Document_And_Entity_Informatio
Document And Entity Information | 9 Months Ended |
Sep. 28, 2013 | |
Document And Entity Information [Abstract] | |
Entity Registrant Name | Motorola Solutions, Inc. |
Entity Central Index Key | 68505 |
Current Fiscal Year End Date | -19 |
Entity Filer Category | Large Accelerated Filer |
Document Type | 10-Q |
Document Period End Date | 28-Sep-13 |
Document Fiscal Year Focus | 2013 |
Document Fiscal Period Focus | Q3 |
Amendment Flag | FALSE |
Entity Common Stock, Shares Outstanding | 258,712,629 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements Of Operations (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Income Statement [Abstract] | ||||
Net sales from products | $1,482 | $1,567 | $4,342 | $4,574 |
Net sales from services | 630 | 586 | 1,850 | 1,683 |
Net sales | 2,112 | 2,153 | 6,192 | 6,257 |
Costs of product sales | 674 | 682 | 2,019 | 2,052 |
Costs of services sales | 395 | 384 | 1,145 | 1,085 |
Costs of sales | 1,069 | 1,066 | 3,164 | 3,137 |
Gross margin | 1,043 | 1,087 | 3,028 | 3,120 |
Selling, general and administrative expenses | 438 | 485 | 1,369 | 1,454 |
Research and development expenditures | 253 | 262 | 782 | 785 |
Other charges | 32 | 16 | 75 | 48 |
Operating earnings | 320 | 324 | 802 | 833 |
Other income (expense): | ||||
Interest expense, net | -29 | -16 | -85 | -46 |
Gains on sales of investments and businesses, net | 29 | 19 | 36 | 39 |
Other | 5 | -3 | 1 | -18 |
Total other income (expense) | 5 | 0 | -48 | -25 |
Earnings from continuing operations before income taxes | 325 | 324 | 754 | 808 |
Income tax expense (benefit) | 17 | 118 | -8 | 266 |
Earnings from continuing operations | 308 | 206 | 762 | 542 |
Earnings from discontinued operations, net of tax | 0 | 0 | 0 | 3 |
Net earnings | 308 | 206 | 762 | 545 |
Less: Earnings attributable to noncontrolling interests | 1 | 0 | 5 | 0 |
Net earnings attributable to Motorola Solutions, Inc. | 307 | 206 | 757 | 545 |
Amounts attributable to Motorola Solutions, Inc. common stockholders: | ||||
Earnings from continuing operations, net of tax | 307 | 206 | 757 | 542 |
Earnings from discontinued operations, net of tax | 0 | 0 | 0 | 3 |
Net earnings attributable to Motorola Solutions, Inc. | $307 | $206 | $757 | $545 |
Basic: | ||||
Continuing operations (US$ per share) | $1.17 | $0.73 | $2.82 | $1.83 |
Discontinued operations (US$ per share) | $0 | $0 | $0 | $0.01 |
Basic (US$ per share): | $1.17 | $0.73 | $2.82 | $1.84 |
Diluted: | ||||
Continuing operations (US$ per share) | $1.16 | $0.72 | $2.77 | $1.80 |
Discontinued operations (US$ per share) | $0 | $0 | $0 | $0.01 |
Diluted (US$ per share): | $1.16 | $0.72 | $2.77 | $1.81 |
Weighted average common shares outstanding: | ||||
Basic (shares) | 262.2 | 283.1 | 268.7 | 296.1 |
Diluted (shares) | 265.3 | 287.4 | 273.5 | 301.5 |
Dividends declared per share (US$ per share) | $0.31 | $0.26 | $0.83 | $0.70 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statement of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Statement of Other Comprehensive Income [Abstract] | ||||
Net earnings | $308 | $206 | $762 | $545 |
Other comprehensive income (loss) | ||||
Amortization of retirement benefit adjustments, net of tax of $9, $14, $28 and $65, respectively | 17 | 53 | 52 | 148 |
Remeasurement of retirement benefit adjustments, net of tax if $0, $52, $0 and $52 | 0 | 87 | 0 | 87 |
Foreign currency translation adjustments, net of tax of $2, $21, $(4) and $11, respectively | 20 | 4 | -22 | -18 |
Net gain (loss) on derivative hedging instruments, net of tax of $0, $0, $0 and $0, respectively | -1 | 2 | -2 | 4 |
Net unrealized gain (loss) on securities, net of tax of $0, $(5), $0 and $1, respectively | 1 | -6 | 0 | 2 |
Current period change in Other comprehensive income (loss) | 37 | 140 | 28 | 223 |
Comprehensive Income | 345 | 346 | 790 | 768 |
Less: Earnings attributable to noncontrolling interests | 1 | 0 | 5 | 0 |
Comprehensive income attributable to Motorola Solutions, Inc. common shareholders | $344 | $346 | $785 | $768 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statement of Comprehensive Income (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Statement of Other Comprehensive Income [Abstract] | ||||
Amortization of retirement benefits adjustments, tax | $9 | $14 | $28 | $65 |
Remeasurement of retirement benefit adjustments, tax | 0 | 52 | 0 | 52 |
Foreign currency translation adjustments, tax | 2 | 21 | -4 | 11 |
Net gain (loss) on derivative hedging instruments, tax | 0 | 0 | 0 | 0 |
Net unrealized gain (loss) on securities, tax | $0 | ($5) | $0 | $1 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
ASSETS | ||
Cash and cash equivalents | $1,721 | $1,468 |
Sigma Fund and short-term investments | 1,169 | 2,135 |
Accounts receivable, net | 1,823 | 1,881 |
Inventories, net | 521 | 513 |
Deferred income taxes | 586 | 604 |
Other current assets | 760 | 800 |
Total current assets | 6,580 | 7,401 |
Property, plant and equipment, net | 841 | 839 |
Investments | 259 | 240 |
Deferred income taxes | 2,668 | 2,416 |
Goodwill | 1,507 | 1,510 |
Other assets | 203 | 273 |
Total assets | 12,058 | 12,679 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Current portion of long-term debt | 4 | 4 |
Accounts payable | 633 | 705 |
Accrued liabilities | 2,203 | 2,626 |
Total current liabilities | 2,840 | 3,335 |
Long-term debt | 2,458 | 1,859 |
Other liabilities | 4,055 | 4,195 |
Stockholders' Equity | ||
Preferred stock, $100 par value | 0 | 0 |
Common stock, $.01 par value: Authorized shares: 600.0; Issued shares: 9/28/13-260.2; 12/31/12-277.3; Outstanding shares: 9/28/13-258.7; 12/31/12-276.1 | 3 | 3 |
Additional paid-in capital | 3,783 | 4,937 |
Retained earnings | 2,162 | 1,625 |
Accumulated other comprehensive loss | -3,272 | -3,300 |
Total Motorola Solutions, Inc. stockholders' equity | 2,676 | 3,265 |
Noncontrolling interests | 29 | 25 |
Total stockholders' equity | 2,705 | 3,290 |
Total liabilities and stockholders' equity | $12,058 | $12,679 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, except Per Share data, unless otherwise specified | ||
Stockholders' Equity | ||
Preferred stock, par value | $100 | $100 |
Common stock, par value | $0.01 | $0.01 |
Common stock, authorized shares | 600 | 600 |
Common stock, issued shares | 260.2 | 277.3 |
Common stock, outstanding shares | 258.7 | 276.1 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements Of Stockholders' Equity (Unaudited) (USD $) | Total | Common Stock and Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Income (Loss), Net of Tax [Member] | Retained Earnings [Member] | Noncontrolling Interests [Member] |
In Millions, unless otherwise specified | |||||
Balance at Dec. 31, 2012 | $3,290 | $4,940 | ($3,300) | $1,625 | $25 |
Balance (in shares) at Dec. 31, 2012 | 277.3 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net earnings | 762 | 757 | 5 | ||
Foreign currency translation adjustments, net of tax benefit of $(4) | -22 | -22 | |||
Amortization of retirement benefit adjustments, net of tax of $28 | 52 | 52 | |||
Issuance of common stock and stock options exercised | 45 | ||||
Issuance of common stock and stock options exercised (in shares) | 5.9 | ||||
Share repurchase program | -1,332 | ||||
Share repurchase program (in shares) | -23 | ||||
Excess tax benefit from share-based compensation | 20 | ||||
Share-based compensation expense | 116 | ||||
Net loss on derivative hedging instruments, net of tax of $0 | -2 | -2 | |||
Acquisition of noncontrolling interest | -3 | -1 | |||
Dividends declared | -220 | ||||
Balance at Sep. 28, 2013 | $2,705 | $3,786 | ($3,272) | $2,162 | $29 |
Balance (in shares) at Sep. 28, 2013 | 260.2 |
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements Of Stockholders' Equity (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Statement of Stockholders' Equity [Abstract] | ||||
Net unrealized loss on securities, tax | $0 | ($5) | $0 | $1 |
Foreign currency translation adjustments, tax | 2 | 21 | -4 | 11 |
Amortization of retirement benefits adjustments, tax | 9 | 14 | 28 | 65 |
Net loss on derivative hedging instruments, tax | $0 | $0 | $0 | $0 |
Condensed_Consolidated_Stateme5
Condensed Consolidated Statements Of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 |
Operating | ||
Net earnings attributable to Motorola Solutions, Inc. | $757 | $545 |
Earnings attributable to noncontrolling interests | 5 | 0 |
Net earnings | 762 | 545 |
Earnings from discontinued operations, net of tax | 0 | 3 |
Earnings from continuing operations | 762 | 542 |
Adjustments to reconcile earnings from continuing operations to net cash provided by operating activities: | ||
Depreciation and amortization | 168 | 151 |
Non-cash other charges (income) | -9 | 12 |
Share-based compensation expense | 116 | 139 |
Gains on sales of investments and businesses, net | -36 | -39 |
Loss from the extinguishment of long-term debt | 0 | -6 |
Deferred income taxes | -242 | 203 |
Changes in assets and liabilities, net of effects of acquisitions and dispositions: | ||
Accounts receivable | 29 | 189 |
Inventories | -10 | -51 |
Other current assets | 23 | -147 |
Accounts payable and accrued liabilities | -573 | -283 |
Other assets and liabilities | -25 | -218 |
Net cash provided by operating activities from continuing operations | 203 | 504 |
Investing | ||
Acquisitions and investments, net | -27 | 61 |
Proceeds from (used for) sales of investments and businesses, net | 54 | -38 |
Capital expenditures | -125 | -140 |
Proceeds from sales of property, plant and equipment | 15 | 9 |
Proceeds from sales of Sigma Fund and short term investments, net | 966 | 1,450 |
Net cash provided by investing activities from continuing operations | 883 | 1,342 |
Financing | ||
Repayment of debt | -3 | -412 |
Net proceeds from issuance of debt | 593 | 747 |
Issuance of common stock | 109 | 79 |
Purchase of common stock | -1,332 | -2,112 |
Excess tax benefits from share-based compensation | 20 | 17 |
Payment of dividends | -212 | -197 |
Distributions to discontinued operations | 0 | -84 |
Net cash used for financing activities from continuing operations | -825 | -1,962 |
Discontinued Operations | ||
Net cash provided by operating activities from discontinued operations | 0 | 2 |
Net cash provided by financing activities from discontinued operations | 0 | 11 |
Effect of exchange rate changes on cash and cash equivalents from discontinued operations | 0 | -13 |
Net cash provided by discontinued operations | 0 | 0 |
Effect of exchange rate changes on cash and cash equivalents from continuing operations | -8 | 14 |
Net increase (decrease) in cash and cash equivalents | 253 | -102 |
Cash and cash equivalents, beginning of period | 1,468 | 1,881 |
Cash and cash equivalents, end of period | 1,721 | 1,779 |
Cash paid during the period for: | ||
Interest, net | 74 | 61 |
Income and withholding taxes, net of refunds | $231 | $104 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 28, 2013 | |
Basis Of Presentation [Abstract] | |
Basis of Presentation | Basis of Presentation |
The condensed consolidated financial statements as of September 28, 2013 and for the three and nine months ended September 28, 2013 and September 29, 2012, include, in the opinion of management, all adjustments (consisting of normal recurring adjustments and reclassifications) necessary to present fairly the condensed consolidated balance sheets, statements of operations, statements of comprehensive income, statement of stockholders' equity, and statements of cash flows of Motorola Solutions, Inc. (“Motorola Solutions” or the “Company”) for all periods presented. | |
Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Form 10-K for the year ended December 31, 2012. The results of operations for the three and nine months ended September 28, 2013 are not necessarily indicative of the operating results to be expected for the full year. | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make certain 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 revenues and expenses during the reporting periods. Actual results could differ from those estimates. | |
Recent Accounting Pronouncements | |
In February 2013, the Financing Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-04, “Obligations Resulting from Joint and Several Liability Arrangements for which the Total Amount of the Obligation Is Fixed at the Reporting Date.” The standard addresses the recognition, measurement, and disclosure of certain obligations resulting from joint and several liability arrangements for which the total amount of the obligation is fixed at the reporting date, including debt arrangements, other contractual obligations, and settled litigation and judicial rulings. U.S. GAAP does not currently include specific guidance on accounting for such obligations with joint and several liability which has resulted in diversity in practice. The ASU requires an entity to measure these obligations as the sum of the amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors and any additional amount the reporting entity expects to pay on behalf of its co-obligors. The ASU also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. The ASU is to be applied retrospectively to all prior periods presented for those obligations resulting from joint and several liability arrangements within the scope of updates that exist within the Company's statement of financial position at the beginning of the year of adoption. This guidance will be effective for the Company beginning January 1, 2014. The Company anticipates that the adoption of this standard will not have a material impact on its consolidated financial statements or footnote disclosures. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | |||
Sep. 28, 2013 | ||||
Discontinued Operations and Disposal Groups [Abstract] | ||||
Discontinued Operations | Discontinued Operations | |||
On January 1, 2012, the Company completed a series of transactions which resulted in exiting the amateur, marine and airband radio businesses. The operating results of the amateur, marine and airband radio businesses, formerly included as part of the Government segment, are reported as discontinued operations in the condensed consolidated statements of operations for all periods of fiscal year 2012. The results of certain purchase price adjustments for previous divestitures that were recorded during the periods presented have also been reported as discontinued operations for the nine months ended September 29, 2012. | ||||
During the three and nine months ended September 28, 2013, and the three months ended September 29, 2012, the Company had no activity in the condensed consolidated statements of operations for discontinued operations. The following table displays summarized activity in the Company's condensed consolidated statements of operations for discontinued operations during the nine months ended September 29, 2012. | ||||
Nine Months Ended | ||||
September 29, | ||||
2012 | ||||
Net sales | $ | — | ||
Operating earnings | 11 | |||
Loss on sales of investments and businesses, net | (7 | ) | ||
Earnings before income taxes | 8 | |||
Income tax expense | 5 | |||
Earnings from discontinued operations, net of tax | 3 | |||
Other_Financial_Data
Other Financial Data | 9 Months Ended | |||||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||||
Other Financial Data [Abstract] | ||||||||||||||||||||
Other Financial Data | Other Financial Data | |||||||||||||||||||
Statement of Operations Information | ||||||||||||||||||||
Other Charges | ||||||||||||||||||||
Other charges included in Operating earnings consist of the following: | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Other charges: | ||||||||||||||||||||
Intangibles amortization | $ | 8 | $ | 6 | $ | 20 | $ | 18 | ||||||||||||
Reorganization of businesses | 24 | 10 | 55 | 30 | ||||||||||||||||
$ | 32 | $ | 16 | $ | 75 | $ | 48 | |||||||||||||
Other Income (Expense) | ||||||||||||||||||||
Interest expense, net, and Other, both included in Other income (expense), consist of the following: | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Interest income (expense), net: | ||||||||||||||||||||
Interest expense | $ | (33 | ) | $ | (29 | ) | $ | (100 | ) | $ | (79 | ) | ||||||||
