Leidos (LDOS) 10-Q 5 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jul. 03, 2015	Jul. 24, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jul. 3, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Trading Symbol	LDOS
Entity Registrant Name	Leidos Holdings, Inc.
Entity Central Index Key	1,336,920
Current Fiscal Year End Date	--01-02
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		72,063,425
Leidos, Inc.
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jul. 3, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Entity Registrant Name	Leidos, Inc.
Entity Central Index Key	353,394
Current Fiscal Year End Date	--01-02
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		5,000

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jul. 03, 2015	Jan. 30, 2015
Current assets:
Cash and cash equivalents	$ 365	$ 443
Receivables, net	929	896
Inventory, prepaid expenses and other current assets	299	273
Assets held for sale	99	0
Assets of discontinued operations	0	6
Total current assets	1,692	1,618
Property, plant and equipment (less accumulated depreciation and amortization of $315 million and $313 million at July 3, 2015 and January 30, 2015, respectively)	178	308
Goodwill and intangible assets, net	1,239	1,244
Deferred income taxes	14	14
Other assets	88	97
Total assets	3,211	3,281
Current liabilities:
Accounts payable and accrued liabilities	716	675
Accrued payroll and employee benefits	273	264
Notes payable and long-term debt, current portion	2	2
Liabilities held for sale	2	0
Liabilities of discontinued operations	3	10
Total current liabilities	996	951
Notes payable and long-term debt, net of current portion	1,127	1,164
Other long-term liabilities	$ 169	$ 168
Commitments and contingencies (Notes 10 and 11)
Stockholders' equity:
Preferred stock, $.0001 par value, 10 million shares authorized and no shares issued and outstanding at July 3, 2015 and January 30, 2015	$ 0	$ 0
Common stock	0	0
Additional paid-in capital	1,336	1,433
Accumulated deficit	(406)	(424)
Accumulated other comprehensive loss	(11)	(11)
Total stockholders’ equity	919	998
Total liabilities and stockholders' equity	3,211	3,281
Leidos, Inc.
Current assets:
Cash and cash equivalents	365	443
Receivables, net	929	896
Inventory, prepaid expenses and other current assets	299	273
Assets held for sale	99	0
Assets of discontinued operations	0	6
Total current assets	1,692	1,618
Property, plant and equipment (less accumulated depreciation and amortization of $315 million and $313 million at July 3, 2015 and January 30, 2015, respectively)	178	308
Goodwill and intangible assets, net	1,239	1,244
Deferred income taxes	14	14
Other assets	88	97
Note receivable from Leidos Holdings, Inc.	1,561	1,412
Total assets	4,772	4,693
Current liabilities:
Accounts payable and accrued liabilities	716	675
Accrued payroll and employee benefits	273	264
Notes payable and long-term debt, current portion	2	2
Liabilities held for sale	2	0
Liabilities of discontinued operations	3	10
Total current liabilities	996	951
Notes payable and long-term debt, net of current portion	1,127	1,164
Other long-term liabilities	$ 169	$ 168
Commitments and contingencies (Notes 10 and 11)
Stockholders' equity:
Common stock	$ 0	$ 0
Additional paid-in capital	207	207
Accumulated deficit	2,284	2,214
Accumulated other comprehensive loss	(11)	(11)
Total stockholders’ equity	2,480	2,410
Total liabilities and stockholders' equity	$ 4,772	$ 4,693

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Jul. 03, 2015	Jan. 30, 2015
Property, plant and equipment, accumulated depreciation and amortization	$ 315	$ 313
Preferred Stock, Par or Stated Value Per Share (dollar per share)	$ 0.0001	$ 0.0001
Preferred Stock, Shares Authorized	10,000,000	10,000,000
Preferred Stock, Shares Issued	0	0
Preferred Stock, Shares Outstanding	0	0
Common stock, par value per share (dollar per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	72,000,000	74,000,000
Common stock, shares outstanding	72,000,000	74,000,000
Leidos, Inc.
Property, plant and equipment, accumulated depreciation and amortization	$ 315	$ 313
Common stock, par value per share (dollar per share)	$ 0.01	$ 0.01
Common stock, shares authorized	10,000	10,000
Common stock, shares issued	5,000	5,000
Common stock, shares outstanding	5,000	5,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014
Revenues	$ 1,257	$ 1,306	$ 2,503	$ 2,618
Costs and expenses:
Cost of revenues	1,113	1,119	2,206	2,260
Selling, general and administrative expenses	51	87	126	171
Goodwill impairment charges		486	0	486
Asset impairment charges	29	24	69	24
Operating income (loss)	64	(410)	102	(323)
Non-operating income (expense):
Interest expense, net	(14)	(19)	(28)	(39)
Other income (expense), net	2	(1)	1	1
Income (loss) from continuing operations before income taxes	52	(430)	75	(361)
Income tax expense	(15)	(9)	(15)	(33)
Income (loss) from continuing operations	37	(439)	60	(394)
Discontinued operations:
Income (loss) from discontinued operations before income taxes	0	2	0	(11)
Income tax (expense) benefit	0	(1)	18	4
Income (loss) from discontinued operations	0	1	18	(7)
Net income (loss)	$ 37	$ (438)	$ 78	$ (401)
Basic:
Income (loss) from continuing operations (dollar per share)	$ 0.51	$ (5.93)	$ 0.82	$ (5.25)
(Loss) income from discontinued operations (dollar per share)	0	0.01	0.25	(0.10)
Basic earnings per share (dollar per share)	0.51	(5.92)	1.07	(5.35)
Diluted:
Income (loss) from continuing operations (dollar per share)	0.50	(5.93)	0.80	(5.25)
(Loss) income from discontinued operations (dollar per share)	0	0.01	0.24	(0.10)
Diluted earnings per share (dollar per share)	$ 0.50	$ (5.92)	$ 1.04	$ (5.35)
Basic weighted average number of shares outstanding (shares)	73	74	73	75
Diluted weighted average number of shares outstanding (shares)	74	74	75	75
Cash dividends declared per share (dollars per share)	$ 0.32	$ 0.32	$ 0.64	$ 0.64
Leidos, Inc.
Revenues	$ 1,257	$ 1,306	$ 2,503	$ 2,618
Costs and expenses:
Cost of revenues	1,113	1,119	2,206	2,260
Selling, general and administrative expenses	51	87	126	171
Goodwill impairment charges	0	486	0	486
Asset impairment charges	29	24	69	24
Operating income (loss)	64	(410)	102	(323)
Non-operating income (expense):
Interest expense, net	(10)	(16)	(21)	(34)
Other income (expense), net	2	(1)	1	1
Income (loss) from continuing operations before income taxes	56	(427)	82	(356)
Income tax expense	(17)	(10)	(18)	(35)
Income (loss) from continuing operations	39	(437)	64	(391)
Discontinued operations:
Income (loss) from discontinued operations before income taxes	0	2	0	(11)
Income tax (expense) benefit	0	(1)	18	4
Income (loss) from discontinued operations	0	1	18	(7)
Net income (loss)	$ 39	$ (436)	$ 82	$ (398)

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014
Net income (loss)	$ 37	$ (438)	$ 78	$ (401)
Foreign currency translation adjustments	0	0	(2)	0
Deferred taxes	0	0	1	0
Foreign currency translation adjustments, net of tax	0	0	(1)	0
Pension liability adjustments	0	0	(1)	0
Deferred taxes	1	0	1	0
Pension liability adjustments, net of tax	1	0	0	0
Total other comprehensive income (loss), net of tax	1	0	(1)	0
Comprehensive income (loss)	38	(438)	77	(401)
Leidos, Inc.
Net income (loss)	39	(436)	82	(398)
Foreign currency translation adjustments	0	0	(2)	0
Deferred taxes	0	0	1	0
Foreign currency translation adjustments, net of tax	0	0	(1)	0
Pension liability adjustments	0	0	(1)	0
Deferred taxes	1	0	1
Pension liability adjustments, net of tax	1	0	0	0
Total other comprehensive income (loss), net of tax	1	0	(1)	0
Comprehensive income (loss)	$ 40	$ (436)	$ 81	$ (398)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Jan. 30, 2015	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014	Jan. 30, 2015
Cash flows from operations:
Net income (loss)		$ 37	$ (438)	$ 78	$ (401)
(Income) loss from discontinued operations		0	(1)	(18)	7
Adjustments to reconcile net income to net cash provided by operations:
Depreciation and amortization				24	34
Stock-based compensation				14	23
Goodwill impairment charges			486	0	486	$ 486
Asset impairment charges		29	24	69	24
Other				(1)	5
Change in assets and liabilities, net of effects of acquisitions and dispositions:
Receivables				63	(56)
Inventory, prepaid expenses and other current assets				(10)	9
Deferred income taxes				23	0
Accounts payable and accrued liabilities				14	(35)
Accrued payroll and employee benefits				(20)	12
Income taxes receivable/payable				(111)	11
Other long-term assets/liabilities				(16)	(4)
Total cash flows provided by operating activities of continuing operations	$ 11			109	115
Cash flows from investing activities:
Expenditures for property, plant and equipment				(8)	(22)
Payments on accrued purchase price related to prior acquisition				(13)	0
Proceeds from sale of assets				5	0
Proceeds from U.S. Treasury cash grant				0	80
Total cash flows (used in) provided by investing activities of continuing operations				(16)	58
Cash flows from financing activities:
Payments of notes payable and long-term debt				(47)	(1)
Sales of stock and exercises of stock options				3	4
Repurchases of stock and stock received for tax withholdings				(115)	(212)
Dividend payments				(48)	(48)
Other				1	1
Total cash flows used in financing activities of continuing operations	(47)			(206)	(256)
Decrease in cash and cash equivalents from continuing operations				(113)	(83)
Cash flows from discontinued operations:
Cash provided by operating activities of discontinued operations				13	3
Cash provided by investing activities of discontinued operations				6	8
Increase in cash and cash equivalents from discontinued operations	20			19	11
Increase in cash and cash equivalents from discontinued operations	16			(94)	(72)
Cash and cash equivalents at beginning of period	459			459	430	430
Cash and cash equivalents at end of period		365	358	365	358
Leidos, Inc.
Cash flows from operations:
Net income (loss)		39	(436)	82	(398)
(Income) loss from discontinued operations		0	(1)	(18)	7
Adjustments to reconcile net income to net cash provided by operations:
Depreciation and amortization				24	34
Stock-based compensation				14	23
Goodwill impairment charges		0	486	0	486
Asset impairment charges		29	24	69	24
Other				(5)	2
Change in assets and liabilities, net of effects of acquisitions and dispositions:
Receivables				63	(56)
Inventory, prepaid expenses and other current assets				(10)	9
Deferred income taxes				23	0
Accounts payable and accrued liabilities				14	(35)
Accrued payroll and employee benefits				(20)	12
Income taxes receivable/payable				(111)	11
Other long-term assets/liabilities				(16)	(4)
Total cash flows provided by operating activities of continuing operations				109	115
Cash flows from investing activities:
Proceeds on obligations of Leidos Holdings, Inc.				17	55
Payments on obligations of Leidos Holdings, Inc.				(176)	(310)
Expenditures for property, plant and equipment				(8)	(22)
Payments on accrued purchase price related to prior acquisition				(13)	0
Proceeds from sale of assets				5	0
Proceeds from U.S. Treasury cash grant				0	80
Total cash flows (used in) provided by investing activities of continuing operations				(175)	(197)
Cash flows from financing activities:
Payments of notes payable and long-term debt				(47)	(1)
Total cash flows used in financing activities of continuing operations				(47)	(1)
Decrease in cash and cash equivalents from continuing operations				(113)	(83)
Cash flows from discontinued operations:
Cash provided by operating activities of discontinued operations				13	3
Cash provided by investing activities of discontinued operations				6	8
Increase in cash and cash equivalents from discontinued operations				19	11
Increase in cash and cash equivalents from discontinued operations				(94)	(72)
Cash and cash equivalents at beginning of period	$ 459			459	430	$ 430
Cash and cash equivalents at end of period		$ 365	$ 358	$ 365	$ 358

