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Cover Page - shares	6 Months Ended
Cover Page - shares	Jul. 03, 2020	Jul. 27, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 03, 2020
Document Transition Report	false
Entity File Number	001-33072
Entity Registrant Name	Leidos Holdings, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-3562868
Entity Address, Address Line One	1750 Presidents Street,
Entity Address, City or Town	Reston,
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	20190
City Area Code	571
Local Phone Number	526-6000
Title of 12(b) Security	Common stock, par value $.0001 per share
Trading Symbol	LDOS
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		142,193,551
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001336920
Current Fiscal Year End Date	--01-01

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
ASSETS
Cash and cash equivalents	$ 588	$ 668
Receivables, net	1,789	1,734
Inventory, net	294	72
Other current assets	381	338
Total current assets	3,052	2,812
Property, plant and equipment, net	569	287
Intangible assets, net	1,260	530
Goodwill	6,266	4,912
Operating lease right-of-use assets, net	559	400
Other assets	437	426
Total assets	12,143	9,367
LIABILITIES AND EQUITY
Accounts payable and accrued liabilities	2,034	1,837
Accrued payroll and employee benefits	541	435
Long-term debt, current portion	854	61
Total current liabilities	3,429	2,333
Long-term debt, net of current portion	4,148	2,925
Operating lease liabilities	529	326
Deferred tax liabilities	194	184
Other long-term liabilities	296	182
Commitments and contingencies (Notes 15 and 16)
Stockholders’ equity:
Common stock, $0.0001 par value, 500 million shares authorized, 142 million and 141 million shares issued and outstanding at July 3, 2020 and January 3, 2020, respectively	0	0
Additional paid-in capital	2,600	2,587
Retained earnings	1,065	896
Accumulated other comprehensive loss	(127)	(70)
Total Leidos stockholders’ equity	3,538	3,413
Non-controlling interest	9	4
Total equity	3,547	3,417
Total liabilities and stockholders' equity	$ 12,143	$ 9,367

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares	Jul. 03, 2020	Jan. 03, 2020
Statement of Financial Position [Abstract]
Common stock, par value (dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	500,000,000	500,000,000
Common stock, shares issued (in shares)	142,000,000	141,000,000
Common stock, shares outstanding (in shares)	142,000,000	141,000,000

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Income Statement [Abstract]
Revenues	$ 2,914	$ 2,728	$ 5,803	$ 5,305
Cost of revenues	2,531	2,348	5,025	4,569
Selling, general and administrative expenses	195	175	383	341
Bad debt expense and recoveries	(81)	0	(72)	0
Acquisition, integration and restructuring costs	16	1	28	3
Asset impairment charges	11	0	11	0
Equity earnings of non-consolidated subsidiaries	(7)	(6)	(13)	(10)
Operating income	249	210	441	402
Non-operating (expense) income:
Interest expense, net	(41)	(33)	(89)	(71)
Other (expense) income, net	(16)	2	(30)	94
Income before income taxes	192	179	322	425
Income tax expense	(38)	(41)	(53)	(98)
Net income	154	138	269	327
Less: net income attributable to non-controlling interest	1	2	1	2
Net income attributable to Leidos common stockholders	$ 153	$ 136	$ 268	$ 325
Earnings per share:
Basic (dollars per share)	$ 1.08	$ 0.94	$ 1.89	$ 2.26
Diluted (dollars per share)	$ 1.06	$ 0.93	$ 1.86	$ 2.23

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 154	$ 138	$ 269	$ 327
Foreign currency translation adjustments	61	(12)	(13)	(2)
Unrecognized loss on derivative instruments	(3)	(26)	(45)	(41)
Pension adjustments	0	0	1	0
Total other comprehensive income (loss), net of taxes	58	(38)	(57)	(43)
Comprehensive income	212	100	212	284
Less: comprehensive income attributable to non-controlling interest	1	2	1	2
Comprehensive income attributable to Leidos common stockholders	$ 211	$ 98	$ 211	$ 282

- Definition

Amount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income (loss) and other comprehensive income (loss), attributable to noncontrolling interests. Excludes changes in equity resulting from investments by owners and distributions to owners.

+ References + Details

- Definition

Amount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income and other comprehensive income. Excludes changes in equity resulting from investments by owners and distributions to owners.

+ References + Details

- Definition

Amount after tax and reclassification adjustments of other comprehensive income (loss).

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CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (UNAUDITED) - USD ($) shares in Millions, $ in Millions	Total	Cumulative Effect, Period of Adoption, Adjustment	Cumulative Effect, Period of Adoption, Adjusted Balance	Shares of common stock	Additional paid-in capital	Additional paid-in capital Cumulative Effect, Period of Adoption, Adjusted Balance	Retained earnings	Retained earnings Cumulative Effect, Period of Adoption, Adjustment	Retained earnings Cumulative Effect, Period of Adoption, Adjusted Balance	Accumulated other comprehensive loss	Accumulated other comprehensive loss Cumulative Effect, Period of Adoption, Adjusted Balance	Leidos Holdings, Inc. stockholders' equity	Leidos Holdings, Inc. stockholders' equity Cumulative Effect, Period of Adoption, Adjustment	Leidos Holdings, Inc. stockholders' equity Cumulative Effect, Period of Adoption, Adjusted Balance	Non-controlling interest	Non-controlling interest Cumulative Effect, Period of Adoption, Adjusted Balance
Beginning balance (shares) at Dec. 28, 2018				146
Beginning Balance at Dec. 28, 2018	$ 3,311	$ 48	$ 3,359		$ 2,966	$ 2,966	$ 372	$ 48	$ 420	$ (30)	$ (30)	$ 3,308	$ 48	$ 3,356	$ 3	$ 3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	189						189					189
Other comprehensive income (loss), net of taxes	(5)									(5)		(5)
Issuances of stock (shares)				1
Issuances of stock	11				11							11
Repurchases of stock and other (shares)				(3)
Repurchases of stock and other	(222)				(222)							(222)
Dividends	(47)						(47)					(47)
Stock-based compensation	12				12							12
Ending balance (shares) at Mar. 29, 2019				144
Ending Balance at Mar. 29, 2019	3,297				2,767		562			(35)		3,294			3
Beginning balance (shares) at Dec. 28, 2018				146
Beginning Balance at Dec. 28, 2018	3,311	48	3,359		2,966	2,966	372	48	420	(30)	(30)	3,308	48	3,356	3	3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	327
Other comprehensive income (loss), net of taxes	(43)
Ending balance (shares) at Jun. 28, 2019				144
Ending Balance at Jun. 28, 2019	3,362				2,780		652			(73)		3,359			3
Beginning balance (shares) at Mar. 29, 2019				144
Beginning Balance at Mar. 29, 2019	3,297				2,767		562			(35)		3,294			3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	138						136					136			2
Other comprehensive income (loss), net of taxes	(38)									(38)		(38)
Issuances of stock	6				6							6
Repurchases of stock and other	(5)				(5)							(5)
Dividends	(46)						(46)					(46)
Stock-based compensation	13				13							13
Other	(3)				(1)							(1)			(2)
Ending balance (shares) at Jun. 28, 2019				144
Ending Balance at Jun. 28, 2019	3,362				2,780		652			(73)		3,359			3
Beginning balance (shares) at Jan. 03, 2020				141
Beginning Balance at Jan. 03, 2020	3,417	(1)	3,416		2,587	2,587	896	(1)	895	(70)	(70)	3,413	(1)	3,412	4	4
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	115						115					115
Other comprehensive income (loss), net of taxes	(115)									(115)		(115)
Issuances of stock (shares)				1
Issuances of stock	9				9							9
Repurchases of stock and other	(32)				(32)							(32)
Dividends	(49)						(49)					(49)
Stock-based compensation	15				15							15
Ending balance (shares) at Apr. 03, 2020				142
Ending Balance at Apr. 03, 2020	3,359				2,579		961			(185)		3,355			4
Beginning balance (shares) at Jan. 03, 2020				141
Beginning Balance at Jan. 03, 2020	3,417	$ (1)	$ 3,416		2,587	$ 2,587	896	$ (1)	$ 895	(70)	$ (70)	3,413	$ (1)	$ 3,412	4	$ 4
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	269
Other comprehensive income (loss), net of taxes	(57)
Ending balance (shares) at Jul. 03, 2020				142
Ending Balance at Jul. 03, 2020	3,547				2,600		1,065			(127)		3,538			9
Beginning balance (shares) at Apr. 03, 2020				142
Beginning Balance at Apr. 03, 2020	3,359				2,579		961			(185)		3,355			4
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	154						153					153			1
Other comprehensive income (loss), net of taxes	58									58		58
Issuances of stock	8				8							8
Repurchases of stock and other	(2)				(2)							(2)
Dividends	(49)						(49)					(49)
Stock-based compensation	15				15							15
Capital contributions to non-controlling interest	4														4
Ending balance (shares) at Jul. 03, 2020				142
Ending Balance at Jul. 03, 2020	$ 3,547				$ 2,600		$ 1,065			$ (127)		$ 3,538			$ 9

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (UNAUDITED) (Parenthetical) - $ / shares	3 Months Ended
	Jul. 03, 2020	Apr. 03, 2020	Jun. 28, 2019	Mar. 29, 2019
Statement of Stockholders' Equity [Abstract]
Dividends (in dollars per share)	$ 0.34	$ 0.34	$ 0.32	$ 0.32

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019
Cash flows from operations:
Net income	$ 269	$ 327
Adjustments to reconcile net income to net cash provided by operations:
Gain on sale of business	0	(87)
Depreciation and amortization	132	115
Stock-based compensation	30	25
Loss on debt extinguishment	31	0
Asset impairment charges	11	0
Deferred income taxes	(1)	13
Other	11	3
Change in assets and liabilities, net of effects of acquisitions and dispositions:
Receivables	226	32
Other current assets and other long-term assets	15	53
Accounts payable and accrued liabilities and other long-term liabilities	(44)	(2)
Accrued payroll and employee benefits	70	0
Income taxes receivable/payable	44	(5)
Net cash provided by operating activities	794	474
Cash flows from investing activities:
Acquisition of businesses, net of cash acquired	(2,610)	0
Payments for property, equipment and software	(90)	(46)
Proceeds from disposition of business	0	171
Net proceeds from sale of assets	0	96
Other	1	0
Net cash (used in) provided by investing activities	(2,699)	221
Cash flows from financing activities:
Proceeds from debt issuance	6,225	0
Payments of long-term debt	(4,203)	(48)
Payments for debt issuance costs	(39)	0
Dividend payments	(99)	(101)
Repurchases of stock and other	(34)	(227)
Proceeds from issuances of stock	16	15
Other	4	0
Net cash provided by (used in) financing activities	1,870	(361)
Net (decrease) increase in cash, cash equivalents and restricted cash	(35)	334
Cash, cash equivalents and restricted cash at beginning of period	717	369
Cash, cash equivalents and restricted cash at end of period	$ 682	$ 703

Basis of Presentation and Summary of Significant Accounting Policies

6 Months Ended

Jul. 03, 2020

Accounting Policies [Abstract]

Basis of Presentation and Summary of Significant Accounting Policies

Note 1–Basis of Presentation and Summary of Significant Accounting Policies

Nature of Operations and Basis of Presentation

Leidos Holdings, Inc. ("Leidos"), a Delaware corporation, is a holding company whose direct 100%-owned subsidiary and principal operating company is Leidos, Inc. Leidos is a FORTUNE 500^® science, engineering and information technology company that provides services and solutions in the defense, intelligence, civil and health markets, both domestically and internationally. Leidos' customers include the U.S. Department of Defense ("DoD"), the U.S. Intelligence Community, the U.S. Department of Homeland Security, the Federal Aviation Administration, the Department of Veterans Affairs and many other U.S. government civilian agencies, state and local government agencies and foreign government agencies. Unless indicated otherwise, references to "we," "us" and "our" refer collectively to Leidos Holdings, Inc. and its consolidated subsidiaries. We operate in three reportable segments: Defense Solutions, Civil and Health. Additionally, we separately present the unallocable costs associated with corporate functions as Corporate.

We have a controlling interest in Mission Support Alliance, LLC ("MSA"), a joint venture with Centerra Group, LLC, which is anticipated to end in November 2020. We also have a controlling interest in Hanford Mission Integration Solutions, LLC ("HMIS"), the legal entity for the follow-on contract to MSA's contract and a joint venture with Centerra Group, LLC and Parsons Government Services, Inc. The financial results for MSA and HMIS are consolidated into our unaudited condensed consolidated financial statements. The unaudited condensed consolidated financial statements also include the balances of all voting interest entities in which Leidos has a controlling voting interest ("subsidiaries") and a variable interest entity ("VIE") in which Leidos is the primary beneficiary. The consolidated balances of the VIE are not material to the unaudited condensed consolidated financial statements for the periods presented. Intercompany accounts and transactions between consolidated companies have been eliminated in consolidation.

The accompanying unaudited condensed financial information has been prepared in accordance with the rules of the U.S. Securities and Exchange Commission and accounting principles generally accepted in the United States of America ("GAAP"). Certain disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. Management evaluates these estimates and assumptions on an ongoing basis, including those relating to estimated profitability of long-term contracts, indirect billing rates, allowances for doubtful accounts, inventories, right of use assets and lease liabilities, fair value and impairment of intangible assets and goodwill, income taxes, stock-based compensation expense and contingencies. These estimates have been prepared by management on the basis of the most current and best available information; however, actual results could differ materially from those estimates.

Effective the beginning of fiscal 2020, certain contracts were reassigned from the Civil reportable segment to the Defense Solutions reportable segment. Prior year segment results have been recast to reflect this change (see "Note 14–Business Segments").

Certain amounts in the prior year financial statements have been reclassified to conform to the current year presentation. We disaggregated "Inventory, net" from "Other current assets" on the condensed consolidated balance sheets. We separately disclosed "Deferred income taxes" and "Income taxes receivable/payable" within operating activities on the condensed consolidated statements of cash flows. Additionally, we combined "Other current assets" and "Other long-term assets" into "Other current assets and other long-term assets" and "Accounts payable and accrued liabilities" and "Other long-term liabilities" into "Accounts payable and accrued liabilities and other long-term liabilities" on the condensed consolidated statements of cash flows.

In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which consist of normal recurring adjustments, necessary for a fair presentation thereof. The results reported in these unaudited condensed consolidated financial statements are not necessarily indicative of the results that may be expected for the entire year. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Annual Report on Form 10-K filed on February 18, 2020.

Accounting Standards Updates ("ASU") Adopted

ASU 2016-13, ASU 2018-19, ASU 2019-05 and ASU 2019-11, Financial Instruments – Credit Losses (Topic 326)

In June 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-13 and subsequent updates, which eliminates the requirement that a credit loss on a financial instrument be "probable" prior to recognition. Instead, a valuation allowance will be recorded to reflect an entity's current estimate of all expected credit losses, based on both historical and forecasted information related to an instrument. The update is effective for public companies for annual and interim reporting periods beginning after December 15, 2019, and should be adopted using a modified retrospective approach, which applies a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. A prospective approach is required for debt securities for which an other-than-temporary impairment had been recognized before the effective date and loans and debt securities acquired with deteriorated credit quality. Early adoption is permitted.

Effective January 4, 2020, we adopted the requirements of Topic 326 using the modified retrospective approach. The adoption resulted in an immaterial impact to our financial assets and processes for determining the expected credit loss.

Accounting Standards Updates Issued But Not Yet Adopted

ASU 2020-04, Reference Rate Reform (Topic 848)

In March 2020, the FASB issued ASU 2020-04 which provides companies with optional expedients and exceptions to ease the potential accounting burden associated with transitioning away from reference rates that are expected to be discontinued. This update provides optional expedients for applying accounting guidance to contracts, hedging relationships and other transactions that reference the London Interbank Offered Rate ("LIBOR") or another reference rate expected to be discontinued because of the reference rate reform. The amendments in this update are effective for all entities as of March 2020 and can be adopted using a prospective approach no later than December 31, 2022. We are currently evaluating the impacts of the reference rate reform.

Changes in Estimates on Contracts

Changes in estimates related to contracts accounted for using the cost-to-cost method of accounting are recognized in the period in which such changes are made for the inception-to-date effect of the changes, with the exception of contracts acquired through a business combination, where the adjustment is made for the period commencing from the date of acquisition.

Changes in estimates on contracts were as follows:


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions, except per share amounts)
Favorable impact	$	28	$	23	$	52	$	46
Unfavorable impact	(19)		(10)		(26)		(29)
Net impact to income before income taxes	$	9	$	13	$	26	$	17

Impact on diluted EPS attributable to Leidos common stockholders	$	0.05	$	0.07	$	0.14	$	0.09

The impact on diluted earnings per share ("EPS") attributable to Leidos common stockholders is calculated using the statutory tax rate.

