GD General Dynamics Corporation

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General Dynamics is a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions; and technology products and services.

The following is a discussion of certain significant accounting policies, and further discussion is contained in other notes to these financial statements.

Basis of Consolidation and Classification. The unaudited Consolidated Financial Statements include the accounts of General Dynamics Corporation and our wholly owned and majority-owned subsidiaries. We eliminate all intercompany balances and transactions in the unaudited Consolidated Financial Statements.

Consistent with industry practice, we classify assets and liabilities related to long-term contracts as current, even though some of these amounts may not be realized within one year.

Interim Financial Statements. The unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). These rules and regulations permit some of the information and footnote disclosures included in financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP) to be condensed or omitted.

Our fiscal quarters are typically 13 weeks in length. Because our fiscal year ends on December 31, the number of days in our first and fourth quarters varies slightly from year to year. Operating results for the three- and nine-month periods ended October 1, 2023, are not necessarily indicative of the results that may be expected for the year ending December 31, 2023.

The unaudited Consolidated Financial Statements contain all adjustments that are of a normal recurring nature necessary for a fair presentation of our results of operations and financial condition for the three- and nine-month periods ended October 1, 2023, and October 2, 2022.

These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022.

Property, Plant and Equipment, Net. Property, plant and equipment (PP&E) is carried at historical cost, net of accumulated depreciation. Net PP&E consisted of the following:

			October 1, 2023						December 31, 2022
PP&E			$	12,745					$	12,292
Accumulated depreciation			(6,732)						(6,392)
PP&E, net			$	6,013					$	5,900

Accounting Standards Updates. There are accounting standards that have been issued by the Financial Accounting Standards Board (FASB) but are not yet effective. These standards are not expected to have a material impact on our results of operations, financial condition or cash flows.

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Performance Obligations. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account for revenue. A contract’s transaction price is allocated to each distinct performance obligation within that contract and recognized as revenue when, or as, the performance obligation is satisfied. The majority of our contracts have a single performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts and is, therefore, not distinct. Some of our contracts have multiple performance obligations, most commonly due to the contract covering multiple phases of the product life cycle (development, production, maintenance and support). For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation using our best estimate of the standalone selling price of each distinct good or service in the contract. The primary method used to estimate standalone selling price is the expected cost plus a margin approach, under which we forecast our expected costs of satisfying a performance obligation and then add an appropriate margin for that distinct good or service.

Contract modifications are routine in the performance of our contracts. Contracts are often modified to account for changes in contract specifications or requirements. In most instances, contract modifications are for goods or services that are not distinct and, therefore, are accounted for as part of the existing contract.

Our performance obligations are satisfied over time as work progresses or at a point in time. Revenue from products and services transferred to customers over time accounted for 79% and 80% of our revenue for the three- and nine-month periods ended October 1, 2023, and 75% and 78% of our revenue for the three- and nine-month periods ended October 2, 2022, respectively. Substantially all of our revenue in the defense segments is recognized over time because control is transferred continuously to our customers. Typically, revenue is recognized over time using costs incurred to date relative to total estimated costs at completion to measure progress toward satisfying our performance obligations. Incurred costs represent work performed, which corresponds with, and thereby best depicts, the transfer of control to the customer. Contract costs include labor, material, overhead and, when appropriate, G&A expenses.

Revenue from goods and services transferred to customers at a point in time accounted for 21% and 20% of our revenue for the three- and nine-month periods ended October 1, 2023, and 25% and 22% of our revenue for the three- and nine-month periods ended October 2, 2022, respectively. Most of our revenue recognized at a point in time is for the manufacture of business jet aircraft in our Aerospace segment. Revenue on these contracts is recognized when the customer obtains control of the asset, which is generally upon delivery and acceptance by the customer of the fully outfitted aircraft.

On October 1, 2023, we had $95.6 billion of remaining performance obligations, which we also refer to as total backlog. We expect to recognize approximately 45% of our remaining performance obligations as revenue by year-end 2024, an additional 35% by year-end 2026 and the balance thereafter.

Contract Estimates. The majority of our revenue is derived from long-term contracts and programs that can span several years. Accounting for long-term contracts and programs involves the use of various techniques to estimate total contract revenue and costs. For long-term contracts, we estimate the profit on a contract as the difference between the total estimated revenue and expected costs to complete a contract and recognize that profit over the life of the contract.

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Contract estimates are based on various assumptions to project the outcome of future events that often span several years. These assumptions include labor productivity and availability; the complexity of the work to be performed; the cost and availability of materials; the performance of subcontractors; and the availability and timing of funding from the customer.

The nature of our contracts gives rise to several types of variable consideration, including claims, award fees and incentive fees. We include in our contract estimates additional revenue for contract modifications or claims against the customer when we believe we have an enforceable right to the modification or claim, the amount can be estimated reliably and its realization is probable. In evaluating these criteria, we consider the contractual/legal basis for the claim, the cause of any additional costs incurred, the reasonableness of those costs and the objective evidence available to support the claim. We include award fees or incentive fees in the estimated transaction price when there is a basis to reasonably estimate the amount of the fee. These estimates are based on historical award experience, anticipated performance and our best judgment at the time.

As a significant change in one or more of these estimates could affect the profitability of our contracts, we review and update our contract-related estimates regularly. We recognize adjustments in estimated profit on contracts under the cumulative catch-up method. Under this method, the impact of the adjustment on profit recorded to date on a contract is recognized in the period the adjustment is identified. Revenue and profit in future periods of contract performance are recognized using the adjusted estimate. If at any time the estimate of contract profitability indicates an anticipated loss on the contract, we recognize the total loss in the period it is identified.

The impact of adjustments in contract estimates on our operating earnings can be reflected in either operating costs and expenses or revenue. The aggregate impact of adjustments in contract estimates increased our revenue, operating earnings and diluted earnings per share as follows:

			Three Months Ended									Nine Months Ended
			October 1, 2023						October 2, 2022			October 1, 2023						October 2, 2022
Revenue			$	27					$	67		$	179					$	286
Operating earnings			11						115			98						321
Diluted earnings per share			$	0.03					$	0.33		$	0.28					$	0.91

While no adjustment on any one contract was material to the unaudited Consolidated Financial Statements for the three- and nine-month periods ended October 1, 2023, or October 2, 2022, our Marine Systems segment’s 2023 results were affected negatively by supply chain impacts to the Virginia-class submarine schedule and cost growth on the Arleigh Burke-class (DDG-51) guided-missile destroyer program, offset partially by improved performance on the John Lewis-class (T-AO-205) fleet replenishment oiler program.

Our Virginia-class submarine contracts include provisions for various equitable adjustments, which is a process for obtaining contract modifications (see discussion above on variable consideration). We have included in our contract estimates additional revenue on the Virginia-class contract for the estimated value of these adjustments. It is reasonably possible that the actual amount sustained in this process could be less than our estimate, which could have a material unfavorable impact on our results of operations.

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Revenue by Category. Our portfolio of products and services consists of approximately 10,000 active contracts. The following series of tables presents our revenue disaggregated by several categories.

Revenue by major products and services was as follows:

			Three Months Ended									Nine Months Ended
			October 1, 2023						October 2, 2022			October 1, 2023						October 2, 2022
Aircraft manufacturing			$	1,348					$	1,712		$	3,715					$	4,086
Aircraft services			684						635			2,162						2,031
Total Aerospace			2,032						2,347			5,877						6,117
Nuclear-powered submarines			2,027						1,785			6,186						5,257
Surface ships			697						701			2,016						1,905
Repair and other services			278						283			851						909
Total Marine Systems			3,002						2,769			9,053						8,071
Military vehicles			1,280						1,134			3,707						3,313
Weapons systems, armament and munitions			739						480			1,650						1,314
Engineering and other services			205						174			547						502
Total Combat Systems			2,224						1,788			5,904						5,129
Information technology (IT) services			2,149						2,038			6,445						6,188
C5ISR* solutions			1,164						1,033			3,325						3,051
Total Technologies			3,313						3,071			9,770						9,239
Total revenue			$	10,571					$	9,975		$	30,604					$	28,556

*Command, control, communications, computers, cyber, intelligence, surveillance and reconnaissance

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Revenue by contract type was as follows:

Three Months Ended October 1, 2023			Aerospace						Marine Systems						Combat Systems						Technologies						Total Revenue
Fixed-price			$	1,816					$	1,513					$	1,992					$	1,428					$	6,749
Cost-reimbursement			—						1,489						220						1,408						3,117
Time-and-materials			216						—						12						477						705
Total revenue			$	2,032					$	3,002					$	2,224					$	3,313					$	10,571
Three Months Ended October 2, 2022
Fixed-price			$	2,127					$	1,670					$	1,575					$	1,315					$	6,687
Cost-reimbursement			—						1,099						199						1,272						2,570
Time-and-materials			220						—						14						484						718
Total revenue			$	2,347					$	2,769					$	1,788					$	3,071					$	9,975
Nine Months Ended October 1, 2023			Aerospace						Marine Systems						Combat Systems						Technologies						Total Revenue
Fixed-price			$	5,145					$	4,687					$	5,204					$	4,255					$	19,291
Cost-reimbursement			—						4,365						651						4,118						9,134
Time-and-materials			732						1						49						1,397						2,179
Total revenue			$	5,877					$	9,053					$	5,904					$	9,770					$	30,604
Nine Months Ended October 2, 2022
Fixed-price			$	5,414					$	4,880					$	4,481					$	3,939					$	18,714
Cost-reimbursement			—						3,191						607						3,856						7,654
Time-and-materials			703						—						41						1,444						2,188
Total revenue			$	6,117					$	8,071					$	5,129					$	9,239					$	28,556

Our segments operate under fixed-price, cost-reimbursement and time-and-materials contracts. Our production contracts are primarily fixed-price. Under these contracts, we agree to perform a specific scope of work for a fixed amount. Contracts for research, engineering, repair and maintenance, and other services are typically cost-reimbursement or time-and-materials. Under cost-reimbursement contracts, the customer reimburses contract costs incurred and pays a fixed, incentive or award-based fee. The amount for an incentive or award fee is determined by our ability to achieve targets set in the contract, such as cost, quality, schedule and performance. Under time-and-materials contracts, the customer pays a fixed hourly rate for direct labor and generally reimburses us for the cost of materials.