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jul. 03, 2015
Significant Accounting Policies [Line Items]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies: Nature of Operations and Basis of Presentation Leidos Holdings, Inc. ("Leidos") is a holding company whose direct 100% -owned subsidiary is Leidos, Inc., an applied technology company focused on delivering services and solutions that leverage expertise in the national security, health and engineering markets. Leidos, Inc. provides these services and solutions to government and commercial customers, both domestically and internationally. These customers include agencies of the U.S. Department of Defense ("DoD"), the intelligence community, the U.S. Department of Homeland Security ("DHS"), and other U.S. Government civil agencies, state and local government agencies and foreign governments. Unless indicated otherwise, references to the "Company," "we," "us" and "our" refer collectively to Leidos Holdings, Inc., Leidos, Inc., and its consolidated subsidiaries. The unaudited condensed consolidated financial statements of Leidos and Leidos, Inc. include the accounts of its majority-owned and 100% -owned subsidiaries. Leidos does not have separate operations, assets or liabilities independent of Leidos, Inc., except for a note with Leidos, Inc. (the “related party note”), on which interest is recognized. From time to time, Leidos issues stock to employees of Leidos, Inc. and its subsidiaries, which is reflected in stockholders' equity in Leidos’ condensed consolidated balance sheets and results in an increase to the related party note. All intercompany transactions and accounts have been eliminated in consolidation. The accompanying unaudited condensed financial information has been prepared in accordance with the rules of the U.S. Securities and Exchange Commission ("SEC") and accounting principles generally accepted in the United States of America ("GAAP"). Certain disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. Management evaluates these estimates and assumptions on an ongoing basis, including those relating to allowances for doubtful accounts, inventories, fair value and impairment of intangible assets and goodwill, income taxes, estimated profitability of long-term contracts, pension benefits, stock-based compensation expense, contingencies and litigation. Estimates have been prepared by management on the basis of the most current and best available information; however, actual results could differ materially from those estimates. Certain amounts in the prior year financial statements have been reclassified to conform to the current year presentation. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which consist of normal recurring adjustments, necessary for a fair presentation thereof. The results reported in these unaudited condensed consolidated financial statements are not necessarily indicative of the results that may be expected for the entire year. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and combined notes thereto included in the Company’s Annual Report on Form 10-K. Fiscal Year End Change On March 20, 2015, the Board of Directors of the Company approved the amendment and restatement of the bylaws of the Company to change both Leidos' and Leidos, Inc.'s year end from the Friday nearest the end of January to the Friday nearest the end of December. As a result of this change, the Company will file its Annual Report on Form 10-K, which will cover the 11 month period ending on January 1, 2016, as its transition report. This change does not impact the Company's prior year, which ended January 30, 2015. In order to allow an immediate transition to the new calendar and to maintain transparency and comparability of financial information included in the Company's quarterly Form 10-Q filings, the year-to-date information in this Form 10-Q is being presented on a six month basis for the current year which includes the last month of the year ended January 30, 2015. Therefore, the condensed consolidated statements of income and comprehensive income and the condensed consolidated statements of cash flows reflect the results for the six month period ended July 3, 2015. The Company's business is primarily driven by productive hours and time sold in relation to the services and solutions provided to its customers, as such the productive hours and time sold do not vary materially quarter over quarter. Therefore, the Company does not believe that the change in its year end has a material effect on the comparability of the periods presented. As such, the quarterly periods of the prior year have not been recast to correspond with the new quarterly periods. The following table shows the periods included in each quarter and year end: Period Current year Prior year First Quarter January 3, 2015 to April 3, 2015 February 1, 2014 to May 2, 2014 Second Quarter April 4, 2015 to July 3, 2015 May 3, 2014 to August 1, 2014 Third Quarter July 4, 2015 to October 2, 2015 August 2, 2014 to October 31, 2014 Year End January 31, 2015 to January 1, 2016 (transition period) February 1, 2014 to January 30, 2015 As a result of the overlap of the month of January 2015 between the fourth quarter of the prior year and the first quarter of the current year, $373 million of revenue and $23 million of operating loss from January 2015 is included in the condensed consolidated statements of income and comprehensive income for the six months ended July 3, 2015, which was also included in the Company's results for the year ended January 30, 2015 included in the Company's Form 10-K as filed on March 25, 2015. In addition, the condensed consolidated statement of cash flows includes previously reported January results which had $16 million of cash used due to $11 million of cash provided by operating activities, $47 million of cash used in financing activities and $20 million of cash provided by discontinued operations. Separation Transaction and Restructuring Expenses During the year ended January 31, 2014, Leidos completed the spin-off of its technical services and enterprise information technology services business. In anticipation of the spin-off, the Company initiated a program to align the Company’s cost structure for post-spin-off and incurred severance and lease termination costs. For the six months ended July 3, 2015, the Company incurred approximately $2 million of lease termination expenses in its Corporate and Other segment related to an adjustment to reserves established in prior years for loss on leases in connection with revised sublease income assumptions. The Company did not incur any lease termination expenses for the quarter ended July 3, 2015. For the six months ended August 1, 2014, the Company incurred approximately $1 million of lease termination expenses. The Company incurred no lease termination expenses for the quarter ended August 1, 2014. The separation transaction and restructuring expenses are recorded within "Selling, general and administrative expenses" in the Company's condensed consolidated statements of income. The restructuring liability for lease termination expenses as of July 3, 2015 decreased by $2 million to $9 million from January 30, 2015 due to cash payments. The Company does not expect to incur significant additional separation transaction and restructuring expenses in the current year related to the spin-off transaction. Fair Value Measurements The accounting standard for fair value measurements establishes a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value as follows: observable inputs such as quoted prices in active markets (Level 1); inputs other than the quoted prices in active markets that are observable either directly or indirectly (Level 2); and unobservable inputs in which there is little or no market data, which requires the Company to develop its own assumptions (Level 3). The fair value of financial instruments is determined based on quoted market prices, if available, or management’s best estimate. It is management’s belief that the carrying amounts of the Company’s financial instruments other than derivatives, which include cash equivalents and long-term investments, are reasonable estimates of their related fair values. The carrying value of accounts receivable, accounts payable, and accrued expenses approximate their fair values. The fair value of long-term debt (see Note 5) is determined based on current interest rates available for debt with terms and maturities similar to the Company’s existing debt arrangements (Level 2 inputs). The Company’s cash equivalents were primarily comprised of investments in several large institutional money market funds and bank deposits. There are no restrictions on the withdrawal of the Company’s cash and cash equivalents. The Company's cash equivalents are recorded at historical cost, which equals fair value based on quoted market prices (Level 1 input). Management evaluates its investments for other-than-temporary impairment at each balance sheet date. When testing long-term investments for recovery of carrying value, the fair value of long-term investments is determined using various valuation techniques and factors, such as market prices of comparable companies (Level 2 input), discounted cash flow models (Level 3 input) and recent capital transactions of the portfolio companies being valued (Level 3 input). If management determines that an other-than-temporary decline in the fair value of an investment has occurred, an impairment loss is recognized to reduce the investment to its estimated fair value. The Company's financial instruments measured at fair value on a recurring basis using Level 2 inputs consisted of the Company's interest rate swaps on its $450 million fixed rate 4.45% notes. At July 3, 2015, the Company did not have any financial assets or liabilities measured at fair value on a recurring basis using Level 3 inputs. The Company’s non-financial instruments measured at fair value on a non-recurring basis included goodwill, indefinite-lived intangible assets and long-lived tangible assets. The valuation methods used to determine fair value require a significant degree of management judgment to determine the key assumptions, as such the Company generally classifies non-financial instruments as either Level 2 or Level 3 fair value measurements. At July 3, 2015, the Company's net assets held for sale related to Plainfield were measured at fair value (Level 1). The Company did not have any non-financial instruments measured at fair value on a non-recurring basis using Level 2 or Level 3 inputs at July 3, 2015. Changes in Estimates on Contracts Changes in estimates related to certain types of contracts accounted for using the percentage of completion method of accounting are recognized in the period in which such changes are made for the inception-to-date effect of the changes. Changes in these estimates can routinely occur over the contract performance period for a variety of reasons, including changes in contract scope, contract cost estimates and estimated incentive or award fees. Favorable contract performance resulted in a net increase to operating income of $5 million and an increase of $0.04 per diluted share for the quarter ended July 3, 2015, and an increase to operating income of $10 million and an increase of $0.08 per diluted share for the six months ended July 3, 2015. Favorable contract performance resulted in a net increase to operating income of $6 million and an increase of $0.06 per diluted share for the quarter ended August 1, 2014, and an increase to operating income of $18 million and an increase of $0.15 per diluted share for the six months ended August 1, 2014. Supplementary Cash Flow Information Supplementary cash flow information, including non-cash investing and financing activities, for the periods presented was as follows: Six Months Ended July 3, 2015 August 1, 2014 (in millions) Vested stock issued as settlement of annual bonus accruals $ 1 $ 1 Stock issued in lieu of cash dividends $ 1 $ 2 Accrued dividends declared $ 24 $ — Cash paid for interest (including discontinued operations) $ 33 $ 37 Cash paid for income taxes, net of refunds (including discontinued operations) $ 87 $ 12 Accounting Standards Updates Issued But Not Yet Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets unless those contracts are within the scope of other standards. This ASU will supersede all revenue recognition requirements in Topic 605, Revenue Recognition and industry-specific guidance throughout the Industry Topics of the codification. The guidance's core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In applying the revenue principles, an entity will identify the contract(s) with a customer, identify the performance obligations, determine the transaction price, allocate the transaction price to the performance obligations and recognize revenue when the performance obligation is satisfied (either over time or point in time). The amendments in this ASU are effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2016, for public companies. In July 2015, the FASB approved a one-year deferral of the effective date of the ASU to December 15, 2017, with an option to early adopt the standard on the original effective date. Early adoption prior to the original effective date is not permitted. The Company is still evaluating the provisions of ASU 2014-09 and its impact on the Company's condensed consolidated financial position, results of operations, or cash flows. Various other accounting standards updates were issued but are not effective for the Company until periods subsequent to July 3, 2015. These updates include guidance to present debt issuance cost as a reduction of the related debt liability as opposed to an asset; the Company is still evaluating the impact of this update. For the other updates issued, which include guidance to eliminate extraordinary items on the statements of income, guidance that changes the evaluation criteria for consolidation, and guidance regarding the timing surrounding the measurement of retirement benefits for entities; the Company does not expect these updates to have a material impact on its condensed consolidated financial position, results of operations, or cash flows.
Leidos, Inc.
Significant Accounting Policies [Line Items]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies: Nature of Operations and Basis of Presentation Leidos Holdings, Inc. ("Leidos") is a holding company whose direct 100% -owned subsidiary is Leidos, Inc., an applied technology company focused on delivering services and solutions that leverage expertise in the national security, health and engineering markets. Leidos, Inc. provides these services and solutions to government and commercial customers, both domestically and internationally. These customers include agencies of the U.S. Department of Defense ("DoD"), the intelligence community, the U.S. Department of Homeland Security ("DHS"), and other U.S. Government civil agencies, state and local government agencies and foreign governments. Unless indicated otherwise, references to the "Company," "we," "us" and "our" refer collectively to Leidos Holdings, Inc., Leidos, Inc., and its consolidated subsidiaries. The unaudited condensed consolidated financial statements of Leidos and Leidos, Inc. include the accounts of its majority-owned and 100% -owned subsidiaries. Leidos does not have separate operations, assets or liabilities independent of Leidos, Inc., except for a note with Leidos, Inc. (the “related party note”), on which interest is recognized. From time to time, Leidos issues stock to employees of Leidos, Inc. and its subsidiaries, which is reflected in stockholders' equity in Leidos’ condensed consolidated balance sheets and results in an increase to the related party note. All intercompany transactions and accounts have been eliminated in consolidation. The accompanying unaudited condensed financial information has been prepared in accordance with the rules of the U.S. Securities and Exchange Commission ("SEC") and accounting principles generally accepted in the United States of America ("GAAP"). Certain disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. Management evaluates these estimates and assumptions on an ongoing basis, including those relating to allowances for doubtful accounts, inventories, fair value and impairment of intangible assets and goodwill, income taxes, estimated profitability of long-term contracts, pension benefits, stock-based compensation expense, contingencies and litigation. Estimates have been prepared by management on the basis of the most current and best available information; however, actual results could differ materially from those estimates. Certain amounts in the prior year financial statements have been reclassified to conform to the current year presentation. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which consist of normal recurring adjustments, necessary for a fair presentation thereof. The results reported in these unaudited condensed consolidated financial statements are not necessarily indicative of the results that may be expected for the entire year. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and combined notes thereto included in the Company’s Annual Report on Form 10-K. Fiscal Year End Change On March 20, 2015, the Board of Directors of the Company approved the amendment and restatement of the bylaws of the Company to change both Leidos' and Leidos, Inc.'s year end from the Friday nearest the end of January to the Friday nearest the end of December. As a result of this change, the Company will file its Annual Report on Form 10-K, which will cover the 11 month period ending on January 1, 2016, as its transition report. This change does not impact the Company's prior year, which ended January 30, 2015. In order to allow an immediate transition to the new calendar and to maintain transparency and comparability of financial information included in the Company's quarterly Form 10-Q filings, the year-to-date information in this Form 10-Q is being presented on a six month basis for the current year which includes the last month of the year ended January 30, 2015. Therefore, the condensed consolidated statements of income and comprehensive income and the condensed consolidated statements of cash flows reflect the results for the six month period ended July 3, 2015. The Company's business is primarily driven by productive hours and time sold in relation to the services and solutions provided to its customers, as such the productive hours and time sold do not vary materially quarter over quarter. Therefore, the Company does not believe that the change in its year end has a material effect on the comparability of the periods presented. As such, the quarterly periods of the prior year have not been recast to correspond with the new quarterly periods. The following table shows the periods included in each quarter and year end: Period Current year Prior year First Quarter January 3, 2015 to April 3, 2015 February 1, 2014 to May 2, 2014 Second Quarter April 4, 2015 to July 3, 2015 May 3, 2014 to August 1, 2014 Third Quarter July 4, 2015 to October 2, 2015 August 2, 2014 to October 31, 2014 Year End January 31, 2015 to January 1, 2016 (transition period) February 1, 2014 to January 30, 2015 As a result of the overlap of the month of January 2015 between the fourth quarter of the prior year and the first quarter of the current year, $373 million of revenue and $23 million of operating loss from January 2015 is included in the condensed consolidated statements of income and comprehensive income for the six months ended July 3, 2015, which was also included in the Company's results for the year ended January 30, 2015 included in the Company's Form 10-K as filed on March 25, 2015. In addition, the condensed consolidated statement of cash flows includes previously reported January results which had $16 million of cash used due to $11 million of cash provided by operating activities, $47 million of cash used in financing activities and $20 million of cash provided by discontinued operations. Separation Transaction and Restructuring Expenses During the year ended January 31, 2014, Leidos completed the spin-off of its technical services and enterprise information technology services business. In anticipation of the spin-off, the Company initiated a program to align the Company’s cost structure for post-spin-off and incurred severance and lease termination costs. For the six months ended July 3, 2015, the Company incurred approximately $2 million of lease termination expenses in its Corporate and Other segment related to an adjustment to reserves established in prior years for loss on leases in connection with revised sublease income assumptions. The Company did not incur any lease termination expenses for the quarter ended July 3, 2015. For the six months ended August 1, 2014, the Company incurred approximately $1 million of lease termination expenses. The Company incurred no lease termination expenses for the quarter ended August 1, 2014. The separation transaction and restructuring expenses are recorded within "Selling, general and administrative expenses" in the Company's condensed consolidated statements of income. The restructuring liability for lease termination expenses as of July 3, 2015 decreased by $2 million to $9 million from January 30, 2015 due to cash payments. The Company does not expect to incur significant additional separation transaction and restructuring expenses in the current year related to the spin-off transaction. Fair Value Measurements The accounting standard for fair value measurements establishes a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value as follows: observable inputs such as quoted prices in active markets (Level 1); inputs other than the quoted prices in active markets that are observable either directly or indirectly (Level 2); and unobservable inputs in which there is little or no market data, which requires the Company to develop its own assumptions (Level 3). The fair value of financial instruments is determined based on quoted market prices, if available, or management’s best estimate. It is management’s belief that the carrying amounts of the Company’s financial instruments other than derivatives, which include cash equivalents and long-term investments, are reasonable estimates of their related fair values. The carrying value of accounts receivable, accounts payable, and accrued expenses approximate their fair values. The fair value of long-term debt (see Note 5) is determined based on current interest rates available for debt with terms and maturities similar to the Company’s existing debt arrangements (Level 2 inputs). The Company’s cash equivalents were primarily comprised of investments in several large institutional money market funds and bank deposits. There are no restrictions on the withdrawal of the Company’s cash and cash equivalents. The Company's cash equivalents are recorded at historical cost, which equals fair value based on quoted market prices (Level 1 input). Management evaluates its investments for other-than-temporary impairment at each balance sheet date. When testing long-term investments for recovery of carrying value, the fair value of long-term investments is determined using various valuation techniques and factors, such as market prices of comparable companies (Level 2 input), discounted cash flow models (Level 3 input) and recent capital transactions of the portfolio companies being valued (Level 3 input). If management determines that an other-than-temporary decline in the fair value of an investment has occurred, an impairment loss is recognized to reduce the investment to its estimated fair value. The Company's financial instruments measured at fair value on a recurring basis using Level 2 inputs consisted of the Company's interest rate swaps on its $450 million fixed rate 4.45% notes. At July 3, 2015, the Company did not have any financial assets or liabilities measured at fair value on a recurring basis using Level 3 inputs. The Company’s non-financial instruments measured at fair value on a non-recurring basis included goodwill, indefinite-lived intangible assets and long-lived tangible assets. The valuation methods used to determine fair value require a significant degree of management judgment to determine the key assumptions, as such the Company generally classifies non-financial instruments as either Level 2 or Level 3 fair value measurements. At July 3, 2015, the Company's net assets held for sale related to Plainfield were measured at fair value (Level 1). The Company did not have any non-financial instruments measured at fair value on a non-recurring basis using Level 2 or Level 3 inputs at July 3, 2015. Changes in Estimates on Contracts Changes in estimates related to certain types of contracts accounted for using the percentage of completion method of accounting are recognized in the period in which such changes are made for the inception-to-date effect of the changes. Changes in these estimates can routinely occur over the contract performance period for a variety of reasons, including changes in contract scope, contract cost estimates and estimated incentive or award fees. Favorable contract performance resulted in a net increase to operating income of $5 million and an increase of $0.04 per diluted share for the quarter ended July 3, 2015, and an increase to operating income of $10 million and an increase of $0.08 per diluted share for the six months ended July 3, 2015. Favorable contract performance resulted in a net increase to operating income of $6 million and an increase of $0.06 per diluted share for the quarter ended August 1, 2014, and an increase to operating income of $18 million and an increase of $0.15 per diluted share for the six months ended August 1, 2014. Supplementary Cash Flow Information Supplementary cash flow information, including non-cash investing and financing activities, for the periods presented was as follows: Six Months Ended July 3, 2015 August 1, 2014 (in millions) Vested stock issued as settlement of annual bonus accruals $ 1 $ 1 Stock issued in lieu of cash dividends $ 1 $ 2 Accrued dividends declared $ 24 $ — Cash paid for interest (including discontinued operations) $ 33 $ 37 Cash paid for income taxes, net of refunds (including discontinued operations) $ 87 $ 12 Accounting Standards Updates Issued But Not Yet Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets unless those contracts are within the scope of other standards. This ASU will supersede all revenue recognition requirements in Topic 605, Revenue Recognition and industry-specific guidance throughout the Industry Topics of the codification. The guidance's core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In applying the revenue principles, an entity will identify the contract(s) with a customer, identify the performance obligations, determine the transaction price, allocate the transaction price to the performance obligations and recognize revenue when the performance obligation is satisfied (either over time or point in time). The amendments in this ASU are effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2016, for public companies. In July 2015, the FASB approved a one-year deferral of the effective date of the ASU to December 15, 2017, with an option to early adopt the standard on the original effective date. Early adoption prior to the original effective date is not permitted. The Company is still evaluating the provisions of ASU 2014-09 and its impact on the Company's condensed consolidated financial position, results of operations, or cash flows. Various other accounting standards updates were issued but are not effective for the Company until periods subsequent to July 3, 2015. These updates include guidance to present debt issuance cost as a reduction of the related debt liability as opposed to an asset; the Company is still evaluating the impact of this update. For the other updates issued, which include guidance to eliminate extraordinary items on the statements of income, guidance that changes the evaluation criteria for consolidation, and guidance regarding the timing surrounding the measurement of retirement benefits for entities; the Company does not expect these updates to have a material impact on its condensed consolidated financial position, results of operations, or cash flows.

