Dispositions

12 Months Ended

Dec. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

2. DISPOSITIONS

Disposition of IT and Mission Support Services Business

Effective January 30, 2021, we completed the IT services divestiture for $3.4 billion in cash and recorded a pre-tax gain of $2.0 billion. The IT and mission support services business was comprised of the majority of the former IS&S division of Defense Systems (excluding the Vinnell Arabia business); select cyber, intelligence and missions support programs, which were part of the former CIMS division of Mission Systems; and the former Space Technical Services business unit of Space Systems. The assets and liabilities of the IT and mission support services business were classified as held for sale in the consolidated statement of financial position as of December 31, 2020. Operating results include sales and operating income for the IT and mission support services business prior to the Divestiture date.

The company recorded pre-tax profit of the IT and mission support services business of $20 million, $247 million and $245 million for the years ended December 31, 2021, 2020 and 2019, respectively.

The carrying amounts of the major classes of assets and liabilities of the IT and mission support services business classified as held for sale as of December 31, 2020 were as follows:

$ in millions
Accounts receivable, net	$	110
Unbilled receivables, net	269
Other current assets	9
Property, plant and equipment	14
Operating lease right-of-use assets	38
Goodwill(1)	1,195
Total assets of disposal group held for sale	$	1,635
Trade accounts payable	(99)
Accrued employee compensation	(59)
Advance payments and billings in excess of costs incurred	(31)
Other current liabilities	(42)
Non-current operating lease liabilities	(27)
Total liabilities of disposal group held for sale	$	(258)

(1) See Note 8 for a summary by reportable segment of Goodwill reclassified to Assets of disposal group held for sale as of December 31, 2020.