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Business Segment Information (Tables) | 9 Months Ended
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Oct. 01, 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 |  | Three Quarters Ended
(In millions) | October 1, 2021 |  | October 2, 2020 |  | October 1, 2021 |  | October 2, 2020
Revenue |  |  |  |  |  |  |
Integrated Mission Systems | $ | 1,336 |  |  | $ | 1,372 |  |  | $ | 4,281 |  |  | $ | 4,073 |
Space and Airborne Systems | 1,284 |  |  | 1,249 |  |  | 3,807 |  |  | 3,690 |
Communication Systems | 1,030 |  |  | 1,094 |  |  | 3,269 |  |  | 3,300 |
Aviation Systems | 625 |  |  | 792 |  |  | 2,248 |  |  | 2,603 |
Corporate eliminations | (46) |  |  | (44) |  |  | (141) |  |  | (132) |
Total revenue | $ | 4,229 |  |  | $ | 4,463 |  |  | $ | 13,464 |  |  | $ | 13,534 |
Income From Continuing Operations Before Income Taxes |  |  |  |  |  |
Segment Operating Income (Loss): |  |  |  |  |  |  |
Integrated Mission Systems | $ | 222 |  |  | $ | 213 |  |  | $ | 691 |  |  | $ | 638 |
Space and Airborne Systems | 242 |  |  | 231 |  |  | 735 |  |  | 687 |
Communication Systems | 271 |  |  | 273 |  |  | 839 |  |  | 788 |
Aviation Systems | 90 |  |  | 100 |  |  | 253 |  |  | (46) |
| 825 |  |  | 817 |  |  | 2,518 |  |  | 2,067 |
Unallocated Items: |  |  |  |  |  |  |
L3Harris Merger-related integration expenses | (34) |  |  | (27) |  |  | (75) |  |  | (95) |
Amortization of acquisition-related intangibles(1) | (155) |  |  | (176) |  |  | (475) |  |  | (529) |
Additional cost of sales related to fair value step-up in inventory sold | — |  |  | — |  |  | — |  |  | (31) |
Business divestiture-related gains (losses) | 27 |  |  | (10) |  |  | 192 |  |  | (62) |
Other items | (8) |  |  | (2) |  |  | (61) |  |  | (19) |
Impairment of goodwill and other assets | — |  |  | — |  |  | (125) |  |  | (19) |
Unallocated corporate department expense | (2) |  |  | (21) |  |  | (59) |  |  | (51) |
| (172) |  |  | (236) |  |  | (603) |  |  | (806) |
Pension adjustment | (111) |  |  | (97) |  |  | (336) |  |  | (292) |
Non-operating income, net | 111 |  |  | 96 |  |  | 314 |  |  | 296 |
Interest expense, net | (67) |  |  | (62) |  |  | (198) |  |  | (190) |
Total income from continuing operations before income taxes | $ | 586 |  |  | $ | 518 |  |  | $ | 1,695 |  |  | $ | 1,075 |
_______________ (1)Includes amortization of identifiable intangible assets acquired as a result of the L3Harris Merger and the acquisition of Exelis Inc., which benefited the entire Company as opposed to any individual segment; therefore, 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 was primarily derived from U.S. Government development and production contracts and was generally recognized over time using the POC cost-to-cost revenue recognition method.
| Quarter Ended |  | Three Quarters Ended
(In millions) | October 1, 2021 |  | October 2, 2020 |  | October 1, 2021 |  | October 2, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor | $ | 906 |  |  | $ | 908 |  |  | $ | 2,933 |  |  | $ | 2,715 |
Subcontractor | 414 |  |  | 452 |  |  | 1,303 |  |  | 1,321 |
Intersegment | 16 |  |  | 12 |  |  | 45 |  |  | 37 |
| $ | 1,336 |  |  | $ | 1,372 |  |  | $ | 4,281 |  |  | $ | 4,073 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) | $ | 988 |  |  | $ | 1,039 |  |  | $ | 3,227 |  |  | $ | 3,060 |
Cost-reimbursable | 332 |  |  | 321 |  |  | 1,009 |  |  | 976 |
Intersegment | 16 |  |  | 12 |  |  | 45 |  |  | 37 |
| $ | 1,336 |  |  | $ | 1,372 |  |  | $ | 4,281 |  |  | $ | 4,073 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States | $ | 1,016 |  |  | $ | 1,086 |  |  | $ | 3,070 |  |  | $ | 3,205 |
International | 304 |  |  | 274 |  |  | 1,166 |  |  | 831 |
Intersegment | 16 |  |  | 12 |  |  | 45 |  |  | 37 |
| $ | 1,336 |  |  | $ | 1,372 |  |  | $ | 4,281 |  |  | $ | 4,073 |
_______________ (1)Includes revenue derived from time-and-materials contracts. Space and Airborne Systems: Space and Airborne Systems revenue was primarily derived from U.S. Government development and production contracts and was generally recognized over time using the POC cost-to-cost revenue recognition method.