Dispositions

Dispositions	6 Months Ended
	Jul. 03, 2015
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Dispositions
Leidos, Inc.
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Dispositions

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
	Jul. 03, 2015
Goodwill [Line Items]
Goodwill and Intangible Assets	Goodwill and Intangible Assets: The Company's National Security Solutions ("NSS") and Health and Engineering ("HES") reportable segments contain goodwill. The balance and changes in the carrying amount of goodwill by segment were as follows: NSS HES Total (in millions) Goodwill at January 31, 2014 $ 788 $ 905 $ 1,693 Goodwill impairment charges — (486 ) (486 ) Goodwill at January 30, 2015 $ 788 $ 419 $ 1,207 Adjustments — — — Goodwill at July 3, 2015 $ 788 $ 419 $ 1,207 Goodwill is tested for impairment at the reporting unit level annually, at the beginning of the fourth quarter, and during interim periods whenever events or circumstances indicate that the carrying value may not be recoverable. There were no goodwill impairments during the six months ended July 3, 2015. During the second quarter ended August 1, 2014, as part of its normal quarterly procedures, the Company considered both qualitative and quantitative factors associated with each of the Company's reporting units and determined that there were indicators that the carrying values of the Health Solutions and Engineering reporting units may not be fully recoverable due to operating performance shortfalls and forecasted declines of revenues and operating income. Based on the unexpected impacts, the Company conducted an interim goodwill impairment test using the two-step quantitative approach. The Company utilized both the market and income approach as part of the first step of the two-step quantitative goodwill impairment test to determine the estimated fair value of both the Health Solutions and Engineering reporting units (Level 3 fair value measurement). Based on the first step of the two-step quantitative goodwill impairment test, the Company determined that the fair values of the Health Solutions and Engineering reporting units were below their carrying values. Due to the fact that indicators of impairments existed, the second step of the two-step quantitative goodwill impairment test was performed to determine the implied fair value of goodwill and the impairment amount of the respective reporting units. As a result of the second step evaluation, the Company recorded goodwill impairment charges in the Health Solutions and Engineering reporting units of $369 million and $117 million , respectively, for the quarter ended August 1, 2014, which represents the difference between the carrying value and the implied fair value. There were no other goodwill impairment charges recorded for the remaining reporting units. No goodwill impairments were identified as part of the Company's annual goodwill impairment evaluation performed in the prior year. Intangible assets consisted of the following: July 3, 2015 January 30, 2015 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value (in millions) Finite-lived intangible assets: Customer relationships $ 70 $ (60 ) $ 10 $ 70 $ (57 ) $ 13 Software and technology 61 (43 ) 18 52 (41 ) 11 Total finite-lived intangible assets 131 (103 ) 28 122 (98 ) 24 Indefinite-lived intangible assets: In-process research and development — — — 9 — 9 Trade names 4 — 4 4 — 4 Total indefinite-lived intangible assets 4 — 4 13 — 13 Total intangible assets $ 135 $ (103 ) $ 32 $ 135 $ (98 ) $ 37 The gross carrying value of finite-lived intangible assets increased from January 30, 2015 due to the addition of an in-process research and development intangible asset that reached technological feasibility and began amortizing as a software and technology intangible asset over its useful life of nine years. Amortization expense related to amortizable intangible assets was $3 million and $5 million for the quarter and six months ended July 3, 2015, respectively, and $5 million and $10 million for the quarter and six months ended August 1, 2014, respectively. For the quarter ended August 1, 2014, the Company determined that certain customer relationship intangible assets associated with Vitalize and maxIT were not recoverable due to lower projected revenue and operating income levels from the associated customers. As a result, the Health and Engineering reportable segment recognized an impairment charge of $24 million for the quarter and six months ended August 1, 2014 to reduce the carrying value of these intangible assets to their estimated fair values. Fair value was estimated using the income approach based on management's forecast of future cash flows to be derived from the assets' use (Level 3 under the accounting standard for fair value measurement). The estimated annual amortization expense related to finite-lived intangible assets as of July 3, 2015 was as follows: Year Ending (in millions) January 1, 2016 (remainder of year) $ 4 Fiscal 2016 8 Fiscal 2017 6 Fiscal 2018 4 Fiscal 2019 2 Fiscal 2020 and thereafter 4 $ 28
Leidos, Inc.
Goodwill [Line Items]
Goodwill and Intangible Assets	Goodwill and Intangible Assets: The Company's National Security Solutions ("NSS") and Health and Engineering ("HES") reportable segments contain goodwill. The balance and changes in the carrying amount of goodwill by segment were as follows: NSS HES Total (in millions) Goodwill at January 31, 2014 $ 788 $ 905 $ 1,693 Goodwill impairment charges — (486 ) (486 ) Goodwill at January 30, 2015 $ 788 $ 419 $ 1,207 Adjustments — — — Goodwill at July 3, 2015 $ 788 $ 419 $ 1,207 Goodwill is tested for impairment at the reporting unit level annually, at the beginning of the fourth quarter, and during interim periods whenever events or circumstances indicate that the carrying value may not be recoverable. There were no goodwill impairments during the six months ended July 3, 2015. During the second quarter ended August 1, 2014, as part of its normal quarterly procedures, the Company considered both qualitative and quantitative factors associated with each of the Company's reporting units and determined that there were indicators that the carrying values of the Health Solutions and Engineering reporting units may not be fully recoverable due to operating performance shortfalls and forecasted declines of revenues and operating income. Based on the unexpected impacts, the Company conducted an interim goodwill impairment test using the two-step quantitative approach. The Company utilized both the market and income approach as part of the first step of the two-step quantitative goodwill impairment test to determine the estimated fair value of both the Health Solutions and Engineering reporting units (Level 3 fair value measurement). Based on the first step of the two-step quantitative goodwill impairment test, the Company determined that the fair values of the Health Solutions and Engineering reporting units were below their carrying values. Due to the fact that indicators of impairments existed, the second step of the two-step quantitative goodwill impairment test was performed to determine the implied fair value of goodwill and the impairment amount of the respective reporting units. As a result of the second step evaluation, the Company recorded goodwill impairment charges in the Health Solutions and Engineering reporting units of $369 million and $117 million , respectively, for the quarter ended August 1, 2014, which represents the difference between the carrying value and the implied fair value. There were no other goodwill impairment charges recorded for the remaining reporting units. No goodwill impairments were identified as part of the Company's annual goodwill impairment evaluation performed in the prior year. Intangible assets consisted of the following: July 3, 2015 January 30, 2015 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value (in millions) Finite-lived intangible assets: Customer relationships $ 70 $ (60 ) $ 10 $ 70 $ (57 ) $ 13 Software and technology 61 (43 ) 18 52 (41 ) 11 Total finite-lived intangible assets 131 (103 ) 28 122 (98 ) 24 Indefinite-lived intangible assets: In-process research and development — — — 9 — 9 Trade names 4 — 4 4 — 4 Total indefinite-lived intangible assets 4 — 4 13 — 13 Total intangible assets $ 135 $ (103 ) $ 32 $ 135 $ (98 ) $ 37 The gross carrying value of finite-lived intangible assets increased from January 30, 2015 due to the addition of an in-process research and development intangible asset that reached technological feasibility and began amortizing as a software and technology intangible asset over its useful life of nine years. Amortization expense related to amortizable intangible assets was $3 million and $5 million for the quarter and six months ended July 3, 2015, respectively, and $5 million and $10 million for the quarter and six months ended August 1, 2014, respectively. For the quarter ended August 1, 2014, the Company determined that certain customer relationship intangible assets associated with Vitalize and maxIT were not recoverable due to lower projected revenue and operating income levels from the associated customers. As a result, the Health and Engineering reportable segment recognized an impairment charge of $24 million for the quarter and six months ended August 1, 2014 to reduce the carrying value of these intangible assets to their estimated fair values. Fair value was estimated using the income approach based on management's forecast of future cash flows to be derived from the assets' use (Level 3 under the accounting standard for fair value measurement). The estimated annual amortization expense related to finite-lived intangible assets as of July 3, 2015 was as follows: Year Ending (in millions) January 1, 2016 (remainder of year) $ 4 Fiscal 2016 8 Fiscal 2017 6 Fiscal 2018 4 Fiscal 2019 2 Fiscal 2020 and thereafter 4 $ 28

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	6 Months Ended
	Jul. 03, 2015
Derivative [Line Items]
Derivative Instruments and Hedging Activities	Derivative Instruments and Hedging Activities: The Company uses a risk management policy to assess and manage cash flow and fair value exposure. The policy permits the use of derivative instruments with certain restrictions. The Company uses interest rate swaps to hedge its fixed rate debt against changes in fair value due to variability in interest rates. The Company does not hold derivative instruments for trading or speculative purposes. In September 2014, the Company entered into interest rate swap agreements to hedge the fair value with respect to all of the $450 million aggregate principal outstanding on the Company's fixed rate 4.45% notes maturing in December 2020 (the “Notes”). The objective of these instruments is to hedge the Notes against changes in fair value due to the variability in the six-month LIBOR rate (the benchmark interest rate), which effectively converted the debt into floating interest rate debt. Under the terms of the interest rate swap agreements, the Company will receive semi-annual interest payments at the coupon rate of 4.45% and will pay variable interest based on the six-month LIBOR rate. The counterparties to these agreements are financial institutions. The interest rate swaps were accounted for as a fair value hedge of the Notes and qualified for the shortcut method of hedge accounting which allows for the assumption of no ineffectiveness reported in earnings. The resulting changes in the fair value of the interest rate swaps are fully offset by the changes in the fair value of the underlying debt (the hedged item). The fair value of the interest rate swaps are determined based on observed values for underlying interest rates on the LIBOR yield curve (Level 2). The fair value of the Notes is stated at an amount that reflects changes in the benchmark interest rate subsequent to the inception of the interest rate swaps through the reporting date. The cash flows associated with the interest rate swaps are classified as operating activities in the condensed consolidated statement of cash flows. The fair value of the interest rate swaps and their impact on the related fair value of the debt in the condensed consolidated balance sheet is as follows: Interest rate swaps Hedged items Balance sheet line item July 3, January 30, Balance sheet line item July 3, January 30, (in millions) Other assets $ 5 $ 17 Notes payable and long-term debt, net of current portion $ 5 $ 17
Leidos, Inc.
Derivative [Line Items]
Derivative Instruments and Hedging Activities	Derivative Instruments and Hedging Activities: The Company uses a risk management policy to assess and manage cash flow and fair value exposure. The policy permits the use of derivative instruments with certain restrictions. The Company uses interest rate swaps to hedge its fixed rate debt against changes in fair value due to variability in interest rates. The Company does not hold derivative instruments for trading or speculative purposes. In September 2014, the Company entered into interest rate swap agreements to hedge the fair value with respect to all of the $450 million aggregate principal outstanding on the Company's fixed rate 4.45% notes maturing in December 2020 (the “Notes”). The objective of these instruments is to hedge the Notes against changes in fair value due to the variability in the six-month LIBOR rate (the benchmark interest rate), which effectively converted the debt into floating interest rate debt. Under the terms of the interest rate swap agreements, the Company will receive semi-annual interest payments at the coupon rate of 4.45% and will pay variable interest based on the six-month LIBOR rate. The counterparties to these agreements are financial institutions. The interest rate swaps were accounted for as a fair value hedge of the Notes and qualified for the shortcut method of hedge accounting which allows for the assumption of no ineffectiveness reported in earnings. The resulting changes in the fair value of the interest rate swaps are fully offset by the changes in the fair value of the underlying debt (the hedged item). The fair value of the interest rate swaps are determined based on observed values for underlying interest rates on the LIBOR yield curve (Level 2). The fair value of the Notes is stated at an amount that reflects changes in the benchmark interest rate subsequent to the inception of the interest rate swaps through the reporting date. The cash flows associated with the interest rate swaps are classified as operating activities in the condensed consolidated statement of cash flows. The fair value of the interest rate swaps and their impact on the related fair value of the debt in the condensed consolidated balance sheet is as follows: Interest rate swaps Hedged items Balance sheet line item July 3, January 30, Balance sheet line item July 3, January 30, (in millions) Other assets $ 5 $ 17 Notes payable and long-term debt, net of current portion $ 5 $ 17

