Other Financial Data (Tables)

6 Months Ended

Jun. 28, 2014

Other charges included in Operating earnings consist of the following:



	Three Months Ended				Six Months Ended
	June 28, 2014		June 29, 2013		June 28, 2014			June 29, 2013
Other charges (income):
Intangibles amortization	$	1	$	—	$	2		$	—
Reorganization of businesses	25		13		34			20
Legal settlement	8		—		8			—
Gain on sale of building and land	—		—		(21		)	—
	$	34	$	13	$	23		$	20

Other Income (Expense)

Interest expense, net, and Other, both included in Other income (expense), consist of the following:



	Three Months Ended						Six Months Ended
	June 28, 2014			June 29, 2013			June 28, 2014			June 29, 2013
Interest income (expense), net:
Interest expense	$	(34	)	$	(38	)	$	(64	)	$	(68	)
Interest income	5			6			10			11
	$	(29	)	$	(32	)	$	(54	)	$	(57	)
Other:
Investment impairments	—			(2		)	—			(2		)
Foreign currency loss	(8		)	(4		)	$	(10	)	$	(7	)
Gains on equity method investments	2			1			2			—
Other	(1		)	2			(1		)	6
	$	(7	)	$	(3	)	$	(9	)	$	(3	)

Earnings Per Common Share

The computation of basic and diluted earnings per common share is as follows:



	Amounts attributable to Motorola Solutions, Inc. common stockholders
	Earnings from Continuing Operations				Net Earnings
Three Months Ended	June 28, 2014		June 29, 2013		June 28, 2014		June 29, 2013
Basic earnings per common share:
Earnings	$	78	$	223	$	824	$	258
Weighted average common shares outstanding	253.7		269.5		253.7		269.5
Per share amount	$	0.31	$	0.83	$	3.25	$	0.96
Diluted earnings per common share:
Earnings	$	78	$	223	$	824	$	258
Weighted average common shares outstanding	253.7		269.5		253.7		269.5
Add effect of dilutive securities:
Share-based awards	2.5		5.2		2.5		5.2
Diluted weighted average common shares outstanding	256.2		274.7		256.2		274.7
Per share amount	$	0.30	$	0.81	$	3.22	$	0.94



	Amounts attributable to Motorola Solutions, Inc. common stockholders
	Earnings from Continuing Operations				Net Earnings
Six Months Ended	June 28, 2014		June 29, 2013		June 28, 2014		June 29, 2013
Basic earnings per common share:
Earnings	$	163	$	380	$	951	$	450
Weighted average common shares outstanding	253.8		271.9		253.8		271.9
Per share amount	$	0.64	$	1.40	$	3.75	$	1.66
Diluted earnings per common share:
Earnings	$	163	$	380	$	951	$	450
Weighted average common shares outstanding	253.8		271.9		253.8		271.9
Add effect of dilutive securities:
Share-based awards	3.4		5.8		3.4		5.8
Diluted weighted average common shares outstanding	257.2		277.7		257.2		277.7
Per share amount	$	0.63	$	1.37	$	3.70	$	1.62

Investments

Investments consist of the following:



	June 28, 2014		December 31, 2013
Available-for-sale securities:
Government, agency, and government-sponsored enterprise obligations	$	15	$	15
Corporate bonds	8		7
Mutual funds	11		11
Common stock and equivalents	—		2
	34		35
Other investments, at cost	185		182
Equity method investments	17		15
	$	236	$	232

Accounts Receivable, Net

Accounts receivable, net, consists of the following:



	June 28, 2014			December 31, 2013
Accounts receivable	$	1,240		$	1,422
Less allowance for doubtful accounts	(55		)	(53		)
	$	1,185		$	1,369

Inventories, Net

Inventories, net, consist of the following:



	June 28, 2014			December 31, 2013
Finished goods	$	142		$	157
Work-in-process and production materials	313			315
	455			472
Less inventory reserves	(125		)	(125		)
	$	330		$	347

Other Current Assets

Other current assets consist of the following:



	June 28, 2014		December 31, 2013
Costs and earnings in excess of billings	$	374	$	390
Contract-related deferred costs	14		15
Tax-related deposits and refunds receivable	64		107
Other	75		123
	$	527	$	635

Property, Plant And Equipment, Net

Property, plant and equipment, net, consists of the following:



	June 28, 2014			December 31, 2013
Land	$	21		$	22
Building	554			582
Machinery and equipment	1,840			1,760
	2,415			2,364
Less accumulated depreciation	(1,733		)	(1,669		)
	$	682		$	695

Other Assets

Other assets consist of the following:



	June 28, 2014		December 31, 2013
Intangible assets, net	$	24	$	6
Long-term receivables	18		1
Other	86		82
	$	128	$	89

Accrued Liabilities

Accrued liabilities consist of the following:



	June 28, 2014		December 31, 2013
Deferred revenue	$	333	$	359
Compensation	212		315
Billings in excess of costs and earnings	354		295
Tax liabilities	76		85
Customer reserves	44		52
Dividend payable	78		79
Other	518		578
	$	1,615	$	1,763

Other Liabilities

Other liabilities consist of the following:



	June 28, 2014		December 31, 2013
Defined benefit plans, including split dollar life insurance arrangements	$	1,654	$	1,751
Postretirement health care benefit plan	118		118
Deferred revenue	150		162
Unrecognized tax benefits	57		99
Other	172		184
	$	2,151	$	2,314

Accumulated Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss

The following table displays the changes in Accumulated other comprehensive loss, net of tax, by component from January 1, 2014 to June 28, 2014:



	Gains and Losses on Cash Flow Hedges			Unrealized Gains and Losses on Available-for-Sale Securities			Retirement Benefit Items			Foreign Currency Translation Adjustments			Total
Balance as of January 1, 2014	$	(1	)	$	(2	)	$	(2,188	)	$	(96	)	$	(2,287	)
Other comprehensive income before reclassifications	—			2			—			15			17
Amounts reclassified from accumulated other comprehensive loss	1			—			24			—			25
Current period change in Other comprehensive income	1			2			24			15			42
Balance as of June 28, 2014	$	—		$	—		$	(2,164	)	$	(81	)	$	(2,245	)

Accumulated Other Comprehensive Loss - Amounts Reclassified from Accumulated Other Comprehensive Loss

The following table displays the amounts reclassified from Accumulated other comprehensive loss and the affected line items in the condensed consolidated statement of operations during the three and six months ended June 28, 2014 and June 29, 2013:



	Three Months Ended						Six Months Ended
	June 28, 2014			June 29, 2013			June 28, 2014			June 29, 2013
Loss (gain) on cash flow hedges:
Foreign exchange contracts	$	1		$	—		$	1		$	(1	)	Cost of sales
	1			—			1			(1		)	Net of tax
Amortization of retirement benefit items:
Prior service costs	$	(9	)	(14		)	$	(18	)	$	(25	)	Selling, general, and administrative expenses
Actuarial net losses	25			40			53			79			Selling, general, and administrative expenses
	16			26			35			54			Total before tax
	(5		)	(10		)	(11		)	(19		)	Tax benefit
	$	11		$	16		$	24		$	35		Net of tax

Total reclassifications for the period, net of tax	$	12		$	16		$	25		$	34