Restatement

During the first half of 2016, the Company identified certain errors in its 2015 annual consolidated financial statements primarily related to the underaccrual of certain 2015 estimates, most notably for its sales commission plan, which were partially offset by tax-related items. These errors were originally corrected in the first half of 2016 by recording $11 million of additional pre-tax expenses, primarily within operating expenses, which when combined with tax-related items resulted in a $7 million increase to the net loss within the consolidated statement of operations as of the six months ended July 2, 2016. During the third quarter of 2016, the Company identified additional income tax errors related to 2015 and an error to the net realizable value of trade receivables acquired in connection with the Company's acquisition of the Enterprise business of Motorola Solutions, Inc impacting goodwill and general and administrative expenses. The Company has concluded that these errors were material, in the aggregate, to the consolidated financial statements for the year ended December 31, 2015.

By restating our financial statements to correct the errors discussed above, we are making adjustments for previously identified accounting errors deemed immaterial with respect to the year ended December 31, 2015, which were recorded in the Company's 2016 financial results. In conjunction with the restatement, we have determined that it is appropriate within this Amendment to reflect these adjustments in the year ended December 31, 2015 Consolidated Financial Statements.

The Consolidated Balance Sheet, Consolidated Statements of Operations, Comprehensive Loss, and Cash Flows, and Notes 5, 6, 7, 8, 9, 13, 15, 16, and 17 in these financial statements were updated to reflect the restatement.

The tables below present the impact of the changes on the Company's financial statement line items:

Impacted Consolidated balance sheet amounts (in millions)




	As of July 2, 2016
	As Previously Reported		Restatement Adjustments			As Restated
Goodwill	$	2,496	$	(3	)	$	2,493
Long-term deferred income taxes	54		17			71
Total Assets	4,791		14			4,805
Income taxes payable	—		11			11
Total Current liabilities	859		11			870
Other long-term liabilities	110		17			127
Total Liabilities	3,960		28			3,988
Retained earnings	1,320		(14		)	1,306
Total Stockholders' Equity	831		(14		)	817
Total Liabilities and Stockholders' Equity	4,791		14			4,805

Impacted Consolidated statement of operations amounts (in millions, except per share amounts)



	Three months ended July 2, 2016									Six months ended July 2, 2016
	As Previously Reported			Restatement Adjustments			As Restated			As Previously Reported			Restatement Adjustments			As Restated
Net sales of tangible products	$	753		$	—		$	753		$	1,467		$	2		$	1,469
Cost of sales of tangible products	387			—			387			760			2			762
Selling and marketing	112			—			112			233			(8		)	225
General and administrative	78			(1		)	77			152			(1		)	151
Acquisition and integration costs	34			—			34			71			(1		)	70
Exit and restructuring costs	5			—			5			11			(1		)	10
Operating income	22			1			23			22			11			33
Foreign exchange (loss) gain	(5		)	—			(5		)	(4		)	1			(3		)
Interest expense and other, net	(51		)	—			(51		)	(101		)	(1		)	(102		)
Loss before income taxes	(34		)	1			(33		)	(83		)	11			(72		)
Income tax expense (benefit)	15			(3		)	12			(5		)	4			(1		)
Net loss	(49		)	4			(45		)	(78		)	7			(71		)

Basic loss per share	$	(0.95	)	$	0.07		$	(0.88	)	$	(1.51	)	$	0.13		$	(1.38	)
Diluted loss per share	$	(0.95	)	$	0.07		$	(0.88	)	$	(1.51	)	$	0.13		$	(1.38	)

Impacted Consolidated statement of cash flows amounts (in millions)



	Six months ended July 2, 2016
	As Previously Reported			Restatement Adjustments			As Restated
Net loss	$	(78	)	$	7		$	(71	)
Changes in assets and liabilities, net of business acquired:
Accounts receivable	46			(3		)	43
Inventories	32			3			35
Other assets	20			1			21
Accrued liabilities	(66		)	(8		)	(74		)

The Consolidated Statements of Comprehensive Loss as of the three months and six months ended July 2, 2016 were adjusted for the $4 million and $7 million decreases in net loss, respectively.