ||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||
Defined benefit plans | $ | 45 | $ | 84 | ||||||||||||
Defined contribution plans | $ | 96 | $ | 90 | ||||||||||||
Pension Benefits | Other Postretirement Benefits | |||||||||||||||
Quarter Ended March 31, | Quarter Ended March 31, | |||||||||||||||
(Dollars in millions) | 2015 | 2014 | 2015 | 2014 | ||||||||||||
Service cost | $ | 125 | $ | 122 | $ | 1 | $ | 1 | ||||||||
Interest cost | 351 | 380 | 8 | 10 | ||||||||||||
Expected return on plan assets | (569 | ) | (554 | ) | — | — | ||||||||||
Amortization | (3 | ) | (2 | ) | — | — | ||||||||||
Recognized actuarial net loss (gain) | 221 | 107 | (1 | ) | (1 | ) | ||||||||||
Net settlement and curtailment loss | 6 | — | — | — | ||||||||||||
Total net periodic benefit cost | $ | 131 | $ | 53 | $ | 8 | $ | 10 | ||||||||
Restructuring_and_Other_Costs_
Restructuring and Other Costs (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||||||
Schedule of Restructuring and Related Costs [Table Text Block] | ||||||||||||||||
(Dollars in millions) | Expected | Costs Incurred in 2014 | Costs Incurred Quarter Ended March 31, 2015 | Remaining Costs at | ||||||||||||
Costs | March 31, 2015 | |||||||||||||||
Otis | $ | 133 | $ | (98 | ) | $ | (6 | ) | $ | 29 | ||||||
UTC Climate, Controls & Security | 127 | (86 | ) | (7 | ) | 34 | ||||||||||
Pratt & Whitney | 86 | (64 | ) | (10 | ) | 12 | ||||||||||
UTC Aerospace Systems | 84 | (72 | ) | — | 12 | |||||||||||
Sikorsky | 20 | (20 | ) | — | — | |||||||||||
Eliminations and other | 5 | (5 | ) | — | — | |||||||||||
Total | $ | 455 | $ | (345 | ) | $ | (23 | ) | $ | 87 | ||||||
(Dollars in millions) | Expected | Costs Incurred Quarter Ended March 31, 2015 | Remaining Costs at | |||||||||||||
Costs | March 31, 2015 | |||||||||||||||
Otis | $ | 1 | $ | — | $ | 1 | ||||||||||
UTC Climate, Controls & Security | 20 | (16 | ) | 4 | ||||||||||||
Pratt & Whitney | 1 | (1 | ) | — | ||||||||||||
UTC Aerospace Systems | 49 | (47 | ) | 2 | ||||||||||||
Total | $ | 71 | $ | (64 | ) | $ | 7 | |||||||||
(Dollars in millions) | ||||||||||||||||
Cost of sales | $ | 22 | ||||||||||||||
Selling, general and administrative | 71 | |||||||||||||||
Total | $ | 93 | ||||||||||||||
(Dollars in millions) | ||||||||||||||||
Otis | $ | 6 | ||||||||||||||
UTC Climate, Controls & Security | 24 | |||||||||||||||
Pratt & Whitney | 13 | |||||||||||||||
UTC Aerospace Systems | 50 | |||||||||||||||
Total | $ | 93 | ||||||||||||||
Schedule of Restructuring Reserve by Type of Cost [Table Text Block] | ||||||||||||||||
(Dollars in millions) | Severance | Facility Exit, | Total | |||||||||||||
Lease | ||||||||||||||||
Termination and | ||||||||||||||||
Other Costs | ||||||||||||||||
Restructuring accruals at January 1, 2015 | $ | 162 | $ | 9 | $ | 171 | ||||||||||
Net pre-tax restructuring costs | 14 | 9 | 23 | |||||||||||||
Utilization and foreign exchange | (46 | ) | (10 | ) | (56 | ) | ||||||||||
Balance at March 31, 2015 | $ | 130 | $ | 8 | $ | 138 | ||||||||||
(Dollars in millions) | Total | |||||||||||||||
Net pre-tax restructuring costs | $ | 64 | ||||||||||||||
Utilization and foreign exchange | (3 | ) | ||||||||||||||
Balance at March 31, 2015 | $ | 61 | ||||||||||||||
Financial_Instruments_Tables
Financial Instruments (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | ||||||||||||||||
Asset Derivatives | Liability Derivatives | |||||||||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | March 31, 2015 | December 31, 2014 | ||||||||||||
Derivatives designated as hedging instruments | $ | 34 | $ | 3 | $ | 380 | $ | 248 | ||||||||
Derivatives not designated as hedging instruments | 97 | 139 | 230 | 71 | ||||||||||||
Schedule of Derivative Instruments, Loss in Statement of Financial Performance [Table Text Block] | ||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||
Loss recorded in Accumulated other comprehensive loss | $ | (184 | ) | $ | (80 | ) | ||||||||||
Loss reclassified from Accumulated other comprehensive loss into Product sales (effective portion) | $ | 57 | $ | 18 | ||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | ||||||||||||||||
(Dollars in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Long-term receivables | $ | 138 | $ | — | $ | 138 | $ | — | ||||||||
Customer financing notes receivable | 250 | — | 250 | — | ||||||||||||
Short-term borrowings | (2,314 | ) | — | (2,180 | ) | (134 | ) | |||||||||
Long-term debt (excluding capitalized leases) | (22,530 | ) | — | (22,138 | ) | (392 | ) | |||||||||
Long-term liabilities | (276 | ) | — | (276 | ) | — | ||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||
(Dollars in millions) | Carrying | Fair | Carrying | Fair | ||||||||||||
Amount | Value | Amount | Value | |||||||||||||
Long-term receivables | $ | 146 | $ | 138 | $ | 214 | $ | 204 | ||||||||
Customer financing notes receivable | 252 | 250 | 262 | 260 | ||||||||||||
Short-term borrowings | (2,314 | ) | (2,314 | ) | (126 | ) | (126 | ) | ||||||||
Long-term debt (excluding capitalized leases) | (19,650 | ) | (22,530 | ) | (19,634 | ) | (22,254 | ) | ||||||||
Long-term liabilities | (289 | ) | (276 | ) | (80 | ) | (74 | ) | ||||||||
Fair Value Measurements, Recurring and Nonrecurring [Table Text Block] | ||||||||||||||||
March 31, 2015 (Dollars in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Recurring fair value measurements: | ||||||||||||||||
Available-for-sale securities | $ | 982 | $ | 982 | $ | — | $ | — | ||||||||
Derivative assets | 131 | — | 131 | — | ||||||||||||
Derivative liabilities | (610 | ) | — | (610 | ) | — | ||||||||||
December 31, 2014 (Dollars in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Recurring fair value measurements: | ||||||||||||||||
Available-for-sale securities | $ | 961 | $ | 961 | $ | — | $ | — | ||||||||
Derivative assets | 142 | — | 142 | — | ||||||||||||
Derivative liabilities | (319 | ) | — | (319 | ) | — | ||||||||||
Nonrecurring fair value measurements: | ||||||||||||||||
Business dispositions | 3 | — | 3 | — | ||||||||||||
LongTerm_Financing_Receivables1
Long-Term Financing Receivables (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Receivables [Abstract] | ||||||||
Financing Receivable Credit Quality Indicators [Table Text Block] | ||||||||
(Dollars in millions) | March 31, 2015 | December 31, 2014 | ||||||
Long-term trade accounts receivable | $ | 1,069 | $ | 1,045 | ||||
Notes and leases receivable | 411 | 381 | ||||||
Total long-term receivables | $ | 1,480 | $ | 1,426 | ||||
Shareowners_Equity_and_Noncont1
Shareowners' Equity and Noncontrolling Interest (Tables) | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ||||||||||||||||||||||||
Stockholders' Equity Note Disclosure [Text Block] | ||||||||||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||
(Dollars in millions) | Share-owners' | Non-controlling Interest | Total | Share-owners' | Non-controlling Interest | Total | ||||||||||||||||||
Equity | Equity | Equity | Equity | |||||||||||||||||||||
Equity, beginning of period | $ | 31,213 | $ | 1,351 | $ | 32,564 | $ | 31,866 | $ | 1,353 | $ | 33,219 | ||||||||||||
Comprehensive income for the period: | ||||||||||||||||||||||||
Net income | 1,426 | 72 | 1,498 | 1,213 | 93 | 1,306 | ||||||||||||||||||
Total other comprehensive loss | (550 | ) | (40 | ) | (590 | ) | (61 | ) | (7 | ) | (68 | ) | ||||||||||||
Total comprehensive income for the period | 876 | 32 | 908 | 1,152 | 86 | 1,238 | ||||||||||||||||||