Interest income | 4 | 13 | 15 | 33 | ||||||||||||||||
$ | (29 | ) | $ | (16 | ) | $ | (85 | ) | $ | (46 | ) | |||||||||
Other: | ||||||||||||||||||||
Loss from the extinguishment of long-term debt | $ | — | $ | — | $ | — | $ | (6 | ) | |||||||||||
Investment impairments | (1 | ) | (6 | ) | (5 | ) | (8 | ) | ||||||||||||
Foreign currency loss | (4 | ) | — | (8 | ) | (11 | ) | |||||||||||||
Gains on equity method investments | 8 | 2 | 7 | 4 | ||||||||||||||||
Other | 2 | 1 | 7 | 3 | ||||||||||||||||
$ | 5 | $ | (3 | ) | $ | 1 | $ | (18 | ) | |||||||||||
Earnings Per Common Share | ||||||||||||||||||||
The computation of basic and diluted earnings per common share attributable to Motorola Solutions, Inc. common stockholders is as follows: | ||||||||||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Three Months Ended | September 28, | September 29, | September 28, | September 29, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 307 | $ | 206 | $ | 307 | $ | 206 | ||||||||||||
Weighted average common shares outstanding | 262.2 | 283.1 | 262.2 | 283.1 | ||||||||||||||||
Per share amount | $ | 1.17 | $ | 0.73 | $ | 1.17 | $ | 0.73 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 307 | $ | 206 | $ | 307 | $ | 206 | ||||||||||||
Weighted average common shares outstanding | 262.2 | 283.1 | 262.2 | 283.1 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 3.1 | 4.3 | 3.1 | 4.3 | ||||||||||||||||
Diluted weighted average common shares outstanding | 265.3 | 287.4 | 265.3 | 287.4 | ||||||||||||||||
Per share amount | $ | 1.16 | $ | 0.72 | $ | 1.16 | $ | 0.72 | ||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Nine Months Ended | September 28, | September 29, | September 28, | September 29, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 757 | $ | 542 | $ | 757 | $ | 545 | ||||||||||||
Weighted average common shares outstanding | 268.7 | 296.1 | 268.7 | 296.1 | ||||||||||||||||
Per share amount | $ | 2.82 | $ | 1.83 | $ | 2.82 | $ | 1.84 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 757 | $ | 542 | $ | 757 | $ | 545 | ||||||||||||
Weighted average common shares outstanding | 268.7 | 296.1 | 268.7 | 296.1 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 4.8 | 5.4 | 4.8 | 5.4 | ||||||||||||||||
Diluted weighted average common shares outstanding | 273.5 | 301.5 | 273.5 | 301.5 | ||||||||||||||||
Per share amount | $ | 2.77 | $ | 1.8 | $ | 2.77 | $ | 1.81 | ||||||||||||
In the computation of diluted earnings per common share from both continuing operations and on a net earnings basis for the three and nine months ended September 28, 2013, the assumed exercise of 5.6 million and 4.8 million stock options, respectively, were excluded because their inclusion would have been antidilutive. In the computation of diluted earnings per common share from both continuing operations and on a net earnings basis for the three and nine months ended September 29, 2012, the assumed exercise of 6.1 million and 6.0 million stock options, respectively, were excluded because their inclusion would have been antidilutive. | ||||||||||||||||||||
Balance Sheet Information | ||||||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||||||
The Company’s cash and cash equivalents (which are highly-liquid investments with an original maturity of three months or less) were $1.7 billion at September 28, 2013 and $1.5 billion at December 31, 2012. Of these amounts, $63 million at both September 28, 2013 and December 31, 2012 was restricted. | ||||||||||||||||||||
Sigma Fund | ||||||||||||||||||||
The Sigma Fund consists of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Cash | $ | 261 | $ | 149 | ||||||||||||||||
U.S. government, agency, and government-sponsored enterprise obligations | 906 | 1,984 | ||||||||||||||||||
$ | 1,167 | $ | 2,133 | |||||||||||||||||
Investments | ||||||||||||||||||||
Investments consist of the following: | ||||||||||||||||||||
Recorded Value | Less | |||||||||||||||||||
September 28, 2013 | Short-term | Investments | Unrealized | Unrealized | Cost | |||||||||||||||
Investments | Gains | Loss | Basis | |||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 17 | $ | — | $ | (1 | ) | $ | 18 | |||||||||
Corporate bonds | 2 | 6 | — | — | 8 | |||||||||||||||
Mortgage-backed securities | — | 2 | — | — | 2 | |||||||||||||||
Common stock and equivalents | — | 11 | 4 | — | 7 | |||||||||||||||
2 | 36 | 4 | (1 | ) | 35 | |||||||||||||||
Other securities, at cost | — | 206 | — | — | 206 | |||||||||||||||
Equity method investments | — | 17 | — | — | 17 | |||||||||||||||
$ | 2 | $ | 259 | $ | 4 | $ | (1 | ) | $ | 258 | ||||||||||
Recorded Value | Less | |||||||||||||||||||
December 31, 2012 | Short-term | Investments | Unrealized | Unrealized | Cost | |||||||||||||||
Investments | Gains | Loss | Basis | |||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 15 | $ | — | $ | — | $ | 15 | ||||||||||
Corporate bonds | 2 | 11 | — | — | 13 | |||||||||||||||
Mortgage-backed securities | — | 2 | — | — | 2 | |||||||||||||||
Common stock and equivalents | — | 10 | 3 | — | 7 | |||||||||||||||
2 | 38 | 3 | — | 37 | ||||||||||||||||
Other securities, at cost | — | 189 | — | — | 189 | |||||||||||||||
Equity method investments | — | 13 | — | — | 13 | |||||||||||||||
$ | 2 | $ | 240 | $ | 3 | $ | — | $ | 239 | |||||||||||
The Company reclassified $96 million of cash surrender values of its split-dollar value life insurance plans, as of December 31, 2012, from Other assets to Investments, to conform to the balance sheet presentation as of September 28, 2013. | ||||||||||||||||||||
Accounts Receivable, Net | ||||||||||||||||||||
Accounts receivable, net, consists of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Accounts receivable | $ | 1,879 | $ | 1,932 | ||||||||||||||||
Less allowance for doubtful accounts | (56 | ) | (51 | ) | ||||||||||||||||
$ | 1,823 | $ | 1,881 | |||||||||||||||||
Inventories, Net | ||||||||||||||||||||
Inventories, net, consist of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Finished goods | $ | 234 | $ | 244 | ||||||||||||||||
Work-in-process and production materials | 462 | 432 | ||||||||||||||||||
696 | 676 | |||||||||||||||||||
Less inventory reserves | (175 | ) | (163 | ) | ||||||||||||||||
$ | 521 | $ | 513 | |||||||||||||||||
Other Current Assets | ||||||||||||||||||||
Other current assets consist of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Costs and earnings in excess of billings | $ | 413 | $ | 416 | ||||||||||||||||
Contract-related deferred costs | 111 | 141 | ||||||||||||||||||
Tax-related deposits and refunds receivable | 98 | 95 | ||||||||||||||||||
Other | 138 | 148 | ||||||||||||||||||
$ | 760 | $ | 800 | |||||||||||||||||
Property, Plant and Equipment, Net | ||||||||||||||||||||
Property, plant and equipment, net, consists of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Land | $ | 37 | $ | 38 | ||||||||||||||||
Building | 748 | 739 | ||||||||||||||||||
Machinery and equipment | 1,926 | 1,932 | ||||||||||||||||||
2,711 | 2,709 | |||||||||||||||||||
Less accumulated depreciation | (1,870 | ) | (1,870 | ) | ||||||||||||||||
$ | 841 | $ | 839 | |||||||||||||||||
Depreciation expense for the three months ended September 28, 2013 and September 29, 2012 was $51 million and $39 million, respectively. Depreciation expense for the nine months ended September 28, 2013 and September 29, 2012 was $148 million and $133 million, respectively. | ||||||||||||||||||||
Other Assets | ||||||||||||||||||||
Other assets consist of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Intangible assets | $ | 92 | $ | 109 | ||||||||||||||||
Long-term receivables | 19 | 60 | ||||||||||||||||||
Other | 92 | 104 | ||||||||||||||||||
$ | 203 | $ | 273 | |||||||||||||||||
Accrued Liabilities | ||||||||||||||||||||
Accrued liabilities consist of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Deferred revenue | $ | 766 | $ | 820 | ||||||||||||||||
Compensation | 319 | 424 | ||||||||||||||||||
Billings in excess of costs and earnings | 211 | 387 | ||||||||||||||||||
Tax liabilities | 54 | 95 | ||||||||||||||||||
Customer reserves | 126 | 144 | ||||||||||||||||||
Dividend payable | 80 | 72 | ||||||||||||||||||
Other | 647 | 684 | ||||||||||||||||||
$ | 2,203 | $ | 2,626 | |||||||||||||||||
Other Liabilities | ||||||||||||||||||||
Other liabilities consist of the following: | ||||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Defined benefit plans, including split dollar life insurance policies | $ | 3,270 | $ | 3,389 | ||||||||||||||||
Postretirement health care benefit plan | 166 | 167 | ||||||||||||||||||
Deferred revenue | 311 | 304 | ||||||||||||||||||
Unrecognized tax benefits | 99 | 98 | ||||||||||||||||||
Other | 209 | 237 | ||||||||||||||||||
$ | 4,055 | $ | 4,195 | |||||||||||||||||
Stockholders’ Equity | ||||||||||||||||||||
Share Repurchase Program: The Company paid an aggregate of $1.3 billion during the first nine months of 2013, including transactions costs, to repurchase approximatley 23 million shares at an average price of $58.05 per share. During the first nine months of 2012, the Company paid an aggregate of $2.1 billion, including transaction costs, to repurchase 37.1 million shares at an average price of $48.50 per share. All repurchased shares have been retired. | ||||||||||||||||||||
On July 24, 2013, the Company announced that its Board of Directors authorized up to $2.0 billion in additional funds for share repurchase, bringing the aggregate amount of the share repurchase program to $7.0 billion. As of September 28, 2013, the Company had used approximately $4.9 billion of the share repurchase authority, including transaction costs, to repurchase shares, leaving $2.1 billion of authority available for future repurchases. | ||||||||||||||||||||
Payment of Dividends: On July 24, 2013, the Company announced that its Board of Directors approved an increase in the quarterly cash dividend from $0.26 per share to $0.31 per share of common stock. During the nine months ended September 28, 2013 and September 29, 2012, the Company paid $212 million and $197 million, respectively, in cash dividends to holders of its common stock. | ||||||||||||||||||||
Accumulated Other Comprehensive Loss | ||||||||||||||||||||
The following table displays the changes in Accumulated other comprehensive loss, net of tax, by component from January 1, 2013 to September 28, 2013: | ||||||||||||||||||||
Gains and Losses on Cash Flow Hedges | Unrealized Gains and Losses on Available-for-Sale Securities | Retirement Benefit Items | Foreign Currency Translation Adjustments | Total | ||||||||||||||||
Balance as of January 1, 2013 | $ | 1 | $ | 2 | $ | (3,211 | ) | $ | (92 | ) | $ | (3,300 | ) | |||||||
Other comprehensive losses before reclassifications | (1 | ) | — | — | (22 | ) | (23 | ) | ||||||||||||
Amounts reclassified from Accumulated other comprehensive loss | $ | (1 | ) | $ | — | $ | 52 | $ | — | $ | 51 | |||||||||
Current period change in Other comprehensive income (loss) | (2 | ) | — | 52 | (22 | ) | 28 | |||||||||||||
Balance as of September 28, 2013 | $ | (1 | ) | $ | 2 | $ | (3,159 | ) | $ | (114 | ) | $ | (3,272 | ) | ||||||
The following table displays the amounts reclassified from Accumulated other comprehensive loss and the affected line item in the condensed consolidated statement of operations during the three and nine months ended September 28, 2013: | ||||||||||||||||||||
September 28, 2013 | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
Gains on cash flow hedges: | ||||||||||||||||||||
Foreign exchange contracts | $ | — | $ | (1 | ) | Cost of sales | ||||||||||||||
$ | — | $ | (1 | ) | Net of tax | |||||||||||||||
Amortization of Retirement Benefit Items: | ||||||||||||||||||||
Prior-service costs | $ | (13 | ) | $ | (38 | ) | Selling, general, and administrative expenses | |||||||||||||
Actuarial net losses | 39 | 118 | Selling, general, and administrative expenses | |||||||||||||||||
26 | 80 | Total before tax | ||||||||||||||||||
(9 | ) | (28 | ) | Tax expense | ||||||||||||||||
$ | 17 | $ | 52 | Net of tax | ||||||||||||||||
Total reclassifications for the period, net of tax | $ | 17 | $ | 51 | ||||||||||||||||
Debt_and_Credit_Facilities
Debt and Credit Facilities | 9 Months Ended |
Sep. 28, 2013 | |
Debt Disclosure [Abstract] | |
Debt and Credit Facilities | Debt and Credit Facilities |
During the first quarter of 2013, the Company issued an aggregate face principal amount of $600 million of 3.500% Senior Notes due 2023, of which, after debt issuance costs and debt discounts, the Company recognized net proceeds from issuance of this debt of $588 million. | |
In May 2012 , the Company issued an aggregate face principal amount of $750 million of 3.750% Senior Notes due May 15, 2022 (the “2022 Senior Notes”), which after debt issuance and debt discounts, the Company recognized net proceeds of $740 million from the issuance of this debt. Also in May 2012, the Company called for the redemption of the $400 million aggregate principal amount outstanding of its 5.375% Senior Notes due November 2012 (the “2012 Senior Notes”). All of the 2012 Senior Notes were redeemed in June 2012 for an aggregate purchase price of approximately $408 million. After accelerating the amortization of debt issuance costs and debt discounts, the Company recognized a loss of approximately $6 million related to this redemption within Other income (expense) in the condensed consolidated statements of operations. This debt was repurchased with a portion of the proceeds from the issuance of the 2022 Senior Notes. | |
As of September 28, 2013, the Company had a $1.5 billion unsecured syndicated revolving credit facility (the “2011 Motorola Solutions Credit Agreement”) scheduled to mature on June 30, 2014. The Company must comply with certain customary covenants, including maximum leverage and minimum interest coverage ratios as defined in the 2011 Motorola Solutions Credit Agreement. The Company was in compliance with its financial covenants as of September 28, 2013. The Company did not borrow under the 2011 Motorola Solutions Credit Agreement during the three and nine months ended September 28, 2013. |
Risk_Management
Risk Management | 9 Months Ended | |||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||
Risk Management [Abstract] | ||||||||||||||||||
Risk Management | Risk Management | |||||||||||||||||
Foreign Currency Risk | ||||||||||||||||||
At September 28, 2013, the Company had outstanding foreign exchange contracts with notional amounts totaling $762 million, compared to $523 million outstanding at December 31, 2012. The Company does not believe these financial instruments should subject it to undue risk due to foreign exchange movements because gains and losses on these contracts should generally offset gains and losses on the underlying assets, liabilities and transactions, except for the ineffective portion of the instruments, which are charged to Other within Other income (expense) in the Company’s condensed consolidated statements of operations. | ||||||||||||||||||
The following table shows the five largest net notional amounts of the positions to buy or sell foreign currency as of September 28, 2013, and the corresponding positions as of December 31, 2012: | ||||||||||||||||||
Notional Amount | ||||||||||||||||||
Net Buy (Sell) by Currency | September 28, | December 31, | ||||||||||||||||
2013 | 2012 | |||||||||||||||||
British Pound | $ | 213 | $ | 225 | ||||||||||||||
Chinese Renminbi | (155 | ) | (99 | ) | ||||||||||||||
Norwegian Krone | (107 | ) | (48 | ) | ||||||||||||||
Euro | (88 | ) | (9 | ) | ||||||||||||||
Malaysian Ringgit | 65 | 30 | ||||||||||||||||
Interest Rate Risk | ||||||||||||||||||
At September 28, 2013, including the current portion, the Company had $2.5 billion of long-term debt, which is primarily priced at long-term, fixed interest rates. | ||||||||||||||||||
