|
CONDENSED COMBINED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $)
In Millions, unless otherwise specified
|
9 Months Ended |
|
Sep. 30, 2014
|
Sep. 30, 2013
|
| Operating activities |
|
|
| Net income |
$ 19 |
$ 68 |
| Adjustments to reconcile net income to net cash used in operating activities: |
|
|
| Depreciation and amortization expense |
2 |
2 |
| Changes in assets and liabilities: |
|
|
| Change in receivables |
40 |
21 |
| Change in other assets |
0 |
(7) |
| Change in accounts payable |
(12) |
(37) |
| Change in billings in excess of costs |
(3) |
2 |
| Change in deferred taxes |
(1) |
(14) |
| Compensation and other employee benefits |
(11) |
(31) |
| Change in other liabilities |
6 |
(4) |
| Net cash provided by operating activities |
40 |
0 |
| Investing activities |
|
|
| Capital expenditures |
(2) |
(1) |
| Net cash used in investing activities |
(2) |
(1) |
| Financing activities |
|
|
| Transfer to Parent, net |
(6) |
(7) |
| Distribution to subsidiary of Exelis |
(136) |
0 |
| Proceeds from issuance of long-term debt |
140 |
0 |
| Debt issuance costs |
(4) |
0 |
| Net cash used in financing activities |
(6) |
(7) |
| Exchange rate effect on cash |
0 |
1 |
| Net change in cash |
32 |
(7) |
| Cash-beginning of year |
10 |
14 |
| Cash-end of period |
$ 42 |
$ 7 |