NOV (NOV) 10-Q 27 Jul 18 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Jul. 20, 2018
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2
Trading Symbol	NOV
Entity Registrant Name	NATIONAL OILWELL VARCO INC
Entity Central Index Key	1,021,860
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		382,619,458

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 1,137	$ 1,437
Receivables, net	1,967	2,015
Inventories, net	3,158	3,003
Contract assets	445	495
Prepaid and other current assets	301	267
Total current assets	7,008	7,217
Property, plant and equipment, net	2,859	3,002
Deferred income taxes	13	13
Goodwill	6,273	6,227
Intangibles, net	3,171	3,301
Investment in unconsolidated affiliates	308	309
Other assets	126	137
Total assets	19,758	20,206
Current liabilities:
Accounts payable	616	510
Accrued liabilities	950	1,238
Contract liabilities	609	519
Current portion of long-term debt and short-term borrowings	8	6
Accrued income taxes	11	81
Total current liabilities	2,194	2,354
Long-term debt	2,707	2,706
Deferred income taxes	666	677
Other liabilities	223	309
Total liabilities	5,790	6,046
Commitments and contingencies
Stockholders' equity:
Common stock - par value $.01; 1 billion shares authorized; 382,529,590 and 380,104,970 shares issued and outstanding at June 30, 2018 and December 31, 2017	4	4
Additional paid-in capital	8,306	8,234
Accumulated other comprehensive loss	(1,298)	(1,110)
Retained earnings	6,888	6,966
Total Company stockholders' equity	13,900	14,094
Noncontrolling interests	68	66
Total stockholders' equity	13,968	14,160
Total liabilities and stockholders' equity	$ 19,758	$ 20,206

Consolidated Balance Sheets (U3

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	382,529,590	380,104,970
Common stock, shares outstanding	382,529,590	380,104,970

Consolidated Statements of (Los

Consolidated Statements of (Loss) (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Income Statement [Abstract]
Revenue	$ 2,106	$ 1,759	$ 3,901	$ 3,500
Cost of revenue	1,751	1,528	3,259	3,060
Gross profit	355	231	642	440
Selling, general and administrative	303	293	591	599
Operating profit (loss)	52	(62)	51	(159)
Interest and financial costs	(23)	(26)	(47)	(51)
Interest income	5	4	12	8
Equity income (loss) in unconsolidated affiliates	(1)	(2)	1	(2)
Other income (expense), net	(3)	(5)	(50)	(20)
Income (loss) before income taxes	30	(91)	(33)	(224)
Provision (benefit) for income taxes	5	(17)	8	(30)
Net income (loss)	25	(74)	(41)	(194)
Net income attributable to noncontrolling interests	1	1	3	3
Net income (loss) attributable to Company	$ 24	$ (75)	$ (44)	$ (197)
Net income (loss) attributable to Company per share:
Basic	$ 0.06	$ (0.20)	$ (0.12)	$ (0.52)
Diluted	0.06	(0.20)	(0.12)	(0.52)
Cash dividends per share	$ 0.05	$ 0.05	$ 0.10	$ 0.10
Weighted average shares outstanding:
Basic	378	377	377	377
Diluted	381	377	377	377

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 25	$ (74)	$ (41)	$ (194)
Currency translation adjustments	(223)	76	(187)	166
Changes in derivative financial instruments, net of tax	(14)	23	(1)	28
Comprehensive income (loss)	(212)	25	(229)
Comprehensive income attributable to noncontrolling interest	1	1	3	3
Comprehensive income (loss) attributable to Company	$ (213)	$ 24	$ (232)	$ (3)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Cash flows from operating activities:
Net loss	$ (41)	$ (194)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	347	349
Deferred income taxes	17	19
Equity income (loss) in unconsolidated affiliates	(1)	2
Other, net	74	90
Change in operating assets and liabilities, net of acquisitions:
Receivables	87	(9)
Inventories	(150)	122
Contract assets	49	65
Prepaid and other current assets	(30)	82
Accounts payable	88	37
Accrued liabilities	(313)	(96)
Contract liabilities	89	(103)
Income taxes payable	(71)	(54)
Other assets/liabilities, net	(35)	(31)
Net cash provided by operating activities	110	279
Cash flows from investing activities:
Purchases of property, plant and equipment	(102)	(85)
Business acquisitions, net of cash acquired	(280)	(82)
Other	22	19
Net cash used in investing activities	(360)	(148)
Cash flows from financing activities:
Payments against lines of credit and other debt	(4)	(3)
Cash dividends paid	(38)	(38)
Other	22	10
Net cash used in financing activities	(20)	(31)
Effect of exchange rates on cash	(30)	22
Increase (decrease) in cash and cash equivalents	(300)	122
Cash and cash equivalents, beginning of period	1,437	1,408
Cash and cash equivalents, end of period	1,137	1,530
Cash payments during the period for:
Interest	46	48
Income taxes	$ 50	$ 97

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	1. Basis of Presentation The preparation of financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States requires management to make estimates and assumptions that affect reported and contingent amounts of assets and liabilities as of the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The accompanying unaudited consolidated financial statements of National Oilwell Varco, Inc. (“NOV” or the “Company”) present information in accordance with GAAP in the United States for interim financial information and the instructions to Form 10-Q Regulation S-X. 10-K. In our opinion, the consolidated financial statements include all adjustments, which are of a normal recurring nature, unless otherwise disclosed, necessary for a fair presentation of the results for the interim periods. Certain reclassifications have been made to the prior year financial statements in order for them to conform with the current presentation. The results of operations for the three and six months ended June 30, 2018 are not necessarily indicative of the results to be expected for the full year. Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, receivables, and payables approximated fair value because of the relatively short maturity of these instruments. Cash equivalents include only those investments having a maturity date of three months or less at the time of purchase. See Note 7 for the fair value of long-term debt and Note 10 for the fair value of derivative financial instruments.

Inventories, net

Inventories, net	6 Months Ended
	Jun. 30, 2018
Inventory Disclosure [Abstract]
Inventories, net	2. Inventories, net Inventories consist of (in millions): June 30, December 31, Raw materials and supplies $ 655 $ 656 Work in process 572 513 Finished goods and purchased products 1,931 1,834 Total $ 3,158 $ 3,003

Accrued Liabilities

Accrued Liabilities	6 Months Ended
	Jun. 30, 2018
Payables and Accruals [Abstract]
Accrued Liabilities	3. Accrued Liabilities Accrued liabilities consist of (in millions): June 30, December 31, Compensation $ 227 $ 345 Vendor costs 137 150 Warranty 120 135 Taxes (non-income) 97 152 Insurance 55 74 Commissions 41 58 Fair value of derivatives 13 8 Interest 7 7 Other 253 309 Total $ 950 $ 1,238 Warranties The Company provides warranties on certain of its products and services. The Company accrues warranty liability based upon specific claims and a review of historical claim experience in accordance with Accounting Standards Codification (“ASC”) Topic 450 “Contingencies”. Adjustments are made to accruals as claim data and historical experience change. In addition, the Company incurs discretionary costs to service its products in connection with product performance issues and accrues for them when they are encountered. The changes in the warranty provision are as follows (in millions): Balance at December 31, 2017 $ 135 Net provisions for warranties issued during the year 16 Amounts incurred (31 ) Balance at June 30, 2018 $ 120

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	6 Months Ended
	Jun. 30, 2018
Equity [Abstract]
Accumulated Other Comprehensive Income (Loss)	4. Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) are as follows (in millions): Currency Derivative Defined Total Balance at December 31, 2017 $ (1,104 ) $ 7 $ (13 ) $ (1,110 ) Accumulated other comprehensive income (loss) before reclassifications (187 ) 3 — (184 ) Amounts reclassified from accumulated other comprehensive income (loss) — (4 ) — (4 ) Balance at June 30, 2018 $ (1,291 ) $ 6 $ (13 ) $ (1,298 ) The components of amounts reclassified from accumulated other comprehensive income (loss) are as follows (in millions): Three Months Ended June 30, 2018 2017 Currency Derivative Defined Total Currency Derivative Defined Total Revenue $ — $ — $ — $ — $ — $ 1 $ — $ 1 Cost of revenue — (1 ) — (1 ) — 8 — 8 Tax effect — — — — — (2 ) — (2 ) $ — $ (1 ) $ — $ (1 ) $ — $ 7 $ — $ 7 Six Months Ended June 30, 2018 2017 Currency Derivative Defined Total Currency Derivative Defined Total Revenue $ — $ (1 ) $ — $ (1 ) $ — $ (4 ) $ — $ (4 ) Cost of revenue — (5 ) — (5 ) — 4 — 4 Tax effect — 2 — 2 — 2 — 2 $ — $ (4 ) $ — $ (4 ) $ — $ 2 $ — $ 2 The Company’s reporting currency is the U.S. dollar. For a majority of the Company’s international entities in which there is a substantial investment, the local currency is their functional currency. As a result, currency translation adjustments resulting from the process of translating the entities’ financial statements into the reporting currency are reported in other comprehensive income or loss in accordance with ASC Topic 830 “Foreign Currency Matters” (“ASC Topic 830”). For the three months ended June 30, 2018, a majority of these local currencies weakened against the U.S. dollar resulting in net other comprehensive loss of $223 million, upon the translation from local currencies to the U.S. dollar. For the six months ended June 30, 2018, a majority of these local currencies weakened against the U.S. dollar resulting in net other comprehensive loss of $187 million, upon the translation from local currencies to the U.S. dollar. For the three months ended June 30, 2017, a majority of these local currencies strengthened against the U.S. dollar resulting in net other comprehensive income of $76 million, upon the translation from local currencies to the U.S. dollar. For the six months ended June 30, 2017, a majority of these local currencies strengthened against the U.S. dollar resulting in net other comprehensive income of $166 million upon the translation from local currencies to the U.S. dollar. The effect of changes in the fair values of derivatives designated as cash flow hedges are accumulated in other comprehensive income or loss, net of tax, until the underlying transactions to which they are designed to hedge are realized. The movement in other comprehensive income or loss from period to period will be the result of the combination of changes in fair value for open derivatives and the outflow of other comprehensive income or loss related to cumulative changes in the fair value of derivatives that have settled in the current period. The accumulated effect was other comprehensive loss of $14 million (net of tax of $5 million) and $1 million (net of tax of $0) for the three and six months ended June 30, 2018, respectively. The accumulated effect was other comprehensive income of $23 million (net of tax of $6 million) and $28 million (net of tax of $7 million) for the three and six months ended June 30, 2017, respectively.