Revenue Recognized from Prior Obligations

Revenue recognized from performance obligations satisfied in previous periods was $12 million and $32 million for the three and six months ended July 3, 2020, respectively, and $15 million and $19 million for the three and six months ended June 28, 2019, respectively. The changes primarily relate to revisions of variable consideration, including award and incentive fees, and revisions to estimates at completion resulting from changes in contract scope, mitigation of contract risks or due to true-ups of contract estimates at the end of contract performance.

Cash and Cash Equivalents

Our cash equivalents are primarily comprised of investments in several large institutional money market accounts, with original maturity of three months or less. Outstanding payments are included within "Cash and cash equivalents" and "Accounts payable and accrued liabilities" correspondingly on the condensed consolidated balance sheets. At July 3, 2020 and January 3, 2020, $149 million and $169 million, respectively, of outstanding payments were included within "Cash and cash equivalents."

Revenues

6 Months Ended

Jul. 03, 2020

Revenue from Contract with Customer [Abstract]

Revenues

Note 2–Revenues

Remaining Performance Obligations

Remaining performance obligations represent the expected value of exercised contracts, both funded and unfunded, less revenue recognized to date. Remaining performance obligations do not include unexercised option periods and future potential task orders expected to be awarded under indefinite delivery/indefinite quantity ("IDIQ"), General Services Administration Schedule or other master agreement contract vehicles, with the exception of certain IDIQ contracts where task orders are not competitively awarded and separately priced but instead are used as a funding mechanism, and where there is a basis for estimating future revenues and funding on future task orders is anticipated.

As of July 3, 2020, we had $15.3 billion of remaining performance obligations, which are expected to be recognized as revenues in the amounts of $5.5 billion, $3.7 billion and $6.1 billion for the remainder of fiscal 2020, fiscal 2021 and fiscal 2022 and thereafter, respectively.

Disaggregation of Revenues

We disaggregate revenues by customer-type, contract-type and geographic location for each of our reportable segments. These categories represent how the nature, timing and uncertainty of revenues and cash flows are affected.

Prior year segment results have been recast for the contracts that were reassigned from the Civil reportable segment to the Defense Solutions reportable segment.

Disaggregated revenues by customer-type were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
DoD and U.S. Intelligence Community	$	1,362	$	12	$	123	$	1,497	$	2,647	$	29	$	247	$	2,923
Other government agencies⁽¹⁾	175		615		247		1,037		383		1,159		622		2,164
Commercial and non-U.S. customers	219		112		27		358		431		183		55		669
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
DoD and U.S. Intelligence Community	$	1,192	$	17	$	113	$	1,322	$	2,327	$	34	$	237	$	2,598
Other government agencies⁽¹⁾	154		564		343		1,061		310		1,075		645		2,030
Commercial and non-U.S. customers	214		80		39		333		413		167		67		647
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

⁽¹⁾Includes federal government agencies other than the DoD and U.S. Intelligence Community, as well as state and local government agencies.

The majority of our revenues are generated from U.S. government contracts, either as a prime contractor or as a subcontractor. Revenues from the U.S. government can be adversely impacted by spending caps or changes in budgetary priorities of the U.S. government, as well as delays in program start dates or the award of a contract.

Disaggregated revenues by contract-type were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
Cost-reimbursement and fixed-price-incentive-fee	$	1,105	$	343	$	64	$	1,512	$	2,199	$	689	$	129	$	3,017
Firm-fixed-price	462		289		237		988		902		462		610		1,974
Time-and-materials and fixed-price-level-of-effort	189		107		96		392		360		220		185		765
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
Cost-reimbursement and fixed-price-incentive-fee	$	1,001	$	401	$	47	$	1,449	$	1,987	$	768	$	116	$	2,871
Firm-fixed-price	411		149		328		888		775		291		597		1,663
Time-and-materials and fixed-price-level-of-effort	148		111		120		379		288		217		236		741
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

Cost-reimbursement and fixed-price-incentive-fee contracts are generally lower risk and have lower profits. Time-and-materials ("T&M") and fixed-price-level-of-effort contracts are also lower risk but profits may vary depending on actual labor costs compared to negotiated contract billing rates. Firm-fixed-price ("FFP") contracts offer the potential for higher profits while increasing the exposure to risk of cost overruns.

Disaggregated revenues by geographic location were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
United States	$	1,560	$	691	$	397	$	2,648	$	3,073	$	1,310	$	924	$	5,307
International	196		48		—		244		388		61		—		449
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
United States	$	1,360	$	647	$	495	$	2,502	$	2,664	$	1,246	$	949	$	4,859
International	200		14		—		214		386		30		—		416
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

Our international business operations, primarily located in Australia and the U.K., are subject to additional and different risks than our U.S. business. Failure to comply with U.S. government laws and regulations applicable to international business, such as the Foreign Corrupt Practices Act or U.S. export control regulations, could have an adverse impact on our business with the U.S. government.

In some countries, there is an increased chance for economic, legal or political changes that may adversely affect the performance of our services, sales of products or repatriation of profits. International transactions can also involve increased financial and legal risks arising from foreign exchange variability, imposition of tariffs or additional taxes and restrictive trade policies and delays or failure to collect amounts due to differing legal systems.

Revenues by customer-type, contract-type and geographic location exclude lease income of $22 million and $47 million for the three and six months ended July 3, 2020, respectively, and $12 million and $30 million for the three and six months ended June 28, 2019, respectively (see "Note 7–Leases").

Note 3–Contract Assets and Liabilities

Performance obligations are satisfied either over time as work progresses or at a point in time. FFP contracts are typically billed to the customer using milestone payments while cost-reimbursable and T&M contracts are typically billed to the customer on a monthly or bi-weekly basis as indicated by the negotiated billing terms and conditions of the contract. As a result, the timing of revenue recognition, customer billings and cash collections for each contract results in a net contract asset or liability at the end of each reporting period.

Contract assets consist of unbilled receivables, which is the amount of revenue recognized that exceeds the amount billed to the customer, where right to payment is not just subject to the passage of time. Unbilled receivables exclude amounts billable where the right to consideration is unconditional. Contract liabilities consist of deferred revenue.

The components of contract assets and contract liabilities consisted of the following:


	Balance sheet line item	July 3, 2020		January 3, 2020
		(in millions)
Contract assets - current:
Unbilled receivables	Receivables, net	$	803	$	735

Contract liabilities - current:
Deferred revenue	Accounts payable and accrued liabilities	$	401	$	400

Contract liabilities - non-current:
Deferred revenue	Other long-term liabilities	$	20	$	9

The increase in unbilled receivables was primarily due to the timing of revenue recognized on certain contracts.

Revenue recognized for the three and six months ended July 3, 2020 of $81 million and $226 million, respectively, was included as a contract liability at January 3, 2020. Revenue recognized for the three and six months ended June 28, 2019 of $136 million and $249 million, respectively, was included as a contract liability at December 28, 2018.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

+ Details

Contract Asset and Liabilities

6 Months Ended

Jul. 03, 2020

Revenue from Contract with Customer [Abstract]

Contract Asset and Liabilities

Note 2–Revenues

Remaining Performance Obligations

Disaggregation of Revenues

Prior year segment results have been recast for the contracts that were reassigned from the Civil reportable segment to the Defense Solutions reportable segment.

Disaggregated revenues by customer-type were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
DoD and U.S. Intelligence Community	$	1,362	$	12	$	123	$	1,497	$	2,647	$	29	$	247	$	2,923
Other government agencies⁽¹⁾	175		615		247		1,037		383		1,159		622		2,164
Commercial and non-U.S. customers	219		112		27		358		431		183		55		669
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
DoD and U.S. Intelligence Community	$	1,192	$	17	$	113	$	1,322	$	2,327	$	34	$	237	$	2,598
Other government agencies⁽¹⁾	154		564		343		1,061		310		1,075		645		2,030
Commercial and non-U.S. customers	214		80		39		333		413		167		67		647
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

⁽¹⁾Includes federal government agencies other than the DoD and U.S. Intelligence Community, as well as state and local government agencies.

Disaggregated revenues by contract-type were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
Cost-reimbursement and fixed-price-incentive-fee	$	1,105	$	343	$	64	$	1,512	$	2,199	$	689	$	129	$	3,017
Firm-fixed-price	462		289		237		988		902		462		610		1,974
Time-and-materials and fixed-price-level-of-effort	189		107		96		392		360		220		185		765
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
Cost-reimbursement and fixed-price-incentive-fee	$	1,001	$	401	$	47	$	1,449	$	1,987	$	768	$	116	$	2,871
Firm-fixed-price	411		149		328		888		775		291		597		1,663
Time-and-materials and fixed-price-level-of-effort	148		111		120		379		288		217		236		741
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

Disaggregated revenues by geographic location were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
United States	$	1,560	$	691	$	397	$	2,648	$	3,073	$	1,310	$	924	$	5,307
International	196		48		—		244		388		61		—		449
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
United States	$	1,360	$	647	$	495	$	2,502	$	2,664	$	1,246	$	949	$	4,859
International	200		14		—		214		386		30		—		416
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

Note 3–Contract Assets and Liabilities

The components of contract assets and contract liabilities consisted of the following:


	Balance sheet line item	July 3, 2020		January 3, 2020
		(in millions)
Contract assets - current:
Unbilled receivables	Receivables, net	$	803	$	735

Contract liabilities - current:
Deferred revenue	Accounts payable and accrued liabilities	$	401	$	400

Contract liabilities - non-current:
Deferred revenue	Other long-term liabilities	$	20	$	9

The increase in unbilled receivables was primarily due to the timing of revenue recognized on certain contracts.

- Definition

+ References

+ Details

Acquisitions

6 Months Ended

Jul. 03, 2020

Business Combinations [Abstract]

Acquisitions

Note 4–Acquisitions

L3Harris Technologies ("L3Harris") Transaction

On May 4, 2020 (the "Transaction Date"), we completed the acquisition of L3Harris' security detection and automation businesses (the "SD&A Businesses") for preliminary cash consideration of $968 million, net of cash acquired, subject to working capital adjustments. The SD&A Businesses provide airport and critical infrastructure screening products, automated tray return systems and other industrial automation products. The addition of the SD&A Businesses will expand the scope and scale of our global security detection and automation offerings.

In connection with the acquisition, we drew on our senior unsecured delayed-draw term loan facility in an aggregate principal amount of $1.0 billion (the "Facility"). See "Note 10–Debt" for further details. The proceeds of the Facility and cash on hand were used to fund the purchase of the SD&A Businesses.

The preliminary purchase consideration for the acquisition of the SD&A Businesses was as follows (in millions):


Cash paid at closing	$	1,015
Preliminary working capital adjustments	21
Preliminary purchase price	$	1,036

The preliminary fair values of total net assets acquired at the Transaction Date was $1,036 million, which included the following (in millions):


Receivables	$	134
Inventory	101
Intangible assets	280
Goodwill	599

Due to the timing and complexity of the acquisition, the assets acquired and liabilities assumed were recorded at their preliminary estimated fair values. As of July 3, 2020, we had not finalized the determination of fair values of the acquired assets and liabilities, primarily including, but not limited to accounts receivable, inventory, intangible assets, accrued liabilities and deferred taxes. The preliminary purchase price allocation is subject to change as we complete our determination of the final working capital and the fair value of the acquired assets and liabilities assumed, the impact of which could be material.

The goodwill represents intellectual capital and the acquired assembled workforce, none of which qualify for recognition as a separate intangible asset. Of the goodwill recognized, $368 million is deductible for tax purposes.

The following table summarizes the preliminary fair value of intangible assets acquired at the Transaction Date and the related weighted average amortization period:


	Weighted average amortization period	Fair value
	(in years)	(in millions)
Programs	7	$	117
Software and technology	10	140
Trade name	5	23
Total	8	$	280

The preliminary fair value and related weighted average amortization period of the intangible assets acquired were based on an industry benchmarking analysis surrounding recent and relevant industry transactions. The difference between the benchmark estimate and ultimate fair value of intangible assets identified may be material.

For the three and six months ended July 3, 2020, $80 million of revenues related to the SD&A Businesses were recognized within the Civil reportable segment.

Dynetics, Inc. ("Dynetics") Acquisition

On January 31, 2020 (the "Acquisition Date"), we completed our acquisition of Dynetics, an industry-leading applied research and national security solutions company. The addition of Dynetics will accelerate opportunities within our innovation engine that researches and develops new technologies and solutions to address the most challenging needs of our customers. All of the issued and outstanding shares of common stock of Dynetics were purchased for $1.64 billion, net of cash acquired.

In connection with the acquisition, we entered into a Bridge Credit Agreement with certain financial institutions, which provided for a senior unsecured 364-day bridge loan facility in an aggregate principal amount of $1.25 billion (the "Bridge Facility"). See "Note 10–Debt" for further details.

The proceeds of the Bridge Facility and cash on hand on the Acquisition Date were used to fund the purchase of Dynetics and repay in full all third party indebtedness of Dynetics, terminate all commitments thereunder and discharge and release all existing guarantees and liens.

The preliminary fair values of the assets acquired and liabilities assumed at the Acquisition Date were as follows (in millions):


Cash	$	18
Receivables	159
Inventory	47
Other current assets	22
Operating lease right-of-use assets	25
Property, plant and equipment	173
Intangible assets	544
Other assets	9
Accounts payable and accrued liabilities	(48)
Accrued payroll and employee benefits	(29)
Operating lease liabilities	(20)
Other long-term liabilities	(4)
Total identifiable net assets acquired	896
Goodwill	764
Purchase price	$	1,660

Due to the timing and complexity of the acquisition, the assets acquired and liabilities assumed were recorded at their preliminary estimated fair values. As of July 3, 2020, we had not finalized the determination of fair values of the acquired assets and liabilities, primarily including, but not limited to inventory, intangible assets and property, plant and equipment. The purchase price allocation is subject to change as we complete our determination of the fair value of the acquired assets and liabilities assumed, the impact of which could be material. During the three months ended July 3, 2020, we recorded adjustments to certain preliminary estimated values, including an $80 million increase in intangible assets.

The goodwill represents intellectual capital and the acquired assembled workforce, none of which qualify for recognition as a separate intangible asset. For tax purposes, $768 million of goodwill is deductible.

The following table summarizes the preliminary fair value of intangible assets acquired at the Acquisition Date and the related weighted average amortization period:


	Weighted average amortization period	Fair value
	(in years)	(in millions)
Programs	15	$	500
Backlog	1	33
Technology	11	11
Total	14	$	544

For the three and six months ended July 3, 2020, $206 million and $335 million, respectively, of revenues related to Dynetics were recognized within the Defense Solutions reportable segment.

Acquisition and Integration Costs

The following expenses were incurred related to the acquisitions of Dynetics and the SD&A Businesses:


	Three Months Ended		Six Months Ended
	July 3, 2020		July 3, 2020
	(in millions)
Acquisition costs	$	12	$	23
Integration costs	3		3
Total acquisition and integration costs	$	15	$	26

These acquisition and integration costs have been primarily recorded within Corporate and presented in "Acquisition, integration and restructuring costs" on the condensed consolidated statements of income.

Pro Forma Financial Information

The following unaudited pro forma financial information presents consolidated results of operations as if the acquisitions had occurred on December 29, 2018. The pro forma financial information was prepared based on historical financial information and has been adjusted to give effect to the events that are directly attributable to the acquisitions of Dynetics and the SD&A Businesses and are factually supportable. The unaudited pro forma results below do not reflect future events that have occurred or may occur after the acquisitions, including anticipated synergies or other expected benefits that may be realized from the acquisitions. The pro forma information is not intended to reflect the actual results of operations that would have occurred if the acquisitions had been completed on December 29, 2018, nor is it intended to be an indication of future operating results.


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions, except per share amounts)
Revenues	$	2,984	$	3,027	$	6,060	$	5,854
Net income	147		107		271		254
Net income attributable to Leidos common stockholders	146		105		270		252
Earnings per share:
Basic	$	1.03	$	0.73	$	1.90	$	1.75
Diluted	1.01		0.72		1.88		1.73

The unaudited pro forma financial information above includes the following nonrecurring significant adjustment made to account for certain costs incurred as if the acquisitions had been completed on December 29, 2018:

•Acquisition-related costs of $12 million and $23 million for the three and six months ended July 3, 2020, respectively, were excluded within the pro forma financial information for fiscal 2020 and were included within the supplemental pro forma earnings for fiscal 2019.

