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Business Segment Information (Tables) | 3 Months Ended
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Apr. 02, 2021
Segment Reporting [Abstract] |
Schedule of Revenue and Reconciliation of Income From Continuing Operations Before Taxes by Segment | Segment revenue, segment operating income (loss) and a reconciliation of segment operating income to total income from continuing operations before income taxes are as follows:
| Quarter Ended |  |
(In millions) | April 2, 2021 |  | April 3, 2020 |  |  |  |
Revenue |  |  |  |  |  |  |
Integrated Mission Systems | $ | 1,451 |  |  | $ | 1,370 |  |  |  |  |
Space and Airborne Systems | 1,236 |  |  | 1,192 |  |  |  |  |
Communication Systems | 1,112 |  |  | 1,094 |  |  |  |  |
Aviation Systems | 814 |  |  | 1,011 |  |  |  |  |
Corporate eliminations | (46) |  |  | (41) |  |  |  |  |
Total revenue | $ | 4,567 |  |  | $ | 4,626 |  |  |  |  |
Income From Continuing Operations Before Income Taxes |  |  |  |  |  |
Segment Operating Income (Loss): |  |  |  |  |  |  |
Integrated Mission Systems | $ | 240 |  |  | $ | 201 |  |  |  |  |
Space and Airborne Systems | 240 |  |  | 221 |  |  |  |  |
Communication Systems | 281 |  |  | 250 |  |  |  |  |
Aviation Systems | 128 |  |  | (177) |  |  |  |  |
Unallocated corporate expenses(1) | (40) |  |  | (25) |  |  |  |  |
L3Harris Merger-related integration and restructuring expenses | (21) |  |  | (31) |  |  |  |  |
Amortization of acquisition-related intangibles(2) | (164) |  |  | (145) |  |  |  |  |
Business divestiture-related losses | (15) |  |  | (3) |  |  |  |  |
Impairment of goodwill and other assets | (62) |  |  | (5) |  |  |  |  |
Pension adjustment | (111) |  |  | (97) |  |  |  |  |
Non-operating income | 117 |  |  | 95 |  |  |  |  |
Net interest expense | (66) |  |  | (63) |  |  |  |  |
Total income from continuing operations before income taxes | $ | 527 |  |  | $ | 221 |  |  |  |  |
_______________ (1)For the quarter ended April 2, 2021, includes $7 million of divestiture-related expenses and a $15 million accrual for a value added tax obligation. For the quarter ended April 3, 2020, includes $15 million of additional cost of sales related to the fair value step-up in inventory sold. (2)For the quarters ended April 2, 2021 and April 3, 2020, respectively, includes $140 million and $120 million of amortization of identifiable intangible assets acquired as a result of the L3Harris Merger and $24 million and $25 million of amortization of identifiable intangible assets acquired as a result of our acquisition of Exelis Inc. Because the L3Harris Merger and the acquisition of Exelis Inc. benefited the entire Company as opposed to any individual segment, the amortization of identifiable intangible assets acquired was not allocated to any segment.
Schedule of Disaggregation of Revenue by Segment | Disaggregation of Revenue We disaggregate revenue for all four business segments by customer relationship, contract type and geographical region. We believe these categories best depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. Integrated Mission Systems: Integrated Mission Systems revenue is primarily derived from U.S. Government development and production contracts and is generally recognized over time using the POC cost-to-cost revenue recognition method.
|  |  | Quarter Ended
(In millions) |  |  |  |  | April 2, 2021 |  | April 3, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor |  |  |  |  | $ | 1,006 |  |  | $ | 949 |
Subcontractor |  |  |  |  | 445 |  |  | 421 |
|  |  |  |  | $ | 1,451 |  |  | $ | 1,370 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) |  |  |  |  | $ | 1,093 |  |  | $ | 1,025 |
Cost-reimbursable |  |  |  |  | 358 |  |  | 345 |
|  |  |  |  | $ | 1,451 |  |  | $ | 1,370 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States |  |  |  |  | $ | 1,033 |  |  | $ | 1,105 |
International |  |  |  |  | 418 |  |  | 265 |
|  |  |  |  | $ | 1,451 |  |  | $ | 1,370 |
_______________ (1)Includes revenue derived from time-and-materials contracts. Space and Airborne Systems: Space and Airborne Systems revenue is primarily derived from U.S. Government development and production contracts and is generally recognized over time using the POC cost-to-cost revenue recognition method.