Business Segments

Business Segments	6 Months Ended
	Jun. 30, 2018
Segment Reporting [Abstract]
Business Segments	5. Business Segments Operating results by segment are as follows (in millions): Three Months Ended Six Months Ended 2018 2017 2018 2017 Revenue: Wellbore Technologies $ 793 $ 614 $ 1,504 $ 1,169 Completion & Production Solutions 738 652 1,408 1,300 Rig Technologies 651 546 1,134 1,128 Eliminations (76 ) (53 ) (145 ) (97 ) Total revenue $ 2,106 $ 1,759 $ 3,901 $ 3,500 Operating profit (loss): Wellbore Technologies $ 38 $ (24 ) $ 50 $ (81 ) Completion & Production Solutions 40 27 56 35 Rig Technologies 62 6 80 19 Eliminations and corporate costs (88 ) (71 ) (135 ) (132 ) Total operating profit (loss) $ 52 $ (62 ) $ 51 $ (159 ) Operating profit (loss)%: Wellbore Technologies 4.8 % (3.9 %) 3.3 % (6.9 %) Completion & Production Solutions 5.4 % 4.1 % 4.0 % 2.7 % Rig Technologies 9.5 % 1.1 % 7.1 % 1.7 % Total operating profit (loss)% 2.5 % (3.5 %) 1.3 % (4.5 %) Sales from one segment to another generally are priced at estimated equivalent commercial selling prices; however, segments originating an external sale are credited with the full profit to the Company. Eliminations include intercompany transactions conducted between the three reporting segments that are eliminated in consolidation. Intercompany transactions within each reporting segment are eliminated within each reporting segment. Included in operating profit (loss) are other items primarily related to costs associated with severance, facility closures, and credits for the reversals of certain accruals.

Revenue Recognition

Revenue Recognition	6 Months Ended
	Jun. 30, 2018
Revenue from Contract with Customer [Abstract]
Revenue Recognition	6. Revenue Recognition The Company’s products and services are sold based upon purchase orders or contracts with customers that include fixed or determinable prices and do not generally include right of return or other significant post-delivery obligations. The majority of our revenue streams record revenue at a point in time when a performance obligation has been satisfied by transferring control of promised goods or services to the customer. Revenue is recognized net of any taxes collected from customers, which are subsequently remitted to governmental authorities. Payment terms and conditions vary by contract type. In instances where the timing of revenue recognition differs from the timing of invoicing on contracts with a duration of one year or longer, we have determined our contracts generally do not include a significant financing component, as they are structured to include progress billings commensurate with revenue recognized over time. We have elected to apply the practical expedient that does not require an adjustment for a significant financing component if, at contract inception, the period between when we transfer the promised goods or service to the customer and when the customer pays for the goods or service is one year or less. The Company elects to treat shipping and handling costs as costs to fulfill a performance obligation instead of as a separate performance obligation. We recognize the cost for shipping and handling when incurred, generally when control over the products has transferred to the customer, as an expense in cost of sales. Our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. We take into consideration the degree of integration of the related products and services, the level of customization of the product for the customer, and the interdependency of the products and services. Judgment is also required to determine the stand-alone selling price (“SSP”) for each distinct performance obligation. To determine the SSP, the Company uses the price at which the products and services would be sold separately to the customer. We also review past sales transactions to confirm invoice prices for each distinct performance obligation reasonably approximate SSP and that there are no significant deviations. A discount, when provided, is also allocated based on the relative SSP of the various products and services. We may provide other credits or incentives, which are accounted for as variable consideration when determining the transaction price. These credits or incentives are estimated at contract inception and updated at the end of each reporting period as additional information becomes available and recognized only to the extent that it is probable that a significant reversal of any incremental revenue will not occur. For revenue that is not recognized at a point in time, the Company follows accounting guidance for revenue recognized over time, as follows: Revenue Recognition under Long-term Construction Contracts The Company uses the over-time method to account for certain long-term construction contracts in the Completion & Production Solutions and Rig Technologies segments. These long-term construction contracts include the following characteristics: • the contracts include custom designs for customer specific applications; • the structural design is unique and requires significant engineering efforts; and • the Company has an enforceable right to payment for performance completed to date including a reasonable profit. Because of control transferring over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. We generally use the cost-to-cost cost-to-cost For most of our contracts, the customer contracts with us to provide a significant service of integrating a complex set of tasks and components into a single project or capability. Hence, the entire contract is accounted for as one performance obligation. Due to the nature of the work required to be performed on many of our performance obligations, the estimation of total revenue and cost at completion is complex, subject to many variables and requires significant judgment. It is common for our long-term contracts to contain late delivery fees, work performance guarantees, and other provisions that can either increase or decrease the transaction price. We estimate variable consideration at the most likely amount to which we expect to pay or be entitled to. We include variable consideration in the estimated transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur or when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based largely on an assessment of our anticipated performance and all information (historical, current and forecasted) that is reasonably available to us. Net revenue recognized from our performance obligations satisfied in previous periods was $47 million for the six months ended June 30, 2018 primarily due to change orders. Service and Repair Work For those contracts in which we are providing a service to the customer, the output method is utilized to measure progress due to the manner in which the customer receives and derives value from the services being provided. For repair contracts, we generally use the cost-to-cost Remaining Performance Obligations Remaining performance obligations represents the transaction price of firm orders for all revenue streams for which work has not been performed on contracts with an original expected duration of one year or more. The optional disclosures for the remaining performance obligations of royalty contracts, service contracts for which there is a right to invoice, and short-term contracts that are expected to have a duration of one year or less have not been disclosed. As of June 30, 2018, the aggregate amount of the transaction price allocated to remaining performance obligations was $2,610 million. The Company expects to recognize approximately $775 million in revenue for the remaining performance obligations in 2018 and $1,835 million in 2019 and thereafter. Costs to Obtain and Fulfill a Contract We recognize an asset for the incremental costs of obtaining a contract, such as sales commissions, with a customer when we expect the benefit of those costs to be longer than one year. Costs to fulfill a contract, such as set-up We apply the practical expedient to expense costs as incurred for costs to obtain a contract with a customer when the amortization period would have been one year or less. Disaggregation of Revenue The following tables disaggregate our revenue by destinations, as we believe it best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. In the tables below, North America includes only the U.S. and Canada. (in millions): Three Months Ended June 30, 2018 2017 Wellbore Completion Rig Eliminations Total Wellbore Completion Rig Eliminations Total North America $ 449 $ 342 $ 143 $ — $ 934 $ 352 $ 265 $ 140 $ — $ 757 International 326 374 472 — 1,172 249 376 377 — 1,002 Eliminations 18 22 36 (76 ) — 13 11 29 (53 ) — $ 793 $ 738 $ 651 $ (76 ) $ 2,106 $ 614 $ 652 $ 546 $ (53 ) $ 1,759 Land $ 660 $ 509 $ 208 $ — $ 1,377 $ 490 $ 410 $ 173 $ — $ 1,073 Offshore 115 207 407 — 729 111 231 344 — 686 Eliminations 18 22 36 (76 ) — 13 11 29 (53 ) — $ 793 $ 738 $ 651 $ (76 ) $ 2,106 $ 614 $ 652 $ 546 $ (53 ) $ 1,759 Six Months Ended June 30, 2018 2017 Wellbore Completion Rig Eliminations Total Wellbore Completion Rig Eliminations Total North America $ 864 $ 634 $ 278 $ — $ 1,776 $ 647 $ 498 $ 260 $ — $ 1,405 International 608 732 785 — 2,125 497 778 820 — 2,095 Eliminations 32 42 71 (145 ) — 25 24 48 (97 ) — $ 1,504 $ 1,408 $ 1,134 $ (145 ) $ 3,901 $ 1,169 $ 1,300 $ 1,128 $ (97 ) $ 3,500 Land $ 1,243 $ 955 $ 380 $ — $ 2,578 $ 926 $ 813 $ 334 $ — $ 2,073 Offshore 229 411 683 — 1,323 218 463 746 — 1,427 Eliminations 32 42 71 (145 ) — 25 24 48 (97 ) — $ 1,504 $ 1,408 $ 1,134 $ (145 ) $ 3,901 $ 1,169 $ 1,300 $ 1,128 $ (97 ) $ 3,500 Contract Assets and Liabilities Contract assets include unbilled amounts typically resulting from sales under long-term contracts when the cost-to-cost Contract liabilities consist of advance payments and billings in excess of revenue recognized and deferred revenue. For the balance at December 31, 2017, we reclassified $240 million of advance payments and deferred revenue from accrued liabilities to contract liabilities to conform with the 2018 presentation. The changes in the carrying amount of contract assets and contract liabilities are as follows (in millions): Contract Assets Balance at December 31, 2017 $ 495 Additions and Milestone Billings (456 ) Revenue Recognized 500 Currency translation adjustments and other (94 ) Balance at June 30, 2018 $ 445 Contract Liabilities Balance at December 31, 2017 $ 519 Additions 542 Revenue Recognized (439 ) Currency translation adjustments and other (13 ) Balance at June 30, 2018 $ 609