Inventory

6 Months Ended

Jul. 03, 2020

Inventory Disclosure [Abstract]

Inventory

Note 5–Inventory

The components of inventory, net consisted of the following:


	July 3, 2020		January 3, 2020
	(in millions)
Raw materials	$	139	$	46
Work in process	89		13
Finished goods	66		13
	$	294	$	72

Goodwill and Intangible Assets

6 Months Ended

Jul. 03, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 6–Goodwill and Intangible Assets

Goodwill

The following table presents changes in the carrying amount of goodwill by reportable segment:


	Defense Solutions		Civil		Health		Total
	(in millions)
Goodwill at December 28, 2018	$	2,015	$	1,924	$	921	$	4,860
Goodwill re-allocation	25		(25)		—		—
Acquisition of IMX Medical Management Services, Inc.	—		—		50		50
Divestiture of health staff augmentation business	—		—		(5)		(5)
Foreign currency translation adjustments	(4)		8		—		4
Adjustment to goodwill	3		—		—		3
Goodwill at January 3, 2020	2,039		1,907		966		4,912
Goodwill re-allocation	429		(429)		—		—
Acquisition of Dynetics and the SD&A Businesses	764		599		—		1,363
Foreign currency translation adjustments	(9)		—		—		(9)
Goodwill at July 3, 2020	$	3,223	$	2,077	$	966	$	6,266

Effective the beginning of fiscal 2020, certain contracts were reassigned from the Civil reportable segment to the Defense Solutions reportable segment. This change resulted in the reallocation of $429 million of goodwill between the reporting units within the two reportable segments. We evaluated goodwill for impairment for certain reporting units using either a quantitative step one analysis or qualitative analysis, both before and after the changes were made, and determined that goodwill was not impaired.

There were no goodwill impairments during the six months ended July 3, 2020 and June 28, 2019.

Intangible Assets

Intangible assets, net consisted of the following:


	July 3, 2020										January 3, 2020
	Gross carrying value		Accumulated amortization		Net carrying value		Gross carrying value		Accumulated amortization		Net carrying value
	(in millions)
Finite-lived intangible assets:
Programs	$	1,620	$	(608)	$	1,012	$	1,003	$	(536)	$	467
Software and technology	253		(88)		165		102		(83)		19
Customer relationships	45		(8)		37		45		(6)		39
Backlog	33		(14)		19		—		—		—
Trade names	24		(1)		23		1		—		1
Total finite-lived intangible assets	1,975		(719)		1,256		1,151		(625)		526
Indefinite-lived intangible assets:
Trade names	4		—		4		4		—		4
Total intangible assets	$	1,979	$	(719)	$	1,260	$	1,155	$	(625)	$	530

Amortization expense was $51 million and $94 million for the three and six months ended July 3, 2020, respectively, and $43 million and $86 million for the three and six months ended June 28, 2019, respectively.

Program intangible assets are amortized over their respective estimated useful lives in proportion to the pattern of economic benefit based on expected future discounted cash flows. Backlog, customer relationships and trade name intangible assets are amortized on a straight-line basis over their estimated useful lives. Software and technology intangible assets are amortized either on a straight-line basis over their estimated useful lives or over their respective estimated useful lives in proportion to the pattern of economic benefit based on expected future discounted cash flows, as deemed appropriate.

The estimated annual amortization expense as of July 3, 2020, was as follows:


Fiscal year ending
	(in millions)
2020 (remainder of year)	$	112
2021	208
2022	200
2023	177
2024	130
2025 and thereafter	429
	$	1,256

We are monitoring the impacts of the coronavirus outbreak ("COVID-19") on the fair value of our intangible assets and goodwill. While we currently do not anticipate any impairments to intangible assets and goodwill as a result of COVID-19, future changes in the expectations of the impact on our operations, financial performance and cash flows related to intangible assets and goodwill could cause these assets to be impaired.

Leases

6 Months Ended

Jul. 03, 2020

Leases [Abstract]

Leases

Note 7–Leases

Lessee

In March 2020, we took occupancy of our new corporate headquarters in Reston, VA. As a result, we recorded $104 million of right-of-use assets and $132 million of lease liabilities.

During the three months ended July 3, 2020, we made a decision to vacate one of our facilities. The carrying amount was determined to be less than the expected recovery from sublease income and as a result, we recorded an impairment charge of $11 million, which was recorded within our Health reportable segment.

Lessor

The components of lease income were as follows:


		Three Months Ended						Six Months Ended
	Income statement line item	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
		(in millions)
Sales-type leases:
Selling price at lease commencement	Revenues	$	12	$	6	$	28	$	16
Cost of underlying asset	Cost of revenues	(10)		(5)		(23)		(14)
Operating income		2		1		5		2
Interest income on lease receivables	Revenues	2		—		4		—
		4		1		9		2

Operating lease income	Revenues	8		6		15		14
Total lease income		$	12	$	7	$	24	$	16

Leases

Note 7–Leases

Lessee

In March 2020, we took occupancy of our new corporate headquarters in Reston, VA. As a result, we recorded $104 million of right-of-use assets and $132 million of lease liabilities.

Lessor

The components of lease income were as follows:


		Three Months Ended						Six Months Ended
	Income statement line item	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
		(in millions)
Sales-type leases:
Selling price at lease commencement	Revenues	$	12	$	6	$	28	$	16
Cost of underlying asset	Cost of revenues	(10)		(5)		(23)		(14)
Operating income		2		1		5		2
Interest income on lease receivables	Revenues	2		—		4		—
		4		1		9		2

Operating lease income	Revenues	8		6		15		14
Total lease income		$	12	$	7	$	24	$	16

Leases

Note 7–Leases

Lessee

In March 2020, we took occupancy of our new corporate headquarters in Reston, VA. As a result, we recorded $104 million of right-of-use assets and $132 million of lease liabilities.

Lessor

The components of lease income were as follows:


		Three Months Ended						Six Months Ended
	Income statement line item	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
		(in millions)
Sales-type leases:
Selling price at lease commencement	Revenues	$	12	$	6	$	28	$	16
Cost of underlying asset	Cost of revenues	(10)		(5)		(23)		(14)
Operating income		2		1		5		2
Interest income on lease receivables	Revenues	2		—		4		—
		4		1		9		2

Operating lease income	Revenues	8		6		15		14
Total lease income		$	12	$	7	$	24	$	16

Fair Value Measurements

6 Months Ended

Jul. 03, 2020

Fair Value Disclosures [Abstract]

Fair Value Measurements

Note 8–Fair Value Measurements

The accounting standard for fair value measurements establishes a three-level fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: observable inputs such as quoted prices in active markets (Level 1); inputs other than quoted prices in active markets for identical assets or liabilities that are observable either directly or indirectly or quoted prices that are not active (Level 2); and unobservable inputs in which there is little or no market data (e.g., discounted cash flow and other similar pricing models), which requires us to develop our own assumptions about the assumptions that market participants would use in pricing the asset or liability (Level 3).

The accounting guidance for fair value measurements requires that we maximize the use of observable inputs and minimize the use of unobservable inputs in determining fair value. The accounting guidance provides for the irrevocable option to elect, on a contract-by-contract basis, to measure certain financial assets and liabilities at fair value at inception of the contract and record any subsequent changes in fair value in earnings. We have not made fair value option elections for any of our financial assets and liabilities.

The financial instruments measured at fair value on a recurring basis consisted of the following:


	July 3, 2020						January 3, 2020
	Carrying value		Fair value		Carrying value		Fair value
	(in millions)
Financial assets:
Derivatives	$	2	$	2	$	2	$	2
Financial liabilities:
Derivatives	$	124	$	124	$	75	$	75

Our derivatives primarily consist of the fair value interest rate swaps on the $450 million, fixed rate 4.45% senior unsecured notes maturing in December 2020 and cash flow interest rate swaps on $1.5 billion of the variable rate senior unsecured term loan (see "Note 9–Derivative Instruments"). The fair value of the fair value interest rate swaps and cash flow interest rate swaps is determined based on observed values for underlying interest rates on the LIBOR yield curve and the underlying interest rate, respectively (Level 2 inputs).

The carrying amounts of our financial instruments, other than derivatives, which include cash equivalents, accounts receivable, accounts payable and accrued expenses, are reasonable estimates of their related fair values. The carrying value of our notes receivable of $20 million as of July 3, 2020, and January 3, 2020, approximates fair value as the stated interest rates within the agreements are consistent with current market rates used in notes with similar terms in the market (Level 2 inputs).

As of July 3, 2020, and January 3, 2020, the fair value of debt was $5.3 billion and $3.1 billion, respectively, and the carrying amount was $5.0 billion and $3.0 billion, respectively (see "Note 10–Debt"). The fair value of long-term debt is determined based on current interest rates available for debt with terms and maturities similar to our existing debt arrangements (Level 2 inputs).

On January 31, 2020 and May 4, 2020, non-financial instruments measured at fair value on a non-recurring basis were recorded in connection with the acquisitions of Dynetics and the SD&A Businesses, respectively (see "Note 4–Acquisitions"). The preliminary fair values of the assets acquired and liabilities assumed were determined using Level 3 inputs. Additionally, as of July 3, 2020, we had a real estate property measured at fair value (Level 2), which resulted in an impairment charge of $11 million (see "Note 7–Leases").

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Derivative Instruments

6 Months Ended

Jul. 03, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments

Note 9–Derivative Instruments

We manage our risk to changes in interest rates and foreign currency exchange rates through the use of derivative instruments. We do not hold derivative instruments for trading or speculative purposes. For fixed rate borrowings, we use variable interest rate swaps, effectively converting fixed rate borrowings to variable rate borrowings. These swaps are designated as fair value hedges. For variable rate borrowings, we use fixed interest rate swaps, effectively converting a portion of the variable interest rate payments to fixed interest rate payments. These swaps are designated as cash flow hedges.

The fair value of the interest rate swaps was as follows:

Asset derivatives

Balance sheet line item

July 3,
2020

January 3,
2020

(in millions)

Fair value interest rate swaps

Other current assets⁽¹⁾

⁽¹⁾The carrying amount of the fair value interest rate swaps were recorded within "Other assets" as of January 3, 2020.

Liability derivatives

Balance sheet line item

July 3,
2020

January 3,
2020

(in millions)

Cash flow interest rate swaps

Other long-term liabilities

124

The cash flows associated with the interest rate swaps are classified as operating activities in the condensed consolidated statements of cash flows.

Fair Value Hedge

We have interest rate swap agreements to hedge the fair value of the $450 million fixed rate 4.45% senior unsecured notes maturing in December 2020 (the "2020 Notes"). The objective of these instruments is to hedge the 2020 Notes against changes in fair value due to the variability in the six-month LIBOR rate (the benchmark interest rate). Under the terms of the interest rate swap agreements, we will receive semi-annual interest payments at the coupon rate of 4.45% and will pay variable interest based on the six-month LIBOR rate.

The interest rate swaps were accounted for as a fair value hedge of the 2020 Notes and qualified for the shortcut method of hedge accounting, which allows for the assumption of no ineffectiveness. The resulting changes in the fair value of the interest rate swaps are fully offset by the changes in the fair value of the underlying debt (the hedged item) (See "Note 10–Debt").

The fair value of the 2020 Notes is stated at an amount that reflects changes in the six-month LIBOR rate subsequent to the inception of the interest rate swaps through the reporting date.

The following amounts were recorded on the condensed consolidated balance sheets related to cumulative basis adjustments for fair value hedges:


	Carrying amount of hedged item						Cumulative amount of fair value adjustment included within the hedged item
Balance sheet line item of hedged item	July 3, 2020		January 3, 2020		July 3, 2020		January 3, 2020
	(in millions)
Long-term debt, current portion⁽¹⁾	$	452	$	452	$	2	$	2

⁽¹⁾The carrying amount of the hedged item and cumulative amount of fair value adjustments were recorded within "Long-term debt, net of current portion" as of January 3, 2020.

Cash Flow Hedges

We have interest rate swap agreements to hedge the cash flows of $1.5 billion of the variable rate senior unsecured term loan (the "Variable Rate Loan"). These interest rate swap agreements have a maturity date of August 2025 and a fixed interest rate of 3.00%. The objective of these instruments is to reduce variability in the forecasted interest payments of the Variable Rate Loan, which are based on the LIBOR rate. Under the terms of the interest rate swap agreements, we will receive monthly variable interest payments based on the one-month LIBOR rate and will pay interest at a fixed rate.

The interest rate swap transactions were accounted for as cash flow hedges. The gain/loss on the swaps is reported as a component of other comprehensive income (loss) and is reclassified into earnings when the interest payments on the underlying hedged items impact earnings. A qualitative assessment of hedge effectiveness is performed on a quarterly basis, unless facts and circumstances indicate the hedge may no longer be highly effective.

The effect of the cash flow hedges on other comprehensive income (loss) and earnings for the periods presented was as follows:


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions)
Total interest expense, net presented in the condensed consolidated statements of income in which the effects of cash flow hedges are recorded	$	41	$	33	$	89	$	71

Amount recognized in other comprehensive income (loss)	$	(7)	$	(31)	$	(62)	$	(49)
Amount reclassified from accumulated other comprehensive loss to interest expense, net	4		(2)		4		(4)

We expect to reclassify net losses of $15 million from accumulated other comprehensive loss into earnings during the next 12 months.

We terminated interest rate swaps in September 2018. The net derivative gain of $60 million related to the discontinued cash flow hedges remained in accumulated other comprehensive loss and is being reclassified into earnings over the remaining life of the original hedges as the hedged variable rate debt impacts earnings.

Debt

6 Months Ended

Jul. 03, 2020

Debt Disclosure [Abstract]

Debt

Note 10–Debt

Our debt consisted of the following:


	Stated interest rate	Effective interest rate	July 3, 2020⁽¹⁾		January 3, 2020⁽¹⁾
			(in millions)
Senior unsecured term loans:
$300 million Term Loan, due June 2021	2.18%	2.52%	$	299	$	—
$1,925 million Term Loan, due January 2025	1.56%	1.81%	1,883		—
Senior secured term loans:
$690 million Term Loan A, due August 2023	3.31%	3.74%	—		581
$310 million Term Loan A, due August 2023	3.31%	3.76%	—		242
$1,131 million Term Loan B, due August 2025	3.56%	3.91%	—		1,075
Senior unsecured notes:
$450 million notes, due December 2020⁽²⁾	4.45%	4.53%	452		452
$500 million notes, due May 2023	2.95%	3.17%	496		—
$500 million notes, due May 2025	3.63%	3.76%	495		—
$750 million notes due May 2030	4.38%	4.50%	736		—
$250 million notes, due July 2032	7.13%	7.43%	247		247
$300 million notes, due July 2033	5.50%	5.88%	158		158
$300 million notes, due December 2040	5.95%	6.03%	216		216
Notes payable and finance leases due on various dates through fiscal 2030	2.15%-5.49%	Various	20		15
Total long-term debt			5,002		2,986
Less: current portion			(854)		(61)
Total long-term debt, net of current portion			$	4,148	$	2,925

⁽¹⁾The carrying amounts of the senior term loans and notes as of July 3, 2020, and January 3, 2020, include the remaining principal outstanding of $5,030 million and $3,004 million, respectively, less total unamortized debt discounts and deferred debt issuances costs of $50 million and $35 million, respectively, and a $2 million asset for both periods related to the fair value interest rate swaps (see "Note 9–Derivative Instruments").

⁽²⁾As of January 3, 2020, the carrying value of the $450 million senior notes maturing in December 2020 was reflected within “Long-term debt, net of current portion” as we had the ability to consummate and intention to refinance the existing debt. During the three months ended April 3, 2020, we determined that it was more beneficial to repay our $450 million senior notes maturing in December 2020 as contractually obligated rather than to refinance the debt based on current financial market conditions. As a result, the carrying value was reclassified into the current portion of long-term debt.

Senior Notes

Notes Issuance

On May 12, 2020, we issued and sold $500 million senior notes maturing in May 2023 (the "2023 Notes"), $500 million senior notes maturing in May 2025 (the "2025 Notes") and $750 million senior notes maturing in May 2030 (the "2030 Notes", and together with the 2023 Notes and 2025 Notes, the "Notes"). The Notes are senior unsecured obligations issued by Leidos, Inc. and guaranteed by Leidos Holdings, Inc. The Notes have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

The proceeds from the Notes were used to repay all of the outstanding obligations in respect of principal, interest, fees and other amounts under the January 31, 2020 Bridge Facility and to repay a portion of the outstanding loans under the February 12, 2020 Facility.

Interest on the Notes is payable on a semi-annual basis with principal payments due at maturity. The annual interest rate for the 2023 Notes, 2025 Notes and 2030 Notes is 2.95%, 3.63% and 4.38%, respectively.

