Balance Sheet Accounts and Supplemental Disclosures

12 Months Ended

Nov. 30, 2011

Balance Sheet Accounts and Supplemental Disclosures [Abstract]

Balance Sheet Accounts and Supplemental Disclosures

3. Balance Sheet Accounts and Supplemental Disclosures

a.  Marketable Securities

As of November 30, 2010, the Company’s short-term available-for-sale investments were as follows:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(In millions)
Commercial paper	$	63.4	$	—	$	—	$	63.4

As of November 30, 2010, of the total estimated fair value, $36.7 million was classified as cash and cash equivalents as the remaining maturity at date of purchase was less than three months and $26.7 million was classified as marketable securities. At November 30, 2010, the contractual maturities of the Company’s available-for-sale marketable securities were less than one year.

b.  Accounts Receivable

	As of November 30,
	2011		2010
	(In millions)
Billed	$	58.1	$	58.0
Unbilled		48.8		46.9
Total receivables under long-term contracts		106.9		104.9
Other receivables		0.1		1.8
Accounts receivable	$	107.0	$	106.7

The unbilled receivable amounts as of November 30, 2011 expected to be collected after one year is $0.2 million. Such amounts are billed either upon delivery of completed units or settlement of contracts.

c.  Inventories

	As of November 30,
	2011			2010
	(In millions)
Long-term contracts at average cost	$	262.4		$	230.3
Progress payments		(213.1	)		(180.2	)
Total long-term contract inventories		49.3			50.1
Raw materials		—			0.5
Work in progress		0.2			0.5
Total other inventories		0.2			1.0
Inventories	$	49.5		$	51.1

As of November 30, 2011 and 2010, long-term contract inventories included $7.6 million and $7.8 million, respectively, of deferred qualification costs. Realization of the deferred costs at November 30, 2011 is dependent upon receipt of future firm orders. The Company believes recovery of these costs to be probable and specifically identifiable to future contracts. In addition, long-term contract inventories included an allocation of general and administrative costs incurred throughout fiscal 2011 and fiscal 2010 to be $151.7 million and $126.6 million, respectively, and the cumulative amount of general and administrative costs in long-term contract inventories is estimated to be $5.1 million and $4.3 million at November 30, 2011 and 2010, respectively.

d.  Property, Plant and Equipment, net

	As of November 30,
	2011			2010
	(In millions)
Land	$	32.8		$	33.2
Buildings and improvements		153.9			154.7
Machinery and equipment		349.0			359.3
Construction-in-progress		17.4			11.8
		553.1			559.0
Less: accumulated depreciation		(426.2	)		(432.6	)
Property, plant and equipment, net	$	126.9		$	126.4

Depreciation expense for fiscal 2011, 2010, and 2009 was $21.8 million, $25.2 million, and $23.0 million, respectively.

e.  Intangible Assets

As of November 30, 2011	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
	(In millions)
Customer related	$	10.7	$	4.6	$	6.1
Acquired technology		18.3		9.0		9.3
Intangible assets	$	29.0	$	13.6	$	15.4

As of November 30, 2010	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
	(In millions)
Customer related	$	10.7	$	4.1	$	6.6
Acquired technology		18.3		8.0		10.3
Intangible assets	$	29.0	$	12.1	$	16.9

Amortization expense related to intangible assets was $1.5 million in fiscal 2011. Amortization expense related to intangible assets was $1.6 million in fiscal 2010 and 2009. Amortization expense for fiscal 2012 and 2013 related to intangible assets is estimated to be approximately $1.5 million annually. Amortization expense for fiscal 2014 through 2016 related to intangible assets is estimated to be approximately $1.4 million annually.

f.  Other Noncurrent Assets, net

	As of November 30,
	2011		2010
	(In millions)
Receivable from Northrop (see Note 7(d))	$	66.3	$	58.6
Recoverable from the U.S. government for conditional asset retirement obligations		12.3		10.7
Deferred financing costs		8.4		8.5
Other		23.7		27.7
Other noncurrent assets, net	$	110.7	$	105.5

The Company amortizes deferred financing costs over the estimated life of the related debt. Amortization of deferred financing costs was $3.2 million, $3.8 million, and $5.2 million in fiscal 2011, 2010, and 2009, respectively. In addition, the Company incurred charges of $1.3 million, $0.7 million and $0.2 million in fiscal 2011, 2010, and 2009, respectively, related to amendments to the Company’s Senior Credit Facility.

g.  Other Current Liabilities

	As of November 30,
	2011		2010
	(In millions)
Accrued compensation and employee benefits	$	44.0	$	49.4
Legal settlements		10.7		10.6
Interest payable		7.9		7.4
Contract loss provisions		4.7		3.3
Deferred revenue		0.6		1.5
Other		36.2		38.1
Other current liabilities	$	104.1	$	110.3

h.  Other Noncurrent Liabilities

	As of November 30,
	2011		2010
	(In millions)
Legal settlements	$	8.3	$	13.8
Conditional asset retirement obligations		17.8		15.3
Deferred revenue		9.2		9.8
Deferred compensation		7.8		7.0
Pension benefits, non-qualified		16.1		15.6
Other		4.9		5.3
Other noncurrent liabilities	$	64.1	$	66.8

i. Accumulated Other Comprehensive Loss, Net of Income Taxes

The components of accumulated other comprehensive loss, net of income taxes, related to the Company’s retirement benefit plans are presented in the following table:

	As of November 30,
	2011			2010			2009
	(In millions)
Actuarial losses, net	$	(304.2	)	$	(285.9	)	$	(358.4	)
Prior service credits		4.8			4.7			4.6
Accumulated other comprehensive loss	$	(299.4	)	$	(281.2	)	$	(353.8	)

The estimated amounts that will be amortized from accumulated other comprehensive loss into net periodic benefit expense in fiscal 2012 are as follows:

	Pension Benefits		Medical and Life  Benefits
	(In millions)
Recognized actuarial losses (gains), net	$	62.1	$	(3.2	)
	$	62.1	$	(3.2	)