Debt

Debt	6 Months Ended
	Jun. 30, 2018
Debt Disclosure [Abstract]
Debt	7. Debt Debt consists of (in millions): June 30, December 31, 2018 2017 $1.4 billion in Senior Notes, interest at 2.60% payable semiannually, principal due on December 1, 2022 $ 1,393 $ 1,392 $1.1 billion in Senior Notes, interest at 3.95% payable semiannually, principal due on December 1, 2042 1,088 1,088 Other 234 232 Total debt 2,715 2,712 Less current portion 8 6 Long-term debt $ 2,707 $ 2,706 The Company has a $3.0 billion, five-year unsecured revolving credit facility, which expires on June 27, 2022. The Company has the right to increase the aggregate commitments under this agreement to an aggregate amount of up to $4.0 billion upon the consent of only those lenders holding any such increase. Interest under the multicurrency facility is based upon LIBOR, NIBOR or CDOR plus 1.125% subject to a ratings-based grid or the U.S. prime rate. The credit facility contains a financial covenant regarding maximum debt-to-capitalization debt-to-capitalization The Company has a commercial paper program under which borrowings are classified as long-term since the program is supported by the $3.0 billion, five-year credit facility. At June 30, 2018, there were no commercial paper borrowings, and there were no outstanding letters of credit issued under the credit facility, resulting in $3.0 billion of funds available under this credit facility. The Company had $511 million of outstanding letters of credit at June 30, 2018, primarily in the U.S. and Norway, that are under various bilateral letter of credit facilities. Letters of credit are issued as bid bonds, advanced payment bonds and performance bonds. At June 30, 2018 and December 31, 2017, the fair value of the Company’s unsecured Senior Notes approximated $2,266 million and $2,346 million, respectively. The fair value of the Company’s debt is estimated using Level 2 inputs in the fair value hierarchy and is based on quoted prices for those or similar instruments. At June 30, 2018 and December 31, 2017, the carrying value of the Company’s unsecured Senior Notes approximated $2,481 million and $2,480 million, respectively.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Income Taxes	8. Income Taxes The Tax Cuts and Jobs Act (the “Act”) was enacted on December 22, 2017. The Act reduced the U.S. federal corporate tax rate from 35% to 21%, effective January 1, 2018. At June 30, 2018 and December 31, 2017, we had not completed our accounting for the tax effects of enactment of the Act; however, in certain cases, as described below, we made reasonable estimates of the effects and recorded provisional amounts. We will continue to make and refine our calculations as additional analysis is completed. We recognized an income tax benefit of $242 million in the year ended December 31, 2017 associated with the revaluation of our net deferred tax liability. Our provisional estimate of the one-time The effective tax rates for the three and six months ended June 30, 2018 were 16.7% and (24.3)%, respectively, compared to 18.7% and 13.4% for the same periods in 2017. The Company established valuation allowances on deferred tax assets for losses and tax credits generated in each period, which, when applied to losses for the six months ended June 30, 2018 and the three and six months ended June 30, 2017, resulted in lower effective tax rates than the U.S. statutory rate. The negative tax rate for the six months ended June 30, 2018 is the result of net tax expense recorded against a pre-tax loss for the period. For the three months ended June 30, 2018, a reduction in tax reserves and utilization of tax credits were partially offset by valuation allowances established by the company, which, when applied to income resulted in a lower effective tax rate than the US statutory rate. The change in effective tax rate from 2017 to 2018 was also impacted by the decrease in the U.S. federal corporate tax rate from 35% in 2017 to 21% in 2018. The balance of unrecognized tax benefits at June 30, 2018 was $57 million. The settlement of foreign jurisdiction audits during the year resulted in a $93 million decrease in uncertain tax positions. For the three and six months ended June 30, 2018, the Company utilized the discrete-period method to compute its interim tax provision due to significant variations in the relationship between income tax expense and pre-tax

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	9. Stock-Based Compensation The Company has a stock-based compensation plan known as the National Oilwell Varco, Inc. Long-Term Incentive Plan (the “Plan”). The Plan provides for the granting of stock options, performance-based share awards, restricted stock, phantom shares, stock payments and stock appreciation rights (“SARs”). The number of shares authorized under the Plan is 69.4 million. The Plan is subject to a fungible ratio concept, such that the issuance of stock options and SARs reduces the number of available shares under the Plan on a 1-for-1 3-for-1 On February 28, 2018, the Company granted 1,610,599 stock options with a fair value of $10.01 per share and an exercise price of $35.09 per share; 2,391,933 shares of restricted stock and restricted stock units with a fair value of $35.09 per share; performance share awards to senior management employees with potential payouts varying from zero to 449,532 shares; and 14,228 SARs. The stock options vest over a three-year period from the grant date. The restricted stock and restricted stock units vest in three equal annual installments commencing on the first anniversary of the date of grant. The performance share awards can be earned based on performance against established goals over a three-year performance period. The performance share awards are based entirely on a TSR (total shareholder return) goal. Performance against the TSR goal is determined by comparing the performance of the Company’s TSR with the TSR performance of the members of the OSX index for the three-year performance period. On May 11, 2018, the Company granted 35,432 restricted stock awards with a fair value of $40.65 per share. The awards were granted to non-employee Total stock-based compensation for all stock-based compensation arrangements under the Plan was $31 million and $58 million for the three and six months ended June 30, 2018, respectively, and $22 million and $52 million for the three and six months ended June 30, 2017, respectively. The total income tax benefit recognized in the Consolidated Statements of Income (Loss) for all stock-based compensation arrangements under the Plan was $4 million and $6 million for the three and six months ended June 30, 2018, respectively, and $5 million and $9 million for the three and six months ended June 30, 2017, respectively.

