Document_And_Entity_Informatio
Document And Entity Information | 9 Months Ended |
Sep. 27, 2014 | |
Document And Entity Information [Abstract] | ' |
Entity Registrant Name | 'Motorola Solutions, Inc. |
Entity Central Index Key | '0000068505 |
Current Fiscal Year End Date | '--12-31 |
Entity Filer Category | 'Large Accelerated Filer |
Document Type | '10-Q |
Document Period End Date | 27-Sep-14 |
Document Fiscal Year Focus | '2014 |
Document Fiscal Period Focus | 'Q3 |
Amendment Flag | 'false |
Entity Common Stock, Shares Outstanding | 240,722,357 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Net sales from products | $921 | $998 | $2,561 | $2,897 |
Net sales from services | 515 | 519 | 1,497 | 1,513 |
Net sales | 1,436 | 1,517 | 4,058 | 4,410 |
Costs of product sales | 414 | 423 | 1,165 | 1,262 |
Costs of services sales | 337 | 329 | 974 | 940 |
Costs of sales | 751 | 752 | 2,139 | 2,202 |
Gross margin | 685 | 765 | 1,919 | 2,208 |
Selling, general and administrative expenses | 287 | 320 | 902 | 984 |
Research and development expenditures | 166 | 183 | 516 | 565 |
Other charges | 25 | 16 | 49 | 37 |
Operating earnings | 207 | 246 | 452 | 622 |
Other income (expense): | ' | ' | ' | ' |
Interest expense, net | -31 | -29 | -85 | -85 |
Gains on sales of investments and businesses, net | 1 | 26 | 4 | 34 |
Other | -26 | 8 | -34 | 3 |
Total other income (expense) | -56 | 5 | -115 | -48 |
Earnings before income taxes | 151 | 251 | 337 | 574 |
Income tax expense (benefit) | 84 | -11 | 107 | -72 |
Earnings from continuing operations | 67 | 262 | 230 | 646 |
Earnings from discontinued operations, net of tax | 81 | 46 | 869 | 116 |
Net earnings | 148 | 308 | 1,099 | 762 |
Less: Earnings attributable to noncontrolling interests | 1 | 1 | 1 | 5 |
Net earnings attributable to Motorola Solutions, Inc. | 147 | 307 | 1,098 | 757 |
Earnings from continuing operations, net of tax | 66 | 261 | 229 | 641 |
Earnings from discontinued operations, net of tax | $81 | $46 | $869 | $116 |
Basic: | ' | ' | ' | ' |
Continuing operations (US$ per share) | $0.27 | $1 | $0.91 | $2.39 |
Discontinued operations (US$ per share) | $0.33 | $0.17 | $3.46 | $0.43 |
Basic (US$ per share): | $0.60 | $1.17 | $4.37 | $2.82 |
Diluted: | ' | ' | ' | ' |
Continuing operations (US$ per share) | $0.27 | $0.98 | $0.90 | $2.34 |
Discontinued operations (US$ per share) | $0.32 | $0.18 | $3.42 | $0.43 |
Diluted (US$ per share): | $0.59 | $1.16 | $4.32 | $2.77 |
Weighted average common shares outstanding: | ' | ' | ' | ' |
Basic (shares) | 246.3 | 262.2 | 251.1 | 268.7 |
Diluted (shares) | 248.2 | 265.3 | 254 | 273.5 |
Dividends declared per share (US$ per share) | $0.34 | $0.31 | $0.96 | $0.83 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statement of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net earnings | $148 | $308 | $1,099 | $762 |
Other comprehensive income (loss): | ' | ' | ' | ' |
Amortization of retirement benefit adjustments, net of tax of $4, $9, $14 and $28 | 8 | 17 | 31 | 52 |
Remeasurement of Postretirement Health Care Benefit Plan, net of tax of $27 | 45 | 0 | 45 | 0 |
Remeasurement of U.S. Pension Benefit Plans, net of tax of $(321) | -398 | 0 | -398 | 0 |
Foreign currency translation adjustment, net of tax of $(1), $2, $(5) and $(4) | -34 | 20 | -19 | -22 |
Reclassification of net loss (gain) on derivative instruments | 0 | -1 | 1 | -2 |
Net unrealized gains (losses) on securities, net of tax of $(2) and $- | 0 | 1 | 2 | 0 |
Total other comprehensive income (loss) | -379 | 37 | -338 | 28 |
Comprehensive income | -231 | 345 | 761 | 790 |
Less: Earnings attributable to noncontrolling interest | 1 | 1 | 1 | 5 |
Comprehensive income attributable to Motorola Solutions, Inc. common shareholders | ($232) | $344 | $760 | $785 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statement of Comprehensive Income (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Amortization of retirement benefit adjustments tax | $4 | $9 | $14 | $28 |
Foreign currency translation adjustments tax | -1 | 2 | -5 | -4 |
Net unrealized gain on securities tax | ' | ' | ($2) | $0 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and cash equivalents | $2,845 | $3,225 |
Accounts receivable, net | 1,162 | 1,369 |
Inventories, net | 331 | 347 |
Deferred income taxes | 1,192 | 451 |
Other current assets | 604 | 635 |
Current assets held for disposition | 1,034 | 993 |
Total current assets | 7,168 | 7,020 |
Property, plant and equipment, net | 664 | 695 |
Investments | 240 | 232 |
Deferred income taxes | 2,141 | 1,990 |
Goodwill | 383 | 361 |
Other assets | 138 | 89 |
Non-current assets held for disposition | 1,461 | 1,464 |
Total assets | 12,195 | 11,851 |
Liabilities and Equity [Abstract] | ' | ' |
Current portion of long-term debt | 4 | 4 |
Accounts payable | 501 | 583 |
Accrued liabilities | 1,673 | 1,763 |
Current liabilities held for disposition | 846 | 870 |
Total current liabilities | 3,024 | 3,220 |
Long-term debt | 3,401 | 2,457 |
Other liabilities | 2,364 | 2,314 |
Non-current liabilities held for disposition | 164 | 171 |
Stockholders’ Equity | ' | ' |
Preferred stock, $100 par value | 0 | 0 |
Common stock, $.01 par value: | 2 | 3 |
Additional paid-in capital | 2,550 | 3,518 |
Retained earnings | 3,284 | 2,425 |
Accumulated other comprehensive loss | -2,625 | -2,287 |
Total Motorola Solutions, Inc. stockholders’ equity | 3,211 | 3,659 |
Noncontrolling interests | 31 | 30 |
Total stockholders’ equity | 3,242 | 3,689 |
Total liabilities and stockholders’ equity | $12,195 | $11,851 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
Stockholders’ Equity | ' | ' |
Preferred stock par value | $100 | $100 |
Common stock par value | $0.01 | $0.01 |
Common stock, authorized shares | 600,000,000 | 600,000,000 |
Common stock, issued shares | 241,900,000 | 255,500,000 |
Common stock, outstanding shares | 240,700,000 | 254,500,000 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements Of Stockholders' Equity (Unaudited) (USD $) | Total | Common Stock and Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Noncontrolling Interests |
In Millions, unless otherwise specified | |||||
Balance at Dec. 31, 2013 | $3,689 | $3,521 | ($2,287) | $2,425 | $30 |
Balance (in shares) at Dec. 31, 2013 | ' | 255.5 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' |
Net earnings | 1,099 | ' | ' | 1,098 | 1 |
Net unrealized gains on securities, net of tax of $(2) | 2 | ' | 2 | ' | ' |
Foreign currency translation adjustments, net of tax of $(5) | -19 | ' | -19 | ' | ' |
Remeasurement of Postretirement Health Care Benefit Plan, net of tax of $27 | 45 | ' | 45 | ' | ' |
Amortization of retirement benefit adjustments, net of tax of $14 | 31 | ' | 31 | ' | ' |
Remeasurement of U.S. Pension Benefit Plans, net of tax of $(321) | -398 | ' | -398 | ' | ' |
Issuance of common stock and stock options exercised | ' | 51 | ' | ' | ' |
Issuance of common stock and stock options exercised (in shares) | ' | 3.8 | ' | ' | ' |
Share repurchase program | ' | -1,123 | ' | ' | ' |
Share repurchase program (in shares) | ' | -17.4 | ' | ' | ' |
Excess tax benefit from share-based compensation | ' | 11 | ' | ' | ' |
Share-based compensation expense | ' | 92 | ' | ' | ' |
Net loss on derivative hedging instruments | 1 | ' | 1 | ' | ' |
Dividends declared | ' | ' | ' | -239 | ' |
Balance at Sep. 27, 2014 | $3,242 | $2,552 | ($2,625) | $3,284 | $31 |
Balance (in shares) at Sep. 27, 2014 | ' | 241.9 | ' | ' | ' |
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements Of Stockholders' Equity (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 27, 2014 |
Net unrealized gain on securities tax | ' | ($2) |
Foreign currency translation adjustments tax | -1 | -5 |
Amortization of retirement benefit adjustments tax | 4 | 14 |
Accumulated Other Comprehensive Income (Loss) | ' | ' |
Net unrealized gain on securities tax | ' | -2 |
Foreign currency translation adjustments tax | ' | -5 |
Amortization of retirement benefit adjustments tax | ' | 14 |
Remeasurement of benefit tax | ' | -321 |
Effect on Accumulated Other Comprehensive Income (Loss) Due to Change in Measurement Date, Net of Tax | 27 | 27 |
Net gain on derivative hedging instruments tax | ' | $0 |
Condensed_Consolidated_Stateme5
Condensed Consolidated Statements Of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 |
Operating | ' | ' |
Net earnings attributable to Motorola Solutions, Inc. | $1,098 | $757 |
Less: Earnings attributable to noncontrolling interests | 1 | 5 |
Net earnings | 1,099 | 762 |
Earnings from discontinued operations, net of tax | 869 | 116 |
Earnings from continuing operations | 230 | 646 |
Adjustments to reconcile Earnings from continuing operations to Net cash provided by (used for) operating activities from continuing operations | ' | ' |
Depreciation and amortization | 131 | 116 |
Gain on sale of building and land | -21 | 0 |
Non-cash other income | -2 | -11 |
Share-based compensation expense | 74 | 91 |
Gains on sales of investments and businesses, net | -4 | -34 |
Loss from the extinguishment of long term debt | 37 | 0 |
Deferred income taxes | 69 | -309 |
Changes in assets and liabilities, net of effects of acquisitions and dispositions: | ' | ' |
Accounts receivable | 202 | 19 |
Inventories | 12 | -9 |
Other current assets | -9 | 11 |
Accounts payable and accrued liabilities | -170 | -501 |
Other assets and liabilities | -534 | -44 |
Net cash provided by (used for) operating activities from continuing operations | 15 | -25 |
Investing | ' | ' |
Acquisitions and investments, net | -21 | -20 |
Proceeds from sales of investments and businesses, net | 23 | 48 |
Capital expenditures | -130 | -110 |
Proceeds from sales of property, plant and equipment | 30 | 15 |
Proceeds from sales of Sigma Fund investments, net | 0 | 966 |
Net cash provided by (used for) investing activities from continuing operations | -98 | 899 |
Financing | ' | ' |
Repayment of debt | -461 | -3 |
Net proceeds from issuance of debt | 1,375 | 593 |
Issuance of common stock | 94 | 108 |
Purchase of common stock | -1,123 | -1,332 |
Excess tax benefit from share-based compensation | 11 | 20 |
Payment of dividends | -236 | -212 |
Distributions from discontinued operations | 66 | 214 |
Net cash used for financing activities from continuing operations | -274 | -612 |
Net cash provided by operating activities from discontinued operations | 63 | 228 |
Net cash provided by (used for) investing activities from discontinued operations | 5 | -16 |
Net cash used for financing activities from discontinued operations | -66 | -214 |
Effect of exchange rate changes on cash and cash equivalents from discontinued operations | -2 | 2 |
Net cash provided by discontinued operations | 0 | 0 |
Effect of exchange rate changes on cash and cash equivalents from continuing operations | -23 | -9 |
Net increase (decrease) in cash and cash equivalents | -380 | 253 |
Cash and cash equivalents, beginning of period | 3,225 | 1,468 |
Cash and cash equivalents, end of period | 2,845 | 1,721 |
Cash paid during the period for: | ' | ' |
Interest, net | 92 | 74 |
Income and withholding taxes, net of refunds | $36 | $231 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 27, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The condensed consolidated financial statements as of September 27, 2014 and for the three and nine months ended September 27, 2014 and September 28, 2013, 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, 2013 and Form 8-K filed on August 7, 2014. The results of operations for the three and nine months ended September 27, 2014 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 January 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-05, “Service Concession Arrangements.” The ASU clarifies that an operating entity should not account for a services concession arrangement with a public-sector grantor as a lease if: (i) the grantor controls or has the ability to modify or approve the services the operating entity must provide, to whom it must provide them, and at what price and (ii) the grantor controls any residual interest in the infrastructure at the end of the arrangement. In addition, the infrastructure used in a service concession arrangement would not be recognized as property, plant and equipment of the operating entity. The ASU is to be applied on a modified retrospective basis to service concession arrangements outstanding upon adoption and will be effective for the Company beginning January 1, 2015. The Company does not believe this ASU will have a material impact to its consolidated its financial statements. | |
In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers." This new standard will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount it expects to receive for those goods and services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and estimates and changes in those estimates. The ASU will be effective for the Company beginning January 1, 2017, and allows for both retrospective and modified-retrospective methods of adoption. The Company is in the process of determining the method of adoption it will elect and is currently assessing the impact of this ASU on its consolidated financial statements and footnote disclosures. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||||||
Discontinued Operations | ' | |||||||||||||||
Discontinued Operations | ||||||||||||||||
On October 27, 2014, the Company closed on the sale of its Enterprise business with Zebra Technologies Corporation for $3.45 billion in cash. Certain assets of the Enterprise business were excluded from the transaction and retained by the Company, including the Company’s iDEN business, and other assets and certain liabilities as specified in the Master Acquisition Agreement. The historical financial results of the Enterprise business, excluding those assets and liabilities retained in the transaction, are reflected in the Company's condensed consolidated financial statements and footnotes as discontinued operations for all periods presented. | ||||||||||||||||
The following table displays summarized activity in the Company's condensed consolidated statements of operations for discontinued operations during the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Net sales | $ | 605 | $ | 595 | $ | 1,737 | $ | 1,782 | ||||||||
Operating earnings | 78 | 74 | 195 | 180 | ||||||||||||
Earnings before income taxes | 68 | 74 | 181 | 180 | ||||||||||||
Income tax expense (benefit) | (13 | ) | 28 | (688 | ) | 64 | ||||||||||
Earnings from discontinued operations, net of tax | $ | 81 | $ | 46 | $ | 869 | $ | 116 | ||||||||
During the nine months ended September 27, 2014, the Company recorded a $748 million tax benefit to establish a deferred tax asset associated with an outside basis difference which we now expect to realize in the foreseeable future. The tax benefit represents the excess of the tax basis of our investment in the Enterprise subsidiaries over the financial statement carrying value (the deductible outside basis difference). | ||||||||||||||||
The following table displays a summary of the assets and liabilities held for sale as of September 27, 2014 and December 31, 2013: | ||||||||||||||||
