Contract Assets and Liabilities

6 Months Ended

Jun. 30, 2023

Revenue from Contract with Customer [Abstract]

Contract Assets and Liabilities

ontract Assets and Liabilities

The following summarizes information about our contract assets and liabilities:

(in millions)	June 30, 2023		December 31, 2022
Information about contract assets:
Contract assets
Unbilled receivables - reimbursable contracts	$	849	$	738
Contract work in progress - lump-sum contracts	183		177
Contract assets	$	1,032	$	915
Advance billings deducted from contract assets	$	211	$	220
	6ME June 30,
(in millions)	2023		2022
Information about contract liabilities:
Revenue recognized that was included in contract liabilities as of January 1	$	471	$	741

We periodically evaluate our project forecasts and the amounts recognized with respect to our claims and unapproved change orders. We include estimated amounts for claims and unapproved change orders in project revenue to the extent it is probable we will realize those amounts. As of June 30, 2023 and December 31, 2022, we had recorded $586 million and $498 million, respectively, of revenue associated with claims and unapproved change orders for costs incurred to date. Additional costs, which will increase this balance over time, are expected to be incurred in future periods. We had up to $20 million of back charges that may be disputed as of June 30, 2023, but none as of December 31, 2022. Remaining Unsatisfied Performance Obligations

We estimate that our RUPO will be satisfied over the following periods:

(in millions)	June 30, 2023
Within 1 year	$	13,212
1 to 2 years	7,445
Thereafter	3,729
Total RUPO	$	24,386