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	10. Derivative Financial Instruments The Company is exposed to certain risks relating to its ongoing business operations. The primary risk managed by using derivative instruments is foreign currency exchange rate risk. Forward contracts against various foreign currencies are entered into to manage the foreign currency exchange rate risk on forecasted revenues and expenses denominated in currencies other than the functional currency of the operating unit (cash flow hedge). In addition, the Company will enter into non-designated (non-designated The Company records all derivative financial instruments at their fair value in its Consolidated Balance Sheet. Except for certain non-designated At June 30, 2018, the Company has determined that the fair value of its derivative financial instruments representing assets of $21 million and liabilities of $15 million (primarily currency related derivatives) are determined using level 2 inputs (inputs other than quoted prices in active markets for identical assets and liabilities that are observable either directly or indirectly for substantially the full term of the asset or liability) in the fair value hierarchy as the fair value is based on publicly available foreign exchange and interest rates at each financial reporting date. At June 30, 2018, the net fair value of the Company’s foreign currency forward contracts totaled a net asset of $6 million. At June 30, 2018, the Company did not have any interest rate contracts and its financial instruments do not contain any credit-risk-related or other contingent features that could cause accelerated payments when the Company’s financial instruments are in net liability positions. We do not use derivative financial instruments for trading or speculative purposes. Cash Flow Hedging Strategy To protect against the volatility of forecasted foreign currency cash flows resulting from forecasted revenues and expenses, the Company has instituted a cash flow hedging program. The Company hedges portions of its forecasted revenues and expenses denominated in non-functional currencies with forward contracts. When the U.S. dollar strengthens or weakens against the foreign currencies, the change in present value of future foreign currency revenues and expenses is offset by changes in the fair value of the forward contracts designated as hedges. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is subject to a particular currency risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income (loss) and reclassified into earnings in the same line item associated with the forecasted transaction and in the same period or periods during which the hedged transaction affects earnings (e.g., in “revenues” when the hedged transactions are cash flows associated with forecasted revenues). The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any (i.e., the ineffective portion), or hedge components excluded from the assessment of effectiveness, is recognized in the Consolidated Statements of Loss during the current period. For the six months ended June 30, 2018, the Company recognized a gain of $2 million as a result of the discontinuance of certain cash flow hedges when it became probable that the original forecasted transactions would not occur by the end of the originally specified time period. At June 30, 2018, there were $8 million in pre-tax de-designation The Company had the following outstanding foreign currency forward contracts that were entered into to hedge non-functional currency cash flows from forecasted revenues and expenses (in millions): Currency Denomination June 30, December 31, Foreign Currency 2018 2017 Norwegian Krone NOK 4,040 NOK 4,013 Japanese Yen JPY 326 JPY 982 U.S. Dollar USD 120 USD 163 Euro EUR 89 EUR 120 Danish Krone DKK 19 DKK 30 British Pound Sterling GBP 15 GBP 11 Canadian Dollar CAD 1 CAD — Non-designated The Company enters into foreign currency forward contracts to hedge certain nonfunctional currency monetary accounts. The purpose of the Company’s foreign currency hedging activities is to protect the Company from risk that the eventual U.S. dollar equivalent cash flows from the non-functional currency monetary accounts will be adversely affected by changes in the exchange rates. For derivative instruments that are non-designated, The Company had the following outstanding foreign currency forward contracts that hedge the fair value of non-functional currency monetary accounts (in millions): Currency Denomination June 30, December 31, Foreign Currency 2018 2017 Norwegian Krone NOK 1,998 NOK 1,734 Russian Ruble RUB 1,284 RUB 2,699 U.S. Dollar USD 512 USD 463 South African Rand ZAR 176 ZAR 150 Euro EUR 119 EUR 99 Danish Krone DKK 12 DKK 15 British Pound Sterling GBP 4 GBP 3 Canadian Dollar CAD 1 CAD — The Company has the following gross fair values of its derivative instruments and their balance sheet classifications: Asset Derivatives Liability Derivatives Fair Value Fair Value Balance Sheet June 30, December 31, Balance Sheet June 30, December 31, Location 2018 2017 Location 2018 2017 Derivatives designated as hedging instruments under ASC Topic 815 Foreign exchange contracts Prepaid and other current assets $ 12 $ 13 Accrued liabilities $ 6 $ 3 Foreign exchange contracts Other Assets 3 8 Other liabilities 2 2 Total derivatives designated as hedging instruments under ASC Topic 815 $ 15 $ 21 $ 8 $ 5 Derivatives not designated as hedging instruments under ASC Topic 815 Foreign exchange contracts Prepaid and other current assets $ 5 $ 10 Accrued liabilities $ 7 $ 5 Foreign exchange contracts Other Assets 1 2 Other Liabilities — 1 Total derivatives not designated as hedging instruments under ASC Topic 815 $ 6 $ 12 $ 7 $ 6 Total derivatives $ 21 $ 33 $ 15 $ 11 The Effect of Derivative Instruments on the Consolidated Statements of Income ($ in millions) Derivatives in ASC Topic 815 Amount of Gain (Loss) Recognized in OCI on Location of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Amount of Gain (Loss) Location of Gain (Loss) Testing) Amount of Gain (Loss) Six Months Ended Six Months Ended Six Months Ended June 30, June 30, June 30, 2018 2017 2018 2017 2018 2017 Revenue 1 4 Cost of 2 13 Foreign exchange contracts 5 34 Cost of revenue 3 (17 ) Other (3 ) 5 Total 5 34 4 (13 ) (1 ) 18 Derivatives Not Designated as Location of Gain (Loss) Amount of Gain (Loss) Hedging Instruments under Recognized in Income Recognized in Income on ASC Topic 815 on Derivative Derivative Six Months Ended June 30, 2018 2017 Foreign exchange contracts Other income (8 ) 46 Total (8 ) 46 (a) The Company expects that $9 million of the accumulated other comprehensive income (loss) will be reclassified into earnings within the next twelve months with an offset by losses from the underlying transactions resulting in no impact to earnings or cash flow. (b) The amount of gain (loss) recognized in income represents $2 million and $13 million related to the ineffective portion of the hedging relationships for the six months ended June 30, 2018 and 2017, respectively, and $(3) million and $5 million related to the amount excluded from the assessment of the hedge effectiveness for the six months ended June 30, 2018 and 2017, respectively.

Net Income (Loss) Attributable

Net Income (Loss) Attributable to Company Per Share	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Net Income (Loss) Attributable to Company Per Share	11. Net Income (Loss) Attributable to Company Per Share The following table sets forth the computation of weighted average basic and diluted shares outstanding (in millions, except per share data): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Numerator: Net income (loss) attributable to Company $ 24 $ (75 ) $ (44 ) $ (197 ) Denominator: Basic—weighted average common shares outstanding 378 377 377 377 Dilutive effect of employee stock options and other unvested stock awards 3 — — — Diluted outstanding shares 381 377 377 377 Net income (loss) attributable to Company per share: Basic $ 0.06 $ (0.20 ) $ (0.12 ) $ (0.52 ) Diluted $ 0.06 $ (0.20 ) $ (0.12 ) $ (0.52 ) Cash dividends per share $ 0.05 $ 0.05 $ 0.10 $ 0.10 ASC Topic 260, “Earnings Per Share” requires companies with unvested participating securities to utilize a two-class two-class non-forfeitable The Company had stock options outstanding that were anti-dilutive totaling 18 million for each of the three and six months ended June 30, 2018, and 18 million shares and 13 million shares for each of the three and six months ended June 30, 2017, respectively.

Cash Dividends

Cash Dividends	6 Months Ended
	Jun. 30, 2018
Text Block [Abstract]
Cash Dividends	12. Cash Dividends On May 11, 2018, the Company’s Board of Directors approved a cash dividend of $0.05 per share. The cash dividend was paid on June 29, 2018, to each stockholder of record on June 15, 2018. Cash dividends were $19 million and $38 million for the three and six months ended June 30, 2018, respectively, and $19 million and $38 million for the three and six months ended June 30, 2017. The declaration and payment of future dividends is at the discretion of the Company’s Board of Directors and will be dependent upon the Company’s results of operations, financial condition, capital requirements and other factors deemed relevant by the Company’s Board of Directors.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	13. Commitments and Contingencies Our business is affected both directly and indirectly by governmental laws and regulations relating to the oilfield service industry in general, as well as by environmental and safety regulations that specifically apply to our business. Our business is also subject to trade regulations that may restrict or prohibit trade with certain countries, companies and/or individuals, such as trade sanctions applicable, for example, to Russia, Syria and Iran. Although we have not incurred material costs in connection with our compliance with such laws, there can be no assurance that other developments, such as new environmental laws, regulations and enforcement policies may not result in additional, presently unquantifiable, costs or liabilities to us. We are also subject to increasing local content and localization requirements in various jurisdictions, as well as increasing trade tariffs, retaliatory tariffs and other trade controversies, all of which could result in material negative impacts to our business. The Company is involved in various claims, internal investigations, regulatory agency audits and pending or threatened legal actions, arbitration, litigation, and regulatory investigations, involving a variety of matters. In many instances, the Company maintains insurance that covers claims arising from risks associated with the business activities of the Company, including claims for injuries to third parties and third parties’ property, e.g., premises liability, product liability and other such claims. The Company carries substantial insurance to cover such risks above a self-insured retention. The Company believes and the Company’s experience has been that such insurance has been sufficient to cover such risks. See Item 1A. Risk Factors. If, however, such insurance were inapplicable or insufficient to cover such losses, there could be material negative impacts to our business. The Company is also a party to claims, threatened and actual litigation, governmental regulatory proceedings and private arbitration arising from ordinary day to day business activities, in which parties assert claims against the Company for a broad spectrum of potential liabilities, including: individual employment law claims, collective actions under federal employment laws, intellectual property claims, e.g., alleged patent infringement, and/or misappropriation of trade secrets, premises liability claims, personal injuries arising from allegedly defective products, alleged improper payments under anti-corruption and anti-bribery laws and other commercial claims seeking recovery for alleged actual or exemplary damages. In currently pending litigation and arbitrations, adverse parties have asserted damages in material amounts for which they seek recovery from the Company. Due to the inherent risks and uncertainty of litigation, an unexpected adverse result may occur from time to time. For many such contingent claims, the Company’s insurance coverage is inapplicable or an exclusion to coverage may apply. In such instances, settlement or other resolution of such contingent claims could have a material financial or reputational impact on the Company. As of June 30, 2018, the Company recorded reserves in an amount believed to be sufficient for contingent liabilities representing all contingencies believed to be probable to cover such liabilities. The Company has also assessed the potential for additional losses above the amounts accrued as well as potential losses for matters that are not probable but are reasonably possible. The total potential loss on these matters cannot be determined; however, in our opinion, any ultimate liability, to the extent not otherwise provided for and except for the specific cases referred to above, will not materially affect our financial position, cash flow or results of operations. These estimated liabilities are based on the Company’s assessment of the nature of these matters, their progress toward resolution, the advice of legal counsel and outside experts as well as management’s intention and experience. Further, in some instances, direct or indirect consumers of our products and services, entities providing financing for purchases of our products and services or members of the supply chain for our products and services have become involved in governmental investigations, internal investigations, political or other enforcement matters. In such circumstances, such investigations may adversely impact the ability of consumers of our products, entities providing financial support to such consumers or entities in the supply chain to timely perform their business plans or to timely perform under agreements with us. We may also become involved in these investigations, at substantial cost to the Company.