Each of these contract types presents advantages and disadvantages. Typically, we assume more risk with fixed-price contracts. However, these types of contracts offer additional profits when we complete the work for less than originally estimated. Cost-reimbursement contracts generally subject us to lower risk. Accordingly, the associated base fees are usually lower than fees earned on fixed-price contracts. Under time-and-materials contracts, our profit may vary if actual labor-hour rates vary significantly from the negotiated rates. Also, because these contracts may provide little or no fee for managing material costs, the content mix can impact profitability.

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Revenue by customer was as follows:

Three Months Ended October 1, 2023			Aerospace						Marine Systems						Combat Systems						Technologies						Total Revenue
U.S. government:
Department of Defense (DoD)			$	46					$	2,970					$	1,309					$	1,914					$	6,239
Non-DoD			—						1						3						1,212						1,216
Foreign military sales (FMS)			14						31						143						14						202
Total U.S. government			60						3,002						1,455						3,140						7,657
U.S. commercial			1,375						—						53						49						1,477
Non-U.S. government			67						—						692						105						864
Non-U.S. commercial			530						—						24						19						573
Total revenue			$	2,032					$	3,002					$	2,224					$	3,313					$	10,571
Three Months Ended October 2, 2022
U.S. government:
DoD			$	61					$	2,723					$	1,029					$	1,716					$	5,529
Non-DoD			—						—						2						1,182						1,184
FMS			20						45						82						7						154
Total U.S. government			81						2,768						1,113						2,905						6,867
U.S. commercial			1,418						1						62						56						1,537
Non-U.S. government			123						—						592						95						810
Non-U.S. commercial			725						—						21						15						761
Total revenue			$	2,347					$	2,769					$	1,788					$	3,071					$	9,975
Nine Months Ended October 1, 2023			Aerospace						Marine Systems						Combat Systems						Technologies						Total Revenue
U.S. government:
DoD			$	241					$	8,948					$	3,184					$	5,654					$	18,027
Non-DoD			—						2						8						3,582						3,592
FMS			53						101						435						33						622
Total U.S. government			294						9,051						3,627						9,269						22,241
U.S. commercial			3,558						1						159						151						3,869
Non-U.S. government			317						1						2,044						297						2,659
Non-U.S. commercial			1,708						—						74						53						1,835
Total revenue			$	5,877					$	9,053					$	5,904					$	9,770					$	30,604
Nine Months Ended October 2, 2022
U.S. government:
DoD			$	221					$	7,948					$	2,824					$	5,134					$	16,127
Non-DoD			—						1						7						3,603						3,611
FMS			102						118						201						23						444
Total U.S. government			323						8,067						3,032						8,760						20,182
U.S. commercial			3,616						2						167						159						3,944
Non-U.S. government			422						2						1,867						290						2,581
Non-U.S. commercial			1,756						—						63						30						1,849
Total revenue			$	6,117					$	8,071					$	5,129					$	9,239					$	28,556

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Contract Balances. The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (contract assets), and customer advances and deposits (contract liabilities) on the Consolidated Balance Sheet. In our defense segments, amounts are billed as work progresses in accordance with agreed-upon contractual terms, either at periodic intervals (e.g., biweekly or monthly) or upon achievement of contractual milestones. Generally, billing occurs subsequent to revenue recognition, resulting in contract assets. However, we sometimes receive advances or deposits from our customers, particularly on our international contracts, before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the Consolidated Balance Sheet on a contract-by-contract basis at the end of each reporting period. In our Aerospace segment, we generally receive deposits from customers upon contract execution and upon achievement of contractual milestones. These deposits are liquidated when revenue is recognized. Changes in the contract asset and liability balances during the nine-month period ended October 1, 2023, were not materially impacted by any other factors.

Revenue recognized for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, that was included in the contract liability balance at the beginning of each year was $869 and $3.5 billion, and $908 and $3.5 billion, respectively. This revenue represented primarily the sale of business jet aircraft.

We compute basic earnings per share (EPS) using net earnings for the period and the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding have decreased in 2023 and 2022 due to share repurchases. See Note K for further discussion of our share repurchases. Diluted EPS incorporates the additional shares issuable upon the assumed exercise of stock options and the release of restricted stock and restricted stock units (RSUs).

Basic and diluted weighted average shares outstanding were as follows (in thousands):

			Three Months Ended									Nine Months Ended
			October 1, 2023						October 2, 2022			October 1, 2023						October 2, 2022
Basic weighted average shares outstanding			272,585						273,916			273,242						275,752
Dilutive effect of stock options and restricted stock/RSUs*			2,160						2,466			2,204						2,615
Diluted weighted average shares outstanding			274,745						276,382			275,446						278,367

*    Excludes outstanding options to purchase shares of common stock that had exercise prices in excess of the average market price of our common stock during the period and, therefore, the effect of including these options would be antidilutive. These options totaled 4,464 and 4,101 for the three- and nine-month periods ended October 1, 2023, and 1,724 and 1,393 for the three- and nine-month periods ended October 2, 2022, respectively.

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			October 1, 2023						December 31, 2022
Deferred tax asset			$	45					$	39
Deferred tax liability			(633)						(685)
Net deferred tax liability			$	(588)					$	(646)

Tax Uncertainties. We participate in the Internal Revenue Service (IRS) Compliance Assurance Process (CAP), a real-time audit of our consolidated federal corporate income tax return. The IRS has examined our consolidated federal income tax returns through 2022.

For all periods open to examination by tax authorities, we periodically assess our liabilities and contingencies based on the latest available information. Where we believe there is more than a 50% chance that our tax position will not be sustained, we record our best estimate of the resulting tax liability, including interest, in the Consolidated Financial Statements. We include any interest or penalties incurred in connection with income taxes as part of income tax expense.

Based on all known facts and circumstances and applicable tax law, we believe the total amount of any unrecognized tax benefits on October 1, 2023, was not material to our results of operations, financial condition or cash flows. In addition, there are no tax positions for which it is reasonably possible that the unrecognized tax benefits will vary significantly over the next 12 months, producing, individually or in the aggregate, a material effect on our results of operations, financial condition or cash flows.

Unbilled receivables represent revenue recognized on long-term contracts (contract costs and estimated profits) less associated advances and progress billings. These amounts will be billed in accordance with the agreed-upon contractual terms. Unbilled receivables consisted of the following:

			October 1, 2023						December 31, 2022
Unbilled revenue			$	40,973					$	39,482
Advances and progress billings			(32,520)						(30,687)
Net unbilled receivables			$	8,453					$	8,795

On October 1, 2023, and December 31, 2022, net unbilled receivables included $1.3 billion and $1.7 billion, respectively, associated with a large international tracked vehicle contract in our Combat Systems segment. The contract, signed in 2010, had been experiencing an unbilled receivable build-up since 2021. Based on ongoing discussions with the customer and continued successful program activity, the customer resumed payments on the contract in the first quarter of 2023.

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Inventories consisted of the following:

			October 1, 2023						December 31, 2022
Work in process			$	5,714					$	4,182
Raw materials			2,491						2,072
Finished goods			39						17
Pre-owned aircraft			38						51
Total inventories			$	8,282					$	6,322

The increase in total inventories during the nine-month period ended October 1, 2023, was due primarily to the ramp-up in production of new Gulfstream aircraft models, including the G700 in anticipation of its certification from the U.S. Federal Aviation Administration in the fourth quarter of 2023, as well as increased production of in-service aircraft reflecting strong customer demand. Customer deposits associated with firm orders for these aircraft, which are reflected in customer advances and deposits and other noncurrent liabilities on the Consolidated Balance Sheet, have correspondingly increased.

Goodwill. The changes in the carrying amount of goodwill by reporting unit were as follows:

			Aerospace						Marine Systems						Combat Systems						Technologies						Total Goodwill
December 31, 2022 (a)			$	3,019					$	297					$	2,766					$	14,252					$	20,334
Acquisitions (b)			—						—						—						16						16
Other (c)			25						—						9						2						36
October 1, 2023 (a)			$	3,044					$	297					$	2,775					$	14,270					$	20,386

(a)Goodwill in the Technologies reporting unit was net of $1.8 billion of accumulated impairment losses.

(b)Included adjustments during the purchase price allocation period.

(c)Consisted primarily of adjustments for foreign currency translation.

Intangible Assets. Intangible assets consisted of the following:

			Gross Carrying Amount (a)			Accumulated Amortization			Net Carrying Amount						Gross Carrying Amount (a)			Accumulated Amortization			Net Carrying Amount
			October 1, 2023												December 31, 2022
Contract and program intangible assets (b)			$	3,246		$	(1,818)		$	1,428					$	3,247		$	(1,688)		$	1,559
Trade names and trademarks			503			(264)			239						496			(248)			248
Technology and software			64			(50)			14						64			(48)			16
Other intangible assets			64			(64)			—						64			(63)			1
Total intangible assets			$	3,877		$	(2,196)		$	1,681					$	3,871		$	(2,047)		$	1,824

(a)Changes in gross carrying amounts consisted primarily of adjustments for foreign currency translation.

(b)Consisted of acquired backlog and probable follow-on work and associated customer relationships.

