Other Financial Data (Tables)

9 Months Ended

Sep. 30, 2017

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Other charges (income) included in Operating earnings consist of the following:



	Three Months Ended				Nine Months Ended
	September 30, 2017		October 1, 2016		September 30, 2017			October 1, 2016
Other charges:
Intangibles amortization (Note 13)	$	39	$	31	$	112		$	83
Reorganization of business (Note 12)	6		6		22			28
Building impairment	—		—		8			17
Non-U.S. pension settlement loss (Note 6)	21		—		46			—
Asset impairment	1		—		1			—
Gain on legal settlements	—		—		(44		)	—
Impairment of corporate aircraft	—		—		—			3
Acquisition-related transaction fees	—		—		1			13
	$	67	$	37	$	146		$	144

Other Income (Expense)

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



	Three Months Ended						Nine Months Ended
	September 30, 2017			October 1, 2016			September 30, 2017			October 1, 2016
Interest income (expense), net:
Interest expense	$	(55	)	$	(58	)	$	(164	)	$	(169	)
Interest income	3			4			10			12
	$	(52	)	$	(54	)	$	(154	)	$	(157	)
Other:
Investment impairments	—			(2		)	—			(2		)
Foreign currency gain (loss)	$	(7	)	$	7		$	(29	)	$	34
Gain (loss) on derivative instruments	3			(11		)	14			(41		)
Gains on equity method investments	1			—			1			2
Realized foreign currency loss on acquisition	—			—			—			(10		)
Other	3			5			5			5
	$	—		$	(1	)	$	(9	)	$	(12	)

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
	Three Months Ended				Nine Months Ended
	September 30, 2017		October 1, 2016		September 30, 2017		October 1, 2016
Basic earnings per common share:
Earnings	$	212	$	192	$	420	$	317
Weighted average common shares outstanding	162.3		166.3		163.2		171.0
Per share amount	$	1.30	$	1.15	$	2.57	$	1.85
Diluted earnings per common share:
Earnings	$	212	$	192	$	420	$	317
Weighted average common shares outstanding	162.3		166.3		163.2		171.0
Add effect of dilutive securities:
Share-based awards	3.4		2.4		3.3		2.5
Senior Convertible Notes	3.3		0.9		2.8		0.5
Diluted weighted average common shares outstanding	169.0		169.6		169.3		174.0
Per share amount	$	1.25	$	1.13	$	2.48	$	1.82

Accounts Receivable, Net

Accounts receivable, net, consists of the following:



	September 30, 2017			December 31, 2016
Accounts receivable	$	1,420		$	1,454
Less allowance for doubtful accounts	(38		)	(44		)
	$	1,382		$	1,410

Long-term receivables consist of receivables with payment terms greater than twelve months, long-term loans and lease receivables under sales-type leases. Long-term receivables consist of the following:



	September 30, 2017			December 31, 2016
Long-term receivables	$	43		$	63
Less current portion	(19		)	(14		)
Non-current long-term receivables	$	24		$	49

Inventories, Net

Inventories, net, consist of the following:



	September 30, 2017			December 31, 2016
Finished goods	$	178		$	151
Work-in-process and production materials	315			253
	493			404
Less inventory reserves	(129		)	(131		)
	$	364		$	273

Other Current Assets

Other current assets consist of the following:



	September 30, 2017		December 31, 2016
Available-for-sale securities	$	—	$	46
Costs and earnings in excess of billings	595		495
Tax-related refunds receivable	144		90
Other	134		124
	$	873	$	755

Property, Plant and Equipment, Net

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



	September 30, 2017			December 31, 2016
Land	$	11		$	12
Building	282			306
Machinery and equipment	2,153			1,921
	2,446			2,239
Less accumulated depreciation	(1,557		)	(1,450		)
	$	889		$	789

Investments

Investments consist of the following:



September 30, 2017	Cost Basis		Unrealized Gains		Investments
Available-for-sale securities:
Government, agency, and government-sponsored enterprise obligations	$	5	$	—	$	5
Corporate bonds	2		—		2
Common stock	5		8		13
	12		8		20
Other investments	215		—		215
Equity method investments	14		—		14
	$	241	$	8	$	249