Additionally, on May 12, 2020, we entered into a registration rights agreement, pursuant to which we agreed to use reasonable best efforts to file a registration statement to permit the exchange of the Notes and related guarantees for registered notes having terms substantially identical thereto, or in the alternative, the registered resale of the Notes and related guarantees, under certain circumstances. Under the agreement, the registration statement is to be filed no later than 420 days after the original issuance of the securities. If we fail to satisfy our obligations under the Registration Rights Agreement, we will be required to pay additional annual interest equal to 0.25% of the aggregate outstanding on the principal amount to holders of the Notes.

Term Loan Financing

On June 18, 2020 (the "Agreement Date"), we entered into a 364-day Term Loan Credit Agreement, which provided for a senior unsecured term loan facility in an aggregate principal amount of $300 million (the "Term Loan"), with maturity 364 days after the Agreement Date.

The proceeds of the Term Loan and cash on hand on the Agreement Date were used to repay in full all indebtedness under, and discharge and release all guarantees existing in connection with the Facility.

Borrowings under the Term Loan Credit Agreement bear interest at a rate determined, at our option, based on either an alternate base rate or a LIBOR rate plus, in each case, an applicable margin that varies depending on our credit rating. The applicable margin range for LIBOR-denominated borrowings is from 1.75% to 2.25%. Based on our current ratings, the applicable margin for LIBOR-denominated borrowings is 2.00%.

The financial covenants in the Term Loan Credit Agreement require that we maintain, as of the last day of each fiscal quarter, a ratio of adjusted consolidated total debt to consolidated earnings before interest, taxes, depreciation and amortization ("EBITDA") of not more than 4.50 to 1.00 and a ratio of EBITDA to consolidated interest expense of not less than 3.50 to 1.00.

Delayed-Draw Term Loan Facility

On February 12, 2020, we entered into a senior unsecured delayed-draw term loan facility providing for $1.0 billion of commitments from certain financial institutions in connection with the acquisition of the SD&A Businesses. On May 4, 2020, we completed our acquisition of the SD&A Businesses and drew on the Facility in an aggregate principal amount of $1.0 billion.

On May 12, 2020, in connection with the issuance of the $1.75 billion Notes, $500 million of the principal outstanding on the Facility was repaid. During May and June 2020, we made $200 million of principal repayments on the Facility. On June 18, 2020, in connection with the 364-day Term Loan Credit Agreement, the remaining principal outstanding on the Facility was fully repaid.

Bridge Facility

On January 31, 2020, in connection with the acquisition of Dynetics, we entered into a Bridge Credit Agreement with certain financial institutions, which provided for a senior unsecured 364-day bridge loan facility in an aggregate principal amount of $1.25 billion, with maturity 364 days after the Acquisition Date.

Borrowings under the Bridge Credit Agreement bear interest at a rate determined, at our option, based on either an alternate base rate or a LIBOR rate, plus, in each case, an applicable margin that varies depending on our credit rating, subject to increases by 0.25% every 90 days. During the period the Bridge Facility borrowing was outstanding, the applicable margins for LIBOR-denominated borrowings were 1.38% and 1.63%. Additionally, we paid to each lender under the Bridge Facility a duration fee equal to 0.50% of the aggregate outstanding principal amount of the loans under the Bridge Facility 90 days after the Acquisition Date.

On May 12, 2020, in connection with the issuance of the Notes, the outstanding principal on the Bridge Credit Agreement was fully repaid.

Term Loans and Revolving Credit Facility Refinancing

On January 17, 2020 (the "Closing Date"), we entered into a Credit Agreement (the "Credit Agreement") with certain financial institutions, which provided for a senior unsecured term loan facility in an aggregate principal amount of $1.9 billion (the "Term Loan Facility") and a $750 million senior unsecured revolving facility (the "Revolving Facility" and, together with the Term Loan Facility, the "Credit Facilities"). The Credit Facilities will mature five years from the Closing Date, subject to two additional one year extensions.

The proceeds of the Term Loan Facility and cash on hand on the Closing Date were used to repay in full all indebtedness, and terminate all commitments, under, and discharge and release all guarantees and liens existing in connection with the credit agreements entered into in August 2016 (the "Terminated Credit Agreements"). As a result of the termination of the liens under the Terminated Credit Agreements, the liens securing the outstanding $450 million notes due 2020 and $300 million notes due 2040 were also released and such notes are now senior unsecured obligations.

Borrowings under the Credit Agreement bear interest at a rate determined, at our option, based on either an alternate base rate or a LIBOR rate plus, in each case, an applicable margin that varies depending on our credit rating. The applicable margin range for LIBOR-denominated borrowings is from 1.13% to 1.75%. Based on our current ratings, the applicable margin for LIBOR-denominated borrowings is 1.38%. Principal payments are made quarterly on the Term Loan Facility, with the majority of the principal due at maturity. Interest on the Term Loan Facility for LIBOR-denominated borrowings is payable on a periodic basis, which must be at least quarterly.

The financial covenants in the Credit Agreement require that we maintain, as of the last day of each fiscal quarter, a ratio of adjusted consolidated total debt to consolidated EBITDA of not more than 3.75 to 1.00, subject to two increases to 4.50 to 1.00 following a material acquisition, and a ratio of EBITDA to consolidated interest expense of not less than 3.50 to 1.00.

Principal Payments and Debt Issuance Costs

In addition to the refinancing activity noted above, we made principal payments on our long-term debt of $226 million and $228 million during the three and six months ended July 3, 2020, respectively, and $17 million and $48 million during the three and six months ended June 28, 2019, respectively. This activity included required principal payments on our term loans of $24 million during the three months ended July 3, 2020 and $14 million and $41 million during the three and six months ended June 28, 2019, respectively. As of July 3, 2020, and January 3, 2020, there were no borrowings outstanding under the unsecured and secured credit facility, respectively.

In connection with the financing activity noted above, $56 million of debt discount and debt issuance costs related to the long-term debt and revolving credit facility were recognized, which were recorded as an offset against the carrying value of debt and capitalized within "Other assets" in the condensed consolidated balance sheets, respectively. For the three and six months ended July 3, 2020, $12 million and $31 million, respectively, of debt discount and debt issuance costs were written off related to the Terminated Credit Agreements and loan facility repayments. Amortization of debt discount and debt issuance costs was $5 million and $9 million for the three and six months ended July 3, 2020, respectively, and $2 million and $5 million for the three and six months ended June 28, 2019, respectively.

The senior unsecured term loans, notes and revolving credit facility are fully and unconditionally guaranteed and contain certain customary restrictive covenants, including among other things, restrictions on our ability to create liens and enter into sale and leaseback transactions under certain circumstances. We were in compliance with all covenants as of July 3, 2020.

Accumulated Other Comprehensive Loss

6 Months Ended

Jul. 03, 2020

Equity [Abstract]

Accumulated Other Comprehensive Loss

Note 11–Accumulated Other Comprehensive Loss

Changes in the components of accumulated other comprehensive loss were as follows:


	Foreign currency translation adjustments		Unrecognized gain (loss) on derivative instruments		Pension adjustments		Total accumulated other comprehensive loss
	(in millions)
Balance at December 28, 2018	$	(41)	$	14	$	(3)	$	(30)
Other comprehensive income (loss)	5		(55)		(1)		(51)
Taxes	3		15		—		18
Reclassification from accumulated other comprehensive loss	—		(7)		—		(7)
Balance at January 3, 2020	(33)		(33)		(4)		(70)
Other comprehensive (loss) income	(14)		(62)		1		(75)
Taxes	1		13		—		14
Reclassification from accumulated other comprehensive loss	—		4		—		4
Balance at July 3, 2020	$	(46)	$	(78)	$	(3)	$	(127)

Reclassifications from unrecognized gain (loss) on derivative instruments are recorded in "Interest expense, net" in the condensed consolidated statements of income.

Earnings Per Share

6 Months Ended

Jul. 03, 2020

Earnings Per Share [Abstract]

Earnings Per Share

Note 12–Earnings Per Share

The following table provides a reconciliation of the weighted average number of shares outstanding used to compute basic and diluted EPS for the periods presented:


	Three Months Ended			Six Months Ended
	July 3, 2020	June 28, 2019	July 3, 2020	June 28, 2019
	(in millions)
Basic weighted average number of shares outstanding	142	144	142	144
Dilutive common share equivalents—stock options and other stock awards	2	2	2	2
Diluted weighted average number of shares outstanding	144	146	144	146

Anti-dilutive stock-based awards are excluded from the weighted average number of shares outstanding used to compute diluted EPS. The total outstanding stock options and vesting stock awards that were anti-dilutive were 1 million for both the three and six months ended July 3, 2020, and the three and six months ended June 28, 2019.

Supplementary Cash Flow Information and Restricted Cash

6 Months Ended

Jul. 03, 2020

Supplemental Cash Flow Information [Abstract]

Supplementary Cash Flow Information and Restricted Cash

Note 13–Supplementary Cash Flow Information and Restricted Cash

Supplementary cash flow information, and non-cash activities, for the periods presented was as follows:


	Six Months Ended
	July 3, 2020		June 28, 2019
	(in millions)
Supplementary cash flow information:
Cash paid for interest⁽¹⁾	$	82	$	84
Cash paid for income taxes, net of refunds	7		89
Non-cash investing activity:
Fixed asset additions	$	15	$	—
Non-cash financing activity:
Finance lease obligations	$	12	$	—

⁽¹⁾Includes net settlement of cash flow hedge and fair value hedge derivatives

Sale of Accounts Receivable

We have entered into purchase agreements with a financial institution which provide us the election to sell accounts receivable at a discount. The receivables sold are typically collectable within 30 days of the sale date. During the six months ended July 3, 2020, we sold $1,113 million of accounts receivable under the agreements and received proceeds of $1,112 million, which were classified as operating activities in the condensed consolidated statements of cash flows.

These transfers have been recognized as a sale, as the receivables have been legally isolated from Leidos, the financial institution has the right to pledge or exchange the assets received and we do not maintain effective control over the transferred accounts receivable. Our only continuing involvement with the transferred financial assets is as the collection and servicing agent. As a result, the accounts receivable balance on the condensed consolidated balance sheets is presented net of the transferred amounts. No servicing asset or liability was recognized for continued servicing of the sold receivables, as the servicing fee approximates fair value. The difference between the carrying amount of the receivables sold and the net cash received was recognized as a loss on sale and was recorded within "Selling, general and administrative expenses" on the condensed consolidated statements of income.

Sold receivables activity for the period was as follows:


	Six Months Ended
	July 3, 2020
	(in millions)
Sales of accounts receivable	$	1,113
Cash collections on sold receivables remitted to financial institution	(888)
Outstanding balance sold to financial institution	225
Cash collected but not yet remitted to financial institution	(14)
Sold receivables due from customers	$	211

Restricted Cash

The following is a reconciliation of cash and cash equivalents, as reported within the condensed consolidated balance sheets, to the total cash, cash equivalents and restricted cash, as reported within the condensed consolidated statements of cash flows:


	July 3, 2020		January 3, 2020
	(in millions)
Cash and cash equivalents	$	588	$	668
Restricted cash	94		49
Total cash, cash equivalents and restricted cash	$	682	$	717

Restricted cash is recorded within "Other current assets" in the condensed consolidated balance sheets.

The restricted cash is primarily comprised of advances from customers that are restricted as to use for certain expenditures related to that customer's contract and collections on sold receivables to be remitted to the financial institution.

Business Segments

6 Months Ended

Jul. 03, 2020

Segment Reporting [Abstract]

Business Segments

Note 14–Business Segments

Our operations and reportable segments are organized around the customers and markets we serve. We define our reportable segments based on the way the chief operating decision maker ("CODM"), currently our Chairman and Chief Executive Officer, manages operations for the purposes of allocating resources and assessing performance.

Effective the beginning of fiscal 2020, certain contracts were reassigned from the Civil reportable segment to the Defense Solutions reportable segment to better align operations within the reportable segments to the customers they serve. Prior year segment results have been recast to reflect this change.

The results of Dynetics and the SD&A Businesses were included within the Defense Solutions and Civil reportable segments, respectively.

The segment information for the periods presented was as follows:


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions)
Revenues:
Defense Solutions	$	1,757	$	1,560	$	3,462	$	3,051
Civil	758		667		1,412		1,290
Health	399		501		929		964
Total revenues	$	2,914	$	2,728	$	5,803	$	5,305

Operating income (loss):
Defense Solutions	$	119	$	113	$	214	$	217
Civil	78		56		137		114
Health	1		61		74		106
Corporate	51		(20)		16		(35)
Total operating income	$	249	$	210	$	441	$	402

The income statement performance measures used to evaluate segment performance are revenues and operating income. As a result, "Interest expense, net," "Other (expense) income, net" and "Income tax expense" as reported in the condensed consolidated financial statements are not allocated to our segments. Under U.S. Government Cost Accounting Standards, indirect costs including depreciation expense are collected in indirect cost pools, which are then collectively allocated to the reportable segments based on a representative causal or beneficial relationship of the costs in the pool to the costs in the base. As such, depreciation expense is not separately disclosed on the condensed consolidated statements of income.