Common Stock issued under employee plans | 125 | 125 | 165 | 165 | ||||||||||||||||||||
Common Stock repurchased | (3,000 | ) | (3,000 | ) | (335 | ) | (335 | ) | ||||||||||||||||
Dividends on Common Stock | (553 | ) | (553 | ) | (514 | ) | (514 | ) | ||||||||||||||||
Dividends on ESOP Common Stock | (19 | ) | (19 | ) | (18 | ) | (18 | ) | ||||||||||||||||
Dividends attributable to noncontrolling interest | (55 | ) | (55 | ) | (56 | ) | (56 | ) | ||||||||||||||||
Sale of subsidiary shares from noncontrolling interest | 11 | 14 | 25 | 1 | 24 | 25 | ||||||||||||||||||
Acquisition of noncontrolling interest | 172 | 172 | — | — | ||||||||||||||||||||
Disposition of noncontrolling interest | (3 | ) | (3 | ) | — | — | ||||||||||||||||||
Redeemable noncontrolling interest | (3 | ) | 6 | 3 | — | (29 | ) | (29 | ) | |||||||||||||||
Equity, end of period | $ | 28,650 | $ | 1,517 | $ | 30,167 | $ | 32,317 | $ | 1,378 | $ | 33,695 | ||||||||||||
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | ||||||||||||||||||||||||
(Dollars in millions) | Foreign | Defined | Unrealized Gains | Unrealized | Accumulated | |||||||||||||||||||
Currency | Benefit | (Losses) on | Hedging | Other | ||||||||||||||||||||
Translation | Pension and | Available-for-Sale | (Losses) | Comprehensive | ||||||||||||||||||||
Post- | Securities | Gains | (Loss) Income | |||||||||||||||||||||
retirement | ||||||||||||||||||||||||
Plans | ||||||||||||||||||||||||
Quarter Ended March 31, 2014 | ||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 170 | $ | (3,267 | ) | $ | 296 | $ | (79 | ) | $ | (2,880 | ) | |||||||||||
Other comprehensive (loss) income before reclassifications, net | (102 | ) | 13 | 22 | (65 | ) | (132 | ) | ||||||||||||||||
Amounts reclassified, pretax | 3 | 104 | (24 | ) | 18 | 101 | ||||||||||||||||||
Tax (benefit) expense reclassified | — | (34 | ) | 7 | (3 | ) | (30 | ) | ||||||||||||||||
Balance at March 31, 2014 | $ | 71 | $ | (3,184 | ) | $ | 301 | $ | (129 | ) | $ | (2,941 | ) | |||||||||||
(Dollars in millions) | Foreign | Defined | Unrealized Gains | Unrealized | Accumulated | |||||||||||||||||||
Currency | Benefit | (Losses) on | Hedging | Other | ||||||||||||||||||||
Translation | Pension and | Available-for-Sale | (Losses) | Comprehensive | ||||||||||||||||||||
Post- | Securities | Gains | (Loss) Income | |||||||||||||||||||||
retirement | ||||||||||||||||||||||||
Plans | ||||||||||||||||||||||||
Quarter Ended March 31, 2015 | ||||||||||||||||||||||||
Balance at December 31, 2014 | $ | (1,051 | ) | $ | (5,709 | ) | $ | 308 | $ | (209 | ) | $ | (6,661 | ) | ||||||||||
Other comprehensive (loss) income before reclassifications, net | (665 | ) | 35 | 54 | (132 | ) | (708 | ) | ||||||||||||||||
Amounts reclassified, pretax | (2 | ) | 217 | (28 | ) | 57 | 244 | |||||||||||||||||
Tax (benefit) expense reclassified | — | (80 | ) | 10 | (16 | ) | (86 | ) | ||||||||||||||||
Balance at March 31, 2015 | $ | (1,718 | ) | $ | (5,537 | ) | $ | 344 | $ | (300 | ) | $ | (7,211 | ) | ||||||||||
Temporary Equity [Text Block] | ||||||||||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||||||||||
Redeemable noncontrolling interest, beginning of period | $ | 140 | $ | 111 | ||||||||||||||||||||
Net income | 1 | 6 | ||||||||||||||||||||||
Foreign currency translation, net | (7 | ) | (2 | ) | ||||||||||||||||||||
Dividends attributable to noncontrolling interest | (3 | ) | (3 | ) | ||||||||||||||||||||
Redeemable noncontrolling interest fair value adjustment | 4 | — | ||||||||||||||||||||||
Redeemable noncontrolling interest reclassification to noncontrolling interest | — | 25 | ||||||||||||||||||||||
Redeemable noncontrolling interest, end of period | $ | 135 | $ | 137 | ||||||||||||||||||||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Text Block] | ||||||||||||||||||||||||
Quarter Ended March 31, | ||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2014 | ||||||||||||||||||||||
Net income attributable to common shareowners | $ | 1,426 | $ | 1,213 | ||||||||||||||||||||
Transfers to noncontrolling interests: | ||||||||||||||||||||||||
Increase in common stock for sale of subsidiary shares | 23 | 4 | ||||||||||||||||||||||
Decrease in common stock for purchase of subsidiary shares | (12 | ) | (3 | ) | ||||||||||||||||||||
Net income attributable to common shareowners after transfers to noncontrolling interests | $ | 1,437 | $ | 1,214 | ||||||||||||||||||||
Guarantees_Tables
Guarantees (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Service and Product Warranties and Product Performance Guarantees [Abstract] | |||||||||
Product Warranty Disclosure [Table Text Block] | |||||||||
(Dollars in millions) | 2015 | 2014 | |||||||
Balance as of January 1 | $ | 1,313 | $ | 1,360 | |||||
Warranties and performance guarantees issued | 76 | 79 | |||||||
Settlements made | (71 | ) | (71 | ) | |||||
Other | (4 | ) | (39 | ) | |||||
Balance as of March 31 | $ | 1,314 | $ | 1,329 | |||||
Segment_Financial_Data_Tables
Segment Financial Data (Tables) | 3 Months Ended | |||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ||||||||||||||||||||||
Net Sales | Operating Profits | Operating Profit Margins | ||||||||||||||||||||
(Dollars in millions) | 2015 | 2014 | 2015 | 2014 | 2015 | 2014 | ||||||||||||||||
Otis | $ | 2,745 | $ | 2,955 | $ | 527 | $ | 570 | 19.2 | % | 19.3 | % | ||||||||||
UTC Climate, Controls & Security | 3,852 | 3,851 | 729 | 537 | 18.9 | % | 13.9 | % | ||||||||||||||
Pratt & Whitney | 3,332 | 3,329 | 419 | 388 | 12.6 | % | 11.7 | % | ||||||||||||||
UTC Aerospace Systems | 3,548 | 3,450 | 569 | 590 | 16 | % | 17.1 | % | ||||||||||||||
Sikorsky | 1,267 | 1,361 | 92 | 86 | 7.3 | % | 6.3 | % | ||||||||||||||
Total segments | 14,744 | 14,946 | 2,336 | 2,171 | 15.8 | % | 14.5 | % | ||||||||||||||
Eliminations and other | (203 | ) | (201 | ) | 48 | 39 | ||||||||||||||||
General corporate expenses | — | — | (110 | ) | (112 | ) | ||||||||||||||||
Consolidated | $ | 14,541 | $ | 14,745 | $ | 2,274 | $ | 2,098 | 15.6 | % | 14.2 | % | ||||||||||
Acquisitions_Dispositions_Good2
Acquisitions, Dispositions, Goodwill and Other Intangible Assets (General Information) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |
Acquisition Cost Of Acquired Entities and Interest in Affiliates | $247 |
Noncash or Part Noncash Acquisition, Debt Assumed | $17 |
Acquisitions_Dispositions_Good3
Acquisitions, Dispositions, Goodwill and Other Intangible Assets (IAE Collaboration) (Details) | 3 Months Ended |
Mar. 31, 2015 | |
IAE Collaboration [Member] | |
Variable Interest Entity [Line Items] | |
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 61.00% |
International Aero Engines AG [Member] | |
Variable Interest Entity [Line Items] | |
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 49.50% |
Acquisitions_Dispositions_Good4
Acquisitions, Dispositions, Goodwill and Other Intangible Assets (Variable Interest Entity) (Details) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |
Current Assets | $1,980 |
Noncurrent Assets | 928 |
Total Assets | 2,908 |
Current Liabilities | 2,061 |
Noncurrent Liabilities | 1,359 |
Total Liabilities | $3,420 |
Acquisition_Dispositions_Goodw
Acquisition, Dispositions, Goodwill and Other Intangible Assets (Goodwill) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | $27,796 |
Goodwill Resulting from Business Combinations | 343 |
Goodwill - Foreign Currency Translation and Other | -582 |
Goodwill - Ending Balance | 27,557 |