Debt

Debt	6 Months Ended
	Jul. 03, 2015
Debt Instrument [Line Items]
Debt	Debt: Revolving Credit Facility Leidos has a revolving credit facility, which is fully and unconditionally guaranteed by Leidos, Inc. which had provided for $750 million in unsecured borrowing capacity at interest rates determined, at Leidos’ option, based on either LIBOR plus a margin or a defined base rate. During the third quarter ended October 31, 2014, the Company amended the credit facility to, among other things, change the ratio of consolidated funded debt to EBITDA that the Company is required to maintain. In connection with the amendment to the credit facility, the Company exercised its right under the credit agreement to voluntarily reduce the combined commitments of the lenders from $750 million to $500 million . The maturity date of the credit facility is March 2017 . As of July 3, 2015 and January 30, 2015, there were no borrowings outstanding under the credit facility. The credit facility contains certain customary representations and warranties, as well as certain affirmative and negative covenants. The financial covenants contained in the amended credit facility require that, for a period of four trailing fiscal quarters, the Company maintains a ratio of consolidated funded debt, including borrowings under this credit facility, to EBITDA (adjusted for certain items as defined in the credit facility) of not more than 4.0 to 1.0 until no later than January 29, 2016 and 3.75 to 1.0 thereafter, and a ratio of EBITDA (adjusted for certain items as defined in the credit facility) to interest expense of greater than 3.5 to 1.0 . The Company was in compliance with these financial covenants as of July 3, 2015. A failure by the Company to meet these financial covenants in the future could eliminate the Company’s borrowing capacity under the credit facility. The available borrowing capacity on the credit facility may vary each quarter based on the trailing four quarters of EBITDA. If the Company's trailing four quarters of EBITDA declines below a certain threshold in relation to outstanding debt, the borrowing capacity available under the credit facility is reduced. The available borrowing capacity based on the results of the Company's trailing four quarters of EBITDA as of July 3, 2015 is $500 million . Other covenants in the credit facility restrict certain of the Company’s activities, including, among other things, its ability to create liens, dispose of certain assets and merge or consolidate with other entities. The credit facility also contains certain customary events of default, including, among others, defaults based on certain bankruptcy and insolvency events, nonpayment, cross-defaults to other debt, breach of specified covenants, Employee Retirement Income Security Act ("ERISA") events, material monetary judgments, change of control events, and the material inaccuracy of the Company’s representations and warranties. In addition, the Company's ability to declare and pay future dividends on Leidos stock may be restricted by the provisions of Delaware law and covenants in the revolving credit facility. Notes Payable and Long-Term Debt The Company’s notes payable and long-term debt consisted of the following: Stated interest rate Effective interest rate July 3, January 30, 2015 (dollars in millions) Leidos Holdings, Inc. senior unsecured notes: $450 million notes, which mature in December 2020 (1) 4.45 % 4.53 % $ 454 $ 466 $300 million notes, which mature in December 2040 5.95 % 6.03 % 221 232 Leidos, Inc. senior unsecured notes: $250 million notes, which mature in July 2032 7.13 % 7.43 % 248 248 $300 million notes, which mature in July 2033 5.50 % 5.86 % 170 182 Capital leases and other notes payable due on various dates through fiscal 2020 0%-3.7% Various 36 38 Total notes payable and long-term debt $ 1,129 $ 1,166 Less current portion 2 2 Total notes payable and long-term debt, net of current portion $ 1,127 $ 1,164 Fair value of notes payable and long-term debt $ 1,114 $ 1,152 (1) As a result of executing the interest rate swap agreements, the carrying values of $454 million and $466 million include fair value adjustments of $5 million and $17 million , respectively, attributable to changes in the benchmark interest rate, the six-month LIBOR rate, from the inception of the interest rate swap agreements to July 3, 2015 and January 30, 2015, respectively. During the quarter and six months ended July 3, 2015, the Company repurchased in the open market and retired principal amounts of $7 million and $22 million , respectively, on its $300 million 5.95% notes issued by Leidos Holdings, Inc. maturing in December 2040, and $11 million and $25 million , respectively, on its $300 million 5.50% notes issued by Leidos, Inc. maturing in July 2033. For the quarter and six months ended July 3, 2015, the Company recorded an immaterial gain and $1 million gain, respectively, for the Leidos, Inc. notes and an immaterial gain on extinguishment of debt for the Leidos Holdings, Inc. notes as part of the partial repayment of the respective notes. The net combined gain represents the difference between the repurchase price of $17 million and $45 million , for the quarter and six months ended July 3, 2015, respectively, and the net carrying amount of the notes repurchased less the write-off of a portion of the unamortized debt discount and deferred financing costs on a pro-rata basis to the reduction of debt. The repurchases for the six months ended July 3, 2015 included $11 million and $13 million in principal repurchased in January 2015 on the Company's $300 million 5.95% notes and $300 million 5.50% notes, respectively, at a repurchase price of $23 million . The Company recorded the gain on extinguishment of debt in "Other income (expense), net" in the Company’s condensed consolidated statements of income. Interest is payable on the Company’s senior unsecured notes on a semi-annual basis with principal payments due on maturity. The senior unsecured notes contain customary restrictive covenants, including, among other things, restrictions on the Company’s ability to create liens and enter into sale and leaseback transactions under certain circumstances. The Company was in compliance with all covenants as of July 3, 2015.
Leidos, Inc.
Debt Instrument [Line Items]
Debt	Debt: Revolving Credit Facility Leidos has a revolving credit facility, which is fully and unconditionally guaranteed by Leidos, Inc. which had provided for $750 million in unsecured borrowing capacity at interest rates determined, at Leidos’ option, based on either LIBOR plus a margin or a defined base rate. During the third quarter ended October 31, 2014, the Company amended the credit facility to, among other things, change the ratio of consolidated funded debt to EBITDA that the Company is required to maintain. In connection with the amendment to the credit facility, the Company exercised its right under the credit agreement to voluntarily reduce the combined commitments of the lenders from $750 million to $500 million . The maturity date of the credit facility is March 2017 . As of July 3, 2015 and January 30, 2015, there were no borrowings outstanding under the credit facility. The credit facility contains certain customary representations and warranties, as well as certain affirmative and negative covenants. The financial covenants contained in the amended credit facility require that, for a period of four trailing fiscal quarters, the Company maintains a ratio of consolidated funded debt, including borrowings under this credit facility, to EBITDA (adjusted for certain items as defined in the credit facility) of not more than 4.0 to 1.0 until no later than January 29, 2016 and 3.75 to 1.0 thereafter, and a ratio of EBITDA (adjusted for certain items as defined in the credit facility) to interest expense of greater than 3.5 to 1.0 . The Company was in compliance with these financial covenants as of July 3, 2015. A failure by the Company to meet these financial covenants in the future could eliminate the Company’s borrowing capacity under the credit facility. The available borrowing capacity on the credit facility may vary each quarter based on the trailing four quarters of EBITDA. If the Company's trailing four quarters of EBITDA declines below a certain threshold in relation to outstanding debt, the borrowing capacity available under the credit facility is reduced. The available borrowing capacity based on the results of the Company's trailing four quarters of EBITDA as of July 3, 2015 is $500 million . Other covenants in the credit facility restrict certain of the Company’s activities, including, among other things, its ability to create liens, dispose of certain assets and merge or consolidate with other entities. The credit facility also contains certain customary events of default, including, among others, defaults based on certain bankruptcy and insolvency events, nonpayment, cross-defaults to other debt, breach of specified covenants, Employee Retirement Income Security Act ("ERISA") events, material monetary judgments, change of control events, and the material inaccuracy of the Company’s representations and warranties. In addition, the Company's ability to declare and pay future dividends on Leidos stock may be restricted by the provisions of Delaware law and covenants in the revolving credit facility. Notes Payable and Long-Term Debt The Company’s notes payable and long-term debt consisted of the following: Stated interest rate Effective interest rate July 3, January 30, 2015 (dollars in millions) Leidos Holdings, Inc. senior unsecured notes: $450 million notes, which mature in December 2020 (1) 4.45 % 4.53 % $ 454 $ 466 $300 million notes, which mature in December 2040 5.95 % 6.03 % 221 232 Leidos, Inc. senior unsecured notes: $250 million notes, which mature in July 2032 7.13 % 7.43 % 248 248 $300 million notes, which mature in July 2033 5.50 % 5.86 % 170 182 Capital leases and other notes payable due on various dates through fiscal 2020 0%-3.7% Various 36 38 Total notes payable and long-term debt $ 1,129 $ 1,166 Less current portion 2 2 Total notes payable and long-term debt, net of current portion $ 1,127 $ 1,164 Fair value of notes payable and long-term debt $ 1,114 $ 1,152 (1) As a result of executing the interest rate swap agreements, the carrying values of $454 million and $466 million include fair value adjustments of $5 million and $17 million , respectively, attributable to changes in the benchmark interest rate, the six-month LIBOR rate, from the inception of the interest rate swap agreements to July 3, 2015 and January 30, 2015, respectively. During the quarter and six months ended July 3, 2015, the Company repurchased in the open market and retired principal amounts of $7 million and $22 million , respectively, on its $300 million 5.95% notes issued by Leidos Holdings, Inc. maturing in December 2040, and $11 million and $25 million , respectively, on its $300 million 5.50% notes issued by Leidos, Inc. maturing in July 2033. For the quarter and six months ended July 3, 2015, the Company recorded an immaterial gain and $1 million gain, respectively, for the Leidos, Inc. notes and an immaterial gain on extinguishment of debt for the Leidos Holdings, Inc. notes as part of the partial repayment of the respective notes. The net combined gain represents the difference between the repurchase price of $17 million and $45 million , for the quarter and six months ended July 3, 2015, respectively, and the net carrying amount of the notes repurchased less the write-off of a portion of the unamortized debt discount and deferred financing costs on a pro-rata basis to the reduction of debt. The repurchases for the six months ended July 3, 2015 included $11 million and $13 million in principal repurchased in January 2015 on the Company's $300 million 5.95% notes and $300 million 5.50% notes, respectively, at a repurchase price of $23 million . The Company recorded the gain on extinguishment of debt in "Other income (expense), net" in the Company’s condensed consolidated statements of income. Interest is payable on the Company’s senior unsecured notes on a semi-annual basis with principal payments due on maturity. The senior unsecured notes contain customary restrictive covenants, including, among other things, restrictions on the Company’s ability to create liens and enter into sale and leaseback transactions under certain circumstances. The Company was in compliance with all covenants as of July 3, 2015.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jul. 03, 2015
Related Party Transaction [Line Items]
Related Party Transactions	Related Party Transactions: Leidos, Inc. has fully and unconditionally guaranteed the obligations of Leidos under its $450 million 4.45% notes and $300 million 5.95% notes. These notes have been reflected as debt of Leidos, Inc. in these condensed consolidated financial statements. Leidos, Inc. has fully and unconditionally guaranteed any borrowings under Leidos’ amended and restated revolving credit facility maturing in 2017 . Leidos has fully and unconditionally guaranteed the obligations of Leidos, Inc. under its $300 million 5.50% notes and $250 million 7.13% notes. Leidos and Leidos, Inc. have a related party note in connection with a loan of cash between the entities, which is adjusted to reflect issuances of stock by Leidos to employees of Leidos, Inc. and its subsidiaries and Leidos, Inc.’s payment of certain obligations on behalf of Leidos. The related party note bears interest based on LIBOR plus a market-based premium. Portions of the related party note may be repaid at any time. The note automatically extends for successive one-year periods unless either Leidos or Leidos, Inc. provides prior notice to the other party. The note receivable also includes the distribution of the assets and liabilities of New SAIC that occurred at the time of the separation in September 2013. As of July 3, 2015, the note receivable from Leidos Holdings, Inc. to Leidos, Inc. was $1.6 billion .
Leidos, Inc.
Related Party Transaction [Line Items]
Related Party Transactions	Related Party Transactions: Leidos, Inc. has fully and unconditionally guaranteed the obligations of Leidos under its $450 million 4.45% notes and $300 million 5.95% notes. These notes have been reflected as debt of Leidos, Inc. in these condensed consolidated financial statements. Leidos, Inc. has fully and unconditionally guaranteed any borrowings under Leidos’ amended and restated revolving credit facility maturing in 2017 . Leidos has fully and unconditionally guaranteed the obligations of Leidos, Inc. under its $300 million 5.50% notes and $250 million 7.13% notes. Leidos and Leidos, Inc. have a related party note in connection with a loan of cash between the entities, which is adjusted to reflect issuances of stock by Leidos to employees of Leidos, Inc. and its subsidiaries and Leidos, Inc.’s payment of certain obligations on behalf of Leidos. The related party note bears interest based on LIBOR plus a market-based premium. Portions of the related party note may be repaid at any time. The note automatically extends for successive one-year periods unless either Leidos or Leidos, Inc. provides prior notice to the other party. The note receivable also includes the distribution of the assets and liabilities of New SAIC that occurred at the time of the separation in September 2013. As of July 3, 2015, the note receivable from Leidos Holdings, Inc. to Leidos, Inc. was $1.6 billion .

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	6 Months Ended
	Jul. 03, 2015
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss: The components of accumulated other comprehensive loss were as follows: July 3, January 30, (in millions) Foreign currency translation adjustments, net of taxes of $0 million as of July 3, 2015 and January 30, 2015, respectively $ — $ 1 Unrecognized net loss on settled derivative instruments associated with outstanding debt, net of taxes of $3 million as of July 3, 2015 and January 30, 2015, respectively (4 ) (5 ) Unrecognized net loss on defined benefit plan, net of taxes of $5 million as of July 3, 2015 and January 30, 2015, respectively (7 ) (7 ) Total accumulated other comprehensive loss, net of taxes of $8 million as of July 3, 2015 and January 30, 2015, respectively $ (11 ) $ (11 ) Reclassifications from other comprehensive income to net income relating to unrecognized net gain (loss) on settled derivative instruments associated with outstanding debt for the quarter and six months ended July 3, 2015 were not material. There were no reclassifications from other comprehensive income to net income relating to foreign currency translation adjustments or unrecognized net gain (loss) on defined benefit plan during the quarter and six months ending July 3, 2015. Reclassifications for unrecognized gain (loss) on settled derivative instruments associated with outstanding debt are recorded in "Other income (expense), net".
Leidos, Inc.
Accumulated Other Comprehensive Income (Loss) [Line Items]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss: The components of accumulated other comprehensive loss were as follows: July 3, January 30, (in millions) Foreign currency translation adjustments, net of taxes of $0 million as of July 3, 2015 and January 30, 2015, respectively $ — $ 1 Unrecognized net loss on settled derivative instruments associated with outstanding debt, net of taxes of $3 million as of July 3, 2015 and January 30, 2015, respectively (4 ) (5 ) Unrecognized net loss on defined benefit plan, net of taxes of $5 million as of July 3, 2015 and January 30, 2015, respectively (7 ) (7 ) Total accumulated other comprehensive loss, net of taxes of $8 million as of July 3, 2015 and January 30, 2015, respectively $ (11 ) $ (11 ) Reclassifications from other comprehensive income to net income relating to unrecognized net gain (loss) on settled derivative instruments associated with outstanding debt for the quarter and six months ended July 3, 2015 were not material. There were no reclassifications from other comprehensive income to net income relating to foreign currency translation adjustments or unrecognized net gain (loss) on defined benefit plan during the quarter and six months ending July 3, 2015. Reclassifications for unrecognized gain (loss) on settled derivative instruments associated with outstanding debt are recorded in "Other income (expense), net".

Earnings (Loss) Per Share (EPS)

Earnings (Loss) Per Share (EPS)	6 Months Ended
	Jul. 03, 2015
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Earnings (Loss) Per Share (EPS)	Earnings Per Share (EPS): Basic EPS is computed by dividing income less earnings allocable to participating securities by the basic weighted average number of shares outstanding. Diluted EPS is computed similar to basic EPS, except the weighted average number of shares outstanding is increased to include the dilutive effect of outstanding stock options and other stock-based awards. The Company is required to allocate a portion of its earnings to its unvested stock awards containing nonforfeitable rights to dividends or dividend equivalents (participating securities) in calculating EPS using the two-class method. The following table provides a reconciliation of the weighted average number of shares outstanding used to compute basic and diluted EPS for the periods presented: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Basic weighted average number of shares outstanding 73 74 73 75 Dilutive common share equivalents—stock options and other stock awards 1 — 2 — Diluted weighted average number of shares outstanding 74 74 75 75 Anti-dilutive stock-based awards are excluded from the weighted average number of shares outstanding used to compute basic and diluted EPS. For the quarter and six months ended July 3, 2015, there were 2 million and 1 million of outstanding stock options and vesting stock awards, respectively, that were antidilutive. For the quarter and six months ended August 1, 2014, there were 4 million and 3 million of outstanding stock options and vesting stock awards, respectively, that were antidilutive. In May 2015, the Company entered into an Accelerated Share Repurchase ("ASR") agreement with a financial institution to repurchase shares of the Company's outstanding common stock for an aggregate purchase price of $100 million . During the second quarter ended July 3, 2015, the Company paid $100 million to the financial institution and received a total delivery of 2.4 million shares of its outstanding shares of common stock. All shares delivered were immediately retired. The final value of the total shares delivered of $100 million was allocated to additional paid in capital for the second quarter ended July 3, 2015. The total amount of shares delivered by the financial institution were adjusted by the volume weighted average price of the Company's stock over the valuation period specified in the ASR. In the year ended January 30, 2015, the Company entered into an Accelerated Share Repurchase ("ASR") agreement with a financial institution to repurchase shares of the Company's outstanding common stock for an aggregate purchase price of $200 million , resulting in a delivery of 4.5 million shares, completed during the first quarter ended May 2, 2014. The final delivery of approximately 0.8 million shares was completed during the second quarter ended August 1, 2014. In the year ended January 31, 2014, the Company entered into an ASR agreement with a financial institution to repurchase shares of the Company's outstanding common stock for an aggregate purchase price of $300 million , resulting in an initial delivery of 5.6 million shares of the Company's outstanding shares of common stock. The final delivery of approximately 1.0 million shares was completed during the first quarter ended May 2, 2014. The delivery of Leidos common stock for the ASR purchases reduced the Company's outstanding shares used to determine the weighted average shares outstanding for purposes of calculating basic and diluted EPS for the periods presented.
Leidos, Inc.
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Earnings (Loss) Per Share (EPS)	Earnings Per Share (EPS): Basic EPS is computed by dividing income less earnings allocable to participating securities by the basic weighted average number of shares outstanding. Diluted EPS is computed similar to basic EPS, except the weighted average number of shares outstanding is increased to include the dilutive effect of outstanding stock options and other stock-based awards. The Company is required to allocate a portion of its earnings to its unvested stock awards containing nonforfeitable rights to dividends or dividend equivalents (participating securities) in calculating EPS using the two-class method. The following table provides a reconciliation of the weighted average number of shares outstanding used to compute basic and diluted EPS for the periods presented: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Basic weighted average number of shares outstanding 73 74 73 75 Dilutive common share equivalents—stock options and other stock awards 1 — 2 — Diluted weighted average number of shares outstanding 74 74 75 75 Anti-dilutive stock-based awards are excluded from the weighted average number of shares outstanding used to compute basic and diluted EPS. For the quarter and six months ended July 3, 2015, there were 2 million and 1 million of outstanding stock options and vesting stock awards, respectively, that were antidilutive. For the quarter and six months ended August 1, 2014, there were 4 million and 3 million of outstanding stock options and vesting stock awards, respectively, that were antidilutive. In May 2015, the Company entered into an Accelerated Share Repurchase ("ASR") agreement with a financial institution to repurchase shares of the Company's outstanding common stock for an aggregate purchase price of $100 million . During the second quarter ended July 3, 2015, the Company paid $100 million to the financial institution and received a total delivery of 2.4 million shares of its outstanding shares of common stock. All shares delivered were immediately retired. The final value of the total shares delivered of $100 million was allocated to additional paid in capital for the second quarter ended July 3, 2015. The total amount of shares delivered by the financial institution were adjusted by the volume weighted average price of the Company's stock over the valuation period specified in the ASR. In the year ended January 30, 2015, the Company entered into an Accelerated Share Repurchase ("ASR") agreement with a financial institution to repurchase shares of the Company's outstanding common stock for an aggregate purchase price of $200 million , resulting in a delivery of 4.5 million shares, completed during the first quarter ended May 2, 2014. The final delivery of approximately 0.8 million shares was completed during the second quarter ended August 1, 2014. In the year ended January 31, 2014, the Company entered into an ASR agreement with a financial institution to repurchase shares of the Company's outstanding common stock for an aggregate purchase price of $300 million , resulting in an initial delivery of 5.6 million shares of the Company's outstanding shares of common stock. The final delivery of approximately 1.0 million shares was completed during the first quarter ended May 2, 2014. The delivery of Leidos common stock for the ASR purchases reduced the Company's outstanding shares used to determine the weighted average shares outstanding for purposes of calculating basic and diluted EPS for the periods presented.

Business Segment Information

Business Segment Information	6 Months Ended
	Jul. 03, 2015
Segment Reporting Information [Line Items]
Business Segment Information	Business Segment Information: The Company defines its reportable segments based on the way the chief operating decision maker ("CODM"), currently its chief executive officer, manages the operations of the Company for purposes of allocating resources and assessing performance. The Company has the following reportable segments: National Security Solutions, Health and Engineering, and Corporate and Other. The segment information for the periods presented was as follows: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Revenues: National Security Solutions $ 879 $ 925 $ 1,741 $ 1,869 Health and Engineering 379 381 764 753 Corporate and Other (1 ) — (2 ) (4 ) Total revenues $ 1,257 $ 1,306 $ 2,503 $ 2,618 Operating income (loss): National Security Solutions $ 74 $ 78 $ 136 $ 155 Health and Engineering (7 ) (482 ) (14 ) (459 ) Corporate and Other (3 ) (6 ) (20 ) (19 ) Total operating income (loss) $ 64 $ (410 ) $ 102 $ (323 ) Asset information by segment is not a key measure of performance used by the CODM. Interest income, interest expense, and provision for income taxes, as reported in the condensed consolidated financial statements, are not part of operating income and are primarily recorded at the corporate level. Under U.S. Government Cost Accounting Standards, indirect costs including depreciation expense are collected in numerous indirect cost pools which are then collectively allocated out to the Company’s reportable segments based on a representative causal or beneficial relationship of the costs in the pool to the costs in the base.
Leidos, Inc.
Segment Reporting Information [Line Items]
Business Segment Information	Business Segment Information: The Company defines its reportable segments based on the way the chief operating decision maker ("CODM"), currently its chief executive officer, manages the operations of the Company for purposes of allocating resources and assessing performance. The Company has the following reportable segments: National Security Solutions, Health and Engineering, and Corporate and Other. The segment information for the periods presented was as follows: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Revenues: National Security Solutions $ 879 $ 925 $ 1,741 $ 1,869 Health and Engineering 379 381 764 753 Corporate and Other (1 ) — (2 ) (4 ) Total revenues $ 1,257 $ 1,306 $ 2,503 $ 2,618 Operating income (loss): National Security Solutions $ 74 $ 78 $ 136 $ 155 Health and Engineering (7 ) (482 ) (14 ) (459 ) Corporate and Other (3 ) (6 ) (20 ) (19 ) Total operating income (loss) $ 64 $ (410 ) $ 102 $ (323 ) Asset information by segment is not a key measure of performance used by the CODM. Interest income, interest expense, and provision for income taxes, as reported in the condensed consolidated financial statements, are not part of operating income and are primarily recorded at the corporate level. Under U.S. Government Cost Accounting Standards, indirect costs including depreciation expense are collected in numerous indirect cost pools which are then collectively allocated out to the Company’s reportable segments based on a representative causal or beneficial relationship of the costs in the pool to the costs in the base.

