Accounts Payable and Other Current Liabilities

12 Months Ended

Dec. 30, 2023

Other Liabilities Disclosure [Abstract]

Accounts Payable and Other Current Liabilities

Accounts Payable and Other Current Liabilities

Accounts Payable

Supplier Financing Arrangement

We have a financing arrangement with one of our suppliers for a maximum amount of $175 million that extends payment terms for up to 190 days from the receipt of goods and provides for the supplier to be paid by a financial institution earlier than maturity. This financing arrangement expires in April 2024. As of December 30, 2023 and December 31, 2022, the amount due under this supplier financing arrangement was $125 million and $110 million, respectively.

Other Current Liabilities

The other current liabilities of our Manufacturing group are summarized below:

(In millions)	December 30, 2023		December 31, 2022
Contract liabilities	$	1,595	$	1,416
Salaries, wages and employer taxes	466		414
Current portion of warranty and product maintenance liabilities	215		171
Other	722		644
Total	$	2,998	$	2,645

Changes in our warranty liability are as follows:

(In millions)	2023		2022		2021
Balance at beginning of year	$	149	$	127	$	119
Provision	76		73		70
Settlements	(69)		(60)		(66)
Adjustments*	16		9		4
Balance at end of year	$	172	$	149	$	127

* Adjustments include changes to prior year estimates, new issues on prior year sales, business acquisitions and dispositions, and currency translation adjustments.