As part of its liability management program, one of the Company’s European subsidiaries has outstanding interest rate agreements (“Interest Agreements”) relating to Euro-denominated loans. The interest on the Euro-denominated loans is variable. The Interest Agreements change the characteristics of interest payments from variable to maximum fixed-rate payments. The Interest Agreements are not accounted for as a part of a hedging relationship and, accordingly, the changes in the fair value of the Interest Agreements are included in Other income (expense) in the Company’s condensed consolidated statements of operations. The fair value of the Interest Agreements was in a liability position of $3 million and $4 million, at September 28, 2013 and December 31, 2012, respectively. | ||||||||||||||||||
Counterparty Risk | ||||||||||||||||||
The use of derivative financial instruments exposes the Company to counterparty credit risk in the event of non-performance by counterparties. However, the Company’s risk is limited to the fair value of the instruments when the derivative is in an asset position. The Company actively monitors its exposure to credit risk. As of September 28, 2013, all of the counterparties have investment grade credit ratings. The Company is not exposed to material net credit risk with any single counterparty. As of September 28, 2013, the Company was exposed to an aggregate net credit risk of approximately $5 million with all counterparties. | ||||||||||||||||||
The following tables summarize the fair values and location in the condensed consolidated balance sheets of all derivative financial instruments held by the Company at September 28, 2013 and December 31, 2012: | ||||||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
September 28, 2013 | Fair | Balance | Fair | Balance | ||||||||||||||
Value | Sheet | Value | Sheet | |||||||||||||||
Location | Location | |||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | $ | — | Other assets | $ | 1 | Other liabilities | ||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | 5 | Other assets | — | Other liabilities | ||||||||||||||
Interest agreements | — | Other assets | 3 | Other liabilities | ||||||||||||||
Total derivatives not designated as hedging instruments | $ | 5 | $ | 3 | ||||||||||||||
Total derivatives | $ | 5 | $ | 4 | ||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
December 31, 2012 | Fair | Balance | Fair | Balance | ||||||||||||||
Value | Sheet | Value | Sheet | |||||||||||||||
Location | Location | |||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | $ | 1 | Other assets | $ | — | Other liabilities | ||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | 2 | Other assets | 3 | Other liabilities | ||||||||||||||
Interest agreements | — | Other assets | 4 | Other liabilities | ||||||||||||||
Total derivatives not designated as hedging instruments | 2 | 7 | ||||||||||||||||
Total derivatives | $ | 3 | $ | 7 | ||||||||||||||
The following tables summarize the effect of derivative instruments in the Company's condensed consolidated statements of operations for the three and nine months ended September 28, 2013 and September 29, 2012: | ||||||||||||||||||
Three Months Ended | Statement of | |||||||||||||||||
Gain (loss) on Derivative Instruments | September 28, | September 29, | Operations Location | |||||||||||||||
2013 | 2012 | |||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Interest rate contracts | $ | — | $ | — | Other income (expense) | |||||||||||||
Foreign exchange contracts | 8 | (1 | ) | Other income (expense) | ||||||||||||||
Total derivatives not designated as hedging instruments | $ | 8 | $ | (1 | ) | |||||||||||||
Nine Months Ended | Statement of | |||||||||||||||||
Gain (loss) on Derivative Instruments | September 28, | September 29, | Operations Location | |||||||||||||||
2013 | 2012 | |||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Interest rate contracts | $ | 1 | $ | (1 | ) | Other income (expense) | ||||||||||||
Foreign exchange contracts | (1 | ) | (5 | ) | Other income (expense) | |||||||||||||
Total derivatives not designated as hedging instruments | $ | — | $ | (6 | ) | |||||||||||||
The following tables summarize the gains and losses recognized in the condensed consolidated financial statements for the three and nine months ended September 28, 2013 and September 29, 2012: | ||||||||||||||||||
Three Months Ended | Nine Months Ended | Financial Statement | ||||||||||||||||
Foreign Exchange Contracts | September 28, | September 29, | 28-Sep-13 | 29-Sep-12 | Location | |||||||||||||
2013 | 2012 | |||||||||||||||||
Derivatives in cash flow hedging relationships: | ||||||||||||||||||
Other comprehensive gains (losses) before reclassifications | $ | (1 | ) | $ | 1 | $ | (1 | ) | $ | 2 | Accumulated other | |||||||
comprehensive loss | ||||||||||||||||||
Losses (gains) reclassified from Accumulated other comprehensive loss into Net earnings | — | 1 | (1 | ) | 2 | Costs of sales | ||||||||||||
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 28, 2013 | |
Income Tax Expense (Benefit) [Abstract] | |
Income Taxes | Income Taxes |
At September 28, 2013 and December 31, 2012, the Company had valuation allowances of $274 million and $308 million, respectively, including $249 million and $272 million, respectively, relating to deferred tax assets for non-U.S. subsidiaries. The decrease of $34 million in valuation allowances is primarily due to the expiration of net operating loss carryforwards and foreign exchange rate fluctuations. The Company believes the remaining deferred tax assets are more-likely-than-not to be realizable based on estimates of future taxable income and the implementation of tax planning strategies. | |
The Company evaluates its permanent reinvestment assertions with respect to foreign earnings at each reporting period | |
and, except for certain earnings the Company intends to reinvest indefinitely, accrues for the U.S. federal and foreign income tax applicable to the earnings. During the first quarter of 2013, the Company reassessed its unremitted earnings position and concluded that certain of its non-U.S. subsidiaries' earnings were permanently invested overseas. The Company intends to utilize the offshore earnings to fund foreign investments, such as potential acquisitions and capital expenditures. In the first quarter of 2013, the Company recorded a net tax benefit of $25 million related to reversals of deferred tax liabilities for undistributed foreign earnings, primarily due to the change in permanent reinvestment assertion. Undistributed earnings that the Company intends to reinvest indefinitely, and for which no income taxes have been accrued, aggregate to $1.3 billion and $1.0 billion at September 28, 2013 and December 31, 2012, respectively. | |
At September 28, 2013, the Company has approximately $1.0 billion of earnings in foreign subsidiaries that are not permanently reinvested and may be repatriated without an additional income tax charge, given the U.S. federal and foreign tax accrued on undistributed earnings and the utilization of available foreign tax credits. | |
During 2012, the Company began to reorganize certain of its non-U.S. subsidiaries under a holding company structure in | |
order to facilitate the efficient movement of non-U.S. cash and provide a platform to fund foreign investments, such as potential | |
acquisitions and capital expenditures. In the three and nine months ended September 28, 2013, the recently implemented foreign holding company structure provided the ability to realize excess foreign tax credits associated with undistributed foreign earnings, which favorably impacted the effective tax rate by $96 million and $224 million, respectively, and will continue to favorably impact the effective tax rate for the remainder of 2013. In the third quarter of 2013, the Company made an $87 million withholding tax payment associated with an intercompany foreign dividend, for which it expects to realize a foreign tax credit. | |
The Company had unrecognized tax benefits of $152 million and $161 million at September 28, 2013 and December 31, 2012, respectively, of which $132 million and $138 million, respectively, if recognized, would affect the effective tax rate, net of resulting changes to valuation allowances. During the nine months ended September 28, 2013, the Company recorded a net increase in unrecognized tax benefits related to prior year tax positions of $61 million, of which $63 million related to previously accrued non-U.S. income taxes. The Company recorded a net reduction in unrecognized tax benefits of $81 million for settlements with tax authorities, of which $63 million resulted in a cash tax payment and the remainder of which resulted in a reduction to tax carryforwards and prepaid tax assets. | |
Based on the potential outcome of the Company’s global tax examinations or the expiration of the statute of limitations for specific jurisdictions, it is reasonably possible that the unrecognized tax benefits will change within the next 12 months. The associated net tax impact on the effective tax rate, exclusive of valuation allowance changes, is estimated to be in the range of a $50 million tax charge to a $75 million tax benefit, with cash payments not to exceed $25 million. | |
The Company has audits pending in several tax jurisdictions. Although the final resolution of the Company's global tax disputes is uncertain, based on current information, in the opinion of the Company's management, the ultimate disposition of these matters is not expected to have a material adverse effect on the Company's consolidated financial position, liquidity or results of operations. However, an unfavorable resolution of the Company's global tax disputes could have a material adverse effect on the Company's consolidated financial position, liquidity or results of operations in the periods in which the matters are ultimately resolved. |
Retirement_Benefits
Retirement Benefits | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Retirement Benefits [Abstract] | ||||||||||||||||
Retirement Benefits | Retirement and Other Employee Benefits | |||||||||||||||
Pension Benefit Plans | ||||||||||||||||
The net periodic pension costs for the U.S. and Non-U.S. plans were as follows: | ||||||||||||||||
September 28, 2013 | September 29, 2012 | |||||||||||||||
Three Months Ended | U.S. | Non | U.S. | Non | ||||||||||||
U.S. | U.S. | |||||||||||||||
Service cost | $ | — | $ | 2 | $ | — | $ | 3 | ||||||||
Interest cost | 88 | 19 | 87 | 18 | ||||||||||||
Expected return on plan assets | (91 | ) | (21 | ) | (105 | ) | (19 | ) | ||||||||
Amortization of: | ||||||||||||||||
Unrecognized net loss | 31 | 5 | 65 | 6 | ||||||||||||
Unrecognized prior service cost | — | (1 | ) | — | (1 | ) | ||||||||||
Net periodic pension costs | $ | 28 | $ | 4 | $ | 47 | $ | 7 | ||||||||
September 28, 2013 | September 29, 2012 | |||||||||||||||
Nine Months Ended | U.S. | Non | U.S. | Non | ||||||||||||
U.S. | U.S. | |||||||||||||||
Service cost | $ | — | $ | 8 | $ | — | $ | 8 | ||||||||
Interest cost | 264 | 52 | 262 | 55 | ||||||||||||
Expected return on plan assets | (273 | ) | (58 | ) | (316 | ) | (58 | ) | ||||||||
Amortization of: | ||||||||||||||||
Unrecognized net loss | 95 | 11 | 195 | 16 | ||||||||||||
Unrecognized prior service cost | — | (5 | ) | — | (2 | ) | ||||||||||
Net periodic pension costs | $ | 86 | $ | 8 | $ | 141 | $ | 19 | ||||||||
During the nine months ended September 28, 2013, contributions of $122 million were made to the Company’s U.S. plans, and $24 million to the Company’s Non-U.S. plans. | ||||||||||||||||
Postretirement Health Care Benefits Plan | ||||||||||||||||
Net postretirement health care expenses (benefits) consist of the following: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 2 | $ | 3 | ||||||||
Interest cost | 3 | 4 | 9 | 14 | ||||||||||||
Expected return on plan assets | (2 | ) | (3 | ) | (7 | ) | (9 | ) | ||||||||
Amortization of: | ||||||||||||||||
Unrecognized net loss | 5 | 3 | 12 | 9 | ||||||||||||
Unrecognized prior service cost | (11 | ) | (5 | ) | (33 | ) | (5 | ) | ||||||||
Net postretirement health care expense (benefits) | $ | (4 | ) | $ | — | $ | (17 | ) | $ | 12 | ||||||
During the three months ended September 29, 2012, the Company announced an amendment to the Postretirement Health Care Benefits Plan. Starting January 1, 2013, benefits under the plan to participants over age 65 are paid to a retiree health reimbursement account instead of directly providing health insurance coverage to the participants. Covered retirees will be able to use the annual subsidy they receive through this account toward the purchase of their own health care coverage from private insurance companies and for reimbursement of eligible health care expenses. This change resulted in a remeasurement of the plan during the three and nine months ended September 29, 2012 which reduced the net liability $139 million and generated deferred prior service costs recorded within Accumulated other comprehensive income of $87 million, net of taxes. The majority of the deferred prior service cost will be recognized over approximately three years, which is the period in which the remaining employees eligible for the plan will qualify for benefits under the plan. | ||||||||||||||||
The Company made no contributions to its postretirement health care fund during the nine months ended September 28, 2013. | ||||||||||||||||
Deferred Compensation Plan | ||||||||||||||||
During the nine months ended September 28, 2013, the Company reinstated a deferred compensation plan (“the Plan”) effective June 1, 2013. Under the Plan, participating executives may elect to defer base salary and cash incentive compensation in excess of 401(k) plan limitations. Participants under the Plan may choose to invest their deferred amounts in the same investment alternatives available under the Company's 401(k) plan, other than the Company stock fund. The Plan also allows for Company matching contributions for the following: (i) the first 4% of compensation deferred under the Plan, subject to a maximum of $50,000 for certain officers, (ii) lost matching amounts that would have been made under the 401(k) plan if participants had not participated in the Plan, and (iii) discretionary amounts as approved by the Compensation Committee of the Board of Directors. |
ShareBased_Compensation_Plans
Share-Based Compensation Plans | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||
Share-Based Compensation Plans | Share-Based Compensation Plans | |||||||||||||||
Compensation expense for the Company’s employee stock options, stock appreciation rights, employee stock purchase plan, restricted stock and restricted stock units (“RSUs”) was as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Share-based compensation expense included in: | ||||||||||||||||
Costs of sales | $ | 5 | $ | 6 | $ | 15 | $ | 19 | ||||||||
Selling, general and administrative expenses | 22 | 27 | 71 | 84 | ||||||||||||
Research and development expenditures | 10 | 11 | 30 | 36 | ||||||||||||
Share-based compensation expense included in Operating earnings | 37 | 44 | 116 | 139 | ||||||||||||
Tax benefit | 12 | 14 | 36 | 47 | ||||||||||||
Share-based compensation expense, net of tax | $ | 25 | $ | 30 | $ | 80 | $ | 92 | ||||||||
Decrease in basic earnings per share | $ | (0.10 | ) | $ | (0.11 | ) | $ | (0.30 | ) | $ | (0.31 | ) | ||||
Decrease in diluted earnings per share | $ | (0.09 | ) | $ | (0.11 | ) | $ | (0.29 | ) | $ | (0.30 | ) | ||||
For the nine months ended September 28, 2013, the Company granted 1.5 million RSUs and 1.6 million stock options. The total aggregate compensation expense, net of estimated forfeitures, for these RSUs and stock options was $69 million and $14 million, respectively, which will be recognized over a weighted average vesting period of three years. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | |||||||||||
Sep. 28, 2013 | ||||||||||||
Fair Value Measurements [Abstract] | ||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||
The Company holds certain fixed income securities, equity securities and derivatives, which are recognized and disclosed at fair value in the financial statements on a recurring basis. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. Fair value is measured using the fair value hierarchy and related valuation methodologies as defined in the authoritative literature. This guidance specifies a hierarchy of valuation techniques based on whether the inputs to each measurement are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's assumptions about current market conditions. | ||||||||||||
