Document and Entity Information
Document and Entity Information - USD ($) shares in Millions, $ in Billions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 15, 2017 | Dec. 31, 2015 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Amendment Flag | false | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | NCR CORP | ||
Entity Central Index Key | 70,866 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 123 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Public Float | $ 3.4 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | |||
Product revenue | $ 2,737 | $ 2,711 | $ 2,892 |
Service revenue | 3,806 | 3,662 | 3,699 |
Total revenue | 6,543 | 6,373 | 6,591 |
Cost of products | 2,102 | 2,072 | 2,153 |
Cost of services | 2,659 | 2,832 | 2,706 |
Selling, general and administrative expenses | 926 | 1,042 | 1,012 |
Research and development expenses | 242 | 230 | 263 |
Restructuring-related charges | 15 | 62 | 104 |
Total operating expenses | 5,944 | 6,238 | 6,238 |
Income from operations | 599 | 135 | 353 |
Interest expense | (170) | (173) | (181) |
Other (expense), net | (50) | (57) | (35) |
Income (loss) from continuing operations before income taxes | 379 | (95) | 137 |
Income tax expense (benefit) | 92 | 55 | (48) |
Income (loss) from continuing operations | 287 | (150) | 185 |
Loss (income) from discontinued operations | (13) | (24) | 10 |
Net income (loss) | 274 | (174) | 195 |
Net income attributable to noncontrolling interests | 4 | 4 | 4 |
Net income (loss) attributable to NCR | 270 | (178) | 191 |
Amounts attributable to NCR common stockholders: | |||
Income (loss) from continuing operations | 283 | (154) | 181 |
Dividends on convertible preferred stock | (49) | (4) | 0 |
Income (loss) from continuing operations attributable to common stockholders | 234 | (158) | 181 |
Loss (income) from discontinued operations | (13) | (24) | 10 |
Net income (loss) attributable to NCR common stockholders | $ 221 | $ (182) | $ 191 |
Income (loss) per share attributable to NCR common stockholders: | |||
Basic (in dollars per share) | $ 1.86 | $ (0.94) | $ 1.08 |
Diluted (in dollars per share) | 1.80 | (0.94) | 1.06 |
Net income (loss) per common share | |||
Basic (in dollars per share) | 1.76 | (1.09) | 1.14 |
Total diluted earnings (loss) per share | $ 1.71 | $ (1.09) | $ 1.12 |
Weighted average common shares outstanding | |||
Basic (in shares) | 125.6 | 167.6 | 167.9 |
Diluted (continuing operations) | 157.4 | 167.6 | 171.2 |
Diluted (net income) | 129.2 | 167.6 | 171.2 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net income (loss) | $ 274 | $ (174) | $ 195 |
Currency translation adjustments | |||
Currency translation adjustments | (57) | (50) | (76) |
Derivatives | |||
Unrealized gain (loss) on derivatives | 19 | 10 | (1) |
(Gains) losses on derivatives arising during the period | (1) | (7) | 4 |
Less income tax expense | (4) | (1) | (1) |
Securities | |||
Gains on securities arising during the period | 0 | 0 | (4) |
Less income tax benefit | 0 | 0 | 1 |
Employee benefit plans | |||
New prior service benefit (cost) | 9 | (16) | |
Amortization of prior service benefit | (19) | (21) | (20) |
Net gain arising during the period | (1) | 43 | 8 |
Amortization of actuarial loss | (2) | 2 | 0 |
Less income tax (expense) benefit | 5 | (2) | 4 |
Other comprehensive loss | (60) | (17) | (101) |
Total comprehensive income (loss) | 214 | (191) | 94 |
Less comprehensive income attributable to noncontrolling interests: | |||
Net income | 4 | 4 | 4 |
Currency translation adjustments | (5) | (3) | (3) |
Amounts attributable to noncontrolling interests | (1) | 1 | 1 |
Comprehensive income (loss) attributable to NCR common stockholders | $ 215 | $ (192) | $ 93 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | ||
Cash and cash equivalents | $ 498 | $ 328 |
Accounts receivable, net | 1,282 | 1,251 |
Inventories | 699 | 643 |
Other current assets | 278 | 327 |
Total current assets | 2,757 | 2,549 |
Property, plant and equipment, net | 287 | 322 |
Goodwill | 2,727 | 2,733 |
Intangibles, net | 672 | 798 |
Prepaid pension cost | 94 | 130 |
Deferred income taxes | 575 | 582 |
Other assets | 561 | 521 |
Total assets | 7,673 | 7,635 |
Liabilities and stockholders’ equity | ||
Short-term borrowings | 50 | 13 |
Accounts payable | 781 | 657 |
Payroll and benefits liabilities | 234 | 189 |
Deferred service revenue and customer deposits | 468 | 476 |
Other current liabilities | 432 | 446 |
Total current liabilities | 1,965 | 1,781 |
Long-term debt | 3,001 | 3,239 |
Pension and indemnity plan liabilities | 739 | 696 |
Postretirement and postemployment benefits liabilities | 127 | 133 |
Income tax accruals | 142 | 167 |
Other liabilities | 138 | 79 |
Total liabilities | 6,112 | 6,095 |
Commitments and Contingencies (Note 10) | ||
Redeemable noncontrolling interest | 15 | 16 |
Series A convertible preferred stock: par value $0.01 per share, 3.0 shares authorized, 0.9 shares issued and outstanding as of December 31, 2016 and 0.8 shares issued and outstanding as of December 31, 2015; redemption amount and liquidation preference of $870 and $824 as of December 31, 2016 and December 31, 2015, respectively | 847 | 798 |
Stockholders’ equity | ||
Preferred stock: par value $0.01 per share, 100.0 shares authorized, no shares issued and outstanding as of December 31, 2016 and December 31, 2015 | 0 | 0 |
Common stock: par value $0.01 per share, 500.0 shares authorized, 124.6 and 133.0 shares issued and outstanding as of December 31, 2016 and December 31, 2015, respectively | 1 | 1 |
Paid-in capital | 32 | 0 |
Retained earnings | 867 | 869 |
Accumulated other comprehensive loss | (205) | (150) |
Total NCR stockholders’ equity | 695 | 720 |
Noncontrolling interests in subsidiaries | 4 | 6 |
Total stockholders’ equity | 699 | 726 |
Total liabilities and stockholders’ equity | $ 7,673 | $ 7,635 |
Consolidated Balance Sheets Par
Consolidated Balance Sheets Parenthetical - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Series A preferred shares, par value | $ 0.01 | $ 0.01 |
Series A preferred shares, shares authorized | 3,000,000 | 3,000,000 |
Temporary Equity, Aggregate Amount of Redemption Requirement | $ 870 | $ 824 |
Temporary Equity, Liquidation Preference | $ 870 | $ 824 |
Series A preferred shares, shares issued | 866,900 | 820,000 |
Series A preferred shares, shares outstanding | 866,900 | 820,000 |
Stockholders' Equity: | ||
Preferred Stock, par value | $ 0.01 | $ 0.01 |
Preferred Stock shares authorized | 100,000,000 | 100,000,000 |
Preferred Stock shares issued | 0 | 0 |
Preferred Stock shares outstanding | 0 | 0 |
Common Stock par value | $ 0.01 | $ 0.01 |
Common Stock shares authorized | 500,000,000 | 500,000,000 |
Common Stock shares issued | 124,600,000 | 133,000,000 |
Common Stock, Shares, Outstanding | 124,600,000 | 133,000,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating activities | |||
Net income (loss) | $ 274 | $ (174) | $ 195 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Loss (income) from discontinued operations | 13 | 24 | (10) |
Depreciation and amortization | 344 | 308 | 284 |
Stock-based compensation expense | 61 | 42 | 31 |
Deferred income taxes | 10 | 24 | (125) |
Gain on sale of property, plant and equipment and other assets | 0 | (2) | (5) |
Loss on divestiture | 2 | 0 | 0 |
Impairment of long-lived and other assets | 2 | 63 | 16 |
Changes in assets and liabilities: | |||
Receivables | (89) | 28 | (104) |
Inventories | (86) | (46) | 77 |
Current payables and accrued expenses | 216 | 8 | 70 |
Deferred service revenue and customer deposits | 88 | 19 | 1 |
Employee benefit plans | 33 | 384 | 105 |
Other assets and liabilities | 26 | 3 | (11) |
Net cash provided by operating activities | 894 | 681 | 524 |
Investing activities | |||
Expenditures for property, plant and equipment | (73) | (79) | (118) |
Proceeds from Sale of property, plant, and equipment | 0 | 19 | 1 |
Additions to capitalized software | (154) | (150) | (140) |
Business acquisitions, net | 0 | 0 | (1,647) |
Changes in restricted cash | 0 | 0 | 1,114 |
Proceeds from divestiture | 47 | 0 | 0 |
Other investing activities, net | (9) | 1 | 2 |
Net cash used in investing activities | (189) | (209) | (788) |
Financing activities | |||
Short term borrowings, net | (8) | 8 | 0 |
Payments on term credit facilities | (97) | (383) | (37) |
Borrowings on term credit facilities | 0 | 0 | 250 |
Payments on revolving credit facilities | (1,431) | (1,694) | (1,050) |
Borrowings on revolving credit facilities | 1,331 | 1,698 | 1,146 |
Debt issuance costs | (9) | 0 | (5) |
Series A convertible preferred stock issuance, net of issuance costs of $26 million | 0 | 794 | 0 |
Payments for tender offer share repurchase | 0 | (1,005) | 0 |
Repurchase of company common stock | (250) | 0 | 0 |
Tax withholding payments on behalf of employees | (16) | (16) | (28) |
Proceeds from employee stock plans | 15 | 15 | 13 |
Other financing activities | (2) | 0 | (5) |
Net cash (used in) provided by financing activities | (467) | (583) | 284 |
Cash flows from discontinued operations | |||
Net cash used in discontinued operations operating activities | (39) | (43) | (1) |
Effect of exchange rate changes on cash and cash equivalents | (29) | (29) | (36) |
Increase (decrease) in cash and cash equivalents | 170 | (183) | (17) |
Cash and cash equivalents at beginning of period | 328 | 511 | 528 |
Cash and cash equivalents at end of period | 498 | 328 | 511 |
Income Taxes Paid, Net | 66 | 60 | 75 |
Interest Paid, Net | $ 155 | $ 163 | $ 170 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Millions | Total | Total Stockholders Equity | Common Stock | Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Noncontrolling Interest [Member] |
Shares outstanding at beginning of period at Dec. 31, 2013 | 167,000,000 | ||||||
Balance at beginning of period at Dec. 31, 2013 | $ 1,783 | $ 2 | $ 433 | $ 1,372 | $ (38) | $ 14 | |
Comprehensive income (loss): | |||||||
Net income (loss) | 192 | 191 | 1 | ||||
Other comprehensive (loss) income | $ (101) | (99) | (98) | (1) | |||
Total comprehensive income (loss) | 93 | 191 | (98) | 0 | |||
Employee stock purchase and stock compensation plans | 9 | 9 | |||||
Employee stock purchase and stock compensation plans (in shares) | 2,000,000 | ||||||
Dividend distribution | 2 | 2 | |||||
Shares outstanding at end of period at Dec. 31, 2014 | 169,000,000 | ||||||
Balance at end of period at Dec. 31, 2014 | 1,883 | $ 2 | 442 | 1,563 | (136) | 12 | |
Comprehensive income (loss): | |||||||
Net income (loss) | (176) | (178) | 2 | ||||
Other comprehensive (loss) income | $ (17) | (16) | 0 | (14) | (2) | ||
Total comprehensive income (loss) | (192) | (178) | (14) | 0 | |||
Employee stock purchase and stock compensation plans | 50 | 50 | |||||
Employee stock purchase and stock compensation plans (in shares) | 1,000,000 | ||||||
Stock Repurchased During Period, Shares | (37,000,000) | ||||||
Stock Repurchased During Period, Value | 1,005 | $ (1) | (492) | (512) | |||
Dividends, Preferred Stock | 4 | 4 | |||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | (6) | 0 | (6) | ||||
Shares outstanding at end of period at Dec. 31, 2015 | 133,000,000 | 133,000,000 | |||||
Balance at end of period at Dec. 31, 2015 | $ 726 | 726 | $ 1 | 0 | 869 | (150) | 6 |
Comprehensive income (loss): | |||||||
Net income (loss) | 272 | 270 | 2 | ||||
Other comprehensive (loss) income | $ (60) | (57) | (55) | (2) | |||
Total comprehensive income (loss) | 215 | 270 | (55) | 0 | |||
Employee stock purchase and stock compensation plans | 59 | 59 | |||||
Employee stock purchase and stock compensation plans (in shares) | 2,000,000 | ||||||
Stock Repurchased During Period, Shares | (10,000,000) | ||||||
Stock Repurchased During Period, Value | (250) | $ 0 | (27) | (223) | |||
Dividends, Preferred Stock | 49 | 49 | |||||
Dividend distribution | 2 | 2 | |||||
Shares outstanding at end of period at Dec. 31, 2016 | 124,600,000 | 125,000,000 | |||||
Balance at end of period at Dec. 31, 2016 | $ 699 | $ 699 | $ 1 | $ 32 | $ 867 | $ (205) | $ 4 |
Description of Business and Sig
Description of Business and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Description of Business and Significant Accounting Policies [Abstract] | |
Business Description and Accounting Policies [Text Block] | 1. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Description of Business NCR is a leading global provider of omni-channel technology solutions that helps businesses connect, interact and transact with their customers. Our portfolio of self-service and assisted-service solutions are designed to allow businesses in the financial services, retail, hospitality, travel and telecommunications and technology industries to deliver a rich, integrated and personalized experience to consumers across physical and digital commerce channels. Our offerings include automated teller machines (ATMs), point of sale (POS) terminals and devices, self-service kiosks, omni-channel platform software and other software applications, and a complete suite of consulting, implementation, maintenance and managed services. We also resell third-party networking products and provide related service offerings in the telecommunications and technology sectors. Our solutions create value for our customers by allowing them to address consumer demand for convenience, value and individual service across different commerce channels. Our solutions are based on a foundation of long-established industry knowledge and consulting expertise, value-added software, and hardware technology and global customer support services. Segments Effective January 1, 2016, NCR began management of its business on a solution basis, changing from the previous model of management on a line of business basis, which resulted in a corresponding change to NCR's reportable segments. We have reclassified prior period segment disclosures to conform to the current period presentation. See Note 13, “Segment Information and Concentrations” for additional information. Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and revenue and expenses during the periods reported. Actual results could differ from those estimates. Out of Period Adjustments During the third quarter of 2014, the Company recorded $5 million in income tax expense related to an error in the calculation of foreign income taxable in the U.S. for 2013. The Company determined the impact of this error was not material to the previously filed annual or interim financial statements and the effect of correcting this error was not material to the 2014 annual or interim financial statements. Subsequent Events The Company evaluated subsequent events through the date that our Consolidated Financial Statements were issued. Except as described in Note 18, "Subsequent Events" with respect to the Company's Fox River environmental matter, no matters were identified that required adjustment of the Consolidated Financial Statements or additional disclosure. Basis of Consolidation The consolidated financial statements include the accounts of NCR and its majority-owned subsidiaries. Long-term investments in affiliated companies in which NCR owns between 20% and 50%, and therefore, exercises significant influence, but which it does not control, are accounted for using the equity method. Investments in which NCR does not exercise significant influence (generally, when NCR has an investment of less than 20% and no significant influence, such as representation on the investee’s board of directors) are accounted for using the cost method. All significant inter-company transactions and accounts have been eliminated. In addition, the Company is required to determine whether it is the primary beneficiary of economic income or losses that may be generated by variable interest entities in which the Company has such an interest. In circumstances where the Company determined it is the primary beneficiary, consolidation of that entity would be required. For the periods presented, no variable interest entities have been consolidated. Reclassifications Certain prior-period amounts have been reclassified in the accompanying Consolidated Financial Statements and Notes thereto in order to conform to the current period presentation. Revenue Recognition The Company records revenue, net of taxes, when it is realized, or realizable, and earned. The Company considers these criteria met when persuasive evidence of an arrangement exists, the products or services have been provided to the customer, the sales price is fixed or determinable, and collectability is reasonably assured. For product sales, delivery is deemed to have occurred when the customer has assumed risk of loss of the goods sold and all performance obligations are complete. For service sales, revenue is recognized as the services are provided or ratably over the service period, or, if applicable, after customer acceptance of the services. NCR frequently enters into multiple-element arrangements with its customers including hardware, software, professional consulting services, transaction services and maintenance support services. For arrangements involving multiple deliverables, when deliverables include software and non-software products and services, NCR evaluates and separates each deliverable to determine whether it represents a separate unit of accounting based on the following criteria: (a) whether the delivered item has value to the customer on a stand-alone basis; and (b) if the contract includes a general right of return relative to the delivered item, whether delivery or performance of the undelivered items is considered probable and substantially in the control of NCR. Consideration is allocated to each unit of accounting based on the units' relative selling prices. In such circumstances, the Company uses a hierarchy to determine the selling price to be used for allocating revenue to each deliverable: (i) vendor-specific objective evidence of selling price (VSOE); (ii) third-party evidence of selling price (TPE); and (iii) best estimate of selling price (BESP). VSOE generally exists only when the Company sells the deliverable separately and is the price actually charged by the Company for that deliverable. VSOE is established for our software maintenance and software-related professional services. We use TPE to establish selling prices for our installation and transaction services. The Company uses BESP to allocate revenue when we are unable to establish VSOE or TPE of selling price. BESP is used for hardware maintenance and elements such as products that are not consistently priced within a narrow range. The Company determines BESP for a deliverable by considering multiple factors including product class, geography, average discount, and management's historical pricing practices. Amounts allocated to the delivered hardware and software elements are recognized at the time of sale, provided the other conditions for revenue recognition have been met. Amounts allocated to the undelivered maintenance and other service elements are recognized as the services are provided or on a straight-line basis over the service period. In certain instances, customer acceptance is required prior to the passage of title and risk of loss of the delivered products. In such cases, revenue is not recognized until the customer acceptance is obtained. Delivery and acceptance generally occur in the same reporting period. In situations where NCR's solutions contain software that is more than incidental, revenue related to the software and software-related elements is recognized in accordance with authoritative guidance on software revenue recognition. For the software and software-related elements of such transactions, revenue is allocated based on the relative fair value of each element, and fair value is determined by VSOE. If the Company cannot objectively determine the fair value of any undelivered element included in such multiple-element arrangements, the Company defers revenue until all elements are delivered and services have been performed, or until fair value can objectively be determined for any remaining undelivered elements. When the fair value of a delivered element has not been established, but fair value evidence exists for the undelivered elements, the Company uses the residual method to recognize revenue. Under the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the delivered elements and is recognized as revenue. If an arrangement includes software and services that involve significant production, modification or customization of the software, the services cannot be separated from the software. The Company accounts for these arrangements as a long-term contract. For certain of NCR’s long-term contracts, the Company utilizes a percentage-of-completion accounting method, which requires estimates of future revenue and costs over the full term of product and/or service delivery. Estimated losses, if any, on long-term projects are recognized as soon as such losses become known. NCR's customers may request that delivery and passage of title and risk of loss occur on a bill and hold basis. For the years ended December 31, 2016 , 2015 , and 2014 , the revenue recognized from bill and hold transactions approximated less than 1% of total revenue. In addition to the standard product warranty, the Company periodically offers extended warranties to its customers in the form of product maintenance services. For contracts that are not separately priced but include product maintenance, the Company defers revenue at an amount based on the selling price, using objective and reliable evidence, and recognizes the deferred revenue over the service term. For separately priced product maintenance contracts, NCR defers the stated amount of the separately priced contract and recognizes the deferred revenue ratably over the service term. Warranty and Sales Returns Provisions for product warranties and sales returns and allowances are recorded in the period in which NCR becomes obligated to honor the related right, which generally is the period in which the related product revenue is recognized. The Company accrues warranty reserves based upon historical factors such as labor rates, average repair time, travel time, number of service calls per machine and cost of replacement parts. When a sale is consummated, a warranty reserve is recorded based upon the estimated cost to provide the service over the warranty period. The Company accrues sales returns and allowances using percentages of revenue to reflect the Company’s historical average of sales return claims. Research and Development Costs Research and development costs primarily include payroll and benefit-related costs, contractor fees, facilities costs, infrastructure costs, and administrative expenses directly related to research and development support and are expensed as incurred, except certain software development costs are capitalized after technological feasibility of the software is established. Advertising Advertising costs are recognized in selling, general and administrative expenses when incurred. Shipping and Handling Costs related to shipping and handling are included in cost of products in the Consolidated Statements of Operations. Stock Compensation Stock-based compensation represents the costs related to share-based awards granted to employees and non-employee directors. The Company’s outstanding stock-based compensation awards are classified as equity. The Company measures stock-based compensation cost at the grant date, based on the estimated fair value of the award and recognizes the cost over the requisite service period. See Note 8 "Stock Compensation Plans" for further information on NCR’s stock-based compensation plans. Income Taxes Income tax expense is provided based on income before income taxes. Deferred income taxes reflect the impact of temporary differences between assets and liabilities recognized for financial reporting purposes and such amounts recognized for tax purposes. These deferred taxes are determined based on the enacted tax rates expected to apply in the periods in which the deferred assets or liabilities are expected to be settled or realized. NCR records valuation allowances related to its deferred income tax assets when it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the consolidated financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being sustained upon examination by authorities. Interest and penalties related to uncertain tax positions are recognized as part of the provision for income taxes and are accrued beginning in the period that such interest and penalties would be applicable under relevant tax law and until such time that the related tax benefits are recognized. Earnings Per Share Basic earnings per share (EPS) is calculated by dividing net income, less any dividends, accretion or decretion, redemption or induced conversion on our Series A Convertible Preferred Stock, by the weighted average number of shares outstanding during the reported period. In computing diluted EPS, we adjust the numerator used in the basic EPS computation, subject to anti-dilution requirements, to add back the dividends (declared or cumulative undeclared) applicable to the Series A Convertible Preferred Stock. Such add-back would also include any adjustments to equity in the period to accrete the Series A Convertible Preferred Stock to its redemption price, or recorded upon a redemption or induced conversion. We adjust the denominator used in the basic EPS computation, subject to anti-dilution requirements, to include the dilution from potential shares resulting from the issuance of the Series A Convertible Preferred Stock, restricted stock units, and stock options. The Company includes the potential windfall or shortfall tax benefits as well as average unrecognized compensation expense as part of the assumed proceeds from restricted stock units and exercises of stock options. The Company uses the tax law ordering approach to determine the potential utilization of windfall benefits. The holders of Series A Convertible Preferred Stock and unvested restricted stock units do not have nonforfeitable rights to common stock dividends or common stock dividend equivalents. Accordingly, the Series A Convertible Preferred Stock and unvested restricted stock units do not qualify as participating securities. See Note 8, "Stock Compensation Plans" for share information on NCR’s stock compensation plans. The components of basic earnings (loss) per share are as follows: In millions, except per share amounts Twelve months ended December 31 2016 2015 2014 Income (loss) from continuing operations $ 283 $ (154 ) $ 181 Series A convertible preferred stock dividends (49 ) (4 ) — Numerator - from continuing operations 234 (158 ) 181 Loss (income) from discontinued operations, net of tax (13 ) (24 ) 10 Numerator - total $ 221 $ (182 ) $ 191 Denominator Basic weighted average number of shares outstanding 125.6 167.6 167.9 Basic earnings (loss) per share: From continuing operations $ 1.86 $ (0.94 ) $ 1.08 From discontinued operations (0.10 ) (0.15 ) 0.06 Total basic earnings (loss) per share $ 1.76 $ (1.09 ) $ 1.14 The components of diluted earnings (loss) per share are as follows: In millions, except per share amounts Twelve months ended December 31 2016 2015 2014 Income (loss) from continuing operations $ 283 $ (154 ) $ 181 Series A convertible preferred stock dividends — (4 ) — Numerator - from continuing operations 283 (158 ) 181 Income (loss) from continuing operations $ 283 $ (154 ) $ 181 Loss from discontinued operations, net of tax (13 ) (24 ) 10 Series A convertible preferred stock dividends (49 ) (4 ) — Numerator - total $ 221 $ (182 ) $ 191 Basic weighted average number of shares outstanding 125.6 167.6 167.9 Dilutive effect of as-if Series A Convertible Preferred Stock 28.2 — — Dilutive effect of employee stock options and restricted stock units 3.6 — 3.3 Denominator - from continuing operations 157.4 167.6 171.2 Basic weighted average number of shares outstanding 125.6 167.6 167.9 Dilutive effect of employee stock options and restricted stock units 3.6 — 3.3 Denominator - total 129.2 167.6 171.2 Diluted earnings (loss) per share: From continuing operations $ 1.80 $ (0.94 ) $ 1.06 From discontinued operations (0.10 ) (0.15 ) 0.06 Total diluted earnings (loss) per share $ 1.71 $ (1.09 ) $ 1.12 For 2016 diluted earnings (loss) per share from continuing operations, it is more dilutive to assume the Series A Convertible Preferred Stock is converted to common stock and therefore weighted average outstanding shares of common stock are adjusted by the as-if converted Series A Convertible Preferred Stock. For 2016 total diluted earnings (loss) per share, it is more dilutive to assume the Series A Convertible Preferred Stock is not converted to common stock and therefore weighted average outstanding shares of common stock are not adjusted by the as-if converted Series A Convertible Preferred Stock shown above because the effect would be anti-dilutive. Therefore, total diluted earnings (loss) per share less diluted earnings (loss) per share from continuing operations does not equal diluted earnings (loss) per share from discontinued operations. For 2016 , there were 0.4 million weighted anti-dilutive restricted stock units outstanding. For 2015 , it is more dilutive to assume the Series A Convertible Preferred Stock is not converted to common stock and therefore weighted average outstanding shares of common stock are not adjusted by the as-if converted Series A Convertible Preferred Stock because the effect would be anti-dilutive. If the as-if converted Series A Convertible Preferred Stock had been dilutive, approximately 2.0 million additional shares would have been included in the diluted weighted average number of shares outstanding for the year ended December 31, 2015 . For 2015 , due to the net loss attributable to NCR common stockholders, potential common shares that would cause dilution, such as the Series A Convertible Preferred Stock, restricted stock units and stock options, have been excluded from the diluted share count because their effect would have been anti-dilutive. For the year ended December 31, 2015, the fully diluted shares would have been 172.2 million shares. For 2014 there were no anti-dilutive awards. Cash and Cash Equivalents All short-term, highly liquid investments having original maturities of three months or less, including time deposits, are considered to be cash equivalents. Allowance for Doubtful Accounts NCR establishes provisions for doubtful accounts using percentages of accounts receivable balances to reflect historical average credit losses and specific provisions for known issues. Inventories Inventories are stated at the lower of cost or net realizable value, using the average cost method. Cost includes materials, labor and manufacturing overhead related to the purchase and production of inventories. Service parts are included in inventories and include reworkable and non-reworkable service parts. The Company regularly reviews inventory quantities on hand, future purchase commitments with suppliers and the estimated utility of inventory. If the review indicates a reduction in utility below carrying value, inventory is reduced to a new cost basis. Excess and obsolete write-offs are established based on forecasted usage, orders, technological obsolescence and inventory aging. Capitalized Software Certain direct development costs associated with internal-use software are capitalized within other assets and amortized over the estimated useful lives of the resulting software. NCR typically amortizes capitalized internal-use software on a straight-line basis over four to seven years beginning when the asset is substantially ready for use, as this is considered to approximate the usage pattern of the software. When it becomes probable that internal-use software being developed will not be completed or placed into service, the internal-use software is reported at the lower of the carrying amount or fair value. Costs incurred for the development of software that will be sold, leased or otherwise marketed are capitalized when technological feasibility has been established. These costs are included within other assets and are amortized on a sum-of-the-years' digits or straight-line basis over the estimated useful lives ranging from three to five years, using the method that most closely approximates the sales pattern of the software. Amortization begins when the product is available for general release. Costs capitalized include direct labor and related overhead costs. Costs incurred prior to technological feasibility or after general release are expensed as incurred. NCR performs periodic reviews to ensure that unamortized program costs remain recoverable from future revenue. If future revenue does not support the unamortized program costs, the amount by which the unamortized capitalized cost of a software product exceeds the net realizable value is written off. The following table identifies the activity relating to total capitalized software: In millions 2016 2015 2014 Beginning balance as of January 1 $ 311 $ 257 $ 193 Capitalization 154 150 140 Amortization (118 ) (80 ) (69 ) Impairment (2 ) (16 ) (7 ) Ending balance as of December 31 $ 345 $ 311 $ 257 Goodwill and Other Intangible Assets Goodwill represents the excess of purchase price over the fair value of the net tangible and identifiable intangible assets of businesses acquired. Goodwill is tested at the reporting unit level for impairment on an annual basis during the fourth quarter or more frequently if certain events occur indicating that the carrying value of goodwill may be impaired. A significant amount of judgment is involved in determining if an indicator of impairment has occurred. Such indicators may include a decline in expected cash flows, a significant adverse change in legal factors or in the business climate, a decision to sell a business, unanticipated competition, or slower growth rates, among others. In the evaluation of goodwill for impairment, we have the option to perform a qualitative assessment to determine whether further impairment testing is necessary or to perform a quantitative assessment by comparing the fair value of a reporting unit to its carrying amount, including goodwill. Under the qualitative assessment, an entity is not required to calculate the fair value of a reporting unit unless the entity determines that it is more likely than not that its fair value is less than its carrying amount. If under the quantitative assessment the fair value of a reporting unit is less than its carrying amount, then the amount of the impairment loss, if any, must be measured under step two of the impairment analysis. In step two of the analysis, we will record an impairment loss equal to the excess of the carrying value of the reporting unit’s goodwill over its implied fair value should such a circumstance arise. Fair values of the reporting units are estimated using a weighted methodology considering the output from both the income and market approaches. The income approach incorporates the use of discounted cash flow (DCF) analysis. A number of significant assumptions and estimates are involved in the application of the DCF model to forecast operating cash flows, including markets and market shares, sales volumes and prices, costs to produce, tax rates, capital spending, discount rate and working capital changes. Several of these assumptions vary among reporting units. The cash flow forecasts are generally based on approved strategic operating plans. The market approach is performed using the Guideline Public Companies (GPC) method which is based on earnings multiple data. We perform a reconciliation between our market capitalization and our estimate of the aggregate fair value of the reporting units, including consideration of a control premium. During the fourth quarter of each year presented, we performed our annual impairment assessment of goodwill which did not indicate that an impairment existed. As of December 31, 2015 , we determined that it was probable that we would dispose of our IPS business, which triggered an impairment assessment of the related assets which include long-lived assets and goodwill. Refer to Note 4, "Goodwill and Purchased Intangible Assets" for further discussion on the assessment. Effective January 1, 2016, NCR began management of its business on a solution basis, changing from the previous model of management on a line of business basis, which resulted in a corresponding change to NCR's reportable segments, as described above. Accordingly, we have reclassified prior period segment disclosures to conform to the current period presentation. In connection with the change in reportable segments, during the first quarter of 2016, the Company determined its reporting units and then assigned goodwill to the new reporting units based on the relative fair value allocation approach. Acquired intangible assets other than goodwill are amortized over their weighted average amortization period unless they are determined to be indefinite. Acquired intangible assets are carried at cost, less accumulated amortization. For intangible assets purchased in a business combination, the estimated fair values of the assets received are used to establish the carrying value. The fair value of acquired intangible assets is determined using common techniques, and the Company employs assumptions developed using the perspective of a market participant. Property, Plant and Equipment Property, plant and equipment and leasehold improvements are stated at cost less accumulated depreciation. Depreciation is computed over the estimated useful lives of the related assets primarily on a straight-line basis. Machinery and other equipment are depreciated over 3 to 20 years and buildings over 25 to 45 years. Leasehold improvements are depreciated over the life of the lease or the asset, whichever is shorter. Assets classified as held for sale are not depreciated. Upon retirement or disposition of property, plant and equipment, the related cost and accumulated depreciation or amortization are removed from the Company’s accounts, and a gain or loss is recorded. Depreciation expense related to property, plant and equipment was $90 million , $91 million , and $83 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. Valuation of Long-Lived Assets Long-lived assets such as property, plant and equipment and finite-lived intangible assets are reviewed for impairment when events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable or in the period in which the held for sale criteria are met. For assets held and used, this analysis consists of comparing the asset’s carrying value to the expected future cash flows to be generated from the asset on an undiscounted basis. If the carrying amount of the asset is determined not to be recoverable, a write-down to fair value is recorded. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as applicable. Long-lived assets are reviewed for impairment at the individual asset or the asset group level for which the lowest level of independent cash flows can be identified. Refer to Note 4, "Goodwill and Purchased Intangible Assets" for further discussion. Pension, Postretirement and Postemployment Benefits NCR has significant pension, postretirement and postemployment benefit costs, which are developed from actuarial valuations. Actuarial assumptions are established to anticipate future events and are used in calculating the expense and liabilities relating to these plans. These factors include assumptions the Company makes about interest rates, expected investment return on plan assets, rate of increase in healthcare costs, total and involuntary turnover rates, and rates of future compensation increases. In addition, NCR also uses subjective factors, such as withdrawal rates and mortality rates to develop the Company’s valuations. NCR generally reviews and updates these assumptions on an annual basis. NCR is required to consider current market conditions, including changes in interest rates, in making these assumptions. The actuarial assumptions that NCR uses may differ materially from actual results due to changing market and economic conditions, higher or lower withdrawal rates, or longer or shorter life spans of participants. These differences may result in a significant impact to the amount of pension, postretirement or postemployment benefits expense, and the related assets and liabilities, the Company has recorded or may record. Environmental and Legal Contingencies In the normal course of business, NCR is subject to various proceedings, lawsuits, claims and other matters, including, for example, those that relate to the environment and health and safety, labor and employment, employee benefits, import/export compliance, intellectual property, data privacy and security, product liability, commercial disputes and regulatory compliance, among others. Additionally, NCR is subject to diverse and complex laws, regulations, and standards including those relating to corporate governance, public disclosure and reporting, environmental safety and the discharge of materials into the environment, product safety, import and export compliance, data privacy and security, antitrust and competition, government contracting, anti-corruption, and labor and human resources, which are rapidly changing and subject to many possible changes in the future. Compliance with these laws and regulations, including changes in accounting standards, taxation requirements, and federal securities laws among others, may create a substantial burden on, and substantially increase the costs to NCR or could have an impact on NCR’s future operating results. NCR believes that the amounts provided in its Consolidated Financial Statements are adequate in light of the probable and estimable liabilities. However, there can be no assurances that the actual amounts required to satisfy alleged liabilities from various lawsuits, claims, legal proceedings and other matters, including the Fox River and Kalamazoo River environmental matters discussed in Note 10, "Commitments and Contingencies" and Note 18, "Subsequent Events," and to comply with applicable laws and regulations, will not exceed the amounts reflected in NCR’s Consolidated Financial Statements or will not have a material adverse effect on the Company’s consolidated results of operations, financial condition or cash flows. Any costs that may be incurred in excess of those amounts provided as of December 31, 2016 cannot currently be reasonably determined or are not currently considered probable. Legal fees and expenses related to loss contingencies are typically expensed as incurred, except for certain costs associated with NCR’s environmental remediation obligations. Costs and fees associated with litigating the extent and type of required remedial actions and the allocation of remediation costs among potentially responsible parties are typically included in the measurement of the environmental remediation liabilities. Leases The Company accounts for material escalation clauses, free or reduced rents and landlord incentives contained in operating type leases on a straight-line basis over the lease term, including any reasonably assured lease renewals. For leasehold improvements that are funded by the landlord, the Company records the incentive as deferred rent. The deferred rent is then amortized as reductions to lease expense over the lease term. For capital leases where NCR is the lessee, we record an amortizable debt and a related fixed asset in the Consolidated Balance Sheet. Foreign Currency For many NCR international operations, the local currency is designated as the functional currency. Accordingly, assets and liabilities are translated into U.S. Dollars at year-end exchange rates, and revenue and expenses are translated at average exchange rates prevailing during the year. |
Business Combinations and Dives
Business Combinations and Divestitures | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Acquisitions | 2. BUSINESS COMBINATIONS AND DIVESTITURES Interactive Printer Solutions (IPS) Divestiture As of December 31, 2015 , we determined that it was probable that we would dispose of our Interactive Printer Solutions (IPS) business, which triggered an impairment assessment of the related assets which include long-lived assets and goodwill. The assets related to the IPS business were valued using a market approach based on an independent third-party market price. The assessment resulted in charges to reduce the carrying values of goodwill and property, plant and equipment, net by $16 million and $18 million , respectively, for a total charge of $34 million recorded in other (expense), net in the Consolidated Statements of Operations for the year ended December 31, 2015 . The remaining assets and liabilities of $89 million and $39 million , respectively, were classified as held for sale and were included in other current assets and other current liabilities, respectively, in the Consolidated Balance Sheets as of December 31, 2015 . On May 27, 2016, NCR completed the sale of all but the Middle East and Africa (MEA) assets of the IPS business to Atlas Holdings LLC for cash consideration of $47 million . In connection with the sale, NCR agreed to provide Atlas Holdings with certain support services on a short-term basis following the closing under a transition services agreement. During the year ended December 31, 2016 , a loss on sale of $2 million was recorded to other (expense), net in the Consolidated Statement of Operations. The remaining assets and liabilities related to the MEA IPS business are held for use in the Consolidated Balance Sheet for the year ended December 31, 2016 . Digital Insight Acquisition On January 10, 2014, NCR completed its acquisition of Digital Insight Corporation (Digital Insight), for which it paid an aggregate purchase price of $1.65 billion , which includes $5 million that was withheld by the Company as a source of recovery for possible claims pursuant to the acquisition agreement and was paid to the sellers in the third quarter of 2014 pursuant to the terms of such agreement. The purchase price was paid from the net proceeds of the December 2013 offer and sale of NCR's 5.875% and 6.375% senior unsecured notes and borrowings under NCR's senior secured credit facility. As a result of the acquisition, Digital Insight became a wholly owned subsidiary of NCR. Digital Insight was a leading U.S. based provider of cloud-based customer-facing digital banking software to domestic financial institutions. The acquisition is consistent with NCR's continued transformation to a software-driven, hardware-enabled business. Digital Insight complements and extends our existing capabilities in the banking industry to form a complete enterprise software platform across both physical and digital channels - mobile, online, branch, and ATM. From the acquisition date of January 10, 2014 through December 31, 2014, Digital Insight contributed $349 million in revenue and $104 million in operating income. Recording of Assets Acquired and Liabilities Assumed The fair value of consideration transferred to acquire Digital Insight was allocated to the identifiable assets acquired and liabilities assumed based upon their estimated fair market values as of the date of the acquisition as set forth below. This allocation was final as of December 31, 2014. The allocation of the purchase price for Digital Insight was as follows: In millions Fair Value Tangible assets acquired $73 Acquired intangible assets other than goodwill 559 Acquired goodwill 1,243 Deferred tax liabilities (190) Liabilities assumed (37) Total purchase consideration $1,648 Goodwill represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. The goodwill arising from the acquisition consists of the revenue synergies expected from combining the operations of NCR and Digital Insight. It is expected that none of the goodwill recognized in connection with the acquisition will be deductible for tax purposes. Refer to Note 4, "Goodwill and Purchased Intangible Assets" for the carrying amounts of goodwill by segment. The intangible assets acquired in the acquisition include the following: Estimated Fair Value Weighted Average Amortization Period (1) (In millions) (In years) Direct customer relationships $ 336 18 Technology - Software 121 5 Customer contracts 89 8 Tradenames 13 7 Total acquired intangible assets $ 559 13 (1) Determination of the weighted average amortization period of the individual categories of intangible assets was based on the nature of the applicable intangible asset and the expected future cash flows to be derived from the intangible asset. Amortization of intangible assets with definite lives is recognized over the period of time the assets are expected to contribute to future cash flows. The Company incurred $8 million of transaction expenses relating to the acquisition which are included in selling, general and administrative expenses in the Company's Consolidated Statement of Operations for the year ended December 31, 2014 . Unaudited Pro forma Information The following unaudited pro forma information presents the consolidated results of NCR and Digital Insight for the year ended 2014 . The unaudited pro forma information is presented for illustrative purposes only. It is not necessarily indicative of the results of operations of future periods, or the results of operations that actually would have been realized had the entities been a single company during the periods presented or the results that the combined company will experience after the acquisition. The unaudited pro forma information does not give effect to the potential impact of current financial conditions, regulatory matters or any anticipated synergies, operating efficiencies or cost savings that may be associated with the acquisition. The unaudited pro forma information also does not include any integration costs or remaining future transaction costs that the companies may incur related to the acquisition as part of combining the operations of the companies. The unaudited pro forma financial information for the year ended 2014 combines the results of NCR for the year ended December 31, 2014 , which include the results of Digital Insight subsequent to January 10, 2014 (the acquisition date) and the historical results for Digital Insight for the 10 days preceding the acquisition date. The unaudited pro forma consolidated results of operations, assuming the acquisition had occurred on January 1, 2014 , are as follows: In millions For the year ended December 31, 2014 Revenue $ 6,599 Net income attributable to NCR $ 175 The unaudited pro forma results for the year ended December 31, 2014 include $8 million , net of tax, in eliminated transaction costs as if those costs had been recognized in the prior-year period. |
Restructuring Plan (Notes)