September 27, | December 31, | |||||||||||||||
2014 | 2013 | |||||||||||||||
Assets: | ||||||||||||||||
Accounts receivable, net | $ | 514 | $ | 551 | ||||||||||||
Inventories, net | 223 | 175 | ||||||||||||||
Deferred income taxes | 232 | 219 | ||||||||||||||
Other current assets | 158 | 134 | ||||||||||||||
Property, plant and equipment, net | 99 | 115 | ||||||||||||||
Investments | 19 | 19 | ||||||||||||||
Goodwill | 1,148 | 1,149 | ||||||||||||||
Other assets | 102 | 95 | ||||||||||||||
$ | 2,495 | $ | 2,457 | |||||||||||||
Liabilities: | ||||||||||||||||
Accounts payable | $ | 194 | $ | 231 | ||||||||||||
Accrued liabilities | 652 | 639 | ||||||||||||||
Other liabilities | 164 | 171 | ||||||||||||||
$ | 1,010 | $ | 1,041 | |||||||||||||
Other_Financial_Data
Other Financial Data | 9 Months Ended | |||||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [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 27, | September 28, | September 27, | September 28, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Other charges (income): | ||||||||||||||||||||
Intangibles amortization | $ | 1 | $ | — | $ | 3 | $ | 1 | ||||||||||||
Reorganization of businesses | 13 | 16 | 48 | 36 | ||||||||||||||||
Legal settlement | — | — | 8 | — | ||||||||||||||||
Pension-related transaction fees | 11 | — | 11 | — | ||||||||||||||||
Gain on sale of building and land | — | — | (21 | ) | — | |||||||||||||||
$ | 25 | $ | 16 | $ | 49 | $ | 37 | |||||||||||||
During the nine months ended September 27, 2014, the Company completed the sale of a building and parcel of land on its Schaumburg, IL campus with a net book value of $3 million for net cash proceeds of $24 million resulting in a gain on sale of $21 million. | ||||||||||||||||||||
During the three months ended September 27, 2014, the Company incurred transaction fees, primarily consisting of fees incurred by outside advisors, related to certain transactions announced with respect to our U.S. Pension Benefit Plans (see footnote 7). | ||||||||||||||||||||
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 27, | September 28, | September 27, | September 28, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Interest income (expense), net: | ||||||||||||||||||||
Interest expense | $ | (38 | ) | $ | (33 | ) | $ | (102 | ) | $ | (100 | ) | ||||||||
Interest income | 7 | 4 | 17 | 15 | ||||||||||||||||
$ | (31 | ) | $ | (29 | ) | $ | (85 | ) | $ | (85 | ) | |||||||||
Other: | ||||||||||||||||||||
Loss from the extinguishment of long-term debt | $ | (37 | ) | $ | — | $ | (37 | ) | $ | — | ||||||||||
Investment impairments | — | (1 | ) | — | (3 | ) | ||||||||||||||
Foreign currency gain (loss) | 4 | (1 | ) | $ | (6 | ) | $ | (8 | ) | |||||||||||
Gains on equity method investments | 11 | 8 | 13 | 7 | ||||||||||||||||
Other | (4 | ) | 2 | (4 | ) | 7 | ||||||||||||||
$ | (26 | ) | $ | 8 | $ | (34 | ) | $ | 3 | |||||||||||
Earnings Per Common Share | ||||||||||||||||||||
The computation of basic and diluted earnings per common share is as follows: | ||||||||||||||||||||
Amounts attributable to Motorola Solutions, Inc. common stockholders | ||||||||||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Three Months Ended | September 27, | September 28, | September 27, | September 28, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 66 | $ | 261 | $ | 147 | $ | 307 | ||||||||||||
Weighted average common shares outstanding | 246.3 | 262.2 | 246.3 | 262.2 | ||||||||||||||||
Per share amount | $ | 0.27 | $ | 1 | $ | 0.6 | $ | 1.17 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 66 | $ | 261 | $ | 147 | $ | 307 | ||||||||||||
Weighted average common shares outstanding | 246.3 | 262.2 | 246.3 | 262.2 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 1.9 | 3.1 | 1.9 | 3.1 | ||||||||||||||||
Diluted weighted average common shares outstanding | 248.2 | 265.3 | 248.2 | 265.3 | ||||||||||||||||
Per share amount | $ | 0.27 | $ | 0.98 | $ | 0.59 | $ | 1.16 | ||||||||||||
Amounts attributable to Motorola Solutions, Inc. common stockholders | ||||||||||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Nine Months Ended | September 27, | September 28, | September 27, | September 28, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 229 | $ | 641 | $ | 1,098 | $ | 757 | ||||||||||||
Weighted average common shares outstanding | 251.1 | 268.7 | 251.1 | 268.7 | ||||||||||||||||
Per share amount | $ | 0.91 | $ | 2.39 | $ | 4.37 | $ | 2.82 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 229 | $ | 641 | $ | 1,098 | $ | 757 | ||||||||||||
Weighted average common shares outstanding | 251.1 | 268.7 | 251.1 | 268.7 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 2.9 | 4.8 | 2.9 | 4.8 | ||||||||||||||||
Diluted weighted average common shares outstanding | 254 | 273.5 | 254 | 273.5 | ||||||||||||||||
Per share amount | $ | 0.9 | $ | 2.34 | $ | 4.32 | $ | 2.77 | ||||||||||||
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 27, 2014, the assumed exercise of 4.9 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 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. | ||||||||||||||||||||
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 $2.8 billion at September 27, 2014 and $3.2 billion at December 31, 2013. Of these amounts, $63 million was restricted at both September 27, 2014 and December 31, 2013. | ||||||||||||||||||||
Investments | ||||||||||||||||||||
Investments consist of the following: | ||||||||||||||||||||
27-Sep-14 | 31-Dec-13 | |||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Government, agency, and government-sponsored enterprise obligations | $ | 15 | $ | 15 | ||||||||||||||||
Corporate bonds | 7 | 7 | ||||||||||||||||||
Mutual funds | 11 | 11 | ||||||||||||||||||
Common stock and equivalents | — | 2 | ||||||||||||||||||
33 | 35 | |||||||||||||||||||
Other investments, at cost | 188 | 182 | ||||||||||||||||||
Equity method investments | 19 | 15 | ||||||||||||||||||
$ | 240 | $ | 232 | |||||||||||||||||
Accounts Receivable, Net | ||||||||||||||||||||
Accounts receivable, net, consists of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Accounts receivable | $ | 1,189 | $ | 1,422 | ||||||||||||||||
Less allowance for doubtful accounts | (27 | ) | (53 | ) | ||||||||||||||||
$ | 1,162 | $ | 1,369 | |||||||||||||||||
Inventories, Net | ||||||||||||||||||||
Inventories, net, consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Finished goods | $ | 147 | $ | 157 | ||||||||||||||||
Work-in-process and production materials | 313 | 315 | ||||||||||||||||||
460 | 472 | |||||||||||||||||||
Less inventory reserves | (129 | ) | (125 | ) | ||||||||||||||||
$ | 331 | $ | 347 | |||||||||||||||||
Other Current Assets | ||||||||||||||||||||
Other current assets consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Costs and earnings in excess of billings | $ | 456 | $ | 405 | ||||||||||||||||
Tax-related deposits and refunds receivable | 57 | 107 | ||||||||||||||||||
Other | 91 | 123 | ||||||||||||||||||
$ | 604 | $ | 635 | |||||||||||||||||
Property, Plant and Equipment, Net | ||||||||||||||||||||
Property, plant and equipment, net, consists of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Land | $ | 20 | $ | 22 | ||||||||||||||||
Building | 558 | 582 | ||||||||||||||||||
Machinery and equipment | 1,833 | 1,760 | ||||||||||||||||||
2,411 | 2,364 | |||||||||||||||||||
Less accumulated depreciation | (1,747 | ) | (1,669 | ) | ||||||||||||||||
$ | 664 | $ | 695 | |||||||||||||||||
Depreciation expense for the three months ended September 27, 2014 and September 28, 2013 was $44 million and $39 million, respectively. Depreciation expense for the nine months ended September 27, 2014 and September 28, 2013 was $128 million and $115 million, respectively. | ||||||||||||||||||||
Other Assets | ||||||||||||||||||||
Other assets consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Intangible assets, net | $ | 24 | $ | 6 | ||||||||||||||||
Long-term receivables | 21 | 1 | ||||||||||||||||||
Other | 93 | 82 | ||||||||||||||||||
$ | 138 | $ | 89 | |||||||||||||||||
Accrued Liabilities | ||||||||||||||||||||
Accrued liabilities consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Deferred revenue | $ | 341 | $ | 359 | ||||||||||||||||
Compensation | 236 | 315 | ||||||||||||||||||
Billings in excess of costs and earnings | 365 | 295 | ||||||||||||||||||
Tax liabilities | 74 | 85 | ||||||||||||||||||
Customer reserves | 53 | 52 | ||||||||||||||||||
Dividend payable | 82 | 79 | ||||||||||||||||||
Other | 522 | 578 | ||||||||||||||||||
$ | 1,673 | $ | 1,763 | |||||||||||||||||
Other Liabilities | ||||||||||||||||||||
Other liabilities consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Defined benefit plans | $ | 1,942 | $ | 1,751 | ||||||||||||||||
Postretirement Health Care Benefit Plan | 47 | 118 | ||||||||||||||||||
Deferred revenue | 148 | 162 | ||||||||||||||||||
Unrecognized tax benefits | 56 | 99 | ||||||||||||||||||
Other | 171 | 184 | ||||||||||||||||||
$ | 2,364 | $ | 2,314 | |||||||||||||||||
Stockholders’ Equity | ||||||||||||||||||||
Share Repurchase Program: Through actions taken on July 28, 2011, January 30, 2012, July 25, 2012, July 22, 2013, and November 3, 2014, the Board of Directors has authorized the Company to repurchase an aggregate amount of up to $12.0 billion of its outstanding shares of common stock (the “share repurchase program”). The share repurchase program does not have an expiration date. | ||||||||||||||||||||
The Company paid an aggregate of $650 million during the third quarter of 2014, including transaction costs, to repurchase approximately 10.4 million shares at an average price of $62.63 per share. The Company paid an aggregate of $1.1 billion during the first nine months of 2014, including transaction costs, to repurchase approximately 17.4 million shares at an average price of $64.36 per share. As of September 27, 2014, the Company had used approximately $6.4 billion of the share repurchase authority, including transaction costs, to repurchase shares, leaving $5.6 billion of authority available for future repurchases. | ||||||||||||||||||||
Payment of Dividends: During the three months ended September 27, 2014 and September 28, 2013, the Company paid $78 million and $69 million, respectively, in cash dividends to holders of its common stock. During the nine months ended September 27, 2014 and September 28, 2013, the Company paid $236 million and $212 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, 2014 to September 27, 2014: | ||||||||||||||||||||
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, 2014 | $ | (1 | ) | $ | (2 | ) | $ | (2,188 | ) | $ | (96 | ) | $ | (2,287 | ) | |||||
Other comprehensive gain (loss) before reclassifications | — | 2 | (353 | ) | (19 | ) | (370 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive loss | 1 | — | 31 | — | 32 | |||||||||||||||
Current period change in Other comprehensive income | 1 | 2 | (322 | ) | (19 | ) | (338 | ) | ||||||||||||
Balance as of September 27, 2014 | $ | — | $ | — | $ | (2,510 | ) | $ | (115 | ) | $ | (2,625 | ) | |||||||
The following table displays the amounts reclassified from Accumulated other comprehensive loss and the affected line items in the condensed consolidated statements of operations during the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 27, 2014 | September 28, | September 27, | September 28, | |||||||||||||||||
2013 | 2014 | 2013 | ||||||||||||||||||
Loss (gain) on cash flow hedges: | ||||||||||||||||||||
Foreign exchange contracts | $ | — | $ | — | $ | 1 | $ | (2 | ) | Cost of sales | ||||||||||
— | — | 1 | (2 | ) | Net of tax | |||||||||||||||
Amortization of retirement benefit items: | ||||||||||||||||||||
Prior service costs | $ | (15 | ) | (13 | ) | $ | (39 | ) | $ | (38 | ) | Selling, general, and administrative expenses | ||||||||
Actuarial net losses | 27 | 39 | 84 | 118 | Selling, general, and administrative expenses | |||||||||||||||
12 | 26 | 45 | 80 | Total before tax | ||||||||||||||||
(4 | ) | (9 | ) | (14 | ) | (28 | ) | Tax benefit | ||||||||||||
$ | 8 | $ | 17 | $ | 31 | $ | 52 | Net of tax | ||||||||||||
Total reclassifications for the period, net of tax | $ | 8 | $ | 17 | $ | 32 | $ | 50 | ||||||||||||
Debt_and_Credit_Facilities
Debt and Credit Facilities | 9 Months Ended |
Sep. 27, 2014 | |
Debt Disclosure [Abstract] | ' |
Debt and Credit Facilities | ' |
Debt and Credit Facilities | |
During the third quarter of 2014, the Company redeemed $400 million aggregate principal amount outstanding of its 6.000% Senior Notes due November 2017 for an aggregate purchase price of approximately $456 million. After accelerating the amortization of debt issuance costs, debt discounts, and hedge adjustments, the Company recognized a loss of $37 million related to the redemption within Other income (expense) in the condensed consolidated statement of operations. The Company issued an aggregate face principal amount of $1.4 billion including: (i) $600 million of 4.000% Senior notes due 2024, of which, after debt issuance costs and debt discounts, the Company recognized net proceeds of $583 million, (ii) $400 million of 3.500% Senior notes due 2021, of which, after debt issuance costs and debt discounts, the Company recognized net proceeds of $393 million, and (iii) $400 million of 5.500% Senior notes due 2044, of which, after debt issuance costs and debt discounts, the Company recognized net proceeds of $394 million. | |
As of September 27, 2014, the Company had a $2.0 billion unsecured syndicated revolving credit facility (the “2014 Motorola Solutions Credit Agreement”) scheduled to mature on May 29, 2019. Effective May 29, 2014, this facility replaced the previous $1.5 billion unsecured syndicated revolving credit facility (the “2011 Motorola Solutions Credit Agreement”) which was scheduled to mature on June 30, 2014. The Company must comply with certain customary covenants, including maximum leverage ratio as defined in the 2014 Motorola Solutions Credit Agreement. The Company is no longer subject to a minimum interest coverage covenant under the new facility. The Company was in compliance with its financial covenants as of September 27, 2014. The Company did not borrow under the 2011 Motorola Solutions Credit Agreement or the 2014 Motorola Solutions Credit Agreement during the three and nine months ended September 27, 2014. | |
As of September 27, 2014, the Company had a letter of credit sub-limit of $450 million under the 2014 Motorola Solutions Credit Agreement. No letters of credit were issued under the revolving credit facility as of September 27, 2014. | |
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. |
Risk_Management
Risk Management | 9 Months Ended | |||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||
Risk Management | ' | |||||||||||||||||
Risk Management | ||||||||||||||||||
Foreign Currency Risk | ||||||||||||||||||
At September 27, 2014, the Company had outstanding foreign exchange contracts with notional amounts totaling $931 million, compared to $837 million outstanding at December 31, 2013. 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 27, 2014, and the corresponding positions as of December 31, 2013: | ||||||||||||||||||