The fair value hierarchy and related valuation methodologies are as follows: | ||||||||||||
Level 1—Quoted prices for identical instruments in active markets. | ||||||||||||
Level 2—Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-derived valuations, in which all significant inputs are observable in active markets. | ||||||||||||
Level 3—Valuations derived from valuation techniques, in which one or more significant inputs are unobservable. | ||||||||||||
The fair values of the Company’s financial assets and liabilities by level in the fair value hierarchy as of September 28, 2013 and December 31, 2012 were as follows: | ||||||||||||
September 28, 2013 | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Sigma Fund securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 906 | $ | 906 | ||||||
Foreign exchange derivative contracts | — | 5 | 5 | |||||||||
Available-for-sale securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | — | 17 | 17 | |||||||||
Corporate bonds | — | 8 | 8 | |||||||||
Mortgage-backed securities | — | 2 | 2 | |||||||||
Common stock and equivalents | 3 | 8 | 11 | |||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 1 | $ | 1 | ||||||
Interest agreement derivative contracts | — | 3 | 3 | |||||||||
December 31, 2012 | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Sigma Fund securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 1,984 | $ | 1,984 | ||||||
Foreign exchange derivative contracts | — | 3 | 3 | |||||||||
Available-for-sale securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | — | 15 | 15 | |||||||||
Corporate bonds | — | 13 | 13 | |||||||||
Mortgage-backed securities | — | 2 | 2 | |||||||||
Common stock and equivalents | 3 | 7 | 10 | |||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 3 | $ | 3 | ||||||
Interest agreement derivative contracts | — | 4 | 4 | |||||||||
The Company had no Level 3 holdings as of September 28, 2013 or December 31, 2012. | ||||||||||||
At September 28, 2013, the Company had $495 million of investments in money market mutual funds classified as Cash and cash equivalents in its condensed consolidated balance sheet, compared to $422 million at December 31, 2012. The money market funds had quoted market prices that are equivalent to par. | ||||||||||||
Using quoted market prices and market interest rates, the Company determined that the fair value of long-term debt at September 28, 2013 was $2.5 billion (Level 2), consistent with the instruments' face value of $2.5 billion. Since considerable judgment is required in interpreting market information, the fair value of the long-term debt is not necessarily indicative of the amount which could be realized in a current market exchange. | ||||||||||||
All other financial instruments are carried at cost, which is not materially different from the instruments’ fair values. |
Longterm_Customer_Financing_An
Long-term Customer Financing And Sales Of Receivables | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Long-Term Customer Financing And Sales Of Receivables [Abstract] | ||||||||||||||||
Long-term Customer Financing And Sales Of Receivables | Long-term Customer Financing and Sales of Receivables | |||||||||||||||
Long-term Customer Financing | ||||||||||||||||
Long-term customer financing receivables consist of trade receivables with payment terms greater than twelve months, long-term loans and lease receivables under sales-type leases. Long-term customer financing receivables consist of the following: | ||||||||||||||||
September 28, | December 31, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Long-term customer financing receivables | $ | 57 | $ | 101 | ||||||||||||
Less current portion | (38 | ) | (41 | ) | ||||||||||||
Non-current long-term receivables, net | $ | 19 | $ | 60 | ||||||||||||
The current portion of long-term receivables is included in Accounts receivable, net and the non-current portion of long-term receivables is included in Other assets in the Company’s condensed consolidated balance sheets. | ||||||||||||||||
Certain purchasers of the Company’s products and services may request that the Company provide long-term financing (defined as financing with a term of greater than one year) in connection with the sale of products and services. These requests may include all or a portion of the purchase price of the products and services. The Company’s obligation to provide long-term financing may be conditioned on the issuance of a letter of credit in favor of the Company by a reputable bank to support the purchaser’s credit or a pre-existing commitment from a reputable bank to purchase the long-term receivables from the Company. The Company had outstanding commitments to provide long-term financing to third parties totaling $108 million at September 28, 2013, compared to $84 million at December 31, 2012. | ||||||||||||||||
Sales of Receivables | ||||||||||||||||
The following table summarizes the proceeds received from sales of accounts receivable and long-term receivables for the three and nine months ended September 28, 2013 and September 29, 2012: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Proceeds received: | ||||||||||||||||
Accounts receivable sales proceeds | $ | 4 | $ | 5 | $ | 6 | $ | 12 | ||||||||
Long-term receivable sales proceeds | 37 | 32 | 90 | 156 | ||||||||||||
Total proceeds from sales of accounts receivable | $ | 41 | $ | 37 | $ | 96 | $ | 168 | ||||||||
At September 28, 2013, the Company had retained servicing obligations for $391 million of long-term receivables, compared to $375 million of long-term receivables at December 31, 2012. Servicing obligations are limited to collection activities related to the sales of accounts receivables and long-term receivables. | ||||||||||||||||
Credit Quality of Customer Financing Receivables and Allowance for Credit Losses | ||||||||||||||||
An aging analysis of financing receivables at September 28, 2013 and December 31, 2012 is as follows: | ||||||||||||||||
September 28, 2013 | Total | Current Billed | Past Due Under 90 Days | Past Due Over 90 Days | ||||||||||||
Long-term | Due | |||||||||||||||
Receivable | ||||||||||||||||
Municipal leases secured tax exempt | $ | 1 | $ | — | $ | — | $ | — | ||||||||
Commercial loans and leases secured | 56 | 11 | 1 | 9 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 57 | $ | 11 | $ | 1 | $ | 9 | ||||||||
December 31, 2012 | Total | Current Billed | Past Due Under 90 Days | Past Due Over 90 Days | ||||||||||||
Long-term | Due | |||||||||||||||
Receivable | ||||||||||||||||
Municipal leases secured tax exempt | $ | 23 | $ | — | $ | — | $ | — | ||||||||
Commercial loans and leases secured | 78 | 1 | 2 | 4 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 101 | $ | 1 | $ | 2 | $ | 4 | ||||||||
The Company had a total of $9 million of financing receivables past due over 90 days as of September 28, 2013 in relation to two loans. The Company has not accrued interest on these loans during the three and nine months ended September 28, 2013 which are adequately reserved. |
Commitments_And_Contingencies
Commitments And Contingencies | 9 Months Ended |
Sep. 28, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | Commitments and Contingencies |
Legal Matters | |
The Company is a defendant in various suits, claims and investigations that arise in the normal course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Company’s consolidated financial position, liquidity or results of operations. However, an unfavorable resolution could have a material adverse effect on the Company’s results of operations in the periods in which the matters are ultimately resolved. | |
Other Indemnifications | |
The Company is a party to a variety of agreements pursuant to which it is obligated to indemnify the other party with respect to certain matters. In indemnification cases, payment by the Company is conditioned on the other party making a claim pursuant to the procedures specified in the particular contract, which procedures typically allow the Company to challenge the other party's claims. In some instances, the Company may have recourse against third parties for certain payments made by the Company. | |
In addition, the Company may provide indemnifications for losses that result from the breach of general warranties contained in certain commercial and intellectual property agreements. Historically, the Company has not made significant payments under these agreements. | |
Also, pursuant to the Master Separation and Distribution Agreement and certain other agreements entered into in connection with the separating of Motorola Mobility Holdings, Inc. ("Motorola Mobility"), Motorola Mobility agreed to indemnify the Company for certain liabilities, and the Company agreed to indemnify Motorola Mobility for certain liabilities, in each case for uncapped amounts. |
Segment_Information
Segment Information | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Information By Segment and Geographic Region [Abstract] | ||||||||||||||||
Segment Information | Segment Information | |||||||||||||||
The following table summarizes the Net sales by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Government | $ | 1,465 | $ | 1,521 | $ | 4,262 | $ | 4,281 | ||||||||
Enterprise | 647 | 632 | 1,930 | 1,976 | ||||||||||||
$ | 2,112 | $ | 2,153 | $ | 6,192 | $ | 6,257 | |||||||||
The following table summarizes the Operating earnings by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Government | $ | 252 | $ | 273 | $ | 647 | $ | 620 | ||||||||
Enterprise | 68 | 51 | 155 | 213 | ||||||||||||
Operating earnings | 320 | 324 | 802 | 833 | ||||||||||||
Total other expense | 5 | — | (48 | ) | (25 | ) | ||||||||||
Earnings from continuing operations before income taxes | $ | 325 | $ | 324 | $ | 754 | $ | 808 | ||||||||
Reorganization_Of_Businesses
Reorganization Of Businesses | 9 Months Ended | |||||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||||
Reorganization Of Businesses [Abstract] | ||||||||||||||||||||
Reorganization Of Businesses | Reorganization of Businesses | |||||||||||||||||||
2013 Charges | ||||||||||||||||||||
During the three months ended September 28, 2013, the Company accepted voluntary applications to its severance plan from a defined subset of employees within the United States. Applicants will receive termination benefits based on formulas from the Company’s pre-existing Involuntary Severance Plan; however, termination benefits, which are normally capped at six months of salary, were capped at a full year’s salary. | ||||||||||||||||||||
During the three months ended September 28, 2013, the Company recorded net reorganization of business charges of $32 million, including $24 million of charges in Other charges, and $8 million of charges in Cost of sales in the Company's condensed consolidated statements of operations. Included in the $32 million were charges of $31 million for employee separation costs and $1 million of charges for exit costs. Of the total employee separation costs recognized during the quarter, $21 million relates to approximately 130 voluntary applicants. | ||||||||||||||||||||
During the nine months ended September 28, 2013, the Company recorded net reorganization of business charges of $71 million including $55 million of charges in Other charges, and $16 million of charges in Cost of sales in the Company's condensed consolidated statements of operations. Included in the $71 million were charges of $77 million for employee separation costs and $1 million for exit costs, partially offset by $7 million of reversals for accruals no longer needed. | ||||||||||||||||||||
The following table displays the net charges incurred by segment: | ||||||||||||||||||||
September 28, 2013 | Three Months Ended | Nine Months Ended | ||||||||||||||||||
Government | $ | 20 | $ | 45 | ||||||||||||||||
Enterprise | 12 | 26 | ||||||||||||||||||
$ | 32 | $ | 71 | |||||||||||||||||
The following table displays a rollforward of the reorganization of businesses accruals established for lease exit costs and employee separation costs from January 1, 2013 to September 28, 2013: | ||||||||||||||||||||
January 1, 2013 | Additional | Adjustments | Amount | September 28, 2013 | ||||||||||||||||
Charges | Used | |||||||||||||||||||
Exit costs | $ | 4 | $ | 1 | $ | — | $ | (1 | ) | $ | 4 | |||||||||
Employee separation costs | 31 | 77 | (7 | ) | (44 | ) | 57 | |||||||||||||
$ | 35 | $ | 78 | $ | (7 | ) | $ | (45 | ) | $ | 61 | |||||||||
Exit Costs | ||||||||||||||||||||
At January 1, 2013, the Company had an accrual of $4 million for exit costs attributable to lease terminations. During the nine months ended September 28, 2013, there were $1 million of additional charges and $1 million of cash payments related to the exit of leased facilities. The remaining accrual of $4 million, which is included in Accrued liabilities in the Company’s condensed consolidated balance sheets at September 28, 2013, primarily represents future cash payments for lease termination obligations that are expected to be paid over a number of years. | ||||||||||||||||||||
Employee Separation Costs | ||||||||||||||||||||
At January 1, 2013, the Company had an accrual of $31 million for employee separation costs, representing the severance costs for: (i) severed employees who began receiving payments in 2012 and (ii) approximately 300 employees who began receiving payments in 2013. The 2013 additional charges of $77 million represent severance costs for approximately 1,000 additional employees, of which 500 were indirect employees and 500 were direct employees. The adjustment of $7 million reflects reversals of accruals no longer needed. The $44 million used reflects cash payments. The remaining accrual of $57 million, which is included in Accrued liabilities in the Company’s condensed consolidated balance sheets at September 28, 2013, is expected to be paid, primarily within one year to approximately 700 employees, who have either been severed or have been notified of their severance and have begun or will begin receiving payments. | ||||||||||||||||||||
2012 Charges | ||||||||||||||||||||
During the three months ended September 29, 2012, the Company recorded net reorganization of business charges of $13 million, including $10 million of charges in Other charges, and $3 million of charges in Costs of sales in the Company's condensed consolidated statements of operations. The $13 million of charges relate solely to employee separation costs. | ||||||||||||||||||||
During the nine months ended September 29, 2012, the Company recorded net reorganization of business charges of $36 million, including $30 million of charges in Other charges and $6 million of charges in Costs of sales in the Company's condensed consolidated statements of operations. Included in the aggregate $36 million were charges of $43 million related to the separation of approximately 700 indirect employees, and $1 million for building impairment charges, partially offset by $8 million of reversals for accruals no longer needed. | ||||||||||||||||||||
The following table displays the net charges incurred by segment: | ||||||||||||||||||||
September 29, 2012 | Three Months Ended | Nine Months Ended | ||||||||||||||||||
Government | $ | 8 | $ | 24 | ||||||||||||||||
Enterprise | 5 | 12 | ||||||||||||||||||
$ | 13 | $ | 36 | |||||||||||||||||
Intangible_Assets_And_Goodwill
Intangible Assets And Goodwill | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||
Intangible Assets and Goodwill | Intangible Assets and Goodwill | |||||||||||||||
Intangible Assets | ||||||||||||||||
Amortized intangible assets were comprised of the following: | ||||||||||||||||
September 28, 2013 | December 31, 2012 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Completed technology | $ | 662 | $ | 637 | $ | 657 | $ | 632 | ||||||||
Patents | 276 | 276 | 276 | 276 | ||||||||||||
Customer-related | 202 | 140 | 201 | 125 | ||||||||||||
Licensed technology | 19 | 18 | 23 | 19 | ||||||||||||
Other intangibles | 95 | 91 | 94 | 90 | ||||||||||||
$ | 1,254 | $ | 1,162 | $ | 1,251 | $ | 1,142 | |||||||||
