Exhibit 99.1
TEXTRON INC.
Revenues by Segment and Reconciliation of Segment Profit to Net Income
(Dollars in millions, except per share amounts)
(Unaudited)
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| Three Months Ended |
| Twelve Months Ended |
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| December 28, 2013 |
| December 29, 2012 |
| December 28, 2013 |
| December 29, 2012 |
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REVENUES |
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MANUFACTURING: |
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Cessna |
| $ | 923 |
| $ | 901 |
| $ | 2,784 |
| $ | 3,111 |
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Bell |
| 1,375 |
| 1,149 |
| 4,511 |
| 4,274 |
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Textron Systems |
| 409 |
| 571 |
| 1,665 |
| 1,737 |
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Industrial |
| 773 |
| 706 |
| 3,012 |
| 2,900 |
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| 3,480 |
| 3,327 |
| 11,972 |
| 12,022 |
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FINANCE |
| 26 |
| 35 |
| 132 |
| 215 |
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Total revenues |
| $ | 3,506 |
| $ | 3,362 |
| $ | 12,104 |
| $ | 12,237 |
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SEGMENT PROFIT |
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MANUFACTURING: |
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Cessna (a) |
| $ | 33 |
| $ | 23 |
| $ | (48 | ) | $ | 82 |
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Bell |
| 178 |
| 177 |
| 573 |
| 639 |
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Textron Systems |
| 40 |
| 36 |
| 147 |
| 132 |
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Industrial |
| 54 |
| 43 |
| 242 |
| 215 |
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| 305 |
| 279 |
| 914 |
| 1,068 |
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FINANCE |
| 2 |
| 2 |
| 49 |
| 64 |
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Segment Profit |
| 307 |
| 281 |
| 963 |
| 1,132 |
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Corporate expenses and other, net |
| (57 | ) | (43 | ) | (166 | ) | (148 | ) | ||||
Interest expense, net for Manufacturing group |
| (27 | ) | (38 | ) | (123 | ) | (143 | ) | ||||
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Income from continuing operations before income taxes |
| 223 |
| 200 |
| 674 |
| 841 |
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Income tax expense |
| (52 | ) | (54 | ) | (176 | ) | (260 | ) | ||||
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Income from continuing operations |
| 171 |
| 146 |
| 498 |
| 581 |
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Discontinued operations, net of income taxes |
| (4 | ) | 2 |
| — |
| 8 |
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Net income |
| $ | 167 |
| $ | 148 |
| $ | 498 |
| $ | 589 |
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Earnings per share: |
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Income from continuing operations |
| $ | 0.60 |
| $ | 0.50 |
| $ | 1.75 |
| $ | 1.97 |
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Discontinued operations, net of income taxes |
| (0.01 | ) | 0.01 |
| — |
| 0.03 |
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Net income |
| $ | 0.59 |
| $ | 0.51 |
| $ | 1.75 |
| $ | 2.00 |
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Diluted average shares outstanding |
| 282,707,000 |
| 291,562,000 |
| 284,428,000 |
| 294,663,000 |
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(a) Full year 2013 includes $28 million in severance costs. Fourth quarter of 2012 includes a $27 million charge related to an award against Cessna in an arbitration proceeding.
TEXTRON INC.
Condensed Consolidated Balance Sheets
(In millions)
(Unaudited)
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| December 28, |
| December 29, |
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Assets |
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Cash and equivalents |
| $ | 1,163 |
| $ | 1,378 |
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Accounts receivable, net |
| 979 |
| 829 |
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Inventories |
| 2,963 |
| 2,712 |
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Other current assets |
| 467 |
| 470 |
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Net property, plant and equipment |
| 2,215 |
| 2,149 |
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Other assets |
| 3,432 |
| 3,173 |
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Finance group assets |
| 1,725 |
| 2,322 |
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Total Assets |
| $ | 12,944 |
| $ | 13,033 |
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Liabilities and Shareholders’ Equity |
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Current portion of long-term debt |
| $ | 8 |
| $ | 535 |
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Other current liabilities |
| 2,995 |
| 2,977 |
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Other liabilities |
| 2,118 |
| 2,798 |
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Long-term debt |
| 1,923 |
| 1,766 |
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Finance group liabilities |
| 1,516 |
| 1,966 |
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Total Liabilities |
| 8,560 |
| 10,042 |
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Total Shareholders’ Equity |
| 4,384 |
| 2,991 |
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Total Liabilities and Shareholders’ Equity |
| $ | 12,944 |
| $ | 13,033 |
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TEXTRON INC.
Condensed Consolidated Schedule of Cash Flows
(In millions)
(Unaudited)
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| Three Months Ended |
| Twelve Months Ended |
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| December 28, |
| December 29, |
| December 28, |
| December 29, |
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| 2013 |
| 2012 |
| 2013 |
| 2012 |
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Cash flows from operating activities: |
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Income from continuing operations |
| $ | 171 |
| $ | 146 |
| $ | 498 |
| $ | 581 |
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Depreciation and amortization |
| 104 |
| 106 |
| 389 |
| 383 |
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Changes in working capital |
| 537 |
| 381 |
| (87 | ) | 28 |
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Changes in other assets and liabilities and non-cash items |
| 104 |
| (100 | ) | 13 |
| (57 | ) | ||||
Net cash from operating activities of continuing operations |
| 916 |
| 533 |
| 813 |
| 935 |
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Cash flows from investing activities: |
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Capital expenditures |
| (144 | ) | (166 | ) | (444 | ) | (480 | ) | ||||
Net cash used in acquisitions |
| (143 | ) | (3 | ) | (196 | ) | (11 | ) | ||||
Finance receivables repaid |
| 33 |
| 121 |
| 190 |
| 599 |
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Proceeds from sales of receivables and other finance assets |
| 26 |
| 65 |
| 178 |
| 249 |
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Other investing activities, net |
| (5 | ) | 22 |
| 8 |
| 21 |
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Net cash from investing activities |
| (233 | ) | 39 |
| (264 | ) | 378 |
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Cash flows from financing activities: |
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Principal payments on long-term and nonrecourse debt |
| (59 | ) | (141 | ) | (1,056 | ) | (615 | ) | ||||
Proceeds from long-term debt |
| 36 |
| 18 |
| 448 |
| 106 |
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Settlement of convertible debt |
| — |
| — |
| (215 | ) | (2 | ) | ||||
Proceeds from settlement of capped call |
| — |
| — |
| 75 |
| — |
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Purchases of Textron common stock |
| — |
| (272 | ) | — |
| (272 | ) | ||||
Decrease in short-term debt |
| (96 | ) | — |
| — |
| — |
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Other financing activities, net |
| 6 |
| 2 |
| 6 |
| 2 |
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Net cash from financing activities |
| (113 | ) | (393 | ) | (742 | ) | (781 | ) | ||||
Total cash flows from continuing operations |
| 570 |
| 179 |
| (193 | ) | 532 |
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Total cash flows from discontinued operations |
| 2 |
| (3 | ) | (3 | ) | (8 | ) | ||||
Effect of exchange rate changes on cash and equivalents |
| 2 |
| (1 | ) | (6 | ) | 4 |
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Net change in cash and equivalents |
| 574 |
| 175 |
| (202 | ) | 528 |
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Cash and equivalents at beginning of period |
| 637 |
| 1,238 |
| 1,413 |
| 885 |
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Cash and equivalents at end of period |
| $ | 1,211 |
| $ | 1,413 |
| $ | 1,211 |
| $ | 1,413 |
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