Amortization expense is included in operating costs and expenses in the Consolidated Statement of Earnings. Amortization expense for intangible assets was $47 and $147 for the three- and nine-month

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Debt consisted of the following:

						October 1, 2023						December 31, 2022
Fixed-rate notes due:			Interest rate:
May 2023			3.375%			$	—					$	750
August 2023			1.875%			—						500
November 2024			2.375%			500						500
April 2025			3.250%			750						750
May 2025			3.500%			750						750
June 2026			1.150%			500						500
August 2026			2.125%			500						500
April 2027			3.500%			750						750
November 2027			2.625%			500						500
May 2028			3.750%			1,000						1,000
April 2030			3.625%			1,000						1,000
June 2031			2.250%			500						500
April 2040			4.250%			750						750
June 2041			2.850%			500						500
November 2042			3.600%			500						500
April 2050			4.250%			750						750
Other			Various			87						90
Total debt principal						9,337						10,590
Less unamortized debt issuance costs and discounts						82						94
Total debt						9,255						10,496
Less current portion						7						1,253
Long-term debt						$	9,248					$	9,243

In May and August of 2023, we repaid fixed-rate notes of $750 and $500, respectively, at their respective scheduled maturities using cash on hand. On October 1, 2023, we had no commercial paper outstanding, but we maintain the ability to access the commercial paper market in the future. Separately, we have a $4 billion committed bank credit facility for general corporate purposes and working capital needs and to support our commercial paper issuances. This credit facility expires in March 2027. We may renew or replace this credit facility in whole or in part at or prior to its expiration date. We also have an effective shelf registration on file with the SEC that allows us to access the debt markets.

Our financing arrangements contain a number of customary covenants and restrictions. We were in compliance with all covenants and restrictions on October 1, 2023.

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A summary of significant other liabilities by balance sheet caption follows:

			October 1, 2023						December 31, 2022
Salaries and wages			$	1,118					$	1,116
Dividends payable			362						347
Lease liabilities			312						288
Workers’ compensation			245						215
Other			1,252						1,288
Total other current liabilities			$	3,289					$	3,254
Customer deposits on commercial contracts			$	2,545					$	2,175
Retirement benefits			2,294						2,453
Lease liabilities			1,430						1,330
Other			2,089						2,475
Total other liabilities			$	8,358					$	8,433

Litigation

In 2015, Electric Boat Corporation, a subsidiary of General Dynamics Corporation, received a civil investigative demand from the U.S. Department of Justice regarding an investigation of potential False Claims Act violations relating to alleged failures of Electric Boat’s quality system with respect to allegedly non-conforming parts purchased from a supplier. In 2016, Electric Boat was made aware that it is a defendant in a lawsuit related to this matter which had been filed under seal in U.S. district court. Also in 2016, the Suspending and Debarring Official for the U.S. Department of the Navy issued a show cause letter to Electric Boat requesting that Electric Boat respond to the official’s concerns regarding Electric Boat’s oversight and management with respect to its quality assurance systems for subcontractors and suppliers. Electric Boat responded to the show cause letter and engaged in discussions with the U.S. government.

In the third quarter of 2019, the Department of Justice declined to intervene in the qui tam action, noting that its investigation continues, and the court unsealed the relator’s complaint. In the fourth quarter of 2020, the relator filed a second amended complaint. In the third quarter of 2021, the court dismissed the relator’s complaint with prejudice. The relator appealed the dismissal of the complaint to the United States Court of Appeals. In the third quarter of 2023, the Court of Appeals affirmed dismissal of the relator’s complaint with prejudice. The relator thereafter filed a petition for rehearing with the Court of Appeals. Given the current status of these matters, we are unable to express a view regarding the ultimate outcome or, if the outcome is adverse, to estimate an amount or range of reasonably possible loss. Depending on the outcome of these matters, there could be a material impact on our results of operations, financial condition and cash flows.

Additionally, various other claims and legal proceedings incidental to the normal course of business are pending or threatened against us. These other matters relate to such issues as government investigations and claims, the protection of the environment, asbestos-related claims and employee-related matters. The nature of litigation is such that we cannot predict the outcome of these other matters. However, based on information currently available, we believe any potential liabilities in these

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other proceedings, individually or in the aggregate, will not have a material impact on our results of operations, financial condition or cash flows.

Environmental

We are subject to and affected by a variety of federal, state, local and foreign environmental laws and regulations. We are directly or indirectly involved in environmental investigations or remediation at some of our current and former facilities and third-party sites that we do not own but where we have been designated a potentially responsible party (PRP) by the U.S. Environmental Protection Agency or a state environmental agency. Based on historical experience, we expect that a significant percentage of the total remediation and compliance costs associated with these facilities will continue to be allowable contract costs and, therefore, recoverable under U.S. government contracts.

As required, we provide financial assurance for certain sites undergoing or subject to investigation or remediation. We accrue environmental costs when it is probable that a liability has been incurred and the amount can be reasonably estimated. Where applicable, we seek insurance recovery for costs related to environmental liabilities. We do not record insurance recoveries before collection is considered probable. Based on all known facts and analyses, we do not believe that our liability at any individual site, or in the aggregate, arising from such environmental conditions will be material to our results of operations, financial condition or cash flows. We also do not believe that the range of reasonably possible additional loss beyond what has been recorded would be material to our results of operations, financial condition or cash flows.

Other

Government Contracts. As a government contractor, we are subject to U.S. government audits and investigations relating to our operations, including claims for fines, penalties, and compensatory and treble damages. We believe the outcome of such ongoing government audits and investigations will not have a material impact on our results of operations, financial condition or cash flows.

In the performance of our contracts, we routinely request contract modifications that require additional funding from the customer. Most often, these requests are due to customer-directed changes in the scope of work. While we are entitled to recovery of these costs under our contracts, the administrative process with our customer may be protracted. Based on the circumstances, we periodically file requests for equitable adjustment (REAs) that are sometimes converted into claims. In some cases, these requests are disputed by our customer. We believe our outstanding modifications, REAs and other claims will be resolved without material impact to our results of operations, financial condition or cash flows.

Letters of Credit and Guarantees. In the ordinary course of business, we have entered into letters of credit, bank guarantees, surety bonds and other similar arrangements with financial institutions and insurance carriers totaling approximately $1.3 billion on October 1, 2023. In addition, from time to time and in the ordinary course of business, we contractually guarantee the payment or performance of our subsidiaries arising under certain contracts.

Aircraft Trade-ins. In connection with orders for new aircraft in contract backlog, some Gulfstream customers hold options to trade in aircraft as partial consideration in their new-aircraft transaction. These trade-in commitments are generally structured to establish the fair market value of the trade-in aircraft at a date generally 45 or fewer days preceding delivery of the new aircraft to the customer. At that time, the customer is required to either exercise the option or allow its expiration. Other trade-in commitments are structured to guarantee a predetermined trade-in value. These commitments present more risk in the event of an adverse change in market conditions. In either case, any excess of the preestablished trade-in

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price above the fair market value at the time the new aircraft is delivered is treated as a reduction of revenue in the new-aircraft sales transaction. As of October 1, 2023, the estimated change in fair market values from the date of the commitments was not material.

Product Warranties. We provide warranties to our customers associated with certain product sales. We record estimated warranty costs in the period in which the related products are delivered. The warranty liability recorded at each balance sheet date is based generally on the number of months of warranty coverage remaining for the products delivered and the average historical monthly warranty payments. Warranty obligations incurred in connection with long-term production contracts are accounted for within the contract estimates at completion. Our other warranty obligations, primarily for business jet aircraft, are included in other current and noncurrent liabilities on the Consolidated Balance Sheet.

The changes in the carrying amount of warranty liabilities for the nine-month periods ended October 1, 2023, and October 2, 2022, were as follows:

Nine Months Ended			October 1, 2023						October 2, 2022
Beginning balance			$	603					$	641
Warranty expense			57						67
Payments			(74)						(84)
Adjustments			5						(21)
Ending balance			$	591					$	603

Share Repurchases. Our board of directors (Board), from time to time, authorizes management to repurchase outstanding shares of our common stock on the open market. In the nine-month period ended October 1, 2023, we repurchased 2 million of our outstanding shares for $434. On October 1, 2023, 4.7 million shares remained authorized by our Board for repurchase, representing 1.7% of our total shares outstanding. We repurchased 4.9 million shares for $1.1 billion in the nine-month period ended October 2, 2022.

Dividends per Share. Our Board declared dividends per share of $1.32 and $3.96 for the three- and nine-month periods ended October 1, 2023, and $1.26 and $3.78 for the three- and nine-month periods ended October 2, 2022, respectively. We paid cash dividends of $363 and $1.1 billion for the three- and nine-month periods ended October 1, 2023, and $345 and $1 billion for the three- and nine-month periods ended October 2, 2022, respectively.

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Accumulated Other Comprehensive Loss. The changes, pretax and net of tax, in each component of accumulated other comprehensive loss (AOCL) consisted of the following:

			Changes in Unrealized Cash Flow Hedges						Foreign Currency Translation Adjustments			Changes in Retirement Plans’ Funded Status			AOCL
December 31, 2022			$	4					$	260		$	(2,416)		$	(2,152)
Other comprehensive income, pretax			(33)						63			526			556
Provision for income tax, net			8						—			(110)			(102)
Other comprehensive income, net of tax			(25)						63			416			454
October 1, 2023			$	(21)					$	323		$	(2,000)		$	(1,698)

December 31, 2021			$	144					$	538		$	(2,602)		$	(1,920)
Other comprehensive loss, pretax			(223)						(500)			134			(589)
Benefit for income tax, net			59						—			(28)			31
Other comprehensive loss, net of tax			(164)						(500)			106			(558)
October 2, 2022			$	(20)					$	38		$	(2,496)		$	(2,478)

Amounts reclassified out of AOCL related primarily to changes in our retirement plans’ funded status and included pretax recognized net actuarial losses and amortization of prior service credit. See Note O for these amounts, which are included in our net periodic pension and other post-retirement benefit cost (credit).