Asset information by segment is not a key measure of performance used by the CODM.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-Section 50
-Paragraph 31
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Reference 6: http://www.xbrl.org/2003/role/disclosureRef
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Contingencies	6 Months Ended
Contingencies	Jul. 03, 2020
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Note 15–Contingencies Legal Proceedings MSA Joint Venture On November 10, 2015, MSA received a final decision by the Department of Energy ("DoE") contracting officer for the Mission Support Contract concluding that certain payments to MSA by the DoE for the performance of IT services by Lockheed Martin Services, Inc. ("LMSI") under a subcontract to MSA constituted alleged affiliate fees in violation of Federal Acquisition Regulations ("FAR"). Lockheed Martin Integrated Technology LLC (now known as Leidos Integrated Technology LLC) is a member entity of MSA. Subsequent to the contracting officer's final decision, MSA, LMSI, and Lockheed Martin Corporation received notice from the U.S. Attorney's Office for the Eastern District of Washington that the U.S. government had initiated a False Claims Act investigation into the facts surrounding this dispute. On February 8, 2019, the Department of Justice filed a complaint in the United States District Court for the Eastern District of Washington against MSA, Lockheed Martin Corporation, Lockheed Martin Services, Inc. and a Lockheed Martin employee ("Defendants"). The complaint alleges violations of the False Claims Act, the Anti-Kickback Act and breach of contract with the DoE, among other things. On January 13, 2020, the Defendants' motions to dismiss were granted in part and denied in part. Litigation will proceed for the False Claims Act and other common law claims, although the Anti-Kickback Act claim has been dismissed with prejudice. The U.S. Attorney's office had previously advised that a parallel criminal investigation was open, although no subjects or targets of the investigation had been identified. The U.S. Attorney's office has informed MSA that it has closed the criminal investigation. Since this issue first was raised by the DoE, MSA has asserted that the IT services performed by LMSI under a fixed-price/fixed-unit rate subcontract approved by the DoE meet the definition of a "commercial item" under the FAR and any profits earned on that subcontract are permissible. MSA filed an appeal of the contracting officer's decision with the Civilian Board of Contract Appeals ("CBCA"), which was stayed pending resolution of the False Claims Act matter. Subsequent to the filing of MSA's appeal, the contracting officer demanded that MSA reimburse the DoE in the amount of $64 million, which was his estimate of the profits earned during the period from 2010 to 2014 by LMSI. The DoE has deferred collection of $32 million of that demand, pending resolution of the appeal and without prejudice to MSA's position that it is not liable for any of the DOE's $64 million reimbursement claim. On December 10, 2019, MSA received a second final decision by the DoE contracting officer, estimating approximately $29 million in alleged unallowable profit and associated general and administrative costs during the period from 2015 to 2016 by LMSI. MSA filed an appeal of the second contracting officer's decision, which has been consolidated with the prior proceeding before the CBCA and stayed pending resolution of the False Claims Act matter. The DoE and MSA also executed an agreement to defer the entire amount of the disallowed costs from the second contracting officer's final decision until the CBCA proceedings are finally resolved. Leidos has agreed to indemnify Jacobs Group, LLC and Centerra Group, LLC for any liability MSA incurs in this matter. Under the terms of the Separation Agreement, Lockheed Martin agreed to indemnify Leidos for 100% of any damages in excess of $38 million up to $64 million, and 50% of any damages in excess of $64 million, with respect to claims asserted against MSA related to this matter. At July 3, 2020, we had a liability of $42 million recorded in the condensed consolidated balance sheets for this matter. The amount of possible loss ultimately incurred, if any, is subject to a range of complex factors and potential outcomes that remain to be determined, including information gathered during the course of litigation, pretrial and trial rulings and other litigation-related developments. Securities Litigation Between February and April 2012, alleged stockholders filed three putative securities class actions against Leidos and several former executives relating to a contract to develop and implement an automated time and attendance and workforce management system for certain agencies of the City of New York ("CityTime"). One case was withdrawn and two cases were consolidated in the U.S. District Court for the Southern District of New York in In Re: SAIC, Inc. Securities Litigation. The consolidated securities complaint asserted claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 based on allegations that Leidos and individual defendants made misleading statements or omissions about revenues, operating income and internal controls in connection with disclosures relating to the CityTime project. The plaintiffs sought to recover from Leidos and the individual defendants an unspecified amount of damages class members allegedly incurred by buying Leidos' stock at an inflated price. The District Court dismissed the plaintiffs' claims with prejudice and without leave to replead. The plaintiffs then appealed to the United States Court of Appeals for the Second Circuit, which issued an opinion affirming in part, and vacating in part, the District Court's ruling. Leidos filed a petition for a writ of certiorari in the U.S. Supreme Court, which was granted on March 27, 2017. The District Court granted Leidos' request to stay all proceedings, including discovery, pending the outcome at the Supreme Court. In September 2017, the parties engaged in mediation resulting in an agreement to settle all remaining claims for an immaterial amount to be paid by Leidos. On October 2, 2019, the court granted preliminary approval of the proposed settlement and on June 29, 2020, the court granted final approval effective July 30, 2020. The amounts payable by Leidos are covered by an insurance policy. Arbitration Proceeding Leidos is a party to an arbitration proceeding involving a claim by Lockheed Martin for indemnification for $56 million in taxes attributable to deferred revenue recognized as a result of the acquisition of Lockheed Martin's Information Systems & Global Solutions business. On July 16, 2020, subsequent to the end of the second quarter of fiscal 2020, the arbitrators issued a final opinion rejecting Lockheed Martin’s claims. Other We are also involved in various claims and lawsuits arising in the normal conduct of our business, none of which, in the opinion of management, based upon current information, will likely have a material adverse effect on our financial position, results of operations or cash flows. Other Contingencies VirnetX, Inc. On September 29, 2017, the federal trial court in the Eastern District of Texas entered a final judgment in the VirnetX v. Apple case referred to as the Apple I case. The court found that Apple willfully infringed the VirnetX patents at issue in the Apple I case and awarded enhanced damages, bringing the total award against Apple to over $343 million in pre-interest damages. The court subsequently awarded an additional sum of over $96 million for costs, attorneys' fees, and interest, bringing the total award to VirnetX in the Apple I case to over $439 million. Apple appealed the judgment in the Apple I case with the U.S. Court of Appeals for the Federal Circuit and on January 15, 2019, the court affirmed the $439 million judgment. On August 1, 2019, the U.S. Court of Appeals for the Federal Circuit denied Apple’s petition for panel and en banc rehearing, but Apple subsequently filed motions to stay and vacate the judgment, and for leave to file a second petition for rehearing. These motions were denied by the court on October 1, 2019. On December 27, 2019, Apple filed a petition in the Apple I matter for a writ of certiorari with the United States Supreme Court, which was denied on February 24, 2020. On February 20, 2020, Apple filed a Motion for Relief from Judgment in the U.S. District Court for the Eastern District of Texas, further arguing that VirnetX should not be allowed to recover the large amount of damages awarded in this case. On March 13, 2020, VirnetX announced that it had received payment from Apple of over $454 million, which represents the judgment with interest for the Apple I matter. However, the Motion Relief from Judgment remains pending, with Apple indicating it may seek restitution of its payment to VirnetX. On May 22, 2020, Leidos received $85 million from VirnetX representing Leidos' current share of the proceeds resulting from the Apple I case. A net gain of $81 million was recognized and was presented in "Bad debt expense and recoveries" on the condensed consolidated statements of income. On April 10, 2018, a jury trial concluded in an additional patent infringement case brought by VirnetX against Apple, referred to as the Apple II case, in which the jury returned a verdict against Apple for infringement and awarded VirnetX damages in the amount of over $502 million. On April 11, 2018, in a second phase of the Apple II trial, the jury found Apple's infringement to be willful. On August 30, 2018, the federal trial court in the Eastern District of Texas entered a final judgment and rulings on post-trial motions in the Apple II case. The court affirmed the jury’s verdict of over $502 million and granted VirnetX’s motions for supplemental damages, a sunset royalty and royalty rate of $1.20 per infringing device, along with pre-judgment and post-judgment interest and costs. The court denied VirnetX’s motions for enhanced damages, attorneys’ fees and an injunction. The court also denied Apple’s motions for judgment as a matter of law and for a new trial. An additional sum of over $93 million for costs and pre-judgment interest was subsequently agreed upon pursuant to a court order, bringing the total award to VirnetX in the Apple II case to over $595 million. Apple filed an appeal of the judgment in the Apple II case with the U.S. Court of Appeals for the Federal Circuit, and on November 22, 2019, the Federal Circuit affirmed in part, reversed in part and remanded the Apple II case back to the District Court. The Federal Circuit affirmed that Apple infringed two of the patents at issue in the case, and ruled that Apple is precluded from making certain patent invalidity arguments. However, the Federal Circuit reversed the judgment that Apple infringed two other patents at issue, vacated the prior damages awarded in the Apple II case, and remanded the Apple II case back to the District Court for further proceedings regarding damages. In an order unsealed on May 1, 2020, the District Court ordered a new trial on damages in the Apple II case, which is currently scheduled to begin on August 17, 2020. Under our agreements with VirnetX, Leidos would receive 25% of the proceeds obtained by VirnetX after reduction for attorneys' fees and costs. However, the verdicts in these cases remain subject to the ongoing and potential future proceedings and appeals. In addition, the patents at issue in these cases are subject to U.S. Patent and Trademark Office post-grant inter partes review and/or reexamination proceedings and related appeals, which may result in all or part of these patents being invalidated or the claims of the patents being limited. Thus, no assurances can be given when or if we will receive any proceeds in connection with these jury awards. In addition, if Leidos receives any proceeds, we are required to pay a royalty to the customer who paid for the development of the technology. Government Investigations and Reviews We are routinely subject to investigations and reviews relating to compliance with various laws and regulations with respect to our role as a contractor to federal, state and local government customers and in connection with performing services in countries outside of the United States. Adverse findings could have a material effect on our business, financial position, results of operations and cash flows due to our reliance on government contracts. As of July 3, 2020, indirect cost audits by the Defense Contract Audit Agency remain open for fiscal 2015 and subsequent fiscal years. Although we have recorded contract revenues based upon an estimate of costs that we believe will be approved upon final audit or review, we cannot predict the outcome of any ongoing or future audits or reviews and adjustments, and if future adjustments exceed estimates, our profitability may be adversely affected. As of July 3, 2020, we believe we have adequately reserved for potential adjustments from audits or reviews of contract costs.

Commitments

6 Months Ended

Jul. 03, 2020

Commitments and Contingencies Disclosure [Abstract]

Commitments

Note 16–Commitments

We have outstanding letters of credit of $99 million as of July 3, 2020, principally related to performance guarantees on contracts. We also have outstanding surety bonds with a notional amount of $130 million, principally related to performance and subcontractor payment bonds on contracts. The value of the surety bonds may vary due to changes in the underlying project status and/or contractual modifications.

As of July 3, 2020, the future expirations of the outstanding letters of credit and surety bonds were as follows:


Fiscal year ending
	(in millions)
2020 (remainder of year)	$	63
2021	64
2022	14
2023	2
2024	1
2025 and thereafter	85
	$	229

Subsequent Events	6 Months Ended
Subsequent Events	Jul. 03, 2020
Subsequent Events [Abstract]
Subsequent Events	Note 17–Subsequent Events On July 31, 2020, our Board of Directors approved early payment of our $450 million senior unsecured notes due December 2020. We have provided the bond trustee with the necessary documents to affect this action. The bonds will be retired early September 2020 and reflected in our third quarter results.

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jul. 03, 2020
Accounting Policies [Abstract]
Accounting Standards Update Adopted and Issued But Not Yet Adopted	Accounting Standards Updates ("ASU") Adopted ASU 2016-13, ASU 2018-19, ASU 2019-05 and ASU 2019-11, Financial Instruments – Credit Losses (Topic 326) In June 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-13 and subsequent updates, which eliminates the requirement that a credit loss on a financial instrument be "probable" prior to recognition. Instead, a valuation allowance will be recorded to reflect an entity's current estimate of all expected credit losses, based on both historical and forecasted information related to an instrument. The update is effective for public companies for annual and interim reporting periods beginning after December 15, 2019, and should be adopted using a modified retrospective approach, which applies a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. A prospective approach is required for debt securities for which an other-than-temporary impairment had been recognized before the effective date and loans and debt securities acquired with deteriorated credit quality. Early adoption is permitted. Effective January 4, 2020, we adopted the requirements of Topic 326 using the modified retrospective approach. The adoption resulted in an immaterial impact to our financial assets and processes for determining the expected credit loss. Accounting Standards Updates Issued But Not Yet Adopted ASU 2020-04, Reference Rate Reform (Topic 848) In March 2020, the FASB issued ASU 2020-04 which provides companies with optional expedients and exceptions to ease the potential accounting burden associated with transitioning away from reference rates that are expected to be discontinued. This update provides optional expedients for applying accounting guidance to contracts, hedging relationships and other transactions that reference the London Interbank Offered Rate ("LIBOR") or another reference rate expected to be discontinued because of the reference rate reform. The amendments in this update are effective for all entities as of March 2020 and can be adopted using a prospective approach no later than December 31, 2022. We are currently evaluating the impacts of the reference rate reform.
Changes in Estimates on Contracts	Changes in Estimates on Contracts Changes in estimates related to contracts accounted for using the cost-to-cost method of accounting are recognized in the period in which such changes are made for the inception-to-date effect of the changes, with the exception of contracts acquired through a business combination, where the adjustment is made for the period commencing from the date of acquisition.The impact on diluted earnings per share ("EPS") attributable to Leidos common stockholders is calculated using the statutory tax rate.
Cash and Cash Equivalents	Cash and Cash EquivalentsOur cash equivalents are primarily comprised of investments in several large institutional money market accounts, with original maturity of three months or less. Outstanding payments are included within "Cash and cash equivalents" and "Accounts payable and accrued liabilities" correspondingly on the condensed consolidated balance sheets.

Basis of Presentation and Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jul. 03, 2020

Accounting Policies [Abstract]

Schedule of changes In estimates on contracts

Changes in estimates on contracts were as follows:


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions, except per share amounts)
Favorable impact	$	28	$	23	$	52	$	46
Unfavorable impact	(19)		(10)		(26)		(29)
Net impact to income before income taxes	$	9	$	13	$	26	$	17

Impact on diluted EPS attributable to Leidos common stockholders	$	0.05	$	0.07	$	0.14	$	0.09

Revenues (Tables)

6 Months Ended

Jul. 03, 2020

Revenue from Contract with Customer [Abstract]

Schedule of disaggregated revenue

Disaggregated revenues by customer-type were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
DoD and U.S. Intelligence Community	$	1,362	$	12	$	123	$	1,497	$	2,647	$	29	$	247	$	2,923
Other government agencies⁽¹⁾	175		615		247		1,037		383		1,159		622		2,164
Commercial and non-U.S. customers	219		112		27		358		431		183		55		669
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
DoD and U.S. Intelligence Community	$	1,192	$	17	$	113	$	1,322	$	2,327	$	34	$	237	$	2,598
Other government agencies⁽¹⁾	154		564		343		1,061		310		1,075		645		2,030
Commercial and non-U.S. customers	214		80		39		333		413		167		67		647
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

⁽¹⁾Includes federal government agencies other than the DoD and U.S. Intelligence Community, as well as state and local government agencies.

Disaggregated revenues by contract-type were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
Cost-reimbursement and fixed-price-incentive-fee	$	1,105	$	343	$	64	$	1,512	$	2,199	$	689	$	129	$	3,017
Firm-fixed-price	462		289		237		988		902		462		610		1,974
Time-and-materials and fixed-price-level-of-effort	189		107		96		392		360		220		185		765
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
Cost-reimbursement and fixed-price-incentive-fee	$	1,001	$	401	$	47	$	1,449	$	1,987	$	768	$	116	$	2,871
Firm-fixed-price	411		149		328		888		775		291		597		1,663
Time-and-materials and fixed-price-level-of-effort	148		111		120		379		288		217		236		741
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

Disaggregated revenues by geographic location were as follows:


	Three Months Ended July 3, 2020														Six Months Ended July 3, 2020
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
United States	$	1,560	$	691	$	397	$	2,648	$	3,073	$	1,310	$	924	$	5,307
International	196		48		—		244		388		61		—		449
Total	$	1,756	$	739	$	397	$	2,892	$	3,461	$	1,371	$	924	$	5,756


	Three Months Ended June 28, 2019														Six Months Ended June 28, 2019
	Defense Solutions		Civil		Health		Total		Defense Solutions		Civil		Health		Total
	(in millions)
United States	$	1,360	$	647	$	495	$	2,502	$	2,664	$	1,246	$	949	$	4,859
International	200		14		—		214		386		30		—		416
Total	$	1,560	$	661	$	495	$	2,716	$	3,050	$	1,276	$	949	$	5,275

Contract Asset and Liabilities (Tables)

6 Months Ended

Jul. 03, 2020

Revenue from Contract with Customer [Abstract]

Components of contract assets and contract liabilities

The components of contract assets and contract liabilities consisted of the following:


	Balance sheet line item	July 3, 2020		January 3, 2020
		(in millions)
Contract assets - current:
Unbilled receivables	Receivables, net	$	803	$	735

Contract liabilities - current:
Deferred revenue	Accounts payable and accrued liabilities	$	401	$	400

Contract liabilities - non-current:
Deferred revenue	Other long-term liabilities	$	20	$	9

Acquisitions Acquisitions (Tables)

6 Months Ended

Jul. 03, 2020

Business Combinations [Abstract]

Preliminary Purchase Consideration

The preliminary purchase consideration for the acquisition of the SD&A Businesses was as follows (in millions):


Cash paid at closing	$	1,015
Preliminary working capital adjustments	21
Preliminary purchase price	$	1,036

Schedule of preliminary fair values of the assets acquired and liabilities assumed

The preliminary fair values of total net assets acquired at the Transaction Date was $1,036 million, which included the following (in millions):


Receivables	$	134
Inventory	101
Intangible assets	280
Goodwill	599

The preliminary fair values of the assets acquired and liabilities assumed at the Acquisition Date were as follows (in millions):


Cash	$	18
Receivables	159
Inventory	47
Other current assets	22
Operating lease right-of-use assets	25
Property, plant and equipment	173
Intangible assets	544
Other assets	9
Accounts payable and accrued liabilities	(48)
Accrued payroll and employee benefits	(29)
Operating lease liabilities	(20)
Other long-term liabilities	(4)
Total identifiable net assets acquired	896
Goodwill	764
Purchase price	$	1,660

Schedule of preliminary fair values of intangible assets acquired and related weighted average amortization periods

The following table summarizes the preliminary fair value of intangible assets acquired at the Transaction Date and the related weighted average amortization period:


	Weighted average amortization period	Fair value
	(in years)	(in millions)
Programs	7	$	117
Software and technology	10	140
Trade name	5	23
Total	8	$	280

The following table summarizes the preliminary fair value of intangible assets acquired at the Acquisition Date and the related weighted average amortization period:


	Weighted average amortization period	Fair value
	(in years)	(in millions)
Programs	15	$	500
Backlog	1	33
Technology	11	11
Total	14	$	544

Acquisition expenses incurred

The following expenses were incurred related to the acquisitions of Dynetics and the SD&A Businesses:


	Three Months Ended		Six Months Ended
	July 3, 2020		July 3, 2020
	(in millions)
Acquisition costs	$	12	$	23
Integration costs	3		3
Total acquisition and integration costs	$	15	$	26

Acquisition pro forma information

The pro forma information is not intended to reflect the actual results of operations that would have occurred if the acquisitions had been completed on December 29, 2018, nor is it intended to be an indication of future operating results.