Otis [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 1,664 |
Goodwill Resulting from Business Combinations | 7 |
Goodwill - Foreign Currency Translation and Other | -81 |
Goodwill - Ending Balance | 1,590 |
UTC Climate, Controls & Security [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 9,408 |
Goodwill Resulting from Business Combinations | 336 |
Goodwill - Foreign Currency Translation and Other | -312 |
Goodwill - Ending Balance | 9,432 |
Pratt & Whitney [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 1,481 |
Goodwill Resulting from Business Combinations | 0 |
Goodwill - Foreign Currency Translation and Other | -1 |
Goodwill - Ending Balance | 1,480 |
UTC Aerospace Systems [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 14,892 |
Goodwill Resulting from Business Combinations | 0 |
Goodwill - Foreign Currency Translation and Other | -185 |
Goodwill - Ending Balance | 14,707 |
Sikorsky [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 347 |
Goodwill Resulting from Business Combinations | 0 |
Goodwill - Foreign Currency Translation and Other | -3 |
Goodwill - Ending Balance | 344 |
Total Segments [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 27,792 |
Goodwill Resulting from Business Combinations | 343 |
Goodwill - Foreign Currency Translation and Other | -582 |
Goodwill - Ending Balance | 27,553 |
Eliminations and other [Member] | |
Goodwill [Line Items] | |
Goodwill - Beginning Balance | 4 |
Goodwill Resulting from Business Combinations | 0 |
Goodwill - Foreign Currency Translation and Other | 0 |
Goodwill - Ending Balance | $4 |
Acquisitions_Dispositions_Good5
Acquisitions, Dispositions, Goodwill and Other Intangible Assets (Intangible Assets) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $17,611 | $17,525 |
Accumulated Amortization | 4,140 | 4,142 |
Unamortized: Trademarks and Other | 2,100 | 2,177 |
Total Intangible Assets Gross Excluding Goodwill | 19,711 | 19,702 |
Amortization of Intangible Assets | 179 | |
Service portfolios [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 1,975 | 2,103 |
Accumulated Amortization | 1,254 | 1,309 |
Patents and trademarks [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 366 | 361 |
Accumulated Amortization | 189 | 190 |
IAE collaboration [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 3,003 | 2,872 |
Accumulated Amortization | 32 | 20 |
Customer relationships and other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 12,267 | 12,189 |
Accumulated Amortization | $2,665 | $2,623 |
Acquisitions_Dispositions_Good6
Acquisitions, Dispositions, Goodwill and Other Intangible Assets (Amortization Expense) (Details) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |
Amortization Expense, Remaining 2015 | $521 |
Amortization Expense, 2016 | 692 |
Amortization Expense, 2017 | 729 |
Amortization Expense, 2018 | 771 |
Amortization Expense, 2019 | 744 |
Amortization Expense, 2020 | $728 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | |
In Millions, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share [Abstract] | ||
Net income attributable to common shareowners | $1,426 | $1,213 |
Basic weighted average number of shares outstanding | 890,300,000 | 900,900,000 |
Stock awards and equity units | 13,900,000 | 16,100,000 |
Diluted weighted average number of shares outstanding | 904,200,000 | 917,000,000 |
Basic | $1.60 | $1.35 |
Diluted | $1.58 | $1.32 |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 430,000 | 0 |
Inventories_and_Contracts_in_P2
Inventories and Contracts in Progress (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Raw materials | $2,058 | $2,056 |
Work-in-process | 4,006 | 3,596 |
Finished goods | 3,941 | 3,776 |
Contracts in progress | 8,210 | 8,189 |
Inventory before payments and billings | 18,215 | 17,617 |
Progress payments, secured by lien, on U.S. Government contracts | 434 | 300 |
Billings on contracts in progress | 7,445 | 7,452 |
Inventories and contracts in progress, net | 10,336 | 9,865 |
UTC Aerospace Systems [Member] | ||
Inventory [Line Items] | ||
Other Inventory, Capitalized Costs, Gross | $131 | $141 |
Borrowings_and_Lines_of_Credit2
Borrowings and Lines of Credit (Short-Term Borrowings) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Debt Disclosure [Abstract] | ||
Commercial paper | $2,180 | $0 |
Other borrowings | 134 | 126 |
Short-term borrowings | $2,314 | $126 |
Borrowing_and_Lines_of_Credit_
Borrowing and Lines of Credit (Narrative) (Details) (USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Line of Credit Facility [Line Items] | |
Aggregate Line of Credit Facility Maximum Borrowing Capacity | $5,850,000,000 |
Maximum Commercial Paper Borrowing Authority | 4,350,000,000 |
Revolving Credit Agreement [Member] | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Maximum Borrowing Capacity | 2,200,000,000 |
Line of Credit Facility, Amount Outstanding | 0 |
Line of Credit Facility, Expiration Date | 23-May-19 |
Multicurrency Revolving Credit Agreement [Member] | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Maximum Borrowing Capacity | 2,150,000,000 |
Line of Credit Facility, Amount Outstanding | 0 |
Line of Credit Facility, Expiration Date | 23-May-19 |
Short term Revolving Credit Agreement [Member] | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Maximum Borrowing Capacity | 1,500,000,000 |
Line of Credit Facility, Initiation Date | 11-Mar-15 |
Line of Credit Facility, Amount Outstanding | $0 |
Line of Credit Facility, Expiration Date | 11-Sep-15 |
Borrowings_and_Lines_of_Credit3
Borrowings and Lines of Credit (Long-Term Debt) (Details) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | ||
Debt Instrument [Line Items] | ||||
Project financing obligations | $176 | $147 | ||
Other (including capitalized leases) | 364 | [1] | 378 | [1] |
Total principal long-term debt | 19,515 | 19,500 | ||
Other (fair market value adjustments and discounts) | 164 | [1] | 168 | [1] |
Total long-term debt | 19,679 | 19,668 | ||
Less: current portion | 1,870 | 1,796 | ||
Long-term debt, net of current portion | 17,809 | 17,872 | ||
LIBOR Plus 0.500% Floating Rate Notes Due 2015 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Call Feature | B' The three-month LIBOR rate as of March 31, 2015 was approximately 0.3%. | |||
Debt Instrument Maturity Date Description | 2015 | |||
Debt Instrument, Carrying Amount | 500 | [2] | 500 | [2] |
Debt Instrument, Interest Rate Terms | LIBOR plus 0.500% | |||
Notes 4.875% Due 2015 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.88% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2015 | |||
Debt Instrument, Carrying Amount | 1,200 | [3] | 1,200 | [3] |
Notes 5.375% Due 2017 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 5.38% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2017 | |||
Debt Instrument, Carrying Amount | 1,000 | [3] | 1,000 | [3] |
Notes 1.800% Due 2017 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 1.80% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2017 | |||
Debt Instrument, Carrying Amount | 1,500 | [3] | 1,500 | [3] |
Notes 6.800% Due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.80% | |||
Debt Instrument, Call Feature | b! Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||
Debt Instrument Maturity Date Description | 2018 | |||
Debt Instrument, Carrying Amount | 99 | [1] | 99 | [1] |
Notes 6.125% Due 2019 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.13% | |||
