Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 20, 2017 | |
Entity Information [Line Items] | ||
Document Period End Date | Sep. 30, 2017 | |
Entity Registrant Name | Halliburton Company | |
Entity Central Index Key | 45,012 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 872,540,903 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Revenue: | ||||
Services | $ 4,118 | $ 2,695 | $ 10,971 | $ 8,320 |
Product sales | 1,326 | 1,138 | 3,709 | 3,546 |
Total revenue | 5,444 | 3,833 | 14,680 | 11,866 |
Operating costs and expenses: | ||||
Cost of services | 3,686 | 2,743 | 10,242 | 8,476 |
Cost of sales | 1,069 | 919 | 3,008 | 2,843 |
General and administrative | 55 | 43 | 185 | 132 |
Impairments and other charges | 0 | 0 | 262 | 3,189 |
Merger-related costs and termination fee | 0 | 0 | 0 | 4,057 |
Total operating costs and expenses | 4,810 | 3,705 | 13,697 | 18,697 |
Operating income (loss) | 634 | 128 | 983 | (6,831) |
Interest expense, net of interest income | (115) | (141) | (478) | (502) |
Other, net | (23) | (39) | (67) | (117) |
Income (loss) from continuing operations before income taxes | 496 | (52) | 438 | (7,450) |
Income tax benefit (provision) | (135) | 59 | (81) | 1,836 |
Income (loss) from continuing operations | 361 | 7 | 357 | (5,614) |
Income (loss) from discontinued operations, net | 0 | 0 | 0 | (2) |
Net income (loss) | 361 | 7 | 357 | (5,616) |
Net (income) loss attributable to noncontrolling interest | 4 | (1) | 4 | 2 |
Net income (loss) attributable to company | 365 | 6 | 361 | (5,614) |
Amounts attributable to company shareholders: | ||||
Income (loss) from continuing operations | 365 | 6 | 361 | (5,612) |
Income (loss) from discontinued operations, net | 0 | 0 | 0 | (2) |
Net income (loss) attributable to company | $ 365 | $ 6 | $ 361 | $ (5,614) |
Basic net income (loss) per share | $ 0.42 | $ 0.01 | $ 0.42 | $ (6.53) |
Diluted income (loss) per share | $ 0.42 | $ 0.01 | $ 0.41 | $ (6.53) |
Basic weighted average common shares outstanding (in shares) | 872 | 862 | 869 | 860 |
Diluted weighted average common shares outstanding (in shares) | 873 | 864 | 872 | 860 |
Cash dividends per share | $ 0.18 | $ 0.18 | $ 0.54 | $ 0.54 |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Operations (Unaudited) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Interest income | $ 30 | $ 18 | $ 81 | $ 38 |
Condensed Consolidated Stateme4
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Net income (loss) | $ 361 | $ 7 | $ 357 | $ (5,616) |
Other comprehensive income (loss), net of income taxes: | ||||
Other comprehensive income (loss), net of income taxes | 2 | 1 | 6 | 3 |
Comprehensive income (loss) | 363 | 8 | 363 | (5,613) |
Comprehensive (income) loss attributable to noncontrolling interest | 4 | (1) | 4 | 2 |
Comprehensive income (loss) attributable to company shareholders | $ 367 | $ 7 | $ 367 | $ (5,611) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and equivalents | $ 1,898 | $ 4,009 |
Receivables net of allowances for bad debts | 4,852 | 3,922 |
Inventories | 2,444 | 2,275 |
Prepaid income taxes | 53 | 585 |
Other current assets | 897 | 886 |
Total current assets | 10,144 | 11,677 |
Property, plant, and equipment, net of accumulated depreciation | 8,432 | 8,532 |
Goodwill | 2,685 | 2,414 |
Deferred income taxes | 2,191 | 1,960 |
Other assets | 2,338 | 2,417 |
Total assets | 25,790 | 27,000 |
Current liabilities: | ||
Accounts payable | 2,416 | 1,764 |
Accrued employee compensation and benefits | 706 | 544 |
Short-term borrowings and current maturities of long-term debt | 515 | 170 |
Other current liabilities | 964 | 1,545 |
Total current liabilities | 4,601 | 4,023 |
Long-term debt | 10,423 | 12,214 |
Employee compensation and benefits | 571 | 574 |
Other liabilities | 949 | 741 |
Total liabilities | 16,544 | 17,552 |
Shareholders' equity: | ||
Common shares, par value $2.50 per share | 2,673 | 2,674 |
Paid-in capital in excess of par value | 169 | 201 |
Accumulated other comprehensive loss | (448) | (454) |
Retained earnings | 13,649 | 14,141 |
Treasury stock, at cost | (6,826) | (7,153) |
Company shareholders' equity | 9,217 | 9,409 |
Noncontrolling interest in consolidated subsidiaries | 29 | 39 |
Total shareholders' equity | 9,246 | 9,448 |
Total liabilities and shareholders' equity | $ 25,790 | $ 27,000 |
Condensed Consolidated Balance6
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) shares in Millions, $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Allowance for bad debts | $ 165 | $ 175 |
Accumulated depreciation | $ 11,911 | $ 11,198 |
Shareholders' equity: | ||
Common stock, par value (in dollars per share) | $ 2.50 | $ 2.50 |
Common stock, shares authorized (in shares) | 2,000 | 2,000 |
Common stock, shares issued (in shares) | 1,069 | 1,070 |
Treasury shares (in shares) | 197 | 204 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 357 | $ (5,616) |
Adjustments to reconcile net income (loss) to net cash flows from operating activities: | ||
Depreciation, depletion, and amortization | 1,163 | 1,117 |
U.S. tax refund | 478 | 430 |
Payment related to the Macondo well incident | (368) | (33) |
Impairments and other charges | 262 | 3,189 |
Deferred income tax expense (benefit), continuing operations | (183) | (1,511) |
Changes in assets and liabilities: | ||
Receivables | (1,064) | 682 |
Accounts payable | 611 | (461) |
Inventories | (49) | 388 |
Other | 250 | (947) |
Total cash flows provided by (used in) operating activities | 1,457 | (2,762) |
Cash flows from investing activities: | ||
Capital expenditures | (934) | (625) |
Payments to acquire businesses, net of cash acquired | (628) | 0 |
Proceeds from sales of property, plant, and equipment | 111 | 176 |
Other investing activities | (56) | (73) |
Total cash flows used in investing activities | (1,507) | (522) |
Cash flows from financing activities: | ||
Payments on long-term borrowings | (1,633) | (3,149) |
Dividends to shareholders | (469) | (465) |
Other financing activities | 92 | 163 |
Total cash flows used in financing activities | (2,010) | (3,451) |
Effect of exchange rate changes on cash | (51) | (53) |
Increase (decrease) in cash and equivalents | (2,111) | (6,788) |
Cash and equivalents at beginning of period | 4,009 | 10,077 |
Cash and equivalents at end of period | 1,898 | 3,289 |
Cash payments (receipts) during the period for: | ||
Interest | 455 | 516 |
Income taxes | $ (240) | $ (25) |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements were prepared using generally accepted accounting principles for interim financial information and the instructions to Form 10-Q and Regulation S-X. Accordingly, these financial statements do not include all information or notes required by generally accepted accounting principles for annual financial statements and should be read together with our 2016 Annual Report on Form 10-K. Our accounting policies are in accordance with United States generally accepted accounting principles. The preparation of financial statements in conformity with these accounting principles requires us to make estimates and assumptions that affect: - the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements; and - the reported amounts of revenue and expenses during the reporting period. Ultimate results could differ from our estimates. In our opinion, the condensed consolidated financial statements included herein contain all adjustments necessary to present fairly our financial position as of September 30, 2017 , the results of our operations for the three and nine months ended September 30, 2017 and 2016 , and our cash flows for the nine months ended September 30, 2017 and 2016 . Such adjustments are of a normal recurring nature. In addition, certain reclassifications of prior period balances have been made to conform to the current period presentation. The results of our operations for the three and nine months ended September 30, 2017 may not be indicative of results for the full year. |