Notional Amount | ||||||||||||||||||
Net Buy (Sell) by Currency | September 27, | December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||||
British Pound | $ | 331 | $ | 257 | ||||||||||||||
Chinese Renminbi | (203 | ) | (181 | ) | ||||||||||||||
Euro | 126 | (132 | ) | |||||||||||||||
Norwegian Krone | (116 | ) | (95 | ) | ||||||||||||||
Brazilian Real | (53 | ) | (44 | ) | ||||||||||||||
Interest Rate Risk | ||||||||||||||||||
At September 27, 2014, the Company had $3.4 billion of long-term debt, including the current portion, 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 at September 27, 2014 and December 31, 2013. | ||||||||||||||||||
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 27, 2014, all of the counterparties have investment grade credit ratings. As of September 27, 2014, the Company had $3 million of exposure to aggregate net credit risk 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 27, 2014 and December 31, 2013: | ||||||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
September 27, 2014 | Fair | Balance | Fair | Balance | ||||||||||||||
Value | Sheet | Value | Sheet | |||||||||||||||
Location | Location | |||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | $ | 5 | Other assets | $ | 9 | Other liabilities | ||||||||||||
Interest agreements | — | Other assets | 3 | Other liabilities | ||||||||||||||
Total derivatives | $ | 5 | $ | 12 | ||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
December 31, 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 | 4 | Other assets | 1 | Other liabilities | ||||||||||||||
Interest agreements | — | Other assets | 3 | Other liabilities | ||||||||||||||
Total derivatives not designated as hedging instruments | 4 | 4 | ||||||||||||||||
Total derivatives | $ | 4 | $ | 5 | ||||||||||||||
The following table summarizes the effect of derivative instruments in the Company's condensed consolidated statements of operations for the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||||
Three Months Ended | Nine Months Ended | Statements of | ||||||||||||||||
Gain (loss) on Derivative Instruments | September 27, | September 28, | September 27, | September 28, | Operations Location | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | (6 | ) | 8 | (8 | ) | (1 | ) | Other income (expense) | ||||||||||
The following table summarizes the gains and losses reclassified from Accumulated other comprehensive loss into Net earnings during the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||||
Three Months Ended | Nine Months Ended | Financial Statement | ||||||||||||||||
Foreign Exchange Contracts | September 27, | September 28, | 27-Sep-14 | 28-Sep-13 | Location | |||||||||||||
2014 | 2013 | |||||||||||||||||
Derivatives in cash flow hedging relationships: | ||||||||||||||||||
Gains (losses) reclassified from Accumulated other comprehensive loss into Net earnings | $ | — | $ | — | $ | (1 | ) | $ | 1 | Costs of sales | ||||||||
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 27, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes | |
During the nine months ended September 27, 2014, the Company increased current deferred tax assets by $748 million related to an outside basis difference. The outside basis difference represents the excess of the tax basis of our investment in the | |
Enterprise subsidiaries over the financial statement carrying value (the deductible outside basis difference). | |
At September 27, 2014 and December 31, 2013, the Company had valuation allowances of $247 million and $200 million, respectively, including $214 million and $178 million, respectively, relating to deferred tax assets for non-U.S. subsidiaries. The Company evaluates deferred income taxes on a quarterly basis to determine if valuation allowances are required by considering available evidence, including historical and projected taxable income and tax planning strategies that are both prudent and feasible. During the three months ended September 27, 2014, the Company recorded a $55 million tax charge to establish a valuation allowance against certain foreign deferred tax assets management believes are no longer more-likely-than-not realizable in future years. 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. | |
Undistributed earnings the Company intends to reinvest indefinitely, and for which no income taxes have been provided, aggregate to $1.6 billion at September 27, 2014 and $1.4 billion at December 31, 2013. The Company currently has no plans to repatriate the foreign earnings permanently reinvested and therefore, the time and manner of repatriation is uncertain. If circumstances change and it becomes apparent that some or all of the permanently reinvested earnings will be remitted to the U.S. in the foreseeable future, an additional income tax charge may be necessary. | |
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 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 reinvested 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 due to the change in permanent reinvestment assertion. | |
As of September 27, 2014, the Company has approximately $700 million of foreign earnings not considered permanently reinvested and which may be repatriated without an additional tax charge, given the U.S. federal and foreign tax accrued on undistributed earnings and the utilization of available foreign tax credits. | |
The Company had unrecognized tax benefits of $114 million and $147 million at September 27, 2014 and December 31, 2013, respectively, of which $93 million and $125 million, respectively, if recognized, would affect the effective tax rate, net of resulting changes to valuation allowances. During the nine months ended September 27, 2014, the Company adjusted its unrecognized tax benefits for prior year tax positions for facts that now indicate the extent to which certain tax positions are more-likely-than-not of being sustained. As a result, the Company recorded a gross increase of $21 million and a gross decrease of $53 million to unrecognized tax benefits for prior year tax positions resulting in a net tax benefit of $32 million. | |
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 twelve 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 $50 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_and_Other_Employee_
Retirement and Other Employee Benefits | 9 Months Ended | |||||||||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||
Retirement and Other Employee Benefits | ' | |||||||||||||||||||||||
Retirement and Other Employee Benefits | ||||||||||||||||||||||||
Pension and Postretirement Health Care Benefits Plans | ||||||||||||||||||||||||
The net periodic costs (benefits) for Pension and Postretirement Health Care Benefits Plans were as follows: | ||||||||||||||||||||||||
U.S. Pension Benefit Plans | Non U.S. Pension Benefit Plans | Postretirement Health Care Benefits Plan | ||||||||||||||||||||||
Three Months Ended | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | ||||||||||||||||||
Service cost | $ | — | $ | — | $ | 4 | $ | 2 | $ | — | $ | 1 | ||||||||||||
Interest cost | 93 | 88 | 20 | 19 | 2 | 3 | ||||||||||||||||||
Expected return on plan assets | (97 | ) | (91 | ) | (23 | ) | (21 | ) | (3 | ) | (2 | ) | ||||||||||||
Amortization of: | ||||||||||||||||||||||||
Unrecognized net loss | 23 | 31 | 3 | 5 | 1 | 5 | ||||||||||||||||||
Unrecognized prior service benefit | — | — | (2 | ) | (1 | ) | (13 | ) | (11 | ) | ||||||||||||||
Net periodic pension cost (benefit) | $ | 19 | $ | 28 | $ | 2 | $ | 4 | $ | (13 | ) | $ | (4 | ) | ||||||||||
U.S. Pension Benefit Plans | Non U.S. Pension Benefit Plans | Postretirement Health Care Benefits Plan | ||||||||||||||||||||||
Nine Months Ended | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | ||||||||||||||||||
Service cost | $ | — | $ | — | $ | 11 | $ | 8 | $ | 1 | $ | 2 | ||||||||||||
Interest cost | 278 | 264 | 61 | 52 | 8 | 9 | ||||||||||||||||||
Expected return on plan assets | (294 | ) | (273 | ) | (69 | ) | (58 | ) | (7 | ) | (7 | ) | ||||||||||||
Amortization of: | ||||||||||||||||||||||||
Unrecognized net loss | 68 | 95 | 9 | 11 | 7 | 12 | ||||||||||||||||||
Unrecognized prior service benefit | — | — | (5 | ) | (5 | ) | (35 | ) | (33 | ) | ||||||||||||||
Net periodic pension cost (benefit) | $ | 52 | $ | 86 | $ | 7 | $ | 8 | $ | (26 | ) | $ | (17 | ) | ||||||||||
During the three months ended September 27, 2014 and September 28, 2013, contributions of $397 million and $72 million were made to the Company’s U.S. Pension Benefit Plans, respectively. During both the three months ended September 27, 2014 and September 28, 2013, contributions of $7 million were made to the Company’s Non U.S. Pension Benefit Plans. | ||||||||||||||||||||||||
During the nine months ended September 27, 2014 and September 28, 2013, contributions of $463 million and $122 million were made to the Company’s U.S. Pension Benefit Plans, respectively. During the nine months ended September 27, 2014 and September 28, 2013, contributions of $27 million and $24 million were made to the Company’s Non U.S. Pension Benefit Plans, respectively. | ||||||||||||||||||||||||
On September 22, 2014, the Company entered into a Definitive Purchase Agreement (the “Agreement”) by and among the Company, The Prudential Insurance Company of America (“PICA”), Prudential Financial, Inc., and State Street Bank and Trust Company, as Independent Fiduciary of the Company's U.S. noncontributory pension plan (the "Regular Pension Plan"), pursuant to which the Regular Pension Plan will purchase from PICA a group annuity contract that requires PICA to pay and administer certain future annuity payments to certain of the Company’s retirees. Upon issuance of the group annuity contract by PICA, PICA will irrevocably assume the obligation to make future annuity payments to approximately 30,000 Company retirees who have been receiving pension payments from the Regular Pension Plan. During the three months ended September 27, 2014, in connection with the proposed transaction, the Company has established a new pension plan with substantially the same terms as the Regular Pension Plan (the “New Plan,” together with the Regular Pension Plan, “the Plans”), and it is expected that the Regular Pension Plan will ultimately be terminated. | ||||||||||||||||||||||||
As a result of establishing the New Plan, the Company remeasured the Plans using a weighted average discount rate and expected long-term rates of return on assets of 4.53% and 5.80%, respectively, resulting in an aggregate funded status of $(1.5) billion, with unrecognized losses in Accumulated other comprehensive losses within the Company’s condensed consolidated balance sheet of $3.4 billion. | ||||||||||||||||||||||||
On September 25, 2014, the Company announced that the New Plan is offering lump-sum distributions to certain New Plan participants who have accrued a pension benefit, have left the Company prior to June 30, 2014, and have not yet started receiving pension benefit payments. The maximum dollar amount of all lump-sum distributions to be paid under the offer is $1.0 billion, and lump-sum payments will be made to those who accept the lump-sum offer starting with the smallest amount of lump sums first and continuing in ascending order until the $1.0 billion threshold is met. | ||||||||||||||||||||||||
During the three months ended September 27, 2014, the Company made an amendment to the Postretirement Health Care Benefits Plan (the “New Amendment”). As a result of the New Amendment, beginning March 1, 2015, all eligible retirees under the age of 65 will be able to use the annual subsidy they receive through their retiree health reimbursement account toward the purchase of their own health care coverage from private insurance companies and for the reimbursement of eligible health care expenses. Additionally, the New Amendment eliminated dental benefits under the plan. | ||||||||||||||||||||||||
The New Amendment to the Postretirement Health Care Benefits Plan required a remeasurement of the plan, resulting in a $45 million decrease in Accumulated other comprehensive loss, net of taxes. A substantial portion of the decrease is related to a prior service credit and will be recognized as a credit to the condensed consolidated statements of operations over almost three years, or 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 Benefits Plan during the three and nine months ended September 27, 2014 and September 28, 2013. |
ShareBased_Compensation_Plans
Share-Based Compensation Plans | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
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 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Share-based compensation expense included in: | ||||||||||||||||
Costs of sales | $ | 2 | $ | 4 | $ | 9 | $ | 12 | ||||||||
Selling, general and administrative expenses | 14 | 18 | 47 | 56 | ||||||||||||
Research and development expenditures | 4 | 7 | 18 | 23 | ||||||||||||
Share-based compensation expense included in Operating earnings | 20 | 29 | 74 | 91 | ||||||||||||
Tax benefit | 6 | 9 | 23 | 28 | ||||||||||||
Share-based compensation expense, net of tax | $ | 14 | $ | 20 | $ | 51 | $ | 63 | ||||||||
Decrease in basic earnings per share | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.20 | ) | $ | (0.23 | ) | ||||
Decrease in diluted earnings per share | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.20 | ) | $ | (0.23 | ) | ||||
Share-based compensation expense in discontinued operations | $ | 5 | $ | 8 | $ | 18 | $ | 25 | ||||||||
For the nine months ended September 27, 2014, the Company granted 1.2 million RSUs and 1.3 million stock options. The total aggregate compensation expense, net of estimated forfeitures, for these RSUs and stock options, including those awards granted to employees of the Enterprise business, was $64 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. 27, 2014 | ||||||||||||
Fair Value Disclosures [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 27, 2014 and December 31, 2013 were as follows: | ||||||||||||
September 27, 2014 | Level 2 | |||||||||||
Assets: | ||||||||||||
Foreign exchange derivative contracts | $ | 5 | ||||||||||
Available-for-sale securities: | ||||||||||||
Government, agency, and government-sponsored enterprise obligations | 15 | |||||||||||
Corporate bonds | 7 | |||||||||||
Mutual funds | 11 | |||||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | 9 | ||||||||||
Interest agreement derivative contracts | 3 | |||||||||||
December 31, 2013 | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 4 | $ | 4 | ||||||
Available-for-sale securities: | ||||||||||||
Government, agency, and government-sponsored enterprise obligations | — | 15 | 15 | |||||||||
Corporate bonds | — | 7 | 7 | |||||||||
Mutual funds | — | 11 | 11 | |||||||||
Common stock and equivalents | 2 | — | 2 | |||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 2 | $ | 2 | ||||||
Interest agreement derivative contracts | — | 3 | 3 | |||||||||