Amortization expense on intangible assets was $8 million for the three months ended September 28, 2013 and $6 million for the three months ended September 29, 2012. Amortization expense on intangible assets was $20 million for the nine months ended September 28, 2013 and $18 million for the nine months ended September 29, 2012. As of September 28, 2013, annual amortization expense is estimated to be $25 million in 2013, $24 million in 2014, $19 million in 2015, $17 million in 2016 and $11 million in 2017. | ||||||||||||||||
Amortized intangible assets, excluding goodwill, were comprised of the following by segment: | ||||||||||||||||
September 28, 2013 | December 31, 2012 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Government | $ | 55 | $ | 48 | $ | 53 | $ | 48 | ||||||||
Enterprise | 1,199 | 1,114 | 1,198 | 1,094 | ||||||||||||
$ | 1,254 | $ | 1,162 | $ | 1,251 | $ | 1,142 | |||||||||
Goodwill | ||||||||||||||||
The following table displays a rollforward of the carrying amount of goodwill by segment from January 1, 2013 to September 28, 2013: | ||||||||||||||||
Government | Enterprise | Total | ||||||||||||||
Balance as of January 1, 2013 | ||||||||||||||||
Aggregate goodwill | $ | 349 | $ | 2,725 | $ | 3,074 | ||||||||||
Accumulated impairment losses | — | (1,564 | ) | (1,564 | ) | |||||||||||
Goodwill, net of impairment losses | $ | 349 | $ | 1,161 | $ | 1,510 | ||||||||||
Purchase accounting tax adjustment | — | (2 | ) | (2 | ) | |||||||||||
Foreign currency | — | (1 | ) | (1 | ) | |||||||||||
Balance as of September 28, 2013 | ||||||||||||||||
Aggregate goodwill | $ | 349 | $ | 2,722 | $ | 3,071 | ||||||||||
Accumulated impairment losses | — | (1,564 | ) | (1,564 | ) | |||||||||||
Goodwill, net of impairment losses | $ | 349 | $ | 1,158 | $ | 1,507 | ||||||||||
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | |||
Sep. 28, 2013 | ||||
Discontinued Operations and Disposal Groups [Abstract] | ||||
Summarized Activity Of Discontinued Operations | The following table displays summarized activity in the Company's condensed consolidated statements of operations for discontinued operations during the nine months ended September 29, 2012. | |||
Nine Months Ended | ||||
September 29, | ||||
2012 | ||||
Net sales | $ | — | ||
Operating earnings | 11 | |||
Loss on sales of investments and businesses, net | (7 | ) | ||
Earnings before income taxes | 8 | |||
Income tax expense | 5 | |||
Earnings from discontinued operations, net of tax | 3 | |||
Other_Financial_Data_Tables
Other Financial Data (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||||
Other Financial Data [Abstract] | ||||||||||||||||||||
Other Charges | Other charges included in Operating earnings consist of the following: | |||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Other charges: | ||||||||||||||||||||
Intangibles amortization | $ | 8 | $ | 6 | $ | 20 | $ | 18 | ||||||||||||
Reorganization of businesses | 24 | 10 | 55 | 30 | ||||||||||||||||
$ | 32 | $ | 16 | $ | 75 | $ | 48 | |||||||||||||
Other Income (Expense) | Interest expense, net, and Other, both included in Other income (expense), consist of the following: | |||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Interest income (expense), net: | ||||||||||||||||||||
Interest expense | $ | (33 | ) | $ | (29 | ) | $ | (100 | ) | $ | (79 | ) | ||||||||
Interest income | 4 | 13 | 15 | 33 | ||||||||||||||||
$ | (29 | ) | $ | (16 | ) | $ | (85 | ) | $ | (46 | ) | |||||||||
Other: | ||||||||||||||||||||
Loss from the extinguishment of long-term debt | $ | — | $ | — | $ | — | $ | (6 | ) | |||||||||||
Investment impairments | (1 | ) | (6 | ) | (5 | ) | (8 | ) | ||||||||||||
Foreign currency loss | (4 | ) | — | (8 | ) | (11 | ) | |||||||||||||
Gains on equity method investments | 8 | 2 | 7 | 4 | ||||||||||||||||
Other | 2 | 1 | 7 | 3 | ||||||||||||||||
$ | 5 | $ | (3 | ) | $ | 1 | $ | (18 | ) | |||||||||||
Earnings Per Common Share | The computation of basic and diluted earnings per common share attributable to Motorola Solutions, Inc. common stockholders is as follows: | |||||||||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Three Months Ended | September 28, | September 29, | September 28, | September 29, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 307 | $ | 206 | $ | 307 | $ | 206 | ||||||||||||
Weighted average common shares outstanding | 262.2 | 283.1 | 262.2 | 283.1 | ||||||||||||||||
Per share amount | $ | 1.17 | $ | 0.73 | $ | 1.17 | $ | 0.73 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 307 | $ | 206 | $ | 307 | $ | 206 | ||||||||||||
Weighted average common shares outstanding | 262.2 | 283.1 | 262.2 | 283.1 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 3.1 | 4.3 | 3.1 | 4.3 | ||||||||||||||||
Diluted weighted average common shares outstanding | 265.3 | 287.4 | 265.3 | 287.4 | ||||||||||||||||
Per share amount | $ | 1.16 | $ | 0.72 | $ | 1.16 | $ | 0.72 | ||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Nine Months Ended | September 28, | September 29, | September 28, | September 29, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 757 | $ | 542 | $ | 757 | $ | 545 | ||||||||||||
Weighted average common shares outstanding | 268.7 | 296.1 | 268.7 | 296.1 | ||||||||||||||||
Per share amount | $ | 2.82 | $ | 1.83 | $ | 2.82 | $ | 1.84 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 757 | $ | 542 | $ | 757 | $ | 545 | ||||||||||||
Weighted average common shares outstanding | 268.7 | 296.1 | 268.7 | 296.1 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 4.8 | 5.4 | 4.8 | 5.4 | ||||||||||||||||
Diluted weighted average common shares outstanding | 273.5 | 301.5 | 273.5 | 301.5 | ||||||||||||||||
Per share amount | $ | 2.77 | $ | 1.8 | $ | 2.77 | $ | 1.81 | ||||||||||||
Sigma Fund | The Sigma Fund consists of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Cash | $ | 261 | $ | 149 | ||||||||||||||||
U.S. government, agency, and government-sponsored enterprise obligations | 906 | 1,984 | ||||||||||||||||||
$ | 1,167 | $ | 2,133 | |||||||||||||||||
Investments | Investments consist of the following: | |||||||||||||||||||
Recorded Value | Less | |||||||||||||||||||
September 28, 2013 | Short-term | Investments | Unrealized | Unrealized | Cost | |||||||||||||||
Investments | Gains | Loss | Basis | |||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 17 | $ | — | $ | (1 | ) | $ | 18 | |||||||||
Corporate bonds | 2 | 6 | — | — | 8 | |||||||||||||||
Mortgage-backed securities | — | 2 | — | — | 2 | |||||||||||||||
Common stock and equivalents | — | 11 | 4 | — | 7 | |||||||||||||||
2 | 36 | 4 | (1 | ) | 35 | |||||||||||||||
Other securities, at cost | — | 206 | — | — | 206 | |||||||||||||||
Equity method investments | — | 17 | — | — | 17 | |||||||||||||||
$ | 2 | $ | 259 | $ | 4 | $ | (1 | ) | $ | 258 | ||||||||||
Recorded Value | Less | |||||||||||||||||||
December 31, 2012 | Short-term | Investments | Unrealized | Unrealized | Cost | |||||||||||||||
Investments | Gains | Loss | Basis | |||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 15 | $ | — | $ | — | $ | 15 | ||||||||||
Corporate bonds | 2 | 11 | — | — | 13 | |||||||||||||||
Mortgage-backed securities | — | 2 | — | — | 2 | |||||||||||||||
Common stock and equivalents | — | 10 | 3 | — | 7 | |||||||||||||||
2 | 38 | 3 | — | 37 | ||||||||||||||||
Other securities, at cost | — | 189 | — | — | 189 | |||||||||||||||
Equity method investments | — | 13 | — | — | 13 | |||||||||||||||
$ | 2 | $ | 240 | $ | 3 | $ | — | $ | 239 | |||||||||||
Accounts Receivable, Net | Accounts receivable, net, consists of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Accounts receivable | $ | 1,879 | $ | 1,932 | ||||||||||||||||
Less allowance for doubtful accounts | (56 | ) | (51 | ) | ||||||||||||||||
$ | 1,823 | $ | 1,881 | |||||||||||||||||
Inventories, Net | Inventories, net, consist of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Finished goods | $ | 234 | $ | 244 | ||||||||||||||||
Work-in-process and production materials | 462 | 432 | ||||||||||||||||||
696 | 676 | |||||||||||||||||||
Less inventory reserves | (175 | ) | (163 | ) | ||||||||||||||||
$ | 521 | $ | 513 | |||||||||||||||||
Other Current Assets | Other current assets consist of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Costs and earnings in excess of billings | $ | 413 | $ | 416 | ||||||||||||||||
Contract-related deferred costs | 111 | 141 | ||||||||||||||||||
Tax-related deposits and refunds receivable | 98 | 95 | ||||||||||||||||||
Other | 138 | 148 | ||||||||||||||||||
$ | 760 | $ | 800 | |||||||||||||||||
Property, Plant And Equipment, Net | Property, plant and equipment, net, consists of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Land | $ | 37 | $ | 38 | ||||||||||||||||
Building | 748 | 739 | ||||||||||||||||||
Machinery and equipment | 1,926 | 1,932 | ||||||||||||||||||
2,711 | 2,709 | |||||||||||||||||||
Less accumulated depreciation | (1,870 | ) | (1,870 | ) | ||||||||||||||||
$ | 841 | $ | 839 | |||||||||||||||||
Other Assets | Other assets consist of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Intangible assets | $ | 92 | $ | 109 | ||||||||||||||||
Long-term receivables | 19 | 60 | ||||||||||||||||||
Other | 92 | 104 | ||||||||||||||||||
$ | 203 | $ | 273 | |||||||||||||||||
Accrued Liabilities | Accrued liabilities consist of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Deferred revenue | $ | 766 | $ | 820 | ||||||||||||||||
Compensation | 319 | 424 | ||||||||||||||||||
Billings in excess of costs and earnings | 211 | 387 | ||||||||||||||||||
Tax liabilities | 54 | 95 | ||||||||||||||||||
Customer reserves | 126 | 144 | ||||||||||||||||||
Dividend payable | 80 | 72 | ||||||||||||||||||
Other | 647 | 684 | ||||||||||||||||||
$ | 2,203 | $ | 2,626 | |||||||||||||||||
Other Liabilities | Other liabilities consist of the following: | |||||||||||||||||||
September 28, | December 31, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Defined benefit plans, including split dollar life insurance policies | $ | 3,270 | $ | 3,389 | ||||||||||||||||
Postretirement health care benefit plan | 166 | 167 | ||||||||||||||||||
Deferred revenue | 311 | 304 | ||||||||||||||||||
Unrecognized tax benefits | 99 | 98 | ||||||||||||||||||
Other | 209 | 237 | ||||||||||||||||||
$ | 4,055 | $ | 4,195 | |||||||||||||||||
Accumulated Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss | The following table displays the changes in Accumulated other comprehensive loss, net of tax, by component from January 1, 2013 to September 28, 2013: | |||||||||||||||||||
Gains and Losses on Cash Flow Hedges | Unrealized Gains and Losses on Available-for-Sale Securities | Retirement Benefit Items | Foreign Currency Translation Adjustments | Total | ||||||||||||||||
Balance as of January 1, 2013 | $ | 1 | $ | 2 | $ | (3,211 | ) | $ | (92 | ) | $ | (3,300 | ) | |||||||
Other comprehensive losses before reclassifications | (1 | ) | — | — | (22 | ) | (23 | ) | ||||||||||||
Amounts reclassified from Accumulated other comprehensive loss | $ | (1 | ) | $ | — | $ | 52 | $ | — | $ | 51 | |||||||||
Current period change in Other comprehensive income (loss) | (2 | ) | — | 52 | (22 | ) | 28 | |||||||||||||
Balance as of September 28, 2013 | $ | (1 | ) | $ | 2 | $ | (3,159 | ) | $ | (114 | ) | $ | (3,272 | ) | ||||||
Accumulated Other Comprehensive Loss - Amounts Reclassified from Accumulated Other Comprehensive Loss | The following table displays the amounts reclassified from Accumulated other comprehensive loss and the affected line item in the condensed consolidated statement of operations during the three and nine months ended September 28, 2013: | |||||||||||||||||||
September 28, 2013 | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
Gains on cash flow hedges: | ||||||||||||||||||||
Foreign exchange contracts | $ | — | $ | (1 | ) | Cost of sales | ||||||||||||||
$ | — | $ | (1 | ) | Net of tax | |||||||||||||||
Amortization of Retirement Benefit Items: | ||||||||||||||||||||
Prior-service costs | $ | (13 | ) | $ | (38 | ) | Selling, general, and administrative expenses | |||||||||||||
Actuarial net losses | 39 | 118 | Selling, general, and administrative expenses | |||||||||||||||||
26 | 80 | Total before tax | ||||||||||||||||||
(9 | ) | (28 | ) | Tax expense | ||||||||||||||||
$ | 17 | $ | 52 | Net of tax | ||||||||||||||||
Total reclassifications for the period, net of tax | $ | 17 | $ | 51 | ||||||||||||||||
Risk_Management_Tables
Risk Management (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||
Risk Management [Abstract] | ||||||||||||||||||
Schedule Of Largest Notional Amounts Of The Positions To Buy Or Sell Foreign Currency | The following table shows the five largest net notional amounts of the positions to buy or sell foreign currency as of September 28, 2013, and the corresponding positions as of December 31, 2012: | |||||||||||||||||
Notional Amount | ||||||||||||||||||
Net Buy (Sell) by Currency | September 28, | December 31, | ||||||||||||||||
2013 | 2012 | |||||||||||||||||
British Pound | $ | 213 | $ | 225 | ||||||||||||||
Chinese Renminbi | (155 | ) | (99 | ) | ||||||||||||||
Norwegian Krone | (107 | ) | (48 | ) | ||||||||||||||
Euro | (88 | ) | (9 | ) | ||||||||||||||
Malaysian Ringgit | 65 | 30 | ||||||||||||||||
Summary Of Fair Values And Location In Condensed Consolidated Balance Sheet | The following tables summarize the fair values and location in the condensed consolidated balance sheets of all derivative financial instruments held by the Company at September 28, 2013 and December 31, 2012: | |||||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
September 28, 2013 | Fair | Balance | Fair | Balance | ||||||||||||||
Value | Sheet | Value | Sheet | |||||||||||||||
Location | Location | |||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | $ | — | Other assets | $ | 1 | Other liabilities | ||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | 5 | Other assets | — | Other liabilities | ||||||||||||||
Interest agreements | — | Other assets | 3 | Other liabilities | ||||||||||||||
Total derivatives not designated as hedging instruments | $ | 5 | $ | 3 | ||||||||||||||
Total derivatives | $ | 5 | $ | 4 | ||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
December 31, 2012 | Fair | Balance | Fair | Balance | ||||||||||||||
Value | Sheet | Value | Sheet | |||||||||||||||
Location | Location | |||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | $ | 1 | Other assets | $ | — | Other liabilities | ||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | 2 | Other assets | 3 | Other liabilities | ||||||||||||||
Interest agreements | — | Other assets | 4 | Other liabilities | ||||||||||||||
Total derivatives not designated as hedging instruments | 2 | 7 | ||||||||||||||||
Total derivatives | $ | 3 | $ | 7 | ||||||||||||||
Summary Of Derivative Instruments And The Effect On The Condensed Consolidated Statements Of Operations | The following tables summarize the effect of derivative instruments in the Company's condensed consolidated statements of operations for the three and nine months ended September 28, 2013 and September 29, 2012: | |||||||||||||||||
Three Months Ended | Statement of | |||||||||||||||||
Gain (loss) on Derivative Instruments | September 28, | September 29, | Operations Location | |||||||||||||||
2013 | 2012 | |||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Interest rate contracts | $ | — | $ | — | Other income (expense) | |||||||||||||
Foreign exchange contracts | 8 | (1 | ) | Other income (expense) | ||||||||||||||
Total derivatives not designated as hedging instruments | $ | 8 | $ | (1 | ) | |||||||||||||
Nine Months Ended | Statement of | |||||||||||||||||
Gain (loss) on Derivative Instruments | September 28, | September 29, | Operations Location | |||||||||||||||
2013 | 2012 | |||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Interest rate contracts | $ | 1 | $ | (1 | ) | Other income (expense) | ||||||||||||
Foreign exchange contracts | (1 | ) | (5 | ) | Other income (expense) | |||||||||||||
Total derivatives not designated as hedging instruments | $ | — | $ | (6 | ) | |||||||||||||
The following tables summarize the gains and losses recognized in the condensed consolidated financial statements for the three and nine months ended September 28, 2013 and September 29, 2012: | ||||||||||||||||||