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions, except per share amounts)
Revenues	$	2,984	$	3,027	$	6,060	$	5,854
Net income	147		107		271		254
Net income attributable to Leidos common stockholders	146		105		270		252
Earnings per share:
Basic	$	1.03	$	0.73	$	1.90	$	1.75
Diluted	1.01		0.72		1.88		1.73

Inventory (Tables)

6 Months Ended

Jul. 03, 2020

Inventory Disclosure [Abstract]

Schedule of Inventory

The components of inventory, net consisted of the following:


	July 3, 2020		January 3, 2020
	(in millions)
Raw materials	$	139	$	46
Work in process	89		13
Finished goods	66		13
	$	294	$	72

Goodwill and Intangible Assets (Tables)

6 Months Ended

Jul. 03, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of carrying amount of goodwill by reportable segment

The following table presents changes in the carrying amount of goodwill by reportable segment:


	Defense Solutions		Civil		Health		Total
	(in millions)
Goodwill at December 28, 2018	$	2,015	$	1,924	$	921	$	4,860
Goodwill re-allocation	25		(25)		—		—
Acquisition of IMX Medical Management Services, Inc.	—		—		50		50
Divestiture of health staff augmentation business	—		—		(5)		(5)
Foreign currency translation adjustments	(4)		8		—		4
Adjustment to goodwill	3		—		—		3
Goodwill at January 3, 2020	2,039		1,907		966		4,912
Goodwill re-allocation	429		(429)		—		—
Acquisition of Dynetics and the SD&A Businesses	764		599		—		1,363
Foreign currency translation adjustments	(9)		—		—		(9)
Goodwill at July 3, 2020	$	3,223	$	2,077	$	966	$	6,266

Schedule of intangible assets

Intangible assets, net consisted of the following:


	July 3, 2020										January 3, 2020
	Gross carrying value		Accumulated amortization		Net carrying value		Gross carrying value		Accumulated amortization		Net carrying value
	(in millions)
Finite-lived intangible assets:
Programs	$	1,620	$	(608)	$	1,012	$	1,003	$	(536)	$	467
Software and technology	253		(88)		165		102		(83)		19
Customer relationships	45		(8)		37		45		(6)		39
Backlog	33		(14)		19		—		—		—
Trade names	24		(1)		23		1		—		1
Total finite-lived intangible assets	1,975		(719)		1,256		1,151		(625)		526
Indefinite-lived intangible assets:
Trade names	4		—		4		4		—		4
Total intangible assets	$	1,979	$	(719)	$	1,260	$	1,155	$	(625)	$	530

Schedule of estimated annual amortization expense

The estimated annual amortization expense as of July 3, 2020, was as follows:


Fiscal year ending
	(in millions)
2020 (remainder of year)	$	112
2021	208
2022	200
2023	177
2024	130
2025 and thereafter	429
	$	1,256

Leases (Tables)

6 Months Ended

Jul. 03, 2020

Leases [Abstract]

Schedule of components of lease income, operating lease

The components of lease income were as follows:


		Three Months Ended						Six Months Ended
	Income statement line item	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
		(in millions)
Sales-type leases:
Selling price at lease commencement	Revenues	$	12	$	6	$	28	$	16
Cost of underlying asset	Cost of revenues	(10)		(5)		(23)		(14)
Operating income		2		1		5		2
Interest income on lease receivables	Revenues	2		—		4		—
		4		1		9		2

Operating lease income	Revenues	8		6		15		14
Total lease income		$	12	$	7	$	24	$	16

Schedule of components of lease income, sale-type lease

The components of lease income were as follows:


		Three Months Ended						Six Months Ended
	Income statement line item	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
		(in millions)
Sales-type leases:
Selling price at lease commencement	Revenues	$	12	$	6	$	28	$	16
Cost of underlying asset	Cost of revenues	(10)		(5)		(23)		(14)
Operating income		2		1		5		2
Interest income on lease receivables	Revenues	2		—		4		—
		4		1		9		2

Operating lease income	Revenues	8		6		15		14
Total lease income		$	12	$	7	$	24	$	16

Fair Value Measurements (Tables)

6 Months Ended

Jul. 03, 2020

Fair Value Disclosures [Abstract]

Schedule of financial assets measured on a recurring basis

The financial instruments measured at fair value on a recurring basis consisted of the following:


	July 3, 2020						January 3, 2020
	Carrying value		Fair value		Carrying value		Fair value
	(in millions)
Financial assets:
Derivatives	$	2	$	2	$	2	$	2
Financial liabilities:
Derivatives	$	124	$	124	$	75	$	75

Derivative Instruments (Tables)

6 Months Ended

Jul. 03, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair value of the Company's interest rate swaps

The fair value of the interest rate swaps was as follows:

Asset derivatives

Balance sheet line item

July 3,
2020

January 3,
2020

(in millions)

Fair value interest rate swaps

Other current assets⁽¹⁾

⁽¹⁾The carrying amount of the fair value interest rate swaps were recorded within "Other assets" as of January 3, 2020.

Liability derivatives

Balance sheet line item

July 3,
2020

January 3,
2020

(in millions)

Cash flow interest rate swaps

Other long-term liabilities

124

Schedule of amounts recorded on the consolidated balance sheets related to cumulative basis adjustments for fair value hedges

The following amounts were recorded on the condensed consolidated balance sheets related to cumulative basis adjustments for fair value hedges:


	Carrying amount of hedged item						Cumulative amount of fair value adjustment included within the hedged item
Balance sheet line item of hedged item	July 3, 2020		January 3, 2020		July 3, 2020		January 3, 2020
	(in millions)
Long-term debt, current portion⁽¹⁾	$	452	$	452	$	2	$	2

⁽¹⁾The carrying amount of the hedged item and cumulative amount of fair value adjustments were recorded within "Long-term debt, net of current portion" as of January 3, 2020.

Schedule of effect of the Company's cash flow hedges on other comprehensive income and earnings

The effect of the cash flow hedges on other comprehensive income (loss) and earnings for the periods presented was as follows:


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions)
Total interest expense, net presented in the condensed consolidated statements of income in which the effects of cash flow hedges are recorded	$	41	$	33	$	89	$	71

Amount recognized in other comprehensive income (loss)	$	(7)	$	(31)	$	(62)	$	(49)
Amount reclassified from accumulated other comprehensive loss to interest expense, net	4		(2)		4		(4)

Debt (Tables)

6 Months Ended

Jul. 03, 2020

Debt Disclosure [Abstract]

Schedule of notes payable and long-term debt

Our debt consisted of the following:


	Stated interest rate	Effective interest rate	July 3, 2020⁽¹⁾		January 3, 2020⁽¹⁾
			(in millions)
Senior unsecured term loans:
$300 million Term Loan, due June 2021	2.18%	2.52%	$	299	$	—
$1,925 million Term Loan, due January 2025	1.56%	1.81%	1,883		—
Senior secured term loans:
$690 million Term Loan A, due August 2023	3.31%	3.74%	—		581
$310 million Term Loan A, due August 2023	3.31%	3.76%	—		242
$1,131 million Term Loan B, due August 2025	3.56%	3.91%	—		1,075
Senior unsecured notes:
$450 million notes, due December 2020⁽²⁾	4.45%	4.53%	452		452
$500 million notes, due May 2023	2.95%	3.17%	496		—
$500 million notes, due May 2025	3.63%	3.76%	495		—
$750 million notes due May 2030	4.38%	4.50%	736		—
$250 million notes, due July 2032	7.13%	7.43%	247		247
$300 million notes, due July 2033	5.50%	5.88%	158		158
$300 million notes, due December 2040	5.95%	6.03%	216		216
Notes payable and finance leases due on various dates through fiscal 2030	2.15%-5.49%	Various	20		15
Total long-term debt			5,002		2,986
Less: current portion			(854)		(61)
Total long-term debt, net of current portion			$	4,148	$	2,925

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=119993939&loc=d3e28541-108399

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21506-112644

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
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-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=119993939&loc=d3e28551-108399

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Section 50
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-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21521-112644

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21538-112644

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=75038535&loc=d3e64711-112823

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=114775985&loc=d3e28878-108400

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21475-112644

+ Details

Accumulated Other Comprehensive Loss (Tables)

6 Months Ended

Jul. 03, 2020

Equity [Abstract]

Schedule of changes in the components of accumulated other comprehensive (loss) income

Changes in the components of accumulated other comprehensive loss were as follows:


	Foreign currency translation adjustments		Unrecognized gain (loss) on derivative instruments		Pension adjustments		Total accumulated other comprehensive loss
	(in millions)
Balance at December 28, 2018	$	(41)	$	14	$	(3)	$	(30)
Other comprehensive income (loss)	5		(55)		(1)		(51)
Taxes	3		15		—		18
Reclassification from accumulated other comprehensive loss	—		(7)		—		(7)
Balance at January 3, 2020	(33)		(33)		(4)		(70)
Other comprehensive (loss) income	(14)		(62)		1		(75)
Taxes	1		13		—		14
Reclassification from accumulated other comprehensive loss	—		4		—		4
Balance at July 3, 2020	$	(46)	$	(78)	$	(3)	$	(127)

Earnings Per Share (Tables)

6 Months Ended

Jul. 03, 2020

Earnings Per Share [Abstract]

Reconciliation of the weighted average number of shares outstanding used to compute basic and diluted EPS

The following table provides a reconciliation of the weighted average number of shares outstanding used to compute basic and diluted EPS for the periods presented:


	Three Months Ended			Six Months Ended
	July 3, 2020	June 28, 2019	July 3, 2020	June 28, 2019
	(in millions)
Basic weighted average number of shares outstanding	142	144	142	144
Dilutive common share equivalents—stock options and other stock awards	2	2	2	2
Diluted weighted average number of shares outstanding	144	146	144	146

Supplementary Cash Flow Information and Restricted Cash (Tables)

6 Months Ended

Jul. 03, 2020

Supplemental Cash Flow Information [Abstract]

Schedule of supplementary cash flow information

Supplementary cash flow information, and non-cash activities, for the periods presented was as follows:


	Six Months Ended
	July 3, 2020		June 28, 2019
	(in millions)
Supplementary cash flow information:
Cash paid for interest⁽¹⁾	$	82	$	84
Cash paid for income taxes, net of refunds	7		89
Non-cash investing activity:
Fixed asset additions	$	15	$	—
Non-cash financing activity:
Finance lease obligations	$	12	$	—

⁽¹⁾Includes net settlement of cash flow hedge and fair value hedge derivatives


	July 3, 2020		January 3, 2020
	(in millions)
Cash and cash equivalents	$	588	$	668
Restricted cash	94		49
Total cash, cash equivalents and restricted cash	$	682	$	717

Accounts receivable sale activity

Sold receivables activity for the period was as follows:


	Six Months Ended
	July 3, 2020
	(in millions)
Sales of accounts receivable	$	1,113
Cash collections on sold receivables remitted to financial institution	(888)
Outstanding balance sold to financial institution	225
Cash collected but not yet remitted to financial institution	(14)
Sold receivables due from customers	$	211

Business Segments (Tables)

6 Months Ended

Jul. 03, 2020

Segment Reporting [Abstract]

Schedule of segment reporting information by segment

The segment information for the periods presented was as follows:


	Three Months Ended						Six Months Ended
	July 3, 2020		June 28, 2019		July 3, 2020		June 28, 2019
	(in millions)
Revenues:
Defense Solutions	$	1,757	$	1,560	$	3,462	$	3,051
Civil	758		667		1,412		1,290
Health	399		501		929		964
Total revenues	$	2,914	$	2,728	$	5,803	$	5,305

Operating income (loss):
Defense Solutions	$	119	$	113	$	214	$	217
Civil	78		56		137		114
Health	1		61		74		106
Corporate	51		(20)		16		(35)
Total operating income	$	249	$	210	$	441	$	402

Commitment and Contingencies (Tables)

6 Months Ended

Jul. 03, 2020

Commitments and Contingencies Disclosure [Abstract]

Guaranteed Obligation, Fiscal Year Maturity

As of July 3, 2020, the future expirations of the outstanding letters of credit and surety bonds were as follows:


Fiscal year ending
	(in millions)
2020 (remainder of year)	$	63
2021	64
2022	14
2023	2
2024	1
2025 and thereafter	85
	$	229

Basis of Presentation and Summary of Significant Accounting Policies (Detail) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020 USD ($)	Jun. 28, 2019 USD ($)	Jul. 03, 2020 USD ($) segment	Jun. 28, 2019 USD ($)	Jan. 03, 2020 USD ($)
Significant Accounting Policies [Line Items]
Number of reportable segments \| segment			3
Revenue recognized for performance obligation satisfied in the previous periods	$ 12	$ 15	$ 32	$ 19
Accounts payable and accrued liabilities	2,034		2,034		$ 1,837
Cash and Cash Equivalents
Significant Accounting Policies [Line Items]
Accounts payable and accrued liabilities	$ 149		$ 149		$ 169

Basis of Presentation and Summary of Significant Accounting Policies (Changes in Estimates on Contracts) (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Accounting Policies [Abstract]
Favorable impact	$ 28	$ 23	$ 52	$ 46
Unfavorable impact	(19)	(10)	(26)	(29)
Net impact to income before income taxes	$ 9	$ 13	$ 26	$ 17
Impact on diluted EPS attributable to Leidos common stockholders (usd per share)	$ 0.05	$ 0.07	$ 0.14	$ 0.09

Revenues (Remaining Performance Obligations Narrative) (Details) $ in Billions	Jul. 03, 2020 USD ($)
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Remaining performance obligations, which are expected to be recognized as revenue	$ 15.3
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-04
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Remaining performance obligations, which are expected to be recognized as revenue	$ 5.5
Remaining performance obligations, which are expected to be recognized as revenue, period	6 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-02
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Remaining performance obligations, which are expected to be recognized as revenue	$ 3.7
Remaining performance obligations, which are expected to be recognized as revenue, period	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Remaining performance obligations, which are expected to be recognized as revenue	$ 6.1
Remaining performance obligations, which are expected to be recognized as revenue, period

Revenues (Disaggregation of revenue) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Disaggregation of Revenue [Line Items]
Revenues	$ 2,892	$ 2,716	$ 5,756	$ 5,275
United States
Disaggregation of Revenue [Line Items]
Revenues	2,648	2,502	5,307	4,859
International
Disaggregation of Revenue [Line Items]
Revenues	244	214	449	416
Cost-reimbursement and fixed-price-incentive-fee
Disaggregation of Revenue [Line Items]
Revenues	1,512	1,449	3,017	2,871
Firm-fixed-price
Disaggregation of Revenue [Line Items]
Revenues	988	888	1,974	1,663
Time-and-materials and fixed-price-level-of-effort
Disaggregation of Revenue [Line Items]
Revenues	392	379	765	741
DoD and U.S. Intelligence Community
Disaggregation of Revenue [Line Items]
Revenues	1,497	1,322	2,923	2,598
Other government agencies
Disaggregation of Revenue [Line Items]
Revenues	1,037	1,061	2,164	2,030
Commercial and non-U.S. customers
Disaggregation of Revenue [Line Items]
Revenues	358	333	669	647
Defense Solutions
Disaggregation of Revenue [Line Items]
Revenues	1,756	1,560	3,461	3,050
Defense Solutions \| United States
Disaggregation of Revenue [Line Items]
Revenues	1,560	1,360	3,073	2,664
Defense Solutions \| International
Disaggregation of Revenue [Line Items]
Revenues	196	200	388	386
Defense Solutions \| Cost-reimbursement and fixed-price-incentive-fee
Disaggregation of Revenue [Line Items]
Revenues	1,105	1,001	2,199	1,987
Defense Solutions \| Firm-fixed-price
Disaggregation of Revenue [Line Items]
Revenues	462	411	902	775
Defense Solutions \| Time-and-materials and fixed-price-level-of-effort
Disaggregation of Revenue [Line Items]
Revenues	189	148	360	288
Defense Solutions \| DoD and U.S. Intelligence Community
Disaggregation of Revenue [Line Items]
Revenues	1,362	1,192	2,647	2,327
Defense Solutions \| Other government agencies
Disaggregation of Revenue [Line Items]
Revenues	175	154	383	310
Defense Solutions \| Commercial and non-U.S. customers
Disaggregation of Revenue [Line Items]
Revenues	219	214	431	413
Civil
Disaggregation of Revenue [Line Items]
Revenues	739	661	1,371	1,276
Civil \| United States
Disaggregation of Revenue [Line Items]
Revenues	691	647	1,310	1,246
Civil \| International
Disaggregation of Revenue [Line Items]
Revenues	48	14	61	30
Civil \| Cost-reimbursement and fixed-price-incentive-fee
Disaggregation of Revenue [Line Items]
Revenues	343	401	689	768
Civil \| Firm-fixed-price
Disaggregation of Revenue [Line Items]
Revenues	289	149	462	291
Civil \| Time-and-materials and fixed-price-level-of-effort
Disaggregation of Revenue [Line Items]
Revenues	107	111	220	217
Civil \| DoD and U.S. Intelligence Community
Disaggregation of Revenue [Line Items]
Revenues	12	17	29	34
Civil \| Other government agencies
Disaggregation of Revenue [Line Items]
Revenues	615	564	1,159	1,075
Civil \| Commercial and non-U.S. customers
Disaggregation of Revenue [Line Items]
Revenues	112	80	183	167
Health
Disaggregation of Revenue [Line Items]
Revenues	397	495	924	949
Health \| United States
Disaggregation of Revenue [Line Items]
Revenues	397	495	924	949
Health \| International
Disaggregation of Revenue [Line Items]
Revenues	0	0	0	0
Health \| Cost-reimbursement and fixed-price-incentive-fee
Disaggregation of Revenue [Line Items]
Revenues	64	47	129	116
Health \| Firm-fixed-price
Disaggregation of Revenue [Line Items]
Revenues	237	328	610	597
Health \| Time-and-materials and fixed-price-level-of-effort
Disaggregation of Revenue [Line Items]
Revenues	96	120	185	236
Health \| DoD and U.S. Intelligence Community
Disaggregation of Revenue [Line Items]
Revenues	123	113	247	237
Health \| Other government agencies
Disaggregation of Revenue [Line Items]
Revenues	247	343	622	645
Health \| Commercial and non-U.S. customers
Disaggregation of Revenue [Line Items]
Revenues	$ 27	$ 39	$ 55	$ 67