Restructuring Plan (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Activities Disclosure [Text Block] | 3. RESTRUCTURING PLAN In July 2014, we announced a restructuring plan to strategically reallocate resources so that we can focus on higher-growth, higher-margin opportunities in the software-driven omni-channel industry. The program is centered on ensuring that our people and processes are aligned with our continued transformation and includes: rationalizing our product portfolio to eliminate overlap and redundancy; taking steps to end-of-life older commodity product lines that are costly to maintain and provide low margins; moving lower productivity services positions to our new centers of excellence due to the positive impact of services innovation; and reducing layers of management and organizing around divisions to improve decision-making, accountability and strategic execution. As of December 31, 2016 , this plan is substantially complete. As a result of the restructuring plan, the Company recorded total charges of $19 million , $74 million and $161 million in the years ended December 31, 2016 , 2015 and 2014 respectively. The Company expects to achieve annualized run-rate savings of approximately $105 million as a result of this program. Charges related to the restructuring plan for the years ended December 31 were as follows: For the twelve months ended December 31 In millions 2016 2015 2014 Severance and other employee-related costs ASC 712 charges included in restructuring-related charges $ 4 $ 1 $ 73 ASC 420 charges included in restructuring-related charges — 19 13 Inventory-related charges Charges included in cost of products — 5 9 Charges included in cost of services 4 7 47 Asset-related charges External and internal use software impairment charges included in restructuring-related charges 2 16 7 Impairment of long-lived assets included in restructuring-related charges — 13 6 Other than temporary impairment of an investment included in other (expense), net — — 3 Other exit costs Other exit costs included in restructuring-related charges 9 13 5 Net income attributable to noncontrolling interests Charges included in net income attributable to noncontrolling interests — — (2 ) Total restructuring-related charges $ 19 $ 74 $ 161 In the year ended December 31, 2016 , asset-related charges include the write-off of certain capitalized software for projects that have been abandoned. In the year ended December 31, 2015 , asset-related charges include the write-off of certain capitalized software for projects that have been abandoned as well as an impairment of long-lived assets that are no longer considered strategic and were sold. In the year ended December 31, 2014 , asset-related charges include the write-off of certain internal and external use capitalized software for projects where the Company has redirected resources to higher growth opportunities and abandoned certain projects. Additionally, the charges include an other than temporary impairment for an investment that was no longer considered strategic. See Note 12, “Fair Value of Assets and Liabilities” for additional information. The results by segment, as disclosed in Note 13, "Segment Information and Concentrations," exclude the impact of these costs, which is consistent with the manner by which management assesses the performance and evaluates the results of each segment. The following table summarizes the costs recorded in accordance with ASC 420, Exit or Disposal Cost Obligations, and ASC 712, Employers’ Accounting for Postemployment Benefits, and the remaining liabilities as of December 31, 2016 and 2015 , which are included in the Consolidated Balance Sheet in other current liabilities. In millions 2016 2015 Employee Severance and Other Exit Costs Beginning balance as of January 1 $20 $60 Cost recognized during the period 15 38 Change in estimated payments (2) (5) Utilization (32) (71) Currency translation adjustments — (2) Ending balance as of December 31 $1 $20 |
Goodwill and Purchased Intangib
Goodwill and Purchased Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Purchased Intangible Assets | 4. GOODWILL AND PURCHASED INTANGIBLE ASSETS Goodwill The carrying amounts of goodwill by segment are included in the tables below. Foreign currency fluctuations are included within other adjustments . January 1, 2016 December 31, 2016 In millions Goodwill Accumulated Impairment Losses Total Additions Impairment Other Goodwill Accumulated Impairment Losses Total Software $ 1,936 $ (7 ) $ 1,929 $ 9 $ — $ (15 ) $ 1,930 $ (7 ) $ 1,923 Services 658 — 658 — — — 658 — 658 Hardware 162 (16 ) 146 — — — 162 (16 ) 146 Total goodwill $ 2,756 $ (23 ) $ 2,733 $ 9 $ — $ (15 ) $ 2,750 $ (23 ) $ 2,727 January 1, 2015 December 31, 2015 In millions Goodwill Accumulated Impairment Losses Total Additions Impairment Other Goodwill Accumulated Impairment Losses Total Software $ 1,947 $ (7 ) $ 1,940 $ 2 $ — $ (13 ) $ 1,936 $ (7 ) $ 1,929 Services 658 — 658 — — — 658 — 658 Hardware 162 — 162 — (16 ) — 162 (16 ) 146 Total goodwill $ 2,767 $ (7 ) $ 2,760 $ 2 $ (16 ) $ (13 ) $ 2,756 $ (23 ) $ 2,733 As of December 31, 2015 , we determined that it was probable that we would dispose of our IPS business, which triggered an impairment assessment of the related assets which include long-lived assets and goodwill. We evaluated the carrying value of these assets compared to the fair value based on a market approach using an independent third-party market price and determined the goodwill associated with the Hardware reporting unit was impaired. The impairment of $16 million was recorded within other (expense), net in the Consolidated Statements of Operations for the year ended December 31, 2015 . Refer to Note 2, "Business Combinations and Divestitures" for further discussion. Purchased Intangible Assets NCR’s purchased intangible assets were specifically identified when acquired, and are deemed to have finite lives. These assets are reported in intangibles, net in the Consolidated Balance Sheets. The gross carrying amount and accumulated amortization for NCR’s identifiable intangible assets were as set forth in the table below: Amortization Period (in Years) December 31, 2016 December 31, 2015 In millions Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Identifiable intangible assets Reseller & customer relationships 1 - 20 $ 656 $ (128 ) $ 659 $ (92 ) Intellectual property 2 - 8 392 (302 ) 392 (244 ) Customer contracts 8 89 (66 ) 89 (46 ) Tradenames 2 - 10 73 (42 ) 73 (33 ) Total identifiable intangible assets $ 1,210 $ (538 ) $ 1,213 $ (415 ) The aggregate amortization expense (actual and estimated) for identifiable intangible assets for the following periods is: For the year ended December 31, 2016 For the years ended December 31 (estimated) In millions 2017 2018 2019 2020 2021 Amortization expense $ 123 $ 116 $ 85 $ 75 $ 57 $ 49 |
Series A Preferred Stock (Notes
Series A Preferred Stock (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
Series A Preferred Stock [Abstract] | |
Preferred Stock [Text Block] | 5. SERIES A PREFERRED STOCK On December 4, 2015, NCR issued 820,000 shares of Series A Convertible Preferred Stock to certain entities affiliated with Blackstone Capital Partners VI L.P. and Blackstone Tactical Opportunities L.L.C. (collectively, Blackstone) for an aggregate purchase price of $820 million , or $1,000 per share, pursuant to an Investment Agreement between the Company and Blackstone, dated November 11, 2015. In connection with the issuance of the Series A Convertible Preferred Stock, the Company incurred direct and incremental expenses of $26 million , including financial advisory fees, closing costs, legal expenses and other offering-related expenses. These direct and incremental expenses originally reduced the Series A Convertible Preferred Stock, and will be accreted through retained earnings as a deemed dividend from the date of issuance through the first possible known redemption date, March 16, 2024. As of December 31, 2016 and 2015 , the Company had accrued dividends of $3 million and $4 million , respectively, associated with the Series A Convertible Preferred Stock. There were no cash dividends declared in the years ended December 31, 2016 and 2015 . Dividend Rights The Series A Convertible Preferred Stock ranks senior to the shares of the Company’s common stock, with respect to dividend rights and rights on the distribution of assets on any voluntary or involuntary liquidation, dissolution or winding up of the affairs of the Company. The Series A Convertible Preferred Stock has a liquidation preference of $1,000 per share. Holders of Series A Convertible Preferred Stock are entitled to a cumulative dividend at the rate of 5.5% per annum, payable quarterly in arrears. If the Company does not declare and pay a dividend, the dividend rate will increase to 8.0% per annum until all accrued but unpaid dividends have been paid in full. Dividends are paid in-kind, through the issuance of additional shares of Series A Convertible Preferred Stock, for the first sixteen dividend payment dates, after which dividends will be payable in cash or in-kind at the option of the Company. Conversion Features The Series A Convertible Preferred Stock is convertible at the option of the holders at any time into shares of common stock at a conversion price of $30.00 per share and a conversion rate of 33.33 shares of common stock per share of Series A Convertible Preferred Stock. As of December 31, 2016 and 2015 , the maximum number of common shares that could be required to be issued if converted is 29.0 million and 27.4 million shares, respectively. The conversion rate is subject to the following customary anti-dilution and other adjustments: • the issuance of common stock as a dividend or the subdivision, combination, or reclassification of common stock into a greater or lesser number of shares of common stock; • the dividend, distribution or other issuance of rights, options or warrants to holders of Common Stock entitling them to subscribe for or purchase shares of common stock at a price per share that is less than the volume-weighted average price per share of common stock; • the completion of a tender offer or exchange offer of shares of common stock at a premium to the volume-weighted average price per share of common stock and certain other above-market purchases of common stock; • the issuance of a dividend or similar distribution in-kind, which can include shares of any class of capital stock, evidences of the Company's indebtedness, assets or other property or securities, to holders of common stock; • a transaction in which a subsidiary of the Company ceases to be a subsidiary of the Company as a result of the distribution of the equity interests of the subsidiary to the holders of the Company’s common stock; and • the payment of a cash dividend to the holders of common stock. At any time after December 4, 2018, all outstanding shares of Series A Convertible Preferred Stock are convertible at the option of the Company if the volume-weighted average price of the common stock exceeds $54.00 for at least 30 trading days in any period of 45 consecutive trading days. The $54.00 may be adjusted pursuant to the anti-dilution provisions above. The Series A Convertible Preferred Stock, and the associated dividends for the first sixteen payments, did not generate a beneficial conversion feature (BCF) upon issuance as the fair value of the Company's common stock was greater than the conversion price. The Company will determine and, if required, measure a BCF based on the fair value of our stock price on the date dividends are declared subsequent to the sixteenth dividend. If a BCF is recognized, a reduction to retained earnings and the Series A Convertible Preferred Stock will be recorded, and then subsequently accreted through the first redemption date. Additionally, the Company determined that the nature of the Series A Convertible Preferred Stock was more akin to an equity instrument and that the economic characteristics and risks of the embedded conversion options were clearly and closely related to the Series A Convertible Preferred Stock. As such, the conversion options were not required to be bifurcated from the host under ASC 815, Derivatives and Hedging. Redemption Rights On any date during the three months commencing on and immediately following March 16, 2024 and the three months commencing on and immediately following every third anniversary of March 16, 2024, holders of Series A Convertible Preferred Stock have the right to require the Company to repurchase all or any portion of the Series A Convertible Preferred Stock at 100% of the liquidation preference thereof plus all accrued but unpaid dividends. Upon certain change of control events involving the Company, holders of Series A Convertible Preferred Stock can require the Company to repurchase, subject to certain exceptions, all or any portion of the Series A Convertible Preferred Stock at the greater of (1) an amount in cash equal to 100% of the liquidation preference thereof plus all accrued but unpaid dividends and (2) the consideration the holders would have received if they had converted their shares of Series A Preferred Convertible Stock into common stock immediately prior to the change of control event. The Company has the right, upon certain change of control events involving the Company, to redeem the Series A Convertible Preferred Stock at the greater of (1) an amount in cash equal to the sum of the liquidation preference of the Series A Convertible Preferred Stock, all accrued but unpaid dividends and the present value, discounted at a rate of 10%, of any remaining scheduled dividends through the fifth anniversary of the first dividend payment date, assuming the Company chose to pay such dividends in cash (the "make-whole provision") and (2) the consideration the holders would have received if they had converted their shares of Series A Convertible Preferred Stock into common stock immediately prior to the change of control event. Since the redemption of the Series A Convertible Preferred Stock is contingently or optionally redeemable and therefore not certain to occur, the Series A Convertible Preferred Stock is not required to be classified as a liability under ASC 480, Distinguishing Liabilities from Equity . As the Series A Convertible Preferred Stock is redeemable in certain circumstances at the option of the holder and is redeemable in certain circumstances upon the occurrence of an event that is not solely within our control, we have classified the Series A Convertible Preferred Stock in mezzanine equity on the Consolidated Balance Sheets. As noted above, the Company determined that the nature of the Series A Convertible Preferred Stock was more akin to an equity instrument. However, the Company determined that the economic characteristics and risks of the embedded put options, call option and make-whole provision were not clearly and closely related to the Series A Convertible Preferred Stock. Therefore, the Company assessed the put and call options further, and determined they did not meet the definition of a derivative under ASC 815, Derivatives and Hedging. Under the same analysis, the Company determined the make-whole provision did meet the definition of a derivative, but that the value of the derivative was minimal due to the expectations surrounding the scenarios under which the call option and make-whole provision would be exercised. Voting Rights Holders of Series A Convertible Preferred Stock are entitled to vote with the holders of the common stock on an as-converted basis. Holders of Series A Convertible Preferred Stock are entitled to a separate class vote with respect to certain designees for election to the Company's Board of Directors, amendments to the Company’s organizational documents that have an adverse effect on the Series A Convertible Preferred Stock and issuances by the Company of securities that are senior to, or equal in priority with, the Series A Convertible Preferred Stock. Registration Rights Holders of Series A Convertible Preferred Stock have certain customary registration rights with respect to the Series A Convertible Preferred Stock and the shares of common stock into which they are converted, pursuant to the terms of a registration rights agreement. |
Debt Obligations
Debt Obligations | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt Obligations | 6. DEBT OBLIGATIONS The following table summarizes the Company's short-term borrowings and long-term debt: December 31, 2016 December 31, 2015 In millions, except percentages Amount Weighted-Average Interest Rate Amount Weighted-Average Interest Rate Short-Term Borrowings Current portion of Senior Secured Credit Facility (1) $ 45 2.88% $ — Trade Receivables Securitization Facility — — Other (2) 5 7.41% 13 6.34% Total short-term borrowings $ 50 $ 13 Long-Term Debt Senior Secured Credit Facility: Term loan facility (1) $ 821 2.88% $ 956 2.95% Revolving credit facility (1) — 100 2.61% Senior notes: 5.00% Senior Notes due 2022 600 600 4.625% Senior Notes due 2021 500 500 5.875% Senior Notes due 2021 400 400 6.375% Senior Notes due 2023 700 700 Deferred Financing Fees (29 ) (34 ) Other (2) 9 6.64% 17 7.16% Total long-term debt $ 3,001 $ 3,239 (1) Interest rates are weighted average interest rates as of December 31, 2016 and 2015 . The Senior Secured Credit Facility incorporated the impact of the interest rate swap agreement prior to its expiration in August 2016. Refer to Note 11 "Derivatives and Hedging Instruments" for additional discussion. (2) Interest rates are weighted average interest rates as of December 31, 2016 and 2015 primarily related to various international credit facilities and a note payable in the U.S. Senior Secured Credit Facility On March 31, 2016, the Company amended and restated its senior secured credit facility with and among certain foreign subsidiaries of NCR (the Foreign Borrowers), the lenders party thereto and JPMorgan Chase Bank, NA (JPMCB) as the administrative agent, and refinanced its term loan facility and revolving credit facility thereunder (the Senior Secured Credit Facility). As of December 31, 2016 , the Senior Secured Credit Facility consisted of a term loan facility with an aggregate principal amount outstanding of $866 million and a revolving credit facility with an aggregate principal amount of $1,100 million , of which zero was outstanding. The revolving credit facility also allows a portion of the availability to be used for outstanding letters of credit, and as of December 31, 2016 , there were no letters of credit outstanding. Up to $400 million of the revolving credit facility is available to the Foreign Borrowers. Term loans were made to the Company in U.S. Dollars, and loans under the revolving credit facility are available in U.S. Dollars, Euros and Pound Sterling. The outstanding principal balance of the term loan facility is required to be repaid in equal quarterly installments of approximately $11 million beginning June 30, 2016, $17 million beginning June 30, 2018, and $23 million beginning June 30, 2019, with the balance being due at maturity on March 31, 2021. Borrowings under the revolving portion of the credit facility are due March 31, 2021. Amounts outstanding under the Senior Secured Credit Facility bear interest at LIBOR (or, in the case of amounts denominated in Euros, EURIBOR), or, at NCR’s option, in the case of amounts denominated in U.S. Dollars, at a base rate equal to the highest of (a) the federal funds rate plus 0.50% , (b) JPMCB’s “prime rate” and (c) the one-month LIBOR rate plus 1.00% (the Base Rate), plus, in each case, a margin ranging from 1.25% to 2.25% for LIBOR-based loans that are either term loans or revolving loans and EURIBOR-based revolving loans and ranging from 0.25% to 1.25% for Base Rate-based loans that are either term loans or revolving loans, in each case, depending on the Company’s consolidated leverage ratio. The terms of the Senior Secured Credit Facility also require certain other fees and payments to be made by the Company, including a commitment fee on the undrawn portion of the revolving credit facility. The obligations of the Company and Foreign Borrowers under the Senior Secured Credit Facility are guaranteed by certain of the Company's wholly-owned domestic subsidiaries. The Senior Secured Credit Facility and these guarantees are secured by a first priority lien and security interest in certain equity interests owned by the Company and the guarantor subsidiaries in certain of their respective domestic and foreign subsidiaries, and a perfected first priority lien and security interest in substantially all of the Company's U.S. assets and the assets of the guarantor subsidiaries, subject to certain exclusions. These security interests would be released if the Company achieves an “investment grade” rating, and will remain released so long as the Company maintains that rating. The Senior Secured Credit Facility includes affirmative and negative covenants that restrict or limit the ability of the Company and its subsidiaries to, among other things, incur indebtedness; create liens on assets; engage in certain fundamental corporate changes or changes to the Company's business activities; make investments; sell or otherwise dispose of assets; engage in sale-leaseback or hedging transactions; repurchase stock, pay dividends or make similar distributions; repay other indebtedness; engage in certain affiliate transactions; or enter into agreements that restrict the Company's ability to create liens, pay dividends or make loan repayments. The Senior Secured Credit Facility also includes financial covenants that require the Company to maintain: • a consolidated leverage ratio on the last day of any fiscal quarter, not to exceed (i) in the case of any fiscal quarter ending on or prior to December 31, 2017, (a) the sum of 4.25 and an amount (not to exceed 0.50 ) to reflect debt used to reduce NCR’s unfunded pension liabilities to (b) 1.00 , (ii) in the case of any fiscal quarter ending after December 31, 2017 and on or prior to December 31, 2019, (a) the sum of 4.00 and an amount (not to exceed 0.50 ) to reflect debt used to reduce NCR’s unfunded pension liabilities to (b) 1.00 , and (iii) in the case of any fiscal quarter ending after December 31, 2019, the sum of (a) 3.75 and an amount (not to exceed 0.50 ) to reflect debt used to reduce NCR’s unfunded pension liabilities to (b) 1.00 ; and • an interest coverage ratio on the last day of any fiscal quarter greater than or equal to 3.50 to 1.00 . At December 31, 2016 , the maximum consolidated leverage ratio under the Senior Secured Credit Facility was 4.35 to 1.00. The Senior Secured Credit Facility also includes provisions for events of default, which are customary for similar financings. Upon the occurrence of an event of default, the lenders may, among other things, terminate the loan commitments, accelerate all loans and require cash collateral deposits in respect of outstanding letters of credit. If the Company is unable to pay or repay the amounts due, the lenders could, among other things, proceed against the collateral granted to them to secure such indebtedness. The Company may request, at any time and from time to time, but the lenders are not obligated to fund, the establishment of one or more incremental term loans and/or revolving credit facilities (subject to the agreement of existing lenders or additional financial institutions to provide such term loans and/or revolving credit facilities) with commitments in an aggregate amount not to exceed the greater of (i) $150 million , and (ii) such amount as would not (a) prior to the date that the Company obtains an investment grade rating cause the leverage ratio under the Senior Secured Credit Facility, calculated on a pro forma basis including the incremental facility and assuming that it and the revolver are fully drawn, to exceed 2.50 to 1.00, and (b) on and after the date that the Company obtains an "investment grade" rating cause the leverage ratio under the Senior Secured Credit Facility, calculated on a pro forma basis including the incremental facility and assuming that it and the revolver are fully drawn, to exceed a ratio that is 0.50 less than the leverage ratio then applicable under the financial covenants of the Senior Secured Credit Facility, the proceeds of which can be used for working capital requirements and other general corporate purposes. Senior Unsecured Notes On September 17, 2012, the Company issued $600 million aggregate principal amount of 5.00% senior unsecured notes due in 2022 (the 5.00% Notes). The 5.00% Notes were sold at 100% of the principal amount and will mature on July 15, 2022. On December 18, 2012, the Company issued $500 million aggregate principal amount of 4.625% senior unsecured notes due in 2021 (the 4.625% Notes). The 4.625% Notes were sold at 100% of the principal amount and will mature on February 15, 2021. On December 19, 2013, the Company issued $400 million aggregate principal amount of 5.875% senior unsecured notes due in 2021 (the 5.875% Notes) and $700 million aggregate principal amount of 6.375% senior unsecured notes due in 2023 (the 6.375% Notes), the proceeds of which were used solely for the acquisition of Digital Insight. The 5.875% Notes were sold at 100% of the principal amount and will mature on December 15, 2021 and the 6.375% Notes were sold at 100% of the principal amount and will mature on December 15, 2023. The senior unsecured notes are guaranteed, fully and unconditionally, on an unsecured senior basis, by our 100% owned subsidiary, NCR International, Inc. The Company has the option to redeem the 5.00% Notes, in whole or in part, at any time on or after July 15, 2017, at a redemption price of 102.5% , 101.667% , 100.833% and 100% during the 12-month periods commencing on July 15, 2017, 2018, 2019 and 2020 and thereafter, respectively, plus accrued and unpaid interest to the redemption date. Prior to July 15, 2017, the Company may redeem the 5.00% Notes, in whole or in part, at a redemption price equal to 100% of the principal amount plus a make-whole premium and accrued and unpaid interest to the redemption date. The Company has the option to redeem the 4.625% Notes, in whole or in part, at any time on or after February 15, 2017, at a redemption price of 102.313% , 101.156% and 100% during the 12-month periods commencing on February 15, 2017, 2018 and 2019 and thereafter, respectively, plus accrued and unpaid interest to the redemption date. Prior to February 15, 2017, the Company may redeem the 4.625% Notes, in whole or in part, at a redemption price equal to 100% of the principal amount plus a make-whole premium and accrued and unpaid interest to the redemption date. The Company has the option to redeem the 5.875% Notes, in whole or in part, at any time on or after December 15, 2017, at a redemption price of 102.938% , 101.469% and 100% during the 12-month periods commencing on December 15, 2017, 2018 and 2019 and thereafter, respectively, plus accrued and unpaid interest to the redemption date. Prior to December 15, 2017, the Company may redeem the 5.875% Notes, in whole or in part, at a redemption price equal to 100% of the principal amount plus a make-whole premium and accrued and unpaid interest to the redemption date. The Company has the option to redeem the 6.375% Notes, in whole or in part, at any time on or after December 15, 2018, at a redemption price of 103.188% , 102.125% , 101.063% and 100% during the 12-month periods commencing on December 15, 2018, 2019, 2020 and 2021 and thereafter, respectively, plus accrued and unpaid interest to the redemption date. Prior to December 15, 2018, the Company may redeem the 6.375% Notes, in whole or in part, at a redemption price equal to 100% of the principal amount plus a make-whole premium and accrued and unpaid interest to the redemption date. . The terms of the indentures for these notes limit the ability of the Company and certain of its subsidiaries to, among other things, incur additional debt or issue redeemable preferred stock; pay dividends or make certain other restricted payments or investments; incur liens; sell assets; incur restrictions on the ability of the Company's subsidiaries to pay dividends to the Company; enter into affiliate transactions; engage in sale and leaseback transactions; and consolidate, merge, sell or otherwise dispose of all or substantially all of the Company's or such subsidiaries' assets. These covenants are subject to significant exceptions and qualifications. For example, if these notes are assigned an "investment grade" rating by Moody's or S&P and no default has occurred or is continuing, certain covenants will be terminated. Trade Receivables Securitization Facility In November 2014, the Company established a revolving trade receivables securitization facility (the A/R Facility) with PNC Bank, National Association (PNC) as the administrative agent, and various lenders. In November 2016, the Company amended the A/R Facility to extend the maturity date to November 2018. The A/R Facility provides for up to $200 million in funding based on the availability of eligible receivables and other customary factors and conditions. Under the A/R Facility, NCR sells and/or contributes certain of its U.S. trade receivables to a wholly-owned, bankruptcy-remote subsidiary as they are originated, and advances by the lenders to that subsidiary are secured by those trade receivables. The assets of this financing subsidiary are restricted as collateral for the payment of its obligations under the A/R Facility, and its assets and credit are not available to satisfy the debts and obligations owed to the creditors of the Company. The Company includes the assets, liabilities and results of operations of this financing subsidiary in its consolidated financial statements. The financing subsidiary owned $426 million and $368 million of outstanding accounts receivable as of December 31, 2016 and 2015 , respectively, and these amounts are included in accounts receivable, net in the Company’s Consolidated Balance Sheets. The financing subsidiary will pay annual commitment and other customary fees to the lenders, and advances by a lender under the A/R Facility will accrue interest (i) at a reserve-adjusted LIBOR rate or a base rate equal to the highest of (a) the applicable lender’s prime rate or (b) the federal funds rate plus 0.50% , if the lender is funding as a committed lender under the terms of the A/R Facility, or (ii) based on commercial paper interests rates if the lender is funding as a commercial paper conduit lender. Advances may be prepaid at any time without premium or penalty. The A/R Facility contains various customary affirmative and negative covenants and default and termination provisions which provide for the acceleration of the advances under the A/R Facility in circumstances including, but not limited to, failure to pay interest or principal when due, breach of representation, warranty or covenant, certain insolvency events or failure to maintain the security interest in the trade receivables, and defaults under other material indebtedness. Debt Maturities Maturities of long-term debt outstanding, in principal amounts, at December 31, 2016 are summarized below: For the years ended December 31 In millions Total 2017 2018 2019 2020 2021 Thereafter Debt maturities $ 3,080 $ 50 $ 63 $ 85 $ 95 $ 1,485 $ 1,302 Fair Value of Debt The Company utilized Level 2 inputs, as defined in the fair value hierarchy, to measure the fair value of the long-term debt, which, as of December 31, 2016 and 2015 was $3.16 billion and $3.21 billion , respectively. Management's fair value estimates were based on quoted prices for recent trades of NCR’s long-term debt, quoted prices for similar instruments, and inquiries with certain investment communities. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 7. INCOME TAXES For the years ended December 31 , income (loss) from continuing operations before income taxes consisted of the following: In millions 2016 2015 2014 Income (loss) before income taxes United States $ 35 $ (24 ) $ (235 ) Foreign 344 (71 ) 372 Total income (loss) from continuing operations before income taxes $ 379 $ (95 ) $ 137 For the years ended December 31 , income tax expense (benefit) consisted of the following: In millions 2016 2015 2014 Income tax expense (benefit) Current Federal $ 18 $ (7 ) $ (4 ) State 4 1 2 Foreign 60 37 79 Deferred Federal 12 23 (88 ) State 1 (6 ) (7 ) Foreign (3 ) 7 (30 ) Total income tax expense (benefit) $ 92 $ 55 $ (48 ) The following table presents the principal components of the difference between the effective tax rate and the U.S. federal statutory income tax rate for the years ended December 31 : In millions 2016 2015 2014 Income tax expense (benefit) at the U.S. federal tax rate of 35% $ 133 $ (33 ) $ 48 Foreign income tax differential (26 ) 33 (72 ) U.S. permanent book/tax differences — (5 ) (2 ) Tax audit settlements — (10 ) (15 ) Change in liability for unrecognized tax benefits (12 ) (7 ) — Nondeductible transaction costs — (1 ) 1 Goodwill impairment — 5 — U.S. valuation allowance — (3 ) (8 ) U.S. manufacturing deduction (7 ) — — Settlement of UK London pension plan — 77 — Other, net 4 (1 ) — Total income tax expense (benefit) $ 92 $ 55 $ (48 ) NCR's tax provisions include a provision for income taxes in certain tax jurisdictions where its subsidiaries are profitable, but reflect only a portion of the tax benefits related to certain foreign subsidiaries' tax losses due to the uncertainty of the ultimate realization of future benefits from these losses. During 2016 , the tax rate was impacted by a less favorable mix of earnings, primarily driven by actuarial pension losses in foreign jurisdictions with valuation allowance against deferred tax assets. During 2015 , there was no tax benefit recorded on the $427 million charge related to the settlement of the UK London pension plan due to a valuation allowance against deferred tax assets in the United Kingdom. Refer to Note 9, “Employee Benefit Plans” for additional discussion on the settlement of the UK London pension plan. Additionally, we favorably settled examinations with Canada for tax years 2002 through 2006 that resulted in a tax benefit of $10 million . During 2014 , we favorably settled examinations with the IRS for the 2009 and 2010 tax years that resulted in a tax benefit of $13 million . In addition, the 2014 tax rate was favorably impacted by a $9 million reduction in the U.S. valuation allowance and a favorable mix of earnings by country, primarily driven by actuarial pension losses due to a change in the U.S. mortality table. We regularly review our deferred tax assets for recoverability and establish a valuation allowance if it is more likely than not that some portion or all of a deferred tax asset will not be realized. The determination as to whether a deferred tax asset will be realized is made on a jurisdictional basis and is based on the evaluation of positive and negative evidence. This evidence includes historical taxable income/loss, projected future taxable income, the expected timing of the reversal of existing temporary differences and the implementation of tax planning strategies. Given current earnings and anticipated future earnings at certain subsidiaries, the Company believes that there is a reasonable possibility sufficient positive evidence may become available that would allow the release of a valuation allowance within the next twelve months. Deferred income tax assets and liabilities included in the Consolidated Balance Sheets as of December 31 were as follows: In millions 2016 2015 Deferred income tax assets Employee pensions and other benefits $ 301 $ 276 Other balance sheet reserves and allowances 237 164 Tax loss and credit carryforwards 602 628 Capitalized research and development 99 97 Property, plant and equipment 8 12 Other 38 37 Total deferred income tax assets 1,285 1,214 Valuation allowance (445 ) (346 ) Net deferred income tax assets 840 868 Deferred income tax liabilities Intangibles 239 270 Capitalized software 43 36 Other 7 6 Total deferred income tax liabilities 289 312 Total net deferred income tax assets $ 551 $ 556 NCR recorded valuation allowances related to certain deferred income tax assets due to the uncertainty of the ultimate realization of the future benefits from those assets. The valuation allowances cover deferred tax assets, primarily tax loss carryforwards, in tax jurisdictions where there is uncertainty as to the ultimate realization of a benefit from those tax losses. At December 31, 2016 , our net deferred tax assets in the United States totaled approximately $451 million . For the three year period ended December 31, 2016 , we had a cumulative net loss from continuing operations before income taxes, which is generally considered a negative indicator of our ability to realize the benefits of those assets. We evaluated the realizability of the U.S. deferred tax assets by weighing positive and negative evidence, including our history of taxable income in the U.S., and the substantial length of time over which our deferred tax assets relating to net operating losses and employee pensions may be realized. Through this assessment, realization of the related benefits was determined to be more likely than not. If we are unable to generate sufficient future taxable income in the time period within which the temporary differences underlying our deferred tax assets become deductible, or before the expiration of our loss and credit carryforwards, additional valuation allowance could be required. As of December 31, 2016 , NCR had U.S. federal and foreign tax attribute carryforwards of approximately $1.3 billion . The net operating loss carryforwards that are subject to expiration will expire in the years 2017 through 2035. This includes U.S. tax credit carryforwards of $218 million . The amount of tax deductions in excess of previously recorded windfall tax benefits associated with stock-based compensation included in U.S. federal tax credit carryforwards but not reflected in deferred tax assets for the year ended December 31, 2016 was $39 million . Upon adoption of the updated accounting standard for stock based compensation, the Company will recognize these windfall tax benefits as an adjustment to retained earnings. Refer to Note 1, “Basis of Presentation and Significant Accounting Policies” for additional discussion on the Company's adoption of the accounting standard update. Approximately $21 million of the credit carryforwards do not expire, and $197 million of the credit carryforwards expire in the years 2017 through 2036. As a result of recent stock ownership changes our U.S. tax attributes could be subject to limitations under Section 382 of the U.S. Internal Revenue Code of 1986, as amended, if further material stock ownership changes occur. The aggregate changes in the balance of our gross unrecognized tax benefits were as follows for the years ended December 31: In millions 2016 2015 2014 Gross unrecognized tax benefits - January 1 $ 209 $ 248 $ 277 Increases related to tax positions from prior years 3 17 34 Decreases related to tax positions from prior years (34 ) (37 ) (50 ) Increases related to tax provisions taken during the current year 23 35 43 Settlements with tax authorities (6 ) (33 ) (14 ) Lapses of statutes of limitation (12 ) (21 ) (42 ) Total gross unrecognized tax benefits - December 31 $ 183 $ 209 $ 248 Of the total amount of gross unrecognized tax benefits as of December 31, 2016 , $94 million would affect NCR’s effective tax rate if realized. The Company’s liability arising from uncertain tax positions is recorded in income tax accruals and other current liabilities in the Consolidated Balance Sheets. We recognized interest and penalties associated with uncertain tax positions as part of the provision for income taxes in our Consolidated Statements of Operations of zero , $4 million of benefit, and $1 million of expense for the years ended December 31, 2016 , 2015 , and 2014 , respectively. The gross amount of interest and penalties accrued as of December 31, 2016 and 2015 was $41 million and $46 million , respectively. In the U.S., NCR files consolidated federal and state income tax returns where statutes of limitations generally range from three to five years. The Company resolved examinations for the tax years of 2009 and 2010 with the IRS in 2014, and U.S. federal tax years remain open from 2011 forward. In 2014, the IRS commenced an examination of our 2011, 2012, and 2013 income tax returns, which is ongoing. Years beginning on or after 2001 are still open to examination by certain foreign taxing authorities, including India, Korea, and other major taxing jurisdictions. During 2017 , the Company expects to resolve certain tax matters related to U.S. and foreign jurisdictions. As of December 31, 2016 , we estimate that it is reasonably possible that unrecognized tax benefits may decrease by $35 million to $40 million in the next 12 months due to the resolution of these tax matters. NCR did not provide for U.S. federal income taxes or foreign withholding taxes in 2016 on approximately $2.3 billion of undistributed earnings of its foreign subsidiaries as such earnings are intended to be reinvested indefinitely unless it is determined future repatriation would give rise to little or no net tax costs. Due to the complexities in the tax laws, the assumptions that we would have to make and the availability and calculation of associated foreign tax credits, it is not practicable to determine the amount of the related unrecognized deferred income tax liability associated with these undistributed earnings. |
Employee Stock Compensation Pla
Employee Stock Compensation Plans | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Employee Stock Compensation Plans | 8. STOCK COMPENSATION PLANS The Company recognizes all share-based payments as compensation expense in its financial statements based on their fair value. As of December 31, 2016 , the Company’s stock-based compensation consisted of restricted stock units and an insignificant amount of stock options. The Company recorded stock-based compensation expense for the years ended December 31 as follows: In millions 2016 2015 2014 Total stock-based compensation related to restricted stock units (pre-tax) 61 42 31 Tax benefit (18) (13) (10) Total stock-based compensation (net of tax) $43 $29 $21 Approximately 14 million shares remain authorized to be issued under the 2013 Stock Incentive Plan (SIP). Details of the Company's stock-based compensation plans are discussed below. Restricted Stock Units The SIP provides for the grant of several different forms of stock-based compensation, including restricted stock units. Restricted stock units can have service-based and/or performance-based vesting with performance goals being established by the Compensation and Human Resource Committee of the Company’s Board of Directors. Any grant of restricted stock units is generally subject to a vesting period of 12 months to 48 months , to the extent permitted by the SIP. Performance-based grants conditionally vest upon achievement of future performance goals based on performance criteria such as the Company’s achievement of specific return on capital and/or other financial metrics (as defined in the SIP) during the performance period. Performance-based grants must be earned, based on performance, before the actual number of shares to be awarded is known. The Compensation and Human Resource Committee considers the likelihood of meeting the performance criteria based upon estimates and other relevant data, and certifies performance based on its analysis of achievement against the performance criteria. A recipient of restricted stock units does not have the rights of a stockholder and is subject to restrictions on transferability and risk of forfeiture. Other terms and conditions applicable to any award of restricted stock units will be determined by the Compensation and Human Resource Committee and set forth in the agreement relating to that award. The following table reports restricted stock unit activity during the year ended December 31, 2016 : Shares in thousands Number of Units Weighted Average Grant-Date Fair Value per Unit Unvested shares as of January 1 4,955 $ 30.08 Shares granted 4,812 $ 20.45 Shares vested (1,559 ) $ 27.93 Shares forfeited (739 ) $ 25.89 Unvested shares as of December 31 7,469 $ 24.70 Stock-based compensation expense is recognized in the financial statements based upon fair value. The total fair value of units vested and distributed in the form of NCR common stock was $42 million in 2016 , $44 million in 2015 , and $66 million in 2014 . As of December 31, 2016 , there was $125 million of unrecognized compensation cost related to unvested restricted stock unit grants. The unrecognized compensation cost is expected to be recognized over a remaining weighted-average period of 1.2 years. The weighted average grant date fair value for restricted stock unit awards granted in 2015 and 2014 was $29.40 and $31.85 , respectively. The following table represents the composition of restricted stock unit grants in 2016 : Shares in thousands Number of Units Weighted Average Grant-Date Fair Value Service-based units 1,667 $ 25.02 Performance-based units $ 1,186 $ 23.16 Price contingent-based units 1,959 $ 14.93 Total restricted stock units 4,812 $ 20.45 The 2016 performance-based restricted stock unit activity above includes 1.5 million units related to the 2016 to 2017 performance period, and is adjusted by the cancellation of performance-based restricted stock units from a prior period where the target performance goals were not achieved. During the first quarter of 2016, the Compensation and Human Resource Committee approved a special multi-year equity grant to a limited group of senior executives of the Company. These awards were performance based price-contingent restricted stock units with a performance period of 60 months. Vesting of these units is dependent upon the achievement of target stock prices established by the Compensation and Human Resource Committee and service conditions. The Company estimated the fair value and derived service period using the Monte Carlo simulation option-pricing model. The Company amortizes the fair value of these awards over the explicit service period of 36 to 48 months, which was longer than the derived service period, adjusted for estimated forfeitures. Provided that the explicit service period is rendered, the total fair value of the price-contingent restricted stock units at the date of grant is recognized as compensation expense even if the market condition is not achieved. However, the number of units that ultimately vest can vary significantly with the performance of the specified market criteria. The weighted-average assumptions used and the resulting estimates of fair value were as follows: Twelve months ended December 31, 2016 Expected volatility 33.9% Expected dividend yield — Risk-free rate 1.21% Weighted average fair value per share $14.93 Expected volatility is based on the historical volatility derived from NCR stock price movements over the last 60 months. The risk-free interest rate was based upon the U.S. Treasury yield curve in effect at the time of grant with a remaining term of 60 months. Stock Options The SIP also provides for the grant of stock options to purchase shares of NCR common stock. The Compensation and Human Resource Committee has discretion to determine the material terms and conditions of option awards under the SIP, provided that (i) the exercise price must be no less than the fair market value of NCR common stock (defined as the closing price) on the date of grant, (ii) the term must be no longer than ten years, and (iii) in no event shall the normal vesting schedule provide for vesting in less than one year. Other terms and conditions of an award of stock options will be determined by the Compensation and Human Resource Committee as set forth in the agreement relating to that award. The Compensation and Human Resource Committee has authority to administer the SIP, except that the Committee on Directors and Governance of the Company’s Board of Directors will administer the SIP with respect to non-employee members of the Board of Directors. New shares of the Company’s common stock are issued as a result of stock option exercises. Stock-based compensation expense for options was computed using the Black-Scholes option-pricing model. During the years ended December 31, 2016 , 2015 and 2014 , the Company did not grant a significant amount of stock options. The following table summarizes the Company’s stock option activity for the year ended December 31, 2016 : Shares in thousands Shares Under Option Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in millions) Outstanding as of January 1 1,004 $ 18.14 Granted 49 $ 21.54 Exercised (423 ) $ 19.17 Forfeited or expired (1 ) $ 26.46 Outstanding as of December 31 629 $ 17.69 3.13 $ 14.4 Fully vested and expected to vest as of December 31 629 $ 17.69 3.13 $ 14.4 Exercisable as of December 31 579 $ 17.36 2.62 $ 13.4 The total intrinsic value of all options exercised was $6 million in 2016 , $6 million in 2015 , and $8 million in 2014 . Cash received from option exercises under all share-based payment arrangements was $8 million in 2016 , $8 million in 2015 , and $7 million in 2014 . The tax benefit realized from these exercises was $2 million in 2016 , $2 million in 2015 , and $2 million in 2014 . Other Share-based Plans The Employee Stock Purchase Plan (ESPP) enables eligible employees to purchase NCR’s common stock at a discount to the average of the highest and lowest sale prices on the last trading day of each month. The ESPP discount for all years presented was 5% of the average market price. Accordingly, this plan is considered non-compensatory. Employees may authorize payroll deductions of up to 10% of eligible compensation for common stock purchases. Employees purchased approximately 0.3 million shares in 2016 , 0.3 million shares in 2015 , and 0.2 million shares in 2014 , for approximately $7 million in 2016 , $7 million in 2015 and $6 million in 2014 . A total of 4 million shares were originally authorized to be issued under the ESPP and approximately 0.9 million authorized shares remain unissued as of December 31, 2016 . |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Employee Benefit Plans [Abstract] | |