Legal Proceedings

Legal Proceedings	6 Months Ended
	Jul. 03, 2015
Loss Contingencies [Line Items]
Legal Proceedings	Legal Proceedings: Timekeeping Contract with City of New York In March 2012, the Company reached a settlement with the U.S. Attorney’s Office for the Southern District of New York and the City of New York ("City") relating to investigations being conducted by the U.S. Attorney’s Office and the City with respect to the Company’s contract to develop and implement an automated time and attendance and workforce management system ("CityTime") for certain agencies of the City. As part of this settlement, the Company entered into a deferred prosecution agreement ("DPA") with the U.S. Attorney’s Office, under which the Company paid approximately $500 million and the U.S. Attorney’s Office deferred prosecution of a single criminal count against the Company, which alleged that the Company, through the conduct of certain managerial employees and others, caused the City to significantly overpay for the CityTime system. Leidos fully satisfied the requirements of the DPA during its three year term and the DPA expired on March 14, 2015. As a result, the U.S. Attorney's Office filed an application with the Court to dispose of the charge that was filed against Leidos as part of the DPA. On March 16, 2015, the Court entered an order disposing of the pending charge. In August 2012, the Company entered into an administrative agreement with the U.S. Army, on behalf of all agencies of the U.S. Government that confirms the Company’s continuing eligibility to enter into and perform contracts with all agencies of the U.S. Government following the CityTime settlement. The Army has determined that the U.S. Government will have adequate assurances under the terms of the administrative agreement that initiation of suspension or debarment is not necessary to protect the U.S. Government’s interests following the CityTime settlement. Under the terms of the administrative agreement, the Company has agreed, among other things, to maintain a contractor responsibility program having the specific elements described in the administrative agreement, including retaining a monitor and providing certain reports to the U.S. Army. The administrative agreement will continue in effect for five years, provided that the Company may request earlier termination after three years. Data Privacy Litigation The Company was previously a defendant in a putative class action, In Re: Science Applications International Corporation ("SAIC") Backup Tape Data Theft Litigation, which was a Multidistrict Litigation ("MDL") action in U.S. District Court for the District of Columbia relating to the theft of computer back-up tapes from a vehicle of a company employee. In May 2014, the District Court dismissed all but two plaintiffs from the MDL action. In June 2014, Leidos and its co-defendant, TRICARE, entered into settlement agreements with the remaining two plaintiffs who subsequently dismissed their claims with prejudice. On September 20, 2014, the Company was named as a defendant in a putative class action, Martin Fernandez, on Behalf Of Himself And All Other Similarly Situated v. Leidos, Inc. in the Eastern District Court of California, related to the same theft of computer backup tapes. The recent complaint includes allegations of violations of the California Confidentiality of Medical Information Act, the California Unfair Competition Law, and other claims. The Company intends to vigorously defend against these claims. Derivative and Securities Litigation Between February and April 2012, alleged stockholders filed three putative securities class actions. One case was withdrawn and two cases were consolidated in the U.S. District Court for the Southern District of New York in In re SAIC, Inc. Securities Litigation . The consolidated securities complaint names as defendants the Company, a former chief financial officer, two former chief executive officers, a former group president and the former program manager on the CityTime program, and was filed purportedly on behalf of all purchasers of the Company's common stock from April 11, 2007 through September 1, 2011. The consolidated securities complaint asserted claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 based on allegations that the Company and individual defendants made misleading statements or omissions about the Company’s revenues, operating income and internal controls in connection with disclosures relating to the CityTime project. The plaintiffs sought to recover from the Company and the individual defendants an unspecified amount of damages class members allegedly incurred by buying Leidos' stock at an inflated price. On October 1, 2013, the District Court dismissed many claims in the complaint with prejudice and on January 30, 2014, the District Court entered an order dismissing all remaining claims with prejudice and without leave to replead. The plaintiffs moved to vacate the District Court's judgment or obtain relief from the judgment and for leave to file an amended complaint. On September 30, 2014, the District Court denied plantiffs' motions. The plaintiffs filed a notice of appeal on October 30, 2014 to the United States Court of Appeals for the Second Circuit where the appeal remains pending. Greek Government Contract Background and Arbitration. In May 2003, the Company entered into a firm-fixed-price contract with the Hellenic Republic of Greece (the Customer) to provide a Command, Control, Communications, Coordination and Integration System (the System) to support the 2004 Athens Summer Olympic Games (the Olympics) and to serve as the security system for the Customer’s public order departments following completion of the Olympics. In November 2008, the Customer accepted the System in writing pursuant to the requirements of the contract. At the time, the Customer determined that the System substantially complied with the terms of the contract and accepted the System with certain alleged minor omissions and deviations. Upon System acceptance, the Company invoiced the Customer for approximately $15 million , representing the undisputed portion of the contract balance owed to the Company. The Customer has not paid this final invoice. In June 2009, the Company initiated arbitration before the International Chamber of Commerce against the Customer seeking damages for breaches of contract by the Customer. In July 2013, the Company received an arbitral award for approximately $43 million . The Customer has yet to satisfy the arbitral award. The Company is pursuing an enforcement action in U.S. District Court for the District of Columbia. In September 2013, the Customer filed a petition in a Greek court seeking to nullify the arbitral award and to stay enforcement of the award in Greece. A hearing on the Customer's nullification request was held in Greece in April 2014. The parties agreed to a stay of the Company's enforcement action in U.S. District Court until the Greek court issued a ruling on the Customer's nullification request. In June 2014, the Athens Court of Appeals annulled the arbitral award. The Company appealed the annulment decision to the Supreme Court of Greece in January 2015 to have the arbitral award reinstated. The Company is continuing to pursue enforcement of the award in the U.S. District Court as is still its right under U.S. and international law. The outcomes of the appeal in Greece and the Company's pending enforcement action are uncertain. Financial Status and Contingencies. As a result of the significant uncertainties on this contract, the Company converted to the completed-contract method of accounting and ceased recognizing revenues for the System development portion of this contract in fiscal 2006. No profits or losses were recorded on the Greek contract for the quarter and six months ended July 3, 2015 and for the same periods ending August 1, 2014. As of July 3, 2015, the Company has recorded $123 million of losses under the Greek contract, reflecting the Company’s estimated total cost to complete the System, assuming the Greek contract value was limited to the cash received to date. Based on the complex nature of this contractual situation and the difficulties encountered to date, significant uncertainties exist and the Company is unable to reliably estimate the ultimate outcome. The Company may reverse a portion of the losses from the Greek contract if it receives payments as provided in the arbitral award. As of July 3, 2015, the Company has $17 million of receivables relating to value added tax ("VAT") and tax withholds by the Greek government that the Company has paid and believes it is entitled to recover either as a refund from the taxing authorities or as a payment under the Greek contract. The Company has invoiced the Customer for $28 million for VAT and filed the appropriate tax returns for $5 million of withholds and the Customer has failed to make payment or refund the monies. If the Customer fails to pay the outstanding VAT amounts or tax withholds the Company is unable to recover the amount as a refund from the taxing authorities, the Company’s total losses on the Greek contract could increase. The Company has met certain advance payment and performance bonding requirements through the issuance of euro-denominated standby letters of credit. As of July 3, 2015, there were $4 million in standby letters of credit outstanding relating to the support and maintenance of the System. In the arbitration, the Company was awarded but has not received $21 million representing the amounts drawn by the Customer in fiscal 2011 on certain standby letters of credit as well as damages. The principal subcontractor has provided to the Company euro-denominated standby letters of credit in the amount of $17 million as of July 3, 2015, of which $16 million relates to the delivery of the System. The Company may draw on the subcontractor’s standby letters of credit under certain circumstances by providing a statement to the responsible bank that the subcontractor has not fulfilled its obligations under the subcontract. Other The Company is also involved in various claims and lawsuits arising in the normal conduct of its business, none of which, in the opinion of the Company’s management, based upon current information, will likely have a material adverse effect on the Company’s condensed consolidated financial position, results of operations, or cash flows.
Leidos, Inc.
Loss Contingencies [Line Items]
Legal Proceedings	Legal Proceedings: Timekeeping Contract with City of New York In March 2012, the Company reached a settlement with the U.S. Attorney’s Office for the Southern District of New York and the City of New York ("City") relating to investigations being conducted by the U.S. Attorney’s Office and the City with respect to the Company’s contract to develop and implement an automated time and attendance and workforce management system ("CityTime") for certain agencies of the City. As part of this settlement, the Company entered into a deferred prosecution agreement ("DPA") with the U.S. Attorney’s Office, under which the Company paid approximately $500 million and the U.S. Attorney’s Office deferred prosecution of a single criminal count against the Company, which alleged that the Company, through the conduct of certain managerial employees and others, caused the City to significantly overpay for the CityTime system. Leidos fully satisfied the requirements of the DPA during its three year term and the DPA expired on March 14, 2015. As a result, the U.S. Attorney's Office filed an application with the Court to dispose of the charge that was filed against Leidos as part of the DPA. On March 16, 2015, the Court entered an order disposing of the pending charge. In August 2012, the Company entered into an administrative agreement with the U.S. Army, on behalf of all agencies of the U.S. Government that confirms the Company’s continuing eligibility to enter into and perform contracts with all agencies of the U.S. Government following the CityTime settlement. The Army has determined that the U.S. Government will have adequate assurances under the terms of the administrative agreement that initiation of suspension or debarment is not necessary to protect the U.S. Government’s interests following the CityTime settlement. Under the terms of the administrative agreement, the Company has agreed, among other things, to maintain a contractor responsibility program having the specific elements described in the administrative agreement, including retaining a monitor and providing certain reports to the U.S. Army. The administrative agreement will continue in effect for five years, provided that the Company may request earlier termination after three years. Data Privacy Litigation The Company was previously a defendant in a putative class action, In Re: Science Applications International Corporation ("SAIC") Backup Tape Data Theft Litigation, which was a Multidistrict Litigation ("MDL") action in U.S. District Court for the District of Columbia relating to the theft of computer back-up tapes from a vehicle of a company employee. In May 2014, the District Court dismissed all but two plaintiffs from the MDL action. In June 2014, Leidos and its co-defendant, TRICARE, entered into settlement agreements with the remaining two plaintiffs who subsequently dismissed their claims with prejudice. On September 20, 2014, the Company was named as a defendant in a putative class action, Martin Fernandez, on Behalf Of Himself And All Other Similarly Situated v. Leidos, Inc. in the Eastern District Court of California, related to the same theft of computer backup tapes. The recent complaint includes allegations of violations of the California Confidentiality of Medical Information Act, the California Unfair Competition Law, and other claims. The Company intends to vigorously defend against these claims. Derivative and Securities Litigation Between February and April 2012, alleged stockholders filed three putative securities class actions. One case was withdrawn and two cases were consolidated in the U.S. District Court for the Southern District of New York in In re SAIC, Inc. Securities Litigation . The consolidated securities complaint names as defendants the Company, a former chief financial officer, two former chief executive officers, a former group president and the former program manager on the CityTime program, and was filed purportedly on behalf of all purchasers of the Company's common stock from April 11, 2007 through September 1, 2011. The consolidated securities complaint asserted claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 based on allegations that the Company and individual defendants made misleading statements or omissions about the Company’s revenues, operating income and internal controls in connection with disclosures relating to the CityTime project. The plaintiffs sought to recover from the Company and the individual defendants an unspecified amount of damages class members allegedly incurred by buying Leidos' stock at an inflated price. On October 1, 2013, the District Court dismissed many claims in the complaint with prejudice and on January 30, 2014, the District Court entered an order dismissing all remaining claims with prejudice and without leave to replead. The plaintiffs moved to vacate the District Court's judgment or obtain relief from the judgment and for leave to file an amended complaint. On September 30, 2014, the District Court denied plantiffs' motions. The plaintiffs filed a notice of appeal on October 30, 2014 to the United States Court of Appeals for the Second Circuit where the appeal remains pending. Greek Government Contract Background and Arbitration. In May 2003, the Company entered into a firm-fixed-price contract with the Hellenic Republic of Greece (the Customer) to provide a Command, Control, Communications, Coordination and Integration System (the System) to support the 2004 Athens Summer Olympic Games (the Olympics) and to serve as the security system for the Customer’s public order departments following completion of the Olympics. In November 2008, the Customer accepted the System in writing pursuant to the requirements of the contract. At the time, the Customer determined that the System substantially complied with the terms of the contract and accepted the System with certain alleged minor omissions and deviations. Upon System acceptance, the Company invoiced the Customer for approximately $15 million , representing the undisputed portion of the contract balance owed to the Company. The Customer has not paid this final invoice. In June 2009, the Company initiated arbitration before the International Chamber of Commerce against the Customer seeking damages for breaches of contract by the Customer. In July 2013, the Company received an arbitral award for approximately $43 million . The Customer has yet to satisfy the arbitral award. The Company is pursuing an enforcement action in U.S. District Court for the District of Columbia. In September 2013, the Customer filed a petition in a Greek court seeking to nullify the arbitral award and to stay enforcement of the award in Greece. A hearing on the Customer's nullification request was held in Greece in April 2014. The parties agreed to a stay of the Company's enforcement action in U.S. District Court until the Greek court issued a ruling on the Customer's nullification request. In June 2014, the Athens Court of Appeals annulled the arbitral award. The Company appealed the annulment decision to the Supreme Court of Greece in January 2015 to have the arbitral award reinstated. The Company is continuing to pursue enforcement of the award in the U.S. District Court as is still its right under U.S. and international law. The outcomes of the appeal in Greece and the Company's pending enforcement action are uncertain. Financial Status and Contingencies. As a result of the significant uncertainties on this contract, the Company converted to the completed-contract method of accounting and ceased recognizing revenues for the System development portion of this contract in fiscal 2006. No profits or losses were recorded on the Greek contract for the quarter and six months ended July 3, 2015 and for the same periods ending August 1, 2014. As of July 3, 2015, the Company has recorded $123 million of losses under the Greek contract, reflecting the Company’s estimated total cost to complete the System, assuming the Greek contract value was limited to the cash received to date. Based on the complex nature of this contractual situation and the difficulties encountered to date, significant uncertainties exist and the Company is unable to reliably estimate the ultimate outcome. The Company may reverse a portion of the losses from the Greek contract if it receives payments as provided in the arbitral award. As of July 3, 2015, the Company has $17 million of receivables relating to value added tax ("VAT") and tax withholds by the Greek government that the Company has paid and believes it is entitled to recover either as a refund from the taxing authorities or as a payment under the Greek contract. The Company has invoiced the Customer for $28 million for VAT and filed the appropriate tax returns for $5 million of withholds and the Customer has failed to make payment or refund the monies. If the Customer fails to pay the outstanding VAT amounts or tax withholds the Company is unable to recover the amount as a refund from the taxing authorities, the Company’s total losses on the Greek contract could increase. The Company has met certain advance payment and performance bonding requirements through the issuance of euro-denominated standby letters of credit. As of July 3, 2015, there were $4 million in standby letters of credit outstanding relating to the support and maintenance of the System. In the arbitration, the Company was awarded but has not received $21 million representing the amounts drawn by the Customer in fiscal 2011 on certain standby letters of credit as well as damages. The principal subcontractor has provided to the Company euro-denominated standby letters of credit in the amount of $17 million as of July 3, 2015, of which $16 million relates to the delivery of the System. The Company may draw on the subcontractor’s standby letters of credit under certain circumstances by providing a statement to the responsible bank that the subcontractor has not fulfilled its obligations under the subcontract. Other The Company is also involved in various claims and lawsuits arising in the normal conduct of its business, none of which, in the opinion of the Company’s management, based upon current information, will likely have a material adverse effect on the Company’s condensed consolidated financial position, results of operations, or cash flows.