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Summary financial information for each of our segments follows:

			Revenue (a)						Operating Earnings
Three Months Ended			October 1, 2023			October 2, 2022			October 1, 2023			October 2, 2022
Aerospace			$	2,032		$	2,347		$	268		$	312
Marine Systems			3,002			2,769			211			238
Combat Systems			2,224			1,788			300			271
Technologies			3,313			3,071			315			285
Corporate (b)			—			—			(37)			(8)
Total			$	10,571		$	9,975		$	1,057		$	1,098
Nine Months Ended
Aerospace			$	5,877		$	6,117		$	733		$	793
Marine Systems			9,053			8,071			657			660
Combat Systems			5,904			5,129			796			743
Technologies			9,770			9,239			897			887
Corporate (b)			—			—			(126)			(99)
Total			$	30,604		$	28,556		$	2,957		$	2,984

(a)See Note B for additional revenue information by segment.

(b)Corporate operating costs consisted primarily of equity-based compensation expense.

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between marketplace participants. Various valuation approaches can be used to determine fair value, each requiring different valuation inputs. The following hierarchy classifies the inputs used to determine fair value into three levels:

•Level 1 – quoted prices in active markets for identical assets or liabilities.

•Level 2 – inputs, other than quoted prices, observable by a marketplace participant either directly or indirectly.

•Level 3 – unobservable inputs significant to the fair value measurement.

We did not have any significant non-financial assets or liabilities measured at fair value on October 1, 2023, or December 31, 2022.

Our financial instruments include cash and equivalents, accounts receivable and payable, marketable securities held in trust and other investments, short- and long-term debt, and derivative financial instruments. The carrying values of cash and equivalents and accounts receivable and payable on the unaudited Consolidated Balance Sheet approximate their fair value. The following tables present the fair values of our other financial assets and liabilities on October 1, 2023, and December 31, 2022, and the basis for determining their fair values:

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			Carrying Value						Fair Value						Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)
Financial Assets (Liabilities)			October 1, 2023
Measured at fair value:
Marketable securities held in trust:
Cash and equivalents			$	2					$	2					$	—					$	2					$	—
Available-for-sale debt securities			118						118						—						118						—
Commingled equity funds			45						45						45						—						—
Commingled fixed-income funds			5						5						5						—						—
Other investments			17						17						—						—						17
Cash flow hedge assets			62						62						—						62						—
Cash flow hedge liabilities			(71)						(71)						—						(71)						—
Measured at amortized cost:
Short- and long-term debt principal			(9,337)						(8,304)						—						(8,304)						—

			December 31, 2022
Measured at fair value:
Marketable securities held in trust:
Cash and equivalents			$	7					$	7					$	—					$	7					$	—
Available-for-sale debt securities			107						107						—						107						—
Commingled equity funds			42						42						42						—						—
Commingled fixed-income funds			6						6						6						—						—
Other investments			17						17						—						—						17
Cash flow hedge assets			109						109						—						109						—
Cash flow hedge liabilities			(67)						(67)						—						(67)						—
Measured at amortized cost:
Short- and long-term debt principal			(10,590)						(9,773)						—						(9,773)						—

Our Level 1 assets include commingled equity and fixed-income funds that are valued using a unit price or net asset value (NAV). These funds are actively traded and valued using quoted prices for identical securities from the market exchanges. The fair value of our Level 2 assets and liabilities, which consist primarily of fixed-income securities, cash flow hedges and our fixed-rate notes, is determined under a market approach using valuation models that incorporate observable inputs such as interest rates, bond yields and quoted prices for similar assets. Our Level 3 assets include direct private equity investments that are measured using inputs unobservable to a marketplace participant.

We are exposed to market risk, primarily from foreign currency exchange rates, commodity prices and investments. We may use derivative financial instruments to hedge some of these risks as described below. We do not use derivative financial instruments for trading or speculative purposes.

Foreign Currency Risk. Our foreign currency exchange rate risk relates to receipts from customers, payments to suppliers and intercompany transactions denominated in foreign currencies. To the extent possible, we include terms in our contracts that are designed to protect us from this risk. Otherwise, we

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enter into derivative financial instruments, principally foreign currency forward purchase and sale contracts, designed to offset and minimize our risk. The dollar-weighted two-year average maturity of these instruments generally matches the duration of the activities that are at risk.

Commodity Price Risk. We are subject to commodity price risk, primarily on long-term, fixed-price contracts. To the extent possible, we include terms in our contracts that are designed to protect us from these risks. Some of the protective terms included in our contracts are considered derivative financial instruments but are not accounted for separately, because they are clearly and closely related to the host contract. We have not entered into any material commodity hedging contracts but may do so as circumstances warrant. We do not believe that changes in commodity prices will have a material impact on our results of operations or cash flows.

Investment Risk. Our investment policy allows for purchases of fixed-income securities with an investment-grade rating and a maximum maturity of up to five years. On October 1, 2023, and December 31, 2022, we held $1.4 billion and $1.2 billion in cash and equivalents, respectively, but held no marketable securities other than those held in trust to meet some of our obligations under workers’ compensation and non-qualified pension plans. On October 1, 2023, and December 31, 2022, we held marketable securities in trust of $170 and $162, respectively. These marketable securities are reflected at fair value on the Consolidated Balance Sheet in other current and noncurrent assets. See Note M for additional details.

Hedging Activities. We had notional forward exchange contracts outstanding of $5.7 billion and $6.9 billion on October 1, 2023, and December 31, 2022, respectively. These derivative financial instruments are cash flow hedges, and are reflected at fair value on the Consolidated Balance Sheet in other current assets and liabilities. See Note M for additional details.

Changes in fair value (gains and losses) related to derivative financial instruments that qualify as cash flow hedges are deferred in AOCL until the underlying transaction is reflected in earnings. Alternatively, gains and losses on derivative financial instruments that do not qualify for hedge accounting are recorded each period in earnings. All gains and losses from derivative financial instruments recognized in the Consolidated Statement of Earnings are presented in the same line item as the underlying transaction, generally operating costs and expenses.

Net gains and losses recognized in earnings on derivative financial instruments that do not qualify for hedge accounting were not material to our results of operations for the three- and nine-month periods ended October 1, 2023, and October 2, 2022. Net gains and losses reclassified to earnings from AOCL related to qualified hedges were also not material to our results of operations for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, and we do not expect the amount of these gains and losses that will be reclassified to earnings during the next 12 months to be material.

We had no material derivative financial instruments designated as fair value or net investment hedges on October 1, 2023, and December 31, 2022.

Foreign Currency Financial Statement Translation. We translate foreign currency balance sheets from our international businesses’ functional currency (generally the respective local currency) to U.S. dollars at the end-of-period exchange rates, and statements of earnings at the average exchange rates for each period. The resulting foreign currency translation adjustments are a component of AOCL.

We do not hedge the fluctuation in reported revenue and earnings resulting from the translation of these international operations’ results into U.S. dollars. The impact of translating our non-U.S. operations’ revenue and earnings into U.S. dollars was not material to our results of operations for the

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We provide retirement benefits to eligible employees through a variety of plans:

•Defined contribution

•Defined benefit

◦Pension (qualified and non-qualified)

◦Other post-retirement benefit

For our defined benefit plans, net periodic benefit cost (credit) for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, consisted of the following:

			Pension Benefits									Other Post-retirement Benefits
Three Months Ended			October 1, 2023						October 2, 2022			October 1, 2023						October 2, 2022
Service cost			$	17					$	26		$	1					$	1
Interest cost			163						100			7						4
Expected return on plan assets			(207)						(227)			(8)						(7)
Net actuarial loss (gain)			183						54			(7)						(4)
Prior service (credit) cost			(4)						(5)			1						—
Net periodic benefit cost (credit)			$	152					$	(52)		$	(6)					$	(6)
Nine Months Ended
Service cost			$	50					$	78		$	3					$	4
Interest cost			488						300			22						14
Expected return on plan assets			(622)						(682)			(24)						(23)
Net actuarial loss (gain)			550						161			(23)						(13)
Prior service (credit) cost			(11)						(15)			2						1
Net periodic benefit cost (credit)			$	455					$	(158)		$	(20)					$	(17)

Our contractual arrangements with the U.S. government provide for the recovery of pension and other post-retirement benefit costs related to employees working on government contracts. The amount allocated to U.S. government contracts is determined in accordance with the Federal Acquisition Regulation (FAR) and Cost Accounting Standards (CAS), which may result in a timing difference with the amount determined under GAAP. We defer this difference on the Consolidated Balance Sheet. At this time, cumulative benefit costs exceed the amount allocated to contracts, and the difference is reported in other current assets. To the extent there is a non-service component of net periodic benefit cost (credit) for our defined benefit plans, it is reported in other income (expense) in the Consolidated Statement of Earnings.