Employee Benefit Plans | 9. EMPLOYEE BENEFIT PLANS Pension, Postretirement and Postemployment Plans NCR sponsors defined benefit pension plans. NCR’s U.S. pension plan no longer offers additional benefits and is closed to new participants. Internationally, the defined benefit plans are based primarily upon compensation and years of service. Certain international plans also no longer offer additional benefits and are closed to new participants. NCR’s funding policy is to contribute annually not less than the minimum required by applicable laws and regulations. Assets of NCR’s defined benefit plans are primarily invested in corporate and government debt securities, common and commingled trusts, publicly traded common stocks, real estate investments, and cash or cash equivalents. NCR recognizes the funded status of each applicable plan on the Consolidated Balance Sheets. Each overfunded plan is recognized as an asset and each underfunded plan is recognized as a liability. For pension plans, changes in the fair value of plan assets and net actuarial gains or losses are recognized upon remeasurement, which is at least annually in the fourth quarter of each year. For postretirement and postemployment plans, changes to the funded status are recognized as a component of other comprehensive loss in stockholders' equity. NCR sponsors a U.S. postretirement benefit plan that no longer offers benefits to U.S. participants who had not reached a certain age and years of service with NCR. The plan provides medical care benefits to retirees and their eligible dependents. Non-U.S. employees are typically covered under government-sponsored programs, and NCR generally does not provide postretirement benefits other than pensions to non-U.S. retirees. NCR generally funds these benefits on a pay-as-you-go basis. NCR offers various postemployment benefits to involuntarily terminated and certain inactive employees after employment but before retirement. These benefits are paid in accordance with NCR’s established postemployment benefit practices and policies. Postemployment benefits include mainly severance as well as continuation of healthcare benefits and life insurance coverage while on disability. NCR provides appropriate accruals for these postemployment benefits. These postemployment benefits are funded on a pay-as-you-go basis. Pension Plans Reconciliation of the beginning and ending balances of the benefit obligations for NCR's pension plans are as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits In millions 2016 2015 2016 2015 2016 2015 Change in benefit obligation Benefit obligation as of January 1 $ 2,155 $ 2,271 $ 1,159 $ 2,106 $ 3,314 $ 4,377 Net service cost — — 7 12 7 12 Interest cost 90 87 28 42 118 129 Amendment — — — 3 — 3 Actuarial loss (gain) 53 (93 ) 174 (17 ) 227 (110 ) Benefits paid (113 ) (110 ) (75 ) (1,364 ) (188 ) (1,474 ) Plan participant contributions — — 1 2 1 2 Curtailment — — — (2 ) — (2 ) Settlement — — — 425 — 425 Currency translation adjustments — — (122 ) (48 ) (122 ) (48 ) Benefit obligation as of December 31 $ 2,185 $ 2,155 $ 1,172 $ 1,159 $ 3,357 $ 3,314 Accumulated benefit obligation as of December 31 $ 2,185 $ 2,155 $ 1,162 $ 1,148 $ 3,347 $ 3,303 A reconciliation of the beginning and ending balances of the fair value of the plan assets of NCR's pension plans are as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits In millions 2016 2015 2016 2015 2016 2015 Change in plan assets Fair value of plan assets as of January 1 $ 1,726 $ 1,884 $ 1,009 $ 2,325 $ 2,735 $ 4,209 Actual return on plan assets 109 (48 ) 136 38 245 (10 ) Company contributions — — 31 33 31 33 Benefits paid (113 ) (110 ) (75 ) (1,364 ) (188 ) (1,474 ) Currency translation adjustments — — (124 ) (25 ) (124 ) (25 ) Plan participant contributions — — 1 2 1 2 Fair value of plan assets as of December 31 $ 1,722 $ 1,726 $ 978 $ 1,009 $ 2,700 $ 2,735 In November 2013, the trustees of the NCR Pension Plan (UK London) entered into an agreement with Pension Insurance Corporation (PIC) to purchase, as a plan asset, an insurance policy with PIC to facilitate the wind-up and buy-out of the pension plan. NCR Limited, a UK subsidiary of the Company, was the principal employer of the pension plan which had approximately 5,400 participants. During the second quarter of 2015 , the Company completed the transfer of the UK London pension plan to PIC by issuing individual insurance policies. As a result of the transfer, for the the year ended December 31, 2015 , the Company recorded a settlement loss of $427 million in the Consolidated Statement of Operations as well as an offsetting decrease to prepaid pension costs in the Consolidated Balance Sheet. During 2014, the Company offered a voluntary lump sum payment option to certain former employees who were participants of the Company's U.S. pension plan who had started monthly payments of their pension benefit. The voluntary lump sum payment offer was completed during the fourth quarter of 2014. In addition, during 2014, the Company entered into an agreement with an insurer, where the Company's U.S. qualified plan purchased a single premium group annuity contract from the insurer in order to secure benefits for approximately 4,500 former employees or their related beneficiaries who commenced monthly pension benefits under the plan before January 1, 1994. Additionally, during 2014, the Company transferred the pension plan obligations in Spain and the Netherlands to a third party through the completion of a buy-out of the pension plans. The following table presents the funded status and the reconciliation of the funded status to amounts recognized in the Consolidated Balance Sheets and in accumulated other comprehensive loss as of December 31 : U.S. Pension Benefits International Pension Benefits Total Pension Benefits In millions 2016 2015 2016 2015 2016 2015 Funded Status $ (463 ) $ (429 ) $ (194 ) $ (150 ) $ (657 ) $ (579 ) Amounts recognized in the Consolidated Balance Sheets Noncurrent assets $ — $ — $ 94 $ 130 $ 94 $ 130 Current liabilities — — (12 ) (13 ) (12 ) (13 ) Noncurrent liabilities (463 ) (429 ) (276 ) (267 ) (739 ) (696 ) Net amounts recognized $ (463 ) $ (429 ) $ (194 ) $ (150 ) $ (657 ) $ (579 ) Amounts recognized in accumulated other comprehensive loss Prior service cost — — 15 19 15 19 Total $ — $ — $ 15 $ 19 $ 15 $ 19 For pension plans with accumulated benefit obligations in excess of plan assets, the projected benefit obligation, accumulated benefit obligation and fair value of assets were $2,711 million , $2,702 million , and $1,991 million , respectively, as of December 31, 2016 , and $2,692 million , $2,682 million and $2,013 million , respectively, as of December 31, 2015 . The net periodic benefit (income) cost of the pension plans for the years ended December 31 was as follows: In millions U.S. Pension Benefits International Pension Benefits Total Pension Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 Net service cost $ — $ — $ — $ 7 $ 12 $ 12 $ 7 $ 12 $ 12 Interest cost 90 87 130 28 42 81 118 129 211 Expected return on plan assets (72 ) (72 ) (118 ) (36 ) (60 ) (104 ) (108 ) (132 ) (222 ) Amortization of prior service cost — — — 1 1 2 1 1 2 Curtailment — — — — (2 ) — — (2 ) — Settlement — — — — 427 (1 ) — 427 (1 ) Actuarial (gain) loss 16 27 146 69 2 4 85 29 150 Net periodic benefit (income) cost $ 34 $ 42 $ 158 $ 69 $ 422 $ (6 ) $ 103 $ 464 $ 152 Effective January 1, 2017, we changed the method used to estimate the service and interest components of net periodic benefit cost for our significant pension plans where yield curves are available. Previously, we estimated such cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the pension benefit obligation. The new methodology utilizes a full yield curve approach by applying the specific spot rates along the yield curve used in the determination of the pension benefit obligation to their underlying projected cash flows and provides a more precise measurement of service and interest costs by improving the correlation between projected cash flows and their corresponding spot rates. This change does not affect the measurement of our total benefit obligation and is applied prospectively as a change in estimate, beginning January 1, 2017. During 2015, the Company transferred the UK London pension plan obligations to PIC through the completion of a buy-out of the pension plan, resulting in a settlement of $427 million in 2015. During 2014, the Company transferred the pension plan obligations in Spain and the Netherlands to a third party through the completion of a buy-out of the pension plans, resulting in an actuarial loss in 2014. The weighted average rates and assumptions used to determine benefit obligations as of December 31 were as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits 2016 2015 2016 2015 2016 2015 Discount rate 4.1 % 4.3 % 1.9 % 2.6 % 3.3 % 3.7 % Rate of compensation increase N/A N/A 0.9 % 1.3 % 0.9 % 1.3 % The weighted average rates and assumptions used to determine net periodic benefit cost for the years ended December 31 were as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 Discount rate 4.3 % 4.0 % 4.6 % 2.6 % 2.9 % 3.8 % 3.7 % 3.5 % 4.3 % Expected return on plan assets 4.3 % 4.0 % 4.6 % 3.8 % 3.8 % 4.5 % 4.1 % 3.9 % 4.5 % Rate of compensation increase N/A N/A N/A 1.3 % 1.8 % 2.7 % 1.3 % 1.8 % 2.7 % The discount rate used to determine December 31, 2016 U.S. benefit obligations was derived by matching the plans’ expected future cash flows to the corresponding yields from the Aon Hewitt AA Bond Universe Curve. This yield curve has been constructed to represent the available yields on high-quality, fixed-income investments across a broad range of future maturities. International discount rates were determined by examining interest rate levels and trends within each country, particularly yields on high-quality, long-term corporate bonds, relative to our future expected cash flows. During 2014, the Society of Actuaries published updated mortality tables and an improvement scale for U.S. plans, which both reflect improved longevity. Based on evaluation of these new tables, we updated our mortality assumptions for our U.S. pension benefits as of December 31, 2014 . NCR employs a building block approach as its primary approach in determining the long-term expected rate of return assumptions for plan assets. Historical market returns are studied and long-term relationships between equities and fixed income are preserved consistent with the widely accepted capital market principle that assets with higher volatilities generate higher returns over the long run. Current market factors, such as inflation and interest rates are evaluated before long-term capital market assumptions are determined. The expected long-term portfolio return is established for each plan via a building block approach with proper rebalancing consideration. The result is then adjusted to reflect additional expected return from active management net of plan expenses. Historical plan returns, the expectations of other capital market participants, and peer data may be used to review and assess the results for reasonableness and appropriateness. Plan Assets The weighted average asset allocations as of December 31, 2016 and 2015 by asset category are as follows: U.S. Pension Fund International Pension Fund Actual Allocation of Plan Assets as of December 31 Target Asset Allocation Actual Allocation of Plan Assets as of December 31 Target Asset Allocation 2016 2015 2016 2015 Equity securities — % — % 0 - 0% 23 % 24 % 16 - 26% Debt securities 96 % 96 % 95 - 100% 52 % 50 % 50 - 60% Real estate 1 % 1 % 0 - 2% 13 % 13 % 8- 14% Other 3 % 3 % 0 - 3% 12 % 13 % 11 - 17% Total 100 % 100 % 100 % 100 % The Company has adopted updated accounting guidance on fair value measurement which removed both the requirement to categorize within the fair value hierarchy and the requirement to provide related sensitivity disclosures for all investments for which fair value is measured using net asset value (NAV) as a practical expedient. The amount of these investments is disclosed separately in the following tables as "Not Subject to Leveling". The updated guidance was adopted on a retrospective basis, therefore, the investment amounts for which fair value is measured using NAV as a practical expedient have been removed from the fair value hierarchy for all periods presented. The fair value of plan assets as of December 31, 2016 and 2015 by asset category is as follows: U.S. International In millions Notes Fair Value as of December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Fair Value as of December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Assets Equity securities: Common stock 1 $ — $ — $ — $ — $ — $ 47 $ 47 $ — $ — $ — Fixed income securities: Government securities 2 234 — 234 — — 27 — 27 — — Corporate debt 3 797 — 797 — — 110 — 108 2 — Other types of investments: Money market funds 4 28 — — — 28 8 — 8 — — Common and commingled trusts - Equities 4 — — — — — 169 — — — 169 Common and commingled trusts - Bonds 4 530 — — — 530 363 — — — 363 Common and commingled trusts - Short Term Investments 4 23 — — — 23 27 — — — 27 Common and commingled trusts - Balanced 4 — — — — — 104 — — — 104 Partnership/joint venture interests - Real estate 5 8 — — — 8 — — — — — Partnership/joint venture interests - Other 5 6 — — — 6 — — — — — Mutual funds 4 60 60 — — — — — — — — Hedge Funds 5 36 — — — 36 — — — — — Insurance products 4 — — — — — 1 — 1 — — Real estate and other 5 — — — — — 122 — — 122 — Total $ 1,722 $ 60 $ 1,031 $ — $ 631 $ 978 $ 47 $ 144 $ 124 $ 663 U.S. International In millions Notes Fair Value as of December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Fair Value as of December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Assets Equity securities: Common stock 1 $ — $ — $ — $ — $ — $ 50 $ 50 $ — $ — $ — Fixed income securities: Government securities 2 222 — 222 — — 13 — 13 — — Corporate debt 3 805 — 805 — — 145 — 141 4 — Other types of investments: Money market funds 4 33 — — — 33 13 — 12 — 1 Common and commingled trusts - Equities 4 — — — — — 184 — — — 184 Common and commingled trusts - Bonds 4 500 — — — 500 327 — — — 327 Common and commingled trusts - Short Term Investments 4 30 — — — 30 31 — — — 31 Common and commingled trusts - Balanced 4 — — — — — 116 — — — 116 Partnership/joint venture interests - Real estate 5 21 — — — 21 — — — — — Partnership/joint venture interests - Other 5 7 — — — 7 — — — — — Mutual funds 4 74 74 — — — — — — — — Hedge Funds 5 34 — — — 34 — — — — — Insurance products 4 — — — — — 1 — 1 — — Real estate and other 5 — — — — — 129 — — 129 — Total $ 1,726 $ 74 $ 1,027 $ — $ 625 $ 1,009 $ 50 $ 167 $ 133 $ 659 Notes: 1. Common stocks are valued based on quoted market prices at the closing price as reported on the active market on which the individual securities are traded. 2. Government securities are valued based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar securities, the security is valued under a discounted cash flows approach that maximizes observable inputs, such as current yields on similar instruments but includes adjustments for certain risks that may not be observable, such as credit and liquidity risks. 3. Corporate debt is valued primarily based on observable market quotations for similar bonds at the closing price reported on the active market on which the individual securities are traded. When such quoted prices are not available, the bonds are valued using a discounted cash flows approach using current yields on similar instruments of issuers with similar credit ratings. 4. Common/collective trusts and registered investment companies (RICs) such as mutual funds are valued using a Net Asset Value (NAV) provided by the manager of each fund. The NAV is based on the underlying net assets owned by the fund, divided by the number of shares or units outstanding. The fair value of the underlying securities within the fund, which are generally traded on an active market, are valued at the closing price reported on the active market on which those individual securities are traded. For investments not traded on an active market, or for which a quoted price is not publicly available, a variety of unobservable valuation methodologies, including discounted cash flow, market multiple and cost valuation approaches, are employed by the fund manager or independent third party to value investments. 5. Partnership/joint ventures and hedge funds are valued based on the fair value of the underlying securities within the fund, which include investments both traded on an active market and not traded on an active market. For those investments that are traded on an active market, the values are based on the closing price reported on the active market on which those individual securities are traded and in the case of hedge funds they are valued using a Net Asset Value (NAV) provided by the manager of each fund. For investments not traded on an active market, or for which a quoted price is not publicly available, a variety of unobservable valuation methodologies, including discounted cash flow, market multiples and cost valuation approaches, are employed by the fund manager to value investments. The following table presents the reconciliation of the beginning and ending balances of those plan assets classified within Level 3 of the valuation hierarchy. When the determination is made to classify the plan assets within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement. In millions International Pension Plans Balance, December 31, 2014 $ 1,388 Realized and unrealized gains and losses, net (58 ) Purchases, sales and settlements, net (1,196 ) Transfers, net (1 ) Balance, December 31, 2015 $ 133 Realized and unrealized gains and losses, net (8 ) Purchases, sales and settlements, net 1 Transfers, net (2 ) Balance, December 31, 2016 $ 124 Investment Strategy NCR has historically employed a total return investment approach, whereby a mix of fixed-income, equities and real estate investments are used to maximize the long-term return of plan assets subject to a prudent level of risk. The risk tolerance is established for each plan through a careful consideration of plan liabilities, plan funded status and corporate financial condition. To reduce volatility in the value of assets held by the U.S. pension plan, we have rebalanced the asset allocation to a portfolio of 96% of fixed income assets as of December 31, 2016 . Similar investment strategy changes are under consideration or being implemented in a number of NCR’s international plans. The investment portfolios contain primarily fixed-income investments, which are diversified across U.S. and non-U.S. issuers, type of fixed-income security (i.e., government bonds, corporate bonds, mortgage-backed securities) and credit quality. The investment portfolios also contain a blend of equity investments, which are diversified across U.S. and non-U.S. stocks, small and large capitalization stocks, and growth and value stocks, primarily of non-U.S. issuers. Where applicable, real estate investments are made through real estate securities, partnership interests or direct investment and are diversified by property type and location. Other assets, such as cash or private equity are used judiciously to improve portfolio diversification and enhance risk-adjusted portfolio returns. Derivatives may be used to adjust market exposures in an efficient and timely manner. Due to the timing of security purchases and sales, cash held by fund managers is classified in the same asset category as the related investment. Rebalancing algorithms are applied to keep the asset mix of the plans from deviating excessively from their targets. Investment risk is measured and monitored on an ongoing basis through regular performance reporting, investment manager reviews, actuarial liability measurements and periodic investment strategy reviews. Postretirement Plans Reconciliation of the beginning and ending balances of the benefit obligation for NCR's U.S. postretirement plan is as follows: Postretirement Benefits In millions 2016 2015 Change in benefit obligation Benefit obligation as of January 1 $ 27 $ 26 Gross service cost — — Interest cost 1 1 Actuarial (gain) loss (2 ) 2 Plan participant contributions 1 1 Benefits paid (2 ) (3 ) Benefit obligation as of December 31 $ 25 $ 27 The following table presents the funded status and the reconciliation of the funded status to amounts recognized in the Consolidated Balance Sheets and in accumulated other comprehensive loss as of December 31 : Postretirement Benefits In millions 2016 2015 Benefit obligation $ (25 ) $ (27 ) Amounts recognized in the Consolidated Balance Sheets Current liabilities $ (3 ) $ (4 ) Noncurrent liabilities (22 ) (23 ) Net amounts recognized $ (25 ) $ (27 ) Amounts recognized in accumulated other comprehensive loss Net actuarial loss $ 16 $ 20 Prior service benefit (19 ) (33 ) Total $ (3 ) $ (13 ) The net periodic benefit income of the postretirement plan for the years ended December 31 was: In millions Postretirement Benefits 2016 2015 2014 Interest cost $ 1 $ 1 $ 1 Net service cost — — — Amortization of: Prior service benefit (14 ) (18 ) (18 ) Actuarial loss 2 2 2 Net periodic benefit income $ (11 ) $ (15 ) $ (15 ) The assumptions utilized in accounting for postretirement benefit obligations as of December 31 and for postretirement benefit income for the years ended December 31 were: Postretirement Benefit Obligations Postretirement Benefit Costs 2016 2015 2014 2016 2015 2014 Discount rate 3.2 % 3.3 % 3.1 % 3.3 % 3.1 % 3.4 % Assumed healthcare cost trend rates as of December 31 were: 2016 2015 Pre-65 Coverage Post-65 Coverage Pre-65 Coverage Post-65 Coverage Healthcare cost trend rate assumed for next year 6.6 % 5.8 % 6.8 % 5.9 % Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 5.0 % 5.0 % 5.0 % 5.0 % Year that the rate reaches the ultimate rate 2024 2024 2024 2024 In addition, a one percentage point change in assumed healthcare cost trend rates would have had an immaterial impact on the postretirement benefit income and obligation. Postemployment Benefits Reconciliation of the beginning and ending balances of the benefit obligation for NCR's postemployment plan was: Postemployment Benefits In millions 2016 2015 Change in benefit obligation Benefit obligation as of January 1 $ 143 $ 227 Restructuring program cost 4 1 Service cost 16 17 Interest cost 3 3 Amendments — (12 ) Benefits paid (37 ) (47 ) Foreign currency exchange (6 ) (12 ) Actuarial loss (gain) 4 (34 ) Benefit obligation as of December 31 $ 127 $ 143 The following tables present the funded status and the reconciliation of the unfunded status to amounts recognized in the Consolidated Balance Sheets and in accumulated other comprehensive loss at December 31 : Postemployment Benefits In millions 2016 2015 Benefit obligation $ (127 ) $ (143 ) Amounts recognized in the Consolidated Balance Sheets Current liabilities $ (22 ) $ (33 ) Noncurrent liabilities (105 ) (110 ) Net amounts recognized $ (127 ) $ (143 ) Amounts recognized in accumulated other comprehensive loss Net actuarial gain $ (42 ) $ (47 ) Prior service benefit (17 ) (23 ) Total $ (59 ) $ (70 ) The net periodic benefit cost of the postemployment plan for the years ended December 31 was: In millions Postemployment Benefits 2016 2015 2014 Service cost $ 16 $ 17 $ 17 Interest cost 3 3 5 Amortization of: Prior service benefit (6 ) (4 ) (4 ) Actuarial (gain) loss (7 ) — (2 ) Net benefit cost $ 6 $ 16 $ 16 Restructuring severance cost 4 1 73 Net periodic benefit cost $ 10 $ 17 $ 89 During the years ended December 31, 2016 , 2015 and 2014 , restructuring charges for employee severance of $4 million , $1 million and $73 million , respectively, were recognized associated with the restructuring plan. See Note 3, "Restructuring Plan" for additional information. The weighted average assumptions utilized in accounting for postemployment benefit obligations as of December 31 and for postemployment benefit costs for the years ended December 31 were: Postemployment Benefit Obligations Postemployment Benefit Costs 2016 2015 2016 2015 2014 Discount rate 2.0 % 2.2 % 2.2 % 2.1 % 3.2 % Salary increase rate 1.8 % 2.1 % 2.1 % 2.0 % 2.8 % Involuntary turnover rate 4.8 % 4.8 % 4.8 % 4.8 % 4.8 % Cash Flows Related to Employee Benefit Plans Cash Contributions NCR does not plan to contribute to the U.S. qualified pension plan in 2017 , and plans to contribute approximately $30 million to the international pension plans in 2017 . The Company also plans to make contributions of $3 million to the U.S. postretirement plan and $55 million to the postemployment plan in 2017 . Estimated Future Benefit Payments NCR expects to make the following benefit payments reflecting past and future service from its pension, postretirement and postemployment plans: In millions U.S. Pension Benefits International Pension Benefits Total Pension Benefits Postretirement Benefits Postemployment Benefits Year 2017 $ 124 $ 49 $ 173 $ 3 $ 55 2018 $ 127 $ 49 $ 176 $ 3 $ 20 2019 $ 130 $ 49 $ 179 $ 2 $ 19 2020 $ 132 $ 48 $ 180 $ 2 $ 17 2021 $ 135 $ 47 $ 182 $ 2 $ 16 2022-2026 $ 690 $ 243 $ 933 $ 6 $ 65 Savings Plans U.S. employees and many international employees participate in defined contribution savings plans. These plans generally provide either a specified percent of pay or a matching contribution on participating employees’ voluntary elections. NCR’s matching contributions typically are subject to a maximum percentage or level of compensation. Employee contributions can be made pre-tax, after-tax or a combination thereof. The expense under the U.S. plan was approximately $24 million in 2016 , $23 million in 2015 , and $20 million in 2014 . The expense under international and subsidiary savings plans was $26 million in 2016 , $22 million in 2015 , and $24 million in 2014 . Amounts to be Recognized The amounts in accumulated other comprehensive loss that are expected to be recognized as components of net periodic benefit cost (income) during 2017 are as follows: In millions U.S. Pension Benefits International Pension Benefits Total Pension Benefits Postretirement Benefits Postemployment Benefits Prior service cost (benefit) $ — $ 1 $ 1 $ (6 ) $ (5 ) Actuarial loss (gain) $ — $ — $ — $ 2 $ (4 ) |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. COMMITMENTS AND CONTINGENCIES In the normal course of business, NCR is subject to various proceedings, lawsuits, claims and other matters, including, for example, those that relate to the environment and health and safety, labor and employment, employee benefits, import/export compliance, intellectual property, data privacy and security, product liability, commercial disputes and regulatory compliance, among others. Additionally, NCR is subject to diverse and complex laws and regulations, including those relating to corporate governance, public disclosure and reporting, environmental safety and the discharge of materials into the environment, product safety, import and export compliance, data privacy and security, antitrust and competition, government contracting, anti-corruption, and labor and human resources, which are rapidly changing and subject to many possible changes in the future. Compliance with these laws and regulations, including changes in accounting standards, taxation requirements, and federal securities laws among others, may create a substantial burden on, and substantially increase costs to NCR or could have an impact on NCR's future operating results. The Company has reflected all liabilities when a loss is considered probable and reasonably estimable in the Consolidated Financial Statements. We do not believe there is a reasonable possibility that losses exceeding amounts already recognized have been incurred, but there can be no assurances that the amounts required to satisfy alleged liabilities from such matters will not impact future operating results. Other than as stated below, the Company does not currently expect to incur material capital expenditures related to such matters. However, there can be no assurances that the actual amounts required to satisfy alleged liabilities from various lawsuits, claims, legal proceedings and other matters, including, but not limited to the Fox River and Kalamazoo River environmental matters and other matters discussed below, and to comply with applicable laws and regulations, will not exceed the amounts reflected in NCR’s Consolidated Financial Statements or will not have a material adverse effect on its consolidated results of operations, capital expenditures, competitive position, financial condition or cash flows. In 2012, NCR received anonymous allegations from a purported whistleblower regarding certain aspects of the Company's business practices in China, the Middle East and Africa. The principal allegations received in 2012 related to the Company's compliance with the Foreign Corrupt Practices Act (FCPA) and federal regulations that prohibit U.S. persons from engaging in certain activities in Syria. As previously reported, the Company and its Board of Directors completed investigations with the assistance of experienced outside counsel and resolved a related shareholder derivative action. With respect to the FCPA, the Company made a presentation to the staff of the Securities and Exchange Commission (SEC) and the U.S. Department of Justice (DOJ) providing the facts known to the Company related to the whistleblower's FCPA allegations, and advising the government that many of these allegations were unsubstantiated. With respect to the DOJ, the Company responded to its most recent requests for documents in 2014. On June 22, 2015, the SEC staff notified the Company that it did not intend to recommend an enforcement action against the Company with respect to these matters. With respect to Syria, in 2012 NCR voluntarily notified the U.S. Treasury Department Office of Foreign Assets Control (OFAC) of potential violations and ceased operations in Syria, which were commercially insignificant. The notification related to confusion stemming from the Company's failure to register in Syria the transfer of the Company's Syrian branch to a foreign subsidiary and to deregister the Company's legacy Syrian branch, which was a branch of NCR Corporation. The Company applied for and received from OFAC various licenses that permitted the Company to take measures required to wind down its past operations in Syria. The last such license expired in April 2016, and in connection with that expiration the Company abandoned its remaining property in Syria, which was commercially insignificant, and ended the employment of its final two employees there, who had remained employed by the Company to assist with the execution of the Company's wind-down activities pursuant to authority granted by the OFAC licenses. The Company also submitted detailed reports to OFAC regarding this matter, including a description of the Company's comprehensive export control program and related remedial measures, and a description of the abandonment and related circumstances. The Company continues to cooperate with the authorities. There can be no assurance that the Company will not be subject to fines or other remedial measures as a result of OFAC's investigation. In 2013 the Company, through its travel business, entered into a subcontract with a prime contractor with respect to certain information technology components of two airport construction projects in Oman. In 2015 the prime contractor’s contract with an Omani public agency was terminated for cause; the Company and the prime contractor (a joint venture) subsequently provided to each other notices of termination of the subcontract. The prime contractor subsequently filed liquidation proceedings in Oman. The Company had delivered and installed goods and services in the approximate amount of $40 million as of 2015 when the various contracts were terminated, approximately half of which sum remains due and owing; under the terms of the subcontract, most of the payment obligations by the Omani public agency to the terminated prime contractor, and from the terminated prime contractor to the Company, had not at that time matured. The Company remains engaged in the construction projects, having been urged by the Omani public agency to enter into a new subcontract with a new prime contractor, which the Company did later in 2015. In 2016 the Company entered into a partial settlement agreement with the Omani public agency under which it was paid approximately half of the sums owed to it, in exchange for certain deliverables under the original subcontract. The Company has identified various avenues to pursue, against the prime contractor and others, including the parent of one of the joint venture partners in the terminated prime contractor, to obtain recoveries of the remaining amounts owed to it. Based on the status of negotiations and proceedings as of December 31, 2016 , the Company continues to maintain a reserve of approximately $20 million with respect to those portions of its claim that it considered did not meet the Company’s standard for probable recovery. In June 2014, one of the Company’s Brazilian subsidiaries, NCR Manaus, was notified of a Brazilian federal tax assessment of R $168 million , or approximately $51 million as of December 31, 2016 , including penalties and interest regarding certain federal indirect taxes for 2010 through 2012. The assessment alleges improper importation of certain components into Brazil's free trade zone that would nullify related indirect tax incentives. We have not recorded an accrual for the assessment, as the Company believes it has a valid position regarding indirect taxes in Brazil and, as such, has filed an appeal. However, it is possible that the Company could be required to pay taxes, penalties and interest related to this matter, which could be material to the Company's Consolidated Financial Statements. The Company estimated the aggregate risk related to this matter to be zero to approximately $70 million as of December 31, 2016 . Environmental Matters NCR's facilities and operations are subject to a wide range of environmental protection laws, and NCR has investigatory and remedial activities underway at a number of facilities that it currently owns or operates, or formerly owned or operated, to comply, or to determine compliance, with such laws. Also, NCR has been identified, either by a government agency or by a private party seeking contribution to site clean-up costs, as a potentially responsible party (PRP) at a number of sites pursuant to various state and federal laws, including the Federal Water Pollution Control Act, the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) and comparable state statutes. Other than the Fox River matter and the Kalamazoo River matter detailed below, we currently do not anticipate material expenses and liabilities from these environmental matters. Fox River (Refer to Note 18, "Subsequent Events" , for further information relative to the Fox River matter). NCR is one of eight entities that were formally notified by governmental and other entities, such as local Native American tribes, that they are PRPs for environmental claims (under CERCLA and other statutes) arising out of the presence of polychlorinated biphenyls (PCBs) in sediments in the lower Fox River and in the Bay of Green Bay in Wisconsin. The other Fox River PRPs that received notices are Appleton Papers Inc. (API; now known as Appvion, Inc.), P.H. Glatfelter Company ("Glatfelter"), Georgia-Pacific Consumer Products LP (GP, successor to Fort James Operating Company), WTM I Co. (formerly Wisconsin Tissue Mills, now owned by Canal Corporation, formerly known as Chesapeake Corporation), CBC Corporation (formerly Riverside Paper Corporation), U.S. Paper Mills Corp. (owned by Sonoco Products Company), and Menasha Corporation. NCR was identified as a PRP because of alleged PCB discharges from two carbonless copy paper manufacturing facilities it previously owned, which were located along the Fox River. NCR sold its facilities in 1978 to API. Some parties contend that NCR is also responsible for PCB discharges from paper mills owned by other companies because NCR carbonless copy paper "broke" was allegedly purchased by those other mills as a raw material. The United States Environmental Protection Agency (USEPA) and Wisconsin Department of Natural Resources (together, the Governments) developed clean-up plans for the upper and lower parts of the Fox River and for portions of the Bay of Green Bay. On November 13, 2007, the Governments issued a unilateral administrative order (the 2007 Order) under CERCLA to the eight original PRPs, requiring them to perform remedial work under the Governments’ clean-up plan for the lower parts of the river (operable units 2 through 5). In April 2009, NCR and API formed a limited liability company (the LLC), which entered into an agreement with an environmental remediation contractor to perform the work at the Fox River site. In-water dredging and remediation under the clean-up plan commenced shortly thereafter. NCR and API, along with B.A.T Industries p.l.c. (BAT), share among themselves a portion of the cost of the Fox River clean-up and natural resource damages (NRD) based upon a 1998 agreement (the Cost Sharing Agreement), a 2005 arbitration award (subsequently confirmed as a judgment), and a September 30, 2014 Funding Agreement (the Funding Agreement). The Cost Sharing Agreement and the arbitration resolved disputes that arose out of the Company's 1978 sale of its Fox River facilities to API. The Cost Sharing Agreement and arbitration award resulted in a 45% share for NCR of the first $75 million of such costs (a threshold that was reached in 2008), and a 40% share for amounts in excess of $75 million . The Funding Agreement arose out of a 2012 to 2014 arbitration dispute between NCR and API, and provides for regular, ongoing funding of NCR incurred Fox River remediation costs via contributions, made to a new limited liability corporation created by the Funding Agreement, by BAT, API and, for 2014, API's indemnitor, Windward Prospects. The Funding Agreement creates an obligation on BAT and API to fund 50% of NCR’s Fox River remediation costs from October 1, 2014 forward; the Funding Agreement also provides NCR opportunities to recoup, both indirectly from third parties and directly, the difference between BAT’s and API’s 60% obligation under the Cost Sharing Agreement and arbitration award on the one hand and their 50% payments under the Funding Agreement on the other, as well as the difference between the amount NCR received under the Funding Agreement and the amount owed to it under the Cost Sharing Agreement and arbitration award for the period from April 2012 through the end of September 2014. Various litigation proceedings concerning the Fox River are pending, and, as the result of appellate decisions in September 2014, NCR’s potential liability for the Fox River matter, for purposes of calculating the Company’s Fox River reserve, is no longer considered to be 100% of the remediation costs in the lower parts of the river. In a contribution action filed in 2008 seeking to determine allocable responsibility of several companies and governmental entities, a federal court in Wisconsin had issued rulings in 2009 and 2011 that effectively placed all remediation liability on NCR for four of the five “operable units” of the site. In another part of the same lawsuit, the Company prevailed in a 2012 trial on claims seeking to hold it liable under an “arranger” theory for the most upriver portion of the site, operable unit 1. On September 25, 2014, the United States Court of Appeals for the Seventh Circuit issued its ruling on appeal. That ruling vacated the lower court’s contribution decisions that were adverse to NCR (i.e., it vacated “the decision to hold NCR responsible for all of the response costs at operable units 2 through 5 in contribution”), set aside an adverse judgment against the Company in the amount of $76 million , and affirmed the Company’s favorable verdict in the “arranger” liability trial with respect to operable unit 1. The case was remanded to the federal district court in Wisconsin for further proceedings, for potential consideration of additional factors noted by the appellate court, in which proceedings NCR will vigorously contest the amount of remediation costs allocable to it, and seek to recover from other parties portions of the costs it has previously paid. The case was scheduled for trial in April 2017. Refer to Note 18, "Subsequent Events" for additional information, including the staying of this trial. On March 23, 2015, under a case management order applicable to the remanded case the federal district court allowed the filing of certain additional contractual and other claims, including claims against the Company, as well as certain claims by API against other parties (in light of the September 2014 appellate ruling that had restored those claims), which resulted in claims for potential indemnity by those other parties against the Company (under the Funding Agreement, to the extent the Company is liable for such claims, API must pay its recoveries into the limited liability corporation created by the Funding Agreement, and the Company may then seek to obtain reimbursement under its terms). The Company also updated the amounts it is seeking in its affirmative claims against other parties. Additionally, in March 2015, notwithstanding the prior trial and appellate results that had been favorable to the Company, the court entered a ruling holding NCR liable for contamination in operable unit 1, an area upriver from the Company’s former facilities, on what the court considered to be new guidance created by the appellate court in its September 2014 decision. The Company believes the March 2015 decision incorrectly applied the appellate court ruling, which had affirmed the Company’s favorable trial result on operable unit 1. While the Company's effort to obtain special appellate review in the form of a petition for mandamus was denied on May 1, 2015 by the appellate court, in a subsequent decision dated May 15, 2015 the district court indicated, in a ruling that addressed several issues, that NCR had no liability for operable unit 1, noting “NCR discharged no PCBs in OU1, and therefore has no divisible share of the clean-up costs for that area." In 2010, the Governments filed a lawsuit (the Government enforcement action) in Wisconsin federal court against the companies named in the 2007 Order. After a 2012 trial, in May 2013 that court held, among other things, that harm at the site is not divisible, and it entered a declaratory judgment against seven defendants (including NCR), finding them jointly and severally liable to comply with the applicable provisions of the 2007 Order. The court also issued an injunction against four companies (including NCR), ordering them to comply with the applicable provisions of the 2007 Order; only NCR complied with the injunction. Several parties, including NCR, appealed from the judgment. In a companion opinion to the ruling described in the preceding paragraph, the United States Court of Appeals for the Seventh Circuit, also on September 25, 2014, vacated the injunction, and also vacated the declaratory judgment that had been entered against the Company. The appellate court also ruled that NCR’s defense based on divisibility of harm at the site, which the district court had rejected, must be reconsidered by the district court. The declaratory judgment in the Government enforcement action with respect to liability under the 2007 Order against another defendant, Glatfelter, which pursued its appeal on grounds different from those pursued by NCR, was affirmed. The case was remanded to the federal district court in Wisconsin for further proceedings. In a ruling on May 15, 2015, the district court ruled in NCR’s favor and rejected the Governments’ efforts to reinstate the declaratory judgment against NCR. The court issued findings in favor of the Company’s divisibility defense, and held that NCR’s share of liability for operable unit 4 was 28% (the Company had then already paid more than 28% of the remediation costs for that part of the river). Various parties asked the court to reconsider its ruling, and in October 2015 the court granted those motions, with the prospect that the Company could continue to face joint and several liability for remediation of the river, in conjunction with other PRPs, although the Company’s position remains that it has performed more than its fair share of remediation costs at the site. The remaining claims in the Government enforcement action were scheduled to be tried in May 2017 (refer to Note 18, "Subsequent Events" for further information on this matter, including the staying of this trial). With respect to remaining remediation work, one other PRP, GP, had agreed by virtue of an earlier settlement with the Governments that it is “liable to the United States . . . for performance of all response actions that the [2007 Order] requires for” the lower portion of operable unit 4 and operable unit 5. With respect to 2015 remediation, following negotiations with the Governments and GP the Company agreed in April 2015 to perform a portion of the work planned for 2015, and to fund approximately one-third of the cost of that work, with GP funding an equal amount. This agreement was formalized in a stipulation and proposed consent decree filed with the federal court; each party preserved its rights to recover its 2015 costs from the other in the contribution litigation. The Governments demanded that Glatfelter agree to perform or fund the remaining approximate one-third of the work. NCR and GP undertook the remediation efforts they agreed to perform in 2015. Glatfeleter performed portions but not all of the work the Governments sought to require of it. With respect to 2016 remediation, no formal arrangement for the conduct of 2016 remediation work was reached. NCR and GP offered to perform again the arrangement they performed in 2015, under which NCR and GP would each fund approximately one-third of the work, and NCR and GP commenced remediation work for the 2016 season on that basis. Glatfelter indicated it would fund a portion of 2016 work, but again refused to perform the approximate one-third of work that was proposed for it to perform, and instead performed only a minor quantity of work. Glatfelter’s failures to perform its work have caused the expected completion of the remediation to be extended from 2017 to 2018. NCR and GP together funded more than two-thirds of the 2016 remediation work. With respect to 2017 remediation, refer to Note 18, "Subsequent Events" for further information with respect to the Fox River reserve. With respect to the Company’s prior dispute with API, which was generally superseded by the Funding Agreement, the Company has continued to receive timely payments under the Funding Agreement. NCR's eventual remediation liability, followed by long-term monitoring, will depend on a number of factors. In establishing the reserve, NCR attempts to estimate a range of reasonably possible outcomes for each of these factors, although each range is itself uncertain. NCR uses its best estimate within the range, if that is possible. Where there is a range of equally possible outcomes, and there is no amount within that range that is considered to be a better estimate than any other amount, NCR uses the low end of the range. In general, the most significant factors include: (1) the total remaining clean-up costs, including long-term monitoring following completion of the clean-up; (2) total NRD for the site; (3) the share of clean-up costs and NRD that NCR will bear; (4) NCR's transaction and litigation costs to defend itself in this matter; and (5) the share of NCR's payments that API and/or BAT will bear, as discussed above. With respect to NRD, in connection with a certain settlement entered into by other PRPs, in the year ended December 31, 2015 the Government asked the court to allow it to withdraw the NRD claims it had prosecuted on behalf of NRD trustees, including those NRD claims asserted against the Company (the Government had represented it would do so in the course of presenting the settlement to the court for approval). Calculation of the Company's Fox River reserve is subject to several complexities, and it is possible there could be additional changes to some elements of the reserve over upcoming periods, although the Company is unable to predict or estimate such changes at this time. There can be no assurance that the clean-up and related expenditures and liabilities will not have a material effect on NCR's capital expenditures, earnings, financial condition, cash flows, or competitive position. As of December 31, 2016 , the net reserve for the Fox River matter was approximately $27 million , compared to $26 million as of December 31, 2015 . The change in the net reserve is due to payments for clean-up activities and litigation costs, as well as changes in estimates and accruals for litigation expenses. NCR contributes to the LLC in order to fund remediation activities and generally, by contract, has funded certain amounts of remediation expenses in advance. As of December 31, 2016 and 2015 , approximately zero remained from this funding. NCR's reserve for the Fox River matter is reduced as the LLC makes payments to the remediation contractor and other vendors with respect to remediation activities. Refer to Note 18, "Subsequent Events" for further information with respect to the Fox River reserve. Under a 1996 agreement, AT&T Corp. (AT&T) and Nokia (as the successor to the Lucent Technologies and Alcatel-Lucent USA) are responsible severally (not jointly) for indemnifying NCR for certain portions of the amounts paid by NCR for the Fox River matter over a defined threshold and subject to certain offsets. (The agreement governs certain aspects of AT&T's divestiture of NCR and of what was then known as Lucent Technologies.) NCR's estimate of what AT&T and Nokia remain obligated to pay under the indemnity totaled approximately $31 million and $15 million as of December 31, 2016 and 2015 , respectively, and is deducted in determining the net reserve discussed above. In connection with the Fox River and other matters, through December 31, 2016 , NCR has received a combined total of approximately $173 million in settlements reached with its principal insurance carriers. Portions of most of these settlements are payable to a law firm that litigated the claims on the Company's behalf. Some of the settlements cover not only the Fox River but also other environmental sites. Of the total amount collected to date, $9 million is subject to competing claims by API. Kalamazoo River In November 2010, USEPA issued a "general notice letter" to NCR with respect to the Allied Paper, Inc./Portage Creek/Kalamazoo River Superfund Site (Kalamazoo River site) in Michigan. Three other companies - International Paper, Mead Corporation, and Consumers Energy - also received general notice letters at or about the same time. USEPA asserts that the site is contaminated by various substances, primarily PCBs, as a result of discharges by various paper mills located along the river. USEPA does not claim that the Company made direct discharges into the Kalamazoo River, and NCR never had facilities at or near the Kalamazoo River site, but indicated that "NCR may be liable under Section 107 of CERCLA ... as an arranger, who by contract or agreement, arranged for the disposal, treatment and/or transportation of hazardous substances at the Site." USEPA stated that it "may issue special notice letters to [NCR] and other PRPs for future RI/FS [remedial investigation / feasibility studies] and RD/RA [remedial design / remedial action] negotiations." In connection with the Kalamazoo River site, in December 2010 the Company, along with two other defendants, was sued in federal court by three GP affiliate corporations in a contribution and cost recovery action for alleged pollution. The suit, pending in Michigan, asks that the Company pay a "fair portion" of these companies’ costs. Various removal and remedial actions remain to be performed at the Kalamazoo River site, the costs for which have not been determined. The suit alleges that the Company is liable as an "arranger" under CERCLA. The initial phase of the case was tried in a Michigan federal court in February 2013; on September 26, 2013 the court issued a decision that held NCR was liable as an “arranger,” as of at least March 1969. (PCB-containing carbonless copy paper was produced from approximately 1954 to April 1971, and the majority of contamination had occurred prior to 1969). NCR has preserved its right to appeal the September 2013 decision. The Court did not determine NCR’s share of the overall liability, which the Company believes should be de minimis, or how NCR’s liability relates to the liability of other liable or potentially liable parties at the site. Relative shares of liability were tried to the court in a subsequent phase of the case; the trial concluded in December 2015, and posttrial briefing concluded in March 2016. The parties are awaiting the court's judgment. Prior to trial, in response to a motion filed by the Company, the court dismissed several portions of GP’s claims as time-barred, with the result that the past costs being tried total to approximately $50 million . The court may or may not also rule on the allocation of future costs. If the Company is found liable for money damages or otherwise with respect to the Kalamazoo River site, it would have claims against BAT and API under the Cost Sharing Agreement, the arbitration award, the judgment and the Funding Agreement discussed above in connection with the Fox River matter (the Funding Agreement may provide partial reimbursement of such damages depending on the extent of certain recoveries, if any, against third parties under its terms). The Company would also have claims against AT&T and Nokia under the arrangement discussed above in connection with the Fox River matter. As of December 31, 2016 and 2015 , the reserve associated with the Kalamazoo matter was approximately $2 million and $18 million , respectively. Environmental Remediation Estimates It is difficult to estimate the future financial impact of environmental laws, including potential liabilities. NCR records environmental provisions when it is probable that a liability has been incurred and the amount or range of the liability is reasonably estimable. Provisions for estimated losses from environmental restoration and remediation are, depending on the site, based generally on internal and third-party environmental studies, estimates as to the number and participation level of other PRPs, the extent of contamination, estimated amounts for attorney and other fees, and the nature of required clean-up and restoration actions. Reserves are adjusted as further information develops or circumstances change. Management expects that the amounts reserved from time to time will be paid out over the period of investigation, negotiation, remediation and restoration for the applicable sites. The amounts provided for environmental matters in NCR's Consolidated Financial Statements are the estimated gross undiscounted amounts of such liabilities, without deductions for indemnity insurance, third-party indemnity claims or recoveries from other PRPs, except as qualified in the following sentences. Except for the sharing agreement with API described above with respect to a particular insurance settlement, in those cases where insurance carriers or third-party indemnitors have agreed to pay any amounts and management believes that collectibility of such amounts is probable, the amounts are recorded in the Consolidated Financial Statements. For the Fox River site, as described above, assets relating to the AT&T and Nokia indemnities and to the API/BAT obligations are recorded as payment is supported by contractual agreements, public filings and/or payment history. Guarantees and Product Warranties Guarantees associated with NCR’s business activities are reviewed for appropriateness and impact to the Company’s Consolidated Financial Statements. As of December 31, 2016 and 2015 , NCR had no material obligations related to such guarantees, and therefore its Consolidated Financial Statements do not have any associated liability balance. NCR provides its customers a standard manufacturer’s warranty and records, at the time of the sale, a corresponding estimated liability for potential warranty costs. Estimated future obligations due to warranty claims are based upon historical factors, such as labor rates, average repair time, travel time, number of service calls per machine and cost of replacement parts. When a sale is consummated, the total customer revenue is recognized, provided that all revenue recognition criteria are otherwise satisfied, and the associated warranty liability is recorded using pre-established warranty percentages for the respective product classes. From time to time, product design or quality corrections are accomplished through modification programs. When identified, associated costs of labor and parts for such programs are estimated and accrued as part of the warranty reserve. The Company recorded the activity related to the warranty reserve for the the years ended December 31 as follows: In millions 2016 2015 2014 Warranty reserve liability Beginning balance as of January 1 $ 24 $ 22 $ 22 Accruals for warranties issued 42 41 37 Settlements (in cash or in kind) (39) (39) (37) Ending balance as of December 31 $ 27 $ 24 $ 22 In addition, NCR provides its customers with certain indemnification rights. In general, NCR agrees to indemnify the customer if a third party asserts patent or other infringement on the part of its customers for its use of the Company’s products subject to certain conditions that are generally standard within the Company’s industries. On limited occasions the Company will undertake additional indemnification obligations for business reasons. From time to time, NCR also enters into agreements in connection with its acquisition and divestiture activities that include indemnification obligations by the Company. The fair value of these indemnification obligations is not readily determinable due to the conditional nature of the Company’s potential obligations and the specific facts and circumstances involved with each particular agreement. The Company has not recorded a liability in connection with these indemnifications, and no current indemnification instance is material to the Company’s financial position. Historically, payments made by the Company under these types of agreement |