Other Commitments and Contingen

Other Commitments and Contingencies	6 Months Ended
	Jul. 03, 2015
Other Commitments and Contingencies	Other Commitments and Contingencies: VirnetX, Inc. In fiscal 2007, the Company transferred several patents to VirnetX Inc., a subsidiary of VirnetX Holding Corp. In consideration of this transfer, the Company received certain license rights and the right to receive a percentage of the consideration received in patent infringement or enforcement claims against third parties. In November 2012, a jury found that Apple Corporation infringed two of the patents that the Company previously transferred to VirnetX and awarded approximately $368 million to VirnetX, but the United States Court of Appeals for the Federal Circuit vacated this award. Although VirnetX petitioned the appeals court for an en banc review, this request was denied and the case has been remanded to the Federal District Court for further proceedings. On December 17, 2014, VirnetX settled a separate patent infringement dispute with Microsoft Corporation, with those parties executing an Amended Settlement and License Agreement. This agreement amended and restated certain terms of the original Settlement and License Agreement, dated May 14, 2010, between VirnetX and Microsoft. Under the terms of the amended agreement, Microsoft agreed to pay $23 million to VirnetX to settle the patent dispute and expand Microsoft's license. Under its agreements with VirnetX, the Company has recently received from VirnetX proceeds in the amount of $10 million , $8 million of which was received after July 3, 2015, from VirnetX's settlement with Microsoft and VirnetX's settlement of a previous litigation matter against various defendants, including Mitel, Siemens, and Avaya. Pursuant to the agreements with VirnetX, the amount received by the Company includes reimbursement for attorneys' fees and costs incurred by the Company in connection with these litigation matters. In addition, the Company is required to pay a royalty on the proceeds received to the customer who paid for the development of the technology. The Company does not have any material assets or liabilities recorded in connection with this matter as of July 3, 2015. Government Investigations and Reviews The Company is routinely subject to investigations and reviews relating to compliance with various laws and regulations with respect to its role as a contractor to federal, state, and local government customers and in connection with performing services in countries outside of the United States. Adverse findings in these investigations or reviews can lead to criminal, civil or administrative proceedings, and the Company could face penalties, fines, compensatory damages, and suspension or debarment from doing business with governmental agencies. In addition, the Company could suffer serious reputational harm if allegations of impropriety were made against Leidos. Adverse findings could also have a material adverse effect on the Company’s business, condensed consolidated financial position, results of operations, and cash flows due to its reliance on government contracts. U.S. Government agencies, including the Defense Contract Audit Agency ("DCAA"), Defense Contract Management Agency ("DCMA"), and others, routinely audit and review a contractor’s performance on government contracts, indirect rates and pricing practices, and compliance with applicable contracting and procurement laws, regulations, and standards. They also review the adequacy of the contractor’s compliance with government standards for its business systems, including: a contractor’s accounting system, earned value management system, estimating system, materials management and accounting system, property management system, and purchasing system. Both contractors and the U.S. Government agencies conducting these audits and reviews have come under increased scrutiny including such subjects as billing practices, labor charging, and accounting for unallowable costs. As a result, audits and reviews have become more rigorous and the standards to which the Company is held are being more strictly interpreted, increasing the likelihood of an audit or review resulting in an adverse outcome. During the course of its current audits, the DCAA is closely examining and questioning costs and several of the Company’s long established and disclosed practices increasing the uncertainty as to the ultimate conclusion that will be reached. In addition, the Company also monitors compliance with these practices and has an obligation under its contracts to make disclosures of specific improprieties based on credible evidence. The Company changed its indirect rate structure used in its indirect cost system in fiscal 2011 and future years. The DCAA is performing reviews of these changes and the Company’s compliance with certain other U.S. Government Cost Accounting Standards. A finding of significant control deficiencies in the Company’s system audits or other reviews can result in cash payments, penalties and potentially decremented billing rates. The Company’s indirect cost audits by the DCAA remain open for fiscal 2009 and subsequent fiscal years. Although the Company has recorded contract revenues subsequent to and including fiscal 2009 based upon an estimate of costs that the Company believes will be approved upon final audit or review, the Company does not know the outcome of any ongoing or future audits or reviews and adjustments, and if future adjustments exceed the Company’s estimates, its profitability would be adversely affected. Pursuant to the Distribution Agreement with New SAIC and upon the separation date, the Company's liability of $45 million of net amounts to be refunded to customers for potential adjustments from such audit or review of contract costs was allocated to New SAIC in the amount of $18 million and the Company in the amount of $27 million . For open periods prior to the spin-off, matters may be settled by the Company with reimbursements due from New SAIC. Subsequent to the separation date, any amounts owed in addition to the $45 million liability for periods prior to the separation date will be apportioned between Leidos and New SAIC in accordance with the Distribution Agreement. As of July 3, 2015, the Company has recorded a total liability of $44 million for its current best estimate of net amounts to be refunded to customers for potential adjustments from such audits or reviews of contract costs. This amount includes potential adjustments related to both pre-separation and post-separation audits or reviews and excludes amounts assumed to be reimbursed by New SAIC. Tax Audits and Reviews The Company files income tax returns in the United States and various state and foreign jurisdictions and is subject to routine compliance reviews by the IRS and other taxing authorities. The Company has effectively settled with the IRS for all fiscal years prior to 2015. With a few exceptions, as of July 3, 2015, the Company is no longer subject to state, local, or foreign examinations by the tax authorities for years before fiscal 2012. As of July 3, 2015, the balance of unrecognized tax benefits included liabilities for uncertain tax positions of $19 million , $5 million of which were classified as other long-term liabilities in the condensed consolidated balance sheet. During the next 12 months, it is reasonably possible that resolution of reviews by taxing authorities, both domestic and international, could be reached with respect to $13 million of the Company’s unrecognized tax benefits, depending on the timing of ongoing examinations, any litigation and expiration of statute of limitations, either because the Company’s tax positions are sustained or because the Company agrees to their disallowance and pays the related income tax. Letters of Credit and Surety Bonds The Company has outstanding letters of credit of $67 million as of July 3, 2015, principally related to guarantees on contracts. The Company also has outstanding surety bonds in the amount of $239 million , principally related to performance and subcontractor payment bonds on the Company’s contracts. The outstanding letters of credit and surety bonds have various terms with the majority of the letters of credit and bonds expiring over the next five fiscal years. Certain letters of credit and surety bonds have auto-renewal periods that will extend their expiration dates past the next five fiscal years.
Leidos, Inc.
Other Commitments and Contingencies	Other Commitments and Contingencies: VirnetX, Inc. In fiscal 2007, the Company transferred several patents to VirnetX Inc., a subsidiary of VirnetX Holding Corp. In consideration of this transfer, the Company received certain license rights and the right to receive a percentage of the consideration received in patent infringement or enforcement claims against third parties. In November 2012, a jury found that Apple Corporation infringed two of the patents that the Company previously transferred to VirnetX and awarded approximately $368 million to VirnetX, but the United States Court of Appeals for the Federal Circuit vacated this award. Although VirnetX petitioned the appeals court for an en banc review, this request was denied and the case has been remanded to the Federal District Court for further proceedings. On December 17, 2014, VirnetX settled a separate patent infringement dispute with Microsoft Corporation, with those parties executing an Amended Settlement and License Agreement. This agreement amended and restated certain terms of the original Settlement and License Agreement, dated May 14, 2010, between VirnetX and Microsoft. Under the terms of the amended agreement, Microsoft agreed to pay $23 million to VirnetX to settle the patent dispute and expand Microsoft's license. Under its agreements with VirnetX, the Company has recently received from VirnetX proceeds in the amount of $10 million , $8 million of which was received after July 3, 2015, from VirnetX's settlement with Microsoft and VirnetX's settlement of a previous litigation matter against various defendants, including Mitel, Siemens, and Avaya. Pursuant to the agreements with VirnetX, the amount received by the Company includes reimbursement for attorneys' fees and costs incurred by the Company in connection with these litigation matters. In addition, the Company is required to pay a royalty on the proceeds received to the customer who paid for the development of the technology. The Company does not have any material assets or liabilities recorded in connection with this matter as of July 3, 2015. Government Investigations and Reviews The Company is routinely subject to investigations and reviews relating to compliance with various laws and regulations with respect to its role as a contractor to federal, state, and local government customers and in connection with performing services in countries outside of the United States. Adverse findings in these investigations or reviews can lead to criminal, civil or administrative proceedings, and the Company could face penalties, fines, compensatory damages, and suspension or debarment from doing business with governmental agencies. In addition, the Company could suffer serious reputational harm if allegations of impropriety were made against Leidos. Adverse findings could also have a material adverse effect on the Company’s business, condensed consolidated financial position, results of operations, and cash flows due to its reliance on government contracts. U.S. Government agencies, including the Defense Contract Audit Agency ("DCAA"), Defense Contract Management Agency ("DCMA"), and others, routinely audit and review a contractor’s performance on government contracts, indirect rates and pricing practices, and compliance with applicable contracting and procurement laws, regulations, and standards. They also review the adequacy of the contractor’s compliance with government standards for its business systems, including: a contractor’s accounting system, earned value management system, estimating system, materials management and accounting system, property management system, and purchasing system. Both contractors and the U.S. Government agencies conducting these audits and reviews have come under increased scrutiny including such subjects as billing practices, labor charging, and accounting for unallowable costs. As a result, audits and reviews have become more rigorous and the standards to which the Company is held are being more strictly interpreted, increasing the likelihood of an audit or review resulting in an adverse outcome. During the course of its current audits, the DCAA is closely examining and questioning costs and several of the Company’s long established and disclosed practices increasing the uncertainty as to the ultimate conclusion that will be reached. In addition, the Company also monitors compliance with these practices and has an obligation under its contracts to make disclosures of specific improprieties based on credible evidence. The Company changed its indirect rate structure used in its indirect cost system in fiscal 2011 and future years. The DCAA is performing reviews of these changes and the Company’s compliance with certain other U.S. Government Cost Accounting Standards. A finding of significant control deficiencies in the Company’s system audits or other reviews can result in cash payments, penalties and potentially decremented billing rates. The Company’s indirect cost audits by the DCAA remain open for fiscal 2009 and subsequent fiscal years. Although the Company has recorded contract revenues subsequent to and including fiscal 2009 based upon an estimate of costs that the Company believes will be approved upon final audit or review, the Company does not know the outcome of any ongoing or future audits or reviews and adjustments, and if future adjustments exceed the Company’s estimates, its profitability would be adversely affected. Pursuant to the Distribution Agreement with New SAIC and upon the separation date, the Company's liability of $45 million of net amounts to be refunded to customers for potential adjustments from such audit or review of contract costs was allocated to New SAIC in the amount of $18 million and the Company in the amount of $27 million . For open periods prior to the spin-off, matters may be settled by the Company with reimbursements due from New SAIC. Subsequent to the separation date, any amounts owed in addition to the $45 million liability for periods prior to the separation date will be apportioned between Leidos and New SAIC in accordance with the Distribution Agreement. As of July 3, 2015, the Company has recorded a total liability of $44 million for its current best estimate of net amounts to be refunded to customers for potential adjustments from such audits or reviews of contract costs. This amount includes potential adjustments related to both pre-separation and post-separation audits or reviews and excludes amounts assumed to be reimbursed by New SAIC. Tax Audits and Reviews The Company files income tax returns in the United States and various state and foreign jurisdictions and is subject to routine compliance reviews by the IRS and other taxing authorities. The Company has effectively settled with the IRS for all fiscal years prior to 2015. With a few exceptions, as of July 3, 2015, the Company is no longer subject to state, local, or foreign examinations by the tax authorities for years before fiscal 2012. As of July 3, 2015, the balance of unrecognized tax benefits included liabilities for uncertain tax positions of $19 million , $5 million of which were classified as other long-term liabilities in the condensed consolidated balance sheet. During the next 12 months, it is reasonably possible that resolution of reviews by taxing authorities, both domestic and international, could be reached with respect to $13 million of the Company’s unrecognized tax benefits, depending on the timing of ongoing examinations, any litigation and expiration of statute of limitations, either because the Company’s tax positions are sustained or because the Company agrees to their disallowance and pays the related income tax. Letters of Credit and Surety Bonds The Company has outstanding letters of credit of $67 million as of July 3, 2015, principally related to guarantees on contracts. The Company also has outstanding surety bonds in the amount of $239 million , principally related to performance and subcontractor payment bonds on the Company’s contracts. The outstanding letters of credit and surety bonds have various terms with the majority of the letters of credit and bonds expiring over the next five fiscal years. Certain letters of credit and surety bonds have auto-renewal periods that will extend their expiration dates past the next five fiscal years.