Revenues (Additional Information) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Revenue from Contract with Customer [Abstract]
Lease income	$ 22	$ 12	$ 47	$ 30

Contract Asset and Liabilities (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Revenue from Contract with Customer [Abstract]
Contract assets - current	$ 803	$ 735
Contract liabilities - current	401	400
Contract liabilities - non-current	$ 20	$ 9

Contract Asset and Liabilities (Additional Information) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Revenue from Contract with Customer [Abstract]
Contract liability revenue recognized	$ 81	$ 136	$ 226	$ 249

Acquisitions (Details) - USD ($)			3 Months Ended		6 Months Ended
Acquisitions (Details) - USD ($)	May 04, 2020	Jan. 31, 2020	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019	Feb. 12, 2020
Restructuring Cost and Reserve [Line Items]
Payments to acquire businesses, net of cash acquired					$ 2,610,000,000	$ 0
Revenues			$ 2,892,000,000	$ 2,716,000,000	5,756,000,000	$ 5,275,000,000
Delayed Draw Term Loan Facility \| Unsecured Debt
Restructuring Cost and Reserve [Line Items]
Debt	$ 1,000,000,000.0						$ 1,000,000,000.0
L3Harris Security Detection and Automation Businesses
Restructuring Cost and Reserve [Line Items]
Payments to acquire businesses, net of cash acquired	968,000,000
Preliminary fair values of total net assets acquired	1,036,000,000
Intangible assets	$ 280,000,000
Goodwill tax deductible amount			368,000,000		368,000,000
Revenues			80,000,000		80,000,000
Dynetics
Restructuring Cost and Reserve [Line Items]
Payments to acquire businesses, net of cash acquired		$ 1,640,000,000
Preliminary fair values of total net assets acquired		1,660,000,000
Intangible assets		$ 544,000,000
Intangible assets increase			80,000,000
Goodwill tax deductible amount			768,000,000		768,000,000
Revenues			206,000,000		335,000,000
Dynetics \| Bridge Loan
Restructuring Cost and Reserve [Line Items]
Debt instrument term		364 days
Debt instrument, face amount		$ 1,250,000,000
L3Harris Security Detection and Automation Businesses and Dynetics
Restructuring Cost and Reserve [Line Items]
Acquisition costs			$ 12,000,000		$ 23,000,000

Acquisitions (Preliminary purchase consideration) (Details) - L3Harris Security Detection and Automation Businesses $ in Millions	May 04, 2020 USD ($)
Business Acquisition [Line Items]
Cash paid at closing	$ 1,015
Preliminary working capital adjustments	21
Business Combination, Consideration Transferred, Total	$ 1,036

Acquisitions (Schedule of preliminary fair values of total net assets acquired) (Details) - USD ($) $ in Millions	Jul. 03, 2020	May 04, 2020	Jan. 03, 2020	Dec. 28, 2018
Business Acquisition [Line Items]
Goodwill	$ 6,266		$ 4,912	$ 4,860
L3Harris Security Detection and Automation Businesses
Business Acquisition [Line Items]
Preliminary fair values of total net assets acquired		$ 1,036
Receivables		134
Inventory		101
Intangible assets		280
Goodwill		$ 599

Acquisitions (Schedule of intangible assets acquired) (Details) - USD ($) $ in Millions	May 04, 2020	Jan. 31, 2020
L3Harris Security Detection and Automation Businesses
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period	8 years
Intangible assets	$ 280
Dynetics
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period		14 years
Intangible assets		$ 544
Programs \| L3Harris Security Detection and Automation Businesses
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period	7 years
Intangible assets	$ 117
Programs \| Dynetics
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period		15 years
Intangible assets		$ 500
Backlog \| Dynetics
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period		1 year
Intangible assets		$ 33
Software and technology \| L3Harris Security Detection and Automation Businesses
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period	10 years
Intangible assets	$ 140
Software and technology \| Dynetics
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period		11 years
Intangible assets		$ 11
Trade names \| L3Harris Security Detection and Automation Businesses
Acquired Indefinite-lived Intangible Assets [Line Items]
Weighted average amortization period	5 years
Intangible assets	$ 23

Acquisitions (Schedule of preliminary fair values of the assets acquired and liabilities assumed) (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 31, 2020	Jan. 03, 2020	Dec. 28, 2018
Business Acquisition [Line Items]
Goodwill	$ 6,266		$ 4,912	$ 4,860
Dynetics
Business Acquisition [Line Items]
Cash		$ 18
Receivables		159
Inventory		47
Other current assets		22
Operating lease right-of-use assets		25
Property, plant and equipment		173
Intangible assets		544
Other assets		9
Accounts payable and accrued liabilities		(48)
Accrued payroll and employee benefits		(29)
Operating lease liabilities		(20)
Other long-term liabilities		(4)
Total identifiable net assets acquired		896
Goodwill		764
Purchase price		1,660
Dynetics \| Backlog
Business Acquisition [Line Items]
Intangible assets		$ 33

Acquisitions (Acquisition expenses incurred) (Details) - L3Harris Security Detection and Automation Businesses and Dynetics - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jul. 03, 2020	Jul. 03, 2020
Business Acquisition [Line Items]
Acquisition costs	$ 12	$ 23
Integration costs	3	3
Total acquisition and integration costs	$ 15	$ 26

Acquisitions (Pro Forma Information) (Details) - L3Harris Security Detection and Automation Businesses and Dynetics - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Business Acquisition [Line Items]
Revenues	$ 2,984	$ 3,027	$ 6,060	$ 5,854
Net income	147	107	271	254
Net income attributable to Leidos common stockholders	$ 146	$ 105	$ 270	$ 252
Earnings per share:
Basic (in dollars per share)	$ 1.03	$ 0.73	$ 1.90	$ 1.75
Diluted (in dollars per share)	$ 1.01	$ 0.72	$ 1.88	$ 1.73

Inventory (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Inventory Disclosure [Abstract]
Raw materials	$ 139	$ 46
Work in process	89	13
Finished goods	66	13
Inventory, net	$ 294	$ 72

Goodwill and Intangible Assets (Carrying Amount of Goodwill by Reportable Segment) (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jul. 03, 2020	Jan. 03, 2020
Goodwill [Roll Forward]
Goodwill, Beginning Balance	$ 4,912	$ 4,860
Goodwill re-allocation	0	0
Goodwill acquired during period	1,363	50
Divestiture of health staff augmentation business		(5)
Foreign currency translation adjustments	(9)	4
Adjustment to goodwill		3
Ending balance, Goodwill	6,266	4,912
Defense Solutions
Goodwill [Roll Forward]
Goodwill, Beginning Balance	2,039	2,015
Goodwill re-allocation	429	25
Goodwill acquired during period	764	0
Divestiture of health staff augmentation business		0
Foreign currency translation adjustments	(9)	(4)
Adjustment to goodwill		3
Ending balance, Goodwill	3,223	2,039
Civil
Goodwill [Roll Forward]
Goodwill, Beginning Balance	1,907	1,924
Goodwill re-allocation	(429)	(25)
Goodwill acquired during period	599	0
Divestiture of health staff augmentation business		0
Foreign currency translation adjustments	0	8
Adjustment to goodwill		0
Ending balance, Goodwill	2,077	1,907
Health
Goodwill [Roll Forward]
Goodwill, Beginning Balance	966	921
Goodwill re-allocation	0	0
Goodwill acquired during period	0	50
Divestiture of health staff augmentation business		(5)
Foreign currency translation adjustments	0	0
Adjustment to goodwill		0
Ending balance, Goodwill	$ 966	$ 966

Goodwill and Intangible Assets (Schedule of intangible assets) (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying value	$ 1,975	$ 1,151
Finite-lived intangible assets, accumulated amortization	(719)	(625)
Finite-lived intangible assets, net carrying value	1,256	526
Total intangible assets, gross carrying value	1,979	1,155
Total intangible assets, net carrying value	1,260	530
Trade names
Acquired Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	4	4
Programs
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying value	1,620	1,003
Finite-lived intangible assets, accumulated amortization	(608)	(536)
Finite-lived intangible assets, net carrying value	1,012	467
Software and technology
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying value	253	102
Finite-lived intangible assets, accumulated amortization	(88)	(83)
Finite-lived intangible assets, net carrying value	165	19
Customer relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying value	45	45
Finite-lived intangible assets, accumulated amortization	(8)	(6)
Finite-lived intangible assets, net carrying value	37	39
Backlog
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying value	33	0
Finite-lived intangible assets, accumulated amortization	(14)	0
Finite-lived intangible assets, net carrying value	19	0
Trade names
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross carrying value	24	1
Finite-lived intangible assets, accumulated amortization	(1)	0
Finite-lived intangible assets, net carrying value	$ 23	$ 1

Goodwill and Intangible Assets (Narrative) (Details) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019	Jan. 03, 2020
Indefinite-lived Intangible Assets [Line Items]
Goodwill re-allocation			$ 0		$ 0
Goodwill impairments			0	$ 0
Amortization of intangible assets	$ 51,000,000	$ 43,000,000	94,000,000	$ 86,000,000
Defense Solutions
Indefinite-lived Intangible Assets [Line Items]
Goodwill re-allocation			$ 429,000,000		$ 25,000,000

Goodwill and Intangible Assets (Schedule of estimated annual amortization expense) (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Estimated Annual Intangible Amortization Expense
2020 (remainder of year)	$ 112
2021	208
2022	200
2023	177
2024	130
2025 and thereafter	429
Finite-lived intangible assets, net carrying value	$ 1,256	$ 526

Leases (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Leases (Narrative) (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019	Mar. 31, 2020	Jan. 03, 2020
Leases [Abstract]
Operating lease right-of-use assets, net	$ 559		$ 559		$ 104	$ 400
Operating lease liability					$ 132
Impairment charge	$ 11	$ 0	$ 11	$ 0

Leases (Schedule of components of lease income) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Sales-type leases:
Selling price at lease commencement	$ 12	$ 6	$ 28	$ 16
Cost of underlying asset	(10)	(5)	(23)	(14)
Operating income	2	1	5	2
Interest income on lease receivables	2	0	4	0
Sales-type lease, lease income	4	1	9	2
Operating leases
Operating lease income	8	6	15	14
Total lease income	$ 12	$ 7	$ 24	$ 16

Fair Value Measurements (Financial Instruments Measured at Fair Value on Recurring Basis) (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Carrying value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative asset	$ 2	$ 2
Derivative liability	124	75
Fair value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative asset	2	2
Derivative liability	$ 124	$ 75

Fair Value Measures (Narrative) (Details) - USD ($)	Jul. 03, 2020	Jan. 03, 2020
Carrying value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of notes receivable	$ 20,000,000	$ 20,000,000
Fair value of debt instrument	5,000,000,000.0	3,000,000,000.0
Fair value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt instrument	5,300,000,000	$ 3,100,000,000
Interest Rate Swap \| Designated as Hedging Instrument \| $450 million notes, due December 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Hedged instrument, face amount	$ 450,000,000
Stated interest rate (in percentage)	4.45%
Interest Rate Swap \| Designated as Hedging Instrument \| $450 million notes, due December 2020 \| Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Stated interest rate (in percentage)	4.45%
Interest Rate Swap \| Designated as Hedging Instrument \| Variable Rate Loan \| Unsecured Debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Hedged instrument, face amount	$ 1,500,000,000

Derivative Instruments (Interest rate swaps) (Details) - Fair value interest rate swaps - Designated as Hedging Instrument - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Fair Value Hedging \| Other current assets
Derivative [Line Items]
Asset derivatives	$ 2
Fair Value Hedging \| Other assets
Derivative [Line Items]
Asset derivatives		$ 2
Cash Flow Hedging \| Other long-term liabilities
Derivative [Line Items]
Liability derivatives	$ 124	$ 75

Derivative Instruments (Narrative) (Details) - USD ($)	1 Months Ended
Derivative Instruments (Narrative) (Details) - USD ($)	Sep. 28, 2018	Jul. 03, 2020
Derivative [Line Items]
Losses expected to be reclassified in the next 12 months		$ 15,000,000
Fair value interest rate swaps \| Cash Flow Hedging
Derivative [Line Items]
Net derivative gain	$ 60,000,000
Interest Rate Swap, Maturity Date August 2025 \| Designated as Hedging Instrument \| Unsecured Debt
Derivative [Line Items]
Stated interest rate (in percentage)		3.00%
$450 million notes, due December 2020 \| Fair value interest rate swaps \| Designated as Hedging Instrument
Derivative [Line Items]
Hedged instrument, face amount		$ 450,000,000
Stated interest rate (in percentage)		4.45%
Variable Rate Loan \| Fair value interest rate swaps \| Designated as Hedging Instrument \| Unsecured Debt
Derivative [Line Items]
Hedged instrument, face amount		$ 1,500,000,000
Long term debt \| $450 million notes, due December 2020 \| Fair value interest rate swaps \| Designated as Hedging Instrument
Derivative [Line Items]
Hedged instrument, face amount		$ 450,000,000
Stated interest rate (in percentage)		4.45%

Derivative Instruments (Long term debt) (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jan. 03, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Carrying amount of hedged item	$ 452	$ 452
Cumulative amount of fair value adjustment included within the hedged item	$ 2	$ 2

Derivative Instruments (Effect of Cash Flow Hedge ) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Derivatives, Fair Value [Line Items]
Total interest expense, net presented in the condensed consolidated statements of income in which the effects of cash flow hedges are recorded	$ 41	$ 33	$ 89	$ 71
Amount recognized in other comprehensive income (loss)	(7)	(31)	(62)	(49)
Interest Expense
Derivatives, Fair Value [Line Items]
Amount reclassified from accumulated other comprehensive loss to interest expense, net	$ 4	$ (2)	$ 4	$ (4)

