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REVENUE RECOGNITION LONG-TERM CONTRACTS AND DEFERRED AND UNBILLED REVENUE
3 Months Ended
Mar. 29, 2020
Revenue from Contract with Customer [Abstract]  
Revenue from Contract with Customer
NOTE 3. REVENUE RECOGNITION
Long-term Contracts
Most of our contracts are for a period of less than one year. We have certain long-term maintenance agreements, construction contracts and extended warranty coverage arrangements that span a period in excess of one year. The aggregate amount of the transaction price for long-term maintenance agreements and construction contracts allocated to performance obligations that had not been satisfied as of March 29, 2020, was $967 million. We expect to recognize the related revenue of $237 million over the next 12 months and $730 million over periods up to 10 years. See Note 10, "PRODUCT WARRANTY LIABILITY," for additional disclosures on extended warranty coverage arrangements. Our other contracts generally are for a duration of less than one year, include payment terms that correspond to the timing of costs incurred when providing goods and services to our customers or represent sales-based royalties.
Deferred and Unbilled Revenue
The following is a summary of our unbilled and deferred revenue and related activity:
In millionsMarch 29,
2020
December 31,
2019
Unbilled revenue$91  $68  
Deferred revenue, primarily extended warranty1,364  1,354  
We recognized revenue of $112 million and $109 million for the three months ended March 29, 2020 and March 31, 2019, respectively, that was included in the deferred revenue balance at the beginning of each year. We did not record any impairment losses on our unbilled revenues during the three months ended March 29, 2020 or March 31, 2019.
Disaggregation of Revenue
Consolidated Revenue
The table below presents our consolidated sales by geographic area. Net sales attributed to geographic areas were based on the location of the customer.
 Three months ended
In millionsMarch 29,
2020
March 31,
2019
United States$2,852  $3,436  
China522  573  
India170  224  
Other international1,467  1,771  
Total net sales$5,011  $6,004  
Segment Revenue
Engine segment external sales by market were as follows:
Three months ended
In millionsMarch 29,
2020
March 31,
2019
Heavy-duty truck$519  $723  
Medium-duty truck and bus490  610  
Light-duty automotive327  330  
Total on-highway1,336  1,663  
Off-highway243  321  
Total sales$1,579  $1,984  
Distribution segment external sales by region were as follows:
Three months ended
In millionsMarch 29,
2020
March 31,
2019
North America$1,245  $1,392  
Asia Pacific192  220  
Europe135  123  
China68  81  
Africa and Middle East51  55  
Russia41  35  
Latin America39  40  
India36  47  
Total sales$1,807  $1,993  
Distribution segment external sales by product line were as follows:
Three months ended
In millionsMarch 29,
2020
March 31,
2019
Parts$783  $841  
Power generation375  401  
Service327  362  
Engines322  389  
Total sales$1,807  $1,993  
Components segment external sales by business were as follows:
Three months ended
In millionsMarch 29,
2020
March 31,
2019
Emission solutions$570  $749  
Filtration249  259  
Turbo technologies158  190  
Automated transmissions82  149  
Electronics and fuel systems56  54  
Total sales$1,115  $1,401  
Power Systems segment external sales by product line were as follows:
Three months ended
In millionsMarch 29,
2020
March 31,
2019
Power generation$269  $308  
Industrial165  231  
Generator technologies66  84  
Total sales$500  $623