Debt Instrument, Call Feature | * We may redeem some or all of these series of notes at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount outstanding of the applicable series of notes to be redeemed, or the sum of the present values of the remaining scheduled payments of principal and interest on the applicable series of notes to be redeemed. The discounts applied on such redemptions are based on a semiannual calculation at an adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2019 | |||
Debt Instrument, Carrying Amount | 1,250 | [3] | 1,250 | [3] |
Notes 8.875% Due 2019 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 8.88% | |||
Debt Instrument Maturity Date Description | 2019 | |||
Debt Instrument, Carrying Amount | 271 | 271 | ||
Notes 4.500% Due 2020 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | |||
Debt Instrument, Call Feature | * We may redeem some or all of these series of notes at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount outstanding of the applicable series of notes to be redeemed, or the sum of the present values of the remaining scheduled payments of principal and interest on the applicable series of notes to be redeemed. The discounts applied on such redemptions are based on a semiannual calculation at an adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2020 | |||
Debt Instrument, Carrying Amount | 1,250 | [3] | 1,250 | [3] |
Notes 4.875% Due 2020 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.88% | |||
Debt Instrument, Call Feature | b! Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||
Debt Instrument Maturity Date Description | 2020 | |||
Debt Instrument, Carrying Amount | 171 | [1] | 171 | [1] |
Notes 8.750% Due 2021 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 8.75% | |||
Debt Instrument Maturity Date Description | 2021 | |||
Debt Instrument, Carrying Amount | 250 | 250 | ||
Notes 3.100% Due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.10% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2022 | |||
Debt Instrument, Carrying Amount | 2,300 | [3] | 2,300 | [3] |
1.550% junior subordinated notes due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 1.55% | |||
Debt Instrument, Call Feature | b The junior subordinated notes are redeemable at our option, in whole or in part, on a date not earlier than August 1, 2017. The redemption price will be the principal amount, plus accrued and unpaid interest, if any, up to but excluding the redemption date. We may extend or eliminate the optional redemption date as part of a remarketing of the junior subordinated notes which could occur between April 29, 2015 and July 15, 2015 or between July 23, 2015 and July 29, 2015. | |||
Debt Instrument Maturity Date Description | 2022 | |||
Debt Instrument, Carrying Amount | 1,100 | [4] | 1,100 | [4] |
Notes 7.100% Due 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 7.10% | |||
Debt Instrument, Call Feature | b! Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||
Debt Instrument Maturity Date Description | 2027 | |||
Debt Instrument, Carrying Amount | 141 | [1] | 141 | [1] |
Notes 6.700% Due 2028 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.70% | |||
Debt Instrument Maturity Date Description | 2028 | |||
Debt Instrument, Carrying Amount | 400 | 400 | ||
Notes 7.500% Due 2029 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 7.50% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2029 | |||
Debt Instrument, Carrying Amount | 550 | [3] | 550 | [3] |
Notes 5.400% Due 2035 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 5.40% | |||
Debt Instrument, Call Feature | * We may redeem some or all of these series of notes at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount outstanding of the applicable series of notes to be redeemed, or the sum of the present values of the remaining scheduled payments of principal and interest on the applicable series of notes to be redeemed. The discounts applied on such redemptions are based on a semiannual calculation at an adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2035 | |||
Debt Instrument, Carrying Amount | 600 | [3] | 600 | [3] |
Notes 6.050% Due 2036 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.05% | |||
Debt Instrument, Call Feature | * We may redeem some or all of these series of notes at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount outstanding of the applicable series of notes to be redeemed, or the sum of the present values of the remaining scheduled payments of principal and interest on the applicable series of notes to be redeemed. The discounts applied on such redemptions are based on a semiannual calculation at an adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2036 | |||
Debt Instrument, Carrying Amount | 600 | [3] | 600 | [3] |
Notes 6.800% Due 2036 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.80% | |||
Debt Instrument, Call Feature | b! Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||
Debt Instrument Maturity Date Description | 2036 | |||
Debt Instrument, Carrying Amount | 134 | [1] | 134 | [1] |
Notes 7.000% Due 2038 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 7.00% | |||
Debt Instrument, Call Feature | b! Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||
Debt Instrument Maturity Date Description | 2038 | |||
Debt Instrument, Carrying Amount | 159 | [1] | 159 | [1] |
Notes 6.125% Due 2038 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.13% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2038 | |||
Debt Instrument, Carrying Amount | 1,000 | [3] | 1,000 | [3] |
Notes 5.700% Due 2040 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 5.70% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2040 | |||
Debt Instrument, Carrying Amount | 1,000 | [3] | 1,000 | [3] |
Notes 4.500% Due 2042 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | |||
Debt Instrument, Call Feature | * We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
Debt Instrument Maturity Date Description | 2042 | |||
Debt Instrument, Carrying Amount | $3,500 | [3] | $3,500 | [3] |
[1] | Includes notes and remaining fair market value adjustments that were assumed as a part of the Goodrich acquisition on July 26, 2012. | |||
[2] | The three-month LIBOR rate as of March 31,B 2015 was approximately 0.3% | |||
[3] | We may redeem the above notes, in whole or in part, at our option at any time at a redemption price in U.S. Dollars equal to the greater of 100% of the principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments of principal and interest on the notes to be redeemed, discounted to the redemption date on a semiannual basis at the adjusted treasury rate plus 10-50 basis points. The redemption price will also include interest accrued to the date of redemption on the principal balance of the notes being redeemed. | |||
[4] | The junior subordinated notes are redeemable at our option, in whole or in part, on a date not earlier than August 1, 2017. The redemption price will be the principal amount, plus accrued and unpaid interest, if any, up to but excluding the redemption date. We may extend or eliminate the optional redemption date as part of a remarketing of the junior subordinated notes which could occur between April 29, 2015 and July 15, 2015 or between July 23, 2015 and July 29, 2015. |
Income_Taxes_Details
