Other Financial Data (Tables)

6 Months Ended

Jun. 30, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

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



	Three Months Ended					Six Months Ended
	June 30, 2018		July 1, 2017			June 30, 2018		July 1, 2017
Other charges:
Intangibles amortization (Note 14)	$	53	$	37		$	94	$	73
Reorganization of business (Note 13)	18		1			26		16
Building impairment	—		—			—		8
Loss (Gain) on legal settlements	—		(1		)	1		(2		)
Gain on recovery of financial receivables	—		—			—		(42		)
Acquisition-related transaction fees	—		—			17		1
	$	71	$	37		$	138	$	54

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 30, 2018			July 1, 2017			June 30, 2018			July 1, 2017
Interest income (expense), net:
Interest expense	$	(63	)	$	(55	)	$	(117	)	$	(109	)
Interest income	5			4			13			7
	$	(58	)	$	(51	)	$	(104	)	$	(102	)
Other:
Net periodic postretirement benefit (Note 7)	$	20		$	12		$	40		$	24
Non-U.S. pension settlement loss (Note 7)	—			(16		)	—			(25		)
Foreign currency gain (loss)	11			(20		)	—			(22		)
Gain (loss) on derivative instruments	(19		)	18			(23		)	11
Gains on equity method investments	—			1			1			—
Other	1			1			(2		)	3
	$	13		$	(4	)	$	16		$	(9	)

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				Six Months Ended
	June 30, 2018		July 1, 2017		June 30, 2018		July 1, 2017
Basic earnings per common share:
Earnings	$	180	$	131	$	297	$	208
Weighted average common shares outstanding	162.2		163.1		161.7		163.7
Per share amount	$	1.11	$	0.80	$	1.83	$	1.27
Diluted earnings per common share:
Earnings	$	180	$	131	$	297	$	208
Weighted average common shares outstanding	162.2		163.1		161.7		163.7
Add effect of dilutive securities:
Share-based awards	3.8		3.1		4.0		3.2
Senior Convertible Notes	5.7		2.8		5.4		2.6
Diluted weighted average common shares outstanding	171.7		169.0		171.1		169.5
Per share amount	$	1.05	$	0.78	$	1.73	$	1.23

Accounts Receivable, Net

Accounts receivable, net, consists of the following:



	June 30, 2018			December 31, 2017
Accounts receivable	$	1,203		$	1,568
Less allowance for doubtful accounts	(44		)	(45		)
	$	1,159		$	1,523

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:



	June 30, 2018			December 31, 2017
Long-term receivables	$	30		$	37
Less current portion	(16		)	(18		)
Non-current long-term receivables	$	14		$	19

Inventories, Net

Inventories, net, consist of the following:



	June 30, 2018			December 31, 2017
Finished goods	$	215		$	178
Work-in-process and production materials	307			282
	522			460
Less inventory reserves	(131		)	(133		)
	$	391		$	327

Other Current Assets

Other current assets consist of the following:



	June 30, 2018		December 31, 2017
Costs and earnings in excess of billings (Note 1)	$	—	$	549
Current contract cost assets (Note 2)	47		62
Tax-related refunds receivable	103		90
Other	180		131
	$	330	$	832

Property, Plant and Equipment, Net

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



	June 30, 2018			December 31, 2017
Land	$	11		$	11
Building	354			316
Machinery and equipment	2,190			2,122
	2,555			2,449
Less accumulated depreciation	(1,660		)	(1,593		)
	$	895		$	856

Investments

Investments consist of the following:



	June 30, 2018		December 31, 2017
Corporate bonds	$	2	$	2
Common stock	10		13
	12		15
Strategic investments, at cost	65		78
Company-owned life insurance policies	81		141
Equity method investments	14		13
	$	172	$	247

Other Assets

Other assets consist of the following:



	June 30, 2018		December 31, 2017
Defined benefit plan assets	166		133
Tax receivable	101		101
Non-current contract cost assets (Note 2)	90		—
Other	63		99
	$	420	$	333

Accrued Liabilities

Accrued liabilities consist of the following:



	June 30, 2018		December 31, 2017
Deferred revenue (Note 1)	$	—	$	613
Compensation	196		273
Billings in excess of costs and earnings (Note 1)	—		428
Tax liabilities	105		107
Deferred consideration on Airwave acquisition	83		83
Dividend payable	84		84
Trade liabilities	150		151
Other	478		547
	$	1,096	$	2,286

Other Liabilities

Other liabilities consist of the following:



	June 30, 2018		December 31, 2017
Defined benefit plans	$	1,464	$	2,019
Non-current contract liabilities (Note 2)	180		—
Deferred revenue (Note 1)	—		169
Unrecognized tax benefits	52		54
Deferred income taxes	240		115
Other	217		228
	$	2,153	$	2,585

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 six months ended June 30, 2018 and July 1, 2017:



	Three Months Ended						Six Months Ended
	June 30, 2018			July 1, 2017			June 30, 2018			July 1, 2017
Foreign Currency Translation Adjustments:
Balance at beginning of period	$	(305	)	$	(460	)	$	(353	)	$	(494	)
Other comprehensive income (loss) before reclassification adjustment	(81		)	47			(30		)	84
Tax expense	(5		)	—			(8		)	(3		)
Other comprehensive income (loss), net of tax	(86		)	47			(38		)	81
Balance at end of period	$	(391	)	$	(413	)	$	(391	)	$	(413	)
Available-for-Sale Securities:
Balance at beginning of period	$	—		$	—		$	6		$	—
Other comprehensive income before reclassification adjustment	—			7			—			7
Tax expense	—			(3		)	—			(3		)
Other comprehensive income before reclassification adjustment, net of tax	—			4			—			4
Reclassification adjustment into Gains on sales of investments and businesses, net	—			—			(8		)	—
Tax expense	—			—			2			—
Reclassification adjustment into Gains (losses) on sales of investments and businesses, net of tax	—			—			(6		)	—
Other comprehensive income (loss), net of tax	—			4			(6		)	4
Balance at end of period	$	—		$	4		$	—		$	4
Defined Benefit Plans:
Balance at beginning of period	$	(2,203	)	$	(1,804	)	$	(2,215	)	$	(1,823	)
Other comprehensive loss before reclassification adjustment, net of tax	—			(11		)	—			(11		)
Reclassification adjustment - Actuarial net losses into Other income (expense)	18			16			36			32
Reclassification adjustment - Prior service benefits into Other income (expense)	(4		)	(4		)	(7		)	(8		)
Reclassification adjustment - Non-U.S. pension settlement loss into Other income (expense)	—			16			—			25
Tax benefit	—			(3		)	(3		)	(5		)
Reclassification adjustment into Net earnings, net of tax	14			25			26			44
Other comprehensive income, net of tax	14			14			26			33
Balance at end of period	$	(2,189	)	$	(1,790	)	$	(2,189	)	$	(1,790	)
Total Accumulated other comprehensive loss	$	(2,580	)	$	(2,199	)	$	(2,580	)	$	(2,199	)