Three Months Ended | Nine Months Ended | Financial Statement | ||||||||||||||||
Foreign Exchange Contracts | September 28, | September 29, | 28-Sep-13 | 29-Sep-12 | Location | |||||||||||||
2013 | 2012 | |||||||||||||||||
Derivatives in cash flow hedging relationships: | ||||||||||||||||||
Other comprehensive gains (losses) before reclassifications | $ | (1 | ) | $ | 1 | $ | (1 | ) | $ | 2 | Accumulated other | |||||||
comprehensive loss | ||||||||||||||||||
Losses (gains) reclassified from Accumulated other comprehensive loss into Net earnings | — | 1 | (1 | ) | 2 | Costs of sales | ||||||||||||
Retirement_Benefits_Tables
Retirement Benefits (Tables) | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Pension Benefit Plans [Member] | ||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||
Schedule of Net Benefit Plan Costs | The net periodic pension costs for the U.S. and Non-U.S. plans were as follows: | |||||||||||||||
September 28, 2013 | September 29, 2012 | |||||||||||||||
Three Months Ended | U.S. | Non | U.S. | Non | ||||||||||||
U.S. | U.S. | |||||||||||||||
Service cost | $ | — | $ | 2 | $ | — | $ | 3 | ||||||||
Interest cost | 88 | 19 | 87 | 18 | ||||||||||||
Expected return on plan assets | (91 | ) | (21 | ) | (105 | ) | (19 | ) | ||||||||
Amortization of: | ||||||||||||||||
Unrecognized net loss | 31 | 5 | 65 | 6 | ||||||||||||
Unrecognized prior service cost | — | (1 | ) | — | (1 | ) | ||||||||||
Net periodic pension costs | $ | 28 | $ | 4 | $ | 47 | $ | 7 | ||||||||
September 28, 2013 | September 29, 2012 | |||||||||||||||
Nine Months Ended | U.S. | Non | U.S. | Non | ||||||||||||
U.S. | U.S. | |||||||||||||||
Service cost | $ | — | $ | 8 | $ | — | $ | 8 | ||||||||
Interest cost | 264 | 52 | 262 | 55 | ||||||||||||
Expected return on plan assets | (273 | ) | (58 | ) | (316 | ) | (58 | ) | ||||||||
Amortization of: | ||||||||||||||||
Unrecognized net loss | 95 | 11 | 195 | 16 | ||||||||||||
Unrecognized prior service cost | — | (5 | ) | — | (2 | ) | ||||||||||
Net periodic pension costs | $ | 86 | $ | 8 | $ | 141 | $ | 19 | ||||||||
Postretirement Health Care Benefits Plans [Member] | ||||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||||
Schedule of Net Benefit Plan Costs | Net postretirement health care expenses (benefits) consist of the following: | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 2 | $ | 3 | ||||||||
Interest cost | 3 | 4 | 9 | 14 | ||||||||||||
Expected return on plan assets | (2 | ) | (3 | ) | (7 | ) | (9 | ) | ||||||||
Amortization of: | ||||||||||||||||
Unrecognized net loss | 5 | 3 | 12 | 9 | ||||||||||||
Unrecognized prior service cost | (11 | ) | (5 | ) | (33 | ) | (5 | ) | ||||||||
Net postretirement health care expense (benefits) | $ | (4 | ) | $ | — | $ | (17 | ) | $ | 12 | ||||||
ShareBased_Compensation_Plans_
Share-Based Compensation Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||
Schedule Of Compensation Expense | Compensation expense for the Company’s employee stock options, stock appreciation rights, employee stock purchase plan, restricted stock and restricted stock units (“RSUs”) was as follows: | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Share-based compensation expense included in: | ||||||||||||||||
Costs of sales | $ | 5 | $ | 6 | $ | 15 | $ | 19 | ||||||||
Selling, general and administrative expenses | 22 | 27 | 71 | 84 | ||||||||||||
Research and development expenditures | 10 | 11 | 30 | 36 | ||||||||||||
Share-based compensation expense included in Operating earnings | 37 | 44 | 116 | 139 | ||||||||||||
Tax benefit | 12 | 14 | 36 | 47 | ||||||||||||
Share-based compensation expense, net of tax | $ | 25 | $ | 30 | $ | 80 | $ | 92 | ||||||||
Decrease in basic earnings per share | $ | (0.10 | ) | $ | (0.11 | ) | $ | (0.30 | ) | $ | (0.31 | ) | ||||
Decrease in diluted earnings per share | $ | (0.09 | ) | $ | (0.11 | ) | $ | (0.29 | ) | $ | (0.30 | ) |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||
Sep. 28, 2013 | ||||||||||||
Fair Value Measurements [Abstract] | ||||||||||||
Fair Value Of Compny's Financial Assets And Liabilities | The fair values of the Company’s financial assets and liabilities by level in the fair value hierarchy as of September 28, 2013 and December 31, 2012 were as follows: | |||||||||||
September 28, 2013 | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Sigma Fund securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 906 | $ | 906 | ||||||
Foreign exchange derivative contracts | — | 5 | 5 | |||||||||
Available-for-sale securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | — | 17 | 17 | |||||||||
Corporate bonds | — | 8 | 8 | |||||||||
Mortgage-backed securities | — | 2 | 2 | |||||||||
Common stock and equivalents | 3 | 8 | 11 | |||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 1 | $ | 1 | ||||||
Interest agreement derivative contracts | — | 3 | 3 | |||||||||
December 31, 2012 | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Sigma Fund securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | $ | — | $ | 1,984 | $ | 1,984 | ||||||
Foreign exchange derivative contracts | — | 3 | 3 | |||||||||
Available-for-sale securities: | ||||||||||||
U.S. government, agency and government-sponsored enterprise obligations | — | 15 | 15 | |||||||||
Corporate bonds | — | 13 | 13 | |||||||||
Mortgage-backed securities | — | 2 | 2 | |||||||||
Common stock and equivalents | 3 | 7 | 10 | |||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 3 | $ | 3 | ||||||
Interest agreement derivative contracts | — | 4 | 4 | |||||||||
Longterm_Customer_Financing_An1
Long-term Customer Financing And Sales Of Receivables (Tables) | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Long-Term Customer Financing And Sales Of Receivables [Abstract] | ||||||||||||||||
Long-Term Customer Financing | Long-term customer financing receivables consist of trade receivables with payment terms greater than twelve months, long-term loans and lease receivables under sales-type leases. Long-term customer financing receivables consist of the following: | |||||||||||||||
September 28, | December 31, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Long-term customer financing receivables | $ | 57 | $ | 101 | ||||||||||||
Less current portion | (38 | ) | (41 | ) | ||||||||||||
Non-current long-term receivables, net | $ | 19 | $ | 60 | ||||||||||||
Proceeds Received From Non-Recourse Sales Of Accounts Receivable And Long-Term Receivables | The following table summarizes the proceeds received from sales of accounts receivable and long-term receivables for the three and nine months ended September 28, 2013 and September 29, 2012: | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Proceeds received: | ||||||||||||||||
Accounts receivable sales proceeds | $ | 4 | $ | 5 | $ | 6 | $ | 12 | ||||||||
Long-term receivable sales proceeds | 37 | 32 | 90 | 156 | ||||||||||||
Total proceeds from sales of accounts receivable | $ | 41 | $ | 37 | $ | 96 | $ | 168 | ||||||||
Financing Receivables Aging Analysis | An aging analysis of financing receivables at September 28, 2013 and December 31, 2012 is as follows: | |||||||||||||||
September 28, 2013 | Total | Current Billed | Past Due Under 90 Days | Past Due Over 90 Days | ||||||||||||
Long-term | Due | |||||||||||||||
Receivable | ||||||||||||||||
Municipal leases secured tax exempt | $ | 1 | $ | — | $ | — | $ | — | ||||||||
Commercial loans and leases secured | 56 | 11 | 1 | 9 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 57 | $ | 11 | $ | 1 | $ | 9 | ||||||||
December 31, 2012 | Total | Current Billed | Past Due Under 90 Days | Past Due Over 90 Days | ||||||||||||
Long-term | Due | |||||||||||||||
Receivable | ||||||||||||||||
Municipal leases secured tax exempt | $ | 23 | $ | — | $ | — | $ | — | ||||||||
Commercial loans and leases secured | 78 | 1 | 2 | 4 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 101 | $ | 1 | $ | 2 | $ | 4 | ||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Information By Segment and Geographic Region [Abstract] | ||||||||||||||||
Net sales and Operating earnings by Segment | The following table summarizes the Net sales by segment: | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Government | $ | 1,465 | $ | 1,521 | $ | 4,262 | $ | 4,281 | ||||||||
Enterprise | 647 | 632 | 1,930 | 1,976 | ||||||||||||
$ | 2,112 | $ | 2,153 | $ | 6,192 | $ | 6,257 | |||||||||
The following table summarizes the Operating earnings by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Government | $ | 252 | $ | 273 | $ | 647 | $ | 620 | ||||||||
Enterprise | 68 | 51 | 155 | 213 | ||||||||||||
Operating earnings | 320 | 324 | 802 | 833 | ||||||||||||
Total other expense | 5 | — | (48 | ) | (25 | ) | ||||||||||
Earnings from continuing operations before income taxes | $ | 325 | $ | 324 | $ | 754 | $ | 808 | ||||||||
Reorganization_Of_Businesses_T
Reorganization Of Businesses (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||||
Reorganization Of Businesses [Abstract] | ||||||||||||||||||||
Net Charges Incurred By Business Segment | Included in the $71 million were charges of $77 million for employee separation costs and $1 million for exit costs, partially offset by $7 million of reversals for accruals no longer needed. | |||||||||||||||||||
The following table displays the net charges incurred by segment: | ||||||||||||||||||||
September 28, 2013 | Three Months Ended | Nine Months Ended | ||||||||||||||||||
Government | $ | 20 | $ | 45 | ||||||||||||||||
Enterprise | 12 | 26 | ||||||||||||||||||
$ | 32 | $ | 71 | |||||||||||||||||
Reorganization Of Businesses Accruals | The following table displays a rollforward of the reorganization of businesses accruals established for lease exit costs and employee separation costs from January 1, 2013 to September 28, 2013: | |||||||||||||||||||
January 1, 2013 | Additional | Adjustments | Amount | September 28, 2013 | ||||||||||||||||
Charges | Used | |||||||||||||||||||
Exit costs | $ | 4 | $ | 1 | $ | — | $ | (1 | ) | $ | 4 | |||||||||
Employee separation costs | 31 | 77 | (7 | ) | (44 | ) | 57 | |||||||||||||
$ | 35 | $ | 78 | $ | (7 | ) | $ | (45 | ) | $ | 61 | |||||||||
Intangible_Assets_And_Goodwill1
Intangible Assets And Goodwill (Tables) | 9 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||
Intangible Assets | Amortized intangible assets were comprised of the following: | |||||||||||||||
September 28, 2013 | December 31, 2012 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Completed technology | $ | 662 | $ | 637 | $ | 657 | $ | 632 | ||||||||
Patents | 276 | 276 | 276 | 276 | ||||||||||||
Customer-related | 202 | 140 | 201 | 125 | ||||||||||||
Licensed technology | 19 | 18 | 23 | 19 | ||||||||||||
Other intangibles | 95 | 91 | 94 | 90 | ||||||||||||
$ | 1,254 | $ | 1,162 | $ | 1,251 | $ | 1,142 | |||||||||
Amortized Intangible Assets, Excluding Goodwill, By Business Segment | Amortized intangible assets, excluding goodwill, were comprised of the following by segment: | |||||||||||||||
September 28, 2013 | December 31, 2012 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Government | $ | 55 | $ | 48 | $ | 53 | $ | 48 | ||||||||
Enterprise | 1,199 | 1,114 | 1,198 | 1,094 | ||||||||||||
$ | 1,254 | $ | 1,162 | $ | 1,251 | $ | 1,142 | |||||||||
Goodwill | The following table displays a rollforward of the carrying amount of goodwill by segment from January 1, 2013 to September 28, 2013: | |||||||||||||||
Government | Enterprise | Total | ||||||||||||||
Balance as of January 1, 2013 | ||||||||||||||||
Aggregate goodwill | $ | 349 | $ | 2,725 | $ | 3,074 | ||||||||||
Accumulated impairment losses | — | (1,564 | ) | (1,564 | ) | |||||||||||
Goodwill, net of impairment losses | $ | 349 | $ | 1,161 | $ | 1,510 | ||||||||||
Purchase accounting tax adjustment | — | (2 | ) | (2 | ) | |||||||||||
Foreign currency | — | (1 | ) | (1 | ) | |||||||||||
Balance as of September 28, 2013 | ||||||||||||||||
Aggregate goodwill | $ | 349 | $ | 2,722 | $ | 3,071 | ||||||||||
Accumulated impairment losses | — | (1,564 | ) | (1,564 | ) | |||||||||||
Goodwill, net of impairment losses | $ | 349 | $ | 1,158 | $ | 1,507 | ||||||||||
Discontinued_Operations_Summar
Discontinued Operations (Summarized Activity Of Discontinued Operations) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Discontinued Operations and Disposal Groups [Abstract] | ||||
Net sales | $0 | |||
Operating earnings | 11 | |||
Loss on sales of investments and businesses, net | -7 | |||
Earnings before income taxes | 8 | |||
Income tax expense | 5 | |||
Loss from discontinued operations, net of tax | $0 | $0 | $0 | $3 |
Other_Financial_Data_Other_Cha
Other Financial Data (Other Charges) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Other charges: | ||||
Intangibles amortization | $8 | $6 | $20 | $18 |
Reorganization of businesses | 24 | 10 | 55 | 30 |
Other charges | $32 | $16 | $75 | $48 |
Other_Financial_Data_Other_Inc
Other Financial Data (Other Income (Expense)) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Interest income (expense), net: | ||||
Interest expense | ($33) | ($29) | ($100) | ($79) |
Interest income | 4 | 13 | 15 | 33 |
Interest income (expense), net | -29 | -16 | -85 | -46 |
Other: | ||||
Loss from the extinguishment of long-term debt | 0 | 0 | 0 | -6 |
Investment impairments | -1 | -6 | -5 | -8 |
Foreign currency loss | -4 | 0 | -8 | -11 |
Gains on equity method investments | 8 | 2 | 7 | 4 |
Other | 2 | 1 | 7 | 3 |
Total Other Income (Expense) | $5 | ($3) | $1 | ($18) |
Other_Financial_Data_Earnings_
Other Financial Data (Earnings (Loss) Per Common Share) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Basic earnings (loss) per common share: | ||||
Earnings from continuing operations | $307 | $206 | $757 | $542 |
Net earnings | 307 | 206 | 757 | 545 |
Weighted average common shares outstanding, basic (shares) | 262.2 | 283.1 | 268.7 | 296.1 |
Basic earnings per common share (US$ per share) | $1.17 | $0.73 | $2.82 | $1.83 |
Basic earnings per share amount (US$ per share) | $1.17 | $0.73 | $2.82 | $1.84 |
Diluted earnings (loss) per common share: | ||||
Earnings from continuing operations | 307 | 206 | 757 | 542 |
Net earnings | $307 | $206 | $757 | $545 |
Weighted average common shares outstanding, basic (shares) | 262.2 | 283.1 | 268.7 | 296.1 |
Add effect of dilutive securities: | ||||
Share-based awards (in shares) | 3.1 | 4.3 | 4.8 | 5.4 |
Diluted weighted average common shares outstanding (shares) | 265.3 | 287.4 | 273.5 | 301.5 |
Diluted earnings per common share (US$ per share) | $1.16 | $0.72 | $2.77 | $1.80 |
Diluted earnings per share amount (US$ per share) | $1.16 | $0.72 | $2.77 | $1.81 |
Other_Financial_Data_Sigma_Fun
Other Financial Data (Sigma Fund) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Sigma Fund | ||
Sigma Fund | $1,167 | $2,133 |
Cash [Mmeber] | ||
Sigma Fund | ||
Sigma Fund | 261 | 149 |
U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Sigma Fund | ||
Sigma Fund | $906 | $1,984 |
Other_Financial_Data_Investmen
Other Financial Data (Investments) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Investments | ||
Short-term Investments | $2 | $2 |
Investments | 259 | 240 |
Unrealized Gains | 4 | 3 |
Unrealized Loss | -1 | 0 |
Cost Basis | 258 | 239 |
Available-For-Sale Securities [Member] | ||
Investments | ||
Short-term Investments | 2 | 2 |
Investments | 36 | 38 |
Unrealized Gains | 4 | 3 |
Unrealized Loss | -1 | 0 |
Cost Basis | 35 | 37 |
U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Investments | ||
Short-term Investments | 0 | 0 |
Investments | 17 | 15 |
Unrealized Gains | 0 | 0 |
Unrealized Loss | -1 | 0 |
Cost Basis | 18 | 15 |
Corporate Bonds [Member] | ||
Investments | ||
Short-term Investments | 2 | 2 |
Investments | 6 | 11 |
Unrealized Gains | 0 | 0 |
Unrealized Loss | 0 | 0 |
Cost Basis | 8 | 13 |
Mortgage-backed Securities [Member] | ||
Investments | ||
Short-term Investments | 0 | 0 |
Investments | 2 | 2 |
Unrealized Gains | 0 | 0 |
Unrealized Loss | 0 | 0 |
Cost Basis | 2 | 2 |
Common Stock and Equivalents [Member] | ||
Investments | ||
Short-term Investments | 0 | 0 |
Investments | 11 | 10 |
Unrealized Gains | 4 | 3 |
Unrealized Loss | 0 | 0 |
Cost Basis | 7 | 7 |
Other Securities, At Cost [Member] | ||
Investments | ||