Summary of Significant Accoun18

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jul. 03, 2015
Accounting Policies [Abstract]
Nature of Operations and Basis of Presentation	Nature of Operations and Basis of Presentation Leidos Holdings, Inc. ("Leidos") is a holding company whose direct 100% -owned subsidiary is Leidos, Inc., an applied technology company focused on delivering services and solutions that leverage expertise in the national security, health and engineering markets. Leidos, Inc. provides these services and solutions to government and commercial customers, both domestically and internationally. These customers include agencies of the U.S. Department of Defense ("DoD"), the intelligence community, the U.S. Department of Homeland Security ("DHS"), and other U.S. Government civil agencies, state and local government agencies and foreign governments. Unless indicated otherwise, references to the "Company," "we," "us" and "our" refer collectively to Leidos Holdings, Inc., Leidos, Inc., and its consolidated subsidiaries. The unaudited condensed consolidated financial statements of Leidos and Leidos, Inc. include the accounts of its majority-owned and 100% -owned subsidiaries. Leidos does not have separate operations, assets or liabilities independent of Leidos, Inc., except for a note with Leidos, Inc. (the “related party note”), on which interest is recognized. From time to time, Leidos issues stock to employees of Leidos, Inc. and its subsidiaries, which is reflected in stockholders' equity in Leidos’ condensed consolidated balance sheets and results in an increase to the related party note. All intercompany transactions and accounts have been eliminated in consolidation. The accompanying unaudited condensed financial information has been prepared in accordance with the rules of the U.S. Securities and Exchange Commission ("SEC") and accounting principles generally accepted in the United States of America ("GAAP"). Certain disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. Management evaluates these estimates and assumptions on an ongoing basis, including those relating to allowances for doubtful accounts, inventories, fair value and impairment of intangible assets and goodwill, income taxes, estimated profitability of long-term contracts, pension benefits, stock-based compensation expense, contingencies and litigation. Estimates have been prepared by management on the basis of the most current and best available information; however, actual results could differ materially from those estimates. Certain amounts in the prior year financial statements have been reclassified to conform to the current year presentation. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which consist of normal recurring adjustments, necessary for a fair presentation thereof. The results reported in these unaudited condensed consolidated financial statements are not necessarily indicative of the results that may be expected for the entire year.
Reporting Periods	Fiscal Year End Change On March 20, 2015, the Board of Directors of the Company approved the amendment and restatement of the bylaws of the Company to change both Leidos' and Leidos, Inc.'s year end from the Friday nearest the end of January to the Friday nearest the end of December. As a result of this change, the Company will file its Annual Report on Form 10-K, which will cover the 11 month period ending on January 1, 2016, as its transition report. This change does not impact the Company's prior year, which ended January 30, 2015. In order to allow an immediate transition to the new calendar and to maintain transparency and comparability of financial information included in the Company's quarterly Form 10-Q filings, the year-to-date information in this Form 10-Q is being presented on a six month basis for the current year which includes the last month of the year ended January 30, 2015. Therefore, the condensed consolidated statements of income and comprehensive income and the condensed consolidated statements of cash flows reflect the results for the six month period ended July 3, 2015. The Company's business is primarily driven by productive hours and time sold in relation to the services and solutions provided to its customers, as such the productive hours and time sold do not vary materially quarter over quarter. Therefore, the Company does not believe that the change in its year end has a material effect on the comparability of the periods presented. As such, the quarterly periods of the prior year have not been recast to correspond with the new quarterly periods. The following table shows the periods included in each q
Receivables	Separation Transaction and Restructuring Expenses During the year ended January 31, 2014, Leidos completed the spin-off of its technical services and enterprise information technology services business. In anticipation of the spin-off, the Company initiated a program to align the Company’s cost structure for post-spin-off and incurred severance and lease termination costs. For the six months ended July 3, 2015, the Company incurred approximately $2 million of lease termination expenses in its Corporate and Other segment related to an adjustment to reserves established in prior years for loss on leases in connection with revised sublease income assumptions. The Company did not incur any lease termination expenses for the quarter ended July 3, 2015. For the six months ended August 1, 2014, the Company incurred approximately $1 million of lease termination expenses. The Company incurred no lease termination expenses for the quarter ended August 1, 2014. The separation transaction and restructuring expenses are recorded within "Selling, general and administrative expenses" in the Company's condensed consolidated statements of income. The restructuring liability for lease termination expenses as of July 3, 2015 decreased by $2 million to $9 million from January 30, 2015 due to cash payments. The Company does not expect to incur significant additional separation transaction and restructuring expenses in the current year related to the spin-off transaction.
Fair Value Measurement	Fair Value Measurements The accounting standard for fair value measurements establishes a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value as follows: observable inputs such as quoted prices in active markets (Level 1); inputs other than the quoted prices in active markets that are observable either directly or indirectly (Level 2); and unobservable inputs in which there is little or no market data, which requires the Company to develop its own assumptions (Level 3). The fair value of financial instruments is determined based on quoted market prices, if available, or management’s best estimate. It is management’s belief that the carrying amounts of the Company’s financial instruments other than derivatives, which include cash equivalents and long-term investments, are reasonable estimates of their related fair values. The carrying value of accounts receivable, accounts payable, and accrued expenses approximate their fair values. The fair value of long-term debt (see Note 5) is determined based on current interest rates available for debt with terms and maturities similar to the Company’s existing debt arrangements (Level 2 inputs). The Company’s cash equivalents were primarily comprised of investments in several large institutional money market funds and bank deposits. There are no restrictions on the withdrawal of the Company’s cash and cash equivalents. The Company's cash equivalents are recorded at historical cost, which equals fair value based on quoted market prices (Level 1 input). Management evaluates its investments for other-than-temporary impairment at each balance sheet date. When testing long-term investments for recovery of carrying value, the fair value of long-term investments is determined using various valuation techniques and factors, such as market prices of comparable companies (Level 2 input), discounted cash flow models (Level 3 input) and recent capital transactions of the portfolio companies being valued (Level 3 input). If management determines that an other-than-temporary decline in the fair value of an investment has occurred, an impairment loss is recognized to reduce the investment to its estimated fair value. The Company's financial instruments measured at fair value on a recurring basis using Level 2 inputs consisted of the Company's interest rate swaps on its $450 million fixed rate 4.45% notes. At July 3, 2015, the Company did not have any financial assets or liabilities measured at fair value on a recurring basis using Level 3 inputs. The Company’s non-financial instruments measured at fair value on a non-recurring basis included goodwill, indefinite-lived intangible assets and long-lived tangible assets. The valuation methods used to determine fair value require a significant degree of management judgment to determine the key assumptions, as such the Company generally classifies non-financial instruments as either Level 2 or Level 3 fair value measureme
Changes in Estimates on Contracts	Changes in Estimates on Contracts Changes in estimates related to certain types of contracts accounted for using the percentage of completion method of accounting are recognized in the period in which such changes are made for the inception-to-date effect of the changes. Changes in these estimates can routinely occur over the contract performance period for a variety of reasons, including changes in contract scope, contract cost estimates and estimated incentive or award fees. Favorable contract performance resulted in a net increase to operating income of $5 million and an increase of $0.04 per diluted share for the quarter ended July 3, 2015, and an increase to operating income of $10 million and an increase of $0.08 per diluted share for the six months ended July 3, 2015. Favorable contract performance resulted in a net increase to operating income of $6 million and an increase of $0.06 per diluted share for the quarter ended August 1, 2014, and an increase to operating income of $18 million and an increase of $0.15 per diluted share for the six months ended August 1, 2014.
Accounting Standards Updates Issued But Not Yet Adopted	Accounting Standards Updates Issued But Not Yet Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets unless those contracts are within the scope of other standards. This ASU will supersede all revenue recognition requirements in Topic 605, Revenue Recognition and industry-specific guidance throughout the Industry Topics of the codification. The guidance's core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In applying the revenue principles, an entity will identify the contract(s) with a customer, identify the performance obligations, determine the transaction price, allocate the transaction price to the performance obligations and recognize revenue when the performance obligation is satisfied (either over time or point in time). The amendments in this ASU are effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2016, for public companies. In July 2015, the FASB approved a one-year deferral of the effective date of the ASU to December 15, 2017, with an option to early adopt the standard on the original effective date. Early adoption prior to the original effective date is not permitted. The Company is still evaluating the provisions of ASU 2014-09 and its impact on the Company's condensed consolidated financial position, results of operations, or cash flows. Various other accounting standards updates were issued but are not effective for the Company until periods subsequent to July 3, 2015. These updates include guidance to present debt issuance cost as a reduction of the related debt liability as opposed to an asset; the Company is still evaluating the impact of this update. For the other updates issued, which include guidance to eliminate extraordinary items on the statements of income, guidance that changes the evaluation criteria for consolidation, and guidance regarding the timing surrounding the measurement of retirement benefits for entities; the Company does not expect these updates to have a material impact on its condensed consolidated financial position, results of operations, or cash flows.

Summary of Significant Accoun19

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jul. 03, 2015
Accounting Policies [Abstract]
Schedule of Supplementary Cash Flow Information	Supplementary cash flow information, including non-cash investing and financing activities, for the periods presented was as follows: Six Months Ended July 3, 2015 August 1, 2014 (in millions) Vested stock issued as settlement of annual bonus accruals $ 1 $ 1 Stock issued in lieu of cash dividends $ 1 $ 2 Accrued dividends declared $ 24 $ — Cash paid for interest (including discontinued operations) $ 33 $ 37 Cash paid for income taxes, net of refunds (including discontinued operations) $ 87 $ 12

Dispositions (Tables)

Dispositions (Tables)	6 Months Ended
	Jul. 03, 2015
Other Disposals
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Schedule of Income Statement, Balance Sheet for Discontinued Operation	The pre-sale operating results through the date of disposal of the Company’s discontinued operations discussed above, for the periods presented were as follows: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Revenues $ 6 $ 20 $ 14 $ 46 Costs and expenses: Cost of revenues 6 21 12 43 Selling, general and administrative expenses (including impairment charges of $9 million for the six months ended August 1, 2014) — 5 4 19 Intangible asset impairment charges — — — 3 Operating loss $ — $ (6 ) $ (2 ) $ (19 ) Non-operating income $ — $ 8 $ 2 $ 8 Income (loss) from discontinued operations before income taxes $ — $ 2 $ — $ (11 )

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	6 Months Ended
	Jul. 03, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The balance and changes in the carrying amount of goodwill by segment were as follows: NSS HES Total (in millions) Goodwill at January 31, 2014 $ 788 $ 905 $ 1,693 Goodwill impairment charges — (486 ) (486 ) Goodwill at January 30, 2015 $ 788 $ 419 $ 1,207 Adjustments — — — Goodwill at July 3, 2015 $ 788 $ 419 $ 1,207
Schedule of Intangible Assets Including Estimates of Assets Acquired	Intangible assets consisted of the following: July 3, 2015 January 30, 2015 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value (in millions) Finite-lived intangible assets: Customer relationships $ 70 $ (60 ) $ 10 $ 70 $ (57 ) $ 13 Software and technology 61 (43 ) 18 52 (41 ) 11 Total finite-lived intangible assets 131 (103 ) 28 122 (98 ) 24 Indefinite-lived intangible assets: In-process research and development — — — 9 — 9 Trade names 4 — 4 4 — 4 Total indefinite-lived intangible assets 4 — 4 13 — 13 Total intangible assets $ 135 $ (103 ) $ 32 $ 135 $ (98 ) $ 37
Schedule of Amortization Expense for Finite-Lived Intangible Assets	The estimated annual amortization expense related to finite-lived intangible assets as of July 3, 2015 was as follows: Year Ending (in millions) January 1, 2016 (remainder of year) $ 4 Fiscal 2016 8 Fiscal 2017 6 Fiscal 2018 4 Fiscal 2019 2 Fiscal 2020 and thereafter 4 $ 28

Derivative Instruments and He22

Derivative Instruments and Hedging Activities (Tables)	6 Months Ended
	Jul. 03, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Interest Rate Derivative	The fair value of the interest rate swaps and their impact on the related fair value of the debt in the condensed consolidated balance sheet is as follows: Interest rate swaps Hedged items Balance sheet line item July 3, January 30, Balance sheet line item July 3, January 30, (in millions) Other assets $ 5 $ 17 Notes payable and long-term debt, net of current portion $ 5 $ 17

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jul. 03, 2015
Debt Disclosure [Abstract]
Schedule of Notes Payable and Long-Term Debt	The Company’s notes payable and long-term debt consisted of the following: Stated interest rate Effective interest rate July 3, January 30, 2015 (dollars in millions) Leidos Holdings, Inc. senior unsecured notes: $450 million notes, which mature in December 2020 (1) 4.45 % 4.53 % $ 454 $ 466 $300 million notes, which mature in December 2040 5.95 % 6.03 % 221 232 Leidos, Inc. senior unsecured notes: $250 million notes, which mature in July 2032 7.13 % 7.43 % 248 248 $300 million notes, which mature in July 2033 5.50 % 5.86 % 170 182 Capital leases and other notes payable due on various dates through fiscal 2020 0%-3.7% Various 36 38 Total notes payable and long-term debt $ 1,129 $ 1,166 Less current portion 2 2 Total notes payable and long-term debt, net of current portion $ 1,127 $ 1,164 Fair value of notes payable and long-term debt $ 1,114 $ 1,152 (1) As a result of executing the interest rate swap agreements, the carrying values of $454 million and $466 million include fair value adjustments of $5 million and $17 million , respectively, attributable to changes in the benchmark interest rate, the six-month LIBOR rate, from the inception of the interest rate swap agreements to July 3, 2015 and January 30, 2015, respectively.

Accumulated Other Comprehensi24

Accumulated Other Comprehensive Loss (Tables)	6 Months Ended
	Jul. 03, 2015
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Loss	The components of accumulated other comprehensive loss were as follows: July 3, January 30, (in millions) Foreign currency translation adjustments, net of taxes of $0 million as of July 3, 2015 and January 30, 2015, respectively $ — $ 1 Unrecognized net loss on settled derivative instruments associated with outstanding debt, net of taxes of $3 million as of July 3, 2015 and January 30, 2015, respectively (4 ) (5 ) Unrecognized net loss on defined benefit plan, net of taxes of $5 million as of July 3, 2015 and January 30, 2015, respectively (7 ) (7 ) Total accumulated other comprehensive loss, net of taxes of $8 million as of July 3, 2015 and January 30, 2015, respectively $ (11 ) $ (11 )

Earnings (Loss) Per Share (EP25

Earnings (Loss) Per Share (EPS) (Tables)	6 Months Ended
	Jul. 03, 2015
Earnings Per Share [Abstract]
Reconciliation of Weighted Average Number of Shares Outstanding	The following table provides a reconciliation of the weighted average number of shares outstanding used to compute basic and diluted EPS for the periods presented: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Basic weighted average number of shares outstanding 73 74 73 75 Dilutive common share equivalents—stock options and other stock awards 1 — 2 — Diluted weighted average number of shares outstanding 74 74 75 75

Business Segment Information (T

Business Segment Information (Tables)	6 Months Ended
	Jul. 03, 2015
Segment Reporting [Abstract]
Schedule of Segment Reporting Information by Segment	The segment information for the periods presented was as follows: Three Months Ended Six Months Ended July 3, August 1, July 3, August 1, (in millions) Revenues: National Security Solutions $ 879 $ 925 $ 1,741 $ 1,869 Health and Engineering 379 381 764 753 Corporate and Other (1 ) — (2 ) (4 ) Total revenues $ 1,257 $ 1,306 $ 2,503 $ 2,618 Operating income (loss): National Security Solutions $ 74 $ 78 $ 136 $ 155 Health and Engineering (7 ) (482 ) (14 ) (459 ) Corporate and Other (3 ) (6 ) (20 ) (19 ) Total operating income (loss) $ 64 $ (410 ) $ 102 $ (323 )

Summary of Significant Accoun27

Summary of Significant Accounting Policies (Additional Information) (Detail)	1 Months Ended	3 Months Ended		6 Months Ended
	Jan. 30, 2015USD ($)	Jul. 03, 2015USD ($)$ / shares	Aug. 01, 2014USD ($)$ / shares	Jul. 03, 2015USD ($)$ / shares	Aug. 01, 2014USD ($)$ / shares	Sep. 19, 2013
Significant Accounting Policies [Line Items]
Reverse stock split				0.25
Revenues	$ 373,000,000	$ 1,257,000,000	$ 1,306,000,000	$ 2,503,000,000	$ 2,618,000,000
Net income (loss)	(23,000,000)	64,000,000	(410,000,000)	102,000,000	(323,000,000)
Increase (decrease) in income due to contract estimates		$ 5,000,000	$ 6,000,000	$ 10,000,000	$ 18,000,000
Increase (decrease) in income due to contract estimates per diluted share | $ / shares		$ 0.04	$ 0.06	$ 0.08	$ 0.15
Total adjustment to cash flow	16,000,000			$ (94,000,000)	$ (72,000,000)
Cash flow from operating activities	11,000,000			109,000,000	115,000,000
Financing activities	47,000,000			206,000,000	256,000,000
Cash flow from discontinued operations	$ 20,000,000			$ 19,000,000	11,000,000
Leidos, Inc.
Significant Accounting Policies [Line Items]
Ownership interest		100.00%		100.00%
Revenues		$ 1,257,000,000	$ 1,306,000,000	$ 2,503,000,000	2,618,000,000
Net income (loss)		64,000,000	$ (410,000,000)	102,000,000	(323,000,000)
Total adjustment to cash flow				(94,000,000)	(72,000,000)
Cash flow from operating activities				109,000,000	115,000,000
Financing activities				47,000,000	1,000,000
Cash flow from discontinued operations				19,000,000	11,000,000
SAIC
Significant Accounting Policies [Line Items]
Stock issued to Leidos shareholder upon divestiture of SAIC, ratio						1.4285
Facility Closing
Significant Accounting Policies [Line Items]
Restructuring charges, net				2,000,000	$ 1,000,000
Notes payable and long-term debt, net of current portion | Notes Which Mature In December 2020 | Designated as Hedging Instrument | Interest rate swaps
Significant Accounting Policies [Line Items]
Hedged instrument, face amount		$ 450,000,000		$ 450,000,000
Stated interest rate		4.45%		4.45%

Summary of Significant Accoun28

Summary of Significant Accounting Policies (Restructuring Reserve) (Details) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014
Restructuring Reserve [Roll Forward]
Decrease in reserve	$ 2
Facility Closing
Restructuring Reserve [Roll Forward]
Charges	2	$ 1
Ending balance	$ 9

Summary of Significant Accoun29

Summary of Significant Accounting Policies (Schedule of Supplementary Cash Flow Information) (Detail) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014
Accounting Policies [Abstract]
Vested stock issued as settlement of annual bonus accruals	$ 1	$ 1
Stock issued in lieu of cash dividends	1	2
Cash paid for interest (including discontinued operations)	33	37
Accrued dividends declared	24	0
Cash paid for income taxes, net of refunds (including discontinued operations)	$ 87	$ 12

Dispositions (Details)

Dispositions (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract]
Income (loss) from discontinued operations before income taxes	$ 0	$ 2	$ 0	$ (11)
Other Disposals
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract]
Revenues	6	20	14	46
Cost of revenues	6	21	12	43
Selling, general and administrative expenses	0	5	4	19
Intangible asset impairment charges	0	0	0	3
Operating loss	0	(6)	(2)	(19)
Non-operating income	0	8	2	8
Income (loss) from discontinued operations before income taxes	$ 0	$ 2	$ 0	$ (11)

Dispositions (Narrative) (Detai

Dispositions (Narrative) (Details) $ in Millions	Jul. 24, 2015USD ($)	Jul. 17, 2015	Feb. 28, 2015USD ($)	Jan. 30, 2015USD ($)	Jul. 03, 2015USD ($)	Oct. 31, 2014USD ($)	Aug. 01, 2014USD ($)	Oct. 31, 2013MW
Emergency Management Consulting
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Net proceeds from divestures						$ 19
Other Disposals
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Impairment of assets							$ 12
Cloudshield Technologies
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Net proceeds from divestures			$ 5
Plainfield
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Percentage of ownership								100.00%
Capacity of power plant | MW								37.5
Discontinued Operations, Held-for-sale [Member] | Plainfield
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Impairment of assets					$ 29
Discontinued Operations, Held-for-sale [Member] | Subsequent Event
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from Sales of Business, Affiliate and Productive Assets	$ 29
Discontinued Operations, Held-for-sale [Member] | Subsequent Event | Plainfield
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Disposal Group, Including Discontinued Operation, Consideration, Note Receivable		73
Disposal Group, Including Discontinued Operation, Contingent Consideration, Maximum Earn-out Payment	30
Disposal Group, Including Discontinued Operation, Consideration	$ 101
Health and Engineering | Discontinued Operations, Held-for-sale [Member] | Plainfield
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Impairment of assets				$ 40
Fixed Asset and Inventory [Member] | Other Disposals
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Impairment of assets							$ 9

