Discontinued Operations and Transition Costs (Tables)

6 Months Ended

Jun. 26, 2021

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Assets and Liabilities to be Sold

The following table presents the aggregate amounts of the classes of assets and liabilities sold under the definitive agreement with STG:

(in millions)	June 26, 2021		December 26, 2020
Assets:
Accounts receivable, net	$	194	$	290
Deferred costs		102		96
Other current assets		21		16
Total current assets of discontinued operations		317		402
Property and equipment, net		37		34
Intangible assets, net		881		915
Goodwill		1,413		1,413
Deferred tax assets		40		43
Other long-term assets		157		155
Total assets of discontinued operations	$	2,845	$	2,962
Liabilities:
Accounts payable and other current liabilities	$	37	$	39
Accrued compensation and benefits		18		18
Accrued marketing		8		6
Lease liabilities, current portion		17		15
Deferred revenue		845		892
Total current liabilities of discontinued operations		925		970
Deferred tax liabilities		6		7
Other long-term liabilities		58		51
Deferred revenue, less current portion		545		604
Total liabilities of discontinued operations	$	1,534	$	1,632

Summary of Components of Income

The following table presents information regarding certain components of income from discontinued operations, net of taxes:

	Three Months Ended				Six Months Ended
(in millions)	June 26, 2021		June 27, 2020		June 26, 2021		June 27, 2020
Net revenue	$	346	$	333	$	677	$	664
Operating income	$	54	$	49	$	73	$	58
Income before income taxes	$	51	$	49	$	69	$	58
Income tax expense	$	11	$	9	$	18	$	17
Income from discontinued operations, net of taxes	$	40	$	40	$	51	$	41

Summary of Significant Non-Cash Items and Capital Expenditures

The following table presents significant non-cash items and capital expenditures of discontinued operations:

	Six Months Ended
(in millions)	June 26, 2021		June 27, 2020
Depreciation and amortization	$	41	$	112
Equity-based compensation expense	$	45	$	3
Additions to property and equipment	$	3	$	4