SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Jan. 03, 2025

Accounting Policies [Abstract]

Schedule of Net Estimated at Completion ("EAC") Adjustments

Net EAC adjustments had the following impact to earnings for the periods presented:

	Fiscal Year Ended
(In millions, except per share amounts)	January 3, 2025	December 29, 2023	December 30, 2022
Net EAC adjustments, before income taxes	$39	$(85)	$36
Net EAC adjustments, net of income taxes	29	(63)	27
Net EAC adjustments, net of income taxes, per diluted share	0.15	(0.33)	0.14

Schedule of Selected Financial Information by Business Segments

The

difference between CAS pension cost and the service cost component of net periodic benefit income (“FAS pension

service cost”) is reflected in the “FAS/CAS operating adjustment,” which is included as a component of Unallocated

corporate department expense line item in Note 14: Business Segments in these Notes.

	Fiscal Year Ended
(In millions)	January 3, 2025	December 29, 2023	December 30, 2022
FAS pension service cost	$(36)	$(35)	$(46)
Less: CAS pension cost	(64)	(145)	(141)
FAS/CAS operating adjustment	28	110	95

The following tables present revenue, expenses and operating income by segment:

	Fiscal Year Ended January 3, 2025
(In millions)	SAS	IMS	CS	AR	Other(1)	Total
Revenue	$6,869	$6,842	$5,459	$2,347	$(192)	$21,325
Cost of Revenue	(5,430)	(5,237)	(3,490)	(1,802)	158	(15,801)
Other Segment Costs(2)	(627)	(767)	(645)	(251)	34	(2,256)
Unallocated corporate department expense						(1,350)
Operating income	$812	$838	$1,324	$294	$—	$1,918
Non-service FAS pension income and other, net						354
Interest expense, net						(675)
Income before income taxes						$1,597

	Fiscal Year Ended December 29, 2023
(In millions)	SAS	IMS	CS	AR	Other(1)	Total
Revenue	$6,856	$6,630	$5,070	$1,052	$(189)	$19,419
Cost of Revenue	(5,380)	(5,086)	(3,217)	(817)	194	(14,306)
Other Segment Costs(2)	(720)	(1,085)	(624)	(113)	(5)	(2,547)
Unallocated corporate department expense						(1,140)
Operating income	$756	$459	$1,229	$122	$—	$1,426
Non-service FAS pension income and other, net						338
Interest expense, net						(543)
Income before income taxes						$1,221

	Fiscal Year Ended December 30, 2022
(In millions)	SAS	IMS	CS	AR	Other(1)	Total
Revenue	$6,384	$6,626	$4,217	**	$(165)	$17,062
Cost of revenue	(4,810)	(4,893)	(2,598)	**	166	(12,135)
Other Segment Costs(2)	(909)	(1,239)	(952)	**	(1)	(3,101)
Unallocated corporate department expense						(699)
Operating income	$665	$494	$667	**	$—	$1,127
Non-service FAS pension income and other, net						425
Interest expense, net						(279)
Income before income taxes						$1,273

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**  Our AR segment was established in the quarter ended September 29, 2023 in connection with the AJRD acquisition. As such, there is no fiscal

2022 information.

(1)  Includes corporate headquarters and intersegment eliminations

(2)  Other segment costs include Impairment of goodwill and other assets, company-funded R&D costs, selling and marketing costs, and other

G&A expenses, which includes a portion of capital expenditure and depreciation and amortization costs that are disaggregated by segment

under the “Disaggregation of Revenue” heading below in this Note.

Other selected financial information by business segment and geographical area is summarized below:

	Fiscal Year Ended
(In millions)	January 3, 2025	December 29, 2023	December 30, 2022
Capital Expenditures
SAS	$140	$151	$133
IMS	118	149	45
CS	50	39	36
AR	49	31	**
Corporate	51	79	38
Total capital expenditures	$408	$449	$252
Depreciation and Amortization
SAS	$130	$115	$112
IMS	65	73	76
CS	56	54	47
AR	48	29	**
Corporate	990	895	703
Total depreciation and amortization	$1,289	$1,166	$938
Geographical Information for Operations
Long-lived assets of U.S. operations	$2,639	$2,678	$1,896
Long-lived assets of international operations	167	184	208

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**Our AR segment was established in the quarter ended September 29, 2023 in connection with the AJRD acquisition. As such, there is no

fiscal 2022 information.