Business Segment and Geographic
Business Segment and Geographic Information | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Business Segment and Geographic Information | Business Segment and Geographic Information We operate under two divisions, which form the basis for the two operating segments we report: the Completion and Production segment and the Drilling and Evaluation segment. Intersegment revenue was immaterial. Our equity in earnings and losses of unconsolidated affiliates that are accounted for using the equity method of accounting are included within cost of services on our statements of operations, which is part of operating income of the applicable segment. The following table presents information on our business segments. Three Months Ended Nine Months Ended Millions of dollars 2017 2016 2017 2016 Revenue: Completion and Production $ 3,537 $ 2,176 $ 9,273 $ 6,614 Drilling and Evaluation 1,907 1,657 5,407 5,252 Total revenue $ 5,444 $ 3,833 $ 14,680 $ 11,866 Operating income (loss): Completion and Production $ 525 $ 24 $ 1,069 $ 22 Drilling and Evaluation 180 151 427 546 Total operations 705 175 1,496 568 Corporate and other (a) (71 ) (47 ) (251 ) (4,210 ) Impairments and other charges — — (262 ) (3,189 ) Total operating income (loss) $ 634 $ 128 $ 983 $ (6,831 ) Interest expense, net of interest income (115 ) (141 ) (478 ) (502 ) Other, net (23 ) (39 ) (67 ) (117 ) Income (loss) from continuing operations before income taxes $ 496 $ (52 ) $ 438 $ (7,450 ) (a) Corporate and other includes certain expenses not attributable to a particular business segment such as costs related to support functions and corporate executives. Other items include amortization expense associated with intangible assets recorded as a result of our acquisitions in the third quarter of 2017 and merger-related costs and termination fee incurred during the nine months ended September 30, 2016. Receivables As of September 30, 2017 , 43% of our gross trade receivables were from customers in the United States and 9% were from customers in Venezuela. As of December 31, 2016 , 28% of our gross trade receivables were from customers in the United States and 15% were from customers in Venezuela. Other than the United States and Venezuela, no other country or single customer accounted for more than 10% of our gross trade receivables at these dates. We routinely monitor the financial stability of our customers, and employ an extensive process to evaluate the collectability of outstanding receivables. This process, which involves a high degree of judgment utilizing significant assumptions, includes analysis of our customers’ historical time to pay, financial condition and various financial metrics, debt structure, credit agency ratings, and production profile, as well as political and economic factors in countries of operations and other customer-specific factors. Venezuela. Although we have continued to experience delays in collecting payments on our receivables from our primary customer in Venezuela, our outstanding receivables are not disputed, and we continue to believe that they are collectable, with appropriate classification between short-term and long-term on our condensed consolidated balance sheets. In assessing the collectability of these receivables, we considered our historical collection experience with this customer, including both payments received prior to the industry downturn and continued collections at reduced levels during the downturn, and the fact that we have not historically had material write-offs relating to this customer. We also took into account the continued importance to the Venezuelan economy of oil production, our strategic relationship with this customer, our current activity levels and our current intention to continue to provide services to this customer, and an evaluation of this customer’s financial solvency. We also incorporated assumptions regarding potential future events based on market pricing data points. We are actively managing our relationship with this customer, with ongoing dialogue between key executives of both companies, including discussions regarding this customer's intention to pay long-aged trade receivables. In the second quarter of 2016, we exchanged $200 million of accounts receivables with our primary customer in Venezuela for an interest-bearing promissory note with a par value of the same amount. We recognized a pre-tax loss on the exchange of $148 million , representing the difference between the par value and fair market value of the note. We are accreting the carrying amount of the note to its par value and the carrying amount of this note is $116 million as of September 30, 2017 . Although this customer has made all scheduled interest payments on the note, they did not make the first scheduled principal payment in the third quarter of 2017, which they informed us was due to banking complications. We continue to have discussions with this customer regarding the delay, and they have confirmed their intention to make the payment. While we believe that our customer will make all required payments on this note, further delays in payment on this promissory note or defaults on the customer's indebtedness to other parties may lead to a default on this promissory note. This would result in an impairment charge on the existing carrying amount of this note and potentially further charges on other receivables with this customer, which could have a material adverse effect on our consolidated financial statements. In the second quarter of 2017, we made a decision to exchange an additional $375 million of outstanding accounts receivable with this customer for an interest-bearing promissory note with a par value of the same amount. We recognized a pre-tax loss of $262 million for a fair market value adjustment related to this exchange within "Impairments and other charges" on our condensed consolidated statements of operations. While this exchange has not been finalized, we continue to pursue this transaction in accordance with applicable law. Although we recognized fair value adjustments, we intend to hold both notes to maturity and collect the entire principal amounts. We do not intend to accept further notes as payment if offered, and we will continue to monitor political and economic conditions in Venezuela. We have collected over $600 million on receivables in Venezuela since