December 31, 2016	Cost Basis		Unrealized Gains		Investments
Available-for-sale securities:
Government, agency, and government-sponsored enterprise obligations	$	51	$	—	$	51
Corporate bonds	5		—		5
	56		—		56
Other investments	211		—		211
Equity method investments	17		—		17
	$	284	$	—	$	284
Less: current portion of available-for-sale securities					46
					$	238

Other Assets

Other assets consist of the following:



	September 30, 2017		December 31, 2016
Long-term receivables	24		49
Defined benefit plan assets	138		102
Other	39		49
	$	201	200

Accrued Liabilities

Accrued liabilities consist of the following:



	September 30, 2017		December 31, 2016
Deferred revenue	$	469	$	439
Compensation	232		250
Billings in excess of costs and earnings	408		434
Tax liabilities	168		111
Dividend payable	76		77
Trade liabilities	154		180
Other	536		620
	$	2,043	$	2,111

Other Liabilities

Other liabilities consist of the following:



	September 30, 2017		December 31, 2016
Defined benefit plans	$	1,797	$	1,799
Deferred revenue	158		115
Unrecognized tax benefits	40		39
Deferred income taxes	142		121
Deferred consideration (Note 13)	82		72
Other	231		209
	$	2,450	$	2,355

Changes in Accumulated Other Comprehensive Loss

The following table displays the changes in Accumulated other comprehensive loss, including amounts reclassified into income, and the affected line items in the condensed consolidated statements of operations during the three and nine months ended September 30, 2017 and October 1, 2016:



	Three Months Ended						Nine Months Ended
	September 30, 2017			October 1, 2016			September 30, 2017			October 1, 2016
Foreign Currency Translation Adjustments:
Balance at beginning of period	$	(413	)	$	(351	)	$	(494	)	$	(266	)
Other comprehensive income (loss) before reclassification adjustment	49			(47		)	133			(131		)
Tax expense	(3		)	(2		)	(6		)	(3		)
Other comprehensive income (loss), net of tax	46			(49		)	127			(134		)
Balance at end of period	$	(367	)	$	(400	)	$	(367	)	$	(400	)
Available-for-Sale Securities:
Balance at beginning of period	$	4		$	—		$	—		$	(3	)
Other comprehensive income (loss) before reclassification adjustment	1			1			8			(1		)
Tax (expense) benefit	—			—			(3		)	1
Other comprehensive income before reclassification adjustment, net of tax	1			1			5			—
Reclassification adjustment into Gains (losses) on sales of investments and businesses, net	—			—			—			6
Tax benefit	—			—			—			(2		)
Reclassification adjustment into Gains (losses) on sales of investments and businesses, net of tax	—			—			—			4
Other comprehensive income, net of tax	1			1			5			4
Balance at end of period	$	5		$	1		$	5		$	1
Defined Benefit Plans:
Balance at beginning of period	(1,790		)	(1,537		)	$	(1,823	)	$	(1,597	)
Other comprehensive income (loss) before reclassification adjustment	(4		)	—			(15		)	53
Tax expense	—			—			—			(16		)
Other comprehensive income (loss) before reclassification adjustment, net of tax	(4		)	—			(15		)	37
Reclassification adjustment - Actuarial net losses into Selling, general, and administrative expenses	17			13			49			40
Reclassification adjustment - Prior service benefits into Selling, general, and administrative expenses	(4		)	(7		)	(12		)	(20		)
Reclassification adjustment - Non-U.S. pension settlement loss into Other charges	21			—			46			—
Tax expense (benefit)	(4		)	(1		)	(9		)	8
Reclassification adjustment into Operating earnings, net of tax	30			5			74			28
Other comprehensive income, net of tax	26			5			59			65
Balance at end of period	$	(1,764	)	$	(1,532	)	$	(1,764	)	$	(1,532	)

Total Accumulated other comprehensive loss	$	(2,126	)	$	(1,931	)	$	(2,126	)	$	(1,931	)