The Company had no Level 3 holdings as of September 27, 2014 or December 31, 2013. | ||||||||||||
At September 27, 2014 and December 31, 2013, the Company had $1.9 billion and $2.1 billion, respectively, of investments in money market mutual funds (Level 2) classified as Cash and cash equivalents in its condensed consolidated balance sheets. 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 27, 2014 was $3.5 billion (Level 2). 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. 27, 2014 | ||||||||||||||||
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 27, | December 31, | |||||||||||||||
2014 | 2013 | |||||||||||||||
Long-term receivables | $ | 40 | $ | 27 | ||||||||||||
Less current portion | (19 | ) | (26 | ) | ||||||||||||
Non-current long-term receivables, net | $ | 21 | $ | 1 | ||||||||||||
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. The Company had outstanding commitments to provide long-term financing to third parties totaling $128 million at September 27, 2014, compared to $50 million at December 31, 2013. | ||||||||||||||||
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 27, 2014 and September 28, 2013: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Cumulative annual proceeds received from sales: | ||||||||||||||||
Accounts receivable sales proceeds | $ | 6 | $ | 4 | $ | 39 | $ | 6 | ||||||||
Long-term receivables sales proceeds | 37 | 37 | 91 | 90 | ||||||||||||
Total proceeds from receivable sales | $ | 43 | $ | 41 | $ | 130 | $ | 96 | ||||||||
At September 27, 2014, the Company had retained servicing obligations for $473 million of long-term receivables, compared to $434 million of long-term receivables at December 31, 2013. 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 27, 2014 and December 31, 2013 is as follows: | ||||||||||||||||
September 27, 2014 | Total | Current Billed | Past Due Under 90 Days | Past Due Over 90 Days | ||||||||||||
Long-term | Due | |||||||||||||||
Receivable | ||||||||||||||||
Municipal leases secured tax exempt | $ | 5 | $ | — | $ | 1 | $ | — | ||||||||
Commercial loans and leases secured | 35 | 1 | — | 13 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 40 | $ | 1 | $ | 1 | $ | 13 | ||||||||
December 31, 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 | 26 | 10 | 2 | 10 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 27 | $ | 10 | $ | 2 | $ | 10 | ||||||||
The Company had a total of $13 million of financing receivables past due over 90 days as of September 27, 2014 in relation to two loans. The Company has not accrued interest on these loans, which are adequately reserved, during the three and nine months ended September 27, 2014. |
Commitments_And_Contingencies
Commitments And Contingencies | 9 Months Ended |
Sep. 27, 2014 | |
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. | |
Some of these obligations arise as a result of divestitures of the Company's assets or businesses and require the Company to indemnify the other party against losses arising from breaches of representations and warranties and covenants and, in some cases, the settlement of pending obligations. The Company's obligations under divestiture agreements for indemnification based on breaches of representations and warranties are generally limited in terms of duration, and for amounts for breaches of such representation and warranties in connection with prior divestitures not in excess of a percentage of the contract value. The Company had no accruals for any such obligations at September 27, 2014. | |
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 separation 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. 27, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment Information | ' | |||||||||||||||
Segment Information | ||||||||||||||||
The Company has the following two segments: | ||||||||||||||||
Products: The Products segment offers an extensive portfolio of network infrastructure, devices, system software and applications for the public safety, hospitality, education, manufacturing, transportation, utilities, mining and retail industries, including: (i) “ASTRO” products, which meet the Association of Public Safety Communications Officials Project 25 standard, (ii) “Dimetra” products which meet the European Telecommunications Standards Institute Terrestrial Trunked Radio “TETRA” standard, (iii) Professional and Commercial Radio (“PCR”) products, (iv) integrated digital enhanced network (“iDEN”) products, and (v) broadband technology products, such as Long-Term Evolution (“LTE”). In addition, the Products segment offers smart public safety solutions including computer-aided dispatch, records systems, data management systems and Real Time Crime Center solutions. | ||||||||||||||||
Services: The Services segment has a full breadth of service offerings for both public safety and private communication networks including: (i) Integration services, (ii) Lifecycle Management and Support services, (iii) Managed services, and (iv) Smart Public Safety Solutions. Integration services includes implementation, optimization, and integration of networks, devices, and applications. Lifecycle Management and Support services includes lifecycle planning, upgrades, call center, network monitoring, and repair services. Managed services includes managing customer networks at defined services levels. Smart Public Safety Solutions includes integration of hardware and software to meet customer needs. | ||||||||||||||||
The following table summarizes the Net sales by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Products | $ | 921 | $ | 998 | $ | 2,561 | $ | 2,897 | ||||||||
Services | 515 | 519 | 1,497 | 1,513 | ||||||||||||
$ | 1,436 | $ | 1,517 | $ | 4,058 | $ | 4,410 | |||||||||
The following table summarizes the Operating earnings by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Products | $ | 141 | $ | 171 | $ | 276 | $ | 402 | ||||||||
Services | 66 | 75 | 176 | 220 | ||||||||||||
Operating earnings | 207 | 246 | 452 | 622 | ||||||||||||
Total other income (expense) | (56 | ) | 5 | (115 | ) | (48 | ) | |||||||||
Earnings from continuing operations before income taxes | $ | 151 | $ | 251 | $ | 337 | $ | 574 | ||||||||
Reorganization_Of_Businesses
Reorganization Of Businesses | 9 Months Ended | |||||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
Reorganization Of Businesses | ' | |||||||||||||||||||
Reorganization of Businesses | ||||||||||||||||||||
2014 Charges | ||||||||||||||||||||
During the three months ended September 27, 2014, the Company recorded net reorganization of business charges of $20 million including $13 million of charges in Other charges, and $7 million of charges in Cost of sales in the Company's condensed consolidated statements of operations. The $20 million of charges were all related to employee separation costs. | ||||||||||||||||||||
During the nine months ended September 27, 2014, the Company recorded net reorganization of business charges of $58 million including $48 million of charges in Other charges, and $10 million of charges in Cost of sales in the Company's condensed consolidated statements of operations. Included in the $58 million were charges of $54 million for employee separation costs and $4 million for exit costs. | ||||||||||||||||||||
The following table displays the net charges incurred by segment: | ||||||||||||||||||||
September 27, 2014 | Three Months Ended | Nine Months Ended | ||||||||||||||||||
Products | $ | 13 | $ | 38 | ||||||||||||||||
Services | 7 | 20 | ||||||||||||||||||
$ | 20 | $ | 58 | |||||||||||||||||
The following table displays a rollforward of the reorganization of businesses accruals established for lease exit costs and employee separation costs, including those related to discontinued operations which are maintained by the Company after the sale of the Enterprise business, from January 1, 2014 to September 27, 2014: | ||||||||||||||||||||
January 1, 2014 | Additional | Adjustments | Amount | September 27, 2014 | ||||||||||||||||
Charges | Used | |||||||||||||||||||
Exit costs | $ | 6 | $ | 6 | $ | — | $ | (10 | ) | $ | 2 | |||||||||
Employee separation costs | 103 | 67 | (2 | ) | (106 | ) | 62 | |||||||||||||
$ | 109 | $ | 73 | $ | (2 | ) | $ | (116 | ) | $ | 64 | |||||||||
Exit Costs | ||||||||||||||||||||
At January 1, 2014, the Company had an accrual of $6 million for exit costs attributable to lease terminations. During the nine months ended September 27, 2014, there were $6 million of additional charges and $10 million of cash payments related to the exit of leased facilities, including $3 million paid for facilities related to discontinued operations. The remaining accrual of $2 million, which is included in Accrued liabilities in the Company’s condensed consolidated balance sheets at September 27, 2014, 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, 2014, the Company had an accrual of $103 million for employee separation costs. The 2014 additional charges of $67 million represent severance costs for approximately 1,000 employees, all of which were indirect employees. The adjustment of $2 million reflects reversals of accruals no longer needed. The $106 million used reflects cash payments, including $37 million related to employees of discontinued operations. The remaining accrual of $62 million, which is included in Accrued liabilities in the Company’s condensed consolidated balance sheets at September 27, 2014, is expected to be paid, primarily within one year, to approximately 750 employees, who have either been severed or have been notified of their severance and have begun or will begin receiving payments. | ||||||||||||||||||||
2013 Charges | ||||||||||||||||||||
During the three months ended September 28, 2013, the Company recorded net reorganization of business charges of $21 million, including $16 million of charges in Other charges and $5 million of charges in Cost of sales in the Company's condensed consolidated statements of operations. The $21 million of charges were all related to employee separation costs. | ||||||||||||||||||||
During the nine months ended September 28, 2013, the Company recorded net reorganization of business charges of $46 million, including $36 million of charges in Other charges and $10 million of charges in Cost of sales in the Company's condensed consolidated statements of operations. Included in the aggregate $46 million were charges of $50 million related to employee separation costs, partially offset by $4 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 | ||||||||||||||||||
Products | $ | 14 | $ | 30 | ||||||||||||||||
Services | 7 | 16 | ||||||||||||||||||
$ | 21 | $ | 46 | |||||||||||||||||
Intangible_Assets_And_Goodwill
Intangible Assets And Goodwill | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
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 27, 2014 | December 31, 2013 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Completed technology | $ | 37 | $ | 27 | $ | 24 | $ | 24 | ||||||||
Patents | 8 | 4 | 8 | 3 | ||||||||||||
Customer-related | 15 | 8 | 6 | 6 | ||||||||||||
Other intangibles | 17 | 14 | 15 | 14 | ||||||||||||
$ | 77 | $ | 53 | $ | 53 | $ | 47 | |||||||||
Amortization expense on intangible assets was $1 million for the three months ended September 27, 2014 and $3 million for the nine months ended September 27, 2014. There was $1 million amortization expense incurred during the nine months ended September 28, 2013. As of September 27, 2014, annual amortization expense is estimated to be $4 million in 2014, 2015, and 2016, and $3 million in 2017 and 2018. | ||||||||||||||||
Amortized intangible assets, excluding goodwill, were comprised of the following by segment: | ||||||||||||||||
September 27, 2014 | December 31, 2013 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Products | $ | 74 | $ | 53 | $ | 53 | $ | 47 | ||||||||
Services | 3 | — | — | — | ||||||||||||
$ | 77 | $ | 53 | $ | 53 | $ | 47 | |||||||||
Goodwill | ||||||||||||||||
During the second quarter of 2014 as a result of the reclassification of the Enterprise business to discontinued operations, the Company determined the reportable segments and reporting units of its continuing operations. The Company now has two segments, Products and Services, which are the same as its reporting units. The Company's goodwill was allocated to its new reporting units based on their relative fair values. In conjunction with the reporting unit change in the second quarter of 2014, the Company evaluated its goodwill for impairment concluding it is more-likely-than-not that the fair values of each of its reporting units exceed their respective carrying values. As such, a goodwill impairment was not recorded. | ||||||||||||||||
The following table displays a rollforward of the carrying amount of goodwill by segment from January 1, 2014 to September 27, 2014: | ||||||||||||||||
Products | Services | Total | ||||||||||||||
Balance as of January 1, 2014 | ||||||||||||||||
Aggregate goodwill | $ | 249 | $ | 112 | $ | 361 | ||||||||||
Accumulated impairment losses | — | — | — | |||||||||||||
Goodwill, net of impairment losses | $ | 249 | $ | 112 | $ | 361 | ||||||||||
Goodwill acquired | 15 | 7 | 22 | |||||||||||||
Balance as of September 27, 2014 | ||||||||||||||||
Aggregate goodwill | $ | 264 | $ | 119 | $ | 383 | ||||||||||
Accumulated impairment losses | — | — | — | |||||||||||||
Goodwill, net of impairment losses | $ | 264 | $ | 119 | $ | 383 | ||||||||||
On December 31, 2013, the Company completed the acquisition of a communications software provider in push-to-talk-over-broadband applications for a gross purchase price of $48 million. During the nine months ended September 27, 2014, the Company completed the purchase accounting for this acquisition, recognizing $22 million of goodwill and $20 million of identifiable intangible assets. The results of operations for this acquisition have been included in the Company’s condensed consolidated statements of operations subsequent to the acquisition date. The pro forma effects of this acquisition were not significant. |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
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 three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Net sales | $ | 605 | $ | 595 | $ | 1,737 | $ | 1,782 | ||||||||
Operating earnings | 78 | 74 | 195 | 180 | ||||||||||||
Earnings before income taxes | 68 | 74 | 181 | 180 | ||||||||||||
Income tax expense (benefit) | (13 | ) | 28 | (688 | ) | 64 | ||||||||||
Earnings from discontinued operations, net of tax | $ | 81 | $ | 46 | $ | 869 | $ | 116 | ||||||||
During the nine months ended September 27, 2014, the Company recorded a $748 million tax benefit to establish a deferred tax asset associated with an outside basis difference which we now expect to realize in the foreseeable future. The tax benefit represents the excess of the tax basis of our investment in the Enterprise subsidiaries over the financial statement carrying value (the deductible outside basis difference). | ||||||||||||||||
The following table displays a summary of the assets and liabilities held for sale as of September 27, 2014 and December 31, 2013: | ||||||||||||||||