this industry downturn began in late 2014. We believe our collectability assumptions to be reasonable according to the current facts and circumstances. However, differences in actual experience or changes in facts and circumstances may materially affect our financial position or results of operations. Our assumptions and related judgments are sensitive to the political and economic conditions in Venezuela. If conditions in Venezuela worsen or if low commodity prices persist for an extended period of time, we may be required to record adjustments to our receivables balance. Our financial results can be affected by adjustments to these receivables, including any allowance for bad debts, actual write-offs of uncollectable amounts that differ from estimated amounts, fair value adjustments on existing receivables, and potential defaults on the promissory notes we hold. Subsequent to the fair market value adjustment associated with the additional promissory note exchange, our total outstanding net trade receivables in Venezuela were $429 million as of September 30, 2017 , compared to $610 million as of December 31, 2016 . The majority of our Venezuela receivables are United States dollar-denominated receivables. Of the $429 million of receivables in Venezuela as of September 30, 2017 , $267 million have been classified as long-term and included within “Other assets” on our condensed consolidated balance sheets. See Note 7 for additional information about the promissory notes and Part II, Item 1(a), “Risk Factors” for additional information on risks associated with our operations in Venezuela, including recent sanctions imposed in Venezuela which could delay our ability to execute the promissory note exchange. |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories are stated at the lower of cost and net realizable value. In the United States, we manufacture certain finished products and parts inventories for drill bits, completion products, bulk materials and other tools that are recorded using the last-in, first-out method, which totaled $167 million as of September 30, 2017 and $133 million as of December 31, 2016 . If the average cost method had been used, total inventories would have been $25 million higher than reported as of September 30, 2017 and $16 million higher as of December 31, 2016 . The cost of the remaining inventory was recorded using the average cost method. Inventories consisted of the following: Millions of dollars September 30, December 31, Finished products and parts $ 1,565 $ 1,388 Raw materials and supplies 720 778 Work in process 159 109 Total $ 2,444 $ 2,275 All amounts in the table above are reported net of obsolescence reserves of $280 million as of September 30, 2017 and $263 million as of December 31, 2016 . |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Shareholders’ Equity The following tables summarize our shareholders’ equity activity: Millions of dollars Total shareholders' equity Company shareholders' equity Noncontrolling interest in consolidated subsidiaries Balance at December 31, 2016 $ 9,448 $ 9,409 $ 39 Retained earnings adjustment for new accounting standard (a) (384 ) (384 ) — Payments of dividends to shareholders (469 ) (469 ) — Stock plans 340 340 — Other (52 ) (46 ) (6 ) Comprehensive income (loss) 363 367 (4 ) Balance at September 30, 2017 $ 9,246 $ 9,217 $ 29 (a) Represents a cumulative-effect adjustment to retained earnings upon our adoption of a new accounting standards update on the income tax consequences of intra-entity transfers of assets other than inventory which was effective January 1, 2017. See Note 8 for further information. Millions of dollars Total shareholders' equity Company shareholders' equity Noncontrolling interest in consolidated subsidiaries Balance at December 31, 2015 $ 15,495 $ 15,462 $ 33 Payments of dividends to shareholders (465 ) (465 ) — Stock plans 348 348 — Other (39 ) (52 ) 13 Comprehensive loss (5,613 ) (5,611 ) (2 ) Balance at September 30, 2016 $ 9,726 $ 9,682 $ 44 Our Board of Directors has authorized a program to repurchase our common stock from time to time. Approximately $5.7 billion remains authorized for repurchases as of September 30, 2017 . From the inception of this program in February 2006 through September 30, 2017 , we repurchased approximately 201 million shares of our common stock for a total cost of approximately $8.4 billion . There were no repurchases made under the program during the nine months ended September 30, 2017 . Accumulated other comprehensive loss consisted of the following: Millions of dollars September 30, December 31, Defined benefit and other postretirement liability adjustments $ (313 ) $ (313 ) Cumulative translation adjustments (78 ) (80 ) Other (57 ) (61 ) Total accumulated other comprehensive loss $ (448 ) $ (454 ) |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Macondo well incident The semisubmersible drilling rig, Deepwater Horizon, sank on April 22, 2010 after an explosion and fire onboard the rig that began on April 20, 2010. The Deepwater Horizon was owned by an affiliate of Transocean Ltd. and had been drilling the Macondo exploration well in the Gulf of Mexico for the lease operator, BP Exploration & Production, Inc. (BP). We performed a variety of services on that well for BP. Numerous lawsuits relating to the Macondo well incident and alleging damages arising from the blowout were filed against various parties, including BP, Transocean and us, in federal and state courts throughout the United States, most of which were consolidated in a Multi District Litigation proceeding (MDL) in the United States Eastern District of Louisiana. The defendants in the MDL proceeding filed a variety of cross claims against each other. The trial for the first phase of the MDL proceeding occurred in February 2013 through April 2013 and covered issues arising out of the conduct and degree of culpability of various parties. In September 2014, the MDL court ruled that, among other things, (1) in relation to the Macondo well incident, BP’s conduct was reckless, Transocean’s conduct was negligent, and our conduct was negligent, (2) fault for the Macondo well incident was apportioned 67% to BP, 30% to Transocean and 3% to us, and (3) the indemnity and release clauses in our contract with BP are valid and enforceable against BP. The MDL court did not find that our conduct was grossly negligent, thereby eliminating our exposure in the MDL for punitive damages. In September 2014, we reached an agreement, subject to court approval, to settle a substantial portion of the plaintiffs’ claims asserted against us relating to the Macondo well incident (our MDL Settlement) for an aggregate of $1.1 billion . The Court issued final approval of our MDL Settlement and the period for appeal has expired. On May 20, 2015, we and BP entered into an agreement to resolve all remaining claims against each other, and pursuant to which BP will defend and indemnify us in future trials for compensatory damages. We have also entered into an agreement with Transocean to dismiss all claims made against each other. All of our payments with respect to our MDL Settlement have been made. We