Derivatives and Hedging Instrum
Derivatives and Hedging Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Instruments | 11. DERIVATIVES AND HEDGING INSTRUMENTS NCR is exposed to risks associated with changes in foreign currency exchange rates and interest rates. NCR utilizes a variety of measures to monitor and manage these risks, including the use of derivative financial instruments. NCR has exposure to approximately 50 functional currencies. Since a substantial portion of our operations and revenue occur outside the U.S., and in currencies other than the U.S. Dollar, our results can be significantly impacted, both positively and negatively, by changes in foreign currency exchange rates. Foreign Currency Exchange Risk The accounting guidance for derivatives and hedging requires companies to recognize all derivative instruments as either assets or liabilities at fair value in the Consolidated Balance Sheets. The Company designates foreign exchange contracts as cash flow hedges of forecasted transactions when they are determined to be highly effective at inception. Our risk management strategy includes hedging, on behalf of certain subsidiaries, a portion of our forecasted, non-functional currency denominated cash flows for a period of up to 15 months . As a result, some of the impact of currency fluctuations on non-functional currency denominated transactions (and hence on subsidiary operating income, as stated in the functional currency), is mitigated in the near term. The amount we hedge and the duration of hedge contracts may vary significantly. In the longer term (greater than 15 months ), the subsidiaries are still subject to the effect of translating the functional currency results to U.S. Dollars. To manage our exposures and mitigate the impact of currency fluctuations on the operations of our foreign subsidiaries, we hedge our main transactional exposures through the use of foreign exchange forward and option contracts. This is primarily done through the hedging of foreign currency denominated inter-company inventory purchases by NCR’s marketing units and the foreign currency denominated inputs to our manufacturing units. The related foreign exchange contracts are designated as highly effective cash flow hedges. The gains or losses on these hedges are deferred in accumulated other comprehensive income (AOCI) and reclassified to income when the underlying hedged transaction is recorded in earnings. As of December 31, 2016 , the balance in AOCI related to foreign exchange derivative transactions was $13 million . The gains or losses from derivative contracts related to inventory purchases are recorded in cost of products when the inventory is sold to an unrelated third party. We also utilize foreign exchange contracts to hedge our exposure of assets and liabilities denominated in non-functional currencies. We recognize the gains and losses on these types of hedges in earnings as exchange rates change. We do not enter into hedges for speculative purposes. Interest Rate Risk The Company was party to an interest rate swap agreement that fixed the interest rate on a portion of the Company's LIBOR indexed floating rate borrowings under its Senior Secured Credit Facility through August 22, 2016. The Company designated the interest rate swap as a cash flow hedge of forecasted quarterly interest payments made on three-month LIBOR indexed borrowings under the Senior Secured Credit Facility. The interest rate swap was determined to be highly effective at inception. The following tables provide information on the location and amounts of derivative fair values in the Consolidated Balance Sheets: Fair Values of Derivative Instruments December 31, 2016 In millions Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Derivatives designated as hedging instruments Foreign exchange contracts Other current assets $251 $18 Other current liabilities $56 $1 Total derivatives designated as hedging instruments $18 $1 Derivatives not designated as hedging instruments Foreign exchange contracts Other current assets $165 $1 Other current liabilities $218 $1 Total derivatives not designated as hedging instruments $1 $1 Total derivatives $19 $2 Fair Values of Derivative Instruments December 31, 2015 In millions Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Derivatives designated as hedging instruments Interest rate swap Other current assets $— $— Other current liabilities $380 $3 Foreign exchange contracts Other current assets 53 2 Other current liabilities 105 1 Total derivatives designated as hedging instruments $2 $4 Derivatives not designated as hedging instruments Foreign exchange contracts Other current assets $191 $1 Other current liabilities $204 $1 Total derivatives not designated as hedging instruments 1 1 Total derivatives $3 $5 The effects of derivative instruments on the Consolidated Statement of Operations for the years ended December 31 were as follows: In millions Amount of Gain (Loss) Recognized in Other Comprehensive Income (OCI) on Derivative Amount of (Gain) Loss Reclassified from AOCI into the Consolidated Statement of Operations Amount of (Gain) Loss Recognized in the Consolidated Statement of Operations (Ineffective Portion and Amount Excluded from Effectiveness Testing) Derivatives in Cash Flow Hedging Relationships For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Location of (Gain) Loss Reclassified from AOCI into the Consolidated Statement of Operations (Effective Portion) For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Location of (Gain) Loss Recognized in the Consolidated Statement of Operations (Ineffective Portion and Amount Excluded from Effectiveness Testing) For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Interest rate swap $— $(2) (2) Interest expense $2 $5 $5 Interest expense $— $— $— Foreign exchange contracts $19 $12 $1 Cost of products $(3) $(12) $(1) Other (expense), net $— $— $— In millions Amount of Gain (Loss) Recognized in the Consolidated Statement of Operations Derivatives not Designated as Hedging Instruments Location of Gain (Loss) Recognized in the Consolidated Statement of Operations For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Foreign exchange contracts Other (expense), net $(1) $(5) $11 Refer to Note 12, “Fair Value of Assets and Liabilities” for further information on derivative assets and liabilities recorded at fair value on a recurring basis. Concentration of Credit Risk NCR is potentially subject to concentrations of credit risk on accounts receivable and financial instruments such as hedging instruments and cash and cash equivalents. Credit risk includes the risk of nonperformance by counterparties. The maximum potential loss may exceed the amount recognized on the Consolidated Balance Sheets. Exposure to credit risk is managed through credit approvals, credit limits, selecting major international financial institutions as counterparties to hedging transactions and monitoring procedures. NCR’s business often involves large transactions with customers, and if one or more of those customers were to default on its obligations under applicable contractual arrangements, the Company could be exposed to potentially significant losses. However, management believes that the reserves for potential losses are adequate. As of December 31, 2016 and 2015 , NCR did not have any major concentration of credit risk related to financial instruments. |
Fair Value of Assets and Liabil
Fair Value of Assets and Liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities | 12. FAIR VALUE OF ASSETS AND LIABILITIES Assets and Liabilities Measured at Fair Value on a Recurring Basis Assets and liabilities recorded at fair value on a recurring basis as of December 31, 2016 and 2015 are set forth as follows: December 31, 2016 December 31, 2015 Fair Value Measurements Using Fair Value Measurements Using In millions December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2015 Quoted Prices Significant Other Significant Assets: Deposits held in money market mutual funds (1) $5 $5 $— $— $3 $3 $— $— Foreign exchange contracts (2) 19 — 19 — 3 — 3 — Total $24 $5 $19 $— $6 $3 $3 $— Liabilities: Interest rate swap (3) $— $— $— $— $3 $— $3 $— Foreign exchange contracts (3) 2 — 2 — 2 — 2 — Total $2 $— $2 $— $5 $— $5 $— (1) Included in Cash and cash equivalents in the Consolidated Balance Sheet. (2) Included in Other current assets in the Consolidated Balance Sheet. (3) Included in Other current liabilities in the Consolidated Balance Sheet. Deposits Held in Money Market Mutual Funds A portion of the Company’s excess cash is held in money market mutual funds which generate interest income based on prevailing market rates. Money market mutual fund holdings are measured at fair value using quoted market prices and are classified within Level 1 of the valuation hierarchy. Interest rate swap As a result of our Senior Secured Credit Facility, we are exposed to risk from changes in LIBOR, which may adversely affect our financial condition. To manage our exposure and mitigate the impact of changes in LIBOR on our financial results, we previously hedged a portion of our forecasted interest payments through the use of an interest rate swap agreement. The interest rate swap was valued using the income approach inclusive of nonperformance and counterparty risk considerations and was classified within Level 2 of the valuation hierarchy as of December 31, 2015 . Foreign Exchange Contracts As a result of our global operating activities, we are exposed to risks from changes in foreign currency exchange rates, which may adversely affect our financial condition. To manage our exposures and mitigate the impact of currency fluctuations on our financial results, we hedge our primary transactional exposures through the use of foreign exchange forward and option contracts. The foreign exchange contracts are valued using the market approach based on observable market transactions of forward rates and are classified within Level 2 of the valuation hierarchy. Assets Measured at Fair Value on a Non-recurring Basis Certain assets have been measured at fair value on a nonrecurring basis using significant unobservable inputs (Level 3). NCR measures certain assets, including intangible assets and cost and equity method investments, at fair value on a non-recurring basis. These assets are recognized at fair value when initially valued and when deemed to be impaired. Additionally, NCR reviews the carrying values of investments when events and circumstances warrant and considers all available evidence in evaluating when declines in fair value are other-than-temporary declines. NCR carries equity investments in privately-held companies at cost or at fair value when NCR recognizes an other-than-temporary impairment charge. No impairment charges or material non-recurring fair value adjustments were recorded during the year ended December 31, 2016 . As of December 31, 2015 , we determined that it was probable that we would dispose of our IPS business, which triggered an impairment assessment of the related assets which include long-lived assets and goodwill. The assets related to the IPS business were valued using a market approach based on an independent third-party market price. Refer to Note 2, "Business Combinations and Divestitures" and Note 4, "Goodwill and Purchased Intangible Assets" for additional discussion. On May 27, 2016, NCR completed the sale of all but the Middle East and Africa (MEA) assets of its Interactive Printer Solutions (IPS) business to Atlas Holdings LLC. During the year ended December 31, 2014, we measured the fair value of an investment utilizing the income approach based on the use of discounted cash flows. The discounted cash flows are based on unobservable inputs, including assumptions of projected revenue, expenses, earnings, capital spending, as well as a discount rate determined by management's estimates of risk associated with the investment. As a result, for the twelve months ended December 31, 2014, we recorded an other-than-temporary impairment charge of $3 million in Other (expense) income, net in the Consolidated Statements of Operations based on Level 3 valuations. As of December 31, 2016 and 2015 , there was no remaining carrying value of the related investments. See Note 3, "Restructuring Plan" for additional information on the charge recorded for the year ended December 31, 2014 . |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Information | 13. SEGMENT INFORMATION AND CONCENTRATIONS The Company manages and reports the following three segments: • Software - Our software portfolio includes industry-based software applications and application suites for the financial services, retail, hospitality and small business industries. We also offer other industry-oriented software applications, including cash management software, video banking software, fraud and loss-prevention applications, check and document imaging, remote-deposit capture and customer-facing digital banking applications for the financial services industry; and secure electronic and mobile payment solutions, sector-specific point of sale software applications, and back-office inventory and store and restaurant management software applications for the retail and hospitality industries. Additionally, we provide ongoing software support and maintenance services, as well as consulting and implementation services for our software solutions. • Services - Our global end-to-end services solutions include assessment and preparation, staging, installation, implementation, and maintenance and support for our hardware solutions. We also provide systems management and complete managed services for our product offerings. In addition, we provide servicing for third party networking products and computer hardware from select manufacturers. • Hardware - Our hardware solutions include our suite of financial-oriented self-service ATM-related hardware, and our retail- and hospitality-oriented point of sale terminal, self-checkout kiosk and related hardware. We also offer other self-service kiosks, such as self-check in/out kiosks for airlines, and wayfinding solutions for buildings and campuses. These segments represent components of the Company for which separate financial information is available that is utilized on a regular basis by the chief operating decision maker in assessing segment performance and in allocating the Company's resources. Management evaluates the performance of the segments based on revenue and segment operating income. Assets are not allocated to segments, and thus are not included in the assessment of segment performance, and consequently, we do not disclose total assets by reportable segment. The accounting policies used to determine the results of the operating segments are the same as those utilized for the consolidated financial statements as a whole. Intersegment sales and transfers are not material. To maintain operating focus on business performance, non-operational items are excluded from the segment operating results utilized by our chief operating decision maker in evaluating segment performance and are separately delineated to reconcile back to total reported income from operations. The following table presents revenue and operating income by segment for the years ended December 31 : In millions 2016 2015 2014 Revenue by segment Software $ 1,841 $ 1,747 $ 1,748 Services 2,306 2,218 2,272 Hardware (1) 2,396 2,408 2,571 Consolidated revenue 6,543 6,373 6,591 Operating income by segment Software 577 539 526 Services 201 194 165 Hardware (1) 62 87 126 Subtotal - segment operating income 840 820 817 Other adjustments (2) 241 685 464 Income from operations $ 599 $ 135 $ 353 (1) On May 27, 2016, NCR completed the sale of substantially all of its IPS business to Atlas Holdings. The sale included all dedicated assets of the IPS division worldwide, other than in the MEA region. Accordingly, the revenue and operating income results exclude the results of the IPS operations, except for the IPS MEA operations, from May 27, 2016 through the end of the fourth quarter of 2016 . (2) The following table presents the other adjustments for NCR for the years ended December 31 : In millions 2016 2015 2014 Pension mark-to-market adjustments $ 85 $ 454 $ 149 Restructuring/transformation costs 26 74 160 Acquisition-related amortization of intangible assets 123 125 119 Acquisition-related costs 7 11 27 Acquisition-related purchase price adjustments — — 6 OFAC and FCPA investigations — 1 3 Reserve related to subcontract in MEA — 20 — Total other adjustments $ 241 $ 685 $ 464 The following table presents revenue from products and services for NCR for the years ended December 31 : In millions 2016 2015 2014 Product revenue $ 2,737 $ 2,711 $ 2,892 Professional services and installation services revenue 1,011 944 971 Recurring revenue, including maintenance and cloud revenue 2,795 2,718 2,728 Total revenue $ 6,543 $ 6,373 $ 6,591 Revenue is attributed to the geographic area/country to which the product is delivered or in which the service is provided. The following table presents revenue by geographic area for NCR for the years ended December 31 : In millions 2016 % 2015 % 2014 % Revenue by Geographic Area United States $ 3,106 47 % $ 2,909 46 % $ 2,723 41 % Americas (excluding United States) 637 10 % 590 9 % 634 10 % Europe, Middle East and Africa (EMEA) 1,896 29 % 1,964 31 % 2,184 33 % Asia Pacific (APJ) 904 14 % 910 14 % 1,050 16 % Consolidated revenue $ 6,543 100 % $ 6,373 100 % $ 6,591 100 % The following table presents property, plant and equipment by geographic area as of December 31 : In millions 2016 2015 Property, plant and equipment, net United States $ 139 $ 157 Americas (excluding United States) 21 29 Europe, Middle East and Africa (EMEA) 70 78 Asia Pacific (APJ) 57 58 Consolidated property, plant and equipment, net $ 287 $ 322 Concentrations No single customer accounts for more than 10% of NCR’s consolidated revenue. As of December 31, 2016 , NCR is not aware of any significant concentration of business transacted with a particular customer that could, if suddenly eliminated, have a material adverse effect on NCR’s operations. NCR also lacks a concentration of available sources of labor, services, licenses or other rights that could, if suddenly eliminated, have a material adverse effect on its operations. A number of NCR’s products, systems and solutions rely primarily on specific suppliers for microprocessors and other component products, manufactured assemblies, operating systems, commercial software and other central components. NCR also utilizes contract manufacturers in order to complete manufacturing activities. There can be no assurances that any sudden impact to the availability or cost of these technologies or services would not have a material adverse effect on NCR’s operations. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) (AOCI) (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
Statement of Financial Position [Abstract] | |
Accumulated Other Comprehensive Income (Loss) (AOCI) | 14. ACCUMULATED OTHER COMPREHENSIVE INCOME Changes in Accumulated Other Comprehensive Income (AOCI) by Component The changes in AOCI for the years ended December 31 are as follows: In millions Currency Translation Adjustments Changes in Employee Benefit Plans Changes in Fair Value of Effective Cash Flow Hedges Changes in Fair Value of Available for Sale Securities Total Balance at December 31, 2013 $ (52 ) $ 16 $ (5 ) $ 3 $ (38 ) Other comprehensive (loss) before reclassifications (73 ) (12 ) (1 ) — (86 ) Amounts reclassified from AOCI — (12 ) 3 (3 ) (12 ) Net current period other comprehensive (loss) income (73 ) (24 ) 2 (3 ) (98 ) Balance at December 31, 2014 $ (125 ) $ (8 ) $ (3 ) $ — $ (136 ) Other comprehensive (loss) income before reclassifications (47 ) 43 8 — 4 Amounts reclassified from AOCI — (12 ) (6 ) — (18 ) Net current period other comprehensive (loss) income (47 ) 31 2 — (14 ) Balance at December 31, 2015 $ (172 ) $ 23 $ (1 ) $ — $ (150 ) Other comprehensive (loss) income before reclassifications (52 ) (1 ) 16 — (37 ) Amounts reclassified from AOCI — (16 ) (2 ) — (18 ) Net current period other comprehensive (loss) income (52 ) (17 ) 14 — (55 ) Balance at December 31, 2016 $ (224 ) $ 6 $ 13 $ — $ (205 ) Reclassifications Out of AOCI The reclassifications out of AOCI for the years ended December 31 are as follows: For the year ended December 31, 2016 Employee Benefit Plans In millions Actuarial Losses Recognized Amortization of Prior Service Benefit Effective Cash Flow Hedges Total Affected line in Consolidated Statement of Operations: Cost of products $ — $ — $ (3 ) $ (3 ) Cost of services (1 ) (10 ) — (11 ) Selling, general and administrative expenses — (6 ) — (6 ) Research and development expenses (1 ) (3 ) — (4 ) Interest expense — — 2 2 Total before tax $ (2 ) $ (19 ) $ (1 ) $ (22 ) Tax expense 4 Total reclassifications, net of tax $ (18 ) For the year ended December 31, 2015 Employee Benefit Plans In millions Actuarial Losses Recognized Amortization of Prior Service Benefit Effective Cash Flow Hedges Total Affected line in Consolidated Statement of Operations: Cost of products $ — $ (1 ) $ (12 ) $ (13 ) Cost of services $ 1 $ (9 ) $ — $ (8 ) Selling, general and administrative expenses 1 (7 ) — (6 ) Research and development expenses — (4 ) — (4 ) Interest expense — — 5 5 Total before tax $ 2 $ (21 ) $ (7 ) $ (26 ) Tax expense 8 Total reclassifications, net of tax $ (18 ) For the year ended December 31, 2014 Employee Benefit Plans In millions Actuarial Losses Recognized Effective Cash Flow Hedges Securities Total Affected line in Consolidated Statement of Operations: Cost of products $ (10 ) $ — $ — $ (10 ) Cost of services (6 ) — — (6 ) Selling, general and administrative expenses (4 ) — — (4 ) Research and development expenses — 4 — 4 Interest expense — — (4 ) (4 ) Total before tax $ (20 ) $ 4 $ (4 ) $ (20 ) Tax expense 8 Total reclassifications, net of tax $ (12 ) |
Supplemental Financial Informat
Supplemental Financial Information | 12 Months Ended |
Dec. 31, 2016 | |
Supplemental Financial Information [Abstract] | |
Supplemental Financial Information | 15. SUPPLEMENTAL FINANCIAL INFORMATION The components of other (expense), net are summarized as follows for the years ended December 31 : In millions 2016 2015 2014 Other (expense), net Interest income $ 4 $ 5 $ 6 Foreign currency fluctuations and foreign exchange contracts (40 ) (21 ) (32 ) Impairment of an investment — — (3 ) Divestiture and liquidation losses (6 ) (34 ) — Gain on sale of available for sale securities — — 4 Other, net (8 ) (7 ) (10 ) Total other (expense), net $ (50 ) $ (57 ) $ (35 ) The components of accounts receivable are summarized as follows: In millions December 31, 2016 December 31, 2015 Accounts receivable Trade $ 1,266 $ 1,259 Other 57 39 Accounts receivable, gross 1,323 1,298 Less: allowance for doubtful accounts (41 ) (47 ) Total accounts receivable, net $ 1,282 $ 1,251 The components of inventory are summarized as follows: In millions December 31, 2016 December 31, 2015 Inventories Work in process and raw materials $ 154 $ 137 Finished goods 149 129 Service parts 396 377 Total inventories $ 699 $ 643 The components of other current assets are summarized as follows: In millions December 31, 2016 December 31, 2015 Other current assets Held for sale assets $ — $ 89 Other 278 238 Total other current assets $ 278 $ 327 The components of property, plant and equipment are summarized as follows: In millions December 31, 2016 December 31, 2015 Property, plant and equipment Land and improvements $ 6 $ 7 Buildings and improvements 198 196 Machinery and other equipment 598 597 Property, plant and equipment, gross 802 800 Less: accumulated depreciation (515 ) (478 ) Total property, plant and equipment, net $ 287 $ 322 |
Condensed Consolidating Supplem
Condensed Consolidating Supplemental Guarantor Information (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Consolidating Supplemental Guarantor Information [Abstract] | |
Condensed Consolidating Supplemental Guarantor Information | 16. GUARANTOR FINANCIAL STATEMENTS The Company's 5.00% Notes, 4.625% Notes, 5.875% Notes and 6.375% Notes are guaranteed by the Company's subsidiary, NCR International, Inc. (Guarantor Subsidiary), which is 100% owned by the Company and has guaranteed fully and unconditionally the obligations to pay principal and interest for these senior unsecured notes. The guarantees are subject to release under certain circumstances as described below: • the designation of the Guarantor Subsidiary as an unrestricted subsidiary under the indenture governing the notes; • the release of the Guarantor Subsidiary from its guarantee under the Senior Secured Credit Facility; • the release or discharge of the indebtedness that required the guarantee of the notes by the Guarantor Subsidiary; • the permitted sale or other disposition of the Guarantor Subsidiary to a third party; and • the Company's exercise of its legal defeasance option of its covenant defeasance option under the indenture governing the notes. Refer to Note 6, "Debt Obligations" for additional information. In connection with the previously completed exchange offers for the 5.00% Notes, 4.625% Notes, 5.875% Notes and 6.375% Notes, the Company is required to comply with Rule 3-10 of SEC Regulation S-X (Rule 3-10), and has therefore included the accompanying Condensed Consolidating Financial Statements in accordance with Rule 3-10(f) of SEC Regulation S-X. The following supplemental information sets forth, on a consolidating basis, the condensed statements of operations and comprehensive income (loss), the condensed balance sheets and the condensed statements of cash flows for the parent issuer of these senior unsecured notes, for the Guarantor Subsidiary and for the Company and all of its consolidated subsidiaries. As of January 1, 2016 , certain non-guarantor subsidiaries were acquired by, and merged into, the parent issuer. Accordingly, all prior period condensed consolidating guarantor financial statements were updated to reflect the mergers. Consolidating Statements of Operations and Comprehensive Income (Loss) For the year ended December 31, 2016 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Product revenue $ 1,293 $ 111 $ 1,768 $ (435 ) $ 2,737 Service revenue 1,615 36 2,155 — 3,806 Total revenue 2,908 147 3,923 (435 ) 6,543 Cost of products 1,024 50 1,463 (435 ) 2,102 Cost of services 1,170 12 1,477 — 2,659 Selling, general and administrative expenses 484 4 438 — 926 Research and development expenses 139 — 103 — 242 Restructuring-related charges 11 — 4 — 15 Total operating expenses 2,828 66 3,485 (435 ) 5,944 Income (loss) from operations 80 81 438 — 599 Interest expense (165 ) — (74 ) 69 (170 ) Other (expense) income, net 44 (23 ) (2 ) (69 ) (50 ) Income (loss) from continuing operations before income taxes (41 ) 58 362 — 379 Income tax expense (benefit) (18 ) 21 89 — 92 Income (loss) from continuing operations before earnings in subsidiaries (23 ) 37 273 — 287 Equity in earnings of consolidated subsidiaries 306 304 — (610 ) — Income (loss) from continuing operations 283 341 273 (610 ) 287 Income (loss) from discontinued operations, net of tax (13 ) — — — (13 ) Net income (loss) $ 270 $ 341 $ 273 $ (610 ) $ 274 Net income (loss) attributable to noncontrolling interests — — 4 — 4 Net income (loss) attributable to NCR $ 270 $ 341 $ 269 $ (610 ) $ 270 Total comprehensive income (loss) 215 277 210 (488 ) 214 Less comprehensive income (loss) attributable to noncontrolling interests — — (1 ) — (1 ) Comprehensive income (loss) attributable to NCR common stockholders $ 215 $ 277 $ 211 $ (488 ) $ 215 Consolidating Statements of Operations and Comprehensive Income (Loss) For the year ended December 31, 2015 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Product revenue $ 1,189 $ 105 $ 2,339 $ (922 ) $ 2,711 Service revenue 1,528 33 2,101 — 3,662 Total revenue 2,717 138 4,440 (922 ) 6,373 Cost of products 904 43 2,047 (922 ) 2,072 Cost of services 1,103 13 1,716 — 2,832 Selling, general and administrative expenses 501 4 537 — 1,042 Research and development expenses 102 — 128 — 230 Restructuring-related charges 32 — 30 — 62 Total operating expenses 2,642 60 4,458 (922 ) 6,238 Income (loss) from operations 75 78 (18 ) — 135 Interest expense (168 ) — (78 ) 73 (173 ) Other (expense) income, net 22 4 (10 ) (73 ) (57 ) Income (loss) from continuing operations before income taxes (71 ) 82 (106 ) — (95 ) Income tax expense (benefit) (33 ) 52 36 — 55 Income (loss) from continuing operations before earnings in subsidiaries (38 ) 30 (142 ) — (150 ) Equity in earnings of consolidated subsidiaries (115 ) (161 ) — 276 — Income (loss) from continuing operations (153 ) (131 ) (142 ) 276 (150 ) Income (loss) from discontinued operations, net of tax (25 ) — 1 — (24 ) Net income (loss) $ (178 ) $ (131 ) $ (141 ) $ 276 $ (174 ) Net income (loss) attributable to noncontrolling interests — — 4 — 4 Net income (loss) attributable to NCR $ (178 ) $ (131 ) $ (145 ) $ 276 $ (178 ) Total comprehensive income (loss) (192 ) (154 ) (156 ) 311 (191 ) Less comprehensive income (loss) attributable to noncontrolling interests — — 1 — 1 Comprehensive income (loss) attributable to NCR common stockholders $ (192 ) $ (154 ) $ (157 ) $ 311 $ (192 ) Consolidating Statements of Operations and Comprehensive Income (Loss) For the year ended December 31, 2014 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Product revenue $ 1,103 $ 111 $ 2,099 $ (421 ) $ 2,892 Service revenue 1,445 28 2,226 — 3,699 Total revenue 2,548 139 4,325 (421 ) 6,591 Cost of products 867 41 1,666 (421 ) 2,153 Cost of services 1,119 13 1,574 — 2,706 Selling, general and administrative expenses 519 2 491 — 1,012 Research and development expenses 161 — 102 — 263 Restructuring-related charges 32 1 71 — 104 Total operating expenses 2,698 57 3,904 (421 ) 6,238 Income (loss) from operations (150 ) 82 421 — 353 Interest expense (177 ) (1 ) (75 ) 72 (181 ) Other (expense) income, net 39 (4 ) 2 (72 ) (35 ) Income (loss) from continuing operations before income taxes (288 ) 77 348 — 137 Income tax expense (benefit) (169 ) 68 53 — (48 ) Income (loss) from continuing operations before earnings in subsidiaries (119 ) 9 295 — 185 Equity in earnings of consolidated subsidiaries 300 373 — (673 ) — Income (loss) from continuing operations 181 382 295 (673 ) 185 Income (loss) from discontinued operations, net of tax 10 — — — 10 Net income (loss) $ 191 $ 382 $ 295 $ (673 ) $ 195 Net income (loss) attributable to noncontrolling interests — — 4 — 4 Net income (loss) attributable to NCR $ 191 $ 382 $ 291 $ (673 ) $ 191 Total comprehensive income (loss) 93 300 188 (487 ) 94 Less comprehensive income (loss) attributable to noncontrolling interests — — 1 — 1 Comprehensive income (loss) attributable to NCR common stockholders $ 93 $ 300 $ 187 $ (487 ) $ 93 Consolidating Balance Sheet December 31, 2016 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash and cash equivalents $ 65 $ 12 $ 421 $ — $ 498 Accounts receivable, net 64 25 1,193 — 1,282 Inventories 272 13 414 — 699 Due from affiliates 680 1,509 400 (2,589 ) — Other current assets 140 37 162 (61 ) 278 Total current assets 1,221 1,596 2,590 (2,650 ) 2,757 Property, plant and equipment, net 129 — 158 — 287 Goodwill 988 — 1,739 — 2,727 Intangibles, net 176 — 496 — 672 Prepaid pension cost — — 94 — 94 Deferred income taxes 499 98 82 (104 ) 575 Investments in subsidiaries 3,275 2,822 — (6,097 ) — Due from affiliates 1,053 — 35 (1,088 ) — Other assets 405 56 100 — 561 Total assets $ 7,746 $ 4,572 $ 5,294 $ (9,939 ) $ 7,673 Liabilities and stockholders’ equity Current liabilities Short-term borrowings $ 46 $ — $ 4 $ — $ 50 Accounts payable 310 2 469 — 781 Payroll and benefits liabilities 129 — 105 — 234 Deferred service revenue and customer deposits 193 5 270 — 468 Due to affiliates 1,736 154 699 (2,589 ) — Other current liabilities 224 6 263 (61 ) 432 Total current liabilities 2,638 167 1,810 (2,650 ) 1,965 Long-term debt 2,998 — 3 — 3,001 Pension and indemnity plan liabilities 473 — 266 — 739 Postretirement and postemployment benefits liabilities 24 3 100 — 127 Income tax accruals 17 4 121 — 142 Due to affiliates — 35 1,053 (1,088 ) — Other liabilities 54 5 183 (104 ) 138 Total liabilities 6,204 214 3,536 (3,842 ) 6,112 Redeemable noncontrolling interest — — 15 — 15 Series A convertible preferred stock 847 — — — 847 Stockholders’ equity Total NCR stockholders’ equity 695 4,358 1,739 (6,097 ) 695 Noncontrolling interests in subsidiaries — — 4 — 4 Total stockholders’ equity 695 4,358 1,743 (6,097 ) 699 Total liabilities and stockholders’ equity $ 7,746 $ 4,572 $ 5,294 $ (9,939 ) $ 7,673 Consolidating Balance Sheet December 31, 2015 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash and cash equivalents $ 15 $ 20 $ 293 $ — $ 328 Accounts receivable, net 99 33 1,119 — 1,251 Inventories 235 6 402 — 643 Due from affiliates 573 1,325 288 (2,186 ) — Other current assets 132 31 203 (39 ) 327 Total current assets 1,054 1,415 2,305 (2,225 ) 2,549 Property, plant and equipment, net 140 1 181 — 322 Goodwill 980 — 1,753 — 2,733 Intangibles, net 212 — 586 — 798 Prepaid pension cost — — 130 — 130 Deferred income taxes 475 152 84 (129 ) 582 Investments in subsidiaries 3,172 2,729 — (5,901 ) — Due from affiliates 1,072 17 38 (1,127 ) — Other assets 362 55 104 — 521 Total assets $ 7,467 $ 4,369 $ 5,181 $ (9,382 ) $ 7,635 Liabilities and stockholders’ equity Current liabilities Short-term borrowings $ 4 $ — $ 9 $ — $ 13 Accounts payable 281 — 376 — 657 Payroll and benefits liabilities 95 1 93 — 189 Deferred service revenue and customer deposits 183 24 269 — 476 Due to affiliates 1,408 137 641 (2,186 ) — Other current liabilities 216 3 266 (39 ) 446 Total current liabilities 2,187 165 1,654 (2,225 ) 1,781 Long-term debt 3,229 — 10 — 3,239 Pension and indemnity plan liabilities 436 — 260 — 696 Postretirement and postemployment benefits liabilities 27 3 103 — 133 Income tax accruals 14 13 140 — 167 Due to affiliates 18 37 1,072 (1,127 ) — Other liabilities 38 — 170 (129 ) 79 Total liabilities 5,949 218 3,409 (3,481 ) 6,095 Redeemable noncontrolling interest — — 16 — 16 Series A Convertible Preferred Stock 798 — — — 798 Stockholders’ equity Total NCR stockholders’ equity 720 4,151 1,750 (5,901 ) 720 Noncontrolling interests in subsidiaries — — 6 — 6 Total stockholders’ equity 720 4,151 1,756 (5,901 ) 726 Total liabilities and stockholders’ equity $ 7,467 $ 4,369 $ 5,181 $ (9,382 ) $ 7,635 Consolidating Statement of Cash Flows For the year ended December 31, 2016 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Net cash provided by (used in) operating activities $ 272 $ (160 ) $ 785 $ (3 ) $ 894 Investing activities Expenditures for property, plant and equipment (31 ) — (42 ) — (73 ) Proceeds from the sale of property, plant and equipment — — — — — Additions to capitalized software (95 ) — (59 ) — (154 ) Proceeds from (payments of) intercompany notes 409 115 — (524 ) — Proceeds from divestitures 22 — 25 — 47 Investments in equity affiliates (9 ) 50 — (41 ) — Other investing activities, net (9 ) — — — (9 ) Net cash provided by (used in) investing activities 287 165 (76 ) (565 ) (189 ) Financing activities Short term borrowings, net (4 ) — (4 ) — (8 ) Payments on term credit facilities (89 ) — (8 ) — (97 ) Payments on revolving credit facilities (1,151 ) — (280 ) — (1,431 ) Borrowings on revolving credit facilities 1,051 — 280 — 1,331 Debt issuance costs (9 ) — — — (9 ) Tax withholding payments on behalf of employees (16 ) — — — (16 ) Proceeds from employee stock plans 15 — — — 15 Other financing activities — — (2 ) — (2 ) Dividend distribution to consolidated subsidiaries — — (53 ) 53 — Repurchases of Company common stock (250 ) — — — (250 ) Equity contribution — — 9 (9 ) — Borrowings (repayments) of intercompany notes (17 ) — (507 ) 524 — Net cash provided by (used in) financing activities (470 ) — (565 ) 568 (467 ) Cash flows from discontinued operations Net cash used in discontinued operations operating activities (39 ) — — — (39 ) Effect of exchange rate changes on cash and cash equivalents — (13 ) (16 ) — (29 ) (Decrease) increase in cash and cash equivalents 50 (8 ) 128 — 170 Cash and cash equivalents at beginning of period 15 20 293 — 328 Cash and cash equivalents at end of period $ 65 $ 12 $ 421 $ — $ 498 Consolidating Statement of Cash Flows For the year ended December 31, 2015 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Net cash provided by (used in) operating activities $ 346 $ (335 ) $ 747 $ (77 ) $ 681 Investing activities Expenditures for property, plant and equipment (22 ) — (57 ) — (79 ) Proceeds from sales of property, plant and equipment — — 19 — 19 Additions to capitalized software (91 ) — (59 ) — (150 ) Proceeds from (payments of) intercompany notes 272 347 — (619 ) — Investments in equity affiliates (1 ) — — 1 — Other investing activities, net (6 ) — 7 — 1 Net cash provided by (used in) investing activities 152 347 (90 ) (618 ) (209 ) Financing activities Short term borrowings, net 3 — 5 — 8 Payments on term credit facilities (376 ) — (7 ) — (383 ) Payments on revolving credit facilities (729 ) — (965 ) — (1,694 ) Borrowings on revolving credit facilities 829 — 869 — 1,698 Tax withholding payments on behalf of employees (16 ) — — — (16 ) Proceeds from employee stock plans 15 — — — 15 Dividend distribution to consolidated subsidiaries — — (77 ) 77 — Series A convertible preferred stock issuance 794 — — — 794 Tender offer share repurchase (1,005 ) — — — (1,005 ) Equity contribution — — 1 (1 ) — Borrowings (repayments) of intercompany notes — — (619 ) 619 — Net cash provided by (used in) financing activities (485 ) — (793 ) 695 (583 ) Cash flows from discontinued operations Net cash used in discontinued operations operating activities (43 ) — — — (43 ) Effect of exchange rate changes on cash and cash equivalents — (1 ) (28 ) — (29 ) Increase (decrease) in cash and cash equivalents (30 ) 11 (164 ) — (183 ) Cash and cash equivalents at beginning of period 45 9 457 — 511 Cash and cash equivalents at end of period $ 15 $ 20 $ 293 $ — $ 328 Consolidating Statement of Cash Flows For the year ended December 31, 2014 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Net cash provided by (used in) operating activities $ 405 $ (108 ) $ 322 $ (95 ) $ 524 Investing activities Expenditures for property, plant and equipment (54 ) — (64 ) — (118 ) Proceeds from sales of property, plant and equipment — — 1 — 1 Additions to capitalized software (82 ) — (58 ) — (140 ) Business acquisitions, net (1,647 ) — — — (1,647 ) Changes in restricted cash 1,114 — — — 1,114 Proceeds from (payments of) intercompany notes 42 106 — (148 ) — Investments in equity affiliates (2 ) — — 2 — Other investing activities, net (5 ) — 7 — 2 Net cash provided by (used in) investing activities (634 ) 106 (114 ) (146 ) (788 ) Financing activities Payments on revolving credit facilities (34 ) — (3 ) — (37 ) Borrowings on term credit facilities 250 — — — 250 Payments on revolving credit facilities (946 ) — (104 ) — (1,050 ) Borrowings on revolving credit facilities 946 — 200 — 1,146 Debt issuance costs (4 ) — (1 ) — (5 ) Tax withholding payments on behalf of employees (28 ) — — — (28 ) Proceeds from employee stock plans 13 — — — 13 Other financing activities (1 ) — (4 ) — (5 ) Dividend distribution to consolidated subsidiaries — — (95 ) 95 — Equity contribution — — 2 (2 ) — Borrowings (repayments) of intercompany notes — — (148 ) 148 — Net cash provided by (used in) financing activities 196 — (153 ) 241 284 Cash flows from discontinued operations Net cash used in discontinued operations operating activities (1 ) — — — (1 ) Effect of exchange rate changes on cash and cash equivalents — — (36 ) — (36 ) Increase (decrease) in cash and cash equivalents (34 ) (2 ) 19 — (17 ) Cash and cash equivalents at beginning of period 79 11 438 — 528 Cash and cash equivalents at end of period $ 45 $ 9 $ 457 $ — $ 511 |
Quarterly Information (unaudite
Quarterly Information (unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Information | 17. QUARTERLY INFORMATION (UNAUDITED) In millions, except per share amounts First Second Third Fourth 2016 Total revenue $ 1,444 $ 1,620 $ 1,677 $ 1,802 Gross margin 380 446 477 479 Operating income 101 163 189 146 Income from continuing operations (attributable to NCR) 32 76 107 68 Income (loss) from discontinued operations, net of tax — — (2 ) (11 ) Net income attributable to NCR $ 21 $ 63 $ 92 $ 45 Income per share attributable to NCR common stockholders: Income per common share from continuing operations Basic $ 0.16 $ 0.51 $ 0.76 $ 0.45 Diluted $ 0.16 $ 0.49 $ 0.69 $ 0.43 Net income per common share: Basic $ 0.16 $ 0.51 $ 0.74 $ 0.36 Diluted $ 0.16 $ 0.49 $ 0.68 $ 0.35 2015 Total revenue $ 1,476 $ 1,604 $ 1,613 $ 1,680 Gross margin 390 146 457 476 Operating income (loss) 95 (266 ) 168 138 Income (loss) from continuing operations (attributable to NCR) 40 (344 ) 102 44 Income (loss) from discontinued operations, net of tax — — (4 ) (20 ) Net income (loss) attributable to NCR $ 40 $ (344 ) $ 98 $ 24 Income (loss) per share attributable to NCR common stockholders: Income (loss) per common share from continuing operations Basic $ 0.24 $ (2.03 ) $ 0.60 $ 0.27 Diluted $ 0.23 $ (2.03 ) $ 0.59 $ 0.27 Net income (loss) per common share: Basic $ 0.24 $ (2.03 ) $ 0.58 $ 0.15 Diluted $ 0.23 $ (2.03 ) $ 0.57 $ 0.15 Operating income for the quarter ended December 31, 2016 was impacted by actuarial losses related to the remeasurement of our pension plan assets and liabilities. The actuarial losses included in pension expense recognized in the quarter ended December 31, 2016 decreased operating income by $85 million , net income attributable to NCR by $78 million , basic earnings per share from continuing operations by $0.63 , and diluted earnings per share from continuing operations by $0.50 . Operating income for the quarter ended December 31, 2015 was impacted by actuarial losses related to the remeasurement of our pension plan assets and liabilities. The actuarial losses included in pension expense recognized in the quarter ended December 31, 2015 decreased operating income by $29 million , net income attributable to NCR by $18 million , basic earnings per share from continuing operations by $0.11 , and diluted earnings per share from continuing operations by $0.11 . Net income per share in each quarter is computed using the weighted-average number of shares outstanding during that quarter while net income per share for the full year is computed using the weighted-average number of shares outstanding during the year. Thus, the sum of the four quarters’ net income per share will not necessarily equal the full-year net income per share. |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | 18. SUBSEQUENT EVENTS Certain settlement activities occurred in January 2017 with respect to the Fox River matter. In early January 2017 the Wisconsin federal court approved a settlement under which five companies agreed to pay $9 million to the LLC created by the 2014 Funding Agreement referenced in Note 10, "Commitments and Contingencies" , or to the LLC designee; those funds will be applied to remediation expenses at the Fox River. The settlement also includes a release that eliminates litigation claims that those five companies had advanced against the Company. The period for any appeals to challenge that settlement has expired, and the funds to be paid under it by the various companies either have been paid or are expected to be paid in the first quarter of 2017. Additionally, on January 17, 2017, the United States and the State of Wisconsin lodged with the Wisconsin federal court a proposed Consent Decree (CD) that, if approved by the court, is expected to resolve all remaining claims against the Company with respect to the Fox River. The key components of the proposed CD settlement, which is a public document, include (1) the Company’s commitment to complete the remediation of the Fox River, which is expected to be completed over 2017 and 2018; (2) the Company’s conditional agreement to waive its contribution claims against the two remaining defendants in the case, GP and Glatfelter; (3) the Company’s agreement not to appeal the trial court’s decision on divisibility of harm; (4) the Governments’ agreement to include in the settlement so-called “contribution protection” in the Company’s favor as to GP’s and Glatfelter’s contribution claims against the Company, the effect of which will be to extinguish those claims; (5) the Governments’ agreement not to pursue the Company for the Governments’ past oversight costs; and (6) the Governments’ agreement to exercise prosecutorial discretion in pursuing other parties for future oversight costs and long-term monitoring and maintenance, with the Company retaining so-called “backstop” liability in the event that the other parties fail to pay future oversight costs or perform long-term monitoring and maintenance. Additionally, although certain state law claims by GP and Glatfelter against the Company may not be affected directly by the CD, the CD provides that the Company’s contribution claims against those two parties will revive if those parties attempt to assert any claims against the Company relating to the Fox River, including any state law claims. With respect to the Company’s Fox River reserve, the Company’s estimate of the further remediation costs associated with the CD, together with changes in or elimination of certain other components of the reserve that are occasioned by the CD, required an incremental addition to the Company’s net reserve of $14 million , which is reflected in the amounts contained in Note 10, "Commitments and Contingencies" . That amount takes into account the expected contributions of the Company’s former corporate parent and former affiliates and indemnitors, i.e., BAT, AT&T and Nokia. In connection with the proposed CD settlement, the Wisconsin federal court stayed, or postponed, the trials that were scheduled to commence in April and May 2017 in the contribution and enforcement actions respectively. The proposed consent decree was submitted for mandatory public comment on January 23, 2017; the public comment period is expected to conclude in February 2017. The United States reserves the right to withdraw or withhold its consent to the CD if the comments regarding the CD disclose facts or considerations that indicate that the CD is inappropriate, improper or inadequate. A court conference is scheduled for March 10 with respect to the Governments’ expected motion to approve the consent decree; the motion is expected to be filed thereafter, and the court’s decision on the consent decree is expected at a later time. The Company has agreed to perform the remediation obligations set forth in the consent decree during the public comment period and while the motion for approval is pending. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | Column A Column B Column C Column D Column E Additions Description Balance at Beginning of Period Charged to Costs & Expenses Charged to Other Accounts Deductions Balance at End of Period Year Ended December 31, 2016 Allowance for doubtful accounts $47 $9 $— $15 $41 Deferred tax asset valuation allowance $346 $— $99 $— $445 Year Ended December 31, 2015 Allowance for doubtful accounts $19 $32 $— $4 $47 Deferred tax asset valuation allowance $294 $— $52 $— $346 Year Ended December 31, 2014 Allowance for doubtful accounts $18 $10 $— $9 $19 Deferred tax asset valuation allowance $364 $— $— $70 $294 |
Description of Business and S27
Description of Business and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Description of Business and Significant Accounting Policies [Abstract] | |
Use of Estimates [Policy Text Block] | Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and revenue and expenses during the periods reported. Actual results could differ from those estimates. |