New Accounting Pronouncements

New Accounting Pronouncements	6 Months Ended
	Jun. 30, 2018
Accounting Changes and Error Corrections [Abstract]
New Accounting Pronouncements	14. New Accounting Pronouncements Recently Adopted Accounting Standards In March 2017, the FASB issued Accounting Standard Update No. 2017-07 2017-07). 2017-07 In August 2016, the FASB issued Accounting Standard Update No. 2016-15 2016-15). No. 2016-15 In May 2014, the FASB issued Accounting Standard Update No. 2014-09, 2014-09), ASU 2014-09 2014-09 Recently Issued Accounting Standards In August 2017, the FASB issued Accounting Standard Update No. 2017-12 2017-12). 2017-12 2017-12. No. 2017-12 In March 2016, the FASB issued ASC Topic 842, “Leases” (ASC Topic 842), which supersedes the lease requirements in ASC Topic No. 840 “Leases” and most industry-specific guidance. This update increases transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. ASC Topic 842 is effective for fiscal years beginning after December 15, 2018, and for interim periods within those fiscal years. In preparing for the adoption of this new standard, the Company has established an internal team to centralize the implementation process as well as engaged external resources to assist in our approach. We are currently utilizing a software program to consolidate and accumulate leases with documentation as required by the new standard. We have assessed the changes to the Company’s current accounting practices and are investigating the related tax impact and process changes. We are also in process of quantifying the impact of the new standard on our balance sheet.

Basis of Presentation (Policies

Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, receivables, and payables approximated fair value because of the relatively short maturity of these instruments. Cash equivalents include only those investments having a maturity date of three months or less at the time of purchase. See Note 7 for the fair value of long-term debt and Note 10 for the fair value of derivative financial instruments.
Net Loss Attributable to Company Per Share	ASC Topic 260, “Earnings Per Share” requires companies with unvested participating securities to utilize a two-class two-class non-forfeitable
Warranties	Warranties The Company provides warranties on certain of its products and services. The Company accrues warranty liability based upon specific claims and a review of historical claim experience in accordance with Accounting Standards Codification (“ASC”) Topic 450 “Contingencies”. Adjustments are made to accruals as claim data and historical experience change. In addition, the Company incurs discretionary costs to service its products in connection with product performance issues and accrues for them when they are encountered.
Recently Adopted and Issued Accounting Standards	Recently Adopted Accounting Standards In March 2017, the FASB issued Accounting Standard Update No. 2017-07 2017-07). 2017-07 In August 2016, the FASB issued Accounting Standard Update No. 2016-15 2016-15). No. 2016-15 In May 2014, the FASB issued Accounting Standard Update No. 2014-09, 2014-09), ASU 2014-09 2014-09 Recently Issued Accounting Standards In August 2017, the FASB issued Accounting Standard Update No. 2017-12 2017-12). 2017-12 2017-12. No. 2017-12 In March 2016, the FASB issued ASC Topic 842, “Leases” (ASC Topic 842), which supersedes the lease requirements in ASC Topic No. 840 “Leases” and most industry-specific guidance. This update increases transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. ASC Topic 842 is effective for fiscal years beginning after December 15, 2018, and for interim periods within those fiscal years. In preparing for the adoption of this new standard, the Company has established an internal team to centralize the implementation process as well as engaged external resources to assist in our approach. We are currently utilizing a software program to consolidate and accumulate leases with documentation as required by the new standard. We have assessed the changes to the Company’s current accounting practices and are investigating the related tax impact and process changes. We are also in process of quantifying the impact of the new standard on our balance sheet.

Inventories, net (Tables)

Inventories, net (Tables)	6 Months Ended
	Jun. 30, 2018
Inventory Disclosure [Abstract]
Inventories	Inventories consist of (in millions): June 30, December 31, Raw materials and supplies $ 655 $ 656 Work in process 572 513 Finished goods and purchased products 1,931 1,834 Total $ 3,158 $ 3,003

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	6 Months Ended
	Jun. 30, 2018
Payables and Accruals [Abstract]
Accrued Liabilities	Accrued liabilities consist of (in millions): June 30, December 31, Compensation $ 227 $ 345 Vendor costs 137 150 Warranty 120 135 Taxes (non-income) 97 152 Insurance 55 74 Commissions 41 58 Fair value of derivatives 13 8 Interest 7 7 Other 253 309 Total $ 950 $ 1,238
Changes in Warranty Provision	The changes in the warranty provision are as follows (in millions): Balance at December 31, 2017 $ 135 Net provisions for warranties issued during the year 16 Amounts incurred (31 ) Balance at June 30, 2018 $ 120

Accumulated Other Comprehensi24

Accumulated Other Comprehensive Income (Loss) (Tables)	6 Months Ended
	Jun. 30, 2018
Equity [Abstract]
Components of Accumulated Other Comprehensive Income (Loss)	The components of accumulated other comprehensive income (loss) are as follows (in millions): Currency Derivative Defined Total Balance at December 31, 2017 $ (1,104 ) $ 7 $ (13 ) $ (1,110 ) Accumulated other comprehensive income (loss) before reclassifications (187 ) 3 — (184 ) Amounts reclassified from accumulated other comprehensive income (loss) — (4 ) — (4 ) Balance at June 30, 2018 $ (1,291 ) $ 6 $ (13 ) $ (1,298 )
Components of Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	The components of amounts reclassified from accumulated other comprehensive income (loss) are as follows (in millions): Three Months Ended June 30, 2018 2017 Currency Derivative Defined Total Currency Derivative Defined Total Revenue $ — $ — $ — $ — $ — $ 1 $ — $ 1 Cost of revenue — (1 ) — (1 ) — 8 — 8 Tax effect — — — — — (2 ) — (2 ) $ — $ (1 ) $ — $ (1 ) $ — $ 7 $ — $ 7 Six Months Ended June 30, 2018 2017 Currency Derivative Defined Total Currency Derivative Defined Total Revenue $ — $ (1 ) $ — $ (1 ) $ — $ (4 ) $ — $ (4 ) Cost of revenue — (5 ) — (5 ) — 4 — 4 Tax effect — 2 — 2 — 2 — 2 $ — $ (4 ) $ — $ (4 ) $ — $ 2 $ — $ 2

Business Segments (Tables)

Business Segments (Tables)	6 Months Ended
	Jun. 30, 2018
Segment Reporting [Abstract]
Business Segments	Operating results by segment are as follows (in millions): Three Months Ended Six Months Ended 2018 2017 2018 2017 Revenue: Wellbore Technologies $ 793 $ 614 $ 1,504 $ 1,169 Completion & Production Solutions 738 652 1,408 1,300 Rig Technologies 651 546 1,134 1,128 Eliminations (76 ) (53 ) (145 ) (97 ) Total revenue $ 2,106 $ 1,759 $ 3,901 $ 3,500 Operating profit (loss): Wellbore Technologies $ 38 $ (24 ) $ 50 $ (81 ) Completion & Production Solutions 40 27 56 35 Rig Technologies 62 6 80 19 Eliminations and corporate costs (88 ) (71 ) (135 ) (132 ) Total operating profit (loss) $ 52 $ (62 ) $ 51 $ (159 ) Operating profit (loss)%: Wellbore Technologies 4.8 % (3.9 %) 3.3 % (6.9 %) Completion & Production Solutions 5.4 % 4.1 % 4.0 % 2.7 % Rig Technologies 9.5 % 1.1 % 7.1 % 1.7 % Total operating profit (loss)% 2.5 % (3.5 %) 1.3 % (4.5 %)

Revenue Recognition (Tables)

