Segment Information

12 Months Ended

Dec. 31, 2012

Segment Reporting [Abstract]

Segment Reporting Disclosure

Segment Information

We operate in five principal segments: Commercial Airplanes; Boeing Military Aircraft (BMA), Network & Space Systems (N&SS), and Global Services & Support (GS&S), collectively Defense, Space & Security; and Boeing Capital. All other activities fall within the Other segment or Unallocated items and eliminations. See page 54 for the Summary of Business Segment Data, which is an integral part of this note.

The Commercial Airplanes segment develops, produces and markets commercial jet aircraft and provides related support services, principally to the commercial airline industry worldwide.

Our BMA segment is engaged in the research, development, production and modification of manned and unmanned military aircraft and weapons systems for global strike, including fighter and combat rotorcraft aircraft and missile systems; global mobility, including transport, tanker, rotorcraft and tilt-rotor aircraft; and airborne surveillance and reconnaissance, including command and control, battle management and airborne anti-submarine aircraft.

Our N&SS segment is engaged in the research, development, production and modification of the following products and related services: electronics and information systems, including command, control, communications, computers, intelligence, surveillance and reconnaissance (C4ISR), cyber and information solutions, and intelligence systems; strategic missile and defense systems; space and intelligence systems, including satellites and commercial satellite launch vehicles; and space exploration.

Our GS&S segment provides customers with mission readiness through total support solutions. Our global services business sustains aircraft and systems with a full spectrum of products and services through integrated logistics, including supply chain management and engineering support; maintenance, modification and upgrades for aircraft; and training systems and government services, including pilot and maintenance training. GS&S international operations include Boeing Defence U.K. Ltd., Boeing Defence Australia, and Alsalam Aircraft Company, a joint venture.

Our BCC segment facilitates, arranges, structures and provides selective financing solutions for our Commercial Airplanes customers. In the space and defense markets, BCC primarily arranges and structures financing solutions for our BDS government customers.

Our Other segment includes the unallocated activities of Engineering, Operations & Technology (EO&T) and Shared Services Group (SSG), as well as intercompany guarantees provided to BCC. EO&T provides Boeing with technical and functional capabilities, including information technology, research and development, test and evaluation, technology strategy development, environmental remediation management and intellectual property management.

Effective January 1, 2012, 2011 and 2010 certain programs were realigned among BDS segments. Business segment data for all periods presented have been adjusted to reflect the realignment.

While our principal operations are in the United States, Canada and Australia, some key suppliers and subcontractors are located in Europe and Japan. Revenues, including foreign military sales, are reported by customer location and consisted of the following:

Years ended December 31,	2012		2011		2010
Asia, other than China		$10,390		$7,438		$7,288
China	6,086		4,779		3,109
Europe	10,269		9,850		7,872
Middle East	10,285		5,477		3,685
Oceania	2,043		3,067		1,707
Africa	1,282		1,759		956
Canada	586		618		612
Latin America, Caribbean and other	3,555		1,356		930
Total non-U.S. revenues	44,496		34,344		26,159
United States	37,202		34,391		38,147
Total revenues		$81,698		$68,735		$64,306

Revenues from the U.S. government (including foreign military sales through the U.S. government), primarily recorded at BDS, represented 33%, 37% and 43% of consolidated revenues for 2012, 2011 and 2010, respectively. Approximately 3% and 4% of operating assets were located outside the United States as of December 31, 2012 and 2011.The information in the following tables is derived directly from the segments’ internal financial reporting used for corporate management purposes.

Depreciation and Amortization

Years ended December 31,	2012		2011		2010
Commercial Airplanes		$614		$565		$541
Defense, Space & Security:
Boeing Military Aircraft	120		116		143
Network & Space Systems	123		128		161
Global Services & Support	67		62		63
Total Defense, Space & Security	310		306		367
Boeing Capital Corporation	150		153		204
Other segment	261		242		233
Unallocated items and eliminations	476		409		401
Total		$1,811		$1,675		$1,746

Capital Expenditures

Years ended December 31,	2012		2011		2010
Commercial Airplanes		$665		$540		$341
Defense, Space & Security:
Boeing Military Aircraft	153		122		102
Network & Space Systems	115		101		83
Global Services & Support	57		55		51
Total Defense, Space & Security	325		278		236
Other segment	232		174		136
Unallocated items and eliminations	481		721		412
Total		$1,703		$1,713		$1,125

Unallocated capital expenditures relate primarily to assets managed by SSG on behalf of the five principal segments.

We recorded Earnings from operations associated with our cost and equity method investments of $77, $69 and $67 in our Commercial Airplanes segment and $196, $210 and $201 primarily in our N&SS segment for the years ended December 31, 2012, 2011 and 2010, respectively.

For segment reporting purposes, we record Commercial Airplanes segment revenues and cost of sales for airplanes transferred to other segments. Such transfers may include airplanes accounted for as operating leases and considered transferred to the BCC segment and airplanes transferred to the BDS segment for further modification prior to delivery to the customer. The revenues and cost of sales for these transfers are eliminated in the Unallocated items and eliminations caption. For segment reporting purposes, we record BDS revenues and cost of sales for the modification performed on airplanes received from Commercial Airplanes when the airplane is delivered to the customer or at the attainment of performance milestones.

Intersegment revenues, eliminated in Unallocated items and eliminations, are shown in the following table.

Years ended December 31,	2012		2011		2010
Commercial Airplanes		$1,215		$701		$604
Boeing Capital	49		66		92
Total		$1,264		$767		$696

Unallocated Items and Eliminations

Unallocated items and eliminations includes costs not attributable to business segments as well as intercompany profit eliminations. We generally allocate costs to business segments based on the U.S. federal cost accounting standards. Unallocated pension and other postretirement expense represents the difference between costs recognized under Generally Accepted Accounting Principles in the United States of America in the consolidated financial statements and federal cost accounting standards required to be utilized by certain business segments for U.S. government contracting purposes. Components of Unallocated items and eliminations are shown in the following table.

Years ended December 31,	2012			2011			2010
Share-based plans		($81	)		($83	)		($136	)
Deferred compensation	(75		)	(61		)	(112		)
Pension	(787		)	(269		)	54
Postretirement	(112		)	(248		)	(59		)
Capitalized interest	(70		)	(51		)	(54		)
Eliminations and other	(266		)	(276		)	(428		)
Total		($1,391	)		($988	)		($735	)

Unallocated assets primarily consist of cash and investments, net deferred tax assets, capitalized interest and assets held by SSG as well as intercompany eliminations.

Assets

Segment assets are summarized in the table below.

December 31,	2012		2011
Commercial Airplanes		$41,769		$35,458
Defense, Space & Security:
Boeing Military Aircraft	6,674		7,390
Network & Space Systems	6,589		7,018
Global Services & Support	3,680		3,582
Total Defense, Space & Security	16,943		17,990
Boeing Capital	4,077		4,626
Other segment	1,313		1,112
Unallocated items and eliminations	24,794		20,800
Total		$88,896		$79,986