Revenue from Contracts with Customers (Tables)

9 Months Ended

Sep. 30, 2021

Revenue from Contract with Customer [Abstract]

Schedule of Change in Estimate at Completion Adjustments

EAC adjustments had the following impacts to revenue for the periods presented:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in millions)	2021			2020			2021			2020
Revenue	$	(11)		$	(30)		$	(20)		$	(63)
Total % of Revenue	1.6		%	4.2		%	1.0		%	3.2		%

Schedule of Contract Assets and Contract Liabilities

(Dollars in millions)	September 30, 2021		December 31, 2020
Contract assets	$	788	$	672
Contract liabilities	160		177
Net contract assets	$	628	$	495

Schedule of Remaining Performance Obligations, Expected Timing of Satisfaction

The following table summarizes the value of our total backlog as of September 30, 2021, incorporating both funded and unfunded components:

Backlog:	September 30, 2021
(Dollars in millions)
Total Backlog	$	3,152

Schedule of Disaggregation of Revenue

We believe these categories best depict how the nature, amount, timing and uncertainty of AST revenue and cash flows are affected by economic factors:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in millions)	2021		2020		2021		2020
Revenue by Geographical Region
United States	$	258	$	230	$	678	$	585
International	19		31		60		73
Intersegment Sales	2		2		5		10
Total	$	279	$	263	$	743	$	668
Revenue by Customer Relationship
Prime contractor	$	127	$	125	$	356	$	311
Subcontractor	150		136		382		347
Intersegment Sales	2		2		5		10
Total	$	279	$	263	$	743	$	668
Revenue by Contract Type
Firm Fixed Price	$	241	$	230	$	633	$	573
Flexibly Priced(1)	36		31		105		85
Intersegment Sales	2		2		5		10
Total	$	279	$	263	$	743	$	668

________________

(1)Includes revenue derived from time-and-materials contracts.

We believe these categories best depict how the nature, amount, timing and uncertainty of NC&C revenue and cash flows are affected by economic factors:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in millions)	2021		2020		2021		2020
Revenue by Geographical Region
United States	$	226	$	248	$	707	$	686
International	8		17		30		56
Intersegment Sales	5		2		10		7
Total	$	239	$	267	$	747	$	749
Revenue by Customer Relationship
Prime contractor	$	219	$	168	$	545	$	441
Subcontractor	15		97		192		301
Intersegment Sales	5		2		10		7
Total	$	239	$	267	$	747	$	749
Revenue by Contract Type
Firm Fixed Price	$	197	$	226	$	650	$	658
Flexibly Priced(1)	37		39		87		84
Intersegment Sales	5		2		10		7
Total	$	239	$	267	$	747	$	749

________________

(1)Includes revenue derived from time-and-materials contracts.

We believe these categories best depict how the nature, amount, timing and uncertainty of IMS revenue and cash flows are affected by economic factors:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in millions)	2021		2020		2021		2020
Revenue by Geographical Region
United States	$	198	$	188	$	547	$	532
International	11		6		37		20
Intersegment Sales	—		—		—		1
Total	$	209	$	194	$	584	$	553
Revenue by Customer Relationship
Prime contractor	$	41	$	69	$	127	$	195
Subcontractor	168		125		457		357
Intersegment Sales	—		—		—		1
Total	$	209	$	194	$	584	$	553
Revenue by Contract Type
Firm Fixed Price	$	179	$	151	$	495	$	448
Flexibly Priced(1)	30		43		89		104
Intersegment Sales	—		—		—		1
Total	$	209	$	194	$	584	$	553

________________

(1)Includes revenue derived from time-and-materials contracts.