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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

For the years ended December 31, income (loss) from continuing operations before income taxes consisted of the following:



In millions	2016		2015			2014
Income (loss) before income taxes
United States	$	35	$	(24	)	$	(235	)
Foreign	344		(71		)	372
Total income (loss) from continuing operations before income taxes	$	379	$	(95	)	$	137

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

For the years ended December 31, income tax expense (benefit) consisted of the following:



In millions	2016			2015			2014
Income tax expense (benefit)
Current
Federal	$	18		$	(7	)	$	(4	)
State	4			1			2
Foreign	60			37			79
Deferred
Federal	12			23			(88		)
State	1			(6		)	(7		)
Foreign	(3		)	7			(30		)
Total income tax expense (benefit)	$	92		$	55		$	(48	)

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

The following table presents the principal components of the difference between the effective tax rate and the U.S. federal statutory income tax rate for the years ended December 31:



In millions	2016			2015			2014
Income tax expense (benefit) at the U.S. federal tax rate of 35%	$	133		$	(33	)	$	48
Foreign income tax differential	(26		)	33			(72		)
U.S. permanent book/tax differences	—			(5		)	(2		)
Tax audit settlements	—			(10		)	(15		)
Change in liability for unrecognized tax benefits	(12		)	(7		)	—
Nondeductible transaction costs	—			(1		)	1
Goodwill impairment	—			5			—
U.S. valuation allowance	—			(3		)	(8		)
U.S. manufacturing deduction	(7		)	—			—
Settlement of UK London pension plan	—			77			—
Other, net	4			(1		)	—
Total income tax expense (benefit)	$	92		$	55		$	(48	)

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Deferred income tax assets and liabilities included in the Consolidated Balance Sheets as of December 31 were as follows:



In millions	2016			2015
Deferred income tax assets
Employee pensions and other benefits	$	301		$	276
Other balance sheet reserves and allowances	237			164
Tax loss and credit carryforwards	602			628
Capitalized research and development	99			97
Property, plant and equipment	8			12
Other	38			37
Total deferred income tax assets	1,285			1,214
Valuation allowance	(445		)	(346		)
Net deferred income tax assets	840			868
Deferred income tax liabilities
Intangibles	239			270
Capitalized software	43			36
Other	7			6
Total deferred income tax liabilities	289			312
Total net deferred income tax assets	$	551		$	556

Summary of Income Tax Contingencies [Table Text Block]

The aggregate changes in the balance of our gross unrecognized tax benefits were as follows for the years ended December 31:



In millions	2016			2015			2014
Gross unrecognized tax benefits - January 1	$	209		$	248		$	277
Increases related to tax positions from prior years	3			17			34
Decreases related to tax positions from prior years	(34		)	(37		)	(50		)
Increases related to tax provisions taken during the current year	23			35			43
Settlements with tax authorities	(6		)	(33		)	(14		)
Lapses of statutes of limitation	(12		)	(21		)	(42		)
Total gross unrecognized tax benefits - December 31	$	183		$	209		$	248