Subsidiary Guarantors (Tables)

6 Months Ended

Jun. 30, 2015

Subsidiary Guarantors [Abstract]

Schedule of Condensed Consolidating Statements of Operations and Comprehensive Income

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

	Three Months Ended June 30, 2015
($ in millions)	Huntington Ingalls Industries, Inc.			Subsidiary Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Sales and service revenues
Product sales	$	—		$	1,426		$	—		$	—		$	1,426
Service revenues	—			310			18			(9		)	319
Total sales and service revenues	—			1,736			18			(9		)	1,745
Cost of sales and service revenues
Cost of product sales	—			972			—			—			972
Cost of service revenues	—			266			17			(9		)	274
Income (loss) from operating investments, net	—			2			—			—			2
General and administrative expenses	—			171			2			—			173
Goodwill impairment	—			59			—			—			59
Operating income (loss)	—			270			(1		)	—			269
Interest expense	(23		)	(2		)	—			—			(25		)
Equity in earnings (loss) of subsidiaries	171			—			—			(171		)	—
Earnings (loss) before income taxes	148			268			(1		)	(171		)	244
Federal income taxes	(8		)	96			—			—			88
Net earnings (loss)	$	156		$	172		$	(1	)	$	(171	)	$	156
Other comprehensive income (loss), net of tax	13			12			1			(13		)	13
Comprehensive income (loss)	$	169		$	184		$	—		$	(184	)	$	169

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

	Three Months Ended June 30, 2014
($ in millions)	Huntington Ingalls Industries, Inc.			Subsidiary Guarantors			Non-Guarantor Subsidiaries		Eliminations			Consolidated
Sales and service revenues
Product sales	$	—		$	1,433		$	—	$	—		$	1,433
Service revenues	—			281			13		(8		)	286
Total sales and service revenues	—			1,714			13		(8		)	1,719
Cost of sales and service revenues
Cost of product sales	—			1,131			—		—			1,131
Cost of service revenues	—			234			12		(8		)	238
Income (loss) from operating investments, net	—			1			—		—			1
General and administrative expenses	—			170			—		—			170
Operating income (loss)	—			180			1		—			181
Interest expense	(27		)	(2		)	—		—			(29		)
Equity in earnings (loss) of subsidiaries	118			—			—		(118		)	—
Earnings (loss) before income taxes	91			178			1		(118		)	152
Federal income taxes	(9		)	61			—		—			52
Net earnings (loss)	$	100		$	117		$	1	$	(118	)	$	100
Other comprehensive income (loss), net of tax	6			6			—		(6		)	6
Comprehensive income (loss)	$	106		$	123		$	1	$	(124	)	$	106

	Six Months Ended June 30, 2015
($ in millions)	Huntington Ingalls Industries, Inc.			Subsidiary Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Sales and service revenues
Product sales	$	—		$	2,676		$	—		$	—		$	2,676
Service revenues	—			619			29			(9		)	639
Total sales and service revenues	—			3,295			29			(9		)	3,315
Cost of sales and service revenues
Cost of product sales	—			1,957			—			—			1,957
Cost of service revenues	—			537			26			(9		)	554
Income (loss) from operating investments, net	—			3			—			—			3
General and administrative expenses	—			318			5			—			323
Goodwill impairment	—			59			—			—			59
Operating income (loss)	—			427			(2		)	—			425
Interest expense	(45		)	(3		)	—			—			(48		)
Equity in earnings (loss) of subsidiaries	272			—			—			(272		)	—
Earnings (loss) before income taxes	227			424			(2		)	(272		)	377
Federal income taxes	(16		)	150			—			—			134
Net earnings (loss)	$	243		$	274		$	(2	)	$	(272	)	$	243
Other comprehensive income (loss), net of tax	26			27			(1		)	(26		)	26
Comprehensive income (loss)	$	269		$	301		$	(3	)	$	(298	)	$	269