September 27, | December 31, | |||||||||||||||
2014 | 2013 | |||||||||||||||
Assets: | ||||||||||||||||
Accounts receivable, net | $ | 514 | $ | 551 | ||||||||||||
Inventories, net | 223 | 175 | ||||||||||||||
Deferred income taxes | 232 | 219 | ||||||||||||||
Other current assets | 158 | 134 | ||||||||||||||
Property, plant and equipment, net | 99 | 115 | ||||||||||||||
Investments | 19 | 19 | ||||||||||||||
Goodwill | 1,148 | 1,149 | ||||||||||||||
Other assets | 102 | 95 | ||||||||||||||
$ | 2,495 | $ | 2,457 | |||||||||||||
Liabilities: | ||||||||||||||||
Accounts payable | $ | 194 | $ | 231 | ||||||||||||
Accrued liabilities | 652 | 639 | ||||||||||||||
Other liabilities | 164 | 171 | ||||||||||||||
$ | 1,010 | $ | 1,041 | |||||||||||||
Other_Financial_Data_Tables
Other Financial Data (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||||||||||||||
Other Charges | ' | |||||||||||||||||||
Other charges included in Operating earnings consist of the following: | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Other charges (income): | ||||||||||||||||||||
Intangibles amortization | $ | 1 | $ | — | $ | 3 | $ | 1 | ||||||||||||
Reorganization of businesses | 13 | 16 | 48 | 36 | ||||||||||||||||
Legal settlement | — | — | 8 | — | ||||||||||||||||
Pension-related transaction fees | 11 | — | 11 | — | ||||||||||||||||
Gain on sale of building and land | — | — | (21 | ) | — | |||||||||||||||
$ | 25 | $ | 16 | $ | 49 | $ | 37 | |||||||||||||
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 27, | September 28, | September 27, | September 28, | |||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Interest income (expense), net: | ||||||||||||||||||||
Interest expense | $ | (38 | ) | $ | (33 | ) | $ | (102 | ) | $ | (100 | ) | ||||||||
Interest income | 7 | 4 | 17 | 15 | ||||||||||||||||
$ | (31 | ) | $ | (29 | ) | $ | (85 | ) | $ | (85 | ) | |||||||||
Other: | ||||||||||||||||||||
Loss from the extinguishment of long-term debt | $ | (37 | ) | $ | — | $ | (37 | ) | $ | — | ||||||||||
Investment impairments | — | (1 | ) | — | (3 | ) | ||||||||||||||
Foreign currency gain (loss) | 4 | (1 | ) | $ | (6 | ) | $ | (8 | ) | |||||||||||
Gains on equity method investments | 11 | 8 | 13 | 7 | ||||||||||||||||
Other | (4 | ) | 2 | (4 | ) | 7 | ||||||||||||||
$ | (26 | ) | $ | 8 | $ | (34 | ) | $ | 3 | |||||||||||
Earnings Per Common Share | ' | |||||||||||||||||||
The computation of basic and diluted earnings per common share is as follows: | ||||||||||||||||||||
Amounts attributable to Motorola Solutions, Inc. common stockholders | ||||||||||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Three Months Ended | September 27, | September 28, | September 27, | September 28, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 66 | $ | 261 | $ | 147 | $ | 307 | ||||||||||||
Weighted average common shares outstanding | 246.3 | 262.2 | 246.3 | 262.2 | ||||||||||||||||
Per share amount | $ | 0.27 | $ | 1 | $ | 0.6 | $ | 1.17 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 66 | $ | 261 | $ | 147 | $ | 307 | ||||||||||||
Weighted average common shares outstanding | 246.3 | 262.2 | 246.3 | 262.2 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 1.9 | 3.1 | 1.9 | 3.1 | ||||||||||||||||
Diluted weighted average common shares outstanding | 248.2 | 265.3 | 248.2 | 265.3 | ||||||||||||||||
Per share amount | $ | 0.27 | $ | 0.98 | $ | 0.59 | $ | 1.16 | ||||||||||||
Amounts attributable to Motorola Solutions, Inc. common stockholders | ||||||||||||||||||||
Earnings from Continuing Operations | Net Earnings | |||||||||||||||||||
Nine Months Ended | September 27, | September 28, | September 27, | September 28, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Basic earnings per common share: | ||||||||||||||||||||
Earnings | $ | 229 | $ | 641 | $ | 1,098 | $ | 757 | ||||||||||||
Weighted average common shares outstanding | 251.1 | 268.7 | 251.1 | 268.7 | ||||||||||||||||
Per share amount | $ | 0.91 | $ | 2.39 | $ | 4.37 | $ | 2.82 | ||||||||||||
Diluted earnings per common share: | ||||||||||||||||||||
Earnings | $ | 229 | $ | 641 | $ | 1,098 | $ | 757 | ||||||||||||
Weighted average common shares outstanding | 251.1 | 268.7 | 251.1 | 268.7 | ||||||||||||||||
Add effect of dilutive securities: | ||||||||||||||||||||
Share-based awards | 2.9 | 4.8 | 2.9 | 4.8 | ||||||||||||||||
Diluted weighted average common shares outstanding | 254 | 273.5 | 254 | 273.5 | ||||||||||||||||
Per share amount | $ | 0.9 | $ | 2.34 | $ | 4.32 | $ | 2.77 | ||||||||||||
Investments | ' | |||||||||||||||||||
Investments consist of the following: | ||||||||||||||||||||
27-Sep-14 | 31-Dec-13 | |||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Government, agency, and government-sponsored enterprise obligations | $ | 15 | $ | 15 | ||||||||||||||||
Corporate bonds | 7 | 7 | ||||||||||||||||||
Mutual funds | 11 | 11 | ||||||||||||||||||
Common stock and equivalents | — | 2 | ||||||||||||||||||
33 | 35 | |||||||||||||||||||
Other investments, at cost | 188 | 182 | ||||||||||||||||||
Equity method investments | 19 | 15 | ||||||||||||||||||
$ | 240 | $ | 232 | |||||||||||||||||
Accounts Receivable, Net | ' | |||||||||||||||||||
Accounts receivable, net, consists of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Accounts receivable | $ | 1,189 | $ | 1,422 | ||||||||||||||||
Less allowance for doubtful accounts | (27 | ) | (53 | ) | ||||||||||||||||
$ | 1,162 | $ | 1,369 | |||||||||||||||||
Inventories, Net | ' | |||||||||||||||||||
Inventories, net, consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Finished goods | $ | 147 | $ | 157 | ||||||||||||||||
Work-in-process and production materials | 313 | 315 | ||||||||||||||||||
460 | 472 | |||||||||||||||||||
Less inventory reserves | (129 | ) | (125 | ) | ||||||||||||||||
$ | 331 | $ | 347 | |||||||||||||||||
Other Current Assets | ' | |||||||||||||||||||
Other current assets consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Costs and earnings in excess of billings | $ | 456 | $ | 405 | ||||||||||||||||
Tax-related deposits and refunds receivable | 57 | 107 | ||||||||||||||||||
Other | 91 | 123 | ||||||||||||||||||
$ | 604 | $ | 635 | |||||||||||||||||
Property, Plant And Equipment, Net | ' | |||||||||||||||||||
Property, plant and equipment, net, consists of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Land | $ | 20 | $ | 22 | ||||||||||||||||
Building | 558 | 582 | ||||||||||||||||||
Machinery and equipment | 1,833 | 1,760 | ||||||||||||||||||
2,411 | 2,364 | |||||||||||||||||||
Less accumulated depreciation | (1,747 | ) | (1,669 | ) | ||||||||||||||||
$ | 664 | $ | 695 | |||||||||||||||||
Other Assets | ' | |||||||||||||||||||
Other assets consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Intangible assets, net | $ | 24 | $ | 6 | ||||||||||||||||
Long-term receivables | 21 | 1 | ||||||||||||||||||
Other | 93 | 82 | ||||||||||||||||||
$ | 138 | $ | 89 | |||||||||||||||||
Accrued Liabilities | ' | |||||||||||||||||||
Accrued liabilities consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Deferred revenue | $ | 341 | $ | 359 | ||||||||||||||||
Compensation | 236 | 315 | ||||||||||||||||||
Billings in excess of costs and earnings | 365 | 295 | ||||||||||||||||||
Tax liabilities | 74 | 85 | ||||||||||||||||||
Customer reserves | 53 | 52 | ||||||||||||||||||
Dividend payable | 82 | 79 | ||||||||||||||||||
Other | 522 | 578 | ||||||||||||||||||
$ | 1,673 | $ | 1,763 | |||||||||||||||||
Other Liabilities | ' | |||||||||||||||||||
Other liabilities consist of the following: | ||||||||||||||||||||
September 27, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Defined benefit plans | $ | 1,942 | $ | 1,751 | ||||||||||||||||
Postretirement Health Care Benefit Plan | 47 | 118 | ||||||||||||||||||
Deferred revenue | 148 | 162 | ||||||||||||||||||
Unrecognized tax benefits | 56 | 99 | ||||||||||||||||||
Other | 171 | 184 | ||||||||||||||||||
$ | 2,364 | $ | 2,314 | |||||||||||||||||
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, 2014 to September 27, 2014: | ||||||||||||||||||||
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, 2014 | $ | (1 | ) | $ | (2 | ) | $ | (2,188 | ) | $ | (96 | ) | $ | (2,287 | ) | |||||
Other comprehensive gain (loss) before reclassifications | — | 2 | (353 | ) | (19 | ) | (370 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive loss | 1 | — | 31 | — | 32 | |||||||||||||||
Current period change in Other comprehensive income | 1 | 2 | (322 | ) | (19 | ) | (338 | ) | ||||||||||||
Balance as of September 27, 2014 | $ | — | $ | — | $ | (2,510 | ) | $ | (115 | ) | $ | (2,625 | ) | |||||||
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 items in the condensed consolidated statements of operations during the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||
September 27, 2014 | September 28, | September 27, | September 28, | |||||||||||||||||
2013 | 2014 | 2013 | ||||||||||||||||||
Loss (gain) on cash flow hedges: | ||||||||||||||||||||
Foreign exchange contracts | $ | — | $ | — | $ | 1 | $ | (2 | ) | Cost of sales | ||||||||||
— | — | 1 | (2 | ) | Net of tax | |||||||||||||||
Amortization of retirement benefit items: | ||||||||||||||||||||
Prior service costs | $ | (15 | ) | (13 | ) | $ | (39 | ) | $ | (38 | ) | Selling, general, and administrative expenses | ||||||||
Actuarial net losses | 27 | 39 | 84 | 118 | Selling, general, and administrative expenses | |||||||||||||||
12 | 26 | 45 | 80 | Total before tax | ||||||||||||||||
(4 | ) | (9 | ) | (14 | ) | (28 | ) | Tax benefit | ||||||||||||
$ | 8 | $ | 17 | $ | 31 | $ | 52 | Net of tax | ||||||||||||
Total reclassifications for the period, net of tax | $ | 8 | $ | 17 | $ | 32 | $ | 50 | ||||||||||||
Risk_Management_Tables
Risk Management (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [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 27, 2014, and the corresponding positions as of December 31, 2013: | ||||||||||||||||||
Notional Amount | ||||||||||||||||||
Net Buy (Sell) by Currency | September 27, | December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||||
British Pound | $ | 331 | $ | 257 | ||||||||||||||
Chinese Renminbi | (203 | ) | (181 | ) | ||||||||||||||
Euro | 126 | (132 | ) | |||||||||||||||
Norwegian Krone | (116 | ) | (95 | ) | ||||||||||||||
Brazilian Real | (53 | ) | (44 | ) | ||||||||||||||
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 27, 2014 and December 31, 2013: | ||||||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
September 27, 2014 | Fair | Balance | Fair | Balance | ||||||||||||||
Value | Sheet | Value | Sheet | |||||||||||||||
Location | Location | |||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | $ | 5 | Other assets | $ | 9 | Other liabilities | ||||||||||||
Interest agreements | — | Other assets | 3 | Other liabilities | ||||||||||||||
Total derivatives | $ | 5 | $ | 12 | ||||||||||||||
Fair Values of Derivative Instruments | ||||||||||||||||||
Assets | Liabilities | |||||||||||||||||
December 31, 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 | 4 | Other assets | 1 | Other liabilities | ||||||||||||||
Interest agreements | — | Other assets | 3 | Other liabilities | ||||||||||||||
Total derivatives not designated as hedging instruments | 4 | 4 | ||||||||||||||||
Total derivatives | $ | 4 | $ | 5 | ||||||||||||||
Summary Of Derivative Instruments And The Effect On The Condensed Consolidated Statements Of Operations | ' | |||||||||||||||||
The following table summarizes the effect of derivative instruments in the Company's condensed consolidated statements of operations for the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||||
Three Months Ended | Nine Months Ended | Statements of | ||||||||||||||||
Gain (loss) on Derivative Instruments | September 27, | September 28, | September 27, | September 28, | Operations Location | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||
Foreign exchange contracts | (6 | ) | 8 | (8 | ) | (1 | ) | Other income (expense) | ||||||||||
The following table summarizes the gains and losses reclassified from Accumulated other comprehensive loss into Net earnings during the three and nine months ended September 27, 2014 and September 28, 2013: | ||||||||||||||||||
Three Months Ended | Nine Months Ended | Financial Statement | ||||||||||||||||
Foreign Exchange Contracts | September 27, | September 28, | 27-Sep-14 | 28-Sep-13 | Location | |||||||||||||
2014 | 2013 | |||||||||||||||||
Derivatives in cash flow hedging relationships: | ||||||||||||||||||
Gains (losses) reclassified from Accumulated other comprehensive loss into Net earnings | $ | — | $ | — | $ | (1 | ) | $ | 1 | Costs of sales | ||||||||
Retirement_and_Other_Employee_1
Retirement and Other Employee Benefits (Tables) | 9 Months Ended | |||||||||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||
Schedule of Net Benefit Plan Costs | ' | |||||||||||||||||||||||
The net periodic costs (benefits) for Pension and Postretirement Health Care Benefits Plans were as follows: | ||||||||||||||||||||||||
U.S. Pension Benefit Plans | Non U.S. Pension Benefit Plans | Postretirement Health Care Benefits Plan | ||||||||||||||||||||||
Three Months Ended | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | ||||||||||||||||||
Service cost | $ | — | $ | — | $ | 4 | $ | 2 | $ | — | $ | 1 | ||||||||||||
Interest cost | 93 | 88 | 20 | 19 | 2 | 3 | ||||||||||||||||||
Expected return on plan assets | (97 | ) | (91 | ) | (23 | ) | (21 | ) | (3 | ) | (2 | ) | ||||||||||||
Amortization of: | ||||||||||||||||||||||||
Unrecognized net loss | 23 | 31 | 3 | 5 | 1 | 5 | ||||||||||||||||||
Unrecognized prior service benefit | — | — | (2 | ) | (1 | ) | (13 | ) | (11 | ) | ||||||||||||||
Net periodic pension cost (benefit) | $ | 19 | $ | 28 | $ | 2 | $ | 4 | $ | (13 | ) | $ | (4 | ) | ||||||||||
U.S. Pension Benefit Plans | Non U.S. Pension Benefit Plans | Postretirement Health Care Benefits Plan | ||||||||||||||||||||||
Nine Months Ended | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | ||||||||||||||||||
Service cost | $ | — | $ | — | $ | 11 | $ | 8 | $ | 1 | $ | 2 | ||||||||||||
Interest cost | 278 | 264 | 61 | 52 | 8 | 9 | ||||||||||||||||||
Expected return on plan assets | (294 | ) | (273 | ) | (69 | ) | (58 | ) | (7 | ) | (7 | ) | ||||||||||||
Amortization of: | ||||||||||||||||||||||||
Unrecognized net loss | 68 | 95 | 9 | 11 | 7 | 12 | ||||||||||||||||||
Unrecognized prior service benefit | — | — | (5 | ) | (5 | ) | (35 | ) | (33 | ) | ||||||||||||||
Net periodic pension cost (benefit) | $ | 52 | $ | 86 | $ | 7 | $ | 8 | $ | (26 | ) | $ | (17 | ) | ||||||||||
ShareBased_Compensation_Plans_
Share-Based Compensation Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
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 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Share-based compensation expense included in: | ||||||||||||||||
Costs of sales | $ | 2 | $ | 4 | $ | 9 | $ | 12 | ||||||||
Selling, general and administrative expenses | 14 | 18 | 47 | 56 | ||||||||||||
Research and development expenditures | 4 | 7 | 18 | 23 | ||||||||||||
Share-based compensation expense included in Operating earnings | 20 | 29 | 74 | 91 | ||||||||||||