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v3.23.3

Cover	9 Months Ended
	Oct. 01, 2023 shares
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 01, 2023
Document Transition Report	false
Entity File Number	1-3671
Entity Registrant Name	GENERAL DYNAMICS CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	13-1673581
Entity Address, Address Line One	11011 Sunset Hills Road
Entity Address, City or Town	Reston,
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	20190
City Area Code	703
Local Phone Number	876-3000
Title of 12(b) Security	Common Stock
Trading Symbol	GD
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding	272,896,860
Entity Central Index Key	0000040533
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false

v3.23.3

Consolidated Statement of Earnings (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Revenue:
Total revenue	$ 10,571	$ 9,975	$ 30,604	$ 28,556
Operating costs and expenses:
General and administrative (G&A)	(601)	(567)	(1,792)	(1,807)
Operating costs and expenses, total	(9,514)	(8,877)	(27,647)	(25,572)
Operating earnings	1,057	1,098	2,957	2,984
Other, net	19	41	65	120
Interest, net	(85)	(86)	(265)	(279)
Earnings before income tax	991	1,053	2,757	2,825
Provision for income tax, net	(155)	(151)	(447)	(427)
Net earnings	$ 836	$ 902	$ 2,310	$ 2,398
Earnings per share
Basic (in dollars per share)	$ 3.07	$ 3.29	$ 8.45	$ 8.70
Diluted (in dollars per share)	$ 3.04	$ 3.26	$ 8.39	$ 8.61
Products
Revenue:
Total revenue	$ 6,163	$ 5,935	$ 17,473	$ 16,201
Operating costs and expenses:
Cost of sales	(5,148)	(4,905)	(14,704)	(13,386)
Services
Revenue:
Total revenue	4,408	4,040	13,131	12,355
Operating costs and expenses:
Cost of sales	$ (3,765)	$ (3,405)	$ (11,151)	$ (10,379)

v3.23.3

Consolidated Statement of Comprehensive Income (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Statement of Comprehensive Income [Abstract]
Net earnings	$ 836	$ 902	$ 2,310	$ 2,398
Changes in unrealized cash flow hedges	(14)	(67)	(33)	(223)
Foreign currency translation adjustments	(128)	(311)	63	(500)
Changes in retirement plans’ funded status	169	45	526	134
Other comprehensive income (loss), pretax	27	(333)	556	(589)
(Provision) benefit for income tax, net	(30)	8	(102)	31
Other comprehensive (loss) income, net of tax	(3)	(325)	454	(558)
Comprehensive income	$ 833	$ 577	$ 2,764	$ 1,840

v3.23.3

Consolidated Balance Sheet - USD ($) $ in Millions		Oct. 01, 2023	Dec. 31, 2022
Current assets:
Cash and equivalents		$ 1,352	$ 1,242
Accounts receivable		3,132	3,008
Unbilled receivables		8,453	8,795
Inventories		8,282	6,322
Other current assets		1,560	1,696
Total current assets		22,779	21,063
Noncurrent assets:
Property, plant and equipment, net		6,013	5,900
Intangible assets, net		1,681	1,824
Goodwill	[1]	20,386	20,334
Other assets		2,666	2,464
Total noncurrent assets		30,746	30,522
Total assets		53,525	51,585
Current liabilities:
Short-term debt and current portion of long-term debt		7	1,253
Accounts payable		3,315	3,398
Customer advances and deposits		9,351	7,436
Other current liabilities		3,289	3,254
Total current liabilities		15,962	15,341
Noncurrent liabilities:
Long-term debt		9,248	9,243
Other liabilities		8,358	8,433
Commitments and contingencies (see Note J)
Total noncurrent liabilities		17,606	17,676
Shareholders’ equity:
Common stock		482	482
Surplus		3,671	3,556
Retained earnings		38,626	37,403
Treasury stock		(21,124)	(20,721)
Accumulated other comprehensive loss		(1,698)	(2,152)
Total shareholders’ equity		19,957	18,568
Total liabilities and shareholders’ equity		$ 53,525	$ 51,585
[1] Goodwill in the Technologies reporting unit was net of $1.8 billion of accumulated impairment losses.

v3.23.3

Consolidated Statement of Cash Flows (Unaudited) - USD ($) $ in Millions	9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022
Cash flows from operating activities – continuing operations:
Net earnings	$ 2,310	$ 2,398
Adjustments to reconcile net earnings to net cash from operating activities:
Depreciation of property, plant and equipment	446	420
Amortization of intangible and finance lease right-of-use assets	195	224
Equity-based compensation expense	136	140
Deferred income tax benefit	(158)	(132)
(Increase) decrease in assets, net of effects of business acquisitions:
Accounts receivable	(89)	259
Unbilled receivables	448	422
Inventories	(1,904)	(915)
Increase (decrease) in liabilities, net of effects of business acquisitions:
Accounts payable	(83)	(68)
Customer advances and deposits	2,171	1,598
Other, net	42	(436)
Net cash provided by operating activities	3,514	3,910
Cash flows from investing activities:
Capital expenditures	(600)	(620)
Other, net	(8)	(378)
Net cash used by investing activities	(608)	(998)
Cash flows from financing activities:
Repayment of fixed-rate notes	(1,250)	0
Dividends paid	(1,068)	(1,024)
Purchases of common stock	(434)	(1,119)
Other, net	(40)	103
Net cash used by financing activities	(2,792)	(2,040)
Net cash (used) provided by discontinued operations	(4)	21
Net increase in cash and equivalents	110	893
Cash and equivalents at beginning of period	1,242	1,603
Cash and equivalents at end of period	1,352	2,496
Supplemental cash flow information:
Income tax payments, net	(493)	(767)
Interest payments	$ (224)	$ (206)

v3.23.3

Consolidated Statement of Shareholders' Equity (Unaudited) - USD ($) $ in Millions	Total	Common Stock, Par	Common Stock, Surplus	Retained Earnings	Treasury Stock, Common	Accumulated Other Comprehensive Loss
Beginning balance at Dec. 31, 2021	$ 17,641	$ 482	$ 3,278	$ 35,420	$ (19,619)	$ (1,920)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	2,398			2,398
Cash dividends declared	(1,044)			(1,044)
Equity-based awards	311		233		78
Shares purchased	(1,097)				(1,097)
Other comprehensive loss	(558)					(558)
Ending balance at Oct. 02, 2022	17,651	482	3,511	36,774	(20,638)	(2,478)
Beginning balance at Jul. 03, 2022	17,381	482	3,466	36,218	(20,632)	(2,153)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	902			902
Cash dividends declared	(346)			(346)
Equity-based awards	39		45		(6)
Other comprehensive loss	(325)					(325)
Ending balance at Oct. 02, 2022	17,651	482	3,511	36,774	(20,638)	(2,478)
Beginning balance at Dec. 31, 2022	18,568	482	3,556	37,403	(20,721)	(2,152)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	2,310			2,310
Cash dividends declared	(1,087)			(1,087)
Equity-based awards	146		115		31
Shares purchased	(434)				(434)
Other comprehensive loss	454					454
Ending balance at Oct. 01, 2023	19,957	482	3,671	38,626	(21,124)	(1,698)
Beginning balance at Jul. 02, 2023	19,478	482	3,614	38,154	(21,077)	(1,695)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	836			836
Cash dividends declared	(364)			(364)
Equity-based awards	66		57		9
Shares purchased	(56)				(56)
Other comprehensive loss	(3)					(3)
Ending balance at Oct. 01, 2023	$ 19,957	$ 482	$ 3,671	$ 38,626	$ (21,124)	$ (1,698)

v3.23.3

Summary of Significant Accounting Policies	9 Months Ended
	Oct. 01, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES General Dynamics is a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions; and technology products and services. The following is a discussion of certain significant accounting policies, and further discussion is contained in other notes to these financial statements. Basis of Consolidation and Classification. The unaudited Consolidated Financial Statements include the accounts of General Dynamics Corporation and our wholly owned and majority-owned subsidiaries. We eliminate all intercompany balances and transactions in the unaudited Consolidated Financial Statements. Consistent with industry practice, we classify assets and liabilities related to long-term contracts as current, even though some of these amounts may not be realized within one year. Interim Financial Statements. The unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). These rules and regulations permit some of the information and footnote disclosures included in financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP) to be condensed or omitted. Our fiscal quarters are typically 13 weeks in length. Because our fiscal year ends on December 31, the number of days in our first and fourth quarters varies slightly from year to year. Operating results for the three- and nine-month periods ended October 1, 2023, are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. The unaudited Consolidated Financial Statements contain all adjustments that are of a normal recurring nature necessary for a fair presentation of our results of operations and financial condition for the three- and nine-month periods ended October 1, 2023, and October 2, 2022. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022. Property, Plant and Equipment, Net. Property, plant and equipment (PP&E) is carried at historical cost, net of accumulated depreciation. Net PP&E consisted of the following: October 1, 2023 December 31, 2022 PP&E $ 12,745  $ 12,292  Accumulated depreciation (6,732) (6,392) PP&E, net $ 6,013  $ 5,900  Accounting Standards Updates. There are accounting standards that have been issued by the Financial Accounting Standards Board (FASB) but are not yet effective. These standards are not expected to have a material impact on our results of operations, financial condition or cash flows.