believe that there is no additional material financial exposure to us in relation to the Macondo well incident. Securities and related litigation In June 2002, a class action lawsuit was commenced against us in federal court alleging violations of the federal securities laws in connection with our change in accounting for revenue on long-term construction projects and related disclosures. In the weeks that followed, approximately twenty similar class actions were filed against us. The class action cases were later consolidated, and the amended consolidated class action complaint was filed and served upon us in April 2003. In June 2003, the plaintiffs filed a second amended consolidated complaint that included claims arising out of our 1998 acquisition of Dresser Industries, Inc. and our disclosures and reserves relating to our asbestos liability exposure. In December 2016, we reached an agreement in principle to settle this lawsuit, without any admission of liability and subject to approval by the district court. During the second quarter of 2017, we paid approximately $54 million of the $100 million settlement fund, and our insurer paid the balance. On July 31, 2017, the district court issued final approval of the settlement. Plaintiff’s counsel fees and costs will be awarded from the settlement fund. The settlement resolves all pending cases other than Magruder v. Halliburton Co., et. al. (the Magruder case). The allegations arise out of the same general events described above, but for a later class period, December 8, 2001 to May 28, 2002. There has been limited activity in the Magruder case. In March 2009, our motion to dismiss was granted, with leave to re-plead; in March 2012, plaintiffs filed an amended complaint and in May 2012, we filed another motion to dismiss, which remains pending. We cannot predict the outcome or consequences of this case, which we intend to vigorously defend. Investigations In December 2010, we received an anonymous e-mail alleging that certain current and former employees violated our Code of Business Conduct (COBC) and the Foreign Corrupt Practices Act (FCPA), principally through the use of an Angolan vendor to satisfy local content requirements. We notified the Department of Justice (DOJ) and initiated an internal investigation. The investigation was later expanded to include unrelated matters concerning a third-party customs agent in Angola and third-party customs and visa agents in Iraq. The DOJ and the Securities and Exchange Commission (SEC) also conducted investigations into these matters and we cooperated in those investigations. In June 2017, we reached a preliminary understanding with the SEC staff to resolve the SEC's investigation. On July 27, 2017, the Commissioners of the SEC formally approved this settlement. To settle the investigation, we, without admitting or denying any of the factual findings, have consented to the entry of an administrative order stating that in connection with the use of a local content provider in Angola, we violated the books and records and internal controls provisions of the FCPA. In the third quarter of 2017, we made a total payment of approximately $29 million for disgorgement, prejudgment interest, and a civil penalty, and agreed to engage an independent consultant to review aspects of our compliance program in Africa. Separately, the DOJ advised us that it has completed its investigation and will not be taking any action regarding these matters. Environmental We are subject to numerous environmental, legal and regulatory requirements related to our operations worldwide. In the United States, these laws and regulations include, among others: - the Comprehensive Environmental Response, Compensation, and Liability Act; - the Resource Conservation and Recovery Act; - the Clean Air Act; - the Federal Water Pollution Control Act; - the Toxic Substances Control Act; and - the Oil Pollution Act. In addition to the federal laws and regulations, states and other countries where we do business often have numerous environmental, legal, and regulatory requirements by which we must abide. We evaluate and address the environmental impact of our operations by assessing and remediating contaminated properties in order to avoid future liabilities and comply with environmental, legal and regulatory requirements. Our Health, Safety and Environment group has several programs in place to maintain environmental leadership and to help prevent the occurrence of environmental contamination. On occasion we are involved in environmental litigation and claims, including the remediation of properties we own or have operated, as well as efforts to meet or correct compliance-related matters. We do not expect costs related to those claims and remediation requirements to have a material adverse effect on our liquidity, consolidated results of operations, or consolidated financial position. Our accrued liabilities for environmental matters were $44 million as of September 30, 2017 and $50 million as of December 31, 2016 . Because our estimated liability is typically within a range and our accrued liability may be the amount on the low end of that range, our actual liability could eventually be well in excess of the amount accrued. Our total liability related to environmental matters covers numerous properties. Additionally, we have subsidiaries that have been named as potentially responsible parties along with other third parties for seven federal and state Superfund sites for which we have established reserves. As of September 30, 2017 , those seven sites accounted for approximately $3 million of our $44 million total environmental reserve. Despite attempts to resolve these Superfund matters, the relevant regulatory agency may at any time bring suit against us for amounts in excess of the amount accrued. With respect to some Superfund sites, we have been named a potentially responsible party by a regulatory agency; however, in each of those cases, we do not believe we have any material liability. We also could be subject to third-party claims with respect to environmental matters for which we have been named as a potentially responsible party. Guarantee arrangements In the normal course of business, we have agreements with financial institutions under which approximately $2.0 billion of letters of credit, bank guarantees or surety bonds were outstanding as of September 30, 2017 . Some of the outstanding letters of credit have triggering events that would entitle a bank to require cash collateralization. None of these off balance sheet arrangements either has, or is likely to have, a material effect on our consolidated financial statements. |
Income (Loss) per Share