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

	Six Months Ended June 30, 2014
($ in millions)	Huntington Ingalls Industries, Inc.			Subsidiary Guarantors			Non-Guarantor Subsidiaries		Eliminations			Consolidated
Sales and service revenues
Product sales	$	—		$	2,765		$	—	$	—		$	2,765
Service revenues	—			543			15		(10		)	548
Total sales and service revenues	—			3,308			15		(10		)	3,313
Cost of sales and service revenues
Cost of product sales	—			2,191			—		—			2,191
Cost of service revenues	—			461			14		(10		)	465
Income (loss) from operating investments, net	—			3			—		—			3
General and administrative expenses	—			320			—		—			320
Operating income (loss)	—			339			1		—			340
Interest expense	(52		)	(4		)	—		—			(56		)
Equity in earnings (loss) of subsidiaries	225			—			—		(225		)	—
Earnings (loss) before income taxes	173			335			1		(225		)	284
Federal income taxes	(17		)	111			—		—			94
Net earnings (loss)	$	190		$	224		$	1	$	(225	)	$	190
Other comprehensive income (loss), net of tax	12			12			—		(12		)	12
Comprehensive income (loss)	$	202		$	236		$	1	$	(237	)	$	202

Schedule of Condensed Consolidating Statement of Financial Position

CONDENSED CONSOLIDATING STATEMENTS OF FINANCIAL POSITION

	June 30, 2015
($ in millions)	Huntington Ingalls Industries, Inc.		Subsidiary Guarantors		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current Assets
Cash and cash equivalents	$	946	$	1	$	13	$	—		$	960
Accounts receivable, net	—		1,236		8		—			1,244
Inventoried costs, net	—		319		—		—			319
Deferred income taxes	—		132		—		—			132
Prepaid expenses and other current assets	—		38		13		(12		)	39
Total current assets	946		1,726		34		(12		)	2,694
Property, plant, and equipment, net	—		1,755		2		—			1,757
Goodwill	—		973		—		—			973
Other purchased intangibles, net	—		534		—		—			534
Pension plan asset	—		25		—		—			25
Long-term deferred tax asset	—		204		—		—			204
Miscellaneous other assets	25		100		—		—			125
Investment in subsidiaries	3,703		—		—		(3,703		)	—
Intercompany receivables	—		1,614		—		(1,614		)	—
Total assets	$	4,674	$	6,931	$	36	$	(5,329	)	$	6,312
Liabilities and Stockholders' Equity
Current Liabilities
Trade accounts payable	$	—	$	267	$	2	$	—		$	269
Accrued employees’ compensation	—		197		1		—			198
Current portion of long-term debt	374		—		—		—			374
Current portion of postretirement plan liabilities	—		143		—		—			143
Current portion of workers’ compensation liabilities	—		224		—		—			224
Advance payments and billings in excess of revenues	—		117		—		—			117
Other current liabilities	18		246		12		(12		)	264
Total current liabilities	392		1,194		15		(12		)	1,589
Long-term debt	1,200		105		—		—			1,305
Pension plan liabilities	—		866		—		—			866
Other postretirement plan liabilities	—		511		—		—			511
Workers’ compensation liabilities	—		454		—		—			454
Other long-term liabilities	—		102		—		—			102
Intercompany liabilities	1,597		—		17		(1,614		)	—
Total liabilities	3,189		3,232		32		(1,626		)	4,827
Stockholders’ equity	1,485		3,699		4		(3,703		)	1,485
Total liabilities and stockholders’ equity	$	4,674	$	6,931	$	36	$	(5,329	)	$	6,312