Basis of Consolidation [Policy Text Block] | Basis of Consolidation The consolidated financial statements include the accounts of NCR and its majority-owned subsidiaries. Long-term investments in affiliated companies in which NCR owns between 20% and 50%, and therefore, exercises significant influence, but which it does not control, are accounted for using the equity method. Investments in which NCR does not exercise significant influence (generally, when NCR has an investment of less than 20% and no significant influence, such as representation on the investee’s board of directors) are accounted for using the cost method. All significant inter-company transactions and accounts have been eliminated. In addition, the Company is required to determine whether it is the primary beneficiary of economic income or losses that may be generated by variable interest entities in which the Company has such an interest. In circumstances where the Company determined it is the primary beneficiary, consolidation of that entity would be required. For the periods presented, no variable interest entities have been consolidated. |
Revenue Recognition [Policy Text Block] | Revenue Recognition The Company records revenue, net of taxes, when it is realized, or realizable, and earned. The Company considers these criteria met when persuasive evidence of an arrangement exists, the products or services have been provided to the customer, the sales price is fixed or determinable, and collectability is reasonably assured. For product sales, delivery is deemed to have occurred when the customer has assumed risk of loss of the goods sold and all performance obligations are complete. For service sales, revenue is recognized as the services are provided or ratably over the service period, or, if applicable, after customer acceptance of the services. NCR frequently enters into multiple-element arrangements with its customers including hardware, software, professional consulting services, transaction services and maintenance support services. For arrangements involving multiple deliverables, when deliverables include software and non-software products and services, NCR evaluates and separates each deliverable to determine whether it represents a separate unit of accounting based on the following criteria: (a) whether the delivered item has value to the customer on a stand-alone basis; and (b) if the contract includes a general right of return relative to the delivered item, whether delivery or performance of the undelivered items is considered probable and substantially in the control of NCR. Consideration is allocated to each unit of accounting based on the units' relative selling prices. In such circumstances, the Company uses a hierarchy to determine the selling price to be used for allocating revenue to each deliverable: (i) vendor-specific objective evidence of selling price (VSOE); (ii) third-party evidence of selling price (TPE); and (iii) best estimate of selling price (BESP). VSOE generally exists only when the Company sells the deliverable separately and is the price actually charged by the Company for that deliverable. VSOE is established for our software maintenance and software-related professional services. We use TPE to establish selling prices for our installation and transaction services. The Company uses BESP to allocate revenue when we are unable to establish VSOE or TPE of selling price. BESP is used for hardware maintenance and elements such as products that are not consistently priced within a narrow range. The Company determines BESP for a deliverable by considering multiple factors including product class, geography, average discount, and management's historical pricing practices. Amounts allocated to the delivered hardware and software elements are recognized at the time of sale, provided the other conditions for revenue recognition have been met. Amounts allocated to the undelivered maintenance and other service elements are recognized as the services are provided or on a straight-line basis over the service period. In certain instances, customer acceptance is required prior to the passage of title and risk of loss of the delivered products. In such cases, revenue is not recognized until the customer acceptance is obtained. Delivery and acceptance generally occur in the same reporting period. In situations where NCR's solutions contain software that is more than incidental, revenue related to the software and software-related elements is recognized in accordance with authoritative guidance on software revenue recognition. For the software and software-related elements of such transactions, revenue is allocated based on the relative fair value of each element, and fair value is determined by VSOE. If the Company cannot objectively determine the fair value of any undelivered element included in such multiple-element arrangements, the Company defers revenue until all elements are delivered and services have been performed, or until fair value can objectively be determined for any remaining undelivered elements. When the fair value of a delivered element has not been established, but fair value evidence exists for the undelivered elements, the Company uses the residual method to recognize revenue. Under the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the delivered elements and is recognized as revenue. If an arrangement includes software and services that involve significant production, modification or customization of the software, the services cannot be separated from the software. The Company accounts for these arrangements as a long-term contract. For certain of NCR’s long-term contracts, the Company utilizes a percentage-of-completion accounting method, which requires estimates of future revenue and costs over the full term of product and/or service delivery. Estimated losses, if any, on long-term projects are recognized as soon as such losses become known. NCR's customers may request that delivery and passage of title and risk of loss occur on a bill and hold basis. For the years ended December 31, 2016 , 2015 , and 2014 , the revenue recognized from bill and hold transactions approximated less than 1% of total revenue. In addition to the standard product warranty, the Company periodically offers extended warranties to its customers in the form of product maintenance services. For contracts that are not separately priced but include product maintenance, the Company defers revenue at an amount based on the selling price, using objective and reliable evidence, and recognizes the deferred revenue over the service term. For separately priced product maintenance contracts, NCR defers the stated amount of the separately priced contract and recognizes the deferred revenue ratably over the service term. |
Warranty and Sales Returns [Policy Text Block] | Warranty and Sales Returns Provisions for product warranties and sales returns and allowances are recorded in the period in which NCR becomes obligated to honor the related right, which generally is the period in which the related product revenue is recognized. The Company accrues warranty reserves based upon historical factors such as labor rates, average repair time, travel time, number of service calls per machine and cost of replacement parts. When a sale is consummated, a warranty reserve is recorded based upon the estimated cost to provide the service over the warranty period. The Company accrues sales returns and allowances using percentages of revenue to reflect the Company’s historical average of sales return claims. |
Research and Development Costs [Policy Text Block] | Research and Development Costs Research and development costs primarily include payroll and benefit-related costs, contractor fees, facilities costs, infrastructure costs, and administrative expenses directly related to research and development support and are expensed as incurred, except certain software development costs are capitalized after technological feasibility of the software is established. |
Advertising [Policy Text Block] | Advertising Advertising costs are recognized in selling, general and administrative expenses when incurred. |
Shipping and Handling [Policy Text Block] | Shipping and Handling Costs related to shipping and handling are included in cost of products in the Consolidated Statements of Operations. |
Stock Compensation [Policy Text Block] | Stock Compensation Stock-based compensation represents the costs related to share-based awards granted to employees and non-employee directors. The Company’s outstanding stock-based compensation awards are classified as equity. The Company measures stock-based compensation cost at the grant date, based on the estimated fair value of the award and recognizes the cost over the requisite service period. See Note 8 "Stock Compensation Plans" for further information on NCR’s stock-based compensation plans. |
Income Taxes [Policy Text Block] | Income Taxes Income tax expense is provided based on income before income taxes. Deferred income taxes reflect the impact of temporary differences between assets and liabilities recognized for financial reporting purposes and such amounts recognized for tax purposes. These deferred taxes are determined based on the enacted tax rates expected to apply in the periods in which the deferred assets or liabilities are expected to be settled or realized. NCR records valuation allowances related to its deferred income tax assets when it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the consolidated financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being sustained upon examination by authorities. Interest and penalties related to uncertain tax positions are recognized as part of the provision for income taxes and are accrued beginning in the period that such interest and penalties would be applicable under relevant tax law and until such time that the related tax benefits are recognized. |
Earnings Per Share | Basic earnings per share (EPS) is calculated by dividing net income, less any dividends, accretion or decretion, redemption or induced conversion on our Series A Convertible Preferred Stock, by the weighted average number of shares outstanding during the reported period. In computing diluted EPS, we adjust the numerator used in the basic EPS computation, subject to anti-dilution requirements, to add back the dividends (declared or cumulative undeclared) applicable to the Series A Convertible Preferred Stock. Such add-back would also include any adjustments to equity in the period to accrete the Series A Convertible Preferred Stock to its redemption price, or recorded upon a redemption or induced conversion. We adjust the denominator used in the basic EPS computation, subject to anti-dilution requirements, to include the dilution from potential shares resulting from the issuance of the Series A Convertible Preferred Stock, restricted stock units, and stock options. The Company includes the potential windfall or shortfall tax benefits as well as average unrecognized compensation expense as part of the assumed proceeds from restricted stock units and exercises of stock options. The Company uses the tax law ordering approach to determine the potential utilization of windfall benefits. The holders of Series A Convertible Preferred Stock and unvested restricted stock units do not have nonforfeitable rights to common stock dividends or common stock dividend equivalents. Accordingly, the Series A Convertible Preferred Stock and unvested restricted stock units do not qualify as participating securities. See Note 8, "Stock Compensation Plans" for share information on NCR’s stock compensation plans. |
Cash and Cash Equivalents [Policy Text Block] | Cash and Cash Equivalents All short-term, highly liquid investments having original maturities of three months or less, including time deposits, are considered to be cash equivalents. |
Allowance for Doubtful Accounts [Policy Text Block] | Allowance for Doubtful Accounts NCR establishes provisions for doubtful accounts using percentages of accounts receivable balances to reflect historical average credit losses and specific provisions for known issues. |
Inventories [Policy Text Block] | Inventories Inventories are stated at the lower of cost or net realizable value, using the average cost method. Cost includes materials, labor and manufacturing overhead related to the purchase and production of inventories. Service parts are included in inventories and include reworkable and non-reworkable service parts. The Company regularly reviews inventory quantities on hand, future purchase commitments with suppliers and the estimated utility of inventory. If the review indicates a reduction in utility below carrying value, inventory is reduced to a new cost basis. Excess and obsolete write-offs are established based on forecasted usage, orders, technological obsolescence and inventory aging. |
Capitalized Software [Policy Text Block] | Capitalized Software Certain direct development costs associated with internal-use software are capitalized within other assets and amortized over the estimated useful lives of the resulting software. NCR typically amortizes capitalized internal-use software on a straight-line basis over four to seven years beginning when the asset is substantially ready for use, as this is considered to approximate the usage pattern of the software. When it becomes probable that internal-use software being developed will not be completed or placed into service, the internal-use software is reported at the lower of the carrying amount or fair value. |
Software to be Sold, Leased, or Otherwise Marketed, Policy [Policy Text Block] | Costs incurred for the development of software that will be sold, leased or otherwise marketed are capitalized when technological feasibility has been established. These costs are included within other assets and are amortized on a sum-of-the-years' digits or straight-line basis over the estimated useful lives ranging from three to five years, using the method that most closely approximates the sales pattern of the software. Amortization begins when the product is available for general release. Costs capitalized include direct labor and related overhead costs. Costs incurred prior to technological feasibility or after general release are expensed as incurred. NCR performs periodic reviews to ensure that unamortized program costs remain recoverable from future revenue. If future revenue does not support the unamortized program costs, the amount by which the unamortized capitalized cost of a software product exceeds the net realizable value is written off. |
Goodwill and Other Intangible Assets [Policy Text Block] | Goodwill and Other Intangible Assets Goodwill represents the excess of purchase price over the fair value of the net tangible and identifiable intangible assets of businesses acquired. Goodwill is tested at the reporting unit level for impairment on an annual basis during the fourth quarter or more frequently if certain events occur indicating that the carrying value of goodwill may be impaired. A significant amount of judgment is involved in determining if an indicator of impairment has occurred. Such indicators may include a decline in expected cash flows, a significant adverse change in legal factors or in the business climate, a decision to sell a business, unanticipated competition, or slower growth rates, among others. In the evaluation of goodwill for impairment, we have the option to perform a qualitative assessment to determine whether further impairment testing is necessary or to perform a quantitative assessment by comparing the fair value of a reporting unit to its carrying amount, including goodwill. Under the qualitative assessment, an entity is not required to calculate the fair value of a reporting unit unless the entity determines that it is more likely than not that its fair value is less than its carrying amount. If under the quantitative assessment the fair value of a reporting unit is less than its carrying amount, then the amount of the impairment loss, if any, must be measured under step two of the impairment analysis. In step two of the analysis, we will record an impairment loss equal to the excess of the carrying value of the reporting unit’s goodwill over its implied fair value should such a circumstance arise. Fair values of the reporting units are estimated using a weighted methodology considering the output from both the income and market approaches. The income approach incorporates the use of discounted cash flow (DCF) analysis. A number of significant assumptions and estimates are involved in the application of the DCF model to forecast operating cash flows, including markets and market shares, sales volumes and prices, costs to produce, tax rates, capital spending, discount rate and working capital changes. Several of these assumptions vary among reporting units. The cash flow forecasts are generally based on approved strategic operating plans. The market approach is performed using the Guideline Public Companies (GPC) method which is based on earnings multiple data. We perform a reconciliation between our market capitalization and our estimate of the aggregate fair value of the reporting units, including consideration of a control premium. During the fourth quarter of each year presented, we performed our annual impairment assessment of goodwill which did not indicate that an impairment existed. As of December 31, 2015 , we determined that it was probable that we would dispose of our IPS business, which triggered an impairment assessment of the related assets which include long-lived assets and goodwill. Refer to Note 4, "Goodwill and Purchased Intangible Assets" for further discussion on the assessment. Effective January 1, 2016, NCR began management of its business on a solution basis, changing from the previous model of management on a line of business basis, which resulted in a corresponding change to NCR's reportable segments, as described above. Accordingly, we have reclassified prior period segment disclosures to conform to the current period presentation. In connection with the change in reportable segments, during the first quarter of 2016, the Company determined its reporting units and then assigned goodwill to the new reporting units based on the relative fair value allocation approach. Acquired intangible assets other than goodwill are amortized over their weighted average amortization period unless they are determined to be indefinite. Acquired intangible assets are carried at cost, less accumulated amortization. For intangible assets purchased in a business combination, the estimated fair values of the assets received are used to establish the carrying value. The fair value of acquired intangible assets is determined using common techniques, and the Company employs assumptions developed using the perspective of a market participant. |
Property, Plant and Equipment [Policy Text Block] | Property, Plant and Equipment Property, plant and equipment and leasehold improvements are stated at cost less accumulated depreciation. Depreciation is computed over the estimated useful lives of the related assets primarily on a straight-line basis. Machinery and other equipment are depreciated over 3 to 20 years and buildings over 25 to 45 years. Leasehold improvements are depreciated over the life of the lease or the asset, whichever is shorter. Assets classified as held for sale are not depreciated. Upon retirement or disposition of property, plant and equipment, the related cost and accumulated depreciation or amortization are removed from the Company’s accounts, and a gain or loss is recorded. Depreciation expense related to property, plant and equipment was $90 million , $91 million , and $83 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. |
Valuation of Long-Lived Assets [Policy Text Block] | Valuation of Long-Lived Assets Long-lived assets such as property, plant and equipment and finite-lived intangible assets are reviewed for impairment when events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable or in the period in which the held for sale criteria are met. For assets held and used, this analysis consists of comparing the asset’s carrying value to the expected future cash flows to be generated from the asset on an undiscounted basis. If the carrying amount of the asset is determined not to be recoverable, a write-down to fair value is recorded. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as applicable. Long-lived assets are reviewed for impairment at the individual asset or the asset group level for which the lowest level of independent cash flows can be identified. Refer to Note 4, "Goodwill and Purchased Intangible Assets" for further discussion. |
Pension, Postretirement and Postemployment Benefits [Policy Text Block] | Pension, Postretirement and Postemployment Benefits NCR has significant pension, postretirement and postemployment benefit costs, which are developed from actuarial valuations. Actuarial assumptions are established to anticipate future events and are used in calculating the expense and liabilities relating to these plans. These factors include assumptions the Company makes about interest rates, expected investment return on plan assets, rate of increase in healthcare costs, total and involuntary turnover rates, and rates of future compensation increases. In addition, NCR also uses subjective factors, such as withdrawal rates and mortality rates to develop the Company’s valuations. NCR generally reviews and updates these assumptions on an annual basis. NCR is required to consider current market conditions, including changes in interest rates, in making these assumptions. The actuarial assumptions that NCR uses may differ materially from actual results due to changing market and economic conditions, higher or lower withdrawal rates, or longer or shorter life spans of participants. These differences may result in a significant impact to the amount of pension, postretirement or postemployment benefits expense, and the related assets and liabilities, the Company has recorded or may record. |
Environmental and Legal Contingencies [Policy Text Block] | Environmental and Legal Contingencies In the normal course of business, NCR is subject to various proceedings, lawsuits, claims and other matters, including, for example, those that relate to the environment and health and safety, labor and employment, employee benefits, import/export compliance, intellectual property, data privacy and security, product liability, commercial disputes and regulatory compliance, among others. Additionally, NCR is subject to diverse and complex laws, regulations, and standards including those relating to corporate governance, public disclosure and reporting, environmental safety and the discharge of materials into the environment, product safety, import and export compliance, data privacy and security, antitrust and competition, government contracting, anti-corruption, and labor and human resources, which are rapidly changing and subject to many possible changes in the future. Compliance with these laws and regulations, including changes in accounting standards, taxation requirements, and federal securities laws among others, may create a substantial burden on, and substantially increase the costs to NCR or could have an impact on NCR’s future operating results. NCR believes that the amounts provided in its Consolidated Financial Statements are adequate in light of the probable and estimable liabilities. However, there can be no assurances that the actual amounts required to satisfy alleged liabilities from various lawsuits, claims, legal proceedings and other matters, including the Fox River and Kalamazoo River environmental matters discussed in Note 10, "Commitments and Contingencies" and Note 18, "Subsequent Events," and to comply with applicable laws and regulations, will not exceed the amounts reflected in NCR’s Consolidated Financial Statements or will not have a material adverse effect on the Company’s consolidated results of operations, financial condition or cash flows. Any costs that may be incurred in excess of those amounts provided as of December 31, 2016 cannot currently be reasonably determined or are not currently considered probable. Legal fees and expenses related to loss contingencies are typically expensed as incurred, except for certain costs associated with NCR’s environmental remediation obligations. Costs and fees associated with litigating the extent and type of required remedial actions and the allocation of remediation costs among potentially responsible parties are typically included in the measurement of the environmental remediation liabilities. |
Leases [Policy Text Block] | Leases The Company accounts for material escalation clauses, free or reduced rents and landlord incentives contained in operating type leases on a straight-line basis over the lease term, including any reasonably assured lease renewals. For leasehold improvements that are funded by the landlord, the Company records the incentive as deferred rent. The deferred rent is then amortized as reductions to lease expense over the lease term. For capital leases where NCR is the lessee, we record an amortizable debt and a related fixed asset in the Consolidated Balance Sheet. |
Foreign Currency [Policy Text Block] | Foreign Currency For many NCR international operations, the local currency is designated as the functional currency. Accordingly, assets and liabilities are translated into U.S. Dollars at year-end exchange rates, and revenue and expenses are translated at average exchange rates prevailing during the year. Currency translation adjustments from local functional currency countries resulting from fluctuations in exchange rates are recorded in other comprehensive income. Where the U.S. Dollar is the functional currency, remeasurement adjustments are recorded in other (expense), net. |
Derivative Instruments [Policy Text Block] | Derivative Instruments In the normal course of business, NCR enters into various financial instruments, including derivative financial instruments. The Company accounts for derivatives as either assets or liabilities in the Consolidated Balance Sheets at fair value and recognizes the resulting gains or losses as adjustments to earnings or other comprehensive income. For derivative instruments that are designated and qualify as hedging instruments, the Company formally documents the relationship between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. Hedging activities are transacted only with highly rated institutions, reducing exposure to credit risk in the event of nonperformance. Additionally, the Company completes assessments related to the risk of counterparty nonperformance on a regular basis. The accounting for changes in fair value of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship, and further, on the type of hedging relationship. For those derivative instruments that are designated and qualify as hedging instruments, the Company has designated the hedging instrument, based on the exposure being hedged, as a fair value hedge, a cash flow hedge or a hedge of a net investment in a foreign operation. For derivative instruments designated as fair value hedges, the effective portion of the hedge is recorded as an offset to the change in the fair value of the hedged item, and the ineffective portion of the hedge, if any, is recorded in the Consolidated Statement of Operations. For derivative instruments designated as cash flow hedges and determined to be highly effective, the gains or losses are deferred in other comprehensive income and recognized in the determination of income as adjustments of carrying amounts when the underlying hedged transaction is realized, canceled or otherwise terminated. When hedging certain foreign currency transactions of a long-term investment nature (net investments in foreign operations) gains and losses are recorded in the currency translation adjustment component of accumulated other comprehensive loss. Gains and losses on foreign exchange contracts that are not used to hedge currency transactions of a long-term investment nature, or that are not designated as cash flow or fair value hedges, are recognized in other (expense), net as exchange rates change. |
Fair Value of Assets and Liabilities [Policy Text Block] | Fair Value of Assets and Liabilities Fair value is defined as an exit price, representing an amount that would be received to sell an asset or the amount paid to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the guidance prioritizes the inputs used to measure fair value into the following three-tier fair value hierarchy: • Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities • Level 2: Unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active or inputs, other than quoted prices in active markets, that are observable either directly or indirectly • Level 3: Unobservable inputs for which there is little or no market data Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. The Company reviews the fair value hierarchy classification on a quarterly basis. Changes to the observability of valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. NCR measures its financial assets and financial liabilities at fair value based on one or more of the following three valuation techniques: • Market approach: Prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. • Cost approach: Amount that would be required to replace the service capacity of an asset (replacement cost). • Income approach: Techniques to convert future amounts to a single present amount based upon market expectations (including present value techniques, option pricing and excess earnings models). We regularly review our investments to determine whether a decline in fair value, if any, below the cost basis is other than temporary. If the decline in the fair value is determined to be other than temporary, the cost basis of the security is written down to fair value and the amount of the write-down is included in the Consolidated Statement of Operations. For qualifying investments in debt or equity securities, a temporary impairment charge would be recognized in other comprehensive income (loss). |
Description of Business and S28
Description of Business and Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Description of Business and Significant Accounting Policies [Abstract] | |
Schedule of Capitalized Computer Software [Table Text Block] | The following table identifies the activity relating to total capitalized software: In millions 2016 2015 2014 Beginning balance as of January 1 $ 311 $ 257 $ 193 Capitalization 154 150 140 Amortization (118 ) (80 ) (69 ) Impairment (2 ) (16 ) (7 ) Ending balance as of December 31 $ 345 $ 311 $ 257 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The components of basic earnings (loss) per share are as follows: In millions, except per share amounts Twelve months ended December 31 2016 2015 2014 Income (loss) from continuing operations $ 283 $ (154 ) $ 181 Series A convertible preferred stock dividends (49 ) (4 ) — Numerator - from continuing operations 234 (158 ) 181 Loss (income) from discontinued operations, net of tax (13 ) (24 ) 10 Numerator - total $ 221 $ (182 ) $ 191 Denominator Basic weighted average number of shares outstanding 125.6 167.6 167.9 Basic earnings (loss) per share: From continuing operations $ 1.86 $ (0.94 ) $ 1.08 From discontinued operations (0.10 ) (0.15 ) 0.06 Total basic earnings (loss) per share $ 1.76 $ (1.09 ) $ 1.14 The components of diluted earnings (loss) per share are as follows: In millions, except per share amounts Twelve months ended December 31 2016 2015 2014 Income (loss) from continuing operations $ 283 $ (154 ) $ 181 Series A convertible preferred stock dividends — (4 ) — Numerator - from continuing operations 283 (158 ) 181 Income (loss) from continuing operations $ 283 $ (154 ) $ 181 Loss from discontinued operations, net of tax (13 ) (24 ) 10 Series A convertible preferred stock dividends (49 ) (4 ) — Numerator - total $ 221 $ (182 ) $ 191 Basic weighted average number of shares outstanding 125.6 167.6 167.9 Dilutive effect of as-if Series A Convertible Preferred Stock 28.2 — — Dilutive effect of employee stock options and restricted stock units 3.6 — 3.3 Denominator - from continuing operations 157.4 167.6 171.2 Basic weighted average number of shares outstanding 125.6 167.6 167.9 Dilutive effect of employee stock options and restricted stock units 3.6 — 3.3 Denominator - total 129.2 167.6 171.2 Diluted earnings (loss) per share: From continuing operations $ 1.80 $ (0.94 ) $ 1.06 From discontinued operations (0.10 ) (0.15 ) 0.06 Total diluted earnings (loss) per share $ 1.71 $ (1.09 ) $ 1.12 For 2016 diluted earnings (loss) per share from continuing operations, it is more dilutive to assume the Series A Convertible Preferred Stock is converted to common stock and therefore weighted average outstanding shares of common stock are adjusted by the as-if converted Series A Convertible Preferred Stock. For 2016 total diluted earnings (loss) per share, it is more dilutive to assume the Series A Convertible Preferred Stock is not converted to common stock and therefore weighted average outstanding shares of common stock are not adjusted by the as-if converted Series A Convertible Preferred Stock shown above because the effect would be anti-dilutive. Therefore, total diluted earnings (loss) per share less diluted earnings (loss) per share from continuing operations does not equal diluted earnings (loss) per share from discontinued operations. For 2016 , there were 0.4 million weighted anti-dilutive restricted stock units outstanding. For 2015 , it is more dilutive to assume the Series A Convertible Preferred Stock is not converted to common stock and therefore weighted average outstanding shares of common stock are not adjusted by the as-if converted Series A Convertible Preferred Stock because the effect would be anti-dilutive. If the as-if converted Series A Convertible Preferred Stock had been dilutive, approximately 2.0 million additional shares would have been included in the diluted weighted average number of shares outstanding for the year ended December 31, 2015 . For 2015 , due to the net loss attributable to NCR common stockholders, potential common shares that would cause dilution, such as the Series A Convertible Preferred Stock, restricted stock units and stock options, have been excluded from the diluted share count because their effect would have been anti-dilutive. For the year ended December 31, 2015, the fully diluted shares would have been 172.2 million shares. For 2014 there were no anti-dilutive awards. |
Business Combinations and Div29
Business Combinations and Divestitures (Tables) - Digital Insight [Member] | 12 Months Ended |
Dec. 31, 2016 | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The allocation of the purchase price for Digital Insight was as follows: In millions Fair Value Tangible assets acquired $73 Acquired intangible assets other than goodwill 559 Acquired goodwill 1,243 Deferred tax liabilities (190) Liabilities assumed (37) Total purchase consideration $1,648 |
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | The intangible assets acquired in the acquisition include the following: Estimated Fair Value Weighted Average Amortization Period (1) (In millions) (In years) Direct customer relationships $ 336 18 Technology - Software 121 5 Customer contracts 89 8 Tradenames 13 7 Total acquired intangible assets $ 559 13 (1) Determination of the weighted average amortization period of the individual categories of intangible assets was based on the nature of the applicable intangible asset and the expected future cash flows to be derived from the intangible asset. Amortization of intangible assets with definite lives is recognized over the period of time the assets are expected to contribute to future cash flows. |
Business Acquisition, Pro Forma Information [Table Text Block] | The unaudited pro forma consolidated results of operations, assuming the acquisition had occurred on January 1, 2014 , are as follows: In millions For the year ended December 31, 2014 Revenue $ 6,599 Net income attributable to NCR $ 175 |
Restructuring Plan (Tables)
Restructuring Plan (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs [Table Text Block] | Charges related to the restructuring plan for the years ended December 31 were as follows: For the twelve months ended December 31 In millions 2016 2015 2014 Severance and other employee-related costs ASC 712 charges included in restructuring-related charges $ 4 $ 1 $ 73 ASC 420 charges included in restructuring-related charges — 19 13 Inventory-related charges Charges included in cost of products — 5 9 Charges included in cost of services 4 7 47 Asset-related charges External and internal use software impairment charges included in restructuring-related charges 2 16 7 Impairment of long-lived assets included in restructuring-related charges — 13 6 Other than temporary impairment of an investment included in other (expense), net — — 3 Other exit costs Other exit costs included in restructuring-related charges 9 13 5 Net income attributable to noncontrolling interests Charges included in net income attributable to noncontrolling interests — — (2 ) Total restructuring-related charges $ 19 $ 74 $ 161 The following table summarizes the costs recorded in accordance with ASC 420, Exit or Disposal Cost Obligations, and ASC 712, Employers’ Accounting for Postemployment Benefits, and the remaining liabilities as of December 31, 2016 and 2015 , which are included in the Consolidated Balance Sheet in other current liabilities. In millions 2016 2015 Employee Severance and Other Exit Costs Beginning balance as of January 1 $20 $60 Cost recognized during the period 15 38 Change in estimated payments (2) (5) Utilization (32) (71) Currency translation adjustments — (2) Ending balance as of December 31 $1 $20 |
Goodwill and Purchased Intang31
Goodwill and Purchased Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The carrying amounts of goodwill by segment are included in the tables below. Foreign currency fluctuations are included within other adjustments . January 1, 2016 December 31, 2016 In millions Goodwill Accumulated Impairment Losses Total Additions Impairment Other Goodwill Accumulated Impairment Losses Total Software $ 1,936 $ (7 ) $ 1,929 $ 9 $ — $ (15 ) $ 1,930 $ (7 ) $ 1,923 Services 658 — 658 — — — 658 — 658 Hardware 162 (16 ) 146 — — — 162 (16 ) 146 Total goodwill $ 2,756 $ (23 ) $ 2,733 $ 9 $ — $ (15 ) $ 2,750 $ (23 ) $ 2,727 January 1, 2015 December 31, 2015 In millions Goodwill Accumulated Impairment Losses Total Additions Impairment Other Goodwill Accumulated Impairment Losses Total Software $ 1,947 $ (7 ) $ 1,940 $ 2 $ — $ (13 ) $ 1,936 $ (7 ) $ 1,929 Services 658 — 658 — — — 658 — 658 Hardware 162 — 162 — (16 ) — 162 (16 ) 146 Total goodwill $ 2,767 $ (7 ) $ 2,760 $ 2 $ (16 ) $ (13 ) $ 2,756 $ (23 ) $ 2,733 |
Schedule of Acquired Finite-Lived Intangible Assets by Major Class | NCR’s purchased intangible assets were specifically identified when acquired, and are deemed to have finite lives. These assets are reported in intangibles, net in the Consolidated Balance Sheets. The gross carrying amount and accumulated amortization for NCR’s identifiable intangible assets were as set forth in the table below: Amortization Period (in Years) December 31, 2016 December 31, 2015 In millions Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Identifiable intangible assets Reseller & customer relationships 1 - 20 $ 656 $ (128 ) $ 659 $ (92 ) Intellectual property 2 - 8 392 (302 ) 392 (244 ) Customer contracts 8 89 (66 ) 89 (46 ) Tradenames 2 - 10 73 (42 ) 73 (33 ) Total identifiable intangible assets $ 1,210 $ (538 ) $ 1,213 $ (415 ) |
Schedule of Expected Amortization Expense | The aggregate amortization expense (actual and estimated) for identifiable intangible assets for the following periods is: For the year ended December 31, 2016 For the years ended December 31 (estimated) In millions 2017 2018 2019 2020 2021 Amortization expense $ 123 $ 116 $ 85 $ 75 $ 57 $ 49 For the year ended December 31, 2016 For the years ended December 31 (estimated) In millions 2017 2018 2019 2020 2021 Amortization expense $ 123 $ 116 $ 85 $ 75 $ 57 $ 49 |
Debt Obligations Debt Obligatio
Debt Obligations Debt Obligations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Debt Obligations [Table Text Block] | The following table summarizes the Company's short-term borrowings and long-term debt: December 31, 2016 December 31, 2015 In millions, except percentages Amount Weighted-Average Interest Rate Amount Weighted-Average Interest Rate Short-Term Borrowings Current portion of Senior Secured Credit Facility (1) $ 45 2.88% $ — Trade Receivables Securitization Facility — — Other (2) 5 7.41% 13 6.34% Total short-term borrowings $ 50 $ 13 Long-Term Debt Senior Secured Credit Facility: Term loan facility (1) $ 821 2.88% $ 956 2.95% Revolving credit facility (1) — 100 2.61% Senior notes: 5.00% Senior Notes due 2022 600 600 4.625% Senior Notes due 2021 500 500 5.875% Senior Notes due 2021 400 400 6.375% Senior Notes due 2023 700 700 Deferred Financing Fees (29 ) (34 ) Other (2) 9 6.64% 17 7.16% Total long-term debt $ 3,001 $ 3,239 (1) Interest rates are weighted average interest rates as of December 31, 2016 and 2015 . The Senior Secured Credit Facility incorporated the impact of the interest rate swap agreement prior to its expiration in August 2016. Refer to Note 11 "Derivatives and Hedging Instruments" for additional discussion. (2) |
Schedule of Maturities of Long-term Debt [Table Text Block] | Debt Maturities Maturities of long-term debt outstanding, in principal amounts, at December 31, 2016 are summarized below: For the years ended December 31 In millions Total 2017 2018 2019 2020 2021 Thereafter Debt maturities $ 3,080 $ 50 $ 63 $ 85 $ 95 $ 1,485 $ 1,302 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | For the years ended December 31 , income (loss) from continuing operations before income taxes consisted of the following: In millions 2016 2015 2014 Income (loss) before income taxes United States $ 35 $ (24 ) $ (235 ) Foreign 344 (71 ) 372 Total income (loss) from continuing operations before income taxes $ 379 $ (95 ) $ 137 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | For the years ended December 31 , income tax expense (benefit) consisted of the following: In millions 2016 2015 2014 Income tax expense (benefit) Current Federal $ 18 $ (7 ) $ (4 ) State 4 1 2 Foreign 60 37 79 Deferred Federal 12 23 (88 ) State 1 (6 ) (7 ) Foreign (3 ) 7 (30 ) Total income tax expense (benefit) $ 92 $ 55 $ (48 ) |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The following table presents the principal components of the difference between the effective tax rate and the U.S. federal statutory income tax rate for the years ended December 31 : In millions 2016 2015 2014 Income tax expense (benefit) at the U.S. federal tax rate of 35% $ 133 $ (33 ) $ 48 Foreign income tax differential (26 ) 33 (72 ) U.S. permanent book/tax differences — (5 ) (2 ) Tax audit settlements — (10 ) (15 ) Change in liability for unrecognized tax benefits (12 ) (7 ) — Nondeductible transaction costs — (1 ) 1 Goodwill impairment — 5 — U.S. valuation allowance — (3 ) (8 ) U.S. manufacturing deduction (7 ) — — Settlement of UK London pension plan — 77 — Other, net 4 (1 ) — Total income tax expense (benefit) $ 92 $ 55 $ (48 ) |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Deferred income tax assets and liabilities included in the Consolidated Balance Sheets as of December 31 were as follows: In millions 2016 2015 Deferred income tax assets Employee pensions and other benefits $ 301 $ 276 Other balance sheet reserves and allowances 237 164 Tax loss and credit carryforwards 602 628 Capitalized research and development 99 97 Property, plant and equipment 8 12 Other 38 37 Total deferred income tax assets 1,285 1,214 Valuation allowance (445 ) (346 ) Net deferred income tax assets 840 868 Deferred income tax liabilities Intangibles 239 270 Capitalized software 43 36 Other 7 6 Total deferred income tax liabilities 289 312 Total net deferred income tax assets $ 551 $ 556 |
Summary of Income Tax Contingencies [Table Text Block] | The aggregate changes in the balance of our gross unrecognized tax benefits were as follows for the years ended December 31: In millions 2016 2015 2014 Gross unrecognized tax benefits - January 1 $ 209 $ 248 $ 277 Increases related to tax positions from prior years 3 17 34 Decreases related to tax positions from prior years (34 ) (37 ) (50 ) Increases related to tax provisions taken during the current year 23 35 43 Settlements with tax authorities (6 ) (33 ) (14 ) Lapses of statutes of limitation (12 ) (21 ) (42 ) Total gross unrecognized tax benefits - December 31 $ 183 $ 209 $ 248 |
Employee Stock Compensation P34
Employee Stock Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | The following table reports restricted stock unit activity during the year ended December 31, 2016 : Shares in thousands Number of Units Weighted Average Grant-Date Fair Value per Unit Unvested shares as of January 1 4,955 $ 30.08 Shares granted 4,812 $ 20.45 Shares vested (1,559 ) $ 27.93 Shares forfeited (739 ) $ 25.89 Unvested shares as of December 31 7,469 $ 24.70 Stock-based compensation expense is recognized in the financial statements based upon fair value. The total fair value of units vested and distributed in the form of NCR common stock was $42 million in 2016 , $44 million in 2015 , and $66 million in 2014 . As of December 31, 2016 , there was $125 million of unrecognized compensation cost related to unvested restricted stock unit grants. The unrecognized compensation cost is expected to be recognized over a remaining weighted-average period of 1.2 years. The weighted average grant date fair value for restricted stock unit awards granted in 2015 and 2014 was $29.40 and $31.85 , respectively. The following table represents the composition of restricted stock unit grants in 2016 : Shares in thousands Number of Units Weighted Average Grant-Date Fair Value Service-based units 1,667 $ 25.02 Performance-based units $ 1,186 $ 23.16 Price contingent-based units 1,959 $ 14.93 Total restricted stock units 4,812 $ 20.45 |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block] | As of December 31, 2016 , the Company’s stock-based compensation consisted of restricted stock units and an insignificant amount of stock options. The Company recorded stock-based compensation expense for the years ended December 31 as follows: In millions 2016 2015 2014 Total stock-based compensation related to restricted stock units (pre-tax) 61 42 31 Tax benefit (18) (13) (10) Total stock-based compensation (net of tax) $43 $29 $21 |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | The following table summarizes the Company’s stock option activity for the year ended December 31, 2016 : Shares in thousands Shares Under Option Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in millions) Outstanding as of January 1 1,004 $ 18.14 Granted 49 $ 21.54 Exercised (423 ) $ 19.17 Forfeited or expired (1 ) $ 26.46 Outstanding as of December 31 629 $ 17.69 3.13 $ 14.4 Fully vested and expected to vest as of December 31 629 $ 17.69 3.13 $ 14.4 Exercisable as of December 31 579 $ 17.36 2.62 $ 13.4 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year [Table Text Block] | The amounts in accumulated other comprehensive loss that are expected to be recognized as components of net periodic benefit cost (income) during 2017 are as follows: In millions U.S. Pension Benefits International Pension Benefits Total Pension Benefits Postretirement Benefits Postemployment Benefits Prior service cost (benefit) $ — $ 1 $ 1 $ (6 ) $ (5 ) Actuarial loss (gain) $ — $ — $ — $ 2 $ (4 ) |
Schedule of Expected Benefit Payments [Table Text Block] | NCR expects to make the following benefit payments reflecting past and future service from its pension, postretirement and postemployment plans: In millions U.S. Pension Benefits International Pension Benefits Total Pension Benefits Postretirement Benefits Postemployment Benefits Year 2017 $ 124 $ 49 $ 173 $ 3 $ 55 2018 $ 127 $ 49 $ 176 $ 3 $ 20 2019 $ 130 $ 49 $ 179 $ 2 $ 19 2020 $ 132 $ 48 $ 180 $ 2 $ 17 2021 $ 135 $ 47 $ 182 $ 2 $ 16 2022-2026 $ 690 $ 243 $ 933 $ 6 $ 65 |
Pension Plan [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Schedule of Changes in Projected Benefit Obligations [Table Text Block] | Reconciliation of the beginning and ending balances of the benefit obligations for NCR's pension plans are as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits In millions 2016 2015 2016 2015 2016 2015 Change in benefit obligation Benefit obligation as of January 1 $ 2,155 $ 2,271 $ 1,159 $ 2,106 $ 3,314 $ 4,377 Net service cost — — 7 12 7 12 Interest cost 90 87 28 42 118 129 Amendment — — — 3 — 3 Actuarial loss (gain) 53 (93 ) 174 (17 ) 227 (110 ) Benefits paid (113 ) (110 ) (75 ) (1,364 ) (188 ) (1,474 ) Plan participant contributions — — 1 2 1 2 Curtailment — — — (2 ) — (2 ) Settlement — — — 425 — 425 Currency translation adjustments — — (122 ) (48 ) (122 ) (48 ) Benefit obligation as of December 31 $ 2,185 $ 2,155 $ 1,172 $ 1,159 $ 3,357 $ 3,314 Accumulated benefit obligation as of December 31 $ 2,185 $ 2,155 $ 1,162 $ 1,148 $ 3,347 $ 3,303 |
Schedule of Changes in Fair Value of Plan Assets [Table Text Block] | A reconciliation of the beginning and ending balances of the fair value of the plan assets of NCR's pension plans are as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits In millions 2016 2015 2016 2015 2016 2015 Change in plan assets Fair value of plan assets as of January 1 $ 1,726 $ 1,884 $ 1,009 $ 2,325 $ 2,735 $ 4,209 Actual return on plan assets 109 (48 ) 136 38 245 (10 ) Company contributions — — 31 33 31 33 Benefits paid (113 ) (110 ) (75 ) (1,364 ) (188 ) (1,474 ) Currency translation adjustments — — (124 ) (25 ) (124 ) (25 ) Plan participant contributions — — 1 2 1 2 Fair value of plan assets as of December 31 $ 1,722 $ 1,726 $ 978 $ 1,009 $ 2,700 $ 2,735 |
Schedule of Net Benefit Costs [Table Text Block] | The net periodic benefit (income) cost of the pension plans for the years ended December 31 was as follows: In millions U.S. Pension Benefits International Pension Benefits Total Pension Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 Net service cost $ — $ — $ — $ 7 $ 12 $ 12 $ 7 $ 12 $ 12 Interest cost 90 87 130 28 42 81 118 129 211 Expected return on plan assets (72 ) (72 ) (118 ) (36 ) (60 ) (104 ) (108 ) (132 ) (222 ) Amortization of prior service cost — — — 1 1 2 1 1 2 Curtailment — — — — (2 ) — — (2 ) — Settlement — — — — 427 (1 ) — 427 (1 ) Actuarial (gain) loss 16 27 146 69 2 4 85 29 150 Net periodic benefit (income) cost $ 34 $ 42 $ 158 $ 69 $ 422 $ (6 ) $ 103 $ 464 $ 152 |
Schedule of Net Benefit Costs and Amounts Recognized in Balance Sheet [Table Text Block] | The following table presents the funded status and the reconciliation of the funded status to amounts recognized in the Consolidated Balance Sheets and in accumulated other comprehensive loss as of December 31 : U.S. Pension Benefits International Pension Benefits Total Pension Benefits In millions 2016 2015 2016 2015 2016 2015 Funded Status $ (463 ) $ (429 ) $ (194 ) $ (150 ) $ (657 ) $ (579 ) Amounts recognized in the Consolidated Balance Sheets Noncurrent assets $ — $ — $ 94 $ 130 $ 94 $ 130 Current liabilities — — (12 ) (13 ) (12 ) (13 ) Noncurrent liabilities (463 ) (429 ) (276 ) (267 ) (739 ) (696 ) Net amounts recognized $ (463 ) $ (429 ) $ (194 ) $ (150 ) $ (657 ) $ (579 ) Amounts recognized in accumulated other comprehensive loss Prior service cost — — 15 19 15 19 Total $ — $ — $ 15 $ 19 $ 15 $ 19 |