Income Taxes (Details) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Significant Change In Unrecognized Tax Benefits Is Reasonably Possible [Line Items] | |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Lower Bound | $35 |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Upper Bound | $460 |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plans | $45 | $84 |
Defined Contribution Plans | 96 | 90 |
Pension Plans, Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service Cost | 125 | 122 |
Interest Cost | 351 | 380 |
Expected Return on Plan Assets | 569 | 554 |
Amortization | -3 | -2 |
Recognized actuarial net loss (gain) | -221 | -107 |
Net settlement and curtailment loss | -6 | 0 |
Total net periodic benefit cost | 131 | 53 |
Other Postretirement Benefit Plans, Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service Cost | 1 | 1 |
Interest Cost | 8 | 10 |
Expected Return on Plan Assets | 0 | 0 |
Amortization | 0 | 0 |
Recognized actuarial net loss (gain) | 1 | 1 |
Net settlement and curtailment loss | 0 | 0 |
Total net periodic benefit cost | 8 | 10 |
United States Pension Plans Of US Entity Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plans | $0 | $0 |
Restructuring_and_Other_Costs_1
Restructuring and Other Costs (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | $93 | |
Restructuring Reserve, Two Years Prior Actions | 71 | |
Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 64 | |
Utilization and foreign exchange | 3 | |
Restructuring Reserve Ending Balance | 61 | |
Restructuring and Related Cost, Incurred Cost | 64 | |
Restructuring and Related Cost, Expected Cost | 71 | |
Restructuring And Related Cost Expected Remaining | 7 | |
Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Reserve Beginning Balance | 171 | |
Net pre-tax restructuring costs | 23 | |
Utilization and foreign exchange | 56 | |
Restructuring Reserve Ending Balance | 138 | 171 |
Restructuring and Related Cost, Incurred Cost | 23 | 345 |
Restructuring and Related Cost, Expected Cost | 455 | |
Restructuring And Related Cost Expected Remaining | 87 | |
Prior Year Actions [Member] | Severance [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Reserve Beginning Balance | 162 | |
Net pre-tax restructuring costs | 14 | |
Utilization and foreign exchange | 46 | |
Restructuring Reserve Ending Balance | 130 | |
Prior Year Actions [Member] | Facility Exit, Lease Termination and Other Costs [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Reserve Beginning Balance | 9 | |
Net pre-tax restructuring costs | 9 | |
Utilization and foreign exchange | 10 | |
Restructuring Reserve Ending Balance | 8 | |
Otis [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 6 | |
Otis [Member] | Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 0 | |
Restructuring and Related Cost, Expected Cost | 1 | |
Restructuring And Related Cost Expected Remaining | 1 | |
Otis [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 6 | 98 |
Restructuring and Related Cost, Expected Cost | 133 | |
Restructuring And Related Cost Expected Remaining | 29 | |
UTC Climate, Controls & Security [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 24 | |
UTC Climate, Controls & Security [Member] | Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 16 | |
Restructuring and Related Cost, Expected Cost | 20 | |
Restructuring And Related Cost Expected Remaining | 4 | |
UTC Climate, Controls & Security [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 7 | 86 |
Restructuring and Related Cost, Expected Cost | 127 | |
Restructuring And Related Cost Expected Remaining | 34 | |
Pratt & Whitney [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 13 | |
Pratt & Whitney [Member] | Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 1 | |
Restructuring and Related Cost, Expected Cost | 1 | |
Restructuring And Related Cost Expected Remaining | 0 | |
Pratt & Whitney [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 10 | 64 |
Restructuring and Related Cost, Expected Cost | 86 | |
Restructuring And Related Cost Expected Remaining | 12 | |
UTC Aerospace Systems [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 50 | |
UTC Aerospace Systems [Member] | Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 47 | |
Restructuring and Related Cost, Expected Cost | 49 | |
Restructuring And Related Cost Expected Remaining | 2 | |
UTC Aerospace Systems [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 0 | 72 |
Restructuring and Related Cost, Expected Cost | 84 | |
Restructuring And Related Cost Expected Remaining | 12 | |
Sikorsky [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 0 | 20 |
Restructuring and Related Cost, Expected Cost | 20 | |
Restructuring And Related Cost Expected Remaining | 0 | |
Eliminations and other [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Incurred Cost | 0 | 5 |
Restructuring and Related Cost, Expected Cost | 5 | |
Restructuring And Related Cost Expected Remaining | 0 | |
Cost Of Sales [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 22 | |
Cost Of Sales [Member] | Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 5 | |
Cost Of Sales [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 14 | |
Selling General and Administrative [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 71 | |
Selling General and Administrative [Member] | Current Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | 59 | |
Selling General and Administrative [Member] | Prior Year Actions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Net pre-tax restructuring costs | $9 |
Financial_Instruments_Narrativ
Financial Instruments (Narrative) (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||
Four Quarter Rolling Average of Notional Amount of Foreign Exchange Contracts Hedging Foreign Currency Transactions | $14,500,000,000 | $13,900,000,000 | |
Gain (Loss) on Foreign Currency Derivative Instruments Not Designated as Hedging Instruments | 18,000,000 | 26,000,000 | |
Payments for (Proceeds from) Derivative Instrument, Investing Activities | ($569,000,000) | $113,000,000 |
Financial_Instruments_Fair_Val
Financial Instruments (Fair Value of Derivative Instruments) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Derivatives designated as hedging instruments, Asset Derivatives | $34 | $3 |
Derivatives not designated as hedging instruments, Asset Derivatives | 97 | 139 |
Derivatives designated as hedging instruments, Liability Derivatives | 380 | 248 |
Derivatives not designated as hedging instruments, Liability Derivatives | $230 | $71 |
Financial_Instruments_Impact_F
Financial Instruments (Impact From Foreign Exchange Derivative Instruments) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Loss recorded in Accumulated other comprehensive loss | ($184) | ($80) |
Loss reclassified from Accumulated other comprehensive loss (gain) into Product Sales (effective portion) | 57 | 18 |
Foreign Currency Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months | $176 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements (Fair Value Hierarchy Classification) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | $138 | $204 |
Customer financing notes receivable | 250 | 260 |
Short Term borrowings | 2,314 | 126 |
Long-term debt (excluding capitalized leases) | 22,530 | 22,254 |
Long-term liabilities | 276 | 74 |
Portion at Other than Fair Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 146 | 214 |
Customer financing notes receivable | 252 | 262 |
Short Term borrowings | 2,314 | 126 |
Long-term debt (excluding capitalized leases) | 19,650 | 19,634 |
Long-term liabilities | 289 | 80 |