Goodwill and Intangible Asset32

Goodwill and Intangible Assets (Goodwill Rollforward) (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended		12 Months Ended
	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014	Jan. 30, 2015
Goodwill [Roll Forward]
Beginning balance			$ 1,693	$ 1,693
Goodwill impairment charges	$ (486)	$ 0	(486)	(486)
Ending balance		1,207		1,207
NSS
Goodwill [Roll Forward]
Beginning balance			788	788
Goodwill impairment charges				0
Ending balance		788		788
HES
Goodwill [Roll Forward]
Beginning balance			$ 905	905
Goodwill impairment charges				(486)
Ending balance		$ 419		$ 419

Goodwill and Intangible Asset33

Goodwill and Intangible Assets (Schedule of Intangible Assets Including Estimates of Assets Acquired) (Detail) - USD ($) $ in Millions	Jul. 03, 2015	Jan. 30, 2015
Finite-Lived Intangible Assets [Line Items]
Gross carrying value	$ 131	$ 122
Accumulated amortization	(103)	(98)
Net carrying value	28	24
Indefinite-lived intangible assets	4	13
Total intangible asset, gross	135	135
Total intangible assets, Net carrying value	32	37
In-Process Research And Development
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	0	9
Trade Names
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	4	4
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Gross carrying value	70	70
Accumulated amortization	(60)	(57)
Net carrying value	10	13
Software and Technology
Finite-Lived Intangible Assets [Line Items]
Gross carrying value	61	52
Accumulated amortization	(43)	(41)
Net carrying value	$ 18	$ 11

Goodwill and Intangible Asset34

Goodwill and Intangible Assets (Schedule of Amortization Expense for Finite-Lived Intangible Assets) (Detail) - USD ($) $ in Millions	Jul. 03, 2015	Jan. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
2016 (remainder of the fiscal year)	$ 4
2,016	8
2,017	6
2,018	4
2,019	2
2020 and thereafter	4
Net carrying value	$ 28	$ 24

Goodwill and Intangible Asset35

Goodwill and Intangible Assets (Additional Information) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014	Jan. 30, 2015
Goodwill [Line Items]
Goodwill impairment charges		$ 486	$ 0	$ 486	$ 486
Amortization expense related to amortizable intangible assets	$ 3	5	5	10
Intangible impairment	$ 29	24	$ 69	$ 24
Health Solutions [Member]
Goodwill [Line Items]
Goodwill impairment charges		369
NSS
Goodwill [Line Items]
Goodwill impairment charges					0
HES
Goodwill [Line Items]
Goodwill impairment charges					$ 486
Engineering [Member]
Goodwill [Line Items]
Goodwill impairment charges		$ 117
Software and Technology
Goodwill [Line Items]
Useful life of intangible			9 years

Derivative Instruments and He36

Derivative Instruments and Hedging Activities (Details) - Interest rate swaps - Designated as Hedging Instrument - USD ($)	Jul. 03, 2015	Jan. 30, 2015
Notes payable and long-term debt, net of current portion
Derivative [Line Items]
Derivative liability	$ 5,000,000	$ 17,000,000
Notes payable and long-term debt, net of current portion | Notes Which Mature In December 2020
Derivative [Line Items]
Hedged instrument, face amount	$ 450,000,000
Stated interest rate	4.45%
Other assets
Derivative [Line Items]
Derivative asset	$ 5,000,000	$ 17,000,000

Debt (Additional Information) (

Debt (Additional Information) (Detail)	1 Months Ended	3 Months Ended	6 Months Ended	12 Months Ended
	Jan. 30, 2015USD ($)	Jul. 03, 2015USD ($)	Jul. 03, 2015USD ($)	Jan. 30, 2015USD ($)	Oct. 31, 2014USD ($)	Oct. 30, 2014USD ($)
Debt Instrument [Line Items]
Unsecured borrowing capacity					$ 500,000,000	$ 750,000,000
Extended maturity date of revolving credit facility			Mar. 1, 2017
Amount outstanding		$ 0	$ 0
Ratio of consolidated funded debt to EBITDA, numerator, maximum, until Jan 29, 2016		4	4
Ratio of consolidated funded debt to EBITDA, numerator, maximum		3.75	3.75
Ratio of consolidated funded debt to EBITDA, denominator, maximum		1	1
Minimum ratio of EBITDA to interest expense, numerator		3.5	3.5
Minimum ratio of EBITDA to interest expense, denominator		1	1
Fair value adjustment			$ 5,000,000	$ 17,000,000
Gain on repurchase of notes			$ 1,000,000
Revolving credit facility financial covenants description			For a period of four trailing fiscal quarters, the Company maintains a ratio of consolidated funded debt, including borrowings under this facility, to EBITDA adjusted for other items as defined in the credit facility of not more than 4.0 to 1.0 until no later than January 29, 2016 and 3.75 to 1.0 thereafter, and a ratio of EBITDA adjusted for other items as defined in the credit facility to interest expense of greater than 3.5 to 1.0.
Available borrowing capacity		$ 500,000,000	$ 500,000,000
Senior Notes
Debt Instrument [Line Items]
Repurchase and retirement of long term debt	$ 23,000,000	17,000,000	45,000,000
Notes Which Mature In July 2033
Debt Instrument [Line Items]
Senior unsecured notes	182,000,000	170,000,000	170,000,000	182,000,000
Senior unsecured notes, face amount	$ 300,000,000	$ 300,000,000	$ 300,000,000	$ 300,000,000
Stated interest rate	5.50%	5.50%	5.50%	5.50%
Notes Which Mature In July 2033 | Senior Notes
Debt Instrument [Line Items]
Shares repurchased during period		$ 11,000,000	$ 25,000,000
Debt Instrument, repurchase amount	$ 13,000,000			$ 13,000,000
Notes Which Mature In December 2040
Debt Instrument [Line Items]
Senior unsecured notes	232,000,000	221,000,000	221,000,000	232,000,000
Senior unsecured notes, face amount	$ 300,000,000	$ 300,000,000	$ 300,000,000	$ 300,000,000
Stated interest rate	5.95%	5.95%	5.95%	5.95%
Notes Which Mature In December 2040 | Senior Notes
Debt Instrument [Line Items]
Shares repurchased during period		$ 7,000,000	$ 22,000,000
Debt Instrument, repurchase amount	$ 11,000,000			$ 11,000,000

Debt (Schedule of Notes Payable

Debt (Schedule of Notes Payable and Long-Term Debt) (Detail) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2015	Jan. 30, 2015
Debt Instrument [Line Items]
Total notes payable and long-term debt	$ 1,129	$ 1,166
Less current portion	2	2
Total notes payable and long-term debt, net of current portion	1,127	1,164
Fair value of notes payable and long-term debt	1,114	1,152
Notes Which Mature In December 2020
Debt Instrument [Line Items]
Senior unsecured notes	$ 454	466
Stated interest rate	4.45%
Effective interest rate	4.53%
Notes Which Mature In December 2040
Debt Instrument [Line Items]
Senior unsecured notes	$ 221	$ 232
Stated interest rate	5.95%	5.95%
Effective interest rate	6.03%
Notes Which Mature In July 2032
Debt Instrument [Line Items]
Senior unsecured notes	$ 248	$ 248
Stated interest rate	7.13%
Effective interest rate	7.43%
Notes Which Mature In July 2033
Debt Instrument [Line Items]
Senior unsecured notes	$ 170	$ 182
Stated interest rate	5.50%	5.50%
Effective interest rate	5.86%
Capital leases and other notes payable due on various dates through fiscal 2020
Debt Instrument [Line Items]
Other notes payable due on various dates through fiscal 2021	$ 36	$ 38
Minimum stated interest rate	0.00%
Maximum stated interest rate	3.70%

Debt (Schedule of Notes Payab39

Debt (Schedule of Notes Payable and Long-Term Debt) (Footnotes) (Detail) - USD ($)	6 Months Ended
	Jul. 03, 2015	Jan. 30, 2015
Notes Which Mature In December 2020
Debt Instrument [Line Items]
Senior unsecured notes, face amount	$ 450,000,000
Debt maturity date	Dec. 1, 2020
Notes Which Mature In December 2040
Debt Instrument [Line Items]
Senior unsecured notes, face amount	$ 300,000,000	$ 300,000,000
Debt maturity date	Dec. 1, 2040
Notes Which Mature In July 2032
Debt Instrument [Line Items]
Senior unsecured notes, face amount	$ 250,000,000
Debt maturity date	Jul. 1, 2032
Notes Which Mature In July 2033
Debt Instrument [Line Items]
Senior unsecured notes, face amount	$ 300,000,000	$ 300,000,000
Debt maturity date	Jul. 1, 2033

Related Party Transactions (Add

Related Party Transactions (Additional Information) (Detail) - USD ($)	6 Months Ended
	Jul. 03, 2015	Jan. 30, 2015
Related Party Transaction [Line Items]
Credit facility, maturity date	2,017
Leidos Holdings Inc,
Related Party Transaction [Line Items]
Notes receivable	$ 1,600,000,000
Notes Which Mature In December 2020
Related Party Transaction [Line Items]
Notes payable	$ 450,000,000
Stated interest rate	4.45%
Notes Which Mature In December 2040
Related Party Transaction [Line Items]
Notes payable	$ 300,000,000
Stated interest rate	5.95%	5.95%
Notes Which Mature In July 2033
Related Party Transaction [Line Items]
Notes payable	$ 300,000,000
Stated interest rate	5.50%	5.50%
Notes Which Mature In July 2032
Related Party Transaction [Line Items]
Notes payable	$ 250,000,000
Stated interest rate	7.13%

Accumulated Other Comprehensi41

Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Detail) - USD ($) $ in Millions	Jul. 03, 2015	Jan. 30, 2015
Accumulated Other Comprehensive Loss [Abstract]
Foreign currency translation adjustments, net of taxes of $0 million as of July 3, 2015 and January 30, 2015, respectively	$ 0	$ 1
Unrecognized net loss on settled derivative instruments associated with outstanding debt, net of taxes of $3 million as of July 3, 2015 and January 30, 2015, respectively	(4)	(5)
Unrecognized net loss on defined benefit plan, net of taxes of $5 million as of July 3, 2015 and January 30, 2015, respectively	(7)	(7)
Total accumulated other comprehensive loss, net of taxes of $8 million as of July 3, 2015 and January 30, 2015, respectively	$ (11)	$ (11)

Accumulated Other Comprehensi42

Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Intext) (Detail) - USD ($) $ in Millions	Jul. 03, 2015	Jan. 30, 2015
Equity [Abstract]
Foreign currency translation adjustments, tax effect	$ 0	$ 0
Unrecognized net loss on settled derivative instruments associated with outstanding debt, tax effect	3	3
Unrecognized net loss on defined benefit plan, taxes	5	5
Total accumulated other comprehensive loss, tax effect	$ 8	$ 8

Earnings (Loss) Per Share (EP43

Earnings (Loss) Per Share (EPS) (Reconciliation of Weighted Average Number of Shares Outstanding) (Detail) - shares shares in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014
Earnings Per Share [Abstract]
Basic weighted average number of shares outstanding (shares)	73	74	73	75
Dilutive common share equivalents-stock options and other stock awards	1	0	2	0
Diluted weighted average number of shares outstanding	74	74	75	75

Earnings (Loss) Per Share (EP44

Earnings (Loss) Per Share (EPS) (Schedule of Stock-Based Awards Excluded from Weighted Average Shares Outstanding) (Detail) - shares shares in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014
Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive stock based awards	2	4	1	3

Earnings (Loss) Per Share (EP45

Earnings (Loss) Per Share (EPS) (Shares Repurchase Program) (Details) - USD ($) shares in Millions	3 Months Ended			6 Months Ended		12 Months Ended
	Jul. 03, 2015	Aug. 01, 2014	May. 02, 2014	Jul. 03, 2015	Aug. 01, 2014	Jan. 31, 2014
Accelerated Share Repurchases [Line Items]
Repurchases of stock				$ 115,000,000	$ 212,000,000
Accelerated Share Repurchase
Accelerated Share Repurchases [Line Items]
Repurchases of stock						$ 300,000,000
Shares repurchased and retired			1			5.6
Second Accelerated Share Repurchase
Accelerated Share Repurchases [Line Items]
Repurchases of stock			$ 200,000,000
Shares repurchased and retired		0.8	4.5
Third Accelerated Share Repurchase [Member]
Accelerated Share Repurchases [Line Items]
Repurchases of stock	$ 100,000,000
Shares repurchased and retired	2.4

Schedule of Segment Reporting I

Schedule of Segment Reporting Information by Segment (Detail) - USD ($) $ in Millions	1 Months Ended	3 Months Ended		6 Months Ended
	Jan. 30, 2015	Jul. 03, 2015	Aug. 01, 2014	Jul. 03, 2015	Aug. 01, 2014
Segment Reporting Information [Line Items]
Revenues	$ 373	$ 1,257	$ 1,306	$ 2,503	$ 2,618
Operating income (loss)	$ (23)	64	(410)	102	(323)
Segments | National Security Solutions
Segment Reporting Information [Line Items]
Revenues		879	925	1,741	1,869
Operating income (loss)		74	78	136	155
Segments | Health and Engineering
Segment Reporting Information [Line Items]
Revenues		379	381	764	753
Operating income (loss)		(7)	(482)	(14)	(459)
Segments | Corporate and Other
Segment Reporting Information [Line Items]
Revenues		(1)	0	(2)	(4)
Operating income (loss)		$ (3)	$ (6)	$ (20)	$ (19)

Legal Proceedings - Additional

Legal Proceedings - Additional Information (Detail)	1 Months Ended			3 Months Ended	6 Months Ended
	Jun. 30, 2014plaintiff	May. 31, 2014plaintiff	Mar. 31, 2012USD ($)	Apr. 30, 2012executiveLegalMatter	Jul. 03, 2015USD ($)	Jul. 31, 2013USD ($)	Nov. 30, 2008USD ($)
Legal Proceedings [Line Items]
Amount outstanding					$ 0
Timekeeping Contract with City of New York
Legal Proceedings [Line Items]
Cash settlement payment			$ 500,000,000
Securities Class Actions
Legal Proceedings [Line Items]
Number of lawsuits | LegalMatter				3
Number of lawsuits, withdrawn | LegalMatter				1
Number of lawsuits, consolidated | LegalMatter				2
Number of former Chief Executive Officers | executive				2
Greek Government Contract
Legal Proceedings [Line Items]
Arbitral award					21,000,000	$ 43,000,000
Recorded losses					123,000,000
Greek Government Contract | Invoice for Undisputed Portion of Contract
Legal Proceedings [Line Items]
Contracts receivable							$ 15,000,000
Greek Government Contract | Value Added Taxes
Legal Proceedings [Line Items]
Receivables relating to value added taxes					17,000,000
Contracts receivable					28,000,000
Tax withholdings					5,000,000
Greek Government Contract | Letters of Credit Relating to Delivery
Legal Proceedings [Line Items]
Letter of credit available to the company					16,000,000
Greek Government Contract | Standby Letters of Credit
Legal Proceedings [Line Items]
Letter of credit available to the company					17,000,000
Greek Government Contract | Letters Of Credit Related System Support And Maintenance | Letters of Credit Relating to Delivery
Legal Proceedings [Line Items]
Amount outstanding					$ 4,000,000
Data Privacy Litigation
Legal Proceedings [Line Items]
Number of plaintiffs | plaintiff	2	2

Other Commitments and Conting48

Other Commitments and Contingencies - Additional Information (Detail) $ in Millions	Dec. 17, 2014USD ($)	Jul. 31, 2015USD ($)	Nov. 30, 2012USD ($)patent	Jul. 31, 2015USD ($)	Sep. 27, 2013USD ($)	Jul. 03, 2015USD ($)
Government Investigations And Reviews
Other Commitments And Contingencies [Line Items]
Liability for estimate of loss					$ 27
Loss contingency accrual						$ 44
Tax Audits And Reviews
Other Commitments And Contingencies [Line Items]
Liabilities for uncertain tax positions						19
Other long-term liabilities						5
Unrecognized tax benefits						13
Standby Letters of Credit
Other Commitments And Contingencies [Line Items]
Amount outstanding						67
Performance Guarantee
Other Commitments And Contingencies [Line Items]
Surety bonds						$ 239
Virnet X Inc
Other Commitments And Contingencies [Line Items]
Number of patents infringed | patent			2
Patents transferred and awarded	$ 23		$ 368
SAIC | Government Investigations And Reviews
Other Commitments And Contingencies [Line Items]
Liability for estimate of loss					18
Predecessor | Government Investigations And Reviews
Other Commitments And Contingencies [Line Items]
Liability for estimate of loss					$ 45
Subsequent Event | Virnet X Inc
Other Commitments And Contingencies [Line Items]
Proceeds from legal settlements		$ 8		$ 10