Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Components Of Earnings Before Income Taxes Between Domestic and Foreign Jurisdictions

The components of earnings before income taxes were:

Years ended December 31,	2013		2012		2011
U.S.		$5,946		$5,647		$5,083
Non-U.S.	286		263		310
Total		$6,232		$5,910		$5,393

Schedule Of Income Tax Expense/(Benefit)

Income tax expense/(benefit) consisted of the following:

Years ended December 31,	2013			2012			2011
Current tax expense
U.S. federal		($82	)		$657			($605	)
Non-U.S.	76			52			93
U.S. state	11			19			(22		)
Total current	5			728			(534		)
Deferred tax expense
U.S. federal	1,531			1,209			1,856
Non-U.S.	41			(13		)	(8		)
U.S. state	69			83			68
Total deferred	1,641			1,279			1,916
Total income tax expense		$1,646			$2,007			$1,382

Reconciliation Of U.S. Federal Statutory Tax Rate To Our Effective Income Tax Rate schedule

The following is a reconciliation of the U.S. federal statutory tax rate of 35% to our effective income tax rate:

Years ended December 31,	2013		2012		2011
U.S. federal statutory tax	35.0	%	35.0	%	35.0	%
Research and development credits	(4.9	)	0.8		(2.7	)
Proposed amendments to the R&E regulations	(3.4	)
Tax on international activities	(0.1	)	(1.2	)	(0.6	)
Tax deductible dividends	(0.6	)	(0.7	)	(0.8	)
State income tax provision, net of effect on U.S. federal tax	0.4		0.8		0.7
Federal audit settlement					(7.4	)
Other provision adjustments			(0.7	)	1.4
Effective income tax rate	26.4	%	34.0	%	25.6	%

Significant Components Of Deferred Tax Assets Net Of Deferred Tax Liabilities

Significant components of our deferred tax assets, net of deferred tax liabilities, at December 31 were as follows:

	2013			2012
Retiree health care accruals		$2,458			$2,867
Inventory and long-term contract methods of income recognition, fixed assets and other (net of valuation allowance of $20 and $27)	(9,948		)	(7,151		)
Partnerships and joint ventures	(62		)	(162		)
Other employee benefits accruals	1,773			1,427
In-process research and development related to acquisitions	23			37
Net operating loss, credit and capital loss carryovers (net of valuation allowance of $105 and $94)	362			307
Pension asset	3,099			6,232
Customer and commercial financing	(990		)	(1,078		)
Unremitted earnings of non-U.S. subsidiaries	(44		)	(49		)
Other net unrealized losses	26			(17		)
Net deferred tax (liabilities)/assets(1)		($3,303	)		$2,413

⁽¹⁾  Of the deferred tax asset for net operating loss and credit carryovers, $295 expires in years ending from December 31, 2014 through December 31, 2033 and $67 may be carried over indefinitely. Included in the net deferred tax (liabilities)/assets as of December 31, 2013 and 2012 are deferred tax assets in the amounts of $5,818 and $10,210 related to Accumulated other comprehensive loss.

Net Deferred Tax Assets and Liabilities

Net deferred tax (liabilities)/assets at December 31 were as follows:

	2013			2012
Deferred tax assets		$12,486			$16,580
Deferred tax liabilities	(15,664		)	(14,046		)
Valuation allowance	(125		)	(121		)
Net deferred tax (liabilities)/assets		($3,303	)		$2,413

Schedule Of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2013			2012			2011
Unrecognized tax benefits – January 1		$1,055			$939			$1,198
Gross increases – tax positions in prior periods	10			55			154
Gross decreases – tax positions in prior periods	(125		)	(20		)	(383		)
Gross increases – current-period tax positions	202			83			28
Gross decreases – current-period tax positions	(1		)	(1		)	(15		)
Settlements				(1		)	(42		)
Lapse of statute of limitations							(1		)
Unrecognized tax benefits – December 31		$1,141			$1,055			$939