Revenue Recognition (Tables)	6 Months Ended
	Jun. 30, 2018
Revenue from Contract with Customer [Abstract]
Summary of Disaggregate Revenue by Destinations	The following tables disaggregate our revenue by destinations, as we believe it best depicts how the nature, amount, timing and uncertainty of our revenue and cash flows are affected by economic factors. In the tables below, North America includes only the U.S. and Canada. (in millions): Three Months Ended June 30, 2018 2017 Wellbore Completion Rig Eliminations Total Wellbore Completion Rig Eliminations Total North America $ 449 $ 342 $ 143 $ — $ 934 $ 352 $ 265 $ 140 $ — $ 757 International 326 374 472 — 1,172 249 376 377 — 1,002 Eliminations 18 22 36 (76 ) — 13 11 29 (53 ) — $ 793 $ 738 $ 651 $ (76 ) $ 2,106 $ 614 $ 652 $ 546 $ (53 ) $ 1,759 Land $ 660 $ 509 $ 208 $ — $ 1,377 $ 490 $ 410 $ 173 $ — $ 1,073 Offshore 115 207 407 — 729 111 231 344 — 686 Eliminations 18 22 36 (76 ) — 13 11 29 (53 ) — $ 793 $ 738 $ 651 $ (76 ) $ 2,106 $ 614 $ 652 $ 546 $ (53 ) $ 1,759 Six Months Ended June 30, 2018 2017 Wellbore Completion Rig Eliminations Total Wellbore Completion Rig Eliminations Total North America $ 864 $ 634 $ 278 $ — $ 1,776 $ 647 $ 498 $ 260 $ — $ 1,405 International 608 732 785 — 2,125 497 778 820 — 2,095 Eliminations 32 42 71 (145 ) — 25 24 48 (97 ) — $ 1,504 $ 1,408 $ 1,134 $ (145 ) $ 3,901 $ 1,169 $ 1,300 $ 1,128 $ (97 ) $ 3,500 Land $ 1,243 $ 955 $ 380 $ — $ 2,578 $ 926 $ 813 $ 334 $ — $ 2,073 Offshore 229 411 683 — 1,323 218 463 746 — 1,427 Eliminations 32 42 71 (145 ) — 25 24 48 (97 ) — $ 1,504 $ 1,408 $ 1,134 $ (145 ) $ 3,901 $ 1,169 $ 1,300 $ 1,128 $ (97 ) $ 3,500
Summary of Changes in Carrying Amount of Contract Assets and Contract Liabilities	The changes in the carrying amount of contract assets and contract liabilities are as follows (in millions): Contract Assets Balance at December 31, 2017 $ 495 Additions and Milestone Billings (456 ) Revenue Recognized 500 Currency translation adjustments and other (94 ) Balance at June 30, 2018 $ 445 Contract Liabilities Balance at December 31, 2017 $ 519 Additions 542 Revenue Recognized (439 ) Currency translation adjustments and other (13 ) Balance at June 30, 2018 $ 609

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2018
Debt Disclosure [Abstract]
Debt	Debt consists of (in millions): June 30, December 31, 2018 2017 $1.4 billion in Senior Notes, interest at 2.60% payable semiannually, principal due on December 1, 2022 $ 1,393 $ 1,392 $1.1 billion in Senior Notes, interest at 3.95% payable semiannually, principal due on December 1, 2042 1,088 1,088 Other 234 232 Total debt 2,715 2,712 Less current portion 8 6 Long-term debt $ 2,707 $ 2,706

Derivative Financial Instrume28

Derivative Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Outstanding Foreign Currency Forward Contracts	The Company had the following outstanding foreign currency forward contracts that were entered into to hedge non-functional currency cash flows from forecasted revenues and expenses (in millions): Currency Denomination June 30, December 31, Foreign Currency 2018 2017 Norwegian Krone NOK 4,040 NOK 4,013 Japanese Yen JPY 326 JPY 982 U.S. Dollar USD 120 USD 163 Euro EUR 89 EUR 120 Danish Krone DKK 19 DKK 30 British Pound Sterling GBP 15 GBP 11 Canadian Dollar CAD 1 CAD — The Company had the following outstanding foreign currency forward contracts that hedge the fair value of non-functional currency monetary accounts (in millions): Currency Denomination June 30, December 31, Foreign Currency 2018 2017 Norwegian Krone NOK 1,998 NOK 1,734 Russian Ruble RUB 1,284 RUB 2,699 U.S. Dollar USD 512 USD 463 South African Rand ZAR 176 ZAR 150 Euro EUR 119 EUR 99 Danish Krone DKK 12 DKK 15 British Pound Sterling GBP 4 GBP 3 Canadian Dollar CAD 1 CAD —
Derivative Instruments and their Balance Sheet Classifications	The Company has the following gross fair values of its derivative instruments and their balance sheet classifications: Asset Derivatives Liability Derivatives Fair Value Fair Value Balance Sheet June 30, December 31, Balance Sheet June 30, December 31, Location 2018 2017 Location 2018 2017 Derivatives designated as hedging instruments under ASC Topic 815 Foreign exchange contracts Prepaid and other current assets $ 12 $ 13 Accrued liabilities $ 6 $ 3 Foreign exchange contracts Other Assets 3 8 Other liabilities 2 2 Total derivatives designated as hedging instruments under ASC Topic 815 $ 15 $ 21 $ 8 $ 5 Derivatives not designated as hedging instruments under ASC Topic 815 Foreign exchange contracts Prepaid and other current assets $ 5 $ 10 Accrued liabilities $ 7 $ 5 Foreign exchange contracts Other Assets 1 2 Other Liabilities — 1 Total derivatives not designated as hedging instruments under ASC Topic 815 $ 6 $ 12 $ 7 $ 6 Total derivatives $ 21 $ 33 $ 15 $ 11
Effect of Derivative Instruments on Consolidated Statements of Income	The Effect of Derivative Instruments on the Consolidated Statements of Income ($ in millions) Derivatives in ASC Topic 815 Amount of Gain (Loss) Recognized in OCI on Location of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Amount of Gain (Loss) Location of Gain (Loss) Testing) Amount of Gain (Loss) Six Months Ended Six Months Ended Six Months Ended June 30, June 30, June 30, 2018 2017 2018 2017 2018 2017 Revenue 1 4 Cost of 2 13 Foreign exchange contracts 5 34 Cost of revenue 3 (17 ) Other (3 ) 5 Total 5 34 4 (13 ) (1 ) 18 Derivatives Not Designated as Location of Gain (Loss) Amount of Gain (Loss) Hedging Instruments under Recognized in Income Recognized in Income on ASC Topic 815 on Derivative Derivative Six Months Ended June 30, 2018 2017 Foreign exchange contracts Other income (8 ) 46 Total (8 ) 46 (a) The Company expects that $9 million of the accumulated other comprehensive income (loss) will be reclassified into earnings within the next twelve months with an offset by losses from the underlying transactions resulting in no impact to earnings or cash flow. (b) The amount of gain (loss) recognized in income represents $2 million and $13 million related to the ineffective portion of the hedging relationships for the six months ended June 30, 2018 and 2017, respectively, and $(3) million and $5 million related to the amount excluded from the assessment of the hedge effectiveness for the six months ended June 30, 2018 and 2017, respectively.

Net Income (Loss) Attributabl29

Net Income (Loss) Attributable to Company Per Share (Tables)	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Computation of Weighted Average Basic and Diluted Shares Outstanding	The following table sets forth the computation of weighted average basic and diluted shares outstanding (in millions, except per share data): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Numerator: Net income (loss) attributable to Company $ 24 $ (75 ) $ (44 ) $ (197 ) Denominator: Basic—weighted average common shares outstanding 378 377 377 377 Dilutive effect of employee stock options and other unvested stock awards 3 — — — Diluted outstanding shares 381 377 377 377 Net income (loss) attributable to Company per share: Basic $ 0.06 $ (0.20 ) $ (0.12 ) $ (0.52 ) Diluted $ 0.06 $ (0.20 ) $ (0.12 ) $ (0.52 ) Cash dividends per share $ 0.05 $ 0.05 $ 0.10 $ 0.10

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
Maturity period of investments description	Three months or less

Inventories, net - Inventories

Inventories, net - Inventories (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
Raw materials and supplies	$ 655	$ 656
Work in process	572	513
Finished goods and purchased products	1,931	1,834
Total	$ 3,158	$ 3,003

Accrued Liabilities - Accrued L

Accrued Liabilities - Accrued Liabilities (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Payables and Accruals [Abstract]
Compensation	$ 227	$ 345
Vendor costs	137	150
Warranty	120	135
Taxes (non-income)	97	152
Insurance	55	74
Commissions	41	58
Fair value of derivatives	13	8
Interest	7	7
Other	253	309
Total	$ 950	$ 1,238

Accrued Liabilities - Changes i

Accrued Liabilities - Changes in Warranty Provision (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2018USD ($)
Product Warranties Disclosures [Abstract]
Beginning Balance	$ 135
Net provisions for warranties issued during the year	16
Amounts incurred	(31)
Ending Balance	$ 120

Accumulated Other Comprehensi34

Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Income (Loss) (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2018USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), Beginning balance	$ 14,160
Accumulated other comprehensive income (loss), Ending balance	13,968
Currency Translation Adjustments [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), Beginning balance	(1,104)
Accumulated other comprehensive income (loss) before reclassifications	(187)
Accumulated other comprehensive income (loss), Ending balance	(1,291)
Derivative Financial Instruments, Net of Tax [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), Beginning balance	7
Accumulated other comprehensive income (loss) before reclassifications	3
Amounts reclassified from accumulated other comprehensive income (loss)	(4)
Accumulated other comprehensive income (loss), Ending balance	6
Defined Benefit Plans, Net of Tax [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), Beginning balance	(13)
Accumulated other comprehensive income (loss), Ending balance	(13)
Accumulated Other Comprehensive Income (Loss) [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated other comprehensive income (loss), Beginning balance	(1,110)
Accumulated other comprehensive income (loss) before reclassifications	(184)
Amounts reclassified from accumulated other comprehensive income (loss)	(4)
Accumulated other comprehensive income (loss), Ending balance	$ (1,298)

