Leases

9 Months Ended

Oct. 02, 2021

Leases [Abstract]

Operating Leases

Leases

Components of Lease Expense

	Three Months Ended				Nine Months Ended
(in millions)	October 2, 2021		September 26, 2020		October 2, 2021		September 26, 2020
Lease expense:
Operating lease cost	$	34	$	34	$	101	$	101
Finance lease cost
Amortization of right-of-use assets	2		3		8		9
Interest on lease liabilities	—		—		—		1
Total finance lease cost	2		3		8		10
Short-term lease cost	—		1		2		2
Variable cost	9		10		27		27
Sublease income	(2)		(2)		(4)		(4)
Net lease expense	$	43	$	46	$	134	$	136

Lease Assets and Liabilities

(in millions)	Statement Line Classification	October 2, 2021		December 31, 2020
Assets:
Operating lease assets	Operating lease assets	$	405	$	468
Finance lease assets	Property, plant, and equipment, net	19		30
		$	424	$	498
Current liabilities:
Operating lease liabilities	Accrued liabilities	$	125	$	126
Finance lease liabilities	Current portion of long-term debt	6		11
		$	131	$	137
Non-current liabilities:
Operating lease liabilities	Operating lease liabilities	$	321	$	402
Finance lease liabilities	Long-term debt	1		5
		$	322	$	407

Other Information Related to Leases

	Nine Months Ended
(in millions)	October 2, 2021		September 26, 2020
Supplemental cash flow information:
Net cash used for operating activities related to operating leases	$	124	$	116
Net cash used for operating activities related to finance leases	—		1
Net cash used for financing activities related to finance leases	9		9
Assets obtained in exchange for lease liabilities:
Operating leases	$	31	$	64

	October 2, 2021		December 31, 2020
Weighted average remaining lease terms (years):
Operating leases	6		6
Finance leases	1		2
Weighted average discount rate:
Operating leases	3.16	%	3.30	%
Finance leases	4.09	%	4.21	%

Future Lease Payments

	October 2, 2021
(in millions)	Operating Leases		Finance Leases		Total
Remainder of 2021	$	20	$	2	$	22
2022	134		4		138
2023	80		1		81
2024	66		—		66
2025	52		—		52
Thereafter	141		—		141
Total lease payments	493		7		500
Less: interest	47		—		47
Present value of lease liabilities	$	446	$	7	$	453

Finance Leases

Leases

Components of Lease Expense

	Three Months Ended				Nine Months Ended
(in millions)	October 2, 2021		September 26, 2020		October 2, 2021		September 26, 2020
Lease expense:
Operating lease cost	$	34	$	34	$	101	$	101
Finance lease cost
Amortization of right-of-use assets	2		3		8		9
Interest on lease liabilities	—		—		—		1
Total finance lease cost	2		3		8		10
Short-term lease cost	—		1		2		2
Variable cost	9		10		27		27
Sublease income	(2)		(2)		(4)		(4)
Net lease expense	$	43	$	46	$	134	$	136

Lease Assets and Liabilities

(in millions)	Statement Line Classification	October 2, 2021		December 31, 2020
Assets:
Operating lease assets	Operating lease assets	$	405	$	468
Finance lease assets	Property, plant, and equipment, net	19		30
		$	424	$	498
Current liabilities:
Operating lease liabilities	Accrued liabilities	$	125	$	126
Finance lease liabilities	Current portion of long-term debt	6		11
		$	131	$	137
Non-current liabilities:
Operating lease liabilities	Operating lease liabilities	$	321	$	402
Finance lease liabilities	Long-term debt	1		5
		$	322	$	407

Other Information Related to Leases

	Nine Months Ended
(in millions)	October 2, 2021		September 26, 2020
Supplemental cash flow information:
Net cash used for operating activities related to operating leases	$	124	$	116
Net cash used for operating activities related to finance leases	—		1
Net cash used for financing activities related to finance leases	9		9
Assets obtained in exchange for lease liabilities:
Operating leases	$	31	$	64

	October 2, 2021		December 31, 2020
Weighted average remaining lease terms (years):
Operating leases	6		6
Finance leases	1		2
Weighted average discount rate:
Operating leases	3.16	%	3.30	%
Finance leases	4.09	%	4.21	%

Future Lease Payments

	October 2, 2021
(in millions)	Operating Leases		Finance Leases		Total
Remainder of 2021	$	20	$	2	$	22
2022	134		4		138
2023	80		1		81
2024	66		—		66
2025	52		—		52
Thereafter	141		—		141
Total lease payments	493		7		500
Less: interest	47		—		47
Present value of lease liabilities	$	446	$	7	$	453