Schedule of Assumptions Used [Table Text Block] | The weighted average rates and assumptions used to determine benefit obligations as of December 31 were as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits 2016 2015 2016 2015 2016 2015 Discount rate 4.1 % 4.3 % 1.9 % 2.6 % 3.3 % 3.7 % Rate of compensation increase N/A N/A 0.9 % 1.3 % 0.9 % 1.3 % The weighted average rates and assumptions used to determine net periodic benefit cost for the years ended December 31 were as follows: U.S. Pension Benefits International Pension Benefits Total Pension Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 Discount rate 4.3 % 4.0 % 4.6 % 2.6 % 2.9 % 3.8 % 3.7 % 3.5 % 4.3 % Expected return on plan assets 4.3 % 4.0 % 4.6 % 3.8 % 3.8 % 4.5 % 4.1 % 3.9 % 4.5 % Rate of compensation increase N/A N/A N/A 1.3 % 1.8 % 2.7 % 1.3 % 1.8 % 2.7 % |
Schedule of Allocation of Plan Assets [Table Text Block] | The weighted average asset allocations as of December 31, 2016 and 2015 by asset category are as follows: U.S. Pension Fund International Pension Fund Actual Allocation of Plan Assets as of December 31 Target Asset Allocation Actual Allocation of Plan Assets as of December 31 Target Asset Allocation 2016 2015 2016 2015 Equity securities — % — % 0 - 0% 23 % 24 % 16 - 26% Debt securities 96 % 96 % 95 - 100% 52 % 50 % 50 - 60% Real estate 1 % 1 % 0 - 2% 13 % 13 % 8- 14% Other 3 % 3 % 0 - 3% 12 % 13 % 11 - 17% Total 100 % 100 % 100 % 100 % The fair value of plan assets as of December 31, 2016 and 2015 by asset category is as follows: U.S. International In millions Notes Fair Value as of December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Fair Value as of December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Assets Equity securities: Common stock 1 $ — $ — $ — $ — $ — $ 47 $ 47 $ — $ — $ — Fixed income securities: Government securities 2 234 — 234 — — 27 — 27 — — Corporate debt 3 797 — 797 — — 110 — 108 2 — Other types of investments: Money market funds 4 28 — — — 28 8 — 8 — — Common and commingled trusts - Equities 4 — — — — — 169 — — — 169 Common and commingled trusts - Bonds 4 530 — — — 530 363 — — — 363 Common and commingled trusts - Short Term Investments 4 23 — — — 23 27 — — — 27 Common and commingled trusts - Balanced 4 — — — — — 104 — — — 104 Partnership/joint venture interests - Real estate 5 8 — — — 8 — — — — — Partnership/joint venture interests - Other 5 6 — — — 6 — — — — — Mutual funds 4 60 60 — — — — — — — — Hedge Funds 5 36 — — — 36 — — — — — Insurance products 4 — — — — — 1 — 1 — — Real estate and other 5 — — — — — 122 — — 122 — Total $ 1,722 $ 60 $ 1,031 $ — $ 631 $ 978 $ 47 $ 144 $ 124 $ 663 U.S. International In millions Notes Fair Value as of December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Fair Value as of December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Not Subject to Leveling Assets Equity securities: Common stock 1 $ — $ — $ — $ — $ — $ 50 $ 50 $ — $ — $ — Fixed income securities: Government securities 2 222 — 222 — — 13 — 13 — — Corporate debt 3 805 — 805 — — 145 — 141 4 — Other types of investments: Money market funds 4 33 — — — 33 13 — 12 — 1 Common and commingled trusts - Equities 4 — — — — — 184 — — — 184 Common and commingled trusts - Bonds 4 500 — — — 500 327 — — — 327 Common and commingled trusts - Short Term Investments 4 30 — — — 30 31 — — — 31 Common and commingled trusts - Balanced 4 — — — — — 116 — — — 116 Partnership/joint venture interests - Real estate 5 21 — — — 21 — — — — — Partnership/joint venture interests - Other 5 7 — — — 7 — — — — — Mutual funds 4 74 74 — — — — — — — — Hedge Funds 5 34 — — — 34 — — — — — Insurance products 4 — — — — — 1 — 1 — — Real estate and other 5 — — — — — 129 — — 129 — Total $ 1,726 $ 74 $ 1,027 $ — $ 625 $ 1,009 $ 50 $ 167 $ 133 $ 659 Notes: 1. Common stocks are valued based on quoted market prices at the closing price as reported on the active market on which the individual securities are traded. 2. Government securities are valued based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar securities, the security is valued under a discounted cash flows approach that maximizes observable inputs, such as current yields on similar instruments but includes adjustments for certain risks that may not be observable, such as credit and liquidity risks. 3. Corporate debt is valued primarily based on observable market quotations for similar bonds at the closing price reported on the active market on which the individual securities are traded. When such quoted prices are not available, the bonds are valued using a discounted cash flows approach using current yields on similar instruments of issuers with similar credit ratings. 4. Common/collective trusts and registered investment companies (RICs) such as mutual funds are valued using a Net Asset Value (NAV) provided by the manager of each fund. The NAV is based on the underlying net assets owned by the fund, divided by the number of shares or units outstanding. The fair value of the underlying securities within the fund, which are generally traded on an active market, are valued at the closing price reported on the active market on which those individual securities are traded. For investments not traded on an active market, or for which a quoted price is not publicly available, a variety of unobservable valuation methodologies, including discounted cash flow, market multiple and cost valuation approaches, are employed by the fund manager or independent third party to value investments. 5. Partnership/joint ventures and hedge funds are valued based on the fair value of the underlying securities within the fund, which include investments both traded on an active market and not traded on an active market. For those investments that are traded on an active market, the values are based on the closing price reported on the active market on which those individual securities are traded and in the case of hedge funds they are valued using a Net Asset Value (NAV) provided by the manager of each fund. For investments not traded on an active market, or for which a quoted price is not publicly available, a variety of unobservable valuation methodologies, including discounted cash flow, market multiples and cost valuation approaches, are employed by the fund manager to value investments. |
Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets [Table Text Block] | The following table presents the reconciliation of the beginning and ending balances of those plan assets classified within Level 3 of the valuation hierarchy. When the determination is made to classify the plan assets within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement. In millions International Pension Plans Balance, December 31, 2014 $ 1,388 Realized and unrealized gains and losses, net (58 ) Purchases, sales and settlements, net (1,196 ) Transfers, net (1 ) Balance, December 31, 2015 $ 133 Realized and unrealized gains and losses, net (8 ) Purchases, sales and settlements, net 1 Transfers, net (2 ) Balance, December 31, 2016 $ 124 |
Postretirement Benefits [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Schedule of Changes in Projected Benefit Obligations [Table Text Block] | Reconciliation of the beginning and ending balances of the benefit obligation for NCR's U.S. postretirement plan is as follows: Postretirement Benefits In millions 2016 2015 Change in benefit obligation Benefit obligation as of January 1 $ 27 $ 26 Gross service cost — — Interest cost 1 1 Actuarial (gain) loss (2 ) 2 Plan participant contributions 1 1 Benefits paid (2 ) (3 ) Benefit obligation as of December 31 $ 25 $ 27 |
Schedule of Net Benefit Costs [Table Text Block] | The net periodic benefit income of the postretirement plan for the years ended December 31 was: In millions Postretirement Benefits 2016 2015 2014 Interest cost $ 1 $ 1 $ 1 Net service cost — — — Amortization of: Prior service benefit (14 ) (18 ) (18 ) Actuarial loss 2 2 2 Net periodic benefit income $ (11 ) $ (15 ) $ (15 ) |
Schedule of Net Benefit Costs and Amounts Recognized in Balance Sheet [Table Text Block] | The following table presents the funded status and the reconciliation of the funded status to amounts recognized in the Consolidated Balance Sheets and in accumulated other comprehensive loss as of December 31 : Postretirement Benefits In millions 2016 2015 Benefit obligation $ (25 ) $ (27 ) Amounts recognized in the Consolidated Balance Sheets Current liabilities $ (3 ) $ (4 ) Noncurrent liabilities (22 ) (23 ) Net amounts recognized $ (25 ) $ (27 ) Amounts recognized in accumulated other comprehensive loss Net actuarial loss $ 16 $ 20 Prior service benefit (19 ) (33 ) Total $ (3 ) $ (13 ) |
Schedule of Assumptions Used [Table Text Block] | The assumptions utilized in accounting for postretirement benefit obligations as of December 31 and for postretirement benefit income for the years ended December 31 were: Postretirement Benefit Obligations Postretirement Benefit Costs 2016 2015 2014 2016 2015 2014 Discount rate 3.2 % 3.3 % 3.1 % 3.3 % 3.1 % 3.4 % Assumed healthcare cost trend rates as of December 31 were: 2016 2015 Pre-65 Coverage Post-65 Coverage Pre-65 Coverage Post-65 Coverage Healthcare cost trend rate assumed for next year 6.6 % 5.8 % 6.8 % 5.9 % Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 5.0 % 5.0 % 5.0 % 5.0 % Year that the rate reaches the ultimate rate 2024 2024 2024 2024 |
Schedule of Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates [Table Text Block] | In addition, a one percentage point change in assumed healthcare cost trend rates would have had an immaterial impact on the postretirement benefit income and obligation. |
Postemployment Benefits [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Schedule of Changes in Projected Benefit Obligations [Table Text Block] | Reconciliation of the beginning and ending balances of the benefit obligation for NCR's postemployment plan was: Postemployment Benefits In millions 2016 2015 Change in benefit obligation Benefit obligation as of January 1 $ 143 $ 227 Restructuring program cost 4 1 Service cost 16 17 Interest cost 3 3 Amendments — (12 ) Benefits paid (37 ) (47 ) Foreign currency exchange (6 ) (12 ) Actuarial loss (gain) 4 (34 ) Benefit obligation as of December 31 $ 127 $ 143 |
Schedule of Net Benefit Costs [Table Text Block] | The net periodic benefit cost of the postemployment plan for the years ended December 31 was: In millions Postemployment Benefits 2016 2015 2014 Service cost $ 16 $ 17 $ 17 Interest cost 3 3 5 Amortization of: Prior service benefit (6 ) (4 ) (4 ) Actuarial (gain) loss (7 ) — (2 ) Net benefit cost $ 6 $ 16 $ 16 Restructuring severance cost 4 1 73 Net periodic benefit cost $ 10 $ 17 $ 89 |
Schedule of Net Benefit Costs and Amounts Recognized in Balance Sheet [Table Text Block] | The following tables present the funded status and the reconciliation of the unfunded status to amounts recognized in the Consolidated Balance Sheets and in accumulated other comprehensive loss at December 31 : Postemployment Benefits In millions 2016 2015 Benefit obligation $ (127 ) $ (143 ) Amounts recognized in the Consolidated Balance Sheets Current liabilities $ (22 ) $ (33 ) Noncurrent liabilities (105 ) (110 ) Net amounts recognized $ (127 ) $ (143 ) Amounts recognized in accumulated other comprehensive loss Net actuarial gain $ (42 ) $ (47 ) Prior service benefit (17 ) (23 ) Total $ (59 ) $ (70 ) |
Schedule of Assumptions Used [Table Text Block] | The weighted average assumptions utilized in accounting for postemployment benefit obligations as of December 31 and for postemployment benefit costs for the years ended December 31 were: Postemployment Benefit Obligations Postemployment Benefit Costs 2016 2015 2016 2015 2014 Discount rate 2.0 % 2.2 % 2.2 % 2.1 % 3.2 % Salary increase rate 1.8 % 2.1 % 2.1 % 2.0 % 2.8 % Involuntary turnover rate 4.8 % 4.8 % 4.8 % 4.8 % 4.8 % |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Product Warranty Liability [Table Text Block] | The Company recorded the activity related to the warranty reserve for the the years ended December 31 as follows: In millions 2016 2015 2014 Warranty reserve liability Beginning balance as of January 1 $ 24 $ 22 $ 22 Accruals for warranties issued 42 41 37 Settlements (in cash or in kind) (39) (39) (37) Ending balance as of December 31 $ 27 $ 24 $ 22 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Future minimum lease payments under non-cancelable operating leases as of December 31, 2016 , for the following fiscal years are: In millions 2017 2018 2019 2020 2021 Minimum lease obligations $ 107 $ 81 $ 74 $ 51 $ 39 |
Derivatives and Hedging Instr37
Derivatives and Hedging Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | The following tables provide information on the location and amounts of derivative fair values in the Consolidated Balance Sheets: Fair Values of Derivative Instruments December 31, 2016 In millions Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Derivatives designated as hedging instruments Foreign exchange contracts Other current assets $251 $18 Other current liabilities $56 $1 Total derivatives designated as hedging instruments $18 $1 Derivatives not designated as hedging instruments Foreign exchange contracts Other current assets $165 $1 Other current liabilities $218 $1 Total derivatives not designated as hedging instruments $1 $1 Total derivatives $19 $2 Fair Values of Derivative Instruments December 31, 2015 In millions Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Derivatives designated as hedging instruments Interest rate swap Other current assets $— $— Other current liabilities $380 $3 Foreign exchange contracts Other current assets 53 2 Other current liabilities 105 1 Total derivatives designated as hedging instruments $2 $4 Derivatives not designated as hedging instruments Foreign exchange contracts Other current assets $191 $1 Other current liabilities $204 $1 Total derivatives not designated as hedging instruments 1 1 Total derivatives $3 $5 |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block] | The effects of derivative instruments on the Consolidated Statement of Operations for the years ended December 31 were as follows: In millions Amount of Gain (Loss) Recognized in Other Comprehensive Income (OCI) on Derivative Amount of (Gain) Loss Reclassified from AOCI into the Consolidated Statement of Operations Amount of (Gain) Loss Recognized in the Consolidated Statement of Operations (Ineffective Portion and Amount Excluded from Effectiveness Testing) Derivatives in Cash Flow Hedging Relationships For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Location of (Gain) Loss Reclassified from AOCI into the Consolidated Statement of Operations (Effective Portion) For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Location of (Gain) Loss Recognized in the Consolidated Statement of Operations (Ineffective Portion and Amount Excluded from Effectiveness Testing) For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Interest rate swap $— $(2) (2) Interest expense $2 $5 $5 Interest expense $— $— $— Foreign exchange contracts $19 $12 $1 Cost of products $(3) $(12) $(1) Other (expense), net $— $— $— In millions Amount of Gain (Loss) Recognized in the Consolidated Statement of Operations Derivatives not Designated as Hedging Instruments Location of Gain (Loss) Recognized in the Consolidated Statement of Operations For the year ended December 31, 2016 For the year ended December 31, 2015 For the year ended December 31, 2014 Foreign exchange contracts Other (expense), net $(1) $(5) $11 |
Fair Value of Assets and Liab38
Fair Value of Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Assets and liabilities recorded at fair value on a recurring basis as of December 31, 2016 and 2015 are set forth as follows: December 31, 2016 December 31, 2015 Fair Value Measurements Using Fair Value Measurements Using In millions December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2015 Quoted Prices Significant Other Significant Assets: Deposits held in money market mutual funds (1) $5 $5 $— $— $3 $3 $— $— Foreign exchange contracts (2) 19 — 19 — 3 — 3 — Total $24 $5 $19 $— $6 $3 $3 $— Liabilities: Interest rate swap (3) $— $— $— $— $3 $— $3 $— Foreign exchange contracts (3) 2 — 2 — 2 — 2 — Total $2 $— $2 $— $5 $— $5 $— (1) Included in Cash and cash equivalents in the Consolidated Balance Sheet. (2) Included in Other current assets in the Consolidated Balance Sheet. (3) Included in Other current liabilities in the Consolidated Balance Sheet. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Revenue from External Customer [Line Items] | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | The following table presents revenue and operating income by segment for the years ended December 31 : In millions 2016 2015 2014 Revenue by segment Software $ 1,841 $ 1,747 $ 1,748 Services 2,306 2,218 2,272 Hardware (1) 2,396 2,408 2,571 Consolidated revenue 6,543 6,373 6,591 Operating income by segment Software 577 539 526 Services 201 194 165 Hardware (1) 62 87 126 Subtotal - segment operating income 840 820 817 Other adjustments (2) 241 685 464 Income from operations $ 599 $ 135 $ 353 (1) On May 27, 2016, NCR completed the sale of substantially all of its IPS business to Atlas Holdings. The sale included all dedicated assets of the IPS division worldwide, other than in the MEA region. Accordingly, the revenue and operating income results exclude the results of the IPS operations, except for the IPS MEA operations, from May 27, 2016 through the end of the fourth quarter of 2016 . (2) The following table presents the other adjustments for NCR for the years ended December 31 : In millions 2016 2015 2014 Pension mark-to-market adjustments $ 85 $ 454 $ 149 Restructuring/transformation costs 26 74 160 Acquisition-related amortization of intangible assets 123 125 119 Acquisition-related costs 7 11 27 Acquisition-related purchase price adjustments — — 6 OFAC and FCPA investigations — 1 3 Reserve related to subcontract in MEA — 20 — Total other adjustments $ 241 $ 685 $ 464 |
Revenue from External Customers by Products and Services [Table Text Block] | ollowing table presents revenue from products and services for NCR for the years ended December 31 : In millions 2016 2015 2014 Product revenue $ 2,737 $ 2,711 $ 2,892 Professional services and installation services revenue 1,011 944 971 Recurring revenue, including maintenance and cloud revenue 2,795 2,718 2,728 Total revenue $ 6,543 $ 6,373 $ 6,591 Rev |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block] | ollowing table presents revenue by geographic area for NCR for the years ended December 31 : In millions 2016 % 2015 % 2014 % Revenue by Geographic Area United States $ 3,106 47 % $ 2,909 46 % $ 2,723 41 % Americas (excluding United States) 637 10 % 590 9 % 634 10 % Europe, Middle East and Africa (EMEA) 1,896 29 % 1,964 31 % 2,184 33 % Asia Pacific (APJ) 904 14 % 910 14 % 1,050 16 % Consolidated revenue $ 6,543 100 % $ 6,373 100 % $ 6,591 100 % The |
Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country [Table Text Block] | following table presents property, plant and equipment by geographic area as of December 31 : In millions 2016 2015 Property, plant and equipment, net United States $ 139 $ 157 Americas (excluding United States) 21 29 Europe, Middle East and Africa (EMEA) 70 78 Asia Pacific (APJ) 57 58 Consolidated property, plant and equipment, net $ 287 $ 322 Con |
Accumulated Other Comprehensi40
Accumulated Other Comprehensive Income (Loss) (AOCI) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Statement of Financial Position [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Changes in Accumulated Other Comprehensive Income (AOCI) by Component The changes in AOCI for the years ended December 31 are as follows: In millions Currency Translation Adjustments Changes in Employee Benefit Plans Changes in Fair Value of Effective Cash Flow Hedges Changes in Fair Value of Available for Sale Securities Total Balance at December 31, 2013 $ (52 ) $ 16 $ (5 ) $ 3 $ (38 ) Other comprehensive (loss) before reclassifications (73 ) (12 ) (1 ) — (86 ) Amounts reclassified from AOCI — (12 ) 3 (3 ) (12 ) Net current period other comprehensive (loss) income (73 ) (24 ) 2 (3 ) (98 ) Balance at December 31, 2014 $ (125 ) $ (8 ) $ (3 ) $ — $ (136 ) Other comprehensive (loss) income before reclassifications (47 ) 43 8 — 4 Amounts reclassified from AOCI — (12 ) (6 ) — (18 ) Net current period other comprehensive (loss) income (47 ) 31 2 — (14 ) Balance at December 31, 2015 $ (172 ) $ 23 $ (1 ) $ — $ (150 ) Other comprehensive (loss) income before reclassifications (52 ) (1 ) 16 — (37 ) Amounts reclassified from AOCI — (16 ) (2 ) — (18 ) Net current period other comprehensive (loss) income (52 ) (17 ) 14 — (55 ) Balance at December 31, 2016 $ (224 ) $ 6 $ 13 $ — $ (205 ) |
Schedule of Reclassifications Out of Accumulated Other Comprehensive Income [Table Text Block] | For the year ended December 31, 2016 Employee Benefit Plans In millions Actuarial Losses Recognized Amortization of Prior Service Benefit Effective Cash Flow Hedges Total Affected line in Consolidated Statement of Operations: Cost of products $ — $ — $ (3 ) $ (3 ) Cost of services (1 ) (10 ) — (11 ) Selling, general and administrative expenses — (6 ) — (6 ) Research and development expenses (1 ) (3 ) — (4 ) Interest expense — — 2 2 Total before tax $ (2 ) $ (19 ) $ (1 ) $ (22 ) Tax expense 4 Total reclassifications, net of tax $ (18 ) For the year ended December 31, 2015 Employee Benefit Plans In millions Actuarial Losses Recognized Amortization of Prior Service Benefit Effective Cash Flow Hedges Total Affected line in Consolidated Statement of Operations: Cost of products $ — $ (1 ) $ (12 ) $ (13 ) Cost of services $ 1 $ (9 ) $ — $ (8 ) Selling, general and administrative expenses 1 (7 ) — (6 ) Research and development expenses — (4 ) — (4 ) Interest expense — — 5 5 Total before tax $ 2 $ (21 ) $ (7 ) $ (26 ) Tax expense 8 Total reclassifications, net of tax $ (18 ) For the year ended December 31, 2014 Employee Benefit Plans In millions Actuarial Losses Recognized Effective Cash Flow Hedges Securities Total Affected line in Consolidated Statement of Operations: Cost of products $ (10 ) $ — $ — $ (10 ) Cost of services (6 ) — — (6 ) Selling, general and administrative expenses (4 ) — — (4 ) Research and development expenses — 4 — 4 Interest expense — — (4 ) (4 ) Total before tax $ (20 ) $ 4 $ (4 ) $ (20 ) Tax expense 8 Total reclassifications, net of tax $ (12 ) |
Supplemental Financial Inform41
Supplemental Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Supplemental Financial Information [Abstract] | |
Interest and Other Income [Table Text Block] | The components of other (expense), net are summarized as follows for the years ended December 31 : In millions 2016 2015 2014 Other (expense), net Interest income $ 4 $ 5 $ 6 Foreign currency fluctuations and foreign exchange contracts (40 ) (21 ) (32 ) Impairment of an investment — — (3 ) Divestiture and liquidation losses (6 ) (34 ) — Gain on sale of available for sale securities — — 4 Other, net (8 ) (7 ) (10 ) Total other (expense), net $ (50 ) $ (57 ) $ (35 ) |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | The components of accounts receivable are summarized as follows: In millions December 31, 2016 December 31, 2015 Accounts receivable Trade $ 1,266 $ 1,259 Other 57 39 Accounts receivable, gross 1,323 1,298 Less: allowance for doubtful accounts (41 ) (47 ) Total accounts receivable, net $ 1,282 $ 1,251 |
Schedule of Inventory, Current [Table Text Block] | The components of inventory are summarized as follows: In millions December 31, 2016 December 31, 2015 Inventories Work in process and raw materials $ 154 $ 137 Finished goods 149 129 Service parts 396 377 Total inventories $ 699 $ 643 |
Schedule of Other Assets [Table Text Block] | The components of other current assets are summarized as follows: In millions December 31, 2016 December 31, 2015 Other current assets Held for sale assets $ — $ 89 Other 278 238 Total other current assets $ 278 $ 327 |
Property, Plant and Equipment [Table Text Block] | The components of property, plant and equipment are summarized as follows: In millions December 31, 2016 December 31, 2015 Property, plant and equipment Land and improvements $ 6 $ 7 Buildings and improvements 198 196 Machinery and other equipment 598 597 Property, plant and equipment, gross 802 800 Less: accumulated depreciation (515 ) (478 ) Total property, plant and equipment, net $ 287 $ 322 |
Condensed Consolidating Suppl42
Condensed Consolidating Supplemental Guarantor Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Consolidating Supplemental Guarantor Information [Abstract] | |
Schedule of Condensed Consolidating Supplemental Guarantor Information | Consolidating Statements of Operations and Comprehensive Income (Loss) For the year ended December 31, 2016 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Product revenue $ 1,293 $ 111 $ 1,768 $ (435 ) $ 2,737 Service revenue 1,615 36 2,155 — 3,806 Total revenue 2,908 147 3,923 (435 ) 6,543 Cost of products 1,024 50 1,463 (435 ) 2,102 Cost of services 1,170 12 1,477 — 2,659 Selling, general and administrative expenses 484 4 438 — 926 Research and development expenses 139 — 103 — 242 Restructuring-related charges 11 — 4 — 15 Total operating expenses 2,828 66 3,485 (435 ) 5,944 Income (loss) from operations 80 81 438 — 599 Interest expense (165 ) — (74 ) 69 (170 ) Other (expense) income, net 44 (23 ) (2 ) (69 ) (50 ) Income (loss) from continuing operations before income taxes (41 ) 58 362 — 379 Income tax expense (benefit) (18 ) 21 89 — 92 Income (loss) from continuing operations before earnings in subsidiaries (23 ) 37 273 — 287 Equity in earnings of consolidated subsidiaries 306 304 — (610 ) — Income (loss) from continuing operations 283 341 273 (610 ) 287 Income (loss) from discontinued operations, net of tax (13 ) — — — (13 ) Net income (loss) $ 270 $ 341 $ 273 $ (610 ) $ 274 Net income (loss) attributable to noncontrolling interests — — 4 — 4 Net income (loss) attributable to NCR $ 270 $ 341 $ 269 $ (610 ) $ 270 Total comprehensive income (loss) 215 277 210 (488 ) 214 Less comprehensive income (loss) attributable to noncontrolling interests — — (1 ) — (1 ) Comprehensive income (loss) attributable to NCR common stockholders $ 215 $ 277 $ 211 $ (488 ) $ 215 Consolidating Statements of Operations and Comprehensive Income (Loss) For the year ended December 31, 2015 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Product revenue $ 1,189 $ 105 $ 2,339 $ (922 ) $ 2,711 Service revenue 1,528 33 2,101 — 3,662 Total revenue 2,717 138 4,440 (922 ) 6,373 Cost of products 904 43 2,047 (922 ) 2,072 Cost of services 1,103 13 1,716 — 2,832 Selling, general and administrative expenses 501 4 537 — 1,042 Research and development expenses 102 — 128 — 230 Restructuring-related charges 32 — 30 — 62 Total operating expenses 2,642 60 4,458 (922 ) 6,238 Income (loss) from operations 75 78 (18 ) — 135 Interest expense (168 ) — (78 ) 73 (173 ) Other (expense) income, net 22 4 (10 ) (73 ) (57 ) Income (loss) from continuing operations before income taxes (71 ) 82 (106 ) — (95 ) Income tax expense (benefit) (33 ) 52 36 — 55 Income (loss) from continuing operations before earnings in subsidiaries (38 ) 30 (142 ) — (150 ) Equity in earnings of consolidated subsidiaries (115 ) (161 ) — 276 — Income (loss) from continuing operations (153 ) (131 ) (142 ) 276 (150 ) Income (loss) from discontinued operations, net of tax (25 ) — 1 — (24 ) Net income (loss) $ (178 ) $ (131 ) $ (141 ) $ 276 $ (174 ) Net income (loss) attributable to noncontrolling interests — — 4 — 4 Net income (loss) attributable to NCR $ (178 ) $ (131 ) $ (145 ) $ 276 $ (178 ) Total comprehensive income (loss) (192 ) (154 ) (156 ) 311 (191 ) Less comprehensive income (loss) attributable to noncontrolling interests — — 1 — 1 Comprehensive income (loss) attributable to NCR common stockholders $ (192 ) $ (154 ) $ (157 ) $ 311 $ (192 ) Consolidating Statements of Operations and Comprehensive Income (Loss) For the year ended December 31, 2014 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Product revenue $ 1,103 $ 111 $ 2,099 $ (421 ) $ 2,892 Service revenue 1,445 28 2,226 — 3,699 Total revenue 2,548 139 4,325 (421 ) 6,591 Cost of products 867 41 1,666 (421 ) 2,153 Cost of services 1,119 13 1,574 — 2,706 Selling, general and administrative expenses 519 2 491 — 1,012 Research and development expenses 161 — 102 — 263 Restructuring-related charges 32 1 71 — 104 Total operating expenses 2,698 57 3,904 (421 ) 6,238 Income (loss) from operations (150 ) 82 421 — 353 Interest expense (177 ) (1 ) (75 ) 72 (181 ) Other (expense) income, net 39 (4 ) 2 (72 ) (35 ) Income (loss) from continuing operations before income taxes (288 ) 77 348 — 137 Income tax expense (benefit) (169 ) 68 53 — (48 ) Income (loss) from continuing operations before earnings in subsidiaries (119 ) 9 295 — 185 Equity in earnings of consolidated subsidiaries 300 373 — (673 ) — Income (loss) from continuing operations 181 382 295 (673 ) 185 Income (loss) from discontinued operations, net of tax 10 — — — 10 Net income (loss) $ 191 $ 382 $ 295 $ (673 ) $ 195 Net income (loss) attributable to noncontrolling interests — — 4 — 4 Net income (loss) attributable to NCR $ 191 $ 382 $ 291 $ (673 ) $ 191 Total comprehensive income (loss) 93 300 188 (487 ) 94 Less comprehensive income (loss) attributable to noncontrolling interests — — 1 — 1 Comprehensive income (loss) attributable to NCR common stockholders $ 93 $ 300 $ 187 $ (487 ) $ 93 Consolidating Balance Sheet December 31, 2016 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash and cash equivalents $ 65 $ 12 $ 421 $ — $ 498 Accounts receivable, net 64 25 1,193 — 1,282 Inventories 272 13 414 — 699 Due from affiliates 680 1,509 400 (2,589 ) — Other current assets 140 37 162 (61 ) 278 Total current assets 1,221 1,596 2,590 (2,650 ) 2,757 Property, plant and equipment, net 129 — 158 — 287 Goodwill 988 — 1,739 — 2,727 Intangibles, net 176 — 496 — 672 Prepaid pension cost — — 94 — 94 Deferred income taxes 499 98 82 (104 ) 575 Investments in subsidiaries 3,275 2,822 — (6,097 ) — Due from affiliates 1,053 — 35 (1,088 ) — Other assets 405 56 100 — 561 Total assets $ 7,746 $ 4,572 $ 5,294 $ (9,939 ) $ 7,673 Liabilities and stockholders’ equity Current liabilities Short-term borrowings $ 46 $ — $ 4 $ — $ 50 Accounts payable 310 2 469 — 781 Payroll and benefits liabilities 129 — 105 — 234 Deferred service revenue and customer deposits 193 5 270 — 468 Due to affiliates 1,736 154 699 (2,589 ) — Other current liabilities 224 6 263 (61 ) 432 Total current liabilities 2,638 167 1,810 (2,650 ) 1,965 Long-term debt 2,998 — 3 — 3,001 Pension and indemnity plan liabilities 473 — 266 — 739 Postretirement and postemployment benefits liabilities 24 3 100 — 127 Income tax accruals 17 4 121 — 142 Due to affiliates — 35 1,053 (1,088 ) — Other liabilities 54 5 183 (104 ) 138 Total liabilities 6,204 214 3,536 (3,842 ) 6,112 Redeemable noncontrolling interest — — 15 — 15 Series A convertible preferred stock 847 — — — 847 Stockholders’ equity Total NCR stockholders’ equity 695 4,358 1,739 (6,097 ) 695 Noncontrolling interests in subsidiaries — — 4 — 4 Total stockholders’ equity 695 4,358 1,743 (6,097 ) 699 Total liabilities and stockholders’ equity $ 7,746 $ 4,572 $ 5,294 $ (9,939 ) $ 7,673 Consolidating Balance Sheet December 31, 2015 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash and cash equivalents $ 15 $ 20 $ 293 $ — $ 328 Accounts receivable, net 99 33 1,119 — 1,251 Inventories 235 6 402 — 643 Due from affiliates 573 1,325 288 (2,186 ) — Other current assets 132 31 203 (39 ) 327 Total current assets 1,054 1,415 2,305 (2,225 ) 2,549 Property, plant and equipment, net 140 1 181 — 322 Goodwill 980 — 1,753 — 2,733 Intangibles, net 212 — 586 — 798 Prepaid pension cost — — 130 — 130 Deferred income taxes 475 152 84 (129 ) 582 Investments in subsidiaries 3,172 2,729 — (5,901 ) — Due from affiliates 1,072 17 38 (1,127 ) — Other assets 362 55 104 — 521 Total assets $ 7,467 $ 4,369 $ 5,181 $ (9,382 ) $ 7,635 Liabilities and stockholders’ equity Current liabilities Short-term borrowings $ 4 $ — $ 9 $ — $ 13 Accounts payable 281 — 376 — 657 Payroll and benefits liabilities 95 1 93 — 189 Deferred service revenue and customer deposits 183 24 269 — 476 Due to affiliates 1,408 137 641 (2,186 ) — Other current liabilities 216 3 266 (39 ) 446 Total current liabilities 2,187 165 1,654 (2,225 ) 1,781 Long-term debt 3,229 — 10 — 3,239 Pension and indemnity plan liabilities 436 — 260 — 696 Postretirement and postemployment benefits liabilities 27 3 103 — 133 Income tax accruals 14 13 140 — 167 Due to affiliates 18 37 1,072 (1,127 ) — Other liabilities 38 — 170 (129 ) 79 Total liabilities 5,949 218 3,409 (3,481 ) 6,095 Redeemable noncontrolling interest — — 16 — 16 Series A Convertible Preferred Stock 798 — — — 798 Stockholders’ equity Total NCR stockholders’ equity 720 4,151 1,750 (5,901 ) 720 Noncontrolling interests in subsidiaries — — 6 — 6 Total stockholders’ equity 720 4,151 1,756 (5,901 ) 726 Total liabilities and stockholders’ equity $ 7,467 $ 4,369 $ 5,181 $ (9,382 ) $ 7,635 Consolidating Statement of Cash Flows For the year ended December 31, 2016 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Net cash provided by (used in) operating activities $ 272 $ (160 ) $ 785 $ (3 ) $ 894 Investing activities Expenditures for property, plant and equipment (31 ) — (42 ) — (73 ) Proceeds from the sale of property, plant and equipment — — — — — Additions to capitalized software (95 ) — (59 ) — (154 ) Proceeds from (payments of) intercompany notes 409 115 — (524 ) — Proceeds from divestitures 22 — 25 — 47 Investments in equity affiliates (9 ) 50 — (41 ) — Other investing activities, net (9 ) — — — (9 ) Net cash provided by (used in) investing activities 287 165 (76 ) (565 ) (189 ) Financing activities Short term borrowings, net (4 ) — (4 ) — (8 ) Payments on term credit facilities (89 ) — (8 ) — (97 ) Payments on revolving credit facilities (1,151 ) — (280 ) — (1,431 ) Borrowings on revolving credit facilities 1,051 — 280 — 1,331 Debt issuance costs (9 ) — — — (9 ) Tax withholding payments on behalf of employees (16 ) — — — (16 ) Proceeds from employee stock plans 15 — — — 15 Other financing activities — — (2 ) — (2 ) Dividend distribution to consolidated subsidiaries — — (53 ) 53 — Repurchases of Company common stock (250 ) — — — (250 ) Equity contribution — — 9 (9 ) — Borrowings (repayments) of intercompany notes (17 ) — (507 ) 524 — Net cash provided by (used in) financing activities (470 ) — (565 ) 568 (467 ) Cash flows from discontinued operations Net cash used in discontinued operations operating activities (39 ) — — — (39 ) Effect of exchange rate changes on cash and cash equivalents — (13 ) (16 ) — (29 ) (Decrease) increase in cash and cash equivalents 50 (8 ) 128 — 170 Cash and cash equivalents at beginning of period 15 20 293 — 328 Cash and cash equivalents at end of period $ 65 $ 12 $ 421 $ — $ 498 Consolidating Statement of Cash Flows For the year ended December 31, 2015 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Net cash provided by (used in) operating activities $ 346 $ (335 ) $ 747 $ (77 ) $ 681 Investing activities Expenditures for property, plant and equipment (22 ) — (57 ) — (79 ) Proceeds from sales of property, plant and equipment — — 19 — 19 Additions to capitalized software (91 ) — (59 ) — (150 ) Proceeds from (payments of) intercompany notes 272 347 — (619 ) — Investments in equity affiliates (1 ) — — 1 — Other investing activities, net (6 ) — 7 — 1 Net cash provided by (used in) investing activities 152 347 (90 ) (618 ) (209 ) Financing activities Short term borrowings, net 3 — 5 — 8 Payments on term credit facilities (376 ) — (7 ) — (383 ) Payments on revolving credit facilities (729 ) — (965 ) — (1,694 ) Borrowings on revolving credit facilities 829 — 869 — 1,698 Tax withholding payments on behalf of employees (16 ) — — — (16 ) Proceeds from employee stock plans 15 — — — 15 Dividend distribution to consolidated subsidiaries — — (77 ) 77 — Series A convertible preferred stock issuance 794 — — — 794 Tender offer share repurchase (1,005 ) — — — (1,005 ) Equity contribution — — 1 (1 ) — Borrowings (repayments) of intercompany notes — — (619 ) 619 — Net cash provided by (used in) financing activities (485 ) — (793 ) 695 (583 ) Cash flows from discontinued operations Net cash used in discontinued operations operating activities (43 ) — — — (43 ) Effect of exchange rate changes on cash and cash equivalents — (1 ) (28 ) — (29 ) Increase (decrease) in cash and cash equivalents (30 ) 11 (164 ) — (183 ) Cash and cash equivalents at beginning of period 45 9 457 — 511 Cash and cash equivalents at end of period $ 15 $ 20 $ 293 $ — $ 328 Consolidating Statement of Cash Flows For the year ended December 31, 2014 (in millions) Parent Issuer Guarantor Subsidiary Non-Guarantor Subsidiaries Eliminations Consolidated Net cash provided by (used in) operating activities $ 405 $ (108 ) $ 322 $ (95 ) $ 524 Investing activities Expenditures for property, plant and equipment (54 ) — (64 ) — (118 ) Proceeds from sales of property, plant and equipment — — 1 — 1 Additions to capitalized software (82 ) — (58 ) — (140 ) Business acquisitions, net (1,647 ) — — — (1,647 ) Changes in restricted cash 1,114 — — — 1,114 Proceeds from (payments of) intercompany notes 42 106 — (148 ) — Investments in equity affiliates (2 ) — — 2 — Other investing activities, net (5 ) — 7 — 2 Net cash provided by (used in) investing activities (634 ) 106 (114 ) (146 ) (788 ) Financing activities Payments on revolving credit facilities (34 ) — (3 ) — (37 ) Borrowings on term credit facilities 250 — — — 250 Payments on revolving credit facilities (946 ) — (104 ) — (1,050 ) Borrowings on revolving credit facilities 946 — 200 — 1,146 Debt issuance costs (4 ) — (1 ) — (5 ) Tax withholding payments on behalf of employees (28 ) — — — (28 ) Proceeds from employee stock plans 13 — — — 13 Other financing activities (1 ) — (4 ) — (5 ) Dividend distribution to consolidated subsidiaries — — (95 ) 95 — Equity contribution — — 2 (2 ) — Borrowings (repayments) of intercompany notes — — (148 ) 148 — Net cash provided by (used in) financing activities 196 — (153 ) 241 284 Cash flows from discontinued operations Net cash used in discontinued operations operating activities (1 ) — — — (1 ) Effect of exchange rate changes on cash and cash equivalents — — (36 ) — (36 ) Increase (decrease) in cash and cash equivalents (34 ) (2 ) 19 — (17 ) Cash and cash equivalents at beginning of period 79 11 438 — 528 Cash and cash equivalents at end of period $ 45 $ 9 $ 457 $ — $ 511 |
Quarterly Information (unaudi43
Quarterly Information (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information [Table Text Block] | In millions, except per share amounts First Second Third Fourth 2016 Total revenue $ 1,444 $ 1,620 $ 1,677 $ 1,802 Gross margin 380 446 477 479 Operating income 101 163 189 146 Income from continuing operations (attributable to NCR) 32 76 107 68 Income (loss) from discontinued operations, net of tax — — (2 ) (11 ) Net income attributable to NCR $ 21 $ 63 $ 92 $ 45 Income per share attributable to NCR common stockholders: Income per common share from continuing operations Basic $ 0.16 $ 0.51 $ 0.76 $ 0.45 Diluted $ 0.16 $ 0.49 $ 0.69 $ 0.43 Net income per common share: Basic $ 0.16 $ 0.51 $ 0.74 $ 0.36 Diluted $ 0.16 $ 0.49 $ 0.68 $ 0.35 2015 Total revenue $ 1,476 $ 1,604 $ 1,613 $ 1,680 Gross margin 390 146 457 476 Operating income (loss) 95 (266 ) 168 138 Income (loss) from continuing operations (attributable to NCR) 40 (344 ) 102 44 Income (loss) from discontinued operations, net of tax — — (4 ) (20 ) Net income (loss) attributable to NCR $ 40 $ (344 ) $ 98 $ 24 Income (loss) per share attributable to NCR common stockholders: Income (loss) per common share from continuing operations Basic $ 0.24 $ (2.03 ) $ 0.60 $ 0.27 Diluted $ 0.23 $ (2.03 ) $ 0.59 $ 0.27 Net income (loss) per common share: Basic $ 0.24 $ (2.03 ) $ 0.58 $ 0.15 Diluted $ 0.23 $ (2.03 ) $ 0.57 $ 0.15 |
Description of Business and S44
Description of Business and Significant Accounting Policies - Out of Period Adjustments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Income tax benefit | $ (92) | $ (55) | $ 48 |
Misapplication of Accounting Guidance Related to Recognition of Income Tax Expense [Member] | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Income tax benefit | $ 5 |
Description of Business and S45
Description of Business and Significant Accounting Policies - Revenue Recognition (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Sales Revenue, Net [Member] | Bill and Hold Transactions [Member] | Maximum [Member] | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Percentage | 1.00% | 1.00% | 1.00% |
Description of Business and S46
Description of Business and Significant Accounting Policies Description of Business and Significant Accounting Policies - Earnings Per Share (Basic) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | |||||||||||
Income (loss) from continuing operations | $ 68 | $ 107 | $ 76 | $ 32 | $ 44 | $ 102 | $ (344) | $ 40 | $ 283 | $ (154) | $ 181 |
Preferred Stock Dividends, Income Statement Impact | 49 | 4 | 0 | ||||||||
Preferred Stock Dividends Income Statement Impact Included in Diluted Earnings Per Share From Continuing Operations | 0 | ||||||||||
Income (loss) from continuing operations attributable to common stockholders | 234 | (158) | 181 | ||||||||
Income (loss) from discontinued operations, net of tax | $ (11) | $ (2) | $ 0 | $ 0 | $ (20) | $ (4) | $ 0 | $ 0 | (13) | (24) | 10 |
Net income (loss) attributable to NCR common stockholders | $ 221 | $ (182) | $ 191 | ||||||||
Basic (in shares) | 125.6 | 167.6 | 167.9 | ||||||||
Basic (in dollars per share) | $ 0.45 | $ 0.76 | $ 0.51 | $ 0.16 | $ 0.27 | $ 0.60 | $ (2.03) | $ 0.24 | $ 1.86 | $ (0.94) | $ 1.08 |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Basic Share | (0.10) | (0.15) | 0.06 | ||||||||
Basic (in dollars per share) | $ 0.36 | $ 0.74 | $ 0.51 | $ 0.16 | $ 0.15 | $ 0.58 | $ (2.03) | $ 0.24 | $ 1.76 | $ (1.09) | $ 1.14 |
Description of Business and S47
Description of Business and Significant Accounting Policies - Earnings Per Share (Diluted) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share Reconciliation [Abstract] | |||||||||||
Income from continuing operations | $ 68 | $ 107 | $ 76 | $ 32 | $ 44 | $ 102 | $ (344) | $ 40 | $ 283 | $ (154) | $ 181 |
Preferred Stock Dividends Income Statement Impact Included in Diluted Earnings Per Share From Continuing Operations | 0 | ||||||||||
Income (loss) from continuing operations attributable to common stockholders | 234 | (158) | 181 | ||||||||
Income (loss) from discontinued operations, net of tax | $ (11) | $ (2) | $ 0 | $ 0 | $ (20) | $ (4) | $ 0 | $ 0 | (13) | (24) | 10 |
Dividends on convertible preferred stock | (49) | (4) | 0 | ||||||||
Net income (loss) attributable to NCR common stockholders | $ 221 | $ (182) | $ 191 | ||||||||
Weighted average outstanding shares of common stock | 125.6 | 167.6 | 167.9 | ||||||||
Incremental Common Shares Attributable to Dilutive Effect of Conversion of Preferred Stock | 28.2 | 0 | 0 | ||||||||
Dilutive effect of employee stock options and restricted stock | 3.6 | 0 | 3.3 | ||||||||
Diluted (continuing operations) | 157.4 | 167.6 | 171.2 | ||||||||
Diluted earnings (loss) per share [Abstract] | |||||||||||
Diluted (in dollars per share) | $ 0.43 | $ 0.69 | $ 0.49 | $ 0.16 | $ 0.27 | $ 0.59 | $ (2.03) | $ 0.23 | $ 1.80 | $ (0.94) | $ 1.06 |
From discontinued operations (in dollars per share) | (0.10) | (0.15) | 0.06 | ||||||||
Diluted (in dollars per share) | $ 0.35 | $ 0.68 | $ 0.49 | $ 0.16 | $ 0.15 | $ 0.57 | $ (2.03) | $ 0.23 | $ 1.71 | $ (1.09) | $ 1.12 |
Antidilutive options to purchase excluded from computation of diluted earnings per share | 0.4 | 0 | 0 | ||||||||
Earnings Per Share, Potentially Dilutive Securities | 2 | ||||||||||
WeightedAverageDilutedSharesOutstanding | 172.2 |
Description of Business and S48
Description of Business and Significant Accounting Policies - Capitalized Software and Property, Plant and Equipment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 90 | $ 91 | $ 83 |
Capitalized Software [Roll Forward] | |||
Beginning balance | 311 | 257 | 193 |
Capitalization | 154 | 150 | 140 |
Amortization | (118) | (80) | (69) |
Impairment | (2) | (16) | (7) |
Ending balance | $ 345 | $ 311 | $ 257 |
Machinery and other equipment [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, useful life | 3 years | ||
Machinery and other equipment [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, useful life | 20 years | ||
Building [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, useful life | 25 years | ||
Building [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, useful life | 45 years | ||
Software Development Costs, Internal Use [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Capitalized computer software, useful life | 4 years | ||
Software Development Costs, Internal Use [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Capitalized computer software, useful life | 7 years | ||
Software and Software Development Costs [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Capitalized computer software, useful life | 3 years | ||
Software and Software Development Costs [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Capitalized computer software, useful life | 5 years |
Description of Business and S49
Description of Business and Significant Accounting Policies Redeemable Noncontrolling Interest (Details) | Dec. 31, 2016 |
NCR Manaus [Member] | |
Redeemable Noncontrolling Interest [Line Items] | |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 49.00% |
Description of Business and S50
Description of Business and Significant Accounting Policies - Related Party Transactions (Details) - Bradesco [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Related Party Transaction [Line Items] | |||
Revenues with related party | $ 82 | $ 59 | $ 87 |
Receivables outstanding from related party | $ 10 | $ 11 |
Description of Business and S51
Description of Business and Significant Accounting Policies Description of Business and Significant Accounting Policies - Recent Accounting Pronouncements (Details) $ in Millions | Dec. 31, 2016USD ($) |
Internal Revenue Service (IRS) [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Tax deductions in excess of previously recorded stock-based compensation windfall tax benefits but not reflected in deferred tax assets | $ 39 |
Business Combinations and Div52
Business Combinations and Divestitures 2016 Divestiture (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Business Combinations [Abstract] | |||
Proceeds from divestiture | $ 47 | $ 0 | $ 0 |
Loss on divestiture | $ 2 | $ 0 | $ 0 |
Business Combinations and Div53
Business Combinations and Divestitures 2015 Divestiture (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Loss from disposal of IPS business | $ (6) | $ (34) | $ 0 |
Remaining held for sale assets | $ 0 | 89 | |
Remaining held for sale liabilities | 39 | ||
Goodwill [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Loss from disposal of IPS business | 16 | ||
Property, Plant and Equipment [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Loss from disposal of IPS business | 18 | ||
Other Expense [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Loss from disposal of IPS business | $ 34 |
Business Combinations and Div54
Business Combinations and Divestitures 2014 Acquisitions (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Jan. 10, 2014 | |
Business Acquisition [Line Items] | ||||
Goodwill | $ 2,760 | $ 2,727 | $ 2,733 | |
Digital Insight [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Acquisitions, Pro Forma Expenses, Elimination of Transactions Costs | 8 | |||
Tangible assets acquired | 73 | |||
Acquired intangible assets other than goodwill | 559 | |||
Goodwill | 1,243 | |||
Deferred tax liabilities | (190) | |||
Liabilities assumed | (37) | |||
Total purchase consideration | 1,648 | $ 1,648 | ||
Identifiable intangible assets acquired - Estimated Fair Value | $ 559 | |||
Identifiable intangible assets acquired - Weighted Average Amortization Period | 13 years | |||
Business Combination, Amount Withheld For Recovery of Possible Future Claims | $ 5 | |||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 349 | |||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 104 | |||
Digital Insight [Member] | Customer Relationships [Member] | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets acquired - Estimated Fair Value | $ 336 | |||
Identifiable intangible assets acquired - Weighted Average Amortization Period | 18 years | |||
Digital Insight [Member] | Technology Software [Member] | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets acquired - Estimated Fair Value | $ 121 | |||
Identifiable intangible assets acquired - Weighted Average Amortization Period | 5 years | |||
Digital Insight [Member] | Customer Contracts [Member] | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets acquired - Estimated Fair Value | $ 89 | |||
Identifiable intangible assets acquired - Weighted Average Amortization Period | 8 years | |||
Digital Insight [Member] | Trademarks [Member] | ||||
Business Acquisition [Line Items] | ||||
Identifiable intangible assets acquired - Estimated Fair Value | $ 13 | |||
Identifiable intangible assets acquired - Weighted Average Amortization Period | 7 years | |||
Digital Insight [Member] | Selling, General and Administrative Expenses [Member] | ||||
Business Acquisition [Line Items] | ||||
Transaction expenses related to acquisition | $ 8 |
Business Combinations and Div55
Business Combinations and Divestitures 2014 Acquisitions Pro Forma (Details) - Digital Insight [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2014USD ($) | |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |
Business Acquisition, Pro Forma Revenue | $ 6,599 |
Business Acquisition, Pro Forma Net Income (Loss) | 175 |
Business Acquisitions, Pro Forma Expenses, Elimination of Transactions Costs | $ 8 |
Restructuring Plan (Details)
Restructuring Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | $ 19 | $ 74 | $ 161 |
Restructuring Reserve | 1 | 20 | 60 |
Restructuring Reserve, Period Increase (Decrease) | 15 | 38 | |
Restructuring Reserve, Accrual Adjustment | (2) | (5) | |
Payments for Restructuring | (32) | (71) | |
Restructuring Reserve, Translation Adjustment | 0 | 2 | |
Anticipated annual savings from restructuring plan | 105 | ||
Other exit costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 9 | 13 | 5 |
Noncontrolling Interest [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 0 | 0 | (2) |
Inventory related charges [Member] | Cost of Products [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 0 | 5 | 9 |
Inventory related charges [Member] | Cost of Services [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 4 | 7 | 47 |
Asset related charges [Member] | Software and Software Development Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 2 | 16 | 7 |
Asset related charges [Member] | Disposal Group, Held-for-sale, Not Discontinued Operations [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 0 | 13 | 6 |
Asset related charges [Member] | Other Expense [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 0 | 0 | 3 |
Discrete charge under ASC 712 [Member] | Severance and other employee related charges [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | 4 | 1 | 73 |
Severance charge under ASC 420 [Member] | Severance and other employee related charges [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and other asset-related charges | $ 0 | $ 19 | $ 13 |
Goodwill and Purchased Intang57
Goodwill and Purchased Intangible Assets - Schedule of Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 | |
Goodwill [Roll Forward] | ||||
Goodwill, Gross | $ 2,756 | $ 2,767 | ||
Accumulated Impairment Losses | (23) | (7) | ||
Goodwill | 2,733 | 2,760 | ||
Additions | 9 | 2 | ||
Impairment | (16) | |||
Other | (15) | (13) | ||
Goodwill, Gross | 2,750 | 2,756 | $ 2,767 | |
Accumulated Impairment Losses | (23) | (23) | (7) | |
Total | 2,733 | 2,760 | 2,760 | $ 2,727 |
Loss from disposal of IPS business | (6) | (34) | 0 | |
Software Segment [Domain] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, Gross | 1,936 | 1,947 | ||
Accumulated Impairment Losses | (7) | (7) | ||