v3.23.3

Revenue	9 Months Ended
	Oct. 01, 2023
Revenue Recognition [Abstract]
Revenue	REVENUE Performance Obligations. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account for revenue. A contract’s transaction price is allocated to each distinct performance obligation within that contract and recognized as revenue when, or as, the performance obligation is satisfied. The majority of our contracts have a single performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts and is, therefore, not distinct. Some of our contracts have multiple performance obligations, most commonly due to the contract covering multiple phases of the product life cycle (development, production, maintenance and support). For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation using our best estimate of the standalone selling price of each distinct good or service in the contract. The primary method used to estimate standalone selling price is the expected cost plus a margin approach, under which we forecast our expected costs of satisfying a performance obligation and then add an appropriate margin for that distinct good or service. Contract modifications are routine in the performance of our contracts. Contracts are often modified to account for changes in contract specifications or requirements. In most instances, contract modifications are for goods or services that are not distinct and, therefore, are accounted for as part of the existing contract. Our performance obligations are satisfied over time as work progresses or at a point in time. Revenue from products and services transferred to customers over time accounted for 79% and 80% of our revenue for the three- and nine-month periods ended October 1, 2023, and 75% and 78% of our revenue for the three- and nine-month periods ended October 2, 2022, respectively. Substantially all of our revenue in the defense segments is recognized over time because control is transferred continuously to our customers. Typically, revenue is recognized over time using costs incurred to date relative to total estimated costs at completion to measure progress toward satisfying our performance obligations. Incurred costs represent work performed, which corresponds with, and thereby best depicts, the transfer of control to the customer. Contract costs include labor, material, overhead and, when appropriate, G&A expenses. Revenue from goods and services transferred to customers at a point in time accounted for 21% and 20% of our revenue for the three- and nine-month periods ended October 1, 2023, and 25% and 22% of our revenue for the three- and nine-month periods ended October 2, 2022, respectively. Most of our revenue recognized at a point in time is for the manufacture of business jet aircraft in our Aerospace segment. Revenue on these contracts is recognized when the customer obtains control of the asset, which is generally upon delivery and acceptance by the customer of the fully outfitted aircraft. On October 1, 2023, we had $95.6 billion of remaining performance obligations, which we also refer to as total backlog. We expect to recognize approximately 45% of our remaining performance obligations as revenue by year-end 2024, an additional 35% by year-end 2026 and the balance thereafter. Contract Estimates. The majority of our revenue is derived from long-term contracts and programs that can span several years. Accounting for long-term contracts and programs involves the use of various techniques to estimate total contract revenue and costs. For long-term contracts, we estimate the profit on a contract as the difference between the total estimated revenue and expected costs to complete a contract and recognize that profit over the life of the contract. Contract estimates are based on various assumptions to project the outcome of future events that often span several years. These assumptions include labor productivity and availability; the complexity of the work to be performed; the cost and availability of materials; the performance of subcontractors; and the availability and timing of funding from the customer. The nature of our contracts gives rise to several types of variable consideration, including claims, award fees and incentive fees. We include in our contract estimates additional revenue for contract modifications or claims against the customer when we believe we have an enforceable right to the modification or claim, the amount can be estimated reliably and its realization is probable. In evaluating these criteria, we consider the contractual/legal basis for the claim, the cause of any additional costs incurred, the reasonableness of those costs and the objective evidence available to support the claim. We include award fees or incentive fees in the estimated transaction price when there is a basis to reasonably estimate the amount of the fee. These estimates are based on historical award experience, anticipated performance and our best judgment at the time. As a significant change in one or more of these estimates could affect the profitability of our contracts, we review and update our contract-related estimates regularly. We recognize adjustments in estimated profit on contracts under the cumulative catch-up method. Under this method, the impact of the adjustment on profit recorded to date on a contract is recognized in the period the adjustment is identified. Revenue and profit in future periods of contract performance are recognized using the adjusted estimate. If at any time the estimate of contract profitability indicates an anticipated loss on the contract, we recognize the total loss in the period it is identified. The impact of adjustments in contract estimates on our operating earnings can be reflected in either operating costs and expenses or revenue. The aggregate impact of adjustments in contract estimates increased our revenue, operating earnings and diluted earnings per share as follows: Three Months Ended Nine Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Revenue $ 27  $ 67  $ 179  $ 286  Operating earnings 11  115  98  321  Diluted earnings per share $ 0.03  $ 0.33  $ 0.28  $ 0.91  While no adjustment on any one contract was material to the unaudited Consolidated Financial Statements for the three- and nine-month periods ended October 1, 2023, or October 2, 2022, our Marine Systems segment’s 2023 results were affected negatively by supply chain impacts to the Virginia-class submarine schedule and cost growth on the Arleigh Burke-class (DDG-51) guided-missile destroyer program, offset partially by improved performance on the John Lewis-class (T-AO-205) fleet replenishment oiler program. Our Virginia-class submarine contracts include provisions for various equitable adjustments, which is a process for obtaining contract modifications (see discussion above on variable consideration). We have included in our contract estimates additional revenue on the Virginia-class contract for the estimated value of these adjustments. It is reasonably possible that the actual amount sustained in this process could be less than our estimate, which could have a material unfavorable impact on our results of operations. Revenue by Category. Our portfolio of products and services consists of approximately 10,000 active contracts. The following series of tables presents our revenue disaggregated by several categories. Revenue by major products and services was as follows: Three Months Ended Nine Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Aircraft manufacturing $ 1,348  $ 1,712  $ 3,715  $ 4,086  Aircraft services 684  635  2,162  2,031  Total Aerospace 2,032  2,347  5,877  6,117  Nuclear-powered submarines 2,027  1,785  6,186  5,257  Surface ships 697  701  2,016  1,905  Repair and other services 278  283  851  909  Total Marine Systems 3,002  2,769  9,053  8,071  Military vehicles 1,280  1,134  3,707  3,313  Weapons systems, armament and munitions 739  480  1,650  1,314  Engineering and other services 205  174  547  502  Total Combat Systems 2,224  1,788  5,904  5,129  Information technology (IT) services 2,149  2,038  6,445  6,188  C5ISR* solutions 1,164  1,033  3,325  3,051  Total Technologies 3,313  3,071  9,770  9,239  Total revenue $ 10,571  $ 9,975  $ 30,604  $ 28,556  *Command, control, communications, computers, cyber, intelligence, surveillance and reconnaissance Revenue by contract type was as follows: Three Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue Fixed-price $ 1,816  $ 1,513  $ 1,992  $ 1,428  $ 6,749  Cost-reimbursement —  1,489  220  1,408  3,117  Time-and-materials 216  —  12  477  705  Total revenue $ 2,032  $ 3,002  $ 2,224  $ 3,313  $ 10,571  Three Months Ended October 2, 2022 Fixed-price $ 2,127  $ 1,670  $ 1,575  $ 1,315  $ 6,687  Cost-reimbursement —  1,099  199  1,272  2,570  Time-and-materials 220  —  14  484  718  Total revenue $ 2,347  $ 2,769  $ 1,788  $ 3,071  $ 9,975  Nine Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue Fixed-price $ 5,145  $ 4,687  $ 5,204  $ 4,255  $ 19,291  Cost-reimbursement —  4,365  651  4,118  9,134  Time-and-materials 732  1  49  1,397  2,179  Total revenue $ 5,877  $ 9,053  $ 5,904  $ 9,770  $ 30,604  Nine Months Ended October 2, 2022 Fixed-price $ 5,414  $ 4,880  $ 4,481  $ 3,939  $ 18,714  Cost-reimbursement —  3,191  607  3,856  7,654  Time-and-materials 703  —  41  1,444  2,188  Total revenue $ 6,117  $ 8,071  $ 5,129  $ 9,239  $ 28,556  Our segments operate under fixed-price, cost-reimbursement and time-and-materials contracts. Our production contracts are primarily fixed-price. Under these contracts, we agree to perform a specific scope of work for a fixed amount. Contracts for research, engineering, repair and maintenance, and other services are typically cost-reimbursement or time-and-materials. Under cost-reimbursement contracts, the customer reimburses contract costs incurred and pays a fixed, incentive or award-based fee. The amount for an incentive or award fee is determined by our ability to achieve targets set in the contract, such as cost, quality, schedule and performance. Under time-and-materials contracts, the customer pays a fixed hourly rate for direct labor and generally reimburses us for the cost of materials. Each of these contract types presents advantages and disadvantages. Typically, we assume more risk with fixed-price contracts. However, these types of contracts offer additional profits when we complete the work for less than originally estimated. Cost-reimbursement contracts generally subject us to lower risk. Accordingly, the associated base fees are usually lower than fees earned on fixed-price contracts. Under time-and-materials contracts, our profit may vary if actual labor-hour rates vary significantly from the negotiated rates. Also, because these contracts may provide little or no fee for managing material costs, the content mix can impact profitability. Revenue by customer was as follows: Three Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue U.S. government: Department of Defense (DoD) $ 46  $ 2,970  $ 1,309  $ 1,914  $ 6,239  Non-DoD —  1  3  1,212  1,216  Foreign military sales (FMS) 14  31  143  14  202  Total U.S. government 60  3,002  1,455  3,140  7,657  U.S. commercial 1,375  —  53  49  1,477  Non-U.S. government 67  —  692  105  864  Non-U.S. commercial 530  —  24  19  573  Total revenue $ 2,032  $ 3,002  $ 2,224  $ 3,313  $ 10,571  Three Months Ended October 2, 2022 U.S. government: DoD $ 61  $ 2,723  $ 1,029  $ 1,716  $ 5,529  Non-DoD —  —  2  1,182  1,184  FMS 20  45  82  7  154  Total U.S. government 81  2,768  1,113  2,905  6,867  U.S. commercial 1,418  1  62  56  1,537  Non-U.S. government 123  —  592  95  810  Non-U.S. commercial 725  —  21  15  761  Total revenue $ 2,347  $ 2,769  $ 1,788  $ 3,071  $ 9,975  Nine Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue U.S. government: DoD $ 241  $ 8,948  $ 3,184  $ 5,654  $ 18,027  Non-DoD —  2  8  3,582  3,592  FMS 53  101  435  33  622  Total U.S. government 294  9,051  3,627  9,269  22,241  U.S. commercial 3,558  1  159  151  3,869  Non-U.S. government 317  1  2,044  297  2,659  Non-U.S. commercial 1,708  —  74  53  1,835  Total revenue $ 5,877  $ 9,053  $ 5,904  $ 9,770  $ 30,604  Nine Months Ended October 2, 2022 U.S. government: DoD $ 221  $ 7,948  $ 2,824  $ 5,134  $ 16,127  Non-DoD —  1  7  3,603  3,611  FMS 102  118  201  23  444  Total U.S. government 323  8,067  3,032  8,760  20,182  U.S. commercial 3,616  2  167  159  3,944  Non-U.S. government 422  2  1,867  290  2,581  Non-U.S. commercial 1,756  —  63  30  1,849  Total revenue $ 6,117  $ 8,071  $ 5,129  $ 9,239  $ 28,556  Contract Balances. The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (contract assets), and customer advances and deposits (contract liabilities) on the Consolidated Balance Sheet. In our defense segments, amounts are billed as work progresses in accordance with agreed-upon contractual terms, either at periodic intervals (e.g., biweekly or monthly) or upon achievement of contractual milestones. Generally, billing occurs subsequent to revenue recognition, resulting in contract assets. However, we sometimes receive advances or deposits from our customers, particularly on our international contracts, before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the Consolidated Balance Sheet on a contract-by-contract basis at the end of each reporting period. In our Aerospace segment, we generally receive deposits from customers upon contract execution and upon achievement of contractual milestones. These deposits are liquidated when revenue is recognized. Changes in the contract asset and liability balances during the nine-month period ended October 1, 2023, were not materially impacted by any other factors. Revenue recognized for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, that was included in the contract liability balance at the beginning of each year was $869 and $3.5 billion, and $908 and $3.5 billion, respectively. This revenue represented primarily the sale of business jet aircraft.