Tax benefit | 6 | 9 | 23 | 28 | ||||||||||||
Share-based compensation expense, net of tax | $ | 14 | $ | 20 | $ | 51 | $ | 63 | ||||||||
Decrease in basic earnings per share | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.20 | ) | $ | (0.23 | ) | ||||
Decrease in diluted earnings per share | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.20 | ) | $ | (0.23 | ) | ||||
Share-based compensation expense in discontinued operations | $ | 5 | $ | 8 | $ | 18 | $ | 25 | ||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||
Sep. 27, 2014 | ||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||
Fair Value of Company'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 27, 2014 and December 31, 2013 were as follows: | ||||||||||||
September 27, 2014 | Level 2 | |||||||||||
Assets: | ||||||||||||
Foreign exchange derivative contracts | $ | 5 | ||||||||||
Available-for-sale securities: | ||||||||||||
Government, agency, and government-sponsored enterprise obligations | 15 | |||||||||||
Corporate bonds | 7 | |||||||||||
Mutual funds | 11 | |||||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | 9 | ||||||||||
Interest agreement derivative contracts | 3 | |||||||||||
December 31, 2013 | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 4 | $ | 4 | ||||||
Available-for-sale securities: | ||||||||||||
Government, agency, and government-sponsored enterprise obligations | — | 15 | 15 | |||||||||
Corporate bonds | — | 7 | 7 | |||||||||
Mutual funds | — | 11 | 11 | |||||||||
Common stock and equivalents | 2 | — | 2 | |||||||||
Liabilities: | ||||||||||||
Foreign exchange derivative contracts | $ | — | $ | 2 | $ | 2 | ||||||
Interest agreement derivative contracts | — | 3 | 3 | |||||||||
Longterm_Customer_Financing_An1
Long-term Customer Financing And Sales Of Receivables (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
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 27, | December 31, | |||||||||||||||
2014 | 2013 | |||||||||||||||
Long-term receivables | $ | 40 | $ | 27 | ||||||||||||
Less current portion | (19 | ) | (26 | ) | ||||||||||||
Non-current long-term receivables, net | $ | 21 | $ | 1 | ||||||||||||
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 27, 2014 and September 28, 2013: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Cumulative annual proceeds received from sales: | ||||||||||||||||
Accounts receivable sales proceeds | $ | 6 | $ | 4 | $ | 39 | $ | 6 | ||||||||
Long-term receivables sales proceeds | 37 | 37 | 91 | 90 | ||||||||||||
Total proceeds from receivable sales | $ | 43 | $ | 41 | $ | 130 | $ | 96 | ||||||||
Financing Receivables Aging Analysis | ' | |||||||||||||||
An aging analysis of financing receivables at September 27, 2014 and December 31, 2013 is as follows: | ||||||||||||||||
September 27, 2014 | Total | Current Billed | Past Due Under 90 Days | Past Due Over 90 Days | ||||||||||||
Long-term | Due | |||||||||||||||
Receivable | ||||||||||||||||
Municipal leases secured tax exempt | $ | 5 | $ | — | $ | 1 | $ | — | ||||||||
Commercial loans and leases secured | 35 | 1 | — | 13 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 40 | $ | 1 | $ | 1 | $ | 13 | ||||||||
December 31, 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 | 26 | 10 | 2 | 10 | ||||||||||||
Total gross long-term receivables, including current portion | $ | 27 | $ | 10 | $ | 2 | $ | 10 | ||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Net sales and Operating earnings by Segment | ' | |||||||||||||||
The following table summarizes the Net sales by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Products | $ | 921 | $ | 998 | $ | 2,561 | $ | 2,897 | ||||||||
Services | 515 | 519 | 1,497 | 1,513 | ||||||||||||
$ | 1,436 | $ | 1,517 | $ | 4,058 | $ | 4,410 | |||||||||
The following table summarizes the Operating earnings by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, | September 28, | September 27, | September 28, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Products | $ | 141 | $ | 171 | $ | 276 | $ | 402 | ||||||||
Services | 66 | 75 | 176 | 220 | ||||||||||||
Operating earnings | 207 | 246 | 452 | 622 | ||||||||||||
Total other income (expense) | (56 | ) | 5 | (115 | ) | (48 | ) | |||||||||
Earnings from continuing operations before income taxes | $ | 151 | $ | 251 | $ | 337 | $ | 574 | ||||||||
Reorganization_Of_Businesses_T
Reorganization Of Businesses (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 27, 2014 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
Restructuring and Related Activities Reportable Segment | ' | |||||||||||||||||||
The following table displays the net charges incurred by segment: | ||||||||||||||||||||
September 27, 2014 | Three Months Ended | Nine Months Ended | ||||||||||||||||||
Products | $ | 13 | $ | 38 | ||||||||||||||||
Services | 7 | 20 | ||||||||||||||||||
$ | 20 | $ | 58 | |||||||||||||||||
The following table displays the net charges incurred by segment: | ||||||||||||||||||||
September 28, 2013 | Three Months Ended | Nine Months Ended | ||||||||||||||||||
Products | $ | 14 | $ | 30 | ||||||||||||||||
Services | 7 | 16 | ||||||||||||||||||
$ | 21 | $ | 46 | |||||||||||||||||
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, including those related to discontinued operations which are maintained by the Company after the sale of the Enterprise business, from January 1, 2014 to September 27, 2014: | ||||||||||||||||||||
January 1, 2014 | Additional | Adjustments | Amount | September 27, 2014 | ||||||||||||||||
Charges | Used | |||||||||||||||||||
Exit costs | $ | 6 | $ | 6 | $ | — | $ | (10 | ) | $ | 2 | |||||||||
Employee separation costs | 103 | 67 | (2 | ) | (106 | ) | 62 | |||||||||||||
$ | 109 | $ | 73 | $ | (2 | ) | $ | (116 | ) | $ | 64 | |||||||||
Intangible_Assets_And_Goodwill1
Intangible Assets And Goodwill (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Intangible Assets | ' | |||||||||||||||
Amortized intangible assets were comprised of the following: | ||||||||||||||||
September 27, 2014 | December 31, 2013 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Completed technology | $ | 37 | $ | 27 | $ | 24 | $ | 24 | ||||||||
Patents | 8 | 4 | 8 | 3 | ||||||||||||
Customer-related | 15 | 8 | 6 | 6 | ||||||||||||
Other intangibles | 17 | 14 | 15 | 14 | ||||||||||||
$ | 77 | $ | 53 | $ | 53 | $ | 47 | |||||||||
Amortized Intangible Assets, Excluding Goodwill, By Business Segment | ' | |||||||||||||||
Amortized intangible assets, excluding goodwill, were comprised of the following by segment: | ||||||||||||||||
September 27, 2014 | December 31, 2013 | |||||||||||||||
Gross | Accumulated | Gross | Accumulated | |||||||||||||
Carrying | Amortization | Carrying | Amortization | |||||||||||||
Amount | Amount | |||||||||||||||
Products | $ | 74 | $ | 53 | $ | 53 | $ | 47 | ||||||||
Services | 3 | — | — | — | ||||||||||||
$ | 77 | $ | 53 | $ | 53 | $ | 47 | |||||||||
Goodwill | ' | |||||||||||||||
The following table displays a rollforward of the carrying amount of goodwill by segment from January 1, 2014 to September 27, 2014: | ||||||||||||||||
Products | Services | Total | ||||||||||||||
Balance as of January 1, 2014 | ||||||||||||||||
Aggregate goodwill | $ | 249 | $ | 112 | $ | 361 | ||||||||||
Accumulated impairment losses | — | — | — | |||||||||||||
Goodwill, net of impairment losses | $ | 249 | $ | 112 | $ | 361 | ||||||||||
Goodwill acquired | 15 | 7 | 22 | |||||||||||||
Balance as of September 27, 2014 | ||||||||||||||||
Aggregate goodwill | $ | 264 | $ | 119 | $ | 383 | ||||||||||
Accumulated impairment losses | — | — | — | |||||||||||||
Goodwill, net of impairment losses | $ | 264 | $ | 119 | $ | 383 | ||||||||||
Discontinued_Operations_Summar
Discontinued Operations (Summarized Activity Of Discontinued Operations) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | |||||
Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 31, 2013 | Oct. 27, 2014 | |
Zebra Technologies Corporation | Zebra Technologies Corporation | Zebra Technologies Corporation | Zebra Technologies Corporation | Zebra Technologies Corporation | Subsequent Event | |||||
Enterprise | Enterprise | Enterprise | Enterprise | Enterprise | Zebra Technologies Corporation | |||||
Enterprise | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Disposal price agreed upon to sell Enterprise business | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,450,000,000 |
Increase in deferred tax assets | 55,000,000 | ' | 748,000,000 | ' | ' | ' | ' | ' | ' | ' |
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | 605,000,000 | 595,000,000 | 1,737,000,000 | 1,782,000,000 | ' | ' |
Operating earnings | ' | ' | ' | ' | 78,000,000 | 74,000,000 | 195,000,000 | 180,000,000 | ' | ' |
Earnings before income taxes | ' | ' | ' | ' | 68,000,000 | 74,000,000 | 181,000,000 | 180,000,000 | ' | ' |
Income tax expense (benefit) | ' | ' | ' | ' | -13,000,000 | 28,000,000 | -688,000,000 | 64,000,000 | ' | ' |
Earnings from discontinued operations, net of tax | 81,000,000 | 46,000,000 | 869,000,000 | 116,000,000 | 81,000,000 | 46,000,000 | 869,000,000 | 116,000,000 | ' | ' |
Assets of Disposal Group, Including Discontinued Operation [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts receivable, net | ' | ' | ' | ' | 514,000,000 | ' | 514,000,000 | ' | 551,000,000 | ' |
Inventories, net | ' | ' | ' | ' | 223,000,000 | ' | 223,000,000 | ' | 175,000,000 | ' |
Deferred income taxes | ' | ' | ' | ' | 232,000,000 | ' | 232,000,000 | ' | 219,000,000 | ' |
Other current assets | ' | ' | ' | ' | 158,000,000 | ' | 158,000,000 | ' | 134,000,000 | ' |
Property, plant and equipment, net | ' | ' | ' | ' | 99,000,000 | ' | 99,000,000 | ' | 115,000,000 | ' |
Investments | ' | ' | ' | ' | 19,000,000 | ' | 19,000,000 | ' | 19,000,000 | ' |
Goodwill | ' | ' | ' | ' | 1,148,000,000 | ' | 1,148,000,000 | ' | 1,149,000,000 | ' |
Other assets | ' | ' | ' | ' | 102,000,000 | ' | 102,000,000 | ' | 95,000,000 | ' |
Assets | ' | ' | ' | ' | 2,495,000,000 | ' | 2,495,000,000 | ' | 2,457,000,000 | ' |
Liabilities of Disposal Group, Including Discontinued Operation [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts payable | ' | ' | ' | ' | 194,000,000 | ' | 194,000,000 | ' | 231,000,000 | ' |
Accrued liabilities | ' | ' | ' | ' | 652,000,000 | ' | 652,000,000 | ' | 639,000,000 | ' |
Other liabilities | ' | ' | ' | ' | 164,000,000 | ' | 164,000,000 | ' | 171,000,000 | ' |
Liabilities | ' | ' | ' | ' | $1,010,000,000 | ' | $1,010,000,000 | ' | $1,041,000,000 | ' |
Other_Financial_Data_Other_Cha
Other Financial Data (Other Charges) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Other charges: | ' | ' | ' | ' |
Intangibles amortization | $1 | $0 | $3 | $1 |
Reorganization of businesses | 13 | 16 | 48 | 36 |
Legal settlement | 0 | 0 | 8 | 0 |
Pension-related transaction fees | 11 | 0 | 11 | 0 |
Gain on sale of building and land | 0 | 0 | -21 | 0 |
Other charges (income): | $25 | $16 | $49 | $37 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Interest income (expense), net: | ' | ' | ' | ' |
Interest expense | ($38) | ($33) | ($102) | ($100) |
Interest income | 7 | 4 | 17 | 15 |
Interest income (expense), net: | -31 | -29 | -85 | -85 |
Other: | ' | ' | ' | ' |
Loss from the extinguishment of long-term debt | -37 | 0 | -37 | 0 |
Investment impairments | 0 | -1 | 0 | -3 |
Foreign currency gain (loss) | 4 | -1 | -6 | -8 |
Gains on equity method investments | 11 | 8 | 13 | 7 |
Other | -4 | 2 | -4 | 7 |
Total Other Income (Expense) | ($26) | $8 | ($34) | $3 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Basic earnings (loss) per common share: | ' | ' | ' | ' |
Earnings from continuing operations | $66 | $261 | $229 | $641 |
Net earnings | 147 | 307 | 1,098 | 757 |
Weighted average common shares outstanding, basic (shares) | 246.3 | 262.2 | 251.1 | 268.7 |
Continuing operations (US$ per share) | $0.27 | $1 | $0.91 | $2.39 |
Basic earnings per share amount (US$ per share) | $0.60 | $1.17 | $4.37 | $2.82 |
Earnings from continuing operations, net of tax | 66 | 261 | 229 | 641 |
Net earnings | $147 | $307 | $1,098 | $757 |
Weighted average common shares outstanding, basic (shares) | 246.3 | 262.2 | 251.1 | 268.7 |
Add effect of dilutive securities: | ' | ' | ' | ' |
Share-based awards (in shares) | 1.9 | 3.1 | 2.9 | 4.8 |
Diluted weighted average common shares outstanding (shares) | 248.2 | 265.3 | 254 | 273.5 |
Diluted weighted average common shares outstanding (US$ per share) | $0.27 | $0.98 | $0.90 | $2.34 |
Diluted earnings per share amount (US$ per share) | $0.59 | $1.16 | $4.32 | $2.77 |
Other_Financial_Data_Investmen
Other Financial Data (Investments) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Investments | ' | ' |
Short-term Investments | $240 | $232 |
Available-for-sale securities: | ' | ' |
Investments | ' | ' |
Short-term Investments | 33 | 35 |
Government, agency, and government-sponsored enterprise obligations | ' | ' |
Investments | ' | ' |
Short-term Investments | 15 | 15 |
Corporate bonds | ' | ' |
Investments | ' | ' |
Short-term Investments | 7 | 7 |
Mutual funds | ' | ' |
Investments | ' | ' |
Short-term Investments | 11 | 11 |
Common stock and equivalents | ' | ' |
Investments | ' | ' |
Short-term Investments | 0 | 2 |
Other investments, at cost | ' | ' |
Investments | ' | ' |
Short-term Investments | 188 | 182 |
Equity method investments | ' | ' |
Investments | ' | ' |
Short-term Investments | $19 | $15 |
Other_Financial_Data_Accounts_
Other Financial Data (Accounts Receivable, Net) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' |
Accounts receivable | $1,189 | $1,422 |
Less allowance for doubtful accounts | -27 | -53 |
Accounts receivable, net | $1,162 | $1,369 |
Other_Financial_Data_Inventori
Other Financial Data (Inventories, Net) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory, Net [Abstract] | ' | ' |
Finished goods | $147 | $157 |
Work-in-process and production materials | 313 | 315 |
Inventories, gross | 460 | 472 |
Less inventory reserves | -129 | -125 |
Inventories, net | $331 | $347 |
Other_Financial_Data_Other_Cur
Other Financial Data (Other Current Assets) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Other Current Assets [Abstract] | ' | ' |
Costs and earnings in excess of billings | $456 | $405 |
Tax-related deposits and refunds receivable | 57 | 107 |
Other | 91 | 123 |
Other current assets | $604 | $635 |
Other_Financial_Data_Property_
Other Financial Data (Property, Plant And Equipment, Net) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment, Net [Abstract] | ' | ' |
Land | $20 | $22 |
Building | 558 | 582 |
Machinery and equipment | 1,833 | 1,760 |
Property, plant and equipment, gross | 2,411 | 2,364 |
Less accumulated depreciation | -1,747 | -1,669 |
Property, plant and equipment, net | $664 | $695 |
Other_Financial_Data_Other_Ass
Other Financial Data (Other Assets) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Other Assets [Abstract] | ' | ' |
Intangible assets, net | $24 | $6 |
Long-term receivables | 21 | 1 |
Other | 93 | 82 |
Other assets, total | $138 | $89 |
Other_Financial_Data_Accrued_L