Accumulated Other Comprehensi35

Accumulated Other Comprehensive Income (Loss) - Components of Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Revenue	$ 2,106	$ 1,759	$ 3,901	$ 3,500
Cost of revenue	1,751	1,528	3,259	3,060
Tax effect	5	(17)	8	(30)
Net income (loss)	24	(75)	(44)	(197)
Reclassification out of Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Revenue		1	(1)	(4)
Cost of revenue	(1)	8	(5)	4
Tax effect		(2)	2	2
Net income (loss)	(1)	7	(4)	2
Derivative Financial Instruments, Net of Tax [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Revenue		1	(1)	(4)
Cost of revenue	(1)	8	(5)	4
Tax effect		(2)	2	2
Net income (loss)	$ (1)	$ 7	$ (4)	$ 2

Accumulated Other Comprehensi36

Accumulated Other Comprehensive Income (Loss) - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Statement of Comprehensive Income [Abstract]
Net increase to other comprehensive income or loss upon the translation	$ (223)	$ 76	$ (187)	$ 166
Changes in derivative financial instruments, net of tax	(14)	23	(1)	28
Changes in derivative financial instruments, tax	$ 5	$ 6	$ 0	$ 7

Business Segments - Business Se

Business Segments - Business Segments (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Segment Reporting Information [Line Items]
Total revenue	$ 2,106	$ 1,759	$ 3,901	$ 3,500
Total operating profit (loss)	$ 52	$ (62)	$ 51	$ (159)
Percentage as of operating profit (loss) to revenue	2.50%	(3.50%)	1.30%	(4.50%)
Operating Segments [Member] | Wellbore Technologies [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 793	$ 614	$ 1,504	$ 1,169
Total operating profit (loss)	$ 38	$ (24)	$ 50	$ (81)
Percentage as of operating profit (loss) to revenue	4.80%	(3.90%)	3.30%	(6.90%)
Operating Segments [Member] | Completion & Production Solutions [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 738	$ 652	$ 1,408	$ 1,300
Total operating profit (loss)	$ 40	$ 27	$ 56	$ 35
Percentage as of operating profit (loss) to revenue	5.40%	4.10%	4.00%	2.70%
Operating Segments [Member] | Rig Technologies [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 651	$ 546	$ 1,134	$ 1,128
Total operating profit (loss)	$ 62	$ 6	$ 80	$ 19
Percentage as of operating profit (loss) to revenue	9.50%	1.10%	7.10%	1.70%
Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Total revenue	$ (76)	$ (53)	$ (145)	$ (97)
Total operating profit (loss)	$ (88)	$ (71)	$ (135)	$ (132)

Business Segments - Additional

Business Segments - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2018Segment
Segment Reporting [Abstract]
Number of reportable segments	3

Revenue Recognition - Additiona

Revenue Recognition - Additional Information (Detail) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Net revenue recognized from performance obligations	$ 47,000,000
Remaining performance obligations	2,610,000,000
Impairment losses on contract assets	0	$ 0
Advance payments and deferred revenue	240,000,000
2018 [Member]
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations	775,000,000
2019 and Thereafter [Member]
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligations	$ 1,835,000,000

Revenue Recognition - Summary o

Revenue Recognition - Summary of Disaggregate Revenue by Destinations (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Disaggregation of Revenue [Line Items]
Disaggregate revenue	$ 2,106	$ 1,759	$ 3,901	$ 3,500
Continental [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	2,106	1,759	3,901	3,500
Continental [Member] | North America [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	934	757	1,776	1,405
Continental [Member] | International [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	1,172	1,002	2,125	2,095
Land and Offshore [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	2,106	1,759	3,901	3,500
Land and Offshore [Member] | Land Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	1,377	1,073	2,578	2,073
Land and Offshore [Member] | Offshore Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	729	686	1,323	1,427
Operating Segments [Member] | Wellbore Technologies [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	793	614	1,504	1,169
Operating Segments [Member] | Completion & Production Solutions [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	738	652	1,408	1,300
Operating Segments [Member] | Rig Technologies [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	651	546	1,134	1,128
Operating Segments [Member] | Continental [Member] | Wellbore Technologies [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	793	614	1,504	1,169
Operating Segments [Member] | Continental [Member] | Wellbore Technologies [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	18	13	32	25
Operating Segments [Member] | Continental [Member] | Wellbore Technologies [Member] | North America [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	449	352	864	647
Operating Segments [Member] | Continental [Member] | Wellbore Technologies [Member] | International [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	326	249	608	497
Operating Segments [Member] | Continental [Member] | Completion & Production Solutions [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	738	652	1,408	1,300
Operating Segments [Member] | Continental [Member] | Completion & Production Solutions [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	22	11	42	24
Operating Segments [Member] | Continental [Member] | Completion & Production Solutions [Member] | North America [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	342	265	634	498
Operating Segments [Member] | Continental [Member] | Completion & Production Solutions [Member] | International [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	374	376	732	778
Operating Segments [Member] | Continental [Member] | Rig Technologies [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	651	546	1,134	1,128
Operating Segments [Member] | Continental [Member] | Rig Technologies [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	36	29	71	48
Operating Segments [Member] | Continental [Member] | Rig Technologies [Member] | North America [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	143	140	278	260
Operating Segments [Member] | Continental [Member] | Rig Technologies [Member] | International [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	472	377	785	820
Operating Segments [Member] | Land and Offshore [Member] | Wellbore Technologies [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	793	614	1,504	1,169
Operating Segments [Member] | Land and Offshore [Member] | Wellbore Technologies [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	18	13	32	25
Operating Segments [Member] | Land and Offshore [Member] | Wellbore Technologies [Member] | Land Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	660	490	1,243	926
Operating Segments [Member] | Land and Offshore [Member] | Wellbore Technologies [Member] | Offshore Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	115	111	229	218
Operating Segments [Member] | Land and Offshore [Member] | Completion & Production Solutions [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	738	652	1,408	1,300
Operating Segments [Member] | Land and Offshore [Member] | Completion & Production Solutions [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	22	11	42	24
Operating Segments [Member] | Land and Offshore [Member] | Completion & Production Solutions [Member] | Land Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	509	410	955	813
Operating Segments [Member] | Land and Offshore [Member] | Completion & Production Solutions [Member] | Offshore Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	207	231	411	463
Operating Segments [Member] | Land and Offshore [Member] | Rig Technologies [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	651	546	1,134	1,128
Operating Segments [Member] | Land and Offshore [Member] | Rig Technologies [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	36	29	71	48
Operating Segments [Member] | Land and Offshore [Member] | Rig Technologies [Member] | Land Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	208	173	380	334
Operating Segments [Member] | Land and Offshore [Member] | Rig Technologies [Member] | Offshore Destination [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	407	344	683	746
Intersegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	(76)	(53)	(145)	(97)
Intersegment Eliminations [Member] | Continental [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	(76)	(53)	(145)	(97)
Intersegment Eliminations [Member] | Continental [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	(76)	(53)	(145)	(97)
Intersegment Eliminations [Member] | Land and Offshore [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	(76)	(53)	(145)	(97)
Intersegment Eliminations [Member] | Land and Offshore [Member] | Intersubsegment Eliminations [Member]
Disaggregation of Revenue [Line Items]
Disaggregate revenue	$ (76)	$ (53)	$ (145)	$ (97)

Revenue Recognition - Summary41

Revenue Recognition - Summary of Changes in Carrying Amount of Contract Assets and Contract Liabilities (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2018USD ($)
Change in Contract with Customer, Asset and Liability [Abstract]
Balance at December 31, 2017	$ 495
Additions and Milestone Billings	(456)
Revenue Recognized	500
Currency translation adjustments and other	(94)
Balance at June 30, 2018	445
Balance at December 31, 2017	519
Additions	542
Revenue Recognized	(439)
Currency translation adjustments and other	(13)
Balance at June 30, 2018	$ 609

Debt - Debt (Detail)

Debt - Debt (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Debt Instrument [Line Items]
Senior Notes	$ 2,481	$ 2,480
Other	234	232
Total debt	2,715	2,712
Current and Non-current debt
Total debt	2,715	2,712
Less current portion	8	6
Long-term debt	2,707	2,706
Senior Notes, Interest at 2.60% Payable Semiannually, Principal Due on December 1, 2022 [Member]
Debt Instrument [Line Items]
Senior Notes	1,393	1,392
Senior Notes, Interest at 3.95% Payable Semiannually, Principal Due on December 1, 2042 [Member]
Debt Instrument [Line Items]
Senior Notes	$ 1,088	$ 1,088

Debt - Debt (Parenthetical) (De

Debt - Debt (Parenthetical) (Detail) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Senior Notes, Interest at 2.60% Payable Semiannually, Principal Due on December 1, 2022 [Member]
Debt Instrument [Line Items]
Senior note face amount	$ 1,400,000,000	$ 1,400,000,000
Senior notes interest rate	2.60%	2.60%
Senior note due date	Dec. 1, 2022	Dec. 1, 2022
Senior Notes, Interest at 3.95% Payable Semiannually, Principal Due on December 1, 2042 [Member]
Debt Instrument [Line Items]
Senior note face amount	$ 1,100,000,000	$ 1,100,000,000
Senior notes interest rate	3.95%	3.95%
Senior note due date	Dec. 1, 2042	Dec. 1, 2042