v3.23.3

Earnings Per Share	9 Months Ended
	Oct. 01, 2023
Earnings Per Share [Abstract]
Earnings Per Share	EARNINGS PER SHARE We compute basic earnings per share (EPS) using net earnings for the period and the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding have decreased in 2023 and 2022 due to share repurchases. See Note K for further discussion of our share repurchases. Diluted EPS incorporates the additional shares issuable upon the assumed exercise of stock options and the release of restricted stock and restricted stock units (RSUs). Basic and diluted weighted average shares outstanding were as follows (in thousands): Three Months Ended Nine Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Basic weighted average shares outstanding 272,585  273,916  273,242  275,752  Dilutive effect of stock options and restricted stock/RSUs* 2,160  2,466  2,204  2,615  Diluted weighted average shares outstanding 274,745  276,382  275,446  278,367  *    Excludes outstanding options to purchase shares of common stock that had exercise prices in excess of the average market price of our common stock during the period and, therefore, the effect of including these options would be antidilutive. These options totaled 4,464 and 4,101 for the three- and nine-month periods ended October 1, 2023, and 1,724 and 1,393 for the three- and nine-month periods ended October 2, 2022, respectively.

v3.23.3

Income Taxes	9 Months Ended
	Oct. 01, 2023
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXESNet Deferred Tax Liability. Our deferred tax assets and liabilities are included in other noncurrent assets and liabilities on the Consolidated Balance Sheet. Our net deferred tax liability consisted of the following: October 1, 2023 December 31, 2022 Deferred tax asset $ 45  $ 39  Deferred tax liability (633) (685) Net deferred tax liability $ (588) $ (646) Tax Uncertainties. We participate in the Internal Revenue Service (IRS) Compliance Assurance Process (CAP), a real-time audit of our consolidated federal corporate income tax return. The IRS has examined our consolidated federal income tax returns through 2022. For all periods open to examination by tax authorities, we periodically assess our liabilities and contingencies based on the latest available information. Where we believe there is more than a 50% chance that our tax position will not be sustained, we record our best estimate of the resulting tax liability, including interest, in the Consolidated Financial Statements. We include any interest or penalties incurred in connection with income taxes as part of income tax expense. Based on all known facts and circumstances and applicable tax law, we believe the total amount of any unrecognized tax benefits on October 1, 2023, was not material to our results of operations, financial condition or cash flows. In addition, there are no tax positions for which it is reasonably possible that the unrecognized tax benefits will vary significantly over the next 12 months, producing, individually or in the aggregate, a material effect on our results of operations, financial condition or cash flows.

v3.23.3

Unbilled Receivables	9 Months Ended
	Oct. 01, 2023
Contractors [Abstract]
Unbilled Receivables	UNBILLED RECEIVABLES Unbilled receivables represent revenue recognized on long-term contracts (contract costs and estimated profits) less associated advances and progress billings. These amounts will be billed in accordance with the agreed-upon contractual terms. Unbilled receivables consisted of the following: October 1, 2023 December 31, 2022 Unbilled revenue $ 40,973  $ 39,482  Advances and progress billings (32,520) (30,687) Net unbilled receivables $ 8,453  $ 8,795  On October 1, 2023, and December 31, 2022, net unbilled receivables included $1.3 billion and $1.7 billion, respectively, associated with a large international tracked vehicle contract in our Combat Systems segment. The contract, signed in 2010, had been experiencing an unbilled receivable build-up since 2021. Based on ongoing discussions with the customer and continued successful program activity, the customer resumed payments on the contract in the first quarter of 2023.

v3.23.3

Inventories	9 Months Ended
	Oct. 01, 2023
Inventory Disclosure [Abstract]
Inventories	INVENTORIESThe majority of our inventories are for business jet aircraft. Our inventories are stated at the lower of cost or net realizable value. Work in process represents largely labor, material and overhead costs associated with aircraft in the manufacturing process and is based primarily on the estimated average unit cost in a production lot. Substantially all of our raw materials are valued on either the average cost or the first-in, first-out method. We record pre-owned aircraft acquired in connection with the sale of new aircraft at the lower of the trade-in value or the estimated net realizable value. Inventories consisted of the following: October 1, 2023 December 31, 2022 Work in process $ 5,714  $ 4,182  Raw materials 2,491  2,072  Finished goods 39  17  Pre-owned aircraft 38  51  Total inventories $ 8,282  $ 6,322  The increase in total inventories during the nine-month period ended October 1, 2023, was due primarily to the ramp-up in production of new Gulfstream aircraft models, including the G700 in anticipation of its certification from the U.S. Federal Aviation Administration in the fourth quarter of 2023, as well as increased production of in-service aircraft reflecting strong customer demand. Customer deposits associated with firm orders for these aircraft, which are reflected in customer advances and deposits and other noncurrent liabilities on the Consolidated Balance Sheet, have correspondingly increased.

v3.23.3

Goodwill and Intangible Assets	9 Months Ended
	Oct. 01, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	GOODWILL AND INTANGIBLE ASSETS Goodwill. The changes in the carrying amount of goodwill by reporting unit were as follows: Aerospace Marine Systems Combat Systems Technologies Total Goodwill December 31, 2022 (a) $ 3,019  $ 297  $ 2,766  $ 14,252  $ 20,334  Acquisitions (b) —  —  —  16  16  Other (c) 25  —  9  2  36  October 1, 2023 (a) $ 3,044  $ 297  $ 2,775  $ 14,270  $ 20,386  (a)Goodwill in the Technologies reporting unit was net of $1.8 billion of accumulated impairment losses. (b)Included adjustments during the purchase price allocation period. (c)Consisted primarily of adjustments for foreign currency translation. Intangible Assets. Intangible assets consisted of the following: Gross Carrying Amount (a) Accumulated Amortization Net Carrying Amount Gross Carrying Amount (a) Accumulated Amortization Net Carrying Amount October 1, 2023 December 31, 2022 Contract and program intangible assets (b) $ 3,246  $ (1,818) $ 1,428  $ 3,247  $ (1,688) $ 1,559  Trade names and trademarks 503  (264) 239  496  (248) 248  Technology and software 64  (50) 14  64  (48) 16  Other intangible assets 64  (64) —  64  (63) 1  Total intangible assets $ 3,877  $ (2,196) $ 1,681  $ 3,871  $ (2,047) $ 1,824  (a)Changes in gross carrying amounts consisted primarily of adjustments for foreign currency translation. (b)Consisted of acquired backlog and probable follow-on work and associated customer relationships. Amortization expense is included in operating costs and expenses in the Consolidated Statement of Earnings. Amortization expense for intangible assets was $47 and $147 for the three- and nine-month periods ended October 1, 2023, and $53 and $152 for the three- and nine-month periods ended October 2, 2022, respectively.

v3.23.3

Debt	9 Months Ended
	Oct. 01, 2023
Debt Disclosure [Abstract]
Debt	DEBT Debt consisted of the following: October 1, 2023 December 31, 2022 Fixed-rate notes due: Interest rate: May 2023 3.375% $ —  $ 750  August 2023 1.875% —  500  November 2024 2.375% 500  500  April 2025 3.250% 750  750  May 2025 3.500% 750  750  June 2026 1.150% 500  500  August 2026 2.125% 500  500  April 2027 3.500% 750  750  November 2027 2.625% 500  500  May 2028 3.750% 1,000  1,000  April 2030 3.625% 1,000  1,000  June 2031 2.250% 500  500  April 2040 4.250% 750  750  June 2041 2.850% 500  500  November 2042 3.600% 500  500  April 2050 4.250% 750  750  Other Various 87  90  Total debt principal 9,337  10,590  Less unamortized debt issuance costs and discounts 82  94  Total debt 9,255  10,496  Less current portion 7  1,253  Long-term debt $ 9,248  $ 9,243  In May and August of 2023, we repaid fixed-rate notes of $750 and $500, respectively, at their respective scheduled maturities using cash on hand. On October 1, 2023, we had no commercial paper outstanding, but we maintain the ability to access the commercial paper market in the future. Separately, we have a $4 billion committed bank credit facility for general corporate purposes and working capital needs and to support our commercial paper issuances. This credit facility expires in March 2027. We may renew or replace this credit facility in whole or in part at or prior to its expiration date. We also have an effective shelf registration on file with the SEC that allows us to access the debt markets. Our financing arrangements contain a number of customary covenants and restrictions. We were in compliance with all covenants and restrictions on October 1, 2023.