Income (Loss) per Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Income (Loss) per Share | Income per Share Basic income or loss per share is based on the weighted average number of common shares outstanding during the period. Diluted income per share includes additional common shares that would have been outstanding if potential common shares with a dilutive effect had been issued. Antidilutive shares represent potential common shares which are excluded from the computation of diluted income or loss per share as their impact would be antidilutive. A reconciliation of the number of shares used for the basic and diluted income per share computations is as follows: Three Months Ended Nine Months Ended Millions of shares 2017 2016 2017 2016 Basic weighted average common shares outstanding 872 862 869 860 Dilutive effect of awards granted under our stock incentive plans 1 2 3 — Diluted weighted average common shares outstanding 873 864 872 860 Antidilutive shares: Options with exercise price greater than the average market price 14 12 6 13 Options which are antidilutive due to net loss position — — — 1 Total antidilutive shares 14 12 6 14 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments At September 30, 2017 , we held $105 million of investments in fixed income securities with maturities ranging from less than one year to September 2020 , of which $66 million are classified as “Other current assets” and $39 million are classified as “Other assets” on our condensed consolidated balance sheets. At December 31, 2016 , we also held $92 million of investments in fixed income securities. These securities consist primarily of corporate bonds and other debt instruments, are accounted for as available-for-sale and are recorded at fair value on quoted prices for identical assets in less active markets, which are categorized within level 2 on the fair value hierarchy. At September 30, 2017 and December 31, 2016 , we held an interest-bearing promissory note with our primary customer in Venezuela with a par value of $200 million . The initial fair value of the promissory note of $52 million was based on pricing data points for similar assets in an illiquid market and is categorized within level 3 on the fair value hierarchy. We are using an effective interest method to accrete the carrying amount to its par value as it matures. This accretion income is being recorded through “Interest expense, net of interest income” on our condensed consolidated statements of operations. As of September 30, 2017 , the carrying amount of this promissory note was $116 million , consisting of a current portion of $92 million and non-current portion of $24 million , which are classified as “Receivables” and “Other assets,” respectively, on our condensed consolidated balance sheets. Although this customer has made all scheduled interest payments on the note, they did not make the first scheduled principal payment in the third quarter of 2017, which they informed us was due to banking complications. We continue to have discussions with this customer regarding the delay, and they have confirmed their intention to make the payment. As of September 30, 2017 , the fair value of this note approximates its initial fair value, which is lower than its carrying amount. However, we continue to hold this note to maturity and account for it under an accretion model as we believe that our customer will make all required payments. Accordingly, we do not believe any write-downs of this note are appropriate at this time. We will continue to monitor conditions in Venezuela and assess the value of this note going forward. The carrying amount as of December 31, 2016 was $70 million , which approximated its fair value. During the second quarter of 2017, we made a decision to exchange an additional $375 million of our accounts receivable with our primary customer in Venezuela for an additional interest-bearing promissory note with a par value of the same amount. We recognized a pre-tax loss of $262 million for a fair market value adjustment related to this exchange. We determined fair value based on pricing data points for similar notes in an illiquid market which is categorized within level 3 on the fair value hierarchy. While this exchange has not been finalized, we continue to pursue this transaction in accordance with applicable law. See Note 2 for further discussion. We maintain an interest rate management strategy that is intended to mitigate the exposure to changes in interest rates in the aggregate for our debt portfolio. We use interest rate swaps to effectively convert a portion of our fixed rate debt to floating LIBOR-based rates. Our interest rate swaps, which expire when the underlying debt matures, are designated as fair value hedges of the underlying debt and are determined to be highly effective. These derivative instruments are marked to market with gains and losses recognized currently in interest expense to offset the respective gains and losses recognized on changes in the fair value of the hedged debt. During the first quarter of 2017, we terminated a series of our interest rate swaps with a notional amount of $1.4 billion in conjunction with our early redemption of senior notes. We included the gain from the swap termination in our calculation of early debt extinguishment costs. As of September 30, 2017 , we had one remaining interest rate swap relating to one of our debt instruments with a total notional amount of $100 million . The fair value of our interest rate swaps as of September 30, 2017 and December 31, 2016 are included in “Other assets” in our condensed consolidated balance sheets and were immaterial. The fair value of our interest rate swaps are categorized within level 2 on the fair value hierarchy and were determined using an income approach model with inputs, such as the notional amount, LIBOR rate spread and settlement terms that are observable in the market or can be derived from or corroborated by observable data. The carrying amount of cash and equivalents, receivables, and accounts payable, as reflected in the condensed consolidated balance sheets, approximates fair value due to the short maturities of these instruments. The carrying amount and fair value of our total debt, including short-term borrowings and current maturities of long-term debt, is as follows: September 30, 2017 December 31, 2016 Millions of dollars Level 1 Level 2 Total fair value Carrying value Level 1 Level 2 Total fair value Carrying value Total debt $ 345 $ 11,906 $ 12,251 $ 10,938 $ 753 $ 12,812 $ 13,565 $ 12,384 Our debt categorized within level 1 on the fair value hierarchy is calculated using quoted prices in active markets for identical liabilities with transactions occurring on the last two days of period-end. Our debt categorized within level 2 on the fair value hierarchy is calculated using significant observable inputs for similar liabilities where estimated values are determined from observable data points on our other bonds and on other similarly rated corporate debt or from observable data points of transactions occurring prior to two days from period-end and adjusting for changes in market conditions. Our total fair value and carrying value of debt decreased during the nine months ended September 30, 2017 primarily due to the early extinguishment of $1.4 billion of senior notes. Additionally, differences between the periods presented in our level 1 and level 2 classification of our long-term debt relate to the timing of when transactions are executed. We have no debt categorized within level 3 on the fair value hierarchy based on unobservable