Goodwill | 1,929 | 1,940 | ||
Additions | 9 | 2 | ||
Impairment | 0 | 0 | ||
Other | (15) | (13) | ||
Goodwill, Gross | 1,930 | 1,936 | 1,947 | |
Accumulated Impairment Losses | (7) | (7) | (7) | |
Total | 1,929 | 1,940 | 1,940 | 1,923 |
Services Segment [Domain] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, Gross | 658 | 658 | ||
Accumulated Impairment Losses | 0 | 0 | ||
Goodwill | 658 | 658 | ||
Additions | 0 | 0 | ||
Impairment | 0 | 0 | ||
Other | 0 | 0 | ||
Goodwill, Gross | 658 | 658 | 658 | |
Accumulated Impairment Losses | 0 | 0 | 0 | |
Total | 658 | 658 | 658 | 658 |
Hardware Segment [Domain] | ||||
Goodwill [Roll Forward] | ||||
Goodwill, Gross | 162 | 162 | ||
Accumulated Impairment Losses | (16) | 0 | ||
Goodwill | 146 | 162 | ||
Additions | 0 | 0 | ||
Impairment | 0 | (16) | ||
Other | 0 | 0 | ||
Goodwill, Gross | 162 | 162 | 162 | |
Accumulated Impairment Losses | (16) | (16) | 0 | |
Total | $ 146 | 162 | $ 162 | $ 146 |
Goodwill [Member] | ||||
Goodwill [Roll Forward] | ||||
Loss from disposal of IPS business | $ 16 |
Goodwill and Purchased Intang58
Goodwill and Purchased Intangible Assets - Schedule of Acquired Intangibles (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 1,210 | $ 1,213 |
Accumulated Amortization | (538) | (415) |
Customer Relationships [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 656 | 659 |
Accumulated Amortization | (128) | (92) |
Intellectual property [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 392 | 392 |
Accumulated Amortization | $ (302) | (244) |
Customer Contracts [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 8 years | |
Finite-Lived Intangible Assets, Gross | $ 89 | 89 |
Accumulated Amortization | (66) | (46) |
Tradenames [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 73 | 73 |
Accumulated Amortization | $ (42) | $ (33) |
Minimum [Member] | Customer Relationships [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 1 year | |
Minimum [Member] | Intellectual property [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 2 years | |
Minimum [Member] | Tradenames [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 2 years | |
Maximum [Member] | Customer Relationships [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 20 years | |
Maximum [Member] | Intellectual property [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 8 years | |
Maximum [Member] | Tradenames [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 10 years |
Goodwill and Purchased Intang59
Goodwill and Purchased Intangible Assets - Amorization Expense (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Amortization expense | $ 123 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2,017 | 116 |
2,018 | 85 |
2,019 | 75 |
2,020 | 57 |
2,021 | $ 49 |
Series A Preferred Stock (Detai
Series A Preferred Stock (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 04, 2015 | |
Series A Preferred Stock [Abstract] | |||
Series A preferred shares, shares issued | 866,900 | 820,000 | 820,000 |
Aggregate purchase price | $ 820 | ||
Stated Value Of Preferred Shares Per Share | $ 1,000 | ||
Direct Issuance Expenses | $ 26 | ||
Accrued Dividends | $ 3 | $ 4 | |
Liquidation preference per share | $ 1,000 | ||
Dividend rate | 5.50% | ||
Penalty dividend rate | 8.00% | ||
Conversion price per preferred share | $ 30 | ||
Conversion rate per preferred share | 33.33 | ||
Financial instruments subject to redemption, settlement terms, maximum number of shares | 29,000,000 | 27,400,000 | |
Minimum volume weighted average price of common stock for conversion at the option of the Company | $ 54 |
Debt Obligations (Details)
Debt Obligations (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | |||
Short-term borrowings | $ 50 | $ 13 | |
Long-term debt | 3,001 | 3,239 | |
Deferred Financing Fees | 29 | 34 | |
Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 821 | $ 956 | |
Long-term Debt, Weighted Average Interest Rate | [1] | 2.88% | 2.95% |
Other Debt [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 9 | $ 17 | |
Long-term Debt, Weighted Average Interest Rate | [2] | 6.64% | 7.16% |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 0 | $ 100 | |
Long-term Debt, Weighted Average Interest Rate | [1] | 2.61% | |
5% Notes Due 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 600 | $ 600 | |
4.625% Notes Due 2021 [Member] [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 500 | 500 | |
5.875% Notes due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 400 | ||
Secured Credit Facility Maximum Borrowing Amount | 400 | ||
6.375% Notes due 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 700 | 700 | |
Trade Receivables Securitization Facility [Member] | |||
Debt Instrument [Line Items] | |||
Short-term borrowings | 0 | 0 | |
Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Current Maturities | $ 45 | 0 | |
Short-term Debt, Weighted Average Interest Rate | [1] | 2.88% | |
Other Debt [Member] | |||
Debt Instrument [Line Items] | |||
Short-term borrowings | $ 5 | $ 13 | |
Short-term Debt, Weighted Average Interest Rate | [2] | 7.41% | 6.34% |
Secured Debt [Member] | Revolving Foreign [Member] | |||
Debt Instrument [Line Items] | |||
Secured Credit Facility Maximum Borrowing Amount | $ 400 | ||
[1] | Interest rates are weighted average interest rates as of December 31, 2016 and 2015. The Senior Secured Credit Facility incorporated the impact of the interest rate swap agreement prior to its expiration in August 2016. Refer to Note 11 "Derivatives and Hedging Instruments" for additional discussion. | ||
[2] | Interest rates are weighted average interest rates as of December 31, 2016 and 2015 primarily related to various international credit facilities and a note payable in the U.S. |
Debt Obligations Senior Secured
Debt Obligations Senior Secured Credit Facility (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Debt Instrument [Line Items] | ||
Long-term Debt | $ 3,080 | |
Deferred Financing Fees | 29 | $ 34 |
Long-term debt | 3,001 | 3,239 |
Letters of Credit Outstanding, Amount | $ 0 | |
Debt Instrument Covenant Maximum Consolidated Leverage Ratio | 4.35 | |
Available Additional Amount of Incremental Term Loan or Incremental Revolving Commitment | $ 150 | |
Period One [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Covenant Consolidated Leverage Ratio | 4.25 | |
Debt Instrument, Covenant, Maximum Spread on Consolidated Leverage Ratio | 0.50 | |
Debt Instrument Covenant Interest Coverage Ratio | 3.5 | |
Period Two [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Covenant Consolidated Leverage Ratio | 4 | |
Period Three [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Covenant Consolidated Leverage Ratio | 3.75 | |
Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt | $ 866 | |
Long-term debt | 821 | $ 956 |
Secured Debt [Member] | Revolving [Member] | ||
Debt Instrument [Line Items] | ||
Secured Credit Facility Maximum Borrowing Amount | $ 1,100 | |
Federal Funds Rate [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | |
Base Rate [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | |
Maximum [Member] | LIBOR [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Margin for Base Rate Loans | 2.25% | |
Maximum [Member] | EURIBOR [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Margin for Base Rate Loans | 1.25% | |
Minimum [Member] | LIBOR [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Margin for Base Rate Loans | 1.25% | |
Minimum [Member] | EURIBOR [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Margin for Base Rate Loans | 0.25% | |
Quarterly installments beginning September 30, 2016 [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Periodic Payment | $ 11 | |
Quarterly installments beginning September 30, 2018 [Domain] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Periodic Payment | 17 | |
Quarterly installments beginning September 30, 2017 [Member] [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Periodic Payment | $ 23 |
Debt Obligations Senior Unsecur
Debt Obligations Senior Unsecured Notes (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 19, 2013 | Dec. 18, 2012 | Sep. 17, 2012 | |
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 3,080 | ||||
Long-term debt | 3,001 | $ 3,239 | |||
5% Notes Due 2022 [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 600 | ||||
Debt instrument stated percentage | 5.00% | ||||
Percentage of Principle Amount Notes Were Sold At | 100.00% | ||||
Long-term debt | $ 600 | 600 | |||
5% Notes Due 2022 [Member] | Twelve Month Period Commencing On July 15, 2017 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 102.50% | ||||
5% Notes Due 2022 [Member] | Twelve Month Period Commencing On July 15, 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 101.667% | ||||
5% Notes Due 2022 [Member] | Twelve Month Period Commencing On July 15, 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.833% | ||||
5% Notes Due 2022 [Member] | Twelve Month Period Commencing On July 15, 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
5% Notes Due 2022 [Member] | Prior to July 15, 2017 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
4.625% Notes Due 2021 [Member] [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 500 | ||||
Debt instrument stated percentage | 4.625% | ||||
Percentage of Principle Amount Notes Were Sold At | 100.00% | ||||
Long-term debt | $ 500 | 500 | |||
4.625% Notes Due 2021 [Member] [Member] | Twelve Month Period Commencing On February 15, 2017 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 102.313% | ||||
4.625% Notes Due 2021 [Member] [Member] | Twelve Month Period Commencing On February 15, 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 101.156% | ||||
4.625% Notes Due 2021 [Member] [Member] | Twelve Month Period Commencing On February 15, 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
4.625% Notes Due 2021 [Member] [Member] | Prior To February 15, 2017 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
5.875% Notes due 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 400 | ||||
Debt instrument stated percentage | 5.875% | ||||
Percentage of Principle Amount Notes Were Sold At | 100.00% | ||||
Long-term debt | $ 400 | ||||
5.875% Notes due 2021 [Member] | Twelve Month Period Commencing On December 15, 2017 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 102.938% | ||||
5.875% Notes due 2021 [Member] | Twelve Month Period Commencing On December 15, 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 101.469% | ||||
5.875% Notes due 2021 [Member] | Twelve Month Period Commencing On December 15, 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
5.875% Notes due 2021 [Member] | Prior To December 15, 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
6.375% Notes due 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 700 | ||||
Debt instrument stated percentage | 6.375% | ||||
Percentage of Principle Amount Notes Were Sold At | 100.00% | ||||
Long-term debt | $ 700 | $ 700 | |||
6.375% Notes due 2023 [Member] | Twelve Month Period Commencing On December 15, 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 103.188% | ||||
6.375% Notes due 2023 [Member] | Twelve Month Period Commencing On December 15, 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 102.125% | ||||
6.375% Notes due 2023 [Member] | Twelve Month Period Commencing On December 15, 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 101.063% | ||||
6.375% Notes due 2023 [Member] | Prior To December 15, 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% | ||||
6.375% Notes due 2023 [Member] | Twelve Month Period Commencing On December 15, 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument Redemption Price As Percentage Of Principle Amount | 100.00% |
Debt Obligations Debt Obligat64
Debt Obligations Debt Obligations Receivables Securitization Facility (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | ||
Trade Receivables Securitization Facility, Maximum Borrowing Base | $ 200 | |
Trade Receivables Securitization Facility, Collateral At Period End | $ 426 | $ 368 |
Federal Funds Rate [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 0.50% |
Debt Obligations Maturities of
Debt Obligations Maturities of Long Term Debt (Details) $ in Millions | Dec. 31, 2016USD ($) |
Maturities of Long Term Debt Disclosure [Abstract] | |
Long-term Debt | $ 3,080 |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 50 |
Long-term Debt, Maturities, Repayments of Principal in Year Two | 63 |
Long-term Debt, Maturities, Repayments of Principal in Year Three | 85 |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 95 |
Long-term Debt, Maturities, Repayments of Principal in Year Five | 1,485 |
Long-term Debt, Maturities, Repayments of Principal after Year Five | $ 1,302 |
Debt Obligations Fair Value of
Debt Obligations Fair Value of Debt (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Disclosure [Abstract] | ||
Debt Instrument, Fair Value Disclosure | $ 3,160 | $ 3,210 |
Income Taxes - Income from Cont
Income Taxes - Income from Continuing Operations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
(Loss) Income Before Income Taxes [Abstract] | |||
United States | $ 35 | $ (24) | $ (235) |
Foreign | 344 | (71) | 372 |
Income (loss) from continuing operations before income taxes | $ 379 | $ (95) | $ 137 |
Income Taxes - Components of In
Income Taxes - Components of Income Tax (Benefit) Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current | |||
Federal | $ 18 | $ (7) | $ (4) |
State | 4 | 1 | 2 |
Foreign | 60 | 37 | 79 |
Deferred | |||
Federal | 12 | 23 | (88) |
State | 1 | (6) | (7) |
Foreign | (3) | 7 | (30) |
Total income tax expense (benefit) | $ 92 | $ 55 | $ (48) |
Income Taxes - Income Tax Recon
Income Taxes - Income Tax Reconciliation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Income tax expense (benefit) at the U.S. federal tax rate of 35% | $ 133 | $ (33) | $ 48 |
Foreign income tax differential | (26) | 33 | (72) |
U.S. permanent book/tax differences | 0 | (5) | (2) |
Tax audit settlements | 0 | (10) | (15) |
Change in liability for unrecognized tax benefits | (12) | (7) | 0 |
Nondeductible transaction costs | 0 | (1) | 1 |
Goodwill impairment | 0 | 5 | 0 |
U.S. valuation allowance | 0 | (3) | (8) |
US manufacturing deduction | (7) | 0 | 0 |
Settlement of UK London pension plan | 0 | 77 | 0 |
Other, net | 4 | (1) | 0 |
Total income tax expense (benefit) | $ 92 | $ 55 | $ (48) |
Income Taxes - Deferred Taxes (
Income Taxes - Deferred Taxes (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred income tax assets | ||
Employee pensions and other benefits | $ 301 | $ 276 |
Other balance sheet reserves and allowances | 237 | 164 |
Tax loss and credit carryforwards | 602 | 628 |
Capitalized research and development | 99 | 97 |
Property, plant and equipment | 8 | 12 |
Other | 38 | 37 |
Total deferred income tax assets | 1,285 | 1,214 |
Valuation allowance | (445) | (346) |
Net deferred income tax assets | 840 | 868 |
Deferred income tax liabilities | ||
Intangible Assets | 239 | 270 |
Capitalized software | 43 | 36 |
Other | 7 | 6 |
Total deferred income tax liabilities | 289 | 312 |
Total net deferred income tax assets | 551 | $ 556 |
U.S. federal and foreign tax attribute carryforwards | 1,300 | |
United States [Member] | ||
Deferred income tax assets | ||
Net deferred income tax assets | 451 | |
Deferred income tax liabilities | ||
Tax credit carryforward, amount | 218 | |
Tax credit carryforward, not subject to expiration | 21 | |
Tax credit carryforward, expires in years 2014 through 2032 | 197 | |
U.S. Federal [Member] | ||
Deferred income tax liabilities | ||
Tax deductions in excess of previously recorded stock-based compensation windfall tax benefits but not reflected in deferred tax assets | $ 39 |
Income Taxes - Unrecognized Tax
Income Taxes - Unrecognized Tax Benefit (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Gross unrecognized tax benefits - January 1 | $ 209 | $ 248 | $ 277 |
Increases related to tax positions from prior years | 3 | 17 | 34 |
Decreases related to tax positions from prior years | (34) | (37) | (50) |
Increases related to tax provisions taken during the current year | 23 | 35 | 43 |
Settlements with tax authorities | (6) | (33) | (14) |
Lapses of statutes of limitation | (12) | (21) | (42) |
Total Gross unrecognized tax benefits - December 31 | 183 | 209 | 248 |
Total amount of gross unrecognized tax benefits that would affect NCR's effective tax rate if realized | 94 | ||
Recognized interest and penalties expense (benefit) associated with uncertain tax positions | 0 | 4 | $ (1) |
Interest and penalties accrued associated with uncertain tax positions | 41 | $ 46 | |
Undistributed earnings of foreign subsidiaries | 2,300 | ||
Minimum [Member] | |||
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Significant change in unrecognized tax benefits is reasonably possible, estimated range of change, upper bound | 35 | ||
Maximum [Member] | |||
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Significant change in unrecognized tax benefits is reasonably possible, estimated range of change, upper bound | $ 40 |
Income Taxes - Income Tax Adjus
Income Taxes - Income Tax Adjustments, Settlements and Unusual Items (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Settlements, Adjustments and Unusual Items [Line Items] | |||
Income Tax Adjustments, Settlements and Unusual Items | $ (13) | ||
Valuation Allowance, Deferred Tax Asset, Change in Amount | 9 | ||
CANADA | |||
Income Tax Settlements, Adjustments and Unusual Items [Line Items] | |||
Income Tax Adjustments, Settlements and Unusual Items | (10) | ||
Pension Plan [Member] | |||
Income Tax Settlements, Adjustments and Unusual Items [Line Items] | |||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | $ 0 | $ (427) | $ 1 |
Employee Stock Compensation P73
Employee Stock Compensation Plans - Allocated Compensation, Assumptions and Shares Available (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation (pre-tax) | $ 61 | $ 42 | $ 31 |
Tax Benefit | (18) | (13) | (10) |
Total stock-based compensation (net of tax) | $ 43 | $ 29 | $ 21 |
Stock Incentive Plan, 2006 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized (in shares) | 14 |
Employee Stock Compensation P74
Employee Stock Compensation Plans - Restricted Stock and Restricted Stock Units (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 33.90% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.21% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 14.93 | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Unvested shares, Beginning balance, Number of Shares (in shares) | 4,955 | ||
Shares granted, Number of Shares (in shares) | 4,812 | ||
Shares vested, Number of Shares (in shares) | (1,559) | ||
Shares forfeited, Number of Shares (in shares) | (739) | ||
Unvested shares, Ending balance, Number of Shares (in shares) | 7,469 | 4,955 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Unvested shares, Beginning balance, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | $ 30.08 | ||
Shares granted, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | 20.45 | $ 29.40 | $ 31.85 |
Shares vested, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | 27.93 | ||
Shares forfeited, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | 25.89 | ||
Unvested shares, Ending balance, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | $ 24.70 | $ 30.08 | |
Total intrinsic value of shares vested and distributed | $ 42 | $ 44 | $ 66 |
Total unrecognized compensation | $ 125 | ||
Total unrecognized compensation cost, period of recognition | 1 year 2 months 1 day | ||
Restricted Stock, Service-based [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares granted, Number of Shares (in shares) | 1,667 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Shares granted, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | $ 25.02 | ||
Restricted Stock, Performance-based [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award requisite service period | 12 months | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares granted, Number of Shares (in shares) | 1,186 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Shares granted, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | $ 23.16 | ||
Restricted Stock, Price contingent-based [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares granted, Number of Shares (in shares) | 1,959 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Shares granted, Weighted Average Grant-Date Fair Value per Share (in dollars per share) | $ 14.93 | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 60 months | ||
Minimum [Member] | Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 48 months | ||
Minimum [Member] | Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award requisite service period | 36 months | ||
Maximum [Member] | Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award requisite service period | 48 months | ||
Performance Period from 2013 to 2014 [Member] | Restricted Stock, Performance-based [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares granted, Number of Shares (in shares) | 1,500 |
Employee Stock Compensation P75
Employee Stock Compensation Plans - Stock Options (Details) - Stock Options [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Outstanding, Beginning balance, Shares Under Option (in shares) | 1,004 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 49 | ||
Vested, Shares Under Option (in shares) | (423) | ||
Outstanding, Ending balance, Shares Under Option (in shares) | 629 | 1,004 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | 1 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | |||
Outstanding, Beginning balance, Weighted Average Exercise Price per Share (in dollars per share) | $ 18.14 | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | 21.54 | ||
Vested, Weighted Average Exercise Price per Share (in dollars per share) | 19.17 | ||
Outstanding, Ending balance, Weighted Average Exercise Price per Share (in dollars per share) | 17.69 | $ 18.14 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | $ 26.46 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Outstanding, Weighted Average Remaining Contratual Term (in years) | 3 years 1 month 18 days | ||
Outstanding, Aggregate Intrinsic Value | $ 14.4 | ||
Exercisable, Shares Under Option (in shares) | 579 | ||
Exercisable, Weighted Average Exercise Price per Share (in dollars per share) | $ 17.36 | ||
Exercisable, Weighted Average Remaining Contractual Term (in years) | 2 years 7 months 14 days | ||
Exercisable, Aggregate Intrinsic Value | $ 13.4 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | |||
Fully vested and expected to vest, Shares Under Option (in shares) | 629 | ||
Fully vested and expected to vest, Weighted Average Exercise Price per Share (in dollars per share) | $ 17.69 | ||
Fully vested and expected to vest, Weighted Average Remaining Contractual Term (in years) | 3 years 1 month 18 days | ||
Fully vested and expected to vest, Aggregate Intrinsic Value | $ 14.4 | ||
Total intrinsic value of all options exercised | 6 | $ 6 | $ 8 |
Cash received from option exercises | 8 | 8 | 7 |
Tax benefit realized from these exercises | $ 2 | $ 2 | $ 2 |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | |||
Vesting period | 1 year | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | |||
Vesting period | 10 years |
Employee Stock Compensation P76
Employee Stock Compensation Plans - Other Share-based Plans (Details) - Employee Stock [Member] - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employees purchased (in shares) | 0.3 | 0.3 | 0.2 |
Employees purchased | $ 7 | $ 7 | $ 6 |
Shares authorized (in shares) | 4 | ||
Shares remain unissued (in shares) | 0.9 |
Employee Benefit Plans - Change
Employee Benefit Plans - Change in Benefit Obligation and Plan Assets, Funded Status, Amounts Recognized in Balance Sheet, and ABO in Excess of Plan Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pension Plan [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation as of January 1 | $ 3,314 | $ 4,377 | |
Net service cost | 7 | 12 | $ 12 |
Interest cost | 118 | 129 | 211 |
Amendment | 0 | 3 | |
Actuarial loss | 227 | (110) | |
Benefits paid | (188) | (1,474) | |
Plan participant contributions | 1 | 2 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 0 | (2) | 0 |
Settlements | 0 | 425 | |
Currency translation adjustments | (122) | (48) | |
Benefit obligation as of December 31 | 3,357 | 3,314 | 4,377 |
Accumulated benefit obligation as of December 31 | 3,347 | 3,303 | |
Amounts recognized in the Consolidated Balance Sheets | |||
Defined Benefit Plan, Benefit Obligation | (657) | (579) | |
Noncurrent assets | 94 | 130 | |
Current liabilities | (12) | (13) | |
Noncurrent liabilities | (739) | (696) | |
Net amounts recognized | (657) | (579) | |
Amounts recognized in the accumulated other comprehensive loss | |||
Prior service cost | 15 | 19 | |
Total | 15 | 19 | |
Pension plans with accumulated benefit obligations in excess of plan assets, projected benefit obligation | 2,711 | 2,692 | |
Pension plans with accumulated benefit obligations in excess of plan assets, accumulated benefit obligation | 2,702 | 2,682 | |
Pension plans with accumulated benefit obligations in excess of plan assets, fair value of plan assets | 1,991 | 2,013 | |
U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation as of January 1 | 2,155 | 2,271 | |
Net service cost | 0 | 0 | 0 |
Interest cost | 90 | 87 | 130 |
Amendment | 0 | 0 | |
Actuarial loss | 53 | (93) | |
Benefits paid | (113) | (110) | |
Plan participant contributions | 0 | 0 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 0 | 0 | 0 |
Settlements | 0 | 0 | |
Currency translation adjustments | 0 | 0 | |
Benefit obligation as of December 31 | 2,185 | 2,155 | 2,271 |
Accumulated benefit obligation as of December 31 | 2,185 | 2,155 | |
Amounts recognized in the Consolidated Balance Sheets | |||
Defined Benefit Plan, Benefit Obligation | (463) | (429) | |
Noncurrent assets | 0 | 0 | |
Current liabilities | 0 | 0 | |
Noncurrent liabilities | (463) | (429) | |
Net amounts recognized | (463) | (429) | |
Amounts recognized in the accumulated other comprehensive loss | |||
Prior service cost | 0 | 0 | |
Total | 0 | 0 | |
International Pension Benefits [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation as of January 1 | 1,159 | 2,106 | |
Net service cost | 7 | 12 | 12 |
Interest cost | 28 | 42 | 81 |
Amendment | 0 | 3 | |
Actuarial loss | 174 | (17) | |
Benefits paid | (75) | (1,364) | |
Plan participant contributions | 1 | 2 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 0 | (2) | 0 |
Settlements | 0 | 425 | |
Currency translation adjustments | (122) | (48) | |
Benefit obligation as of December 31 | 1,172 | 1,159 | 2,106 |
Accumulated benefit obligation as of December 31 | 1,162 | 1,148 | |
Amounts recognized in the Consolidated Balance Sheets | |||
Defined Benefit Plan, Benefit Obligation | (194) | (150) | |
Noncurrent assets | 94 | 130 | |
Current liabilities | (12) | (13) | |
Noncurrent liabilities | (276) | (267) | |
Net amounts recognized | (194) | (150) | |
Amounts recognized in the accumulated other comprehensive loss | |||
Prior service cost | 15 | 19 | |
Total | 15 | 19 | |
Postemployment Benefits [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation as of January 1 | 143 | 227 | |
Restructuring program cost | 4 | 1 | |
Net service cost | 16 | 17 | 17 |
Interest cost | 3 | 3 | 5 |
Amendment | 0 | (12) | |
Actuarial loss | 4 | (34) | |
Benefits paid | (37) | (47) | |
Currency translation adjustments | (6) | (12) | |
Benefit obligation as of December 31 | 127 | 143 | 227 |
Amounts recognized in the Consolidated Balance Sheets | |||
Defined Benefit Plan, Benefit Obligation | (127) | (143) | |
Current liabilities | (22) | (33) | |
Noncurrent liabilities | (105) | (110) | |
Net amounts recognized | (127) | (143) | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | 42 | 47 | |
Amounts recognized in the accumulated other comprehensive loss | |||
Prior service cost | (17) | (23) | |
Total | (59) | (70) | |
Postretirement Benefits [Member] | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation as of January 1 | 27 | 26 | |
Net service cost | 0 | 0 | 0 |
Interest cost | 1 | 1 | 1 |
Actuarial loss | (2) | 2 | |
Benefits paid | (2) | (3) | |
Plan participant contributions | 1 | 1 | |
Benefit obligation as of December 31 | 25 | 27 | $ 26 |
Amounts recognized in the Consolidated Balance Sheets | |||
Defined Benefit Plan, Benefit Obligation | (25) | (27) | |
Current liabilities | (3) | (4) | |
Noncurrent liabilities | (22) | (23) | |
Net amounts recognized | (25) | (27) | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | (16) | (20) | |
Amounts recognized in the accumulated other comprehensive loss | |||
Prior service cost | (19) | (33) | |
Total | $ (3) | $ (13) |
Employee Benefit Plans - Chan78
Employee Benefit Plans - Change in Plan Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
United States Pension Plan of US Entity [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | $ 1,722 | $ 1,726 | $ 1,884 |
Actual return on plan assets | 109 | (48) | |
Company contributions | 0 | 0 | |
Benefits paid | (113) | (110) | |
Currency translation adjustments | 0 | 0 | |
Plan participant contributions | 0 | 0 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | 0 | 0 | 0 |
Foreign Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 978 | 1,009 | 2,325 |
Actual return on plan assets | 136 | 38 | |
Company contributions | 31 | 33 | |
Benefits paid | (75) | (1,364) | |
Currency translation adjustments | (124) | (25) | |
Plan participant contributions | 1 | 2 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | 0 | (427) | 1 |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 2,700 | 2,735 | 4,209 |
Actual return on plan assets | 245 | (10) | |
Company contributions | 31 | 33 | |
Benefits paid | (188) | (1,474) | |
Currency translation adjustments | (124) | (25) | |
Plan participant contributions | 1 | 2 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | $ 0 | $ (427) | $ 1 |
Employee Benefit Plans - Fair V
Employee Benefit Plans - Fair Value of Plan Assets (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
U.S. Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Benefit Obligation | $ (463) | $ (429) | ||
Defined Benefit Plan, Fair Value of Plan Assets | 1,722 | 1,726 | $ 1,884 | |
U.S. Pension Benefits [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 60 | 74 | ||
U.S. Pension Benefits [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 1,031 | 1,027 | ||
U.S. Pension Benefits [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | ||
U.S. Pension Benefits [Member] | Equity Securities, Common Stock [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
U.S. Pension Benefits [Member] | Equity Securities, Common Stock [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
U.S. Pension Benefits [Member] | Equity Securities, Common Stock [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
U.S. Pension Benefits [Member] | Equity Securities, Common Stock [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
U.S. Pension Benefits [Member] | Government Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 234 | 222 | |
U.S. Pension Benefits [Member] | Government Debt Securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 0 | 0 | |
U.S. Pension Benefits [Member] | Government Debt Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 234 | 222 | |
U.S. Pension Benefits [Member] | Government Debt Securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 0 | 0 | |
U.S. Pension Benefits [Member] | Corporate Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 797 | 805 | |
U.S. Pension Benefits [Member] | Corporate Debt Securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 0 | 0 | |
U.S. Pension Benefits [Member] | Corporate Debt Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 797 | 805 | |
U.S. Pension Benefits [Member] | Corporate Debt Securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 0 | 0 | |
U.S. Pension Benefits [Member] | Money Market Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 28 | 33 | |
U.S. Pension Benefits [Member] | Money Market Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Money Market Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Money Market Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 530 | 500 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 23 | 30 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 8 | 21 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 6 | 7 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Mutual Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 60 | 74 | |
U.S. Pension Benefits [Member] | Mutual Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 60 | 74 | |
U.S. Pension Benefits [Member] | Mutual Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Mutual Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Hedge Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 36 | 34 | |
U.S. Pension Benefits [Member] | Hedge Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Hedge Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Hedge Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Insurance Products [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Insurance Products [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Insurance Products [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Insurance Products [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
U.S. Pension Benefits [Member] | Real Estate And Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Real Estate And Other [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Real Estate And Other [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
U.S. Pension Benefits [Member] | Real Estate And Other [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Benefit Obligation | (194) | (150) | ||
Defined Benefit Plan, Fair Value of Plan Assets | 978 | 1,009 | 2,325 | |
International Pension Benefits [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 47 | 50 | ||
International Pension Benefits [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 144 | 167 | ||
International Pension Benefits [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 124 | 133 | $ 1,388 | |
International Pension Benefits [Member] | Equity Securities, Common Stock [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 47 | 50 | |
International Pension Benefits [Member] | Equity Securities, Common Stock [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 47 | 50 | |
International Pension Benefits [Member] | Equity Securities, Common Stock [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
International Pension Benefits [Member] | Equity Securities, Common Stock [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
International Pension Benefits [Member] | Government Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 27 | 13 | |
International Pension Benefits [Member] | Government Debt Securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 0 | 0 | |
International Pension Benefits [Member] | Government Debt Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 27 | 13 | |
International Pension Benefits [Member] | Government Debt Securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 0 | 0 | |
International Pension Benefits [Member] | Corporate Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 110 | 145 | |
International Pension Benefits [Member] | Corporate Debt Securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 0 | 0 | |
International Pension Benefits [Member] | Corporate Debt Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 108 | 141 | |
International Pension Benefits [Member] | Corporate Debt Securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 2 | 4 | |
International Pension Benefits [Member] | Money Market Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 8 | 13 | |
International Pension Benefits [Member] | Money Market Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Money Market Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 8 | 12 | |
International Pension Benefits [Member] | Money Market Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 169 | 184 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 363 | 327 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 27 | 31 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 104 | 116 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Mutual Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Mutual Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Mutual Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Mutual Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Hedge Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Hedge Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Hedge Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Hedge Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Insurance Products [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 1 | 1 | |
International Pension Benefits [Member] | Insurance Products [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Insurance Products [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 1 | 1 | |
International Pension Benefits [Member] | Insurance Products [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
International Pension Benefits [Member] | Real Estate And Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 122 | 129 | |
International Pension Benefits [Member] | Real Estate And Other [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Real Estate And Other [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
International Pension Benefits [Member] | Real Estate And Other [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 122 | 129 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 631 | 625 | ||
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Equity Securities, Common Stock [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Government Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Corporate Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Money Market Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 28 | 33 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 530 | 500 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 23 | 30 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 8 | 21 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 6 | 7 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Mutual Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Hedge Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 36 | 34 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Insurance Products [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | U.S. Pension Benefits [Member] | Real Estate And Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | 663 | 659 | ||
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Equity Securities, Common Stock [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [1] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Government Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [2] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Corporate Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [3] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Money Market Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 1 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Common and Commingled Trusts, Equities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 169 | 184 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Common and Commingled Trusts, Bonds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 363 | 327 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Common and Commingled Trusts, Short Term Investments [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 27 | 31 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Common and Commingled Trusts, Balanced [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 104 | 116 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Partnership And Joint Venture Interests, Real Estate [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Partnership And Joint Venture Interests, Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Mutual Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Hedge Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Insurance Products [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [4] | 0 | 0 | |
Not Subject to Leveling [Member] | International Pension Benefits [Member] | Real Estate And Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | [5] | $ 0 | $ 0 | |
[1] | Common stocks are valued based on quoted market prices at the closing price as reported on the active market on which the individual securities are traded. | |||
[2] | Government securities are valued based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar securities, the security is valued under a discounted cash flows approach that maximizes observable inputs, such as current yields on similar instruments but includes adjustments for certain risks that may not be observable, such as credit and liquidity risks. | |||
[3] | Corporate debt is valued primarily based on observable market quotations for similar bonds at the closing price reported on the active market on which the individual securities are traded. When such quoted prices are not available, the bonds are valued using a discounted cash flows approach using current yields on similar instruments of issuers with similar credit ratings. | |||
[4] | Common/collective trusts and registered investment companies (RICs) such as mutual funds are valued using a Net Asset Value (NAV) provided by the manager of each fund. The NAV is based on the underlying net assets owned by the fund, divided by the number of shares or units outstanding. The fair value of the underlying securities within the fund, which are generally traded on an active market, are valued at the closing price reported on the active market on which those individual securities are traded. For investments not traded on an active market, or for which a quoted price is not publicly available, a variety of unobservable valuation methodologies, including discounted cash flow, market multiple and cost valuation approaches, are employed by the fund manager or independent third party to value investments. | |||
[5] | Partnership/joint ventures and hedge funds are valued based on the fair value of the underlying securities within the fund, which include investments both traded on an active market and not traded on an active market. For those investments that are traded on an active market, the values are based on the closing price reported on the active market on which those individual securities are traded and in the case of hedge funds they are valued using a Net Asset Value (NAV) provided by the manager of each fund. For investments not traded on an active market, or for which a quoted price is not publicly available, a variety of unobservable valuation methodologies, including discounted cash flow, market multiples and cost valuation approaches, are employed by the fund manager to value investments. |
Employee Benefit Plans - Net Pe
Employee Benefit Plans - Net Periodic Benefit (Income) Cost (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Postemployment Benefits [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Net service cost | $ 16 | $ 17 | $ 17 |
Interest cost | 3 | 3 | 5 |
Prior service cost | (6) | (4) | (4) |
Actuarial loss | (7) | 0 | (2) |
Net benefit cost | 6 | 16 | 16 |
Restructuring severance cost | 4 | 1 | 73 |
Net periodic benefit cost | 10 | 17 | 89 |
Postretirement Benefits [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Net service cost | 0 | 0 | 0 |
Interest cost | 1 | 1 | 1 |
Prior service cost | (14) | (18) | (18) |
Actuarial loss | 2 | 2 | 2 |
Net periodic benefit cost | (11) | (15) | (15) |
Pension Plan [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Net service cost | 7 | 12 | 12 |
Interest cost | 118 | 129 | 211 |
Expected return on plan assets | (108) | (132) | (222) |
Prior service cost | 1 | 1 | 2 |
Actuarial loss | 85 | 29 | 150 |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 0 | (2) | 0 |
Settlement charge | 0 | 427 | (1) |
Net periodic benefit cost | 103 | 464 | 152 |
Company contributions | 31 | 33 | |
Pension liability | 0 | (425) | |
U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Net service cost | 0 | 0 | 0 |
Interest cost | 90 | 87 | 130 |
Expected return on plan assets | (72) | (72) | (118) |
Prior service cost | 0 | 0 | 0 |
Actuarial loss | 16 | 27 | 146 |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 0 | 0 | 0 |
Settlement charge | 0 | 0 | 0 |
Net periodic benefit cost | 34 | 42 | 158 |
Company contributions | 0 | 0 | |
Pension liability | 0 | 0 | |
International Pension Benefits [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Net service cost | 7 | 12 | 12 |
Interest cost | 28 | 42 | 81 |
Expected return on plan assets | (36) | (60) | (104) |
Prior service cost | 1 | 1 | 2 |
Actuarial loss | 69 | 2 | 4 |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 0 | (2) | 0 |
Settlement charge | 0 | 427 | (1) |
Net periodic benefit cost | 69 | 422 | $ (6) |
Company contributions | 31 | 33 | |
Pension liability | $ 0 | $ (425) |
Employee Benefit Plans - Assump
Employee Benefit Plans - Assumptions, Market-Related Value, and Unrecognized Loss (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
United States Pension Plan of US Entity [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.10% | 4.30% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 4.30% | 4.00% | 4.60% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 4.30% | 4.00% | 4.60% |
Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.20% | 3.30% | 3.10% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.30% | 3.10% | 3.40% |
Postemployment Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 2.00% | 2.20% | |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 1.80% | 2.10% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 2.20% | 2.10% | 3.20% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 2.10% | 2.00% | 2.80% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Involuntary Turnover Rate | 4.80% | 4.80% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Involuntary Turnover Rate | 4.80% | 4.80% | 4.80% |
International Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 1.90% | 2.60% | |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 0.90% | 1.30% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 2.60% | 2.90% | 3.80% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 3.80% | 3.80% | 4.50% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 1.30% | 1.80% | 2.70% |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.30% | 3.70% | |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 0.90% | 1.30% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.70% | 3.50% | 4.30% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 4.10% | 3.90% | 4.50% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 1.30% | 1.80% | 2.70% |
Before Age 65 [Member] | Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed for Next Fiscal Year | 6.60% | 6.80% | |
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 5.00% | 5.00% | |
Defined Benefit Plan, Year that Rate Reaches Ultimate Trend Rate | 2,024 | ||
After Age 65 [Member] | Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed for Next Fiscal Year | 5.80% | 5.90% | |
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 5.00% | 5.00% | |
Defined Benefit Plan, Year that Rate Reaches Ultimate Trend Rate | 2,024 |
Employee Benefit Plans - Actual
Employee Benefit Plans - Actual and Target Allocations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Defined Benefit Plan, Effect of One Percentage Point Increase on Service and Interest Cost Components | $ 0 | ||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Service and Interest Cost Components | 0 | ||
Defined Benefit Plan, Effect of One Percentage Point Increase on Accumulated Postretirement Benefit Obligation | 0 | ||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Accumulated Postretirement Benefit Obligation | 0 | ||
Restructuring and other asset-related charges | $ 19 | $ 74 | $ 161 |
U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 100.00% | 100.00% | |
International Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 100.00% | 100.00% | |
Equity Securities [Member] | U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 0.00% | 0.00% | |
Target Asset Allocation, Equity securities, Minimum | 0.00% | ||
Target Asset Allocation, Equity securities, Maximum | 0.00% | ||
Equity Securities [Member] | International Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 23.00% | 24.00% | |
Target Asset Allocation, Equity securities, Minimum | 16.00% | ||
Target Asset Allocation, Equity securities, Maximum | 26.00% | ||
Debt Securities [Member] | U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 96.00% | 96.00% | |
Target Asset Allocation, Equity securities, Minimum | 95.00% | ||
Target Asset Allocation, Equity securities, Maximum | 100.00% | ||
Debt Securities [Member] | International Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 52.00% | 50.00% | |
Target Asset Allocation, Equity securities, Minimum | 50.00% | ||
Target Asset Allocation, Equity securities, Maximum | 60.00% | ||
Real Estate [Member] | U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 1.00% | 1.00% | |
Target Asset Allocation, Equity securities, Minimum | 0.00% | ||
Target Asset Allocation, Equity securities, Maximum | 2.00% | ||
Real Estate [Member] | International Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 13.00% | 13.00% | |
Target Asset Allocation, Equity securities, Minimum | 8.00% | ||
Target Asset Allocation, Equity securities, Maximum | 14.00% | ||
Other [Member] | U.S. Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 3.00% | 3.00% | |
Target Asset Allocation, Equity securities, Minimum | 0.00% | ||
Target Asset Allocation, Equity securities, Maximum | 3.00% | ||
Other [Member] | International Pension Benefits [Member] | |||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Allocation of plan asset, percentage | 12.00% | 13.00% | |
Target Asset Allocation, Equity securities, Minimum | 11.00% | ||
Target Asset Allocation, Equity securities, Maximum | 17.00% |
Employee Benefit Plans - Unobse
Employee Benefit Plans - Unobservable Input Reconciliation (Details) - International Pension Benefits [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Fair value of plan assets as of January 1 | $ 1,009 | $ 2,325 |
Fair value of plan assets as of December 31 | 978 | 1,009 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Fair value of plan assets as of January 1 | 133 | 1,388 |
Realized and unrealized gains and losses, net | (8) | (58) |
Purchases, sales and settlements, net | 1 | (1,196) |
Transfers, net | (2) | (1) |
Fair value of plan assets as of December 31 | $ 124 | $ 133 |
Employee Benefit Plans - Estima
Employee Benefit Plans - Estimated Future Benefit Payments (Details) $ in Millions | Dec. 31, 2016USD ($) |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | $ 173 |
2,017 | 176 |
2,018 | 179 |
2,019 | 180 |
2,020 | 182 |
2021 - 2025 | 933 |
U.S. Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 124 |
2,017 | 127 |
2,018 | 130 |
2,019 | 132 |
2,020 | 135 |
2021 - 2025 | 690 |
International Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 49 |
2,017 | 49 |
2,018 | 49 |
2,019 | 48 |
2,020 | 47 |
2021 - 2025 | 243 |
Postretirement Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 3 |
2,017 | 3 |
2,018 | 2 |
2,019 | 2 |
2,020 | 2 |
2021 - 2025 | 6 |
Postemployment Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 55 |
2,017 | 20 |
2,018 | 19 |
2,019 | 17 |
2,020 | 16 |
2021 - 2025 | $ 65 |
Employee Benefit Plans - Saving
Employee Benefit Plans - Savings Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Effect of One Percentage Point Increase on Service and Interest Cost Components | $ 0 | ||
