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Other Income (Expense), Net
 6 Months Ended
Jul. 02, 2021
Other Income and Expenses [Abstract]  
Other Income (Expense), Net OTHER INCOME (EXPENSE), NET
The following sets forth the components of the Company’s other income (expense), net:
Three-Month Period EndedSix-Month Period Ended
July 2, 2021July 3, 2020July 2, 2021July 3, 2020
Other components of net periodic benefit costs
$11 $5 $22 $10 
Investment gains (losses)86 (6)202 (13)
Gain on sale of product lines— 455 13 455 
Total other income (expense), net$97 $454 $237 $452 
Other Components of Net Periodic Benefit Costs
The Company disaggregates the service cost component of net periodic benefit costs of the noncontributory defined benefit pension plans and other postretirement employee benefit plans and presents the other components of net periodic benefit cost in other income (expense), net. These other components include the assumed rate of return on plan assets, partially offset by amortization of actuarial losses and interest and aggregate to a gain of $11 million and $22 million, respectively, for the three and six-month periods ended July 2, 2021 compared to a gain of $5 million and $10 million, respectively, for the three and six-month periods ended July 3, 2020.
Investment Gains (Losses)
The Company estimates the fair value of its investments in equity securities using the Fair Value Alternative and records adjustments to fair value within net earnings. Additionally, the Company is a limited partner in partnerships that invest primarily in early stage companies. While the partnerships record these investments at fair value, the Company’s investments in the partnerships are accounted for under the equity method of accounting. During the three and six-month periods ended July 2, 2021, the Company recorded realized and unrealized gains of $86 million (consisting of $11 million realized gains and $75 million unrealized gains) and $202 million (consisting of $38 million realized gains and $164 million unrealized gains), respectively, related to changes in the fair value of the Company’s investments in equity securities and the Company’s equity in earnings of the partnerships that reflect the changes in fair value of the investments of the partnerships. During the three and six-month periods ended July 3, 2020, the Company recorded unrealized losses of $6 million and $13 million, respectively, related to changes in the fair value of these investments including investments in the partnerships.
Gain on Sale of Product Lines
During the first quarter of 2021, the Company divested certain product lines for a cash purchase price, net of cash transferred and transaction costs, of $26 million and recognized a pretax gain on sale of $13 million ($10 million after-tax). The divested product lines generated revenues of approximately $88 million in the Environmental & Applied Solutions segment in 2020. The divestiture of these product lines did not represent a strategic shift with a major effect on the Company’s operations and financial results and therefore is not reported as a discontinued operation.
As a condition to obtaining certain regulatory approvals for the closing of the Cytiva Acquisition, the Company was required to divest certain of its existing product lines in the Life Sciences segment that in the aggregate generated revenues of approximately $170 million in 2019. On April 30, 2020, the Company completed the sale of the majority of these product lines for a cash purchase price, net of cash transferred and transaction costs, of $826 million (of which $810 million was received in the second quarter of 2020 and the remaining $16 million was received in the third quarter of 2020) and recognized a pretax gain on sale of $455 million ($305 million after tax). The divestiture of these product lines did not represent a strategic shift with a major effect on the Company’s operations and financial results and therefore is not reported as a discontinued operation.