| Quarter Ended |  | Three Quarters Ended
(In millions) | October 1, 2021 |  | October 2, 2020 |  | October 1, 2021 |  | October 2, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor | $ | 753 |  |  | $ | 674 |  |  | $ | 2,169 |  |  | $ | 2,006 |
Subcontractor | 527 |  |  | 570 |  |  | 1,630 |  |  | 1,673 |
Intersegment | 4 |  |  | 5 |  |  | 8 |  |  | 11 |
| $ | 1,284 |  |  | $ | 1,249 |  |  | $ | 3,807 |  |  | $ | 3,690 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) | $ | 717 |  |  | $ | 702 |  |  | $ | 2,172 |  |  | $ | 2,072 |
Cost-reimbursable | 563 |  |  | 542 |  |  | 1,627 |  |  | 1,607 |
Intersegment | 4 |  |  | 5 |  |  | 8 |  |  | 11 |
| $ | 1,284 |  |  | $ | 1,249 |  |  | $ | 3,807 |  |  | $ | 3,690 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States | $ | 1,122 |  |  | $ | 1,064 |  |  | $ | 3,284 |  |  | $ | 3,114 |
International | 158 |  |  | 180 |  |  | 515 |  |  | 565 |
Intersegment | 4 |  |  | 5 |  |  | 8 |  |  | 11 |
| $ | 1,284 |  |  | $ | 1,249 |  |  | $ | 3,807 |  |  | $ | 3,690 |
_______________ (1)Includes revenue derived from time-and-materials contracts. Communication Systems: Communication Systems revenue was primarily derived from fixed-price contracts and was generally recognized at the point in time when products were 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 |  | Three Quarters Ended
(In millions) | October 1, 2021 |  | October 2, 2020 |  | October 1, 2021 |  | October 2, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor | $ | 681 |  |  | $ | 760 |  |  | $ | 2,193 |  |  | $ | 2,249 |
Subcontractor | 334 |  |  | 325 |  |  | 1,036 |  |  | 1,024 |
Intersegment | 15 |  |  | 9 |  |  | 40 |  |  | 27 |
| $ | 1,030 |  |  | $ | 1,094 |  |  | $ | 3,269 |  |  | $ | 3,300 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) | $ | 871 |  |  | $ | 931 |  |  | $ | 2,765 |  |  | $ | 2,790 |
Cost-reimbursable | 144 |  |  | 154 |  |  | 464 |  |  | 483 |
Intersegment | 15 |  |  | 9 |  |  | 40 |  |  | 27 |
| $ | 1,030 |  |  | $ | 1,094 |  |  | $ | 3,269 |  |  | $ | 3,300 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States | $ | 719 |  |  | $ | 745 |  |  | $ | 2,337 |  |  | $ | 2,410 |
International | 296 |  |  | 340 |  |  | 892 |  |  | 863 |
Intersegment | 15 |  |  | 9 |  |  | 40 |  |  | 27 |
| $ | 1,030 |  |  | $ | 1,094 |  |  | $ | 3,269 |  |  | $ | 3,300 |
_______________ (1)Includes revenue derived from time-and-materials contracts. Aviation Systems: Aviation Systems revenue was primarily derived from fixed-price contracts and was generally recognized at the point in time when products were 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 |  | Three Quarters Ended
(In millions) | October 1, 2021 |  | October 2, 2020 |  | October 1, 2021 |  | October 2, 2020
Revenue By Customer Relationship |  |  |  |  |  |  |
Prime contractor | $ | 383 |  |  | $ | 511 |  |  | $ | 1,439 |  |  | $ | 1,688 |
Subcontractor | 231 |  |  | 263 |  |  | 761 |  |  | 858 |
Intersegment | 11 |  |  | 18 |  |  | 48 |  |  | 57 |
| $ | 625 |  |  | $ | 792 |  |  | $ | 2,248 |  |  | $ | 2,603 |
Revenue By Contract Type |  |  |  |  |  |  |
Fixed-price(1) | $ | 506 |  |  | $ | 630 |  |  | $ | 1,786 |  |  | $ | 2,069 |
Cost-reimbursable | 108 |  |  | 144 |  |  | 414 |  |  | 477 |
Intersegment | 11 |  |  | 18 |  |  | 48 |  |  | 57 |
| $ | 625 |  |  | $ | 792 |  |  | $ | 2,248 |  |  | $ | 2,603 |
Revenue By Geographical Region |  |  |  |  |  |  |
United States | $ | 530 |  |  | $ | 669 |  |  | $ | 1,891 |  |  | $ | 2,076 |
International | 84 |  |  | 105 |  |  | 309 |  |  | 470 |
Intersegment | 11 |  |  | 18 |  |  | 48 |  |  | 57 |
| $ | 625 |  |  | $ | 792 |  |  | $ | 2,248 |  |  | $ | 2,603 |
_______________ (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) | October 1, 2021 |  | January 1, 2021
Total Assets |  |  |
Integrated Mission Systems | $ | 9,157 |  |  | $ | 8,906 |
Space and Airborne Systems | 7,149 |  |  | 6,943 |
Communication Systems | 5,990 |  |  | 5,746 |
Aviation Systems | 3,712 |  |  | 5,026 |
Corporate(1) | 9,010 |  |  | 10,339 |
Total Assets | $ | 35,018 |  |  | $ | 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 $6.8 billion and $7.9 billion at October 1, 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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