inputs. |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Pronouncements and Changes in Accounting Principles | New Accounting Pronouncements Standards adopted in 2017 Stock-Based Compensation On January 1, 2017, we adopted an accounting standards update issued by the Financial Accounting Standards Board (FASB) which simplifies several aspects of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and the classification on the statement of cash flows. In addition, the update allows an entity-wide accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. The element of the update that has the most impact on our financial statements is income tax consequences. Excess tax benefits and tax deficiencies on stock-based compensation awards are now included in our tax provision within our condensed consolidated statement of operations as discrete items in the reporting period in which they occur, rather than previous accounting of recording in additional paid-in capital on our condensed consolidated balance sheets. We have also elected to continue our current policy of estimating forfeitures of stock-based compensation awards at the time of grant and revising in subsequent periods to reflect actual forfeitures. We applied the update prospectively beginning January 1, 2017, and the adoption did not have a material impact on our condensed consolidated financial statements. Intra-Entity Transfers of Assets On January 1, 2017, we adopted an accounting standards update issued by the FASB to improve the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. The update requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs, rather than the previous requirement to defer recognition of current and deferred income taxes for an intra-entity asset transfer until the asset had been sold to an outside party. Two common examples of assets included in the scope of this update are intellectual property and property, plant and equipment. The update was applied on a modified retrospective basis resulting in a cumulative-effect adjustment of $384 million recorded directly to retained earnings as of January 1, 2017. Inventory On January 1, 2017, we adopted an accounting standards update issued by the FASB which simplifies the measurement of inventory. The update now requires inventory measured using the first in, first out or average cost methods to be subsequently measured at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable cost of completion, disposal and transportation. The update eliminated the requirement to subsequently measure inventory at the lower of cost or market, which could be replacement cost, net realizable value, or net realizable value less an approximately normal profit margin. The adoption of this update did not impact our condensed consolidated financial statements. Standards not yet adopted Revenue Recognition In May 2014, the FASB issued a comprehensive new revenue recognition standard that will supersede existing revenue recognition guidance under U.S. GAAP. The core principle of the new guidance is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The standard creates a five step model that requires companies to exercise judgment when considering the terms of a contract and all relevant facts and circumstances. The standard allows for several transition methods: (a) a full retrospective adoption in which the standard is applied to all of the periods presented, or (b) a modified retrospective adoption in which the standard is applied only to the most current period presented in the financial statements with a cumulative-effect adjustment reflected in retained earnings. The standard also requires significantly expanded disclosures regarding the qualitative and quantitative information of an entity's nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. This new revenue recognition standard will be effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. We performed a detailed review of our contract portfolio representative of our different businesses and compared historical accounting policies and practices to the new standard. Because the standard will impact our business processes, systems and controls, we also developed a comprehensive change management project plan to guide the implementation. Over the course of 2017, we have conducted training sessions for those in our global organization that will be impacted by the new standard and have developed a web-based training course providing a detailed overview of the key changes within the new standard. Our services are primarily short-term in nature, and we do not expect the new revenue recognition standard will have a material impact on our financial statements upon adoption. We will adopt the new standard utilizing the modified retrospective method that will result in a cumulative effect adjustment as of January 1, 2018. Leases In February 2016, the FASB issued an accounting standards update related to accounting for leases, which requires the assets and liabilities that arise from leases to be recognized on the balance sheet. Currently only capital leases are recorded on the balance sheet. This update will require the lessee to recognize a lease liability equal to the present value of the lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for all leases longer than 12 months. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and liabilities and recognize the lease expense for such leases generally on a straight-line basis over the lease term. This update will be effective for fiscal periods beginning after December 15, 2018, including interim periods within that reporting period. Early adoption is permitted. We are currently evaluating the impact that this update will have on our condensed consolidated financial statements. |
Inventories (Policies)
Inventories (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory, Policy | Inventories are stated at the lower of cost and net realizable value. |
Business Segment and Geograph17
Business Segment and Geographic Information (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Information on business segments | The following table presents information on our business segments. Three Months Ended Nine Months Ended Millions of dollars 2017 2016 2017 2016 Revenue: Completion and Production $ 3,537 $ 2,176 $ 9,273 $ 6,614 Drilling and Evaluation 1,907 1,657 5,407 5,252 Total revenue $ 5,444 $ 3,833 $ 14,680 $ 11,866 Operating income (loss): Completion and Production $ 525 $ 24 $ 1,069 $ 22 Drilling and Evaluation 180 151 427 546 Total operations 705 175 1,496 568 Corporate and other (a) (71 ) (47 ) (251 ) (4,210 ) Impairments and other charges — — (262 ) (3,189 ) Total operating income (loss) $ 634 $ 128 $ 983 $ (6,831 ) Interest expense, net of interest income (115 ) (141 ) (478 ) (502 ) Other, net (23 ) (39 ) (67 ) (117 ) Income (loss) from continuing operations before income taxes $ 496 $ (52 ) $ 438 $ (7,450 ) (a) Corporate and other includes certain expenses not attributable to a particular business segment such as costs related to support functions and corporate executives. Other items include amortization expense associated with intangible assets recorded as a result of our acquisitions in the third quarter of 2017 and merger-related costs and termination fee incurred during the nine months ended September 30, 2016. