Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

Earnings (loss) before taxes consists of the following:

	Year Ended December 31,
(Dollars in millions)	2021		2020		2019
Earnings before taxes
Domestic	$	203	$	112	$	89
Foreign	(3)		—		6
Total	$	200	$	112	$	95

Schedule of Income Tax Provision (Benefit)

Income tax provision (benefit) consists of the following:

	Year Ended December 31,
(Dollars in millions)	2021		2020		2019
Current:
Federal	$	(1)	$	—	$	—
State	—		3		2
Foreign	1		2		1
	—		5		3
Deferred:
Federal	43		24		17
State	5		—		—
Foreign	(2)		(2)		—
	46		22		17
Total	$	46	$	27	$	20

Schedule of Effective Income Tax Rate Reconciliation

The reconciliation from the statutory federal income tax rate to our effective income tax rate follows:

	Year Ended December 31,
	2021		2020		2019
Statutory federal rate	21.0	%	21.0	%	21.0	%
State rate, net of federal benefit	3.6	%	2.3	%	0.5	%
Foreign rate differential	(0.2)	%	0.5	%	0.5	%
Research & development credit, net of reserves	(0.2)	%	(0.7)	%	(2.3)	%
Nondeductible expenses	0.9	%	0.4	%	0.7	%
Global intangible low taxed income	—	%	0.2	%	1.0	%
Change in valuation allowance	(1.4)	%	(2.5)	%	0.2	%
Change in tax reserves	(0.4)	%	2.2	%	0.2	%
Other	(0.3)	%	0.7	%	(0.7)	%
Effective tax rate	23.0	%	24.1	%	21.1	%

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2021 and 2020 is as follows:

	December 31,
(Dollars in millions)	2021		2020
Deferred tax assets:
Federal net operating losses	$	5	$	18
State net operating losses	16		21
Tax credit carryforwards	21		23
Accrued compensation and benefits	23		26
Contract liabilities	21		20
Accrued expenses	5		5
Pension and post-retirement plans	18		24
Inventory capitalization	5		8
Other	5		8
Disallowed interest	1		1
Total gross deferred tax assets	120		154
Less valuation allowance	10		11
Deferred tax assets	110		143
Deferred tax liabilities:
Intangible assets	(41)		(44)
Fixed assets	(12)		(11)
Other	(1)		(1)
Deferred tax liabilities	(54)		(56)
Net deferred tax asset	$	56	$	87

Schedule of Unrecognized Tax Benefits

The table below summarizes the activity associated with our unrecognized tax benefits:

(Dollars in millions)	2021		2020		2019
Balance at January 1,	$	25	$	18	$	14
Increase related to prior year tax positions	—		3		3
Increase related to current year tax positions	1		4		1
Decreases related to prior year tax positions	(4)		—		—
Lapse of statute of limitations	—		—		—
Settlements with taxing authorities	—		—		—
Balance at December 31,	$	22	$	25	$	18