Summary Of Quarterly Information

12 Months Ended

Dec. 31, 2011

Summary Of Quarterly Information [Abstract]

Summary Of Quarterly Information

Note 16 – Summary of Quarterly Information (Unaudited)

		2011 Quarters
(In millions, except per share data)	First (a)			Second (a)			Third		Fourth
Net sales (b)	$	10,626		$	11,543		$	12,119	$	12,211
Operating profit		864			993			1,041		1,082
Net earnings from continuing operations (c)		556			748			665		698
Net earnings (loss) from discontinued operations (d)		(26	)		(6	)		35		(15	)
Net earnings		530			742			700		683
Basic earnings per share (e)		1.52			2.16			2.12		2.12
Diluted earnings per share (e)		1.50			2.14			2.10		2.09
	2010 Quarters
(In millions, except per share data)	First (a)			Second (a)			Third		Fourth
Net sales (b)	$	10,308		$	11,259		$	11,343	$	12,761
Operating profit		938			1,119			877		1,115
Net earnings from continuing operations (c)		519			717			557		821
Net earnings from discontinued operations (d)		14			107			3		140
Net earnings		533			824			560		961
Basic earnings per share (e)		1.43			2.24			1.56		2.70
Diluted earnings per share (e)		1.41			2.22			1.54		2.67

^(a) Net sales, operating profit, and net earnings (loss) from continuing and discontinued operations varies from the amounts previously reported on Forms 10-Q as a result of Savi being classified as discontinued operations in the third quarter of 2011.

^(b)  The decrease in net sales from the fourth quarter of 2010 to the fourth quarter of 2011 is primarily due to declines in net sales at our Electronic Systems, IS&GS, and Space Systems business segments. The decline at Electronic Systems was primarily due to fewer deliveries on tactical missile programs and net declines in volume on various other programs. The decline at IS&GS was primarily due to lower volume due to the absence of the Decennial Response Integration System (DRIS) program that supported the 2010 U.S. census and a decline in activities on the Airborne Maritime Fixed Station Joint Tactical Radio System (JTRS). The decline at Space Systems was primarily due to decreased volume related to satellite activities.

^(c)  The second quarter of 2011 included a reduction in income tax expense of $89 million due to the resolution of certain tax matters (Note 8) and a charge of $97 million ($63 million after tax) related to severance actions (Note 2). The fourth quarter of 2011 included an increase of $107 million ($66 million after tax) in the non-cash FAS/CAS pension expense adjustment and a decrease in R&D tax credits of $36 million, each as compared to the fourth quarter of 2010, and included a premium of $46 million ($28 million after tax) on the early extinguishments of debt. The first quarter of 2010 included an increase in income tax expense of $96 million resulting from legislation that eliminated the tax deduction for benefit costs reimbursed under Medicare Part D (Note 8). The third quarter of 2010 included a charge of $178 million ($116 million after tax) related to the VESP (Note 2). The fourth quarter of 2010 included a charge of $42 million ($27 million after tax) related to facilities consolidation within our Electronic Systems business segment (Note 2).

^(d)  The third quarter of 2011 included a tax benefit of $66 million related to Savi and the second quarter of 2010 included a tax benefit of $96 million related to PAE, both of which were recorded when the decision was made to dispose of each business. The fourth quarter of 2010 included a gain of $184 million from the sale of EIG. See Note 14 for further information related to these items.

^(e)  The sum of the quarterly earnings per share amounts do not equal the earnings per share amount included on our Statements of Earnings, primarily due to the timing of our share repurchases during 2011 and 2010.