Other Financial Data (Accrued Liabilities) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Accrued Liabilities [Abstract] | ' | ' |
Deferred revenue | $341 | $359 |
Compensation | 236 | 315 |
Billings in excess of costs and earnings | 365 | 295 |
Tax liabilities | 74 | 85 |
Customer reserves | 53 | 52 |
Dividend payable | 82 | 79 |
Other | 522 | 578 |
Accrued liabilities | $1,673 | $1,763 |
Other_Financial_Data_Other_Lia
Other Financial Data (Other Liabilities) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Other Liabilities [Abstract] | ' | ' |
Defined benefit plans | $1,942 | $1,751 |
Postretirement Health Care Benefit Plan | 47 | 118 |
Deferred revenue | 148 | 162 |
Unrecognized tax benefits | 56 | 99 |
Other | 171 | 184 |
Other liabilities | $2,364 | $2,314 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance as of January 1, 2014 | ' | ' | ($2,287) | ' |
Other comprehensive gain (loss) before reclassifications | ' | ' | -370 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 32 | ' |
Total other comprehensive income (loss) | -379 | 37 | -338 | 28 |
Balance as of September 27, 2014 | -2,625 | ' | -2,625 | ' |
Gains and Losses on Cash Flow Hedges | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance as of January 1, 2014 | ' | ' | -1 | ' |
Other comprehensive gain (loss) before reclassifications | ' | ' | 0 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 1 | ' |
Total other comprehensive income (loss) | ' | ' | 1 | ' |
Balance as of September 27, 2014 | 0 | ' | 0 | ' |
Unrealized Gains and Losses on Available-for-Sale Securities | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance as of January 1, 2014 | ' | ' | -2 | ' |
Other comprehensive gain (loss) before reclassifications | ' | ' | 2 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 0 | ' |
Total other comprehensive income (loss) | ' | ' | 2 | ' |
Balance as of September 27, 2014 | 0 | ' | 0 | ' |
Retirement Benefit Items | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance as of January 1, 2014 | ' | ' | -2,188 | ' |
Other comprehensive gain (loss) before reclassifications | ' | ' | -353 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 31 | ' |
Total other comprehensive income (loss) | ' | ' | -322 | ' |
Balance as of September 27, 2014 | -2,510 | ' | -2,510 | ' |
Foreign Currency Translation Adjustments | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance as of January 1, 2014 | ' | ' | -96 | ' |
Other comprehensive gain (loss) before reclassifications | ' | ' | -19 | ' |
Amounts reclassified from accumulated other comprehensive loss | ' | ' | 0 | ' |
Total other comprehensive income (loss) | ' | ' | -19 | ' |
Balance as of September 27, 2014 | ($115) | ' | ($115) | ' |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Cost of sales - Foreign exchange contracts | $414 | $423 | $1,165 | $1,262 |
Net earnings | -148 | -308 | -1,099 | -762 |
Selling, general and administrative expenses | 287 | 320 | 902 | 984 |
Earnings before income taxes | -151 | -251 | -337 | -574 |
Tax expense (benefits) | 84 | -11 | 107 | -72 |
Reclassification Out Of Accumulated Other Comprehensive Income | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Net earnings | 8 | 17 | 32 | 50 |
Reclassification Out Of Accumulated Other Comprehensive Income | Accumulated Defined Benefit Plans Adjustment, Net Prior Service Cost (Credit) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Selling, general and administrative expenses | -15 | -13 | -39 | -38 |
Reclassification Out Of Accumulated Other Comprehensive Income | Accumulated Defined Benefit Plans Adjustment, Net Unamortized Gain (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Selling, general and administrative expenses | 27 | 39 | 84 | 118 |
Reclassification Out Of Accumulated Other Comprehensive Income | Gains and Losses on Cash Flow Hedges | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Cost of sales - Foreign exchange contracts | 0 | 0 | 1 | -2 |
Net earnings | 0 | 0 | 1 | -2 |
Reclassification Out Of Accumulated Other Comprehensive Income | Amortization of Retirement Benefit Items | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Net earnings | 8 | 17 | 31 | 52 |
Earnings before income taxes | 12 | 26 | 45 | 80 |
Tax expense (benefits) | ($4) | ($9) | ($14) | ($28) |
Other_Financial_Data_Narrative
Other Financial Data (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | 9 Months Ended | ||||||
Share data in Millions, except Per Share data, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Nov. 03, 2014 | Sep. 27, 2014 |
Stock Options | Stock Options | Stock Options | Stock Options | Subsequent Event | Schaumburg, IL | |||||||
Other Financial Data [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Building and Land Sold During Period, Net Book Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,000,000 |
Proceeds from sales of property, plant and equipment | ' | ' | 30,000,000 | 15,000,000 | ' | ' | ' | ' | ' | ' | ' | 24,000,000 |
Gain (Loss) on Disposition of Property Plant Equipment | 0 | 0 | 21,000,000 | 0 | ' | ' | ' | ' | ' | ' | ' | 21,000,000 |
Stock options excluded from computation of dilutive shares due to antidilutive nature | ' | ' | ' | ' | ' | ' | 4.9 | 5.6 | 4.8 | 4.8 | ' | ' |
Cash and cash equivalents | 2,845,000,000 | 1,721,000,000 | 2,845,000,000 | 1,721,000,000 | 3,225,000,000 | 1,468,000,000 | ' | ' | ' | ' | ' | ' |
Restricted cash and cash equivalents | 63,000,000 | ' | 63,000,000 | ' | 63,000,000 | ' | ' | ' | ' | ' | ' | ' |
Depreciation expense | 44,000,000 | 39,000,000 | 128,000,000 | 115,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders' Equity Note [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock repurchase program, authorized amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,000,000,000 | ' |
Repurchase of common shares, value | 650,000,000 | ' | 1,100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchase of common shares | 10.4 | ' | 17.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchase of common shares, average cost per share | $62.63 | ' | $64.36 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share repurchase authority utilized during period | ' | ' | 6,400,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share repurchase program, available for repurchases | ' | ' | 5,600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash dividends paid | $78,000,000 | $69,000,000 | $236,000,000 | $212,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends declared per share (US$ per share) | $0.34 | $0.31 | $0.96 | $0.83 | ' | ' | ' | ' | ' | ' | ' | ' |
Debt_and_Credit_Facilities_Nar
Debt and Credit Facilities (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | ||||||||||
Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Mar. 30, 2013 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | 29-May-14 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | |
Senior Notes Due 2023, 3.500% | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Letter of Credit | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Other income (expense) | |||||
2014 Motorola Solutions Credit Agreement | 2014 Motorola Solutions Credit Agreement | 2011 Motorola Solutions Credit Agreement | 2011 Motorola Solutions Credit Agreement | 2011 Motorola Solutions Credit Agreement | 2014 Motorola Solutions Credit Agreement | Senior Note due 2024, 4.00% | Senior Note Due 2021, 3.500% | Senior Note due 2044, 5.500% | Senior Note Due 2017, 6.000% | Senior Notes | |||||||
Senior Note Due 2017, 6.000% | |||||||||||||||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Extinguishment of Debt, Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $400,000,000 | ' |
Debt instrument stated interest rate (percent) | ' | ' | ' | ' | 3.50% | ' | ' | ' | ' | ' | ' | ' | 4.00% | 3.50% | 5.50% | 6.00% | ' |
Early Repayment of Senior Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 456,000,000 | ' |
Loss on extinguishment of debt | 37,000,000 | 0 | 37,000,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 37,000,000 |
Face principal amount of debt issued | ' | ' | ' | ' | 600,000,000 | ' | ' | ' | ' | ' | ' | 1,400,000,000 | 600,000,000 | 400,000,000 | 400,000,000 | ' | ' |
Unsecured syndicated revolving credit facility | ' | ' | ' | ' | ' | 2,000,000,000 | 2,000,000,000 | ' | ' | 1,500,000,000 | 450,000,000 | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of debt | ' | ' | ' | ' | 588,000,000 | ' | ' | ' | ' | ' | ' | ' | 583,000,000 | 393,000,000 | 394,000,000 | ' | ' |
Additional borrowings under line of credit agreement | ' | ' | ' | ' | ' | 0 | 0 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of credit issued revolving credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $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. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Foreign Currency Contracts | ' | ' |
Notional amount of foreign currency derivatives | $931 | $837 |
British Pound | ' | ' |
Foreign Currency Contracts | ' | ' |
Notional amount of foreign currency derivatives | 331 | 257 |
Chinese Renminbi | ' | ' |
Foreign Currency Contracts | ' | ' |
Notional amount of foreign currency derivatives | -203 | -181 |
Euro | ' | ' |
Foreign Currency Contracts | ' | ' |
Notional amount of foreign currency derivatives | 126 | -132 |
Norwegian Krone | ' | ' |
Foreign Currency Contracts | ' | ' |
Notional amount of foreign currency derivatives | -116 | -95 |
Brazilian Real | ' | ' |
Foreign Currency Contracts | ' | ' |
Notional amount of foreign currency derivatives | ($53) | ($44) |
Risk_Management_Summary_Of_Fai
Risk Management (Summary Of Fair Values And Location In Condensed Consolidated Balance Sheet) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative assets | ' | $4 |
Fair value of derivative liabilities | ' | 5 |
Designated as Hedging Instrument | Foreign exchange derivative contracts | Other Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative assets | ' | 0 |
Designated as Hedging Instrument | Foreign exchange derivative contracts | Other Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative liabilities | ' | 1 |
Not Designated As Hedging Instruments | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative assets | 5 | 4 |
Fair value of derivative liabilities | 12 | 4 |
Not Designated As Hedging Instruments | Foreign exchange derivative contracts | Other Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative assets | 5 | 4 |
Not Designated As Hedging Instruments | Foreign exchange derivative contracts | Other Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative liabilities | 9 | 1 |
Not Designated As Hedging Instruments | Interest Agreement Contracts | Other Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative assets | 0 | 0 |
Not Designated As Hedging Instruments | Interest Agreement Contracts | Other Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Fair value of derivative liabilities | $3 | $3 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Gain (Loss) on Derivative Instruments | ' | ' | ' | ' |
Gains (losses) reclassified from Accumulated other comprehensive loss into Net earnings | ($414) | ($423) | ($1,165) | ($1,262) |
Foreign exchange derivative contracts | Costs Of Sales | ' | ' | ' | ' |
Gain (Loss) on Derivative Instruments | ' | ' | ' | ' |
Gains (losses) reclassified from Accumulated other comprehensive loss into Net earnings | 0 | 0 | -1 | 1 |
Not Designated As Hedging Instruments | Foreign exchange derivative contracts | Other Income (Expense) | ' | ' | ' | ' |
Gain (Loss) on Derivative Instruments | ' | ' | ' | ' |
Total derivatives not designated as hedging instruments | ($6) | $8 | ($8) | ($1) |
Risk_Management_Narrative_Deta
Risk Management (Narrative) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
position | position | |
Derivative [Line Items] | ' | ' |
Notional amount of foreign currency derivatives | $931,000,000 | $837,000,000 |
Number of net notional positions to buy or sell foreign currency disclosed (in number of positions) | 5 | 5 |
Fair value of derivative liabilities | ' | 5,000,000 |
Not Designated As Hedging Instruments | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value of derivative liabilities | 12,000,000 | 4,000,000 |
Not Designated As Hedging Instruments | Interest Rate Contracts | Other Liabilities | ' | ' |
Derivative [Line Items] | ' | ' |
Fair value of derivative liabilities | 3,000,000 | 3,000,000 |
Credit Concentration Risk | ' | ' |
Derivative [Line Items] | ' | ' |
Notional amount of foreign currency derivatives | 3,000,000 | ' |
Reported Value Measurement | ' | ' |
Derivative [Line Items] | ' | ' |
Long-term Debt, Fair Value | $3,400,000,000 | ' |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 27, 2014 | Mar. 30, 2013 | Sep. 27, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Increase in deferred tax assets | $55,000,000 | ' | $748,000,000 | ' |
Valuation allowance | 247,000,000 | ' | 247,000,000 | 200,000,000 |
Valuation allowance - deferred tax assets relating to non-U.S subsidiaries | 214,000,000 | ' | 214,000,000 | 178,000,000 |
Undistributed earnings that the Company intends to reinvest indefinitely | 1,600,000,000 | ' | 1,600,000,000 | 1,400,000,000 |
Tax benefit related to reversal of deferred tax liabilities | ' | 25,000,000 | ' | ' |
Undistributed Non U S Earnings | 700,000,000 | ' | 700,000,000 | ' |
Unrecognized tax benefits | 114,000,000 | ' | 114,000,000 | 147,000,000 |
Unrecognized tax benefits that would impact effective tax rate if recognized | 93,000,000 | ' | 93,000,000 | 125,000,000 |
Unrecognized Tax Benefits, Increases Resulting from Prior Period Tax Positions | ' | ' | 21,000,000 | ' |
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | ' | ' | 53,000,000 | ' |
Unrecognized Tax Benefits, Period Increase (Decrease) | ' | ' | 32,000,000 | ' |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Lower Bound | -50,000,000 | ' | -50,000,000 | ' |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Upper Bound | 50,000,000 | ' | 50,000,000 | ' |
Change in cash payment of unrecognized tax benefits, upper end of range | ' | ' | $25,000,000 | ' |
Retirement_and_Other_Employee_2
Retirement and Other Employee Benefits (Pension and Postretirement Health Care Benefits) (Details) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | |||
Sep. 22, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | |
retiree | ||||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' |
Number of retirees receiving pension payments | 30,000 | ' | ' | ' | ' | ' |
Weighted average discount | ' | 4.53% | ' | ' | ' | ' |
Expected long term rate of return | ' | 5.80% | ' | ' | ' | ' |
Defined Benefit Plan, Funded Status of Plan | ' | ($1,500,000,000) | ($1,500,000,000) | ' | ($1,500,000,000) | ' |
Accumulated other comprehensive income (loss) | ' | -3,400,000,000 | -3,400,000,000 | ' | -3,400,000,000 | ' |
Maximum dollar amount of lump-sum distribution | ' | ' | 1,000,000,000 | ' | ' | ' |
Remeasurement of Postretirement Health Care Benefit Plan, net of tax of $27 | ' | ' | -45,000,000 | 0 | -45,000,000 | 0 |
U.S. Pension Plan | ' | ' | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' |
Service cost | ' | ' | 0 | 0 | 0 | 0 |