Short-term Investments | 0 | 0 |
Investments | 206 | 189 |
Unrealized Gains | 0 | 0 |
Unrealized Loss | 0 | 0 |
Cost Basis | 206 | 189 |
Equity Method Investments [Member] | ||
Investments | ||
Short-term Investments | 0 | 0 |
Investments | 17 | 13 |
Unrealized Gains | 0 | 0 |
Unrealized Loss | 0 | 0 |
Cost Basis | $17 | $13 |
Other_Financial_Data_Accounts_
Other Financial Data (Accounts Receivable, Net) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Other Financial Data [Abstract] | ||
Accounts receivable | $1,879 | $1,932 |
Less allowance for doubtful accounts | -56 | -51 |
Accounts receivable, net | $1,823 | $1,881 |
Other_Financial_Data_Inventori
Other Financial Data (Inventories, Net) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Inventory, Net [Abstract] | ||
Finished goods | $234 | $244 |
Work-in-process and production materials | 462 | 432 |
Inventories, gross | 696 | 676 |
Less inventory reserves | -175 | -163 |
Inventories, net | $521 | $513 |
Other_Financial_Data_Other_Cur
Other Financial Data (Other Current Assets) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Other Current Assets [Abstract] | ||
Costs and earnings in excess of billings | $413 | $416 |
Contract-related deferred costs | 111 | 141 |
Tax-related deposits and refunds receivable | 98 | 95 |
Other | 138 | 148 |
Other current assets | $760 | $800 |
Other_Financial_Data_Property_
Other Financial Data (Property, Plant And Equipment, Net) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment, Net [Abstract] | ||
Land | $37 | $38 |
Building | 748 | 739 |
Machinery and equipment | 1,926 | 1,932 |
Property, plant and equipment, gross | 2,711 | 2,709 |
Less accumulated depreciation | -1,870 | -1,870 |
Property, plant and equipment, net | $841 | $839 |
Other_Financial_Data_Other_Ass
Other Financial Data (Other Assets) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Other Assets [Abstract] | ||
Intangible assets | $92 | $109 |
Long-term receivables | 19 | 60 |
Other | 92 | 104 |
Other assets, total | $203 | $273 |
Other_Financial_Data_Accrued_L
Other Financial Data (Accrued Liabilities) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Accrued Liabilities [Abstract] | ||
Deferred revenue | $766 | $820 |
Compensation | 319 | 424 |
Billings in excess of costs and earnings | 211 | 387 |
Tax liabilities | 54 | 95 |
Customer reserves | 126 | 144 |
Dividend payable | 80 | 72 |
Other | 647 | 684 |
Accrued liabilities | $2,203 | $2,626 |
Other_Financial_Data_Other_Lia
Other Financial Data (Other Liabilities) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Other Liabilities [Abstract] | ||
Defined benefit plans, including split dollar life insurance policies | $3,270 | $3,389 |
Postretirement health care benefit plan | 166 | 167 |
Deferred revenue | 311 | 304 |
Unrecognized tax benefits | 99 | 98 |
Other | 209 | 237 |
Other liabilities | $4,055 | $4,195 |
Other_Financial_Data_Changes_i
Other Financial Data (Changes in Accumulated Other Comprehensive Income) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance as of January 1, 2013 | ($3,300) | |||
Other comprehensive losses before reclassifications | -23 | |||
Amounts reclassified from Accumulated other comprehensive loss | 51 | |||
Current period change in Other comprehensive income (loss) | 37 | 140 | 28 | 223 |
Balance as of September 28, 2013 | -3,272 | -3,272 | ||
Gains and Losses on Cash Flow Hedges [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance as of January 1, 2013 | 1 | |||
Other comprehensive losses before reclassifications | -1 | |||
Amounts reclassified from Accumulated other comprehensive loss | -1 | |||
Current period change in Other comprehensive income (loss) | -2 | |||
Balance as of September 28, 2013 | -1 | -1 | ||
Unrealized Gains and Losses on Available-for-Sale Securities [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance as of January 1, 2013 | 2 | |||
Other comprehensive losses before reclassifications | 0 | |||
Amounts reclassified from Accumulated other comprehensive loss | 0 | |||
Current period change in Other comprehensive income (loss) | 0 | |||
Balance as of September 28, 2013 | 2 | 2 | ||
Retirmenet Benefits Items [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance as of January 1, 2013 | -3,211 | |||
Other comprehensive losses before reclassifications | 0 | |||
Amounts reclassified from Accumulated other comprehensive loss | 52 | |||
Current period change in Other comprehensive income (loss) | 52 | |||
Balance as of September 28, 2013 | -3,159 | -3,159 | ||
Foreign Currency Translation Adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance as of January 1, 2013 | -92 | |||
Other comprehensive losses before reclassifications | -22 | |||
Amounts reclassified from Accumulated other comprehensive loss | 0 | |||
Current period change in Other comprehensive income (loss) | -22 | |||
Balance as of September 28, 2013 | ($114) | ($114) |
Other_Financial_Data_Amounts_R
Other Financial Data (Amounts Reclassified from Accumulated Other Comprehensive Loss) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Cost of sales - Foreign exchange contracts | $674 | $682 | $2,019 | $2,052 |
Earnings from continuing operations before income taxes | 325 | 324 | 754 | 808 |
Tax expense (benefits) | -17 | -118 | 8 | -266 |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | 308 | 206 | 762 | 542 |
Net earnings | 308 | 206 | 762 | 545 |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net earnings | 17 | 51 | ||
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Gains and Losses on Cash Flow Hedges [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Cost of sales - Foreign exchange contracts | 0 | -1 | ||
Net earnings | 0 | -1 | ||
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Amortization of Retirement Benefit Items [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Selling, general, and administrative expenses - Prior service costs | -13 | -38 | ||
Selling, general, and administrative expenses - Actuarial net losses | 39 | 118 | ||
Earnings from continuing operations before income taxes | 26 | 80 | ||
Tax expense (benefits) | -9 | -28 | ||
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | $17 | $52 |
Other_Financial_Data_Narrative
Other Financial Data (Narrative) (Details) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | |||||
Share data in Millions, except Per Share data, unless otherwise specified | Jul. 24, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Financial Data [Line Items] | ||||||||
Reclassified amount of of cash surrender values of split-dollar value life insurance plans | $96,000,000 | $96,000,000 | ||||||
Cash and cash equivalents | 1,721,000,000 | 1,779,000,000 | 1,721,000,000 | 1,779,000,000 | 1,468,000,000 | 1,881,000,000 | ||
Restricted cash and cash equivalents | 63,000,000 | 63,000,000 | ||||||
Depreciation expense | 51,000,000 | 39,000,000 | 148,000,000 | 133,000,000 | ||||
Stockholders' Equity Note [Abstract] | ||||||||
Repurchase of common shares, value | 1,300,000,000 | 2,100,000,000 | ||||||
Repurchase of common shares | 23 | 37.1 | ||||||
Repurchase of common shares, average cost per share | $58.05 | $48.50 | ||||||
Additional funds authorized under share repurchase program | 2,000,000,000 | |||||||
Aggregate amount authorized under share repurchase program | 7,000,000,000 | |||||||
Share repurchase authority utilized during period | 4,900,000,000 | |||||||
Share repurchase program, available for repurchases | 2,100,000,000 | |||||||
Payments for Repurchase of Common Stock | 1,332,000,000 | 2,112,000,000 | ||||||
Payment of dividends | $212,000,000 | $197,000,000 | ||||||
Dividends declared per share (US$ per share) | $0.31 | $0.31 | $0.26 | $0.26 | $0.83 | $0.70 | ||
Stock Options [Member] | ||||||||
Other Financial Data [Line Items] | ||||||||
Stock options excluded from computation of dilutive shares due to antidilutive nature | 5.6 | 6.1 | 4.8 | 6 |
Debt_and_Credit_Facilities_Nar
Debt and Credit Facilities (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | |||
Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Mar. 30, 2013 | 31-May-12 | Sep. 28, 2013 | Sep. 28, 2013 | Jun. 30, 2012 | 31-May-12 | |
3.500% Senior Notes Due 2023 [Member] | 3.750% Senior Notes Due 2022 [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | 5.375% Senior Notes Due 2012 [Member] | 5.375% Senior Notes Due 2012 [Member] | |||||
2011 Motorola Solutions Credit Agreement [Member] | 2011 Motorola Solutions Credit Agreement [Member] | |||||||||
Line of Credit Facility [Line Items] | ||||||||||
Face principal amount of debt issued | $600,000,000 | $750,000,000 | ||||||||
Debt instrument stated interest rate (percent) | 3.50% | 3.75% | 5.38% | |||||||
Proceeds from issuance of debt | 588,000,000 | 740,000,000 | ||||||||
Aggregate principal amount of debt redeemed | 400,000,000 | |||||||||
Debt redemption aggregate purchase price | 408,000,000 | |||||||||
Loss from the extinguishment of long-term debt | 0 | 0 | 0 | -6,000,000 | 6,000,000 | |||||
Unsecured syndicated revolving credit facility | 1,500,000,000 | 1,500,000,000 | ||||||||
Additional borrowings under line of credit agreement | $0 | $0 |
Risk_Management_Schedule_Of_La
Risk Management (Schedule Of Largest Notional Amounts Of The Positions To Buy Or Sell Foreign Currency) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Foreign Currency Contracts | ||
Notional amount of foreign currency derivatives | ($762) | ($523) |
British Pound | ||
Foreign Currency Contracts | ||
Notional amount of foreign currency derivatives | 213 | 225 |
Chinese Renminbi | ||
Foreign Currency Contracts | ||
Notional amount of foreign currency derivatives | -155 | -99 |
Norwegian Krone | ||
Foreign Currency Contracts | ||
Notional amount of foreign currency derivatives | -107 | -48 |
Euro | ||
Foreign Currency Contracts | ||
Notional amount of foreign currency derivatives | -88 | -9 |
Malaysian Ringgit | ||
Foreign Currency Contracts | ||
Notional amount of foreign currency derivatives | $65 | $30 |
Risk_Management_Summary_Of_Fai
Risk Management (Summary Of Fair Values And Location In Condensed Consolidated Balance Sheet) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | $5 | $3 |
Fair value of derivative liabilities | 4 | 7 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contracts [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 0 | 1 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contracts [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 1 | 0 |
Not Designated As Hedging Instruments [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 5 | 2 |
Fair value of derivative liabilities | 3 | 7 |
Not Designated As Hedging Instruments [Member] | Foreign Exchange Contracts [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 5 | 2 |
Not Designated As Hedging Instruments [Member] | Foreign Exchange Contracts [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 0 | 3 |
Not Designated As Hedging Instruments [Member] | Interest Agreement Contracts [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 0 | 0 |
Not Designated As Hedging Instruments [Member] | Interest Agreement Contracts [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | $3 | $4 |
Risk_Management_Summary_Of_Der
Risk Management (Summary Of Derivative Instruments And The Effect On The Condensed Consolidated Statements Of Operations) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Foreign Exchange Contracts [Member] | Costs Of Sales [Member] | ||||
Gain (Loss) on Derivative Instruments | ||||
Losses (gains) reclassified from Accumulated other comprehensive loss into Net earnings | $0 | $1 | ($1) | $2 |
Foreign Exchange Contracts [Member] | Accumulated Other Comprehensive Loss [Member] | ||||
Gain (Loss) on Derivative Instruments | ||||
Other comprehensive gains (losses) before reclassifications | -1 | 1 | -1 | 2 |
Not Designated As Hedging Instruments [Member] | ||||
Gain (Loss) on Derivative Instruments | ||||
Total derivatives not designated as hedging instruments | 8 | -1 | 0 | -6 |
Not Designated As Hedging Instruments [Member] | Interest Rate Contracts [Member] | Other Income (Expense) [Member] | ||||
Gain (Loss) on Derivative Instruments | ||||
Total derivatives not designated as hedging instruments | 0 | 0 | 1 | -1 |
Not Designated As Hedging Instruments [Member] | Foreign Exchange Contracts [Member] | Other Income (Expense) [Member] | ||||
Gain (Loss) on Derivative Instruments | ||||
Total derivatives not designated as hedging instruments | $8 | ($1) | ($1) | ($5) |
Risk_Management_Narrative_Deta
Risk Management (Narrative) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
position | position | |
Derivative [Line Items] | ||
Notional amount of foreign currency derivatives | $762,000,000 | $523,000,000 |
Number of net notional positions to buy or sell foreign currency disclosed (in number of positions) | 5 | 5 |
Fair value of derivative liabilities | 4,000,000 | 7,000,000 |
Aggregate credit risk with all counterparties | 5,000,000 | |
Interest Rate Contracts [Member] | ||
Derivative [Line Items] | ||
Principal amount outstanding | 2,500,000,000 | |
Not Designated As Hedging Instruments [Member] | ||
Derivative [Line Items] | ||
Fair value of derivative liabilities | 3,000,000 | 7,000,000 |
Not Designated As Hedging Instruments [Member] | Interest Rate Contracts [Member] | Other Liabilities [Member] | ||
Derivative [Line Items] | ||
Fair value of derivative liabilities | $3,000,000 | $4,000,000 |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2013 | Mar. 30, 2013 | Sep. 28, 2013 | Dec. 31, 2012 | |
Income Tax Expense (Benefit) [Abstract] | ||||
Valuation allowance | $274,000,000 | $274,000,000 | $308,000,000 | |
Valuation allowance - deferred tax assets relating to non-U.S subsidiaries | 249,000,000 | 249,000,000 | 272,000,000 | |
Income Tax Reconciliation, Change in Deferred Tax Assets Valuation Allowance | 34,000,000 | |||
Tax benefit related to reversal of deferred tax liabilities | 25,000,000 | |||
Undistributed earnings that the Company intends to reinvest indefinitely | 1,300,000,000 | 1,300,000,000 | 1,000,000,000 | |
Undistributed Non U S Earnings | 1,000,000,000 | 1,000,000,000 | ||
Impact on effective tax rate resulting from foreign tax credits realized | 96,000,000 | 224,000,000 | ||
Unrecognized tax benefits | 152,000,000 | 152,000,000 | 161,000,000 | |
Unrecognized tax benefits that would impact effective tax rate if recognized | 132,000,000 | 132,000,000 | 138,000,000 | |
Unrecognized Tax Benefits, Period Increase (Decrease) | 61,000,000 | |||
Unrecognized Tax Benefits, Increases Resulting from Prior Period Tax Positions | 63,000,000 | |||
Reduction in unrecognized tax benefits arising from settlements with tax authorities | 81,000,000 | |||
Income Taxes Paid | 87,000,000 | 63,000,000 | ||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Upper Bound | 50,000,000 | 50,000,000 | ||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Lower Bound | -75,000,000 | -75,000,000 | ||
Change in cash payment of unrecognized tax benefits, upper end of range | $25,000,000 |
Retirement_Benefits_Net_Period
Retirement Benefits (Net Periodic Pension Costs) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
U.S. Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $0 | $0 | $0 | $0 |
Interest cost | 88 | 87 | 264 | 262 |
Expected return on plan assets | -91 | -105 | -273 | -316 |
Amortization of unrecognized net loss | 31 | 65 | 95 | 195 |
Amortization of unrecognized prior service cost | 0 | 0 | 0 | 0 |
Net postretirement health care expense (benefits) | 28 | 47 | 86 | 141 |
Contributions | 122 | |||
Non-U.S. Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 2 | 3 | 8 | 8 |
Interest cost | 19 | 18 | 52 | 55 |
Expected return on plan assets | -21 | -19 | -58 | -58 |
Amortization of unrecognized net loss | 5 | 6 | 11 | 16 |
Amortization of unrecognized prior service cost | -1 | -1 | -5 | -2 |
Net postretirement health care expense (benefits) | 4 | 7 | 8 | 19 |
Contributions | $24 |
Retirement_Benefits_Net_Postre
Retirement Benefits (Net Postretirement Health Care Benefits Plan) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | |||||
Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Jun. 05, 2013 | Jun. 05, 2013 | |