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories consisted of the following: Millions of dollars September 30, December 31, Finished products and parts $ 1,565 $ 1,388 Raw materials and supplies 720 778 Work in process 159 109 Total $ 2,444 $ 2,275 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Summary of shareholders' equity activity | The following tables summarize our shareholders’ equity activity: Millions of dollars Total shareholders' equity Company shareholders' equity Noncontrolling interest in consolidated subsidiaries Balance at December 31, 2016 $ 9,448 $ 9,409 $ 39 Retained earnings adjustment for new accounting standard (a) (384 ) (384 ) — Payments of dividends to shareholders (469 ) (469 ) — Stock plans 340 340 — Other (52 ) (46 ) (6 ) Comprehensive income (loss) 363 367 (4 ) Balance at September 30, 2017 $ 9,246 $ 9,217 $ 29 (a) Represents a cumulative-effect adjustment to retained earnings upon our adoption of a new accounting standards update on the income tax consequences of intra-entity transfers of assets other than inventory which was effective January 1, 2017. See Note 8 for further information. Millions of dollars Total shareholders' equity Company shareholders' equity Noncontrolling interest in consolidated subsidiaries Balance at December 31, 2015 $ 15,495 $ 15,462 $ 33 Payments of dividends to shareholders (465 ) (465 ) — Stock plans 348 348 — Other (39 ) (52 ) 13 Comprehensive loss (5,613 ) (5,611 ) (2 ) Balance at September 30, 2016 $ 9,726 $ 9,682 $ 44 |
Schedule of comprehensive income (loss) | Accumulated other comprehensive loss consisted of the following: Millions of dollars September 30, December 31, Defined benefit and other postretirement liability adjustments $ (313 ) $ (313 ) Cumulative translation adjustments (78 ) (80 ) Other (57 ) (61 ) Total accumulated other comprehensive loss $ (448 ) $ (454 ) |
Income (Loss) per Share Income
Income (Loss) per Share Income (Loss) per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Weighted average shares outstanding and antidilutive shares [Line Items] | |
Weighted average shares outstanding and antidilutive shares | A reconciliation of the number of shares used for the basic and diluted income per share computations is as follows: Three Months Ended Nine Months Ended Millions of shares 2017 2016 2017 2016 Basic weighted average common shares outstanding 872 862 869 860 Dilutive effect of awards granted under our stock incentive plans 1 2 3 — Diluted weighted average common shares outstanding 873 864 872 860 Antidilutive shares: Options with exercise price greater than the average market price 14 12 6 13 Options which are antidilutive due to net loss position — — — 1 Total antidilutive shares 14 12 6 14 |
Fair Value of Financial Instr21
Fair Value of Financial Instruments Fair value by balance sheet grouping table (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | The carrying amount and fair value of our total debt, including short-term borrowings and current maturities of long-term debt, is as follows: September 30, 2017 December 31, 2016 Millions of dollars Level 1 Level 2 Total fair value Carrying value Level 1 Level 2 Total fair value Carrying value Total debt $ 345 $ 11,906 $ 12,251 $ 10,938 $ 753 $ 12,812 $ 13,565 $ 12,384 |
Business Segment and Geograph22
Business Segment and Geographic Information (Narrative) (Details) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Sep. 30, 2017USD ($)DivisionCountriesCustomers | Dec. 31, 2016USD ($)CountriesCustomers | |
Concentration Risk [Line Items] | ||||
Number of business segments | Division | 2 | |||
Maximum Percentage Gross Trade Receivables From One Geographic Segment | 10.00% | 10.00% | ||
Maximum Percentage Gross Trade Receivables From One Customer | 10.00% | 10.00% | ||
Number of Countries Exceed Receivables Threshold | Countries | 1 | 2 | ||
Number of Customers Exceed Receivables Threshold | Customers | 0 | 0 | ||
Venezuela trade receivables exchanged for promissory note | $ 375 | $ 200 | ||
Pre-tax loss on promissory note | $ 262 | 148 | ||
Promissory note fair value | $ 52 | $ 116 | $ 70 | |
VENEZUELA | ||||
Concentration Risk [Line Items] | ||||
Collections on receivables | 600 | |||
Accounts Receivable, Gross | 429 | $ 610 | ||
Accounts Receivable, Gross, Noncurrent | $ 267 | |||
Accounts Receivable [Member] | VENEZUELA | ||||
Concentration Risk [Line Items] | ||||
Concentration Risk, Percentage | 9.00% | 15.00% | ||
Geographic Concentration Risk [Member] | UNITED STATES | Accounts Receivable [Member] | ||||
Concentration Risk [Line Items] | ||||
Concentration Risk, Percentage | 43.00% | 28.00% |
Business Segment and Geograph23
Business Segment and Geographic Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | ||
Revenue: | |||||
Revenue | $ 5,444 | $ 3,833 | $ 14,680 | $ 11,866 | |
Operating income (loss): | |||||
Operating income (loss) | 634 | 128 | 983 | (6,831) | |
Impairments and other charges | 0 | 0 | (262) | (3,189) | |
Interest expense, net of interest income | (115) | (141) | (478) | (502) | |
Other, net | (23) | (39) | (67) | (117) | |
Income (loss) from continuing operations before income taxes | 496 | (52) | 438 | (7,450) | |
Completion and Production | |||||
Revenue: | |||||
Revenue | 3,537 | 2,176 | 9,273 | 6,614 | |
Operating income (loss): | |||||
Operating income (loss) | 525 | 24 | 1,069 | 22 | |
Drilling and Evaluation | |||||
Revenue: | |||||
Revenue | 1,907 | 1,657 | 5,407 | 5,252 | |
Operating income (loss): | |||||
Operating income (loss) | 180 | 151 | 427 | 546 | |
Total operations | |||||
Revenue: | |||||
Revenue | 5,444 | 3,833 | 14,680 | 11,866 | |
Operating income (loss): | |||||
Operating income (loss) | 705 | 175 | 1,496 | 568 | |
Corporate and other | |||||
Operating income (loss): | |||||
Operating income (loss) | [1] | $ (71) | $ (47) | $ (251) | $ (4,210) |
[1] | Corporate and other includes certain expenses not attributable to a particular business segment such as costs related to support functions and corporate executives. Other items include amortization expense associated with intangible assets recorded as a result of our acquisitions in the third quarter of 2017 and merger-related costs and termination fee incurred during the nine months ended September 30, 2016. |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
LIFO Method Related Items [Abstract] | ||
LIFO Inventory Amount | $ 167 | $ 133 |
Average Cost Method, Difference | 25 | 16 |
Inventory, Net [Abstract] | ||
Finished products and parts | 1,565 | 1,388 |
Raw materials and supplies | 720 | 778 |
Work in process | 159 | 109 |
Inventory, net | 2,444 | 2,275 |
Obsolescence reserves | $ 280 | $ 263 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Jan. 01, 2017 | ||||
Shareholders' equity activity [Roll Forward] | ||||||||
Balance at beginning of period | $ 9,448 | $ 15,495 | ||||||
Effect of early adoption of income tax consequences of intra-entity transfer of assets other than inventory | $ (384) | [1] | (384) | [1] | $ (384) | |||
Payments of dividends to shareholders | (469) | (465) | ||||||