UTC Climate, Controls & Security [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Remeasurement Gain | 126 | |
Quoted price in active markets (Level 1) [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 0 | |
Customer financing notes receivable | 0 | |
Short Term borrowings | 0 | |
Long-term debt (excluding capitalized leases) | 0 | |
Long-term liabilities | 0 | |
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 138 | |
Customer financing notes receivable | 250 | |
Short Term borrowings | 2,180 | |
Long-term debt (excluding capitalized leases) | 22,138 | |
Long-term liabilities | 276 | |
Unobservable inputs (Level 3) [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term receivables | 0 | |
Customer financing notes receivable | 0 | |
Short Term borrowings | 134 | |
Long-term debt (excluding capitalized leases) | 392 | |
Long-term liabilities | 0 | |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 982 | 961 |
Derivative Assets | 131 | 142 |
Derivative Liabilities | 610 | 319 |
Fair Value, Measurements, Recurring [Member] | Quoted price in active markets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 982 | 961 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Derivative Assets | 131 | 142 |
Derivative Liabilities | 610 | 319 |
Fair Value, Measurements, Recurring [Member] | Unobservable inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Dispositions | 3 | |
Fair Value, Measurements, Nonrecurring [Member] | Quoted price in active markets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Dispositions | 0 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Dispositions | 3 | |
Fair Value, Measurements, Nonrecurring [Member] | Unobservable inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business Dispositions | $0 |
Fair_Value_Measurements_Commer
Fair Value Measurements (Commercial Aerospace Financing Commitments) (Details) (Commercial Aerospace [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Billions, unless otherwise specified | ||
Commercial Aerospace [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Fair Value Disclosure, Off-balance Sheet Risks, Amount, Asset | $10.90 | $11.30 |
LongTerm_Financing_Receivables2
Long-Term Financing Receivables (Reserve and Additional Information) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Receivables [Abstract] | ||
Long Term Receivables High Credit Risk Percentage | 7.00% | 7.00% |
Financing Receivable Reserve For Credit Losses And Exposure | $10 | $10 |
LongTerm_Financing_Receivables3
Long-Term Financing Receivables(Class and Credit Risk Information) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Net | $1,480 | $1,426 |
Long-term trade accounts receivable [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Net | 1,069 | 1,045 |
Notes And leases receivable [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Financing Receivable, Net | $411 | $381 |
Shareowners_Equity_and_Noncont2
Shareowners' Equity and Noncontrolling Interest (Summary of Changes in Shareowners' Equity and Noncontrolling Interest) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Stockholders' Equity Note [Abstract] | ||
Redeemable noncontrolling interest, beginning of period | $140,000,000 | $111,000,000 |
Redeemable noncontrolling interest, end of period | 135,000,000 | 137,000,000 |
Statement [Line Items] | ||
Shareowners' Equity, beginning of period | 31,213,000,000 | 31,866,000,000 |
Shareowners' Equity, end of period | 28,650,000,000 | 32,317,000,000 |
Noncontrolling interest, beginning of period | 1,351,000,000 | 1,353,000,000 |
Noncontrolling interest, end of period | 1,517,000,000 | 1,378,000,000 |
Total Equity, beginning of period | 32,564,000,000 | 33,219,000,000 |
Total Equity, end of period | 30,167,000,000 | 33,695,000,000 |
Net income attributable to common shareowners | 1,426,000,000 | 1,213,000,000 |
Net Income, Noncontrolling Interest | 72,000,000 | 93,000,000 |
Net income, Total Equity | 1,498,000,000 | 1,306,000,000 |
Total other comprehensive income, Shareowners' Equity | -550,000,000 | -61,000,000 |
Total other comprehensive loss, Noncontrolling Interest | 40,000,000 | 7,000,000 |
Total other comprehensive loss, Total Equity | -590,000,000 | -68,000,000 |
Total comprehensive income for the period, Shareowners' Equity | 876,000,000 | 1,152,000,000 |
Total comprehensive income for the period, Noncontrolling Interest | 32,000,000 | 86,000,000 |
Total comprehensive income for the period, Total Equity | 908,000,000 | 1,238,000,000 |
Common Stock issued under employee plans | 125,000,000 | 165,000,000 |
Common Stock repurchased | 3,000,000,000 | 335,000,000 |
Dividends on Common Stock | 553,000,000 | 514,000,000 |
Dividends on ESOP Common Stock | 19,000,000 | 18,000,000 |
Dividends attributable to noncontrolling interest | 55,000,000 | 56,000,000 |
Sale of subsidiary shares from noncontrolling interest | -25,000,000 | -25,000,000 |
Acquisition of noncontrolling interest | 172,000,000 | 0 |
Disposition noncontrolling interest | 3,000,000 | 0 |
Redeemable noncontrolling interest | 3,000,000 | -29,000,000 |
Increase in common stock for sale of subsidiary shares | 23,000,000 | 4,000,000 |
Decrease in common stock for purchase of subsidiary shares | 12,000,000 | 3,000,000 |
Net income attributable to common shareowners after transfers to noncontrolling interests | 1,437,000,000 | 1,214,000,000 |
Shareowners' Equity [Member] | ||
Statement [Line Items] | ||
Total comprehensive income for the period, Shareowners' Equity | 876,000,000 | 1,152,000,000 |
Common Stock issued under employee plans | 125,000,000 | 165,000,000 |
Common Stock repurchased | 3,000,000,000 | 335,000,000 |
Dividends on Common Stock | 553,000,000 | 514,000,000 |
Dividends on ESOP Common Stock | 19,000,000 | 18,000,000 |
Sale of subsidiary shares from noncontrolling interest | -11,000,000 | -1,000,000 |
Redeemable noncontrolling interest | -3,000,000 | 0 |
Noncontrolling Interest [Member] | ||
Statement [Line Items] | ||
Total comprehensive income for the period, Noncontrolling Interest | 32,000,000 | 86,000,000 |
Dividends attributable to noncontrolling interest | 55,000,000 | 56,000,000 |
Sale of subsidiary shares from noncontrolling interest | -14,000,000 | -24,000,000 |
Acquisition of noncontrolling interest | 172,000,000 | 0 |
Disposition noncontrolling interest | 3,000,000 | 0 |
Redeemable noncontrolling interest | 6,000,000 | -29,000,000 |
Redeemable Noncontrolling Interest [Member] | ||
Statement [Line Items] | ||
Net income, Total Equity | 1,000,000 | 6,000,000 |
Dividends attributable to noncontrolling interest | 3,000,000 | 3,000,000 |
Redeemable noncontrolling interest | 0 | 25,000,000 |
Foreign currency translation, net | -7,000,000 | -2,000,000 |
Redeemable noncontrolling interest fair value adjustment | 4,000,000 | 0 |
Accelerated Stock Repurchase [Member] | ||
Statement [Line Items] | ||
Common Stock repurchased | $2,250,000,000 |
Shareowners_Equity_and_Noncont3
Shareowners' Equity and Noncontrolling Interest (Reclass and Changes in Accumulated Other Comprehensive Income) (Details) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Accumulated other comprehensive (loss) income | ($7,211) | ($2,941) | ($6,661) | ($2,880) |
Other Comprehensive (Loss) Income , before Reclassifications, Net | -708 | -132 | ||
Amounts reclassified, pretax | -244 | 101 | ||
Tax (benefit) expense reclassified | 558 | 567 | ||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Accumulated other comprehensive (loss) income | -300 | -129 | -209 | -79 |