|  |  | Quarter Ended
(In millions) |  |  |  |  | April 2, 2021 |  | April 3, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor |  |  |  |  | $ | 683 |  |  | $ | 658 |
Subcontractor |  |  |  |  | 553 |  |  | 534 |
|  |  |  |  | $ | 1,236 |  |  | $ | 1,192 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) |  |  |  |  | $ | 716 |  |  | $ | 670 |
Cost-reimbursable |  |  |  |  | 520 |  |  | 522 |
|  |  |  |  | $ | 1,236 |  |  | $ | 1,192 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States |  |  |  |  | $ | 1,062 |  |  | $ | 1,003 |
International |  |  |  |  | 174 |  |  | 189 |
|  |  |  |  | $ | 1,236 |  |  | $ | 1,192 |
_______________ (1)Includes revenue derived from time-and-materials contracts. Communication Systems: Communication Systems revenue is primarily derived from fixed-price contracts and is generally recognized at the point in time when products are received and accepted by the customer for standard products offered to multiple customers and over time for customer-specific products, systems and services.
|  |  | Quarter Ended
(In millions) |  |  |  |  | April 2, 2021 |  | April 3, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor |  |  |  |  | $ | 729 |  |  | $ | 740 |
Subcontractor |  |  |  |  | 383 |  |  | 354 |
|  |  |  |  | $ | 1,112 |  |  | $ | 1,094 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) |  |  |  |  | $ | 946 |  |  | $ | 918 |
Cost-reimbursable |  |  |  |  | 166 |  |  | 176 |
|  |  |  |  | $ | 1,112 |  |  | $ | 1,094 |
Revenue by Geographical Region |  |  |  |  |  |  |
United States |  |  |  |  | $ | 841 |  |  | $ | 834 |
International |  |  |  |  | 271 |  |  | 260 |
|  |  |  |  | $ | 1,112 |  |  | $ | 1,094 |
_______________ (1)Includes revenue derived from time-and-materials contracts. Aviation Systems: Aviation Systems revenue is primarily derived from fixed-price contracts and is generally recognized at the point in time when products are received and accepted by the customer for standard products offered to multiple customers and over time for customer-specific products, systems and services.
|  |  | Quarter Ended
(In millions) |  |  |  |  | April 2, 2021 |  | April 3, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor |  |  |  |  | $ | 536 |  |  | $ | 664 |
Subcontractor |  |  |  |  | 278 |  |  | 347 |
|  |  |  |  | $ | 814 |  |  | $ | 1,011 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) |  |  |  |  | $ | 652 |  |  | $ | 841 |
Cost-reimbursable |  |  |  |  | 162 |  |  | 170 |
|  |  |  |  | $ | 814 |  |  | $ | 1,011 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States |  |  |  |  | $ | 699 |  |  | $ | 749 |
International |  |  |  |  | 115 |  |  | 262 |
|  |  |  |  | $ | 814 |  |  | $ | 1,011 |
_______________ (1)Includes revenue derived from time-and-materials contracts.
Schedule of Total Assets by Business Segment | Total assets by business segment are summarized below:
(In millions) | April 2, 2021 |  | January 1, 2021
Total Assets |  |  |
Integrated Mission Systems | $ | 9,080 |  |  | $ | 8,906 |
Space and Airborne Systems | 6,996 |  |  | 6,943 |
Communication Systems | 5,720 |  |  | 5,746 |
Aviation Systems | 5,436 |  |  | 5,026 |
Corporate(1) | 9,358 |  |  | 10,339 |
Total Assets | $ | 36,590 |  |  | $ | 36,960 |
_______________ (1)Identifiable intangible assets acquired in connection with the L3Harris Merger on June 29, 2019 and our acquisition of Exelis Inc. in fiscal 2015 were recorded as Corporate assets because they benefited the entire Company as opposed to any individual segment. Identifiable intangible asset balances recorded as Corporate assets were approximately $7.3 billion and $7.9 billion at April 2, 2021 and January 1, 2021, respectively. Corporate assets also consisted of cash, income taxes receivable, deferred income taxes, deferred compensation plan investments, buildings and equipment, as well as any assets and liabilities from discontinued operations and divestitures. See Note B — Business Divestitures in these Notes for additional information.

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- Definition Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 25 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8813-108599 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8906-108599 + Details
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