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Changes in Estimates
 3 Months Ended
Apr. 02, 2020
Changes in Estimates [Abstract]  
Change In Estimate [Text Block] .  Changes in Estimates

The Company has a periodic forecasting process in which management assesses the progress and performance of the Company’s programs. This process requires management to review each program’s progress by evaluating the program schedule, changes to identified risks and opportunities, changes to estimated revenues and costs for the accounting contracts (and options if applicable), and any outstanding contract matters. Risks and opportunities include but are not limited to management’s judgment about the cost associated with the Company’s ability to achieve the schedule, technical requirements (e.g., a newly-developed product versus a mature product), and any other program requirements. Due to the span of years it may take to completely satisfy the performance obligations for the accounting contracts (and options, if any) and the scope and nature of the work required to be performed on those contracts, the estimation of total revenue and costs is subject to many variables and, accordingly, is subject to change based upon judgment. When adjustments in estimated total consideration or estimated total cost are required, any changes from prior estimates for fully satisfied performance obligations are recognized in the current period as a cumulative catch-up adjustment for the inception-to-date effect of such changes. Cumulative catch-up adjustments are driven by several factors including production efficiencies, assumed rate of production, the rate of overhead absorption, changes to scope of work, and contract modifications. The quarterly and year-to-date forward losses relate primarily to negative changes in estimates on the B787 program due to disruption related to the rate reduction and A350 program due to cost performance and price step downs.

Actual results could differ from these estimates, which were based upon circumstances that existed as of the date of the consolidated financial statements, April 2, 2020. Subsequent to this date, there have been significant changes to the global economic situation and to public securities markets as a consequence of the novel strain of coronavirus ("COVID-19") pandemic. It is reasonably possible that this could cause changes to estimates as a result of the financial circumstances of the markets in which
the Company operates, the price of the Company’s publicly traded equity in comparison to the Company’s carrying value, and the health of the global economy.

Changes in estimates are summarized below:

 
 
For the Three Months Ended
Changes in Estimates
 
April 2, 2020

March 28, 2019
(Unfavorable) Favorable Cumulative Catch-up Adjustment by Segment
 
 
 
 
Fuselage
 
$
(4.0
)
 
$
(1.2
)
Propulsion
 
(1.5
)
 
(2.8
)
Wing
 
(2.7
)
 
(0.2
)
Total (Unfavorable) Favorable Cumulative Catch-up Adjustment
 
$
(8.2
)
 
$
(4.2
)
 
 
 
 
 
Changes in Estimates on Loss Programs (Forward Loss) by Segment
 
 
 
 
Fuselage
 
$
(13.2
)
 
$
3.7

Propulsion
 
(3.1
)
 
0.5

Wing
 
(3.4
)
 
0.5

Total Changes in Estimates (Forward Loss) on Loss Programs
 
$
(19.7
)
 
$
4.7

 
 
 
 
 
Total Change in Estimate
 
$
(27.9
)
 
$
0.5

EPS Impact (diluted per share based upon 2020 forecasted effective tax rate)
 
$
(0.17
)
 
$
—