Other Comprehensive (Loss) Income , before Reclassifications, Net | -132 | -65 | ||
Amounts reclassified, pretax | -57 | 18 | ||
Tax (benefit) expense reclassified | 16 | 3 | ||
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Tax (benefit) expense reclassified | 86 | 30 | ||
Accumulated Translation Adjustment [Member] | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Accumulated other comprehensive (loss) income | -1,718 | 71 | -1,051 | 170 |
Other Comprehensive (Loss) Income , before Reclassifications, Net | -665 | -102 | ||
Amounts reclassified, pretax | 2 | 3 | ||
Tax (benefit) expense reclassified | 0 | 0 | ||
Accumulated Defined Benefit Plans Adjustment [Member] | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Accumulated other comprehensive (loss) income | -5,537 | -3,184 | -5,709 | -3,267 |
Other Comprehensive (Loss) Income , before Reclassifications, Net | 35 | 13 | ||
Amounts reclassified, pretax | -217 | 104 | ||
Tax (benefit) expense reclassified | 80 | 34 | ||
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ||||
Accumulated other comprehensive (loss) income | 344 | 301 | 308 | 296 |
Other Comprehensive (Loss) Income , before Reclassifications, Net | 54 | 22 | ||
Amounts reclassified, pretax | 28 | -24 | ||
Tax (benefit) expense reclassified | ($10) | ($7) |
Shareowners_Equity_and_Noncont4
Shareowners' Equity and Noncontrolling Interest Shareowners' Equity and Noncontrolling Interest (Accelerated Stock Repurchase) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
ASR Aggregate Purchase Price | $2,650,000,000 | |
ASR Shares Repurchased | 18,600,000 | |
ASR, Initial Price Paid Per Share | $121.24 | |
ASR, Reduction to Shareowner's Equity | 3,000,000,000 | 335,000,000 |
Accelerated Stock Repurchase [Member] | ||
ASR amount included in APIC to be reclassified to treasury stock | 398,000,000 | |
ASR, Reduction to Shareowner's Equity | $2,250,000,000 |
Guarantees_Details
Guarantees (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Service and Product Warranties and Product Performance Guarantees [Abstract] | ||
Balance as of January 1 | $1,313 | $1,360 |
Warranties and performance guarantees issued | 76 | 79 |
Settlements made | 71 | 71 |
Other | -4 | -39 |
Balance as of March 31 | $1,314 | $1,329 |
Contingent_Liabilities_Details
Contingent Liabilities (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Department of Justice Lawsuit Against Pratt and Whitney [Member] | |
Loss Contingencies [Line Items] | |
Loss Contingency Lawsuit Filing Date | 1999 |
Loss Contingency Allegations | As previously disclosed, the United States Government sued us in 1999 in the United States District Court for the Southern District of Ohio, claiming that PrattB & Whitney violated the civil False Claims Act and common law. The claims relate to the bFighter Engine Competitionb between PrattB & Whitney's F100 engine and General Electric's F110 engine. The government alleged that it overpaid for F100 engines under contracts awarded by the U.S. Air Force in fiscal years 1985 through 1990 because PrattB & Whitney inflated its estimated costs for some purchased parts and withheld data that would have revealed the overstatements. At trial, which ended in April 2005, the government claimed PrattB & Whitney's liability to be approximately $624 million. |
Loss Contingency Actions Taken By Court Arbitrator Or Mediator | On AugustB 1, 2008, the trial court held that the Air Force had not suffered any actual damages because PrattB & Whitney had made significant price concessions after the alleged overstatements were made. However, the trial court judge found that PrattB & Whitney violated the False Claims Act due to inaccurate statements contained in its 1983 initial engine pricing proposal. In the absence of actual damages, the trial court awarded the government the maximum civil penalty of approximately $7 million, or $10,000 for each of the 709 invoices PrattB & Whitney submitted in 1989 and later under the contracts. |
Loss Contingency Actions Taken By Plaintiff And Defendant | In September 2008, both the government and UTC appealed the decision to the United States Court of Appeals for the Sixth Circuit. In November 2010, the Sixth Circuit affirmed PrattB & Whitney's liability for the civil penalty under the False Claims Act, but remanded the case to the trial court for further proceedings on the issues of False Claims Act damages and common law liability and damages. |
Loss Contingency, Additional Actions Taken by Court, Arbitrator or Mediator | On JuneB 18, 2012, the trial court found that PrattB & Whitney had breached obligations imposed by common law based on the same conduct with respect to which the court previously found liability under the False Claims Act. Under the common law claims, the U.S. Air Force seeks damages for events occurring before MarchB 3, 1989, which are not recoverable under the False Claims Act. |
Loss Contingency, Settlement Agreement, Terms | On June 17, 2013, the trial court awarded the government approximately $473 million in damages and penalties, plus prejudgment interest in an amount to be determined. On July 1, 2013, the trial court, after determining the amount of prejudgment interest, entered judgment in favor of the government in the amount of approximately $664 million. The trial court also awarded post-judgment interest on the full amount of the judgment to accrue from July 2, 2013, at the federal variable interest rate determined pursuant to 28 U.S.C. B' 1961. The judgment included four different components: (1) common law damages of approximately $109 million; (2) prejudgment interest on common law damages of approximately $191 million; (3) False Claims Act treble damages of approximately $357 million; and (4) penalties of approximately $7 million. The penalty component of the judgment previously was affirmed by the United States Court of Appeals in 2010. |
Loss Contingency Damages Sought | 624 |
Loss Contingency, Period of Occurrence | fiscal years 1985 through 1990 |
Loss Contingency Actions Taken By Defendant | We filed an appeal from the judgment to the United States Court of Appeals for the Sixth Circuit on August 26, 2013. On April 6, 2015, the Sixth Circuit reversed the trial courtbs decision and vacated the prior damages award, noting that the government did not prove any damages. The Court rejected as a matter of law the evidence submitted by the government on damages and remanded the case to the trial court to decide in the first instance whether the government should have another opportunity to prove that it suffered any actual damages. We continue to believe that the government suffered no actual damages as a result of the inaccurate statements made in 1983, and continue not to accrue a reserve beyond the approximately $7 million of penalties referenced above and post-judgment interest on such penalties, which in the aggregate are not material. |
Loss Contingency Settlement Agreement Date | 6/17/13 |
Loss Contingency, Range of Possible Loss, Minimum | $24 |
Loss Contingency, Range of Possible Loss, Maximum | 657 |
Loss Contingency Damages Awarded Value, Not Including Interest | 473 |
Loss Contingency, Damages Awarded, Value | $664 |
U.S. Defense Contract Management Agency Claim Against Pratt & Whitney [Member] | |
Loss Contingencies [Line Items] | |
Loss Contingency Lawsuit Filing Date | 24-Dec-13 |
