Discontinued Operations (Tables)

6 Months Ended

Dec. 30, 2016

Discontinued Operations and Disposal Groups [Abstract]

Income Statement, Balance Sheet and Depreciation, Amortization, Capital Expenditures and Significant Operating and Investing Noncash Items

The carrying amounts of the major classes of assets and liabilities included in discontinued operations in our Condensed Consolidated Balance Sheet (Unaudited) as of December 30, 2016 and July 1, 2016, are as follows:

	December 30, 2016 (1)		July 1, 2016
	(In millions)
Assets
Receivables	$	50	$	67
Inventories	12		14
Property, plant and equipment	69		—
Goodwill	132		—
Other intangible assets	22		—
Other current assets	59		31
Current assets of discontinued operations	$	344	$	112
Property, plant and equipment	$	—	$	73
Goodwill	—		136
Other intangible assets	—		24
Other non-current assets	—		46
Non-current assets of discontinued operations	$	—	$	279
Liabilities
Accounts payable	$	15	$	11
Post-closing adjustment liability	2		27
Other current liabilities	50		53
Current liabilities of discontinued operations	$	67	$	91
Non-current liabilities of discontinued operations	$	—	$	26
(1) The assets and liabilities of discontinued operations held for sale are classified as current in our Condensed Consolidated Balance Sheet (Unaudited) as of December 30, 2016 because it was probable the sale would occur and proceeds would be collected within one year.

The major components of the discontinued operations in our Condensed Consolidated Statement of Income (Unaudited) include the following:

	Quarter Ended						Two Quarters Ended
	December 30, 2016			January 1, 2016			December 30, 2016			January 1, 2016
	(In millions)
Revenue from product sales and services	$	69		$	95		$	145		$	196
Cost of product sales and services	(53		)	(77		)	(109		)	(154		)
Engineering, selling and administrative expenses	(11		)	(22		)	(26		)	(43		)
Impairment of goodwill and other assets	—			(367		)	—			(367		)
Non-operating income	7			—			7			—
Income (loss) before income taxes	12			(371		)	17			(368		)
Loss on sale of discontinued operation	—			(21		)	—			(21		)
Income tax (expense) benefit	(3		)	43			(4		)	42
Discontinued operations, net of income taxes	$	9		$	(349	)	$	13		$	(347	)

Depreciation and amortization, capital expenditures, and significant noncash items of discontinued operations for all periods presented in our Condensed Consolidated Statement of Income (Unaudited) include the following:

	Quarter Ended				Two Quarters Ended
	December 30, 2016		January 1, 2016		December 30, 2016		January 1, 2016
	(In millions)
Depreciation and amortization	$	3	$	12	$	11	$	25
Capital expenditures	2		4		4		8
Significant noncash items:
Impairment of goodwill and other assets	—		367		—		367

The following table summarizes the approximate carrying amount of the major classes of assets and liabilities of IT Services as of December 30, 2016:

	(In millions)
Assets
Current assets	$	270
Goodwill	460
Other intangible assets	250
Other assets	20
Liabilities
Current liabilities	$	110