CONDENSED CONSOLIDATING STATEMENTS OF FINANCIAL POSITION

	December 31, 2014
($ in millions)	Huntington Ingalls Industries, Inc.		Subsidiary Guarantors		Non-Guarantor Subsidiaries		Eliminations			Consolidated
Assets
Current Assets
Cash and cash equivalents	$	980	$	4	$	6	$	—		$	990
Accounts receivable, net	—		1,022		16		—			1,038
Inventoried costs, net	—		339		—		—			339
Deferred income taxes	—		129		—		—			129
Prepaid expenses and other current assets	1		48		5		(4		)	50
Total current assets	981		1,542		27		(4		)	2,546
Property, plant, and equipment, net	—		1,790		2		—			1,792
Goodwill	—		1,026		—		—			1,026
Other purchased intangibles, net	—		547		—		—			547
Pension plan asset	—		17		—		—			17
Long-term deferred tax assets	—		212		—		—			212
Miscellaneous other assets	30		99		—		—			129
Investment in subsidiaries	3,421		—		—		(3,421		)	—
Intercompany receivables	—		1,469		—		(1,469		)	—
Total assets	$	4,432	$	6,702	$	29	$	(4,894	)	$	6,269
Liabilities and Stockholders' Equity
Current Liabilities
Trade accounts payable	$	—	$	265	$	4	$	—		$	269
Accrued employees’ compensation	—		247		1		—			248
Current portion of long-term debt	108		—		—		—			108
Current portion of postretirement plan liabilities	—		143		—		—			143
Current portion of workers’ compensation liabilities	—		221		—		—			221
Advance payments and billings in excess of revenues	—		74		—		—			74
Other current liabilities	15		234		4		(4		)	249
Total current liabilities	123		1,184		9		(4		)	1,312
Long-term debt	1,488		104		—		—			1,592
Pension plan liabilities	—		939		—		—			939
Other postretirement plan liabilities	—		507		—		—			507
Workers’ compensation liabilities	—		449		—		—			449
Other long-term liabilities	—		105		—		—			105
Intercompany liabilities	1,456		—		13		(1,469		)	—
Total liabilities	3,067		3,288		22		(1,473		)	4,904
Stockholders’ equity	1,365		3,414		7		(3,421		)	1,365
Total liabilities and stockholders’ equity	$	4,432	$	6,702	$	29	$	(4,894	)	$	6,269

Schedule of Condensed Consolidating Statements of Cash Flows

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

	Six Months Ended June 30, 2015
($ in millions)	Huntington Ingalls Industries, Inc.			Subsidiary Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(25	)	$	184		$	4		$	—		$	163
Investing Activities
Additions to property, plant, and equipment	—			(48		)	(1		)	—			(49		)
Proceeds from insurance settlement related to investing activities	—			21			—			—			21
Acquisitions of businesses, net of cash received	—			(6		)	—			—			(6		)
Proceeds from disposition of assets	—			32			—			—			32
Net funding from (to) parent	—			(145		)	—			145			—
Net cash provided by (used in) investing activities	—			(146		)	(1		)	145			(2		)
Financing Activities
Repayment of long-term debt	(21		)	—			—			—			(21		)
Dividends paid	(39		)	—			—			—			(39		)
Repurchases of common stock	(90		)	—			—			—			(90		)
Employee taxes on certain share-based payment arrangements	—			(54		)	—			—			(54		)
Excess tax benefit related to stock-based compensation	—			13			—			—			13
Net funding from (to) subsidiary/parent	141			—			4			(145		)	—
Net cash provided by (used in) financing activities	(9		)	(41		)	4			(145		)	(191		)
Change in cash and cash equivalents	(34		)	(3		)	7			—			(30		)
Cash and cash equivalents, beginning of period	980			4			6			—			990
Cash and cash equivalents, end of period	$	946		$	1		$	13		$	—		$	960

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

	Six Months Ended June 30, 2014
($ in millions)	Huntington Ingalls Industries, Inc.			Subsidiary Guarantors			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	(36	)	$	95		$	(1	)	$	—		$	58
Investing Activities
Additions to property, plant, and equipment	—			(51		)	—			—			(51		)
Proceeds from insurance settlement related to investing activities	—			—			—			—			—
Acquisitions of businesses, net of cash received	—			(276		)	3			—			(273		)
Net funding from (to) parent	—			281			—			(281		)	—
Net cash provided by (used in) investing activities	—			(46		)	3			(281		)	(324		)
Financing Activities
Repayment of long-term debt	(14		)	—			—			—			(14		)
Dividends paid	(20		)	—			—			—			(20		)
Repurchases of common stock	(104		)	—			—			—			(104		)
Employee taxes on certain share-based payment arrangements	—			(64		)	—			—			(64		)
Proceeds from stock option exercises	—			2			—			—			2
Excess tax benefit related to stock-based compensation	—			15			—			—			15
Net funding from (to) subsidiary	(281		)	—			—			281			—
Net cash provided by (used in) financing activities	(419		)	(47		)	—			281			(185		)
Change in cash and cash equivalents	(455		)	2			2			—			(451		)
Cash and cash equivalents, beginning of period	1,042			—			1			—			1,043
Cash and cash equivalents, end of period	$	587		$	2		$	3		$	—		$	592