Loss Contingency Allegations | By letter dated December 24, 2013, a Divisional Administrative Contracting Officer of the United States Defense Contract Management Agency asserted a claim and demand for payment of approximately $211 million against Pratt & Whitney. The claim is based on Pratt & Whitney's alleged noncompliance with cost accounting standards from January 1, 2005 to December 31, 2012, due to its method of determining the cost of collaborator parts used in the calculation of material overhead costs for government contracts. |
Loss Contingency Damages Sought | $211 million |
Loss Contingency Actions Taken By Defendant | We believe this claim is without merit. On March 18, 2014, Pratt & Whitney filed an appeal to the Armed Services Board of Contract Appeals. |
German Tax Office Against Otis [Member] | |
Loss Contingencies [Line Items] | |
Loss Contingency Lawsuit Filing Date | 3-Aug-12 |
Loss Contingency Allegations | As previously disclosed, UTC has been involved in administrative review proceedings with the German Tax Office, which concern approximately €215 million (approximately $237 million) of tax benefits that we have claimed related to a 1998 reorganization of the corporate structure of Otis operations in Germany. Upon audit, these tax benefits were disallowed by the German Tax Office. UTC estimates interest associated with the aforementioned tax benefits is an additional approximately €118 million (approximately $130 million). |
Loss Contingency Actions Taken By Plaintiff And Defendant | On August 3, 2012, we filed suit in the local German Tax Court (Berlin-Brandenburg). In 2008 the German Federal Tax Court (FTC) denied benefits to another taxpayer in a case involving a German tax law relevant to our reorganization. The determination of the FTC on this other matter was appealed to the European Court of Justice (ECJ) to determine if the underlying German tax law is violative of European Union principles. On September 17, 2009, the ECJ issued an opinion in this case that is generally favorable to the other taxpayer and referred the case back to the FTC for further consideration of certain related issues. In May 2010, the FTC released its decision, in which it resolved certain tax issues that may be relevant to our suit and remanded the case to a lower court for further development. In 2012, the lower court decided in favor of the other taxpayer and the German Government again appealed the findings to the FTC. In November 2014, the FTC ruled in favor of the German Government, and against the other taxpayer. We believe that the FTC decision in the case involving the other taxpayer is not determinative of the outcome in our case, and we will continue vigorously to litigate the matter. However, in light of the FTC decision in the case involving the other taxpayer, we fully accrued for the matter during the quarter ended December 31, 2014. |
Loss Contingency Damages Sought | €215B million (approximately $237 million) |
Loss Contingency Actions Taken By Defendant | While we continue to litigate the matter at the local German Tax Court, UTC made tax and interest payments to German tax authorities of €20 million (approximately $22 million) in the quarter ended March 31, 2015 and expects to make tax and interest payments of €176 million (approximately $194 million) in April 2015 to avoid additional interest accruals pending final resolution of this matter. |
Loss Contingency, Interest | €118 million (approximately $130 million) |
Loss Contingency, Interest Paid | €20 million (approximately $22 million) |
Loss Contingency, Future Expected Interest Payments | €176 million (approximately $194 million) |
Segment_Financial_Data_Table_D
Segment Financial Data (Table) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Total net sales | $14,541 | $14,745 |
Operating profit | 2,274 | 2,098 |
Operating profit margin | 15.60% | 14.20% |
Otis [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 2,745 | 2,955 |
Operating profit | 527 | 570 |
Operating profit margin | 19.20% | 19.30% |
UTC Climate, Controls & Security [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 3,852 | 3,851 |
Operating profit | 729 | 537 |
Operating profit margin | 18.90% | 13.90% |
Pratt & Whitney [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 3,332 | 3,329 |
Operating profit | 419 | 388 |
Operating profit margin | 12.60% | 11.70% |
UTC Aerospace Systems [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 3,548 | 3,450 |
Operating profit | 569 | 590 |
Operating profit margin | 16.00% | 17.10% |
Sikorsky [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 1,267 | 1,361 |
Operating profit | 92 | 86 |
Operating profit margin | 7.30% | 6.30% |
Total Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 14,744 | 14,946 |
Operating profit | 2,336 | 2,171 |
Operating profit margin | 15.80% | 14.50% |
Eliminations and other [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | -203 | -201 |
Operating profit | 48 | 39 |
General corporate expenses [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net sales | 0 | 0 |
Operating profit | ($110) | ($112) |
Accounting_Pronouncements_Deta
Accounting Pronouncements (Details) | 3 Months Ended |
Mar. 31, 2015 | |
ASU 2014-09 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
New Accounting Pronouncement or Change in Accounting Principle, Description | In May 2014, the FASB issued Accounting Standards Update (ASU) No. 2014-09, "Revenue from Contracts with Customers" (Topic 606). This ASU is intended to clarify the principles for recognizing revenue by removing inconsistencies in revenue requirements; providing a more robust framework for addressing revenue issues; improving comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets; and providing more useful information to users of financial statements through improved revenue disclosure requirements. In April 2015, the FASB voted to defer the effective date of the new revenue recognition standard by one year. As a result, the provisions of this ASU are now effective for interim and annual periods beginning after December 15, 2017. We are currently evaluating the impact of this ASU. |
ASU 2015-02 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
New Accounting Pronouncement or Change in Accounting Principle, Description | In February 2015, the FASB issued ASU No. 2015-02, "Amendments to the Consolidation Analysis." This update is intended to improve targeted areas of consolidation guidance by simplifying the consolidation evaluation process, and by placing more emphasis on risk of loss when determining a controlling financial interest. The provisions of this ASU are effective for interim and annual periods beginning after December 15, 2015. We are currently evaluating the impact of this ASU. |
ASU 2015-03 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
New Accounting Pronouncement or Change in Accounting Principle, Description | In April 2015, the FASB issued ASU No. 2015-03, bSimplifying the Presentation of Debt Issuance Costsb. This ASU more closely aligns the treatment of debt issuance costs with debt discounts and premiums and requires debt issuance costs be presented as a direct deduction from the carrying amount of the related debt. The amendments in this ASU are effective for financial statements issued for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years. This ASU is not expected to have a significant impact on our financial statements or disclosures. |