Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Fair Value of Investment Assets

The Company's investment assets are carried at fair value on the consolidated balance sheets as summarized in the following table. All of the inputs used to determine the fair value of the Company's investments are Level 2 inputs. The amortized cost basis of these investments was $91 million and $500 million as of December 31, 2017 and December 30, 2016, respectively.

NOTE 13. Fair Value Measurements, continued



	Fiscal Years
	2017								2016
(Dollars in Millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Certificates of Deposit and Commercial Paper	$	—	$	—	$	—	$	—	$	—	$	415	$	—	$	415
Corporate Bonds	—		61		—		61		—		63		—		63
Government Securities	—		34		—		34		—		22		—		22
Total investments at fair value	$	—	$	95	$	—	$	95	$	—	$	500	$	—	$	500

Schedule of Investment Maturities

These investments have the following maturities and are represented on the consolidated balance sheet within short-term investments for investments with maturities of less than one year, and other long-term assets for investments with maturities of one year and greater:



(Dollars in Millions)	December 2017		December 2016
Less than 1 year	$	18	$	417
1 - 2 years	3		12
2 - 5 years	8		4
Greater than 5 years	66		67
Total investments at fair value	$	95	$	500

Schedule of Fair Value and Carrying Value of Long-term Debt

The fair value and carrying value of the Company's long-term debt is as follows:



(Dollars in Millions)	December 2017		December 2016
Long-term Debt (Including Current Maturities):
Fair Value	$	13,220	$	12,096
Carrying Value	11,809		11,293

Schedule of Pension Plan Assets at Fair Value by Level

The pension plan assets at fair value by level, within the fair value hierarchy, as of calendar plan years 2017 and 2016 are shown in the table below. For additional information related to pension assets, see Note 8, Employee Benefit Plans.



	Fiscal Years
	2017								2016
(Dollars in Millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Common Stock	$	1,022	$	—	$	—	$	1,022	$	940	$	—	$	—	$	940
Mutual funds	14		—		—		14		12		—		—		12
Cash equivalents	2		—		—		2		1		—		—		1
Corporate bonds	—		537		—		537		—		497		—		497
Government securities	—		169		—		169		—		141		—		141
Asset-backed securities	—		9		—		9		—		14		—		14
Derivatives and other	—		11		—		11		—		11		—		11
Total investments in the fair value hierarchy	$	1,038	$	726	$	—	$	1,764	$	953	$	663	$	—	$	1,616
Investments measured at net asset value^(a)	n/a		n/a		n/a		$	1,069	n/a		n/a		n/a		$	923
Investments at fair value	$	1,038	$	726	$	—	$	2,833	$	953	$	663	$	—	$	2,539

(a) Investments measured at net asset value represent certain investments that have been measured at net asset value per share (or its equivalent) and thus are not classified in the fair value hierarchy. In accordance with ASC 820, Fair Value Measurements, the fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the pension assets disclosed in Note 8, Employee Benefit Plans.