Postretirement Health Care Benefits Plans [Member] | Postretirement Health Care Benefits Plans [Member] | Postretirement Health Care Benefits Plans [Member] | Postretirement Health Care Benefits Plans [Member] | Deferred Compensation Plan (The Plan) [Member] | Officer [Member] | |||||
Deferred Compensation Plan (The Plan) [Member] | ||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||
Service cost | $1,000,000 | $1,000,000 | $2,000,000 | $3,000,000 | ||||||
Interest cost | 3,000,000 | 4,000,000 | 9,000,000 | 14,000,000 | ||||||
Expected return on plan assets | -2,000,000 | -3,000,000 | -7,000,000 | -9,000,000 | ||||||
Amortization of: | ||||||||||
Amortization of unrecognized net loss | 5,000,000 | 3,000,000 | 12,000,000 | 9,000,000 | ||||||
Amortization of unrecognized prior service cost | -11,000,000 | -5,000,000 | -33,000,000 | -5,000,000 | ||||||
Net postretirement health care expense (benefits) | -4,000,000 | 0 | -17,000,000 | 12,000,000 | ||||||
Minimum age of participants to be paid under retiree health reimbursement account | 65 years | |||||||||
Increase (Decrease) in Postemployment Obligations | 139,000,000 | |||||||||
Defined Benefit Plan, Amortization of Net Prior Service Cost (Credit) | 87,000,000 | 87,000,000 | ||||||||
Prior service cost amortization period | 3 years | |||||||||
Defined Contribution Plans [Abstract] | ||||||||||
Company discretionary matching contributions | 0 | 0 | 0 | 0 | ||||||
Percentage of Compensation considered towards Company matching contribution | 4.00% | |||||||||
Maximum compensation considered towards Company matching contributions | $50,000 |
ShareBased_Compensation_Plans_1
Share-Based Compensation Plans (Schedule Of Compensation Expense) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share-based compensation expense included in Operating earnings | $37 | $44 | $116 | $139 |
Tax benefit | 12 | 14 | 36 | 47 |
Share-based compensation expense, net of tax | 25 | 30 | 80 | 92 |
Decrease in basic earnings per share (US$ per share) | ($0.10) | ($0.11) | ($0.30) | ($0.31) |
Decrease in diluted earnings per share (US$ per share) | ($0.09) | ($0.11) | ($0.29) | ($0.30) |
Cost Of Sales [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share-based compensation expense included in Operating earnings | 5 | 6 | 15 | 19 |
Selling, General And Administrative Expenses [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share-based compensation expense included in Operating earnings | 22 | 27 | 71 | 84 |
Research And Development Expenditures [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Share-based compensation expense included in Operating earnings | $10 | $11 | $30 | $36 |
ShareBased_Compensation_Plans_2
Share-Based Compensation Plans And Other Incentive Plans (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated Share-based Compensation Expense | $37 | $44 | $116 | $139 |
Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1.5 | |||
Allocated Share-based Compensation Expense | 69 | |||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1.6 | |||
Allocated Share-based Compensation Expense | $14 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements (Fair Value Of Assets And Liabilities) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Assets: | ||
Available-for-sale securities, fair value | $259 | $240 |
U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 17 | 15 |
Corporate Bonds [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 6 | 11 |
Mortgage-backed Securities [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 2 | 2 |
Common Stock and Equivalents [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 11 | 10 |
Level 1 [Member] | ||
Liabilities: | ||
Foreign exchange derivative contracts | 0 | 0 |
Interest agreement derivative contracts | 0 | 0 |
Level 2 [Member] | ||
Liabilities: | ||
Foreign exchange derivative contracts | 1 | 3 |
Interest agreement derivative contracts | 3 | 4 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ||
Liabilities: | ||
Foreign exchange derivative contracts | 1 | 3 |
Interest agreement derivative contracts | 3 | 4 |
Sigma Fund Securities [Member] | Level 1 [Member] | U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Sigma Fund securities, fair value | 0 | 0 |
Sigma Fund Securities [Member] | Level 2 [Member] | U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Sigma Fund securities, fair value | 906 | 1,984 |
Sigma Fund Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Sigma Fund securities, fair value | 906 | 1,984 |
Foreign Exchange Derivative Contracts [Member] | Level 1 [Member] | Foreign Exchange Derivative Contracts [Member] | ||
Assets: | ||
Foreign exchange derivative contracts, fair value | 0 | 0 |
Foreign Exchange Derivative Contracts [Member] | Level 2 [Member] | Foreign Exchange Derivative Contracts [Member] | ||
Assets: | ||
Foreign exchange derivative contracts, fair value | 5 | 3 |
Foreign Exchange Derivative Contracts [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Foreign Exchange Derivative Contracts [Member] | ||
Assets: | ||
Foreign exchange derivative contracts, fair value | 5 | 3 |
Available-For-Sale Securities [Member] | Level 1 [Member] | U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 0 | 0 |
Available-For-Sale Securities [Member] | Level 1 [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 0 | 0 |
Available-For-Sale Securities [Member] | Level 1 [Member] | Mortgage-backed Securities [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 0 | 0 |
Available-For-Sale Securities [Member] | Level 1 [Member] | Common Stock and Equivalents [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 3 | 3 |
Available-For-Sale Securities [Member] | Level 2 [Member] | U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 17 | 15 |
Available-For-Sale Securities [Member] | Level 2 [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 8 | 13 |
Available-For-Sale Securities [Member] | Level 2 [Member] | Mortgage-backed Securities [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 2 | 2 |
Available-For-Sale Securities [Member] | Level 2 [Member] | Common Stock and Equivalents [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 8 | 7 |
Available-For-Sale Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | U.S. Government, Agency and Government-sponsored Enterprise Obligations [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 17 | 15 |
Available-For-Sale Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 8 | 13 |
Available-For-Sale Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Mortgage-backed Securities [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | 2 | 2 |
Available-For-Sale Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Common Stock and Equivalents [Member] | ||
Assets: | ||
Available-for-sale securities, fair value | $11 | $10 |
Fair_Value_Measurements_Narrat
Fair Value Measurements (Narrative) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments in money market mutual funds classified as cash and cash equivalents | $495,000,000 | $422,000,000 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Level 3 holdings | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, Fair Value | 2,500,000,000 | |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, Fair Value | $2,500,000,000 |
Longterm_Customer_Financing_An2
Long-term Customer Financing And Sales Of Receivables (Long-Term Customer Financing) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Long-Term Customer Financing And Sales Of Receivables [Abstract] | ||
Long-term customer financing receivables | $57 | $101 |
Less current portion | -38 | -41 |
Non-current long-term receivables, net | $19 | $60 |
Longterm_Customer_Financing_An3
Long-term Customer Financing And Sales Of Receivables (Proceeds Received From Non-Recourse Sales Of Accounts Receivable And Long-Term Receivables) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Long-Term Customer Financing And Sales Of Receivables [Abstract] | ||||
Accounts receivable sales proceeds | $4 | $5 | $6 | $12 |
Long-term receivable sales proceeds | 37 | 32 | 90 | 156 |
Total proceeds from sales of accounts receivable | $41 | $37 | $96 | $168 |
Longterm_Customer_Financing_An4
Long-term Customer Financing And Sales Of Receivables (Credit Quality Of Customer Financing Receivables And Allowance For Credit Losses) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Total Long-term Receivable | $57 | $101 |
Current Billed Due | 11 | 1 |
Past Due Under 90 Days | 1 | 2 |
Past Due Over 90 Days | 9 | 4 |
Municipal Leases Secured Tax Exempt [Member] | ||
Debt Instrument [Line Items] | ||
Total Long-term Receivable | 1 | 23 |
Current Billed Due | 0 | 0 |
Past Due Under 90 Days | 0 | 0 |
Past Due Over 90 Days | 0 | 0 |
Commercial Loans And Leases Secured [Member] | ||
Debt Instrument [Line Items] | ||
Total Long-term Receivable | 56 | 78 |
Current Billed Due | 11 | 1 |
Past Due Under 90 Days | 1 | 2 |
Past Due Over 90 Days | $9 | $4 |
Longterm_Customer_Financing_An5
Long-term Customer Financing And Sales Of Receivables (Narrative) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Commitments to provide long-term financing | $108 | $84 |
Servicing obligations for long-term receivables | 391 | 375 |
Loans and Finance Receivables [Member] | ||
Debt Instrument [Line Items] | ||
Financing receivables past due over 90 days | $9 |
Segment_Information_Operating_
Segment Information (Operating Business Segment) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Business Segments Information | ||||
Net Sales | $2,112 | $2,153 | $6,192 | $6,257 |
Operating earnings | 320 | 324 | 802 | 833 |
Total other expense | 5 | 0 | -48 | -25 |
Earnings from continuing operations before income taxes | 325 | 324 | 754 | 808 |
Government [Member] | ||||
Business Segments Information | ||||
Net Sales | 1,465 | 1,521 | 4,262 | 4,281 |
Operating earnings | 252 | 273 | 647 | 620 |
Enterprise [Member] | ||||
Business Segments Information | ||||
Net Sales | 647 | 632 | 1,930 | 1,976 |
Operating earnings | $68 | $51 | $155 | $213 |
Reorganization_Of_Businesses_N
Reorganization Of Businesses (Net Charges Incurred By Business Segment) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Restructuring Cost and Reserve [Line Items] | ||||
Reorganization of business charges | $32 | $13 | $71 | $36 |
Government [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Reorganization of business charges | 20 | 8 | 45 | 24 |
Enterprise [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Reorganization of business charges | $12 | $5 | $26 | $12 |
Reorganization_Of_Businesses_R
Reorganization Of Businesses (Reorganization Of Businesses Accruals) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 |
Restructuring Reserve [Roll Forward] | ||
Accruals at January 1, 2013 | $35 | |
Additional Charges | 78 | |
Adjustments | -7 | |
Amount Used | -45 | |
Accruals at September 28, 2013 | 61 | |
Exit Costs [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Accruals at January 1, 2013 | 4 | |
Additional Charges | 1 | |
Adjustments | 0 | |
Amount Used | -1 | |
Accruals at September 28, 2013 | 4 | |
Employee Separation Costs [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Accruals at January 1, 2013 | 31 | |
Additional Charges | 77 | |
Adjustments | -7 | -8 |
Amount Used | -44 | |
Accruals at September 28, 2013 | $57 |
Reorganization_Of_Businesses_N1
Reorganization Of Businesses (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Dec. 31, 2012 |
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | $32 | $13 | $71 | $36 | |
Restructuring charges | 78 | ||||
Restructuring reversals no longer needed | -7 | ||||
Restructuring Reserve | 61 | 61 | 35 | ||
Number of Employees Impacted By Reorganization of Business | |||||
Restructuring charges settled with cash | 45 | ||||
Cost Of Sales [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | 8 | 3 | 16 | 6 | |
Other Expense [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | 24 | 10 | 55 | 30 | |
Employee Separation Costs [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | 31 | 43 | |||
Number of voluntary applicants in business reorganization | 130 | ||||
Restructuring charges | 77 | ||||
Restructuring reversals no longer needed | -7 | -8 | |||
Restructuring Reserve | 57 | 57 | 31 | ||
Number of Employees Impacted By Reorganization of Business | |||||
Accrual for employee severance, initial payment in current year (in number of employees) | 300 | ||||
Restructuring charges in the period for total employee severance (in number of employees) | 1,000 | ||||
Restructuring charges in the period for indirect employees' severance (in number of employees) | 500 | 700 | |||
Restructuring charges in the period for direct employees' severance (in number of employees) | 500 | ||||
Restructuring charges settled with cash | 44 | ||||
Number of employees expected to be paid (in number of employees) | 700 | 700 | |||
Building Impairment [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | 1 | ||||
Exit Costs [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | 1 | 1 | |||
Restructuring charges | 1 | ||||
Restructuring reversals no longer needed | 0 | ||||
Restructuring Reserve | 4 | 4 | 4 | ||
Number of Employees Impacted By Reorganization of Business | |||||
Restructuring charges settled with cash | 1 | ||||
Voluntary Applicants [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Reorganization of business charges | $21 |
Intangible_Assets_And_Goodwill2
Intangible Assets And Goodwill (Intangible Assets) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $1,254 | $1,251 |
Accumulated Amortization | 1,162 | 1,142 |
Completed technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 662 | 657 |
Accumulated Amortization | 637 | 632 |
Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 276 | 276 |
Accumulated Amortization | 276 | 276 |
Customer-related [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 202 | 201 |
Accumulated Amortization | 140 | 125 |
Licensed technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 19 | 23 |
Accumulated Amortization | 18 | 19 |
Other Intangibles [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 95 | 94 |
Accumulated Amortization | $91 | $90 |
Intangible_Assets_And_Goodwill3
Intangible Assets And Goodwill (Amortized Intangible Assets, Excluding Goodwill, By Business Segment) (Details) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Indefinite-lived Intangible Assets by Segment [Line Items] | ||
Gross Carrying Amount | $1,254 | $1,251 |
Accumulated Amortization | 1,162 | 1,142 |
Government [Member] | ||
Indefinite-lived Intangible Assets by Segment [Line Items] | ||
Gross Carrying Amount | 55 | 53 |
Accumulated Amortization | 48 | 48 |
Enterprise [Member] | ||
Indefinite-lived Intangible Assets by Segment [Line Items] | ||
Gross Carrying Amount | 1,199 | 1,198 |
Accumulated Amortization | $1,114 | $1,094 |
Intangible_Assets_And_Goodwill4
Intangible Assets And Goodwill (Goodwill) (Details) (USD $) | 9 Months Ended | |
Sep. 28, 2013 | Dec. 31, 2012 | |
Goodwill Activity | ||
Aggregate goodwill | $3,071,000,000 | $3,074,000,000 |
Accumulated impairment losses | -1,564,000,000 | -1,564,000,000 |
Goodwill, net of impairment losses | 1,507,000,000 | 1,510,000,000 |
Purchase accounting tax adjustment | -2,000,000 | |
Foreign currency | -1,000,000 | |
Government [Member] | ||
Goodwill Activity | ||
Aggregate goodwill | 349,000,000 | 349,000,000 |
Accumulated impairment losses | 0 | 0 |
Goodwill, net of impairment losses | 349,000,000 | 349,000,000 |
Purchase accounting tax adjustment | 0 | |
Foreign currency | 0 | |
Enterprise [Member] | ||
Goodwill Activity | ||
Aggregate goodwill | 2,722,000,000 | 2,725,000,000 |
Accumulated impairment losses | -1,564,000,000 | -1,564,000,000 |
Goodwill, net of impairment losses | 1,158,000,000 | 1,161,000,000 |
Purchase accounting tax adjustment | -2,000,000 | |
Foreign currency | ($1,000,000) |
Intangible_Assets_And_Goodwill5
Intangible Assets And Goodwill (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Intangible Assets And Goodwill | ||||
Amortization expense on intangibles | $8 | $6 | $20 | $18 |
Finite-Lived Intangible Assets, Future Amortization Expense | ||||
2013 | 25 | 25 | ||
2014 | 24 | 24 | ||
2015 | 19 | 19 | ||
2016 | 17 | 17 | ||
2017 | $11 | $11 |