Stock plans | 340 | 348 | ||||||
Other | (52) | (39) | ||||||
Comprehensive income (loss) | 363 | $ 8 | 363 | (5,613) | ||||
Balance at end of period | 9,246 | 9,726 | 9,246 | 9,726 | ||||
Company shareholders' equity | ||||||||
Shareholders' equity activity [Roll Forward] | ||||||||
Balance at beginning of period | 9,409 | 15,462 | ||||||
Effect of early adoption of income tax consequences of intra-entity transfer of assets other than inventory | [1] | (384) | (384) | |||||
Payments of dividends to shareholders | (469) | (465) | ||||||
Stock plans | 340 | 348 | ||||||
Other | (46) | (52) | ||||||
Comprehensive income (loss) | 367 | (5,611) | ||||||
Balance at end of period | 9,217 | 9,682 | 9,217 | 9,682 | ||||
Noncontrolling interest in consolidated subsidiaries | ||||||||
Shareholders' equity activity [Roll Forward] | ||||||||
Balance at beginning of period | 39 | 33 | ||||||
Effect of early adoption of income tax consequences of intra-entity transfer of assets other than inventory | [1] | 0 | 0 | |||||
Payments of dividends to shareholders | 0 | 0 | ||||||
Stock plans | 0 | 0 | ||||||
Other | (6) | 13 | ||||||
Comprehensive income (loss) | (4) | (2) | ||||||
Balance at end of period | $ 29 | $ 44 | $ 29 | $ 44 | ||||
[1] | Represents a cumulative-effect adjustment to retained earnings upon our adoption of a new accounting standards update on the income tax consequences of intra-entity transfers of assets other than inventory which was effective January 1, 2017. See Note 8 for further information. |
Shareholders' Equity (Schedule
Shareholders' Equity (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Stockholders' Equity Note [Abstract] | ||
Defined benefit and other postretirement liability adjustments | $ (313) | $ (313) |
Cumulative translation adjustments | (78) | (80) |
Other | (57) | (61) |
Total accumulated other comprehensive income (loss) | $ (448) | $ (454) |
Shareholders' Equity Repurchase
Shareholders' Equity Repurchase Activity (Details) $ in Billions | 9 Months Ended |
Sep. 30, 2017USD ($)shares | |
Class of Stock [Line Items] | |
Treasury Stock, Shares, Acquired | shares | 0 |
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ | $ 5.7 |
Treasury Stock Shares Acquired From Inception | shares | 201,000,000 |
Treasury Stock Value Acquired Cost Method From Inception | $ | $ 8.4 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Millions | 1 Months Ended | 3 Months Ended | |
Sep. 30, 2014USD ($) | Sep. 30, 2017USD ($)Class_Actions | Jun. 30, 2017USD ($) | |
Loss Contingencies [Line Items] | |||
Loss Contingency, payment for SEC investigation | $ 29 | ||
Macondo well incident | |||
Loss Contingencies [Line Items] | |||
BP Fault Apportionment in Macondo Ruling | 67.00% | ||
Transocean Fault Apportionment In Macondo Ruling | 30.00% | ||
Halliburton Fault Apportionment In Macondo Ruling | 3.00% | ||
Loss Contingency, Settlement Agreement, Terms | $ 1,100 | ||
Securities and related litigation | |||
Loss Contingencies [Line Items] | |||
Number Of Similar Class Action Lawsuits That Were Consolidated Into One Suit | Class_Actions | 20 | ||
Litigation Settlement, Expense | $ 54 | ||
Litigation Settlement, Amount Awarded to Other Party | $ 100 |
Commitments and Contingencies29
Commitments and Contingencies (Environmental) (Details) $ in Millions | Sep. 30, 2017USD ($)Superfund_Sites | Dec. 31, 2016USD ($) |
Accrual for Environmental Loss Contingencies Disclosure [Abstract] | ||
Accrual for Environmental Loss Contingencies | $ 44 | $ 50 |
Superfund Sites [Member] | ||
Accrual for Environmental Loss Contingencies Disclosure [Abstract] | ||
Number of superfund sites | Superfund_Sites | 7 | |
Accrual for site contingency | $ 3 |
Commitments and Contingencies30
Commitments and Contingencies (Guarantee Arrangements) (Details) $ in Billions | Sep. 30, 2017USD ($) |
Financial agreements | |
Guarantee arrangements [Abstract] | |
Guarantee arrangements outstanding | $ 2 |
Income (Loss) per Share (Detail
Income (Loss) per Share (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Basic weighted average common shares outstanding (in shares) | 872 | 862 | 869 | 860 |
Dilutive effect of awards granted under our stock incentive plans | 1 | 2 | 3 | 0 |
Diluted weighted average common shares outstanding (in shares) | 873 | 864 | 872 | 860 |
Stock Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Options with exercise price greater than the average market price | 14 | 12 | 6 | 13 |
Options which are antidilutive due to net loss position | 0 | 0 | 0 | 1 |
Total antidilutive shares | 14 | 12 | 6 | 14 |
Fair Value of Financial Instr32
Fair Value of Financial Instruments (Details) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Jun. 30, 2016USD ($) | Sep. 30, 2017USD ($)Debt_Instruments | Dec. 31, 2016USD ($) | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Early Repayment of Senior Debt | $ 1,400 | ||||
Number Of Debt Instruments With Related Interest Rate Swaps | Debt_Instruments | 1 | ||||
Derivative, Notional Amount | $ 100 | ||||
Assets | |||||
Investment maturity range (current) | 1 year | ||||
Available-for-sale Securities, Debt Maturities, Date | Sep. 1, 2020 | ||||
Venezuela trade receivables exchanged for promissory note | $ 375 | $ 200 | |||
Promissory note fair value | 52 | $ 116 | $ 70 | ||
Pre-tax loss on promissory note | $ 262 | $ 148 | |||
Promissory note fair value, current | 92 | ||||
Promissory note fair value, noncurrent | 24 | ||||
Other Current Assets | |||||
Assets | |||||
Available-for-sale Securities, Current | 66 | 56 | |||
Other Assets | |||||
Assets | |||||
Available-for-sale Securities, Noncurrent | 39 | 36 | |||
Long-term debt | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term Debt, Fair Value | 12,251 | 13,565 | |||
Carrying value | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term Debt | 10,938 | 12,384 | |||
Fair Value, Inputs, Level 1 [Member] | |||||
Assets | |||||
Fair value of investments and fixed income securities | 0 | 0 | |||
Fair Value, Inputs, Level 1 [Member] | Long-term debt | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term Debt, Fair Value | 345 | 753 | |||
Level 2 | |||||
Assets | |||||
Fair value of investments and fixed income securities | 105 | 92 | |||
Level 2 | Long-term debt | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term Debt, Fair Value | 11,906 | 12,812 | |||
Level 3 | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Long-term Debt, Fair Value | 0 | 0 | |||
Assets | |||||
Fair value of investments and fixed income securities | $ 575 | $ 200 |
New Accounting Pronouncements N
New Accounting Pronouncements New Accounting Pronouncements (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Jan. 01, 2017 | |
New Accounting Pronouncements [Abstract] | |||
Effect of early adoption of income tax consequences of intra-entity transfer of assets other than inventory | $ 384 | [1] | $ 384 |
[1] | Represents a cumulative-effect adjustment to retained earnings upon our adoption of a new accounting standards update on the income tax consequences of intra-entity transfers of assets other than inventory which was effective January 1, 2017. See Note 8 for further information. |