Debt (Summary of Debt) (Detail) - USD ($)	Jul. 03, 2020	May 12, 2020	Apr. 03, 2020	Jan. 03, 2020
Debt Instrument [Line Items]
Total long-term debt	$ 5,002,000,000			$ 2,986,000,000
Less: current portion	(854,000,000)			(61,000,000)
Total long-term debt, net of current portion	4,148,000,000			2,925,000,000
Long-term debt	5,030,000,000			3,004,000,000
Unamortized debt discounts and deferred debt issuances costs	50,000,000			35,000,000
Notes payable and finance leases due on various dates through fiscal 2030
Debt Instrument [Line Items]
Notes payable and finance leases	$ 20,000,000			15,000,000
Minimum \| Notes payable and finance leases due on various dates through fiscal 2030
Debt Instrument [Line Items]
Stated interest rate	2.15%
Maximum \| Notes payable and finance leases due on various dates through fiscal 2030
Debt Instrument [Line Items]
Stated interest rate	5.49%
Secured Debt \| $690 million Term Loan A, due August 2023
Debt Instrument [Line Items]
Debt instrument, face amount	$ 690,000,000
Stated interest rate	3.31%
Effective interest rate	3.74%
Senior secured term loans	$ 0			581,000,000
Secured Debt \| $310 million Term Loan A, due August 2023
Debt Instrument [Line Items]
Debt instrument, face amount	$ 310,000,000
Stated interest rate	3.31%
Effective interest rate	3.76%
Senior secured term loans	$ 0			242,000,000
Secured Debt \| $1,131 million Term Loan B, due August 2025
Debt Instrument [Line Items]
Debt instrument, face amount	$ 1,131,000,000
Stated interest rate	3.56%
Effective interest rate	3.91%
Senior secured term loans	$ 0			1,075,000,000
Unsecured Debt \| $300 million Term Loan, due June 2021
Debt Instrument [Line Items]
Debt instrument, face amount	$ 300,000,000
Stated interest rate	2.18%
Effective interest rate	2.52%
Senior unsecured debt	$ 299,000,000			0
Unsecured Debt \| $1,925 million Term Loan, due January 2025
Debt Instrument [Line Items]
Debt instrument, face amount	$ 1,925,000,000
Stated interest rate	1.56%
Effective interest rate	1.81%
Senior unsecured debt	$ 1,883,000,000			0
Unsecured Debt \| $450 million notes, due December 2020
Debt Instrument [Line Items]
Debt instrument, face amount	$ 450,000,000		$ 450,000,000	450,000,000
Stated interest rate	4.45%
Effective interest rate	4.53%
Senior unsecured debt	$ 452,000,000			452,000,000
Unsecured Debt \| $500 million notes, due May 2023
Debt Instrument [Line Items]
Debt instrument, face amount	$ 500,000,000	$ 500,000,000
Stated interest rate	2.95%	2.95%
Effective interest rate	3.17%
Senior unsecured debt	$ 496,000,000			0
Unsecured Debt \| $500 million notes, due May 2025
Debt Instrument [Line Items]
Debt instrument, face amount	$ 500,000,000	$ 500,000,000
Stated interest rate	3.63%	3.63%
Effective interest rate	3.76%
Senior unsecured debt	$ 495,000,000			0
Unsecured Debt \| $750 million notes due May 2030
Debt Instrument [Line Items]
Debt instrument, face amount	$ 750,000,000	$ 750,000,000
Stated interest rate	4.38%	4.38%
Effective interest rate	4.50%
Senior unsecured debt	$ 736,000,000			0
Unsecured Debt \| $250 million notes, due July 2032
Debt Instrument [Line Items]
Debt instrument, face amount	$ 250,000,000
Stated interest rate	7.13%
Effective interest rate	7.43%
Senior unsecured debt	$ 247,000,000			247,000,000
Unsecured Debt \| $300 million notes, due July 2033
Debt Instrument [Line Items]
Debt instrument, face amount	$ 300,000,000
Stated interest rate	5.50%
Effective interest rate	5.88%
Senior unsecured debt	$ 158,000,000			158,000,000
Unsecured Debt \| $300 million notes, due December 2040
Debt Instrument [Line Items]
Debt instrument, face amount	$ 300,000,000
Stated interest rate	5.95%
Effective interest rate	6.03%
Senior unsecured debt	$ 216,000,000			216,000,000
Interest Rate Swap \| Designated as Hedging Instrument \| Fair Value Hedging
Debt Instrument [Line Items]
Derivative asset	$ 2,000,000			$ 2,000,000

Debt (Narrative) (Detail)					2 Months Ended	3 Months Ended		6 Months Ended
Debt (Narrative) (Detail)	Jun. 18, 2020 USD ($)	May 12, 2020 USD ($)	Jan. 31, 2020 USD ($)	Jan. 17, 2020 USD ($) extension numberOfIncreases	Jun. 30, 2020 USD ($)	Jul. 03, 2020 USD ($)	Jun. 28, 2019 USD ($)	Jul. 03, 2020 USD ($)	Jun. 28, 2019 USD ($)	May 04, 2020 USD ($)	Apr. 03, 2020 USD ($)	Feb. 12, 2020 USD ($)	Jan. 03, 2020 USD ($)
Debt Instrument [Line Items]
Payments of long-term debt							$ 17,000,000	$ 4,203,000,000	$ 48,000,000
Debt issuance costs						$ 56,000,000		56,000,000
Write off of debt discount and issuance costs						12,000,000		31,000,000
Amortization of debt discount and debt issuance costs						5,000,000	2,000,000	9,000,000	5,000,000
The Credit Agreement
Debt Instrument [Line Items]
Debt instrument term				5 years
Covenant, adjusted consolidated total debt to consolidated EBITDA ratio				3.75
Covenant, consolidated EBITDA to interest expense ratio				3.50
Number of options to extend term \| extension				2
Extension term				1 year
Number of potential leverage ratio increases \| numberOfIncreases				2
Covenant, leverage ratio, maximum, potential increase following material acquisition				4.50
Debt payments, excluding refinanced debt
Debt Instrument [Line Items]
Payments of long-term debt						226,000,000		228,000,000
Term Loan
Debt Instrument [Line Items]
Covenant, adjusted consolidated total debt to consolidated EBITDA ratio	4.50
Covenant, consolidated EBITDA to interest expense ratio	3.50
Unsecured Debt
Debt Instrument [Line Items]
Payments of long-term debt						24,000,000
Unsecured Debt \| Four Hundred And Twenty Days After Issuance Date
Debt Instrument [Line Items]
Resale agreement of notes, interest rate percentage		0.25%
Unsecured Debt \| $300 million notes, due December 2040
Debt Instrument [Line Items]
Debt instrument, face amount						$ 300,000,000		$ 300,000,000
Stated interest rate						5.95%		5.95%
Unsecured Debt \| Delayed Draw Term Loan Facility
Debt Instrument [Line Items]
Debt										$ 1,000,000,000.0		$ 1,000,000,000.0
Repayments of notes		$ 500,000,000			$ 200,000,000
Unsecured Debt \| $500 million notes, due May 2023
Debt Instrument [Line Items]
Debt instrument, face amount		$ 500,000,000				$ 500,000,000		$ 500,000,000
Stated interest rate		2.95%				2.95%		2.95%
Unsecured Debt \| $500 million notes, due May 2025
Debt Instrument [Line Items]
Debt instrument, face amount		$ 500,000,000				$ 500,000,000		$ 500,000,000
Stated interest rate		3.63%				3.63%		3.63%
Unsecured Debt \| $750 million notes due May 2030
Debt Instrument [Line Items]
Debt instrument, face amount		$ 750,000,000				$ 750,000,000		$ 750,000,000
Stated interest rate		4.38%				4.38%		4.38%
Unsecured Debt \| $450 million notes, due December 2020
Debt Instrument [Line Items]
Debt instrument, face amount						$ 450,000,000		$ 450,000,000			$ 450,000,000		$ 450,000,000
Stated interest rate						4.45%		4.45%
Unsecured Debt \| Senior Notes
Debt Instrument [Line Items]
Debt instrument, face amount		$ 1,750,000,000
Secured Debt
Debt Instrument [Line Items]
Payments of long-term debt							$ 14,000,000		$ 41,000,000
Term Loan \| Unsecured Debt \| The Credit Agreement
Debt Instrument [Line Items]
Debt instrument, face amount				$ 1,900,000,000
Revolving Credit Facility \| Line of Credit
Debt Instrument [Line Items]
Outstanding credit facility						$ 0		$ 0					$ 0
Revolving Credit Facility \| Line of Credit \| The Credit Agreement
Debt Instrument [Line Items]
Unsecured borrowing capacity				$ 750,000,000
Unsecured Debt \| Term Loan
Debt Instrument [Line Items]
Debt instrument, face amount	$ 300,000,000
Debt instrument term	364 days
London Interbank Offered Rate (LIBOR) \| The Credit Agreement
Debt Instrument [Line Items]
Variable rate percentage				1.38%
London Interbank Offered Rate (LIBOR) \| Term Loan
Debt Instrument [Line Items]
Variable rate percentage	2.00%
London Interbank Offered Rate (LIBOR) \| Minimum \| The Credit Agreement
Debt Instrument [Line Items]
Variable rate percentage				1.13%
London Interbank Offered Rate (LIBOR) \| Minimum \| Term Loan
Debt Instrument [Line Items]
Variable rate percentage	1.75%
London Interbank Offered Rate (LIBOR) \| Maximum \| The Credit Agreement
Debt Instrument [Line Items]
Variable rate percentage				1.75%
London Interbank Offered Rate (LIBOR) \| Maximum \| Term Loan
Debt Instrument [Line Items]
Variable rate percentage	2.25%
London Interbank Offered Rate (LIBOR) \| Bridge Loan \| Ninety Days After Acquisition Date
Debt Instrument [Line Items]
Variable rate percentage increase			0.25%
Duration fee percentage			0.50%
London Interbank Offered Rate (LIBOR) \| Bridge Loan \| Minimum
Debt Instrument [Line Items]
Variable rate percentage			1.38%
London Interbank Offered Rate (LIBOR) \| Bridge Loan \| Maximum
Debt Instrument [Line Items]
Variable rate percentage			1.63%
Dynetics \| Bridge Loan
Debt Instrument [Line Items]
Debt instrument, face amount			$ 1,250,000,000
Debt instrument term			364 days

Accumulated Other Comprehensive Loss (Schedule of accumulated other comprehensive loss) (Detail) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jul. 03, 2020	Jan. 03, 2020
AOCI, Net of Tax [Roll Forward]
Beginning balance	$ 3,413
Other comprehensive income (loss)	(75)	$ (51)
Taxes	14	18
Reclassification from accumulated other comprehensive loss	4	(7)
Ending balance	3,538	3,413
Foreign currency translation adjustments
AOCI, Net of Tax [Roll Forward]
Beginning balance	(33)	(41)
Other comprehensive income (loss)	(14)	5
Taxes	1	3
Reclassification from accumulated other comprehensive loss	0	0
Ending balance	(46)	(33)
Unrecognized gain (loss) on derivative instruments
AOCI, Net of Tax [Roll Forward]
Beginning balance	(33)	14
Other comprehensive income (loss)	(62)	(55)
Taxes	13	15
Reclassification from accumulated other comprehensive loss	4	(7)
Ending balance	(78)	(33)
Pension adjustments
AOCI, Net of Tax [Roll Forward]
Beginning balance	(4)	(3)
Other comprehensive income (loss)	1	(1)
Taxes	0	0
Reclassification from accumulated other comprehensive loss	0	0
Ending balance	(3)	(4)
Total accumulated other comprehensive loss
AOCI, Net of Tax [Roll Forward]
Beginning balance	(70)	(30)
Ending balance	$ (127)	$ (70)

- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

+ References + Details

Earnings Per Share (Reconciliation of weighted average number of shares outstanding) (Detail) - shares shares in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Earnings Per Share [Abstract]
Basic weighted average number of shares outstanding (shares)	142	144	142	144
Dilutive common share equivalents-stock options and other stock awards (shares)	2	2	2	2
Diluted weighted average number of shares outstanding (shares)	144	146	144	146

Earnings Per Share (Narrative) (Details) - shares shares in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Earnings Per Share [Abstract]
Anti-dilutive shares (in shares)	1	1	1	1

Supplementary Cash Flow Information and Restricted Cash (Supplementary Cash Flow Information) (Details) - USD ($) $ in Millions	6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jan. 03, 2020	Dec. 28, 2018
Supplementary cash flow information:
Cash paid interest	$ 82	$ 84
Cash paid for income taxes, net of refunds	7	89
Non-cash investing activity:
Fixed asset additions	15	0
Non-cash financing activity:
Finance lease obligations	12	0
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents
Cash and cash equivalents	588		$ 668
Restricted cash	94		49
Total cash, cash equivalents and restricted cash	$ 682	$ 703	$ 717	$ 369

Supplementary Cash Flow Information and Restricted Cash (Accounts Receivable Sale Activity) (Details) $ in Millions	6 Months Ended
	Jul. 03, 2020 USD ($)
Supplemental Cash Flow Information [Abstract]
Sales of accounts receivable	$ 1,113
Cash collections on sold receivables remitted to financial institution	(888)
Outstanding balance sold to financial institution	225
Cash collected but not yet remitted to financial institution	(14)
Sold receivables due from customers	$ 211

Supplementary Cash Flow Information and Restricted Cash (Narrative) (Details) $ in Millions	6 Months Ended
	Jul. 03, 2020 USD ($)
Supplemental Cash Flow Information [Abstract]
Receivable collectible period	30 days
Sales of accounts receivable	$ 1,113
Proceeds from sale of receivables	$ 1,112

Business Segments (Schedule of segment reporting information by segment) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Segment Reporting Information [Line Items]
Revenues	$ 2,914	$ 2,728	$ 5,803	$ 5,305
Operating income (loss)	249	210	441	402
Operating Segments \| Defense Solutions
Segment Reporting Information [Line Items]
Revenues	1,757	1,560	3,462	3,051
Operating income (loss)	119	113	214	217
Operating Segments \| Civil
Segment Reporting Information [Line Items]
Revenues	758	667	1,412	1,290
Operating income (loss)	78	56	137	114
Operating Segments \| Health
Segment Reporting Information [Line Items]
Revenues	399	501	929	964
Operating income (loss)	1	61	74	106
Corporate
Segment Reporting Information [Line Items]
Operating income (loss)	$ 51	$ (20)	$ 16	$ (35)

- Definition

Amount of revenue recognized from goods sold, services rendered, insurance premiums, or other activities that constitute an earning process. Includes, but is not limited to, investment and interest income before deduction of interest expense when recognized as a component of revenue, and sales and trading gain (loss).

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Subparagraph (a)
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Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 323
-SubTopic 10
-Section 50
-Paragraph 3
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=114001798&loc=d3e33918-111571

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 28
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=75031198&loc=d3e14064-108612

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
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-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9031-108599

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9038-108599

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=120399901&loc=d3e537907-122884

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
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-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(1))
-URI http://asc.fasb.org/extlink&oid=120395209&loc=SL114868664-224227

+ Details

Contingencies (Detail)							3 Months Ended	6 Months Ended
Contingencies (Detail)	May 22, 2020 USD ($)	Mar. 13, 2020 USD ($)	Nov. 22, 2019 USD ($)	Aug. 30, 2018 USD ($)	Apr. 10, 2018 USD ($)	Sep. 29, 2017 USD ($)	Apr. 30, 2012 lawsuit legalMatter	Jul. 03, 2020 USD ($)	Dec. 10, 2019 USD ($)	Nov. 10, 2015 USD ($)
Securities Class Actions
Legal Proceedings [Line Items]
Number of lawsuits \| lawsuit							3
Number of lawsuits, withdrawn \| legalMatter							1
Number of lawsuits, consolidated \| legalMatter							2
MSA Venture
Legal Proceedings [Line Items]
Estimate of possible loss								$ 64,000,000	$ 29,000,000	$ 64,000,000
Estimate of possible loss, amount deferred								32,000,000
Contingency accrual								42,000,000
Lockheed Martin
Legal Proceedings [Line Items]
Estimate of possible loss								$ 56,000,000
Lockheed Martin \| MSA Venture
Legal Proceedings [Line Items]
Percentage of damages covered, between $38 million and $64 million (percentage)								100.00%
Percentage of damages covered, excess of $64 million settlement amount (percentage)								50.00%
Leidos
Legal Proceedings [Line Items]
Proceeds from legal settlements	$ 85,000,000
Gain on legal settlement	$ 81,000,000
Litigation settlement, percentage of total (percentage)								25.00%
Leidos \| MSA Venture
Legal Proceedings [Line Items]
Estimate of possible loss								$ 38,000,000
Virnet X Inc
Legal Proceedings [Line Items]
Amount awarded to other party, pre interest						$ 343,000,000
Awarded to the other party, interest and legal fees				$ 93,000,000		96,000,000
Amount awarded from other party				595,000,000	$ 502,000,000	$ 439,000,000
Proceeds from legal settlements		$ 454,000,000
Royalty rate awarded, per device				$ 1.20
Number of infringed patents			2
Number of infringed other patents			2

Commitments (Narrative) (Detail) $ in Millions	Jul. 03, 2020 USD ($)
Standby Letters of Credit
Other Commitments And Contingencies [Line Items]
Amount outstanding	$ 99
Performance Guarantee
Other Commitments And Contingencies [Line Items]
Surety bonds notional amount	$ 130

Commitments (Future Expirations Maturity Table) (Details) - Standby Letters of Credit and Surety Bonds $ in Millions	Jul. 03, 2020 USD ($)
Guaranteed Obligation, Type [Line Items]
2020 (remainder of year)	$ 63
2021	64
2022	14
2023	2
2024	1
2025 and thereafter	85
Guaranteed Obligation	$ 229

Subsequent Events (Details) - $450 million notes, due December 2020 - Unsecured Debt - USD ($)	Jul. 31, 2020	Jul. 03, 2020	Apr. 03, 2020	Jan. 03, 2020
Subsequent Event [Line Items]
Debt instrument, face amount		$ 450,000,000	$ 450,000,000	$ 450,000,000
Subsequent Event
Subsequent Event [Line Items]
Debt instrument, face amount	$ 450,000,000