Defined Contribution, U.S. Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Contribution Plan, Cost Recognized | 24 | $ 23 | $ 20 |
Defined Contribution, All Other Plans [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Contribution Plan, Cost Recognized | $ 26 | $ 22 | $ 24 |
Employee Benefit Plans Cash Con
Employee Benefit Plans Cash Contributions (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Postemployment Benefits [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | $ 55 |
International Pension Benefits [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | 30 |
Other Postretirement Benefit Plan, Defined Benefit [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | $ 3 |
Employee Benefit Plans - Amount
Employee Benefit Plans - Amounts to be Recognized (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost (income) | $ 1 |
Actuarial loss | 0 |
U.S. Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost (income) | 0 |
Actuarial loss | 0 |
International Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost (income) | 1 |
Actuarial loss | 0 |
Postretirement Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost (income) | (6) |
Actuarial loss | 2 |
Postemployment Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Prior service cost (income) | (5) |
Actuarial loss | $ (4) |
Commitments and Contingencies L
Commitments and Contingencies Loss Contingencies (Details) BRL in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)defendantaffiliate_corporationsentityfacilitynumber_of_companies | Dec. 31, 2016BRL | Dec. 31, 2015USD ($) | |
Subcontract Relationship in MEA [Member] | |||
Loss Contingencies [Line Items] | |||
Provision for Doubtful Accounts | $ 20 | ||
Loss Contingency, Damages Sought, Value | $ 40 | ||
Fox River Site [Member] | |||
Loss Contingencies [Line Items] | |||
Portion Of Costs Below Threshold, Percentage | 45.00% | ||
Portion Of Costs Exceeding Threshold, Percentage | 40.00% | ||
Kalamazoo River Site [Member] | |||
Loss Contingencies [Line Items] | |||
Estimated Litigation Liability, Current | $ 2 | $ 18 | |
Foreign Tax Authority [Member] | |||
Loss Contingencies [Line Items] | |||
Loss Contingency, Damages Sought, Value | 51 | BRL 168 | |
Loss Contingency, Range of Possible Loss, Minimum | 0 | ||
Loss Contingency, Range of Possible Loss, Maximum | $ 70 | ||
Kalamazoo River Site [Member] | |||
Loss Contingencies [Line Items] | |||
Total Corporation Plaintiffs | affiliate_corporations | 3 | ||
Total Past Costs Being Tried | $ 50 | ||
Additional Companies Receiving General Notice Letters | number_of_companies | 3 | ||
Total Additional Defendants | defendant | 2 | ||
Fox River Site [Member] | |||
Loss Contingencies [Line Items] | |||
Number of Potentially Responsible Parties | entity | 8 | ||
Number of Previously Owned Carbonless Copy Paper Manufacturing Facilities | facility | 2 | ||
Threshold For Environmental Cleanup Costs | $ 75 | ||
Allocation Litigation Final Judgment | $ 76 | ||
Total Companies Included In Injunction Order | number_of_companies | 4 | ||
Divisibility Of Responsibility Ruling | 28.00% | ||
Net Loss Contingency Accrual | $ 27 | 26 | |
Fox River LLC Funding Remainder Other Current Asset | 0 | ||
Estimate of Indemnity Asset Due From Related Party | 31 | $ 15 | |
Total Amount Received from Settlements with Insurance Carriers | 173 | ||
Portion of Insurance Settlements Subject to Competing Claims | $ 9 | ||
NCR Former Obligation Percentage | 100.00% | ||
Former NCR Total Operable Units Responsibility | 4 | ||
Total Operable Units | 5 | ||
BAT And API Funding Obligation Under The Cost Sharing Agreement | 50.00% | ||
BAT And API Obligation Under The Cost Sharing Agreement | 60.00% | ||
Fox River Site [Member] | Fox River LLC [Member] | |||
Loss Contingencies [Line Items] | |||
Funding Remainder Other Current Asset | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Warranty Reserve (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Warranty reserve liability [Line Items] | |||
Beginning balance | $ 24 | $ 22 | $ 22 |
Accruals for warranties issued | 42 | 41 | 37 |
Settlements (in cash or in kind) | (39) | (39) | (37) |
Ending balance | $ 27 | $ 24 | $ 22 |
Commitments and Contingencies90
Commitments and Contingencies Leases (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Minimum lease obligations [Abstract] | |||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $ 107 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 81 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 74 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 51 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 39 | ||
Operating Leases, Rent Expense | $ 132 | $ 148 | $ 128 |
Derivatives and Hedging Instr91
Derivatives and Hedging Instruments Narrative (Details) | 12 Months Ended |
Dec. 31, 2016currency | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Currency Exposure, Number of Functional Currencies | 50 |
Maximum Period For Cash Flow Hedging Activity | 15 months |
Derivatives and Hedging Instr92
Derivatives and Hedging Instruments - Derivative Fair Values (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Derivatives, Fair Value [Line Items] | ||
Derivative Assets, Fair Value | $ 19 | $ 3 |
Derivative Liabilities, Fair Value | 2 | 5 |
Derivatives designated as hedging instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets, Fair Value | 18 | 2 |
Derivative Liabilities, Fair Value | 1 | 4 |
Derivatives not designated as hedging instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets, Fair Value | 1 | 1 |
Derivative Liabilities, Fair Value | 1 | 1 |
Interest Rate Swap [Member] | Derivatives designated as hedging instrument [Member] | Other current assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 0 | |
Derivative Assets, Fair Value | 0 | |
Interest Rate Swap [Member] | Derivatives designated as hedging instrument [Member] | Other current liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Notional Amount | 380 | |
Derivative Liabilities, Fair Value | 3 | |
Foreign Exchange Derivative [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | (13) | |
Foreign Exchange Derivative [Member] | Derivatives designated as hedging instrument [Member] | Other current assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 251 | 53 |
Derivative Assets, Fair Value | 18 | 2 |
Foreign Exchange Derivative [Member] | Derivatives designated as hedging instrument [Member] | Other current liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Notional Amount | 56 | 105 |
Derivative Liabilities, Fair Value | 1 | 1 |
Foreign Exchange Derivative [Member] | Derivatives not designated as hedging instrument [Member] | Other current assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 165 | 191 |
Derivative Assets, Fair Value | 1 | 1 |
Foreign Exchange Derivative [Member] | Derivatives not designated as hedging instrument [Member] | Other current liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Notional Amount | 218 | 204 |
Derivative Liabilities, Fair Value | $ 1 | $ 1 |
Derivatives and Hedging Instr93
Derivatives and Hedging Instruments - Gain (Loss) on Derivatives (Details) - Cash Flow Hedging [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest Rate Swap [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $ 0 | $ (2) | $ (2) |
Interest Rate Swap [Member] | Interest Expense [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 2 | 5 | 5 |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 0 | 0 |
Foreign Exchange Derivative [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 19 | 12 | 1 |
Foreign Exchange Derivative [Member] | Cost of Products [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | (3) | (12) | (1) |
Foreign Exchange Derivative [Member] | Other (Expense) Income, Net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | $ 0 | $ 0 | $ 0 |
Derivatives and Hedging Instr94
Derivatives and Hedging Instruments - Gain (Loss) on Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Other (Expense) Income, Net [Member] | Foreign Exchange Derivative [Member] | |||
Derivative [Line Items] | |||
Amount of Gain (Loss) Recognized in the Condensed Consolidated Statement of Operations | $ (1) | $ (5) | $ 11 |
Fair Value of Assets and Liab95
Fair Value of Assets and Liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Disposal Group, Not Discontinued Operation, Loss (Gain) on Write-down | $ 6 | $ 34 | $ 0 | |
Restructuring and other asset-related charges | 19 | 74 | 161 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | [1] | 5 | 3 | |
Foreign Currency Contract, Asset, Fair Value Disclosure | [2] | 0 | 0 | |
Assets, Fair Value Disclosure | 5 | 3 | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | [3] | 0 | 0 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | [3] | 0 | 0 | |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 | ||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | [1] | 0 | 0 | |
Foreign Currency Contract, Asset, Fair Value Disclosure | [2] | 19 | 3 | |
Assets, Fair Value Disclosure | 19 | 3 | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | [3] | 0 | 3 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | [3] | 2 | 2 | |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 2 | 5 | ||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | [1] | 0 | 0 | |
Foreign Currency Contract, Asset, Fair Value Disclosure | [2] | 0 | 0 | |
Assets, Fair Value Disclosure | 0 | 0 | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | [3] | 0 | 0 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | [3] | 0 | 0 | |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 | ||
Estimate of Fair Value Measurement [Member] | Fair Value, Measurements, Recurring [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | [1] | 5 | 3 | |
Foreign Currency Contract, Asset, Fair Value Disclosure | [2] | 19 | 3 | |
Assets, Fair Value Disclosure | 24 | 6 | ||
Interest Rate Cash Flow Hedge Liability at Fair Value | [3] | 0 | 3 | |
Foreign Currency Contracts, Liability, Fair Value Disclosure | [3] | 2 | 2 | |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 2 | 5 | ||
Other Expense [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Disposal Group, Not Discontinued Operation, Loss (Gain) on Write-down | (34) | |||
Asset related charges [Member] | Other Expense [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Restructuring and other asset-related charges | $ 0 | 0 | $ 3 | |
Property, Plant and Equipment [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Disposal Group, Not Discontinued Operation, Loss (Gain) on Write-down | (18) | |||
Goodwill [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Disposal Group, Not Discontinued Operation, Loss (Gain) on Write-down | $ (16) | |||
[1] | Included in Cash and cash equivalents in the Consolidated Balance Sheet. | |||
[2] | Included in Other current assets in the Consolidated Balance Sheet. | |||
[3] | Included in Other current liabilities in the Consolidated Balance Sheet. |
Segment Information - Revenue a
Segment Information - Revenue and Operating Income By Segments (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($)segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of Reportable Segments | segment | 3 | ||||||||||
Revenue by segment | $ 1,802 | $ 1,677 | $ 1,620 | $ 1,444 | $ 1,680 | $ 1,613 | $ 1,604 | $ 1,476 | $ 6,543 | $ 6,373 | $ 6,591 |
Income from operations | $ 146 | $ 189 | $ 163 | $ 101 | $ 138 | $ 168 | $ (266) | $ 95 | 599 | 135 | 353 |
Restructuring and other asset-related charges | 160 | ||||||||||
Operating Segments [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue by segment | 6,543 | 6,373 | 6,591 | ||||||||
Operating income by segment | 840 | 820 | 817 | ||||||||
Operating Segments [Member] | Software Segment [Domain] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue by segment | 1,841 | 1,747 | 1,748 | ||||||||
Operating income by segment | 577 | 539 | 526 | ||||||||
Operating Segments [Member] | Services Segment [Domain] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue by segment | 2,306 | 2,218 | 2,272 | ||||||||
Operating income by segment | 201 | 194 | 165 | ||||||||
Operating Segments [Member] | Hardware Segment [Domain] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue by segment | 2,396 | 2,408 | 2,571 | ||||||||
Operating income by segment | 62 | 87 | 126 | ||||||||
Segment Reconciling Items [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Other adjustments | 241 | 685 | 464 | ||||||||
Pension mark-to-market adjustments | 85 | 454 | 149 | ||||||||
Restructuring and other asset-related charges | 26 | 74 | |||||||||
Acquisition Related Amortization Costs Included in Other Adjustments | 123 | 125 | 119 | ||||||||
Acquisiton Related Costs Included In Other Adjustments | 7 | 11 | 27 | ||||||||
Acquisition Related Purchase Price Adjustments | 0 | 0 | 6 | ||||||||
Legal Costs for OFAC and FCPA Investigations | 0 | 1 | 3 | ||||||||
Reserve related to subcontract in Middle East Africa | $ 0 | $ 20 | $ 0 |
Segment Information - Revenue f
Segment Information - Revenue from External Customers by Products and Services (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue from External Customer [Line Items] | |||||||||||
Product revenue | $ 2,737 | $ 2,711 | $ 2,892 | ||||||||
Professional and installation services revenue | 1,011 | 944 | 971 | ||||||||
Recurring revenue, including maintenance and cloud revenue | 2,795 | 2,718 | 2,728 | ||||||||
Total revenue | $ 1,802 | $ 1,677 | $ 1,620 | $ 1,444 | $ 1,680 | $ 1,613 | $ 1,604 | $ 1,476 | $ 6,543 | $ 6,373 | $ 6,591 |
Segment Information Geographic
Segment Information Geographic Area (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 1,802 | $ 1,677 | $ 1,620 | $ 1,444 | $ 1,680 | $ 1,613 | $ 1,604 | $ 1,476 | $ 6,543 | $ 6,373 | $ 6,591 |
UNITED STATES | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 3,106 | $ 2,909 | $ 2,723 | ||||||||
Percentage of Revenues by Geographic Area | 47.00% | 46.00% | 41.00% | ||||||||
Americas (Excluding United States) [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 637 | $ 590 | $ 634 | ||||||||
Percentage of Revenues by Geographic Area | 10.00% | 9.00% | 10.00% | ||||||||
EMEA | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 1,896 | $ 1,964 | $ 2,184 | ||||||||
Percentage of Revenues by Geographic Area | 29.00% | 31.00% | 33.00% | ||||||||
APJ [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 904 | $ 910 | $ 1,050 | ||||||||
Percentage of Revenues by Geographic Area | 0.00% | 14.00% | 16.00% |
Segment Information Property, P
Segment Information Property, Plant and Equipment by Geography (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | $ 287 | $ 322 |
UNITED STATES | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 139 | 157 |
Americas (Excluding United States) [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 21 | 29 |
EMEA | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 70 | 78 |
APJ [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | $ 57 | $ 58 |
Accumulated Other Comprehens100
Accumulated Other Comprehensive Income (Loss) (AOCI) Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Accumulated other comprehensive income (loss), beginning balance | $ (150) | $ (136) | $ (38) |
Other comprehensive (loss) income before reclassifications | (37) | 4 | (86) |
Amounts reclassified from AOCI | (18) | (18) | (12) |
Accumulated other comprehensive income (loss), ending balance | (205) | (150) | (136) |
Net current period other comprehensive (loss) income | (55) | (14) | (98) |
Currency Translation Adjustments | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Accumulated other comprehensive income (loss), beginning balance | (172) | (125) | (52) |
Other comprehensive (loss) income before reclassifications | (52) | (47) | (73) |
Amounts reclassified from AOCI | 0 | 0 | 0 |
Accumulated other comprehensive income (loss), ending balance | (224) | (172) | (125) |
Net current period other comprehensive (loss) income | (52) | (47) | (73) |
Changes in Employee Benefit Plans | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Accumulated other comprehensive income (loss), beginning balance | 23 | (8) | 16 |
Other comprehensive (loss) income before reclassifications | (1) | 43 | (12) |
Amounts reclassified from AOCI | (16) | (12) | (12) |
Accumulated other comprehensive income (loss), ending balance | 6 | 23 | (8) |
Net current period other comprehensive (loss) income | (17) | 31 | (24) |
Changes in Fair Value of Effective Cash Flow Hedges | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Accumulated other comprehensive income (loss), beginning balance | (1) | (3) | (5) |
Other comprehensive (loss) income before reclassifications | 16 | 8 | (1) |
Amounts reclassified from AOCI | (2) | (6) | 3 |
Accumulated other comprehensive income (loss), ending balance | 13 | (1) | (3) |
Net current period other comprehensive (loss) income | 14 | 2 | 2 |
Changes in Fair Value of Available for Sale Securities | |||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Accumulated other comprehensive income (loss), beginning balance | 0 | 0 | 3 |
Other comprehensive (loss) income before reclassifications | 0 | 0 | 0 |
Amounts reclassified from AOCI | 0 | 0 | (3) |
Accumulated other comprehensive income (loss), ending balance | 0 | 0 | 0 |
Net current period other comprehensive (loss) income | $ 0 | $ 0 | $ (3) |
Accumulated Other Comprehens101
Accumulated Other Comprehensive Income (Loss) (AOCI) Reclassifications (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products | $ 2,102 | $ 2,072 | $ 2,153 |
Cost of services | 2,659 | 2,832 | 2,706 |
Selling, general and administrative expenses | 926 | 1,042 | 1,012 |
Research and development expenses | 242 | 230 | 263 |
Interest expense | 170 | 173 | 181 |
Other (expense), net | (50) | (57) | (35) |
Income (loss) from continuing operations | (287) | 150 | (185) |
Income tax expense (benefit) | 92 | 55 | (48) |
Net income (loss) attributable to NCR common stockholders | 221 | (182) | 191 |
Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products | (3) | (13) | (10) |
Cost of services | (11) | (8) | (6) |
Selling, general and administrative expenses | (6) | (6) | (4) |
Research and development expenses | (4) | (4) | 4 |
Interest expense | 2 | 5 | (4) |
Income (loss) from continuing operations | 22 | 26 | 20 |
Income tax expense (benefit) | 4 | 8 | 8 |
Net income (loss) attributable to NCR common stockholders | (18) | (18) | (12) |
Reclassification out of Accumulated Other Comprehensive Income | Actuarial losses recognized | |||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products | 0 | 0 | (10) |
Cost of services | (1) | 1 | (6) |
Selling, general and administrative expenses | 0 | 1 | (4) |
Research and development expenses | (1) | 0 | 0 |
Interest expense | 0 | 0 | 0 |
Income (loss) from continuing operations | 2 | (2) | 20 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | |||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products | (3) | (12) | 0 |
Cost of services | 0 | 0 | 0 |
Selling, general and administrative expenses | 0 | 0 | 0 |
Research and development expenses | 0 | 0 | 4 |
Interest expense | 2 | 5 | 0 |
Income (loss) from continuing operations | 1 | 7 | (4) |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent [Member] | |||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of products | 0 | (1) | |
Cost of services | (10) | (9) | |
Selling, general and administrative expenses | (6) | (7) | |
Research and development expenses | (3) | (4) | |
Interest expense | 0 | 0 | |
Income (loss) from continuing operations | $ 19 | $ 21 | |
Reclassification out of Accumulated Other Comprehensive Income | Changes in Fair Value of Available for Sale Securities | |||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of services | 0 | ||
Selling, general and administrative expenses | 0 | ||
Research and development expenses | 0 | ||
Interest expense | 0 | ||
Other (expense), net | (4) | ||
Income (loss) from continuing operations | $ 4 |
Supplemental Financial Infor102
Supplemental Financial Information Supplemental Financial Information - Other (Expense) Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Other (Expense) Income [Abstract] | |||
Interest and Other Income | $ 4 | $ 5 | $ 6 |
Foreign currency fluctuations and foreign exchange contracts | (40) | (21) | (32) |
Impairment of an investment | 0 | 0 | (3) |
Divestiture and liquidation losses | (6) | (34) | 0 |
Gain on sale of available for sale securities | 0 | 0 | 4 |
Other, net | (8) | (7) | (10) |
Total other (expense), net | $ (50) | $ (57) | $ (35) |
Supplemental Financial Infor103
Supplemental Financial Information - Accounts Receivable (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts Receivable, Net, Current [Abstract] | ||
Accounts receivable | $ 1,323 | $ 1,298 |
Less: allowance for doubtful accounts | (41) | (47) |
Total accounts receivable, net | 1,282 | 1,251 |
Trade [Member] | ||
Accounts Receivable, Net, Current [Abstract] | ||
Accounts receivable | 1,266 | 1,259 |
Other [Member] | ||
Accounts Receivable, Net, Current [Abstract] | ||
Accounts receivable | $ 57 | $ 39 |
Supplemental Financial Infor104
Supplemental Financial Information - Inventory (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Inventory, Net [Abstract] | ||
Work in process and raw materials | $ 154 | $ 137 |
Finished goods | 149 | 129 |
Service parts | 396 | 377 |
Total inventories, net | $ 699 | $ 643 |
Supplemental Financial Infor105
Supplemental Financial Information - Other Current Assets (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Other Current Assets [Abstract] | ||
Remaining held for sale assets | $ 0 | $ 89 |
Other | 278 | 238 |
Total other current assets | $ 278 | $ 327 |
Supplemental Financial Infor106
Supplemental Financial Information Supplemental Financial Information - Property, Plant and Equipment (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 802 | $ 800 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 515 | 478 |
Property, plant and equipment, net | 287 | 322 |
Land and Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 6 | 7 |
Building and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 198 | 196 |
Machinery and other equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 598 | $ 597 |
Condensed Consolidating Supp107
Condensed Consolidating Supplemental Guarantor Information Statement of Operations and Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Product revenue | $ 2,737 | $ 2,711 | $ 2,892 | ||||||||
Service revenue | 3,806 | 3,662 | 3,699 | ||||||||
Total revenue | $ 1,802 | $ 1,677 | $ 1,620 | $ 1,444 | $ 1,680 | $ 1,613 | $ 1,604 | $ 1,476 | 6,543 | 6,373 | 6,591 |
Cost of products | 2,102 | 2,072 | 2,153 | ||||||||
Cost of services | 2,659 | 2,832 | 2,706 | ||||||||
Selling, general and administrative expenses | 926 | 1,042 | 1,012 | ||||||||
Research and development expenses | 242 | 230 | 263 | ||||||||
Restructuring-related charges | 15 | 62 | 104 | ||||||||
Total operating expenses | 5,944 | 6,238 | 6,238 | ||||||||
Income (loss) from operations | 146 | 189 | 163 | 101 | 138 | 168 | (266) | 95 | 599 | 135 | 353 |
Interest expense | (170) | (173) | (181) | ||||||||
Other (expense), net | (50) | (57) | (35) | ||||||||
Income (loss) from continuing operations before income taxes | 379 | (95) | 137 | ||||||||
Income tax expense (benefit) | 92 | 55 | (48) | ||||||||
Income (loss) from continuing operations before earning in subsidiaries | 287 | (150) | 185 | ||||||||
Equity in earnings of consolidated subsidiaries | 0 | 0 | 0 | ||||||||
Income from continuing operations | 287 | (150) | 185 | ||||||||
Loss (income) from discontinued operations | (13) | (24) | 10 | ||||||||
Net income (loss) | 274 | (174) | 195 | ||||||||
Net income | 4 | 4 | 4 | ||||||||
Net (loss) income attributable to NCR | $ 45 | $ 92 | $ 63 | $ 21 | $ 24 | $ 98 | $ (344) | $ 40 | 270 | (178) | 191 |
Total comprehensive income (loss) | 214 | (191) | 94 | ||||||||
Less comprehensive income (loss) attributable to noncontrolling interests | (1) | 1 | 1 | ||||||||
Comprehensive (loss) income attributable to NCR common stockholders | 215 | (192) | 93 | ||||||||
Parent Company [Member] | |||||||||||
Product revenue | 1,293 | 1,189 | 1,103 | ||||||||
Service revenue | 1,615 | 1,528 | 1,445 | ||||||||
Total revenue | 2,908 | 2,717 | 2,548 | ||||||||
Cost of products | 1,024 | 904 | 867 | ||||||||
Cost of services | 1,170 | 1,103 | 1,119 | ||||||||
Selling, general and administrative expenses | 484 | 501 | 519 | ||||||||
Research and development expenses | 139 | 102 | 161 | ||||||||
Restructuring-related charges | 11 | 32 | 32 | ||||||||
Total operating expenses | 2,828 | 2,642 | 2,698 | ||||||||
Income (loss) from operations | 80 | 75 | (150) | ||||||||
Interest expense | (165) | (168) | (177) | ||||||||
Other (expense), net | 44 | 22 | 39 | ||||||||
Income (loss) from continuing operations before income taxes | (41) | (71) | (288) | ||||||||
Income tax expense (benefit) | (18) | (33) | (169) | ||||||||
Income (loss) from continuing operations before earning in subsidiaries | (23) | (38) | (119) | ||||||||
Equity in earnings of consolidated subsidiaries | 306 | (115) | 300 | ||||||||
Income from continuing operations | 283 | (153) | 181 | ||||||||
Loss (income) from discontinued operations | (13) | (25) | 10 | ||||||||
Net income (loss) | 270 | (178) | 191 | ||||||||
Net income | 0 | 0 | 0 | ||||||||
Net (loss) income attributable to NCR | 270 | (178) | 191 | ||||||||
Total comprehensive income (loss) | 215 | (192) | 93 | ||||||||
Less comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Comprehensive (loss) income attributable to NCR common stockholders | 215 | (192) | 93 | ||||||||
Guarantor Subsidiary [Member] | |||||||||||
Product revenue | 111 | 105 | 111 | ||||||||
Service revenue | 36 | 33 | 28 | ||||||||
Total revenue | 147 | 138 | 139 | ||||||||
Cost of products | 50 | 43 | 41 | ||||||||
Cost of services | 12 | 13 | 13 | ||||||||
Selling, general and administrative expenses | 4 | 4 | 2 | ||||||||
Research and development expenses | 0 | 0 | 0 | ||||||||
Restructuring-related charges | 0 | 0 | 1 | ||||||||
Total operating expenses | 66 | 60 | 57 | ||||||||
Income (loss) from operations | 81 | 78 | 82 | ||||||||
Interest expense | 0 | 0 | (1) | ||||||||
Other (expense), net | (23) | 4 | (4) | ||||||||
Income (loss) from continuing operations before income taxes | 58 | 82 | 77 | ||||||||
Income tax expense (benefit) | 21 | 52 | 68 | ||||||||
Income (loss) from continuing operations before earning in subsidiaries | 37 | 30 | 9 | ||||||||
Equity in earnings of consolidated subsidiaries | 304 | (161) | 373 | ||||||||
Income from continuing operations | 341 | (131) | 382 | ||||||||
Loss (income) from discontinued operations | 0 | 0 | 0 | ||||||||
Net income (loss) | 341 | (131) | 382 | ||||||||
Net income | 0 | 0 | 0 | ||||||||
Net (loss) income attributable to NCR | 341 | (131) | 382 | ||||||||
Total comprehensive income (loss) | 277 | (154) | 300 | ||||||||
Less comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Comprehensive (loss) income attributable to NCR common stockholders | 277 | (154) | 300 | ||||||||
Non-Guarantor Subsidiaries [Member] | |||||||||||
Product revenue | 1,768 | 2,339 | 2,099 | ||||||||
Service revenue | 2,155 | 2,101 | 2,226 | ||||||||
Total revenue | 3,923 | 4,440 | 4,325 | ||||||||
Cost of products | 1,463 | 2,047 | 1,666 | ||||||||
Cost of services | 1,477 | 1,716 | 1,574 | ||||||||
Selling, general and administrative expenses | 438 | 537 | 491 | ||||||||
Research and development expenses | 103 | 128 | 102 | ||||||||
Restructuring-related charges | 4 | 30 | 71 | ||||||||
Total operating expenses | 3,485 | 4,458 | 3,904 | ||||||||
Income (loss) from operations | 438 | (18) | 421 | ||||||||
Interest expense | (74) | (78) | (75) | ||||||||
Other (expense), net | (2) | (10) | 2 | ||||||||
Income (loss) from continuing operations before income taxes | 362 | (106) | 348 | ||||||||
Income tax expense (benefit) | 89 | 36 | 53 | ||||||||
Income (loss) from continuing operations before earning in subsidiaries | 273 | (142) | 295 | ||||||||
Equity in earnings of consolidated subsidiaries | 0 | 0 | 0 | ||||||||
Income from continuing operations | 273 | (142) | 295 | ||||||||
Loss (income) from discontinued operations | 0 | 1 | 0 | ||||||||
Net income (loss) | 273 | (141) | 295 | ||||||||
Net income | 4 | 4 | 4 | ||||||||
Net (loss) income attributable to NCR | 269 | (145) | 291 | ||||||||
Total comprehensive income (loss) | 210 | (156) | 188 | ||||||||
Less comprehensive income (loss) attributable to noncontrolling interests | (1) | 1 | 1 | ||||||||
Comprehensive (loss) income attributable to NCR common stockholders | 211 | (157) | 187 | ||||||||
Consolidation, Eliminations [Member] | |||||||||||
Product revenue | (435) | (922) | (421) | ||||||||
Service revenue | 0 | 0 | 0 | ||||||||
Total revenue | (435) | (922) | (421) | ||||||||
Cost of products | (435) | (922) | (421) | ||||||||
Cost of services | 0 | 0 | 0 | ||||||||
Selling, general and administrative expenses | 0 | 0 | 0 | ||||||||
Research and development expenses | 0 | 0 | 0 | ||||||||
Restructuring-related charges | 0 | 0 | 0 | ||||||||
Total operating expenses | (435) | (922) | (421) | ||||||||
Income (loss) from operations | 0 | 0 | 0 | ||||||||
Interest expense | 69 | 73 | 72 | ||||||||
Other (expense), net | (69) | (73) | (72) | ||||||||
Income (loss) from continuing operations before income taxes | 0 | 0 | 0 | ||||||||
Income tax expense (benefit) | 0 | 0 | 0 | ||||||||
Income (loss) from continuing operations before earning in subsidiaries | 0 | 0 | 0 | ||||||||
Equity in earnings of consolidated subsidiaries | (610) | 276 | (673) | ||||||||
Income from continuing operations | (610) | 276 | (673) | ||||||||
Loss (income) from discontinued operations | 0 | 0 | 0 | ||||||||
Net income (loss) | (610) | 276 | (673) | ||||||||
Net income | 0 | 0 | 0 | ||||||||
Net (loss) income attributable to NCR | (610) | 276 | (673) | ||||||||
Total comprehensive income (loss) | (488) | 311 | (487) | ||||||||
Less comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Comprehensive (loss) income attributable to NCR common stockholders | $ (488) | $ 311 | $ (487) |
Condensed Consolidating Supp108
Condensed Consolidating Supplemental Guarantor Information Balance Sheets (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Cash and cash equivalents | $ 498 | $ 328 | $ 511 | $ 528 |
Accounts receivable, net | 1,282 | 1,251 | ||
Inventories | 699 | 643 | ||
Due from affiliates | 0 | 0 | ||
Other current assets | 278 | 327 | ||
Total current assets | 2,757 | 2,549 | ||
Property, plant and equipment, net | 287 | 322 | ||
Goodwill | 2,727 | 2,733 | 2,760 | |
Intangibles, net | 672 | 798 | ||
Prepaid pension cost | 94 | 130 | ||
Deferred income taxes | 575 | 582 | ||
Investments in subsidiaries | 0 | 0 | ||
Due from affiliates | 0 | 0 | ||
Other assets | 561 | 521 | ||
Total assets | 7,673 | 7,635 | ||
Short-term borrowings | 50 | 13 | ||
Accounts payable | 781 | 657 | ||
Payroll and benefits liabilities | 234 | 189 | ||
Deferred service revenue and customer deposits | 468 | 476 | ||
Due to affiliates | 0 | 0 | ||
Other current liabilities | 432 | 446 | ||
Total current liabilities | 1,965 | 1,781 | ||
Long-term debt | 3,001 | 3,239 | ||
Pension and indemnity plan liabilities | 739 | 696 | ||
Postretirement and postemployment benefits liabilities | 127 | 133 | ||
Income tax accruals | 142 | 167 | ||
Due to affiliates | 0 | 0 | ||
Other liabilities | 138 | 79 | ||
Total liabilities | 6,112 | 6,095 | ||
Redeemable noncontrolling interest | 15 | 16 | ||
Series A convertible preferred stock: par value $0.01 per share, 3.0 shares authorized, 0.9 shares issued and outstanding as of December 31, 2016 and 0.8 shares issued and outstanding as of December 31, 2015; redemption amount and liquidation preference of $870 and $824 as of December 31, 2016 and December 31, 2015, respectively | 847 | 798 | ||
Total NCR stockholders’ equity | 695 | 720 | ||
Noncontrolling interests in subsidiaries | 4 | 6 | ||
Total stockholders’ equity | 699 | 726 | ||
Total liabilities and stockholders’ equity | 7,673 | 7,635 | ||
Parent Company [Member] | ||||
Cash and cash equivalents | 65 | 15 | 45 | 79 |
Accounts receivable, net | 64 | 99 | ||
Inventories | 272 | 235 | ||
Due from affiliates | 680 | 573 | ||
Other current assets | 140 | 132 | ||
Total current assets | 1,221 | 1,054 | ||
Property, plant and equipment, net | 129 | 140 | ||
Goodwill | 988 | 980 | ||
Intangibles, net | 176 | 212 | ||
Prepaid pension cost | 0 | 0 | ||
Deferred income taxes | 499 | 475 | ||
Investments in subsidiaries | 3,275 | 3,172 | ||
Due from affiliates | 1,053 | 1,072 | ||
Other assets | 405 | 362 | ||
Total assets | 7,746 | 7,467 | ||
Short-term borrowings | 46 | 4 | ||
Accounts payable | 310 | 281 | ||
Payroll and benefits liabilities | 129 | 95 | ||
Deferred service revenue and customer deposits | 193 | 183 | ||
Due to affiliates | 1,736 | 1,408 | ||
Other current liabilities | 224 | 216 | ||
Total current liabilities | 2,638 | 2,187 | ||
Long-term debt | 2,998 | 3,229 | ||
Pension and indemnity plan liabilities | 473 | 436 | ||
Postretirement and postemployment benefits liabilities | 24 | 27 | ||
Income tax accruals | 17 | 14 | ||
Due to affiliates | 0 | 18 | ||
Other liabilities | 54 | 38 | ||
Total liabilities | 6,204 | 5,949 | ||
Redeemable noncontrolling interest | 0 | 0 | ||
Series A convertible preferred stock: par value $0.01 per share, 3.0 shares authorized, 0.9 shares issued and outstanding as of December 31, 2016 and 0.8 shares issued and outstanding as of December 31, 2015; redemption amount and liquidation preference of $870 and $824 as of December 31, 2016 and December 31, 2015, respectively | 847 | 798 | ||
Total NCR stockholders’ equity | 695 | 720 | ||
Noncontrolling interests in subsidiaries | 0 | 0 | ||
Total stockholders’ equity | 695 | 720 | ||
Total liabilities and stockholders’ equity | 7,746 | 7,467 | ||
Guarantor Subsidiary [Member] | ||||
Cash and cash equivalents | 12 | 20 | 9 | 11 |
Accounts receivable, net | 25 | 33 | ||
Inventories | 13 | 6 | ||
Due from affiliates | 1,509 | 1,325 | ||
Other current assets | 37 | 31 | ||
Total current assets | 1,596 | 1,415 | ||
Property, plant and equipment, net | 0 | 1 | ||
Goodwill | 0 | 0 | ||
Intangibles, net | 0 | 0 | ||
Prepaid pension cost | 0 | 0 | ||
Deferred income taxes | 98 | 152 | ||
Investments in subsidiaries | 2,822 | 2,729 | ||
Due from affiliates | 0 | 17 | ||
Other assets | 56 | 55 | ||
Total assets | 4,572 | 4,369 | ||
Short-term borrowings | 0 | 0 | ||
Accounts payable | 2 | 0 | ||
Payroll and benefits liabilities | 0 | 1 | ||
Deferred service revenue and customer deposits | 5 | 24 | ||
Due to affiliates | 154 | 137 | ||
Other current liabilities | 6 | 3 | ||
Total current liabilities | 167 | 165 | ||
Long-term debt | 0 | 0 | ||
Pension and indemnity plan liabilities | 0 | 0 | ||
Postretirement and postemployment benefits liabilities | 3 | 3 | ||
Income tax accruals | 4 | 13 | ||
Due to affiliates | 35 | 37 | ||
Other liabilities | 5 | 0 | ||
Total liabilities | 214 | 218 | ||
Redeemable noncontrolling interest | 0 | 0 | ||
Series A convertible preferred stock: par value $0.01 per share, 3.0 shares authorized, 0.9 shares issued and outstanding as of December 31, 2016 and 0.8 shares issued and outstanding as of December 31, 2015; redemption amount and liquidation preference of $870 and $824 as of December 31, 2016 and December 31, 2015, respectively | 0 | 0 | ||
Total NCR stockholders’ equity | 4,358 | 4,151 | ||
Noncontrolling interests in subsidiaries | 0 | 0 | ||
Total stockholders’ equity | 4,358 | 4,151 | ||
Total liabilities and stockholders’ equity | 4,572 | 4,369 | ||
Non-Guarantor Subsidiaries [Member] | ||||
Cash and cash equivalents | 421 | 293 | 457 | 438 |
Accounts receivable, net | 1,193 | 1,119 | ||
Inventories | 414 | 402 | ||
Due from affiliates | 400 | 288 | ||
Other current assets | 162 | 203 | ||
Total current assets | 2,590 | 2,305 | ||
Property, plant and equipment, net | 158 | 181 | ||
Goodwill | 1,739 | 1,753 | ||
Intangibles, net | 496 | 586 | ||
Prepaid pension cost | 94 | 130 | ||
Deferred income taxes | 82 | 84 | ||
Investments in subsidiaries | 0 | 0 | ||
Due from affiliates | 35 | 38 | ||
Other assets | 100 | 104 | ||
Total assets | 5,294 | 5,181 | ||
Short-term borrowings | 4 | 9 | ||
Accounts payable | 469 | 376 | ||
Payroll and benefits liabilities | 105 | 93 | ||
Deferred service revenue and customer deposits | 270 | 269 | ||
Due to affiliates | 699 | 641 | ||
Other current liabilities | 263 | 266 | ||
Total current liabilities | 1,810 | 1,654 | ||
Long-term debt | 3 | 10 | ||
Pension and indemnity plan liabilities | 266 | 260 | ||
Postretirement and postemployment benefits liabilities | 100 | 103 | ||
Income tax accruals | 121 | 140 | ||
Due to affiliates | 1,053 | 1,072 | ||
Other liabilities | 183 | 170 | ||
Total liabilities | 3,536 | 3,409 | ||
Redeemable noncontrolling interest | 15 | 16 | ||
Series A convertible preferred stock: par value $0.01 per share, 3.0 shares authorized, 0.9 shares issued and outstanding as of December 31, 2016 and 0.8 shares issued and outstanding as of December 31, 2015; redemption amount and liquidation preference of $870 and $824 as of December 31, 2016 and December 31, 2015, respectively | 0 | 0 | ||
Total NCR stockholders’ equity | 1,739 | 1,750 | ||
Noncontrolling interests in subsidiaries | 4 | 6 | ||
Total stockholders’ equity | 1,743 | 1,756 | ||
Total liabilities and stockholders’ equity | 5,294 | 5,181 | ||
Consolidation, Eliminations [Member] | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Accounts receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Due from affiliates | (2,589) | (2,186) | ||
Other current assets | (61) | (39) | ||
Total current assets | (2,650) | (2,225) | ||
Property, plant and equipment, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Intangibles, net | 0 | 0 | ||
Prepaid pension cost | 0 | 0 | ||
Deferred income taxes | (104) | (129) | ||
Investments in subsidiaries | (6,097) | (5,901) | ||
Due from affiliates | (1,088) | (1,127) | ||
Other assets | 0 | 0 | ||
Total assets | (9,939) | (9,382) | ||
Short-term borrowings | 0 | 0 | ||
Accounts payable | 0 | 0 | ||
Payroll and benefits liabilities | 0 | 0 | ||
Deferred service revenue and customer deposits | 0 | 0 | ||
Due to affiliates | (2,589) | (2,186) | ||
Other current liabilities | (61) | (39) | ||
Total current liabilities | (2,650) | (2,225) | ||
Long-term debt | 0 | 0 | ||
Pension and indemnity plan liabilities | 0 | 0 | ||
Postretirement and postemployment benefits liabilities | 0 | 0 | ||
Income tax accruals | 0 | 0 | ||
Due to affiliates | (1,088) | (1,127) | ||
Other liabilities | (104) | (129) | ||
Total liabilities | (3,842) | (3,481) | ||
Redeemable noncontrolling interest | 0 | 0 | ||
Series A convertible preferred stock: par value $0.01 per share, 3.0 shares authorized, 0.9 shares issued and outstanding as of December 31, 2016 and 0.8 shares issued and outstanding as of December 31, 2015; redemption amount and liquidation preference of $870 and $824 as of December 31, 2016 and December 31, 2015, respectively | 0 | 0 | ||
Total NCR stockholders’ equity | (6,097) | (5,901) | ||
Noncontrolling interests in subsidiaries | 0 | 0 | ||
Total stockholders’ equity | (6,097) | (5,901) | ||
Total liabilities and stockholders’ equity | $ (9,939) | $ (9,382) |
Condensed Consolidating Supp109
Condensed Consolidating Supplemental Guarantor Information Cash Flows (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Net cash provided by (used in) operating activities | $ 894 | $ 681 | $ 524 | |
Expenditures for property, plant and equipment | (73) | (79) | (118) | |
Proceeds from Sale of property, plant, and equipment | 0 | 19 | 1 | |
Additions to capitalized software | (154) | (150) | (140) | |
Business acquisitions, net | 0 | 0 | (1,647) | |
Proceeds from (payment of) of intercompany notes | 0 | 0 | 0 | |
Proceeds from divestiture | 47 | 0 | 0 | |
Investments in equity affiliates | 0 | 0 | 0 | |
Changes in restricted cash | 0 | 0 | 1,114 | |
Other investing activities, net | (9) | 1 | 2 | |
Net cash used in investing activities | 189 | 209 | 788 | |
Short term borrowings, net | (8) | 8 | 0 | |
Payments on term credit facilities | (97) | (383) | (37) | |
Borrowings on term credit facilities | 0 | 0 | 250 | |
Payments on revolving credit facilities | (1,431) | (1,694) | (1,050) | |
Borrowings on revolving credit facilities | 1,331 | 1,698 | 1,146 | |
Debt issuance costs | (9) | 0 | (5) | |
Tax withholding payments on behalf of employees | (16) | (16) | (28) | |
Proceeds from employee stock plans | 15 | 15 | 13 | |
Other financing activities | (5) | |||
Dividend distribution to consolidated subsidiaries | 0 | 0 | 0 | |
Payments for Repurchase of Common Stock | 250 | 0 | 0 | |
Series A convertible preferred stock issuance, net of issuance costs of $26 million | 0 | 794 | 0 | |
Payments for tender offer share repurchase | 0 | 1,005 | 0 | |
Other financing activities | (2) | 0 | (5) | |
Equity contribution | 0 | 0 | 0 | |
Borrowings (repayments) of intercompany notes | 0 | 0 | 0 | |
Net cash provided by (used in) financing activities | (467) | (583) | 284 | |
Net cash used in discontinued operations operating activities | (39) | (43) | (1) | |
Effect of exchange rate changes on cash and cash equivalents | (29) | (29) | (36) | |
Decrease in cash and cash equivalents | 170 | (183) | (17) | |
Cash and cash equivalents | 498 | 328 | 511 | $ 528 |
Parent Company [Member] | ||||
Net cash provided by (used in) operating activities | 272 | 346 | 405 | |
Expenditures for property, plant and equipment | (31) | (22) | (54) | |
Proceeds from Sale of property, plant, and equipment | 0 | 0 | 0 | |
Additions to capitalized software | (95) | (91) | (82) | |
Business acquisitions, net | (1,647) | |||
Proceeds from (payment of) of intercompany notes | 409 | 272 | 42 | |
Proceeds from divestiture | 22 | |||
Investments in equity affiliates | (9) | (1) | (2) | |
Changes in restricted cash | 1,114 | |||
Other investing activities, net | (9) | (6) | (5) | |
Net cash used in investing activities | (287) | (152) | (634) | |
Short term borrowings, net | (4) | 3 | ||
Payments on term credit facilities | (89) | (376) | (34) | |
Borrowings on term credit facilities | 250 | |||
Payments on revolving credit facilities | (1,151) | (729) | (946) | |
Borrowings on revolving credit facilities | 1,051 | 829 | 946 | |
Debt issuance costs | (9) | (4) | ||
Tax withholding payments on behalf of employees | (16) | (16) | (28) | |
Proceeds from employee stock plans | 15 | 15 | 13 | |
Other financing activities | (1) | |||
Dividend distribution to consolidated subsidiaries | 0 | 0 | 0 | |
Payments for Repurchase of Common Stock | 250 | |||
Series A convertible preferred stock issuance, net of issuance costs of $26 million | 794 | |||
Payments for tender offer share repurchase | 1,005 | |||
Other financing activities | 0 | |||
Equity contribution | 0 | 0 | 0 | |
Borrowings (repayments) of intercompany notes | (17) | 0 | 0 | |
Net cash provided by (used in) financing activities | (470) | (485) | 196 | |
Net cash used in discontinued operations operating activities | (39) | (43) | (1) | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 | |
Decrease in cash and cash equivalents | 50 | (30) | (34) | |
Cash and cash equivalents | 65 | 15 | 45 | 79 |
Guarantor Subsidiary [Member] | ||||
Net cash provided by (used in) operating activities | (160) | (335) | (108) | |
Expenditures for property, plant and equipment | 0 | 0 | 0 | |
Proceeds from Sale of property, plant, and equipment | 0 | 0 | 0 | |
Additions to capitalized software | 0 | 0 | 0 | |
Business acquisitions, net | 0 | |||
Proceeds from (payment of) of intercompany notes | 115 | 347 | 106 | |
Proceeds from divestiture | 0 | |||
Investments in equity affiliates | 50 | 0 | 0 | |
Changes in restricted cash | 0 | |||
Other investing activities, net | 0 | 0 | 0 | |
Net cash used in investing activities | (165) | (347) | (106) | |
Short term borrowings, net | 0 | 0 | ||
Payments on term credit facilities | 0 | 0 | 0 | |
Borrowings on term credit facilities | 0 | |||
Payments on revolving credit facilities | 0 | 0 | 0 | |
Borrowings on revolving credit facilities | 0 | 0 | 0 | |
Debt issuance costs | 0 | 0 | ||
Tax withholding payments on behalf of employees | 0 | 0 | 0 | |
Proceeds from employee stock plans | 0 | 0 | 0 | |
Other financing activities | 0 | |||
Dividend distribution to consolidated subsidiaries | 0 | 0 | 0 | |
Payments for Repurchase of Common Stock | 0 | |||
Series A convertible preferred stock issuance, net of issuance costs of $26 million | 0 | |||
Payments for tender offer share repurchase | 0 | |||
Other financing activities | 0 | |||
Equity contribution | 0 | 0 | 0 | |
Borrowings (repayments) of intercompany notes | 0 | 0 | 0 | |
Net cash provided by (used in) financing activities | 0 | 0 | 0 | |
Net cash used in discontinued operations operating activities | 0 | 0 | 0 | |
Effect of exchange rate changes on cash and cash equivalents | (13) | (1) | 0 | |
Decrease in cash and cash equivalents | (8) | 11 | (2) | |
Cash and cash equivalents | 12 | 20 | 9 | 11 |
Non-Guarantor Subsidiaries [Member] | ||||
Net cash provided by (used in) operating activities | 785 | 747 | 322 | |
Expenditures for property, plant and equipment | (42) | (57) | (64) | |
Proceeds from Sale of property, plant, and equipment | 0 | 19 | 1 | |
Additions to capitalized software | (59) | (59) | (58) | |
Business acquisitions, net | 0 | |||
Proceeds from (payment of) of intercompany notes | 0 | 0 | 0 | |
Proceeds from divestiture | 25 | |||
Investments in equity affiliates | 0 | 0 | 0 | |
Changes in restricted cash | 0 | |||
Other investing activities, net | 0 | 7 | 7 | |
Net cash used in investing activities | 76 | 90 | 114 | |
Short term borrowings, net | (4) | 5 | ||
Payments on term credit facilities | (8) | (7) | (3) | |
Borrowings on term credit facilities | 0 | |||
Payments on revolving credit facilities | (280) | (965) | (104) | |
Borrowings on revolving credit facilities | 280 | 869 | 200 | |
Debt issuance costs | 0 | (1) | ||
Tax withholding payments on behalf of employees | 0 | 0 | 0 | |
Proceeds from employee stock plans | 0 | 0 | 0 | |
Other financing activities | (4) | |||
Dividend distribution to consolidated subsidiaries | (53) | (77) | (95) | |
Payments for Repurchase of Common Stock | 0 | |||
Series A convertible preferred stock issuance, net of issuance costs of $26 million | 0 | |||
Payments for tender offer share repurchase | 0 | |||
Other financing activities | (2) | |||
Equity contribution | 9 | 1 | 2 | |
Borrowings (repayments) of intercompany notes | (507) | (619) | (148) | |
Net cash provided by (used in) financing activities | (565) | (793) | (153) | |
Net cash used in discontinued operations operating activities | 0 | 0 | 0 | |
Effect of exchange rate changes on cash and cash equivalents | (16) | (28) | (36) | |
Decrease in cash and cash equivalents | 128 | (164) | 19 | |
Cash and cash equivalents | 421 | 293 | 457 | 438 |
Consolidation, Eliminations [Member] | ||||
Net cash provided by (used in) operating activities | (3) | (77) | (95) | |
Expenditures for property, plant and equipment | 0 | 0 | 0 | |
Proceeds from Sale of property, plant, and equipment | 0 | 0 | 0 | |
Additions to capitalized software | 0 | 0 | 0 | |
Business acquisitions, net | 0 | |||
Proceeds from (payment of) of intercompany notes | (524) | (619) | (148) | |
Proceeds from divestiture | 0 | |||
Investments in equity affiliates | (41) | 1 | 2 | |
Changes in restricted cash | 0 | |||
Other investing activities, net | 0 | 0 | 0 | |
Net cash used in investing activities | 565 | 618 | 146 | |
Short term borrowings, net | 0 | 0 | ||
Payments on term credit facilities | 0 | 0 | 0 | |
Borrowings on term credit facilities | 0 | |||
Payments on revolving credit facilities | 0 | 0 | 0 | |
Borrowings on revolving credit facilities | 0 | 0 | 0 | |
Debt issuance costs | 0 | 0 | ||
Tax withholding payments on behalf of employees | 0 | 0 | 0 | |
Proceeds from employee stock plans | 0 | 0 | 0 | |
Other financing activities | 0 | |||
Dividend distribution to consolidated subsidiaries | 53 | 77 | 95 | |
Payments for Repurchase of Common Stock | 0 | |||
Series A convertible preferred stock issuance, net of issuance costs of $26 million | 0 | |||
Payments for tender offer share repurchase | 0 | |||
Other financing activities | 0 | |||
Equity contribution | (9) | (1) | (2) | |
Borrowings (repayments) of intercompany notes | 524 | 619 | 148 | |
Net cash provided by (used in) financing activities | 568 | 695 | 241 | |
Net cash used in discontinued operations operating activities | 0 | 0 | 0 | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 | |
Decrease in cash and cash equivalents | 0 | 0 | 0 | |
Cash and cash equivalents | $ 0 | $ 0 | $ 0 | $ 0 |
Quarterly Information (unaud110
Quarterly Information (unaudited) Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Effect of Fourth Quarter Events [Line Items] | |||||||||||
Income (loss) from operations | $ 146 | $ 189 | $ 163 | $ 101 | $ 138 | $ 168 | $ (266) | $ 95 | $ 599 | $ 135 | $ 353 |
Net (loss) income attributable to NCR | $ 45 | $ 92 | $ 63 | $ 21 | $ 24 | $ 98 | $ (344) | $ 40 | $ 270 | $ (178) | $ 191 |
Net income (loss) per common share | |||||||||||
Basic (in dollars per share) | $ 0.36 | $ 0.74 | $ 0.51 | $ 0.16 | $ 0.15 | $ 0.58 | $ (2.03) | $ 0.24 | $ 1.76 | $ (1.09) | $ 1.14 |
Diluted (in dollars per share) | $ 0.35 | $ 0.68 | $ 0.49 | $ 0.16 | $ 0.15 | $ 0.57 | $ (2.03) | $ 0.23 | $ 1.71 | $ (1.09) | $ 1.12 |
Defined benefit plans, actuarial gains (losses) [Member] | |||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||
Income (loss) from operations | $ 85 | $ 29 | |||||||||
Net (loss) income attributable to NCR | $ 78 | $ 18 | |||||||||
Net income (loss) per common share | |||||||||||
Basic (in dollars per share) | $ 0.63 | $ 0.11 | |||||||||
Diluted (in dollars per share) | $ 0.50 | $ 0.11 |
Quarterly Information (unaud111
Quarterly Information (unaudited) Statement of Operations (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $ 1,802 | $ 1,677 | $ 1,620 | $ 1,444 | $ 1,680 | $ 1,613 | $ 1,604 | $ 1,476 | $ 6,543 | $ 6,373 | $ 6,591 |
Gross Profit | 479 | 477 | 446 | 380 | 476 | 457 | 146 | 390 | |||
Income (loss) from operations | 146 | 189 | 163 | 101 | 138 | 168 | (266) | 95 | 599 | 135 | 353 |
Income from continuing operations | 68 | 107 | 76 | 32 | 44 | 102 | (344) | 40 | 283 | (154) | 181 |
Income (loss) from discontinued operations, net of tax | (11) | (2) | 0 | 0 | (20) | (4) | 0 | 0 | (13) | (24) | 10 |
Net income (loss) attributable to NCR | $ 45 | $ 92 | $ 63 | $ 21 | $ 24 | $ 98 | $ (344) | $ 40 | $ 270 | $ (178) | $ 191 |
From continuing operations (in dollars per share) | $ 0.45 | $ 0.76 | $ 0.51 | $ 0.16 | $ 0.27 | $ 0.60 | $ (2.03) | $ 0.24 | $ 1.86 | $ (0.94) | $ 1.08 |
From continuing operations (in dollars per share) | 0.43 | 0.69 | 0.49 | 0.16 | 0.27 | 0.59 | (2.03) | 0.23 | 1.80 | (0.94) | 1.06 |
Net income per common share: | |||||||||||
Basic (in dollars per share) | 0.36 | 0.74 | 0.51 | 0.16 | 0.15 | 0.58 | (2.03) | 0.24 | 1.76 | (1.09) | 1.14 |
Diluted (in dollars per share) | $ 0.35 | $ 0.68 | $ 0.49 | $ 0.16 | $ 0.15 | $ 0.57 | $ (2.03) | $ 0.23 | $ 1.71 | $ (1.09) | $ 1.12 |
Subsequent Events (Details)
Subsequent Events (Details) - Fox River Site [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Subsequent Event [Line Items] | |
Litigation Settlement Judgment | $ 9 |
Net Loss Contingency Accrual | $ 14 |
Schedule II - Valuation and 113
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance for Doubtful Accounts [Member] | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 47 | $ 19 | $ 18 |
Charged to Costs & Expenses | 9 | 32 | 10 |
Charged to Other Accounts | 0 | 0 | 0 |
Deductions | 15 | 4 | 9 |
Balance at End of Period | 41 | 47 | 19 |
Deferred Tax Asset Valuation Allowance [Member] | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 346 | 294 | 364 |
Charged to Costs & Expenses | 0 | 0 | 0 |
Charged to Other Accounts | 99 | 52 | 0 |
Deductions | 0 | 0 | 70 |
Balance at End of Period | $ 445 | $ 346 | $ 294 |