Interest cost | ' | ' | 93,000,000 | 88,000,000 | 278,000,000 | 264,000,000 |
Expected return on plan assets | ' | ' | -97,000,000 | -91,000,000 | -294,000,000 | -273,000,000 |
Amortization of unrecognized net loss | ' | ' | 23,000,000 | 31,000,000 | 68,000,000 | 95,000,000 |
Amortization of unrecognized prior service cost (benefit) | ' | ' | 0 | 0 | 0 | 0 |
Net periodic pension cost (benefit) | ' | ' | 19,000,000 | 28,000,000 | 52,000,000 | 86,000,000 |
Contributions | ' | ' | 397,000,000 | 72,000,000 | 463,000,000 | 122,000,000 |
Non-U.S. Plans | ' | ' | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' |
Service cost | ' | ' | 4,000,000 | 2,000,000 | 11,000,000 | 8,000,000 |
Interest cost | ' | ' | 20,000,000 | 19,000,000 | 61,000,000 | 52,000,000 |
Expected return on plan assets | ' | ' | -23,000,000 | -21,000,000 | -69,000,000 | -58,000,000 |
Amortization of unrecognized net loss | ' | ' | 3,000,000 | 5,000,000 | 9,000,000 | 11,000,000 |
Amortization of unrecognized prior service cost (benefit) | ' | ' | -2,000,000 | -1,000,000 | -5,000,000 | -5,000,000 |
Net periodic pension cost (benefit) | ' | ' | 2,000,000 | 4,000,000 | 7,000,000 | 8,000,000 |
Contributions | ' | ' | 7,000,000 | 7,000,000 | 27,000,000 | 24,000,000 |
Postretirement Health Care Benefits Plans | ' | ' | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' |
Service cost | ' | ' | 0 | 1,000,000 | 1,000,000 | 2,000,000 |
Interest cost | ' | ' | 2,000,000 | 3,000,000 | 8,000,000 | 9,000,000 |
Expected return on plan assets | ' | ' | -3,000,000 | -2,000,000 | -7,000,000 | -7,000,000 |
Amortization of unrecognized net loss | ' | ' | 1,000,000 | 5,000,000 | 7,000,000 | 12,000,000 |
Amortization of unrecognized prior service cost (benefit) | ' | ' | -13,000,000 | -11,000,000 | -35,000,000 | -33,000,000 |
Net periodic pension cost (benefit) | ' | ' | -13,000,000 | -4,000,000 | -26,000,000 | -17,000,000 |
Contributions | ' | ' | $0 | $0 | $0 | $0 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense included in Operating earnings | $20 | $29 | $74 | $91 |
Tax benefit | 6 | 9 | 23 | 28 |
Share-based compensation expense, net of tax | 14 | 20 | 51 | 63 |
Decrease in basic earnings per share (US$ per share) | ($0.06) | ($0.08) | ($0.20) | ($0.23) |
Decrease in diluted earnings per share (US$ per share) | ($0.06) | ($0.08) | ($0.20) | ($0.23) |
Share-based compensation expense in discontinued operations | 5 | 8 | 18 | 25 |
Costs of sales | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense included in Operating earnings | 2 | 4 | 9 | 12 |
Selling, general and administrative expenses | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense included in Operating earnings | 14 | 18 | 47 | 56 |
Research and development expenditures | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense included in Operating earnings | $4 | $7 | $18 | $23 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
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 | ' | ' | 1.3 | ' |
Allocated Share-based Compensation Expense | $20 | $29 | $74 | $91 |
Restricted Stock Units (RSUs) | ' | ' | ' | ' |
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 | ' | ' | 1.2 | ' |
Allocated Share-based Compensation Expense | ' | ' | 64 | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | ' | ' | '3 years | ' |
Stock Options | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | ' | ' | $14 | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | ' | ' | '3 years | ' |
Fair_Value_Measurements_Fair_V
Fair Value Measurements (Fair Value Of Assets And Liabilities) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Level 1 | ' | ' |
Liabilities: | ' | ' |
Foreign exchange derivative contracts, Fair Value | ' | $0 |
Interest agreement derivative contracts, Fair Value | ' | 0 |
Level 1 | Foreign exchange derivative contracts | ' | ' |
Assets: | ' | ' |
Foreign exchange derivative contracts, Fair value | ' | 0 |
Level 1 | Government, agency, and government-sponsored enterprise obligations | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 0 |
Level 1 | Corporate bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 0 |
Level 1 | Mutual funds | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 0 |
Level 1 | Common stock and equivalents | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 2 |
Level 2 | ' | ' |
Liabilities: | ' | ' |
Foreign exchange derivative contracts, Fair Value | 9 | 2 |
Interest agreement derivative contracts, Fair Value | 3 | 3 |
Level 2 | Foreign exchange derivative contracts | ' | ' |
Assets: | ' | ' |
Foreign exchange derivative contracts, Fair value | 5 | 4 |
Level 2 | Government, agency, and government-sponsored enterprise obligations | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | 15 | 15 |
Level 2 | Corporate bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | 7 | 7 |
Level 2 | Mutual funds | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | 11 | 11 |
Level 2 | Common stock and equivalents | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 0 |
Estimate of Fair Value, Fair Value Disclosure | ' | ' |
Liabilities: | ' | ' |
Foreign exchange derivative contracts, Fair Value | ' | 2 |
Interest agreement derivative contracts, Fair Value | ' | 3 |
Estimate of Fair Value, Fair Value Disclosure | Foreign exchange derivative contracts | ' | ' |
Assets: | ' | ' |
Foreign exchange derivative contracts, Fair value | ' | 4 |
Estimate of Fair Value, Fair Value Disclosure | Government, agency, and government-sponsored enterprise obligations | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 15 |
Estimate of Fair Value, Fair Value Disclosure | Corporate bonds | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 7 |
Estimate of Fair Value, Fair Value Disclosure | Mutual funds | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | 11 |
Estimate of Fair Value, Fair Value Disclosure | Common stock and equivalents | ' | ' |
Assets: | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | ' | $2 |
Fair_Value_Measurements_Narrat
Fair Value Measurements (Narrative) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
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 | $1,900,000,000 | $2,100,000,000 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, Fair Value Disclosure | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure | Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Long-term debt, Fair Value | $3,500,000,000 | ' |
Longterm_Customer_Financing_An2
Long-term Customer Financing And Sales Of Receivables (Long-Term Customer Financing) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Receivables [Abstract] | ' | ' |
Long-term receivables | $40 | $27 |
Less current portion | -19 | -26 |
Non-current long-term receivables, net | $21 | $1 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Receivables [Abstract] | ' | ' | ' | ' |
Accounts receivable sales proceeds | $6 | $4 | $39 | $6 |
Long-term receivables sales proceeds | 37 | 37 | 91 | 90 |
Total proceeds from receivable sales | $43 | $41 | $130 | $96 |
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. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Total Long-term Receivable | $40 | $27 |
Current Billed Due | 1 | 10 |
Past Due Under 90 Days | 1 | 2 |
Past Due Over 90 Days | 13 | 10 |
Municipal leases secured tax exempt | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total Long-term Receivable | 5 | 1 |
Current Billed Due | 0 | 0 |
Past Due Under 90 Days | 1 | 0 |
Past Due Over 90 Days | 0 | 0 |
Commercial loans and leases secured | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total Long-term Receivable | 35 | 26 |
Current Billed Due | 1 | 10 |
Past Due Under 90 Days | 0 | 2 |
Past Due Over 90 Days | $13 | $10 |
Longterm_Customer_Financing_An5
Long-term Customer Financing And Sales Of Receivables (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 27, 2014 | Dec. 31, 2013 |
loan | loan | ||
Receivables [Abstract] | ' | ' | ' |
Commitments to provide long-term financing | $128 | $128 | $50 |
Servicing obligations for long-term receivables | 473 | 473 | 434 |
Financing receivables past due over 90 days | 13 | 13 | 10 |
Impaired Financing Receivable, Interest Income, Accrual Method | $0 | $0 | ' |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing, Number of Loans | 2 | 2 | ' |
Commitments_And_Contingencies_
Commitments And Contingencies Narrative (Details) (USD $) | Sep. 27, 2014 |
In Millions, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Loss Contingency Accrual | $0 |
Segment_Information_Operating_
Segment Information (Operating Business Segment) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
segment | ||||
Number of Reportable Segments | ' | ' | 2 | ' |
Net sales from products | $921 | $998 | $2,561 | $2,897 |
Net sales from services | 515 | 519 | 1,497 | 1,513 |
Net Sales | 1,436 | 1,517 | 4,058 | 4,410 |
Business Segments Information | ' | ' | ' | ' |
Operating earnings | 207 | 246 | 452 | 622 |
Total other income (expense) | -56 | 5 | -115 | -48 |
Earnings before income taxes | 151 | 251 | 337 | 574 |
Products | ' | ' | ' | ' |
Business Segments Information | ' | ' | ' | ' |
Operating earnings | 141 | 171 | 276 | 402 |
Services | ' | ' | ' | ' |
Business Segments Information | ' | ' | ' | ' |
Operating earnings | $66 | $75 | $176 | $220 |
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. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Reorganization of business charges | $20 | $21 | $58 | $46 |
Products | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Reorganization of business charges | 13 | 14 | 38 | 30 |
Services | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Reorganization of business charges | $7 | $7 | $20 | $16 |
Reorganization_Of_Businesses_R
Reorganization Of Businesses (Reorganization Of Businesses Accruals) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 |
Restructuring Reserve [Roll Forward] | ' | ' |
1-Jan-14 | $109 | ' |
Additional Charges | 73 | ' |
Adjustments | -2 | -4 |
Amount Used | -116 | ' |
27-Sep-14 | 64 | ' |
Exit costs | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
1-Jan-14 | 6 | ' |
Additional Charges | 6 | ' |
Adjustments | 0 | ' |
Amount Used | -10 | ' |
27-Sep-14 | 2 | ' |
Facility Closing | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
Amount Used | -3 | ' |
Employee separation costs | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
1-Jan-14 | 103 | ' |
Additional Charges | 67 | 50 |
Adjustments | -2 | ' |
Amount Used | -106 | ' |
27-Sep-14 | $62 | ' |
Reorganization_Of_Businesses_N1
Reorganization Of Businesses (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 9 Months Ended | 9 Months Ended | ||||||||||||
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 31, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Jun. 28, 2014 | Dec. 31, 2013 | Sep. 27, 2014 | Dec. 31, 2013 | Sep. 27, 2014 |
Costs of sales | Costs of sales | Costs of sales | Costs of sales | Other Expense | Other Expense | Other Expense | Other Expense | Employee separation costs | Employee separation costs | Employee separation costs | Employee separation costs | Exit costs | Exit costs | Facility Closing | ||||||
employee | employee | |||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reorganization of business charges | $20 | $21 | $58 | $46 | ' | $7 | $5 | $10 | $10 | $13 | $16 | $48 | $36 | $54 | ' | ' | ' | $4 | ' | ' |
Restructuring reserve | 64 | ' | 64 | ' | 109 | ' | ' | ' | ' | ' | ' | ' | ' | 62 | ' | ' | 103 | 2 | 6 | ' |
Restructuring charges | ' | ' | 73 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 67 | 50 | ' | ' | 6 | ' | ' |
Restructuring charges settled with cash | ' | ' | 116 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 106 | ' | ' | ' | 10 | ' | 3 |
Payments for restructuring discontinued operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 37 | ' | ' | ' | ' | ' | ' |
Restructuring reversals no longer needed | ' | ' | ($2) | ($4) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($2) | ' | ' | ' | $0 | ' | ' |
Number of Employees Impacted By Reorganization of Business | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges in the period for total employee severance (in number of employees) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' | ' |
Number of employees expected to be paid (in number of employees) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 750 | ' | ' | ' | ' |
Intangible_Assets_And_Goodwill2
Intangible Assets And Goodwill (Intangible Assets) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | $77 | $53 |
Accumulated Amortization | 53 | 47 |
Completed technology | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 37 | 24 |
Accumulated Amortization | 27 | 24 |
Patents | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 8 | 8 |
Accumulated Amortization | 4 | 3 |
Customer-related | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 15 | 6 |
Accumulated Amortization | 8 | 6 |
Other intangibles | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 17 | 15 |
Accumulated Amortization | $14 | $14 |
Intangible_Assets_And_Goodwill3
Intangible Assets And Goodwill (Amortized Intangible Assets, Excluding Goodwill, By Business Segment) (Details) (USD $) | Sep. 27, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | $77 | $53 |
Accumulated Amortization | 53 | 47 |
Products | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 74 | 53 |
Accumulated Amortization | 53 | 47 |
Services | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 3 | 0 |
Accumulated Amortization | $0 | $0 |
Intangible_Assets_And_Goodwill4
Intangible Assets And Goodwill (Goodwill) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 27, 2014 | Dec. 31, 2013 |
Goodwill Activity | ' | ' |
Aggregate goodwill | $383 | $361 |
Accumulated impairment losses | 0 | 0 |
Goodwill, net of impairment losses | 383 | 361 |
Goodwill acquired | 22 | ' |
Products | ' | ' |
Goodwill Activity | ' | ' |
Aggregate goodwill | 264 | 249 |
Accumulated impairment losses | 0 | 0 |
Goodwill, net of impairment losses | 264 | 249 |
Goodwill acquired | 15 | ' |
Services | ' | ' |
Goodwill Activity | ' | ' |
Aggregate goodwill | 119 | 112 |
Accumulated impairment losses | 0 | 0 |
Goodwill, net of impairment losses | 119 | 112 |
Goodwill acquired | $7 | ' |
Intangible_Assets_And_Goodwill5
Intangible Assets And Goodwill (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 27, 2014 |
segment | Acquired Communications Software Provider | Acquired Communications Software Provider | |||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Number of operating segments | 2 | ' | ' | ' | ' | ' | ' |
Payments to acquire businesses, gross | ' | ' | ' | ' | ' | $48 | ' |
Goodwill | 383 | ' | 383 | ' | 361 | ' | 22 |
Identifiable intangible assets recognized | ' | ' | ' | ' | ' | ' | 20 |
Intangible Assets And Goodwill | ' | ' | ' | ' | ' | ' | ' |
Amortization expense on intangibles | 1 | 0 | 3 | 1 | ' | ' | ' |
Finite-Lived Intangible Assets, Future Amortization Expense | ' | ' | ' | ' | ' | ' | ' |
2014 | 4 | ' | 4 | ' | ' | ' | ' |
2015 | 4 | ' | 4 | ' | ' | ' | ' |
2016 | 4 | ' | 4 | ' | ' | ' | ' |
2017 | 3 | ' | 3 | ' | ' | ' | ' |
2018 | $3 | ' | $3 | ' | ' | ' | ' |