Goodwill and Other Intangible Assets (Tables)

6 Months Ended

Jul. 02, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill by Business Segments

The assignment of goodwill by business segment, and changes in the carrying amount of goodwill by business segment, were as follows:

(In millions)	Integrated Mission Systems		Space and Airborne Systems		Communication Systems		Aviation Systems		Total
Balance at January 1, 2021	$	6,499	$	5,232	$	4,153	$	2,992	$	18,876
Goodwill decrease from divestitures(1)	—		—		—		(538)		(538)
Decrease from reclassification to assets of disposal group held for sale(2)	—		—		—		(26)		(26)
Impairment of goodwill	—		—		—		(62)		(62)
Currency translation adjustments	1		(13)		1		(5)		(16)
Balance at July 2, 2021	$	6,500	$	5,219	$	4,154	$	2,361	$	18,234
Balance at January 3, 2020	$	5,768	$	5,131	$	4,243	$	4,859	$	20,001
Goodwill decrease from divestitures(1)	—		(2)		—		(531)		(533)
Decrease from reclassification to assets of disposal group held for sale(2)	—		—		(9)		—		(9)
Impairment of goodwill	—		(5)		—		(364)		(369)
Currency translation adjustments	3		(7)		(2)		(5)		(11)
Other (including adjustments to previously estimated fair value of assets acquired and liabilities assumed)	740		124		(81)		(847)		(64)
Balance at July 3, 2020	$	6,511	$	5,241	$	4,151	$	3,112	$	19,015

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(1)During the two quarters ended July 2, 2021, we completed the divestitures of our CPS business and military training business and derecognized $538 million of goodwill as part of determining the gain or loss on the sales of these businesses. During the two quarters ended July 3, 2020, we completed the divestitures of our airport security and automation business and our Applied Kilovolts and Analytical Instrumentation business and derecognized $533 million of goodwill as part of determining the gain or loss on the sales of these businesses.

(2)During the two quarters ended July 2, 2021 and July 3, 2020, we assigned $26 million and $9 million, respectively, of goodwill associated with pending divestitures to “Assets of disposal groups held for sale” in our Condensed Consolidated Balance Sheet (Unaudited). See Note B — Business Divestitures in these Notes for additional information.

Schedule of Identifiable Intangible Assets Subject to Amortization

Identifiable intangible assets are summarized below:

	July 2, 2021						January 1, 2021
(In millions)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount(1)		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer relationships	$	6,207	$	1,450	$	4,757	$	6,863	$	1,257	$	5,606
Developed technologies	603		286		317		653		261		392
Contract backlog	13		13		—		19		17		2
Trade names — divisions	108		48		60		129		45		84
Other	3		3		—		3		3		—
Total identifiable intangible assets subject to amortization	6,934		1,800		5,134		7,667		1,583		6,084
In-process research and development	21		—		21		21		—		21
Trade names — corporate	1,803		—		1,803		1,803		—		1,803
Total identifiable intangible assets	$	8,758	$	1,800	$	6,958	$	9,491	$	1,583	$	7,908

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(1)During the two quarters ended July 2, 2021, we derecognized $486 million of intangible assets associated with completed divestitures and reclassified $91 million of intangible assets associated with pending divestitures to “Assets of disposal groups held for sale” in our Condensed Consolidated Balance Sheet (Unaudited). See Note B — Business Divestitures in these Notes for additional information regarding divestitures.

Schedule of Identifiable Intangible Assets Not Subject to Amortization

Identifiable intangible assets are summarized below:

	July 2, 2021						January 1, 2021
(In millions)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount(1)		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer relationships	$	6,207	$	1,450	$	4,757	$	6,863	$	1,257	$	5,606
Developed technologies	603		286		317		653		261		392
Contract backlog	13		13		—		19		17		2
Trade names — divisions	108		48		60		129		45		84
Other	3		3		—		3		3		—
Total identifiable intangible assets subject to amortization	6,934		1,800		5,134		7,667		1,583		6,084
In-process research and development	21		—		21		21		—		21
Trade names — corporate	1,803		—		1,803		1,803		—		1,803
Total identifiable intangible assets	$	8,758	$	1,800	$	6,958	$	9,491	$	1,583	$	7,908

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(1)During the two quarters ended July 2, 2021, we derecognized $486 million of intangible assets associated with completed divestitures and reclassified $91 million of intangible assets associated with pending divestitures to “Assets of disposal groups held for sale” in our Condensed Consolidated Balance Sheet (Unaudited). See Note B — Business Divestitures in these Notes for additional information regarding divestitures.

Schedule of Future Estimated Amortization Expense For Identifiable Intangible Assets

Future estimated amortization expense for identifiable intangible assets subject to amortization is as follows:

	(In millions)
Year 1	$	610
Year 2	606
Year 3	587
Year 4	543
Year 5	494
Thereafter	2,294
Total	$	5,134