Segment Information (Tables)

12 Months Ended

Dec. 31, 2018

Disaggregation of Revenue [Line Items]

The tables below present net sales, operating income, depreciation and amortization, capital expenditures and total assets by reportable segment.



	Year Ended December 31,
	2018			2017			2016
	(in millions)
Net Sales
Products
ISRS	$	2,907		$	2,540		$	2,662
C&NS	2,307			2,424			2,238
Electronic Systems	2,007			1,814			1,617
Elimination of intercompany sales	(56		)	(45		)	(64		)
Total products sales	7,165			6,733			6,453

Services
ISRS	$	1,549		$	1,463		$	1,450
C&NS	787			717			678
Electronic Systems	789			695			653
Elimination of intercompany sales	(46		)	(35		)	(24		)
Total services sales	3,079			2,840			2,757
Consolidated total	$	10,244		$	9,573		$	9,210

Operating income
ISRS	$	448		$	348		$	362
C&NS	282			362			298
Electronic Systems	376			321			298
Segment total	1,106			1,031			958
Gain on sale of the Crestview & TCS businesses	42			—			—
Merger and acquisition related expenses	(28		)	—			—
Consolidated total	$	1,120		$	1,031		$	958

Depreciation and amortization
ISRS	$	92		$	87		$	80
C&NS	69			66			63
Electronic Systems	80			72			55
Consolidated total	$	241		$	225		$	198

Capital Expenditures
ISRS	$	57		$	74		$	83
C&NS	50			76			51
Electronic Systems	108			52			66
Corporate	17			22			10
Consolidated total	$	232		$	224		$	210



	Year Ended December 31,
	2018		2017		2016
	(in millions)
Total Assets
ISRS	$	4,720	$	4,135	$	4,117
C&NS	3,670		3,505		3,258
Electronic Systems	4,128		3,939		3,542
Corporate	1,000		709		467
Assets held for sale	—		135		—
Assets of discontinued operations	—		306		481
Consolidated total	$	13,518	$	12,729	$	11,865

Property, Plant and Equipment by Geographic Area

The table below presents property, plant and equipment, net by geographic area.



	Year Ended December 31,
	2018		2017
	(in millions)
United States	$	973	$	936
All other	196		174
Total	$	1,169	$	1,110

Company's Sales Attributable to U.S. Customers and International Customers

The Company’s sales attributable to U.S. and international customers, based on location of the customer, are summarized in the table below.



	Year Ended December 31,
	2018		2017		2016
	(in millions)
U.S.	$	7,843	$	7,344	$	6,947
International:
Canada	312		280		297
United Kingdom	309		335		331
Australia	219		268		254
China	156		167		67
Japan	145		125		81
Saudi Arabia	128		58		159
Turkey	113		61		61
Other	1,019		935		1,013
Total international	2,401		2,229		2,263
Consolidated	$	10,244	$	9,573	$	9,210

Net Sales to Principal Customers

Net sales to principal customers are summarized in the table below.



	Year Ended December 31,
	2018		2017	2016
	(in millions)
U.S. Government agencies⁽¹⁾	$	7,144	6,697	$	6,399
Commercial	1,572		1,456	1,280
Foreign governments⁽¹⁾	1,528		1,420	1,531
Consolidated	$	10,244	9,573	$	9,210

__________________


⁽¹⁾	Includes sales for which the Company is the prime contractor as well as sales based on the ultimate end customer for which the Company is a subcontractor.

Revenue by End Customer [Member]

Disaggregation of Revenue [Line Items]

Disaggregation of Revenue

The table below present total net sales disaggregated by end customer.



	Year Ended December 31, 2018
End Customer	ISRS		C&NS		Electronic Systems		Consolidated L3
	(in millions)
Total DoD	$	3,081	$	2,291	$	1,349	$	6,721
Other U.S. Government	150		95		178		423
Total U.S. Government	3,231		2,386		1,527		7,144
Foreign governments ⁽¹⁾	1,006		327		195		1,528
Commercial — foreign	75		123		675		873
Commercial — domestic	129		223		347		699
Total	$	4,441	$	3,059	$	2,744	$	10,244

__________________


⁽¹⁾	Includes sales under foreign military sales agreements, which are made directly between the U.S. Government and foreign governments.

Revenue by Contract Type [Member]

Disaggregation of Revenue [Line Items]

Disaggregation of Revenue

The table below present total net sales disaggregated by contract type.



	Year Ended December 31, 2018
Contract Type	ISRS		C&NS		Electronic Systems		Consolidated L3
	(in millions)
Fixed-price⁽¹⁾	$	2,839	$	2,202	$	2,317	$	7,358
Cost-plus⁽²⁾	1,393		768		410		2,571
Time-and-material	209		89		17		315
Total sales	$	4,441	$	3,059	$	2,744	$	10,244

__________________


⁽¹⁾	Includes fixed-price incentive fee type contracts, which contributed approximately 1% to the Company's total net sales for the year ended December 31, 2018.


⁽²⁾	Includes cost-plus award and incentive fee type contracts, which contributed approximately 4% to the Company's total net sales for the year ended December 31, 2018.

Revenue by Deliverable Type [Member]

Disaggregation of Revenue [Line Items]

Disaggregation of Revenue

The table below present total net sales disaggregated by the type of deliverable, which is determined by the Company at the performance obligation level.



	Year Ended December 31, 2018
Sales by Deliverable Type	ISRS		C&NS		Electronic Systems		Consolidated L3
	(in millions)
Products	$	2,907	$	2,299	$	1,959	$	7,165
Services	1,534		760		785		3,079
Total sales	$	4,441	$	3,059	$	2,744	$	10,244

Revenue by Revenue Recognition Method [Member]

Disaggregation of Revenue [Line Items]

Disaggregation of Revenue

The table below present total net sales disaggregated based on the revenue recognition method applied.



	Year Ended December 31, 2018
Revenue Recognition Method	ISRS		C&NS		Electronic Systems		Consolidated L3
	(in millions)
Over time (cost-to-cost method)	$	3,352	$	2,603	$	1,649	$	7,604
Point in time	866		359		705		1,930
Output method	74		23		343		440
Billing method	149		74		47		270
Total sales	$	4,441	$	3,059	$	2,744	$	10,244