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Supplemental Financial Statement Data | 3 Months Ended
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Oct. 01, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Supplemental Financial Statement Data | Supplemental Financial Statement Data Accounts receivable, net From time to time, in connection with factoring agreements, the Company sells trade accounts receivable without recourse to third party purchasers in exchange for cash. The Company did not sell any trade accounts receivable during the three months ended October 1, 2021. During the three months ended October 2, 2020, the Company sold trade accounts receivable for cash proceeds of $128 million. The discounts on the trade accounts receivable sold were not material and were recorded within Other income, net in the Condensed Consolidated Statements of Operations. There were no factored receivables outstanding as of October 1, 2021 and July 2, 2021. Inventories
| October 1, 2021 |  | July 2, 2021
| (in millions)
Inventories: |  |  |
Raw materials and component parts | $ | 1,720 |  |  | $ | 1,623 |
Work-in-process | 1,036 |  |  | 1,088 |
Finished goods | 788 |  |  | 905 |
Total inventories | $ | 3,544 |  |  | $ | 3,616 |
Property, plant and equipment, net
| October 1, 2021 |  | July 2, 2021
| (in millions)
Property, plant and equipment: |  |  |
Land | $ | 278 |  |  | $ | 278 |
Buildings and improvements | 1,875 |  |  | 1,854 |
Machinery and equipment | 8,102 |  |  | 7,860 |
Computer equipment and software | 455 |  |  | 440 |
Furniture and fixtures | 52 |  |  | 51 |
Construction-in-process | 419 |  |  | 476 |
Property, plant and equipment, gross | 11,181 |  |  | 10,959 |
Accumulated depreciation | (7,921) |  |  | (7,771) |
Property, plant and equipment, net | $ | 3,260 |  |  | $ | 3,188 |
Intangible assets
| October 1, 2021 |  | July 2, 2021
| (in millions)
Finite-lived intangible assets | $ | 5,508 |  |  | $ | 5,508 |
In-process research and development | 80 |  |  | 80 |
Accumulated amortization | (5,224) |  |  | (5,146) |
Intangible assets, net | $ | 364 |  |  | $ | 442 |
As part of prior acquisitions, the Company recorded at the time of the acquisition acquired in-process research and development (“IPR&D”) for projects in progress that had not yet reached technological feasibility. IPR&D is initially accounted for as an indefinite-lived intangible asset. Once a project reaches technological feasibility, the Company reclassifies the balance to existing technology and begins to amortize the intangible asset over its estimated useful life. Product warranty liability Changes in the warranty accrual were as follows:
| Three Months Ended |  |  |  |
| October 1, 2021 |  | October 2, 2020 |  |  |  |  |  |
| (in millions)
Warranty accrual, beginning of period | $ | 363 |  |  | $ | 408 |  |  |  |  |  |  |
Charges to operations | 40 |  |  | 35 |  |  |  |  |  |  |
Utilization | (23) |  |  | (31) |  |  |  |  |  |  |
Changes in estimate related to pre-existing warranties | (10) |  |  | (21) |  |  |  |  |  |  |
Warranty accrual, end of period | $ | 370 |  |  | $ | 391 |  |  |  |  |  |  |
The current portion of the warranty accrual is classified in Accrued expenses and the long-term portion is classified in Other liabilities as noted below:
| October 1, 2021 |  | July 2, 2021 |  |  |  |  |  |
| (in millions)
Warranty accrual |  |  |  |  |  |  |  |  |
Current portion (included in Accrued expenses) | $ | 175 |  |  | $ | 175 |  |  |  |  |  |  |
Long-term portion (included in Other liabilities) | 195 |  |  | 188 |  |  |  |  |  |  |
Total warranty accrual | $ | 370 |  |  | $ | 363 |  |  |  |  |  |  |
Other liabilities
| October 1, 2021 |  | July 2, 2021
| (in millions)
Other liabilities: |  |  |
Non-current net tax payable | $ | 575 |  |  | $ | 684 |
Payables related to unrecognized tax benefits | 758 |  |  | 750 |
Other non-current liabilities | 718 |  |  | 633 |
Total other liabilities | $ | 2,051 |  |  | $ | 2,067 |
Accumulated other comprehensive income (loss) Accumulated other comprehensive income (loss) (“AOCI”), net of tax refers to expenses, gains and losses that are recorded as an element of shareholders’ equity but are excluded from net income. The following table illustrates the changes in the balances of each component of AOCI:
| Actuarial Pension Gains (Losses) |  | Foreign Currency Translation Adjustment |  |  |  |  |  | Unrealized Gains (Losses) on Derivative Contracts |  | Total Accumulated Comprehensive Income (Loss)
| (in millions)
Balance at July 2, 2021 | $ | (35) |  |  | $ | (38) |  |  |  |  |  |  | $ | (124) |  |  | $ | (197) |
Other comprehensive income (loss) before reclassifications | 1 |  |  | 4 |  |  |  |  |  |  | (17) |  |  | (12) |
Amounts reclassified from accumulated other comprehensive income | — |  |  | — |  |  |  |  |  |  | 50 |  |  | 50 |
Income tax benefit related to items of other comprehensive income | — |  |  | — |  |  |  |  |  |  | (8) |  |  | (8) |
Net current-period other comprehensive income | 1 |  |  | 4 |  |  |  |  |  |  | 25 |  |  | 30 |
Balance at October 1, 2021 | $ | (34) |  |  | $ | (34) |  |  |  |  |  |  | $ | (99) |  |  | $ | (167) |
During the three months ended October 1, 2021, the amounts reclassified out of AOCI were losses related to foreign exchange contracts of $37 million that were substantially all charged to Cost of revenue and losses related to interest rate swap contracts of $12 million that were charged to Interest expense in the Condensed Consolidated Statements of Operations. During the three months ended October 2, 2020, the amounts reclassified out of AOCI primarily related to foreign exchange contracts and were substantially all charged to Cost of revenue in the Condensed Consolidated Statements of Operations. As of October 1, 2021, the amount of existing net losses related to cash flow hedges recorded in AOCI included $19 million related to the Company’s interest rate swaps that is expected to be reclassified to earnings after twelve months. In addition, as of October 1, 2021, the Company did not have any foreign exchange forward contracts with credit-risk-related contingent features.

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- Definition The entire disclosure for supplemental balance sheet disclosures, including descriptions and amounts for assets, liabilities, and equity. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -URI http://asc.fasb.org/topic&trid=2122208 + Details
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