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($)	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Debt Instrument [Line Items]
Interest rate under multi currency facility	LIBOR, NIBOR or CDOR plus 1.125%
Capitalization ratio, Maximum	60.00%
Capitalization ratio, Actual	16.30%
Funds available under revolving credit facility	$ 3,000,000,000
Outstanding letters of credit under various bilateral letter of credit facilities	511,000,000
Fair value of Unsecured Senior Notes	2,266,000,000	$ 2,346,000,000
Carrying value of Unsecured Senior Notes	$ 2,481,000,000	$ 2,480,000,000
Canadian Dollar Offered Rate (CDOR) [Member]
Debt Instrument [Line Items]
Variable rate	1.125%
Five-year Credit Facility [Member]
Debt Instrument [Line Items]
Credit facility, borrowing capacity	$ 3,000,000,000
Credit facility, Period	5 years
Credit facility, maturity date	Jun. 27, 2022
Credit facility, extendable borrowing capacity	$ 4,000,000,000
Variable rate basis	LIBOR, NIBOR or CDOR plus
Borrowings under commercial paper	$ 0
Unsecured Credit Facility [Member]
Debt Instrument [Line Items]
Credit facility, Period	5 years

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Federal statutory income tax rate			21.00%		35.00%
Income tax benefit related to revaluation of net deferred tax liability					$ 242
Effective income tax rate	16.70%	18.70%	(24.30%)	13.40%
Unrecognized tax benefit	$ 57		$ 57
Reduction in unrecognized tax position					$ 93

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail) $ / shares in Units, $ in Millions	May 11, 2018$ / sharesshares	Feb. 28, 2018Installment$ / sharesshares	Jun. 30, 2018USD ($)shares	Jun. 30, 2017USD ($)	Jun. 30, 2018USD ($)shares	Jun. 30, 2017USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized shares under stock based compensation			69,400,000		69,400,000
Remaining shares available for future grants under the Plan			9,635,836		9,635,836
Shares granted		1,610,599
Restricted stock granted fair value | $ / shares		$ 10.01
Stock-based compensation expense | $			$ 31	$ 22	$ 58	$ 52
Income tax benefit recognized | $			$ 4	$ 5	$ 6	$ 9
Stock Options and Stock Appreciation Rights (SARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fungible shares issuance ratio					1
Other Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fungible shares issuance ratio					3
Restricted Stock and Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	35,432	2,391,933
Restricted stock granted fair value | $ / shares	$ 40.65	$ 35.09
Number of equal annual vesting installments | Installment		3
Period of option vested over grant date					The restricted stock and restricted stock units vest in three equal annual installments commencing on the first anniversary of the date of grant.
Performance-base restricted stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Description of performance goal					The performance share awards can be earned based on performance against established goals over a three-year performance period.
Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Period of option vested over grant date					The stock options vest over a three-year period from the grant date. The restricted stock and restricted stock units vest in three equal annual installments commencing on the first anniversary of the date of grant.
TSR Award [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Description of performance goal					The performance share awards are based entirely on a TSR (total shareholder return) goal. Performance against the TSR goal is determined by comparing the performance of the Company’s TSR with the TSR performance of the members of the OSX index for the three-year performance period.
Senior Management Employees [Member] | Stock Appreciation Rights (SARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock option granted		14,228
Minimum [Member] | Senior Management Employees [Member] | Performance-base restricted stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		0
Maximum [Member] | Senior Management Employees [Member] | Performance-base restricted stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted		449,532

Derivative Financial Instrume47

Derivative Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Derivatives, Fair Value [Line Items]
Minimum derivative financial instrument's term (months)	2 months
Maximum derivative financial instrument's term (months)	24 months
Derivative Assets	$ 21	$ 33
Derivative Liabilities	15	$ 11
Fair value of the Company's foreign currency forward contracts	6
Gains (losses) recognized on discontinuation of cash flow hedges	2
Pre-tax losses recorded in accumulated other comprehensive income (loss)	8
Fair Value, Inputs, Level 2 [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	21
Derivative Liabilities	$ 15

Derivative Financial Instrume48

Derivative Financial Instruments - Outstanding Foreign Currency Forward Contracts (Detail) - Forward Contracts [Member] ₽ in Millions, € in Millions, ¥ in Millions, £ in Millions, kr in Millions, kr in Millions, R in Millions, $ in Millions, $ in Millions

Jun. 30, 2018USD ($)

Jun. 30, 2018CAD ($)

Jun. 30, 2018DKK (kr)

Jun. 30, 2018EUR (€)

Jun. 30, 2018GBP (£)

Jun. 30, 2018JPY (¥)

Jun. 30, 2018NOK (kr)

Jun. 30, 2018ZAR (R)

Jun. 30, 2018RUB (₽)

Dec. 31, 2017USD ($)

Dec. 31, 2017DKK (kr)

Dec. 31, 2017EUR (€)

Dec. 31, 2017GBP (£)

Dec. 31, 2017JPY (¥)

Dec. 31, 2017NOK (kr)

Dec. 31, 2017ZAR (R)

Dec. 31, 2017RUB (₽)

Derivative [Line Items]

Foreign currency, Cash flow hedging

$ 120

$ 1

kr 19

€ 89

£ 15

¥ 326

kr 4,040

$ 163

kr 30

€ 120

£ 11

¥ 982

kr 4,013

Foreign currency, Non-designated hedging

$ 512

$ 1

kr 12

€ 119

£ 4

kr 1,998

R 176

₽ 1,284

$ 463

kr 15

€ 99

£ 3

kr 1,734

R 150

₽ 2,699

Derivative Financial Instrume49

Derivative Financial Instruments - Derivative Instruments and their Balance Sheet Classifications (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Derivatives, Fair Value [Line Items]
Derivative Assets	$ 21	$ 33
Derivative Liabilities	15	11
Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	15	21
Derivative Liabilities	8	5
Not Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	6	12
Derivative Liabilities	7	6
Foreign Exchange Contracts [Member] | Prepaid and Other Current Assets [Member] | Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	12	13
Foreign Exchange Contracts [Member] | Prepaid and Other Current Assets [Member] | Designated as Hedging Instruments [Member] | Accrued liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative Liabilities	6	3
Foreign Exchange Contracts [Member] | Prepaid and Other Current Assets [Member] | Not Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	5	10
Foreign Exchange Contracts [Member] | Prepaid and Other Current Assets [Member] | Not Designated as Hedging Instruments [Member] | Accrued liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative Liabilities	7	5
Foreign Exchange Contracts [Member] | Other Liabilities [Member] | Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Liabilities	2	2
Foreign Exchange Contracts [Member] | Other Liabilities [Member] | Not Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Liabilities		1
Foreign Exchange Contracts [Member] | Other Assets [Member] | Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	3	8
Foreign Exchange Contracts [Member] | Other Assets [Member] | Not Designated as Hedging Instruments [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets	$ 1	$ 2

Derivative Financial Instrume50

Derivative Financial Instruments - Effect of Derivative Instruments on Consolidated Statements of Income (Detail) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)	$ (3)	$ 5
Not Designated as Hedging Instruments [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivative	(8)	46
Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion)	5	34
Foreign Exchange Contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	4	(13)
Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)	(1)	18
Foreign Exchange Contracts [Member] | Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion)	5	34
Foreign Exchange Contracts [Member] | Other Income (Expense), Net [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)	(3)	5
Foreign Exchange Contracts [Member] | Other Income (Expense), Net [Member] | Not Designated as Hedging Instruments [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income on Derivative	(8)	46
Foreign Exchange Contracts [Member] | Cost of Revenue [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	3	(17)
Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)	2	13
Foreign Exchange Contracts [Member] | Revenue [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	$ 1	$ 4

Derivative Financial Instrume51

Derivative Financial Instruments - Effect of Derivative Instruments on Consolidated Statements of Income (Parenthetical) (Detail) - USD ($) $ in Millions	6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2018
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivative (ineffective portion)	$ 2	$ 13
Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)	$ (3)	$ 5
Scenario, Forecast [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Accumulated other comprehensive income (loss), reclassified			$ 9

Net Income (Loss) Attributabl52

Net Income (Loss) Attributable to Company Per Share - Computation of Weighted Average Basic and Diluted Shares Outstanding (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Numerator:
Net income (loss) attributable to Company	$ 24	$ (75)	$ (44)	$ (197)
Denominator:
Basic-weighted average common shares outstanding	378	377	377	377
Dilutive effect of employee stock options and other unvested stock awards	3
Diluted outstanding shares	381	377	377	377
Cash dividends per share	$ 0.05	$ 0.05	$ 0.10	$ 0.10
Basic	0.06	(0.20)	(0.12)	(0.52)
Diluted	$ 0.06	$ (0.20)	$ (0.12)	$ (0.52)

Net Income (Loss) Attributabl53

Net Income (Loss) Attributable to Company Per Share - Additional Information (Detail) - shares shares in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Earnings Per Share [Abstract]
Anti-dilutive stock options outstanding	18	18	18	13

Cash Dividends - Additional Inf

Cash Dividends - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	May 11, 2018
Dividends [Abstract]
Dividends payable, amount per share					$ 0.05
Cash dividends paid	$ 19	$ 19	$ 38	$ 38