v3.23.3

Other Liabilities	9 Months Ended
	Oct. 01, 2023
Other Liabilities Disclosure [Abstract]
Other Liabilities	OTHER LIABILITIES A summary of significant other liabilities by balance sheet caption follows: October 1, 2023 December 31, 2022 Salaries and wages $ 1,118  $ 1,116  Dividends payable 362  347  Lease liabilities 312  288  Workers’ compensation 245  215  Other 1,252  1,288  Total other current liabilities $ 3,289  $ 3,254  Customer deposits on commercial contracts $ 2,545  $ 2,175  Retirement benefits 2,294  2,453  Lease liabilities 1,430  1,330  Other 2,089  2,475  Total other liabilities $ 8,358  $ 8,433

v3.23.3

Commitments And Contingencies	9 Months Ended
	Oct. 01, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments And Contingencies	COMMITMENTS AND CONTINGENCIES Litigation In 2015, Electric Boat Corporation, a subsidiary of General Dynamics Corporation, received a civil investigative demand from the U.S. Department of Justice regarding an investigation of potential False Claims Act violations relating to alleged failures of Electric Boat’s quality system with respect to allegedly non-conforming parts purchased from a supplier. In 2016, Electric Boat was made aware that it is a defendant in a lawsuit related to this matter which had been filed under seal in U.S. district court. Also in 2016, the Suspending and Debarring Official for the U.S. Department of the Navy issued a show cause letter to Electric Boat requesting that Electric Boat respond to the official’s concerns regarding Electric Boat’s oversight and management with respect to its quality assurance systems for subcontractors and suppliers. Electric Boat responded to the show cause letter and engaged in discussions with the U.S. government. In the third quarter of 2019, the Department of Justice declined to intervene in the qui tam action, noting that its investigation continues, and the court unsealed the relator’s complaint. In the fourth quarter of 2020, the relator filed a second amended complaint. In the third quarter of 2021, the court dismissed the relator’s complaint with prejudice. The relator appealed the dismissal of the complaint to the United States Court of Appeals. In the third quarter of 2023, the Court of Appeals affirmed dismissal of the relator’s complaint with prejudice. The relator thereafter filed a petition for rehearing with the Court of Appeals. Given the current status of these matters, we are unable to express a view regarding the ultimate outcome or, if the outcome is adverse, to estimate an amount or range of reasonably possible loss. Depending on the outcome of these matters, there could be a material impact on our results of operations, financial condition and cash flows. Additionally, various other claims and legal proceedings incidental to the normal course of business are pending or threatened against us. These other matters relate to such issues as government investigations and claims, the protection of the environment, asbestos-related claims and employee-related matters. The nature of litigation is such that we cannot predict the outcome of these other matters. However, based on information currently available, we believe any potential liabilities in these other proceedings, individually or in the aggregate, will not have a material impact on our results of operations, financial condition or cash flows. Environmental We are subject to and affected by a variety of federal, state, local and foreign environmental laws and regulations. We are directly or indirectly involved in environmental investigations or remediation at some of our current and former facilities and third-party sites that we do not own but where we have been designated a potentially responsible party (PRP) by the U.S. Environmental Protection Agency or a state environmental agency. Based on historical experience, we expect that a significant percentage of the total remediation and compliance costs associated with these facilities will continue to be allowable contract costs and, therefore, recoverable under U.S. government contracts. As required, we provide financial assurance for certain sites undergoing or subject to investigation or remediation. We accrue environmental costs when it is probable that a liability has been incurred and the amount can be reasonably estimated. Where applicable, we seek insurance recovery for costs related to environmental liabilities. We do not record insurance recoveries before collection is considered probable. Based on all known facts and analyses, we do not believe that our liability at any individual site, or in the aggregate, arising from such environmental conditions will be material to our results of operations, financial condition or cash flows. We also do not believe that the range of reasonably possible additional loss beyond what has been recorded would be material to our results of operations, financial condition or cash flows. Other Government Contracts. As a government contractor, we are subject to U.S. government audits and investigations relating to our operations, including claims for fines, penalties, and compensatory and treble damages. We believe the outcome of such ongoing government audits and investigations will not have a material impact on our results of operations, financial condition or cash flows. In the performance of our contracts, we routinely request contract modifications that require additional funding from the customer. Most often, these requests are due to customer-directed changes in the scope of work. While we are entitled to recovery of these costs under our contracts, the administrative process with our customer may be protracted. Based on the circumstances, we periodically file requests for equitable adjustment (REAs) that are sometimes converted into claims. In some cases, these requests are disputed by our customer. We believe our outstanding modifications, REAs and other claims will be resolved without material impact to our results of operations, financial condition or cash flows. Letters of Credit and Guarantees. In the ordinary course of business, we have entered into letters of credit, bank guarantees, surety bonds and other similar arrangements with financial institutions and insurance carriers totaling approximately $1.3 billion on October 1, 2023. In addition, from time to time and in the ordinary course of business, we contractually guarantee the payment or performance of our subsidiaries arising under certain contracts. Aircraft Trade-ins. In connection with orders for new aircraft in contract backlog, some Gulfstream customers hold options to trade in aircraft as partial consideration in their new-aircraft transaction. These trade-in commitments are generally structured to establish the fair market value of the trade-in aircraft at a date generally 45 or fewer days preceding delivery of the new aircraft to the customer. At that time, the customer is required to either exercise the option or allow its expiration. Other trade-in commitments are structured to guarantee a predetermined trade-in value. These commitments present more risk in the event of an adverse change in market conditions. In either case, any excess of the preestablished trade-in price above the fair market value at the time the new aircraft is delivered is treated as a reduction of revenue in the new-aircraft sales transaction. As of October 1, 2023, the estimated change in fair market values from the date of the commitments was not material. Product Warranties. We provide warranties to our customers associated with certain product sales. We record estimated warranty costs in the period in which the related products are delivered. The warranty liability recorded at each balance sheet date is based generally on the number of months of warranty coverage remaining for the products delivered and the average historical monthly warranty payments. Warranty obligations incurred in connection with long-term production contracts are accounted for within the contract estimates at completion. Our other warranty obligations, primarily for business jet aircraft, are included in other current and noncurrent liabilities on the Consolidated Balance Sheet. The changes in the carrying amount of warranty liabilities for the nine-month periods ended October 1, 2023, and October 2, 2022, were as follows: Nine Months Ended October 1, 2023 October 2, 2022 Beginning balance $ 603  $ 641  Warranty expense 57  67  Payments (74) (84) Adjustments 5  (21) Ending balance $ 591  $ 603

v3.23.3

Shareholders' Equity	9 Months Ended
	Oct. 01, 2023
Equity [Abstract]
Shareholders' Equity	SHAREHOLDERS’ EQUITY Share Repurchases. Our board of directors (Board), from time to time, authorizes management to repurchase outstanding shares of our common stock on the open market. In the nine-month period ended October 1, 2023, we repurchased 2 million of our outstanding shares for $434. On October 1, 2023, 4.7 million shares remained authorized by our Board for repurchase, representing 1.7% of our total shares outstanding. We repurchased 4.9 million shares for $1.1 billion in the nine-month period ended October 2, 2022. Dividends per Share. Our Board declared dividends per share of $1.32 and $3.96 for the three- and nine-month periods ended October 1, 2023, and $1.26 and $3.78 for the three- and nine-month periods ended October 2, 2022, respectively. We paid cash dividends of $363 and $1.1 billion for the three- and nine-month periods ended October 1, 2023, and $345 and $1 billion for the three- and nine-month periods ended October 2, 2022, respectively. Accumulated Other Comprehensive Loss. The changes, pretax and net of tax, in each component of accumulated other comprehensive loss (AOCL) consisted of the following: Changes in Unrealized Cash Flow Hedges Foreign Currency Translation Adjustments Changes in Retirement Plans’ Funded Status AOCL December 31, 2022 $ 4  $ 260  $ (2,416) $ (2,152) Other comprehensive income, pretax (33) 63  526  556  Provision for income tax, net 8  —  (110) (102) Other comprehensive income, net of tax (25) 63  416  454  October 1, 2023 $ (21) $ 323  $ (2,000) $ (1,698) December 31, 2021 $ 144  $ 538  $ (2,602) $ (1,920) Other comprehensive loss, pretax (223) (500) 134  (589) Benefit for income tax, net 59  —  (28) 31  Other comprehensive loss, net of tax (164) (500) 106  (558) October 2, 2022 $ (20) $ 38  $ (2,496) $ (2,478) Amounts reclassified out of AOCL related primarily to changes in our retirement plans’ funded status and included pretax recognized net actuarial losses and amortization of prior service credit. See Note O for these amounts, which are included in our net periodic pension and other post-retirement benefit cost (credit).

v3.23.3

Segment Information	9 Months Ended
	Oct. 01, 2023
Segment Reporting [Abstract]
Segment Information	SEGMENT INFORMATIONWe have four operating segments: Aerospace, Marine Systems, Combat Systems and Technologies. We organize our segments in accordance with the nature of products and services offered. We measure each segment’s profitability based on operating earnings. As a result, we do not allocate net interest, other income and expense items, and income taxes to our segments. Summary financial information for each of our segments follows: Revenue (a) Operating Earnings Three Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Aerospace $ 2,032  $ 2,347  $ 268  $ 312  Marine Systems 3,002  2,769  211  238  Combat Systems 2,224  1,788  300  271  Technologies 3,313  3,071  315  285  Corporate (b) —  —  (37) (8) Total $ 10,571  $ 9,975  $ 1,057  $ 1,098  Nine Months Ended Aerospace $ 5,877  $ 6,117  $ 733  $ 793  Marine Systems 9,053  8,071  657  660  Combat Systems 5,904  5,129  796  743  Technologies 9,770  9,239  897  887  Corporate (b) —  —  (126) (99) Total $ 30,604  $ 28,556  $ 2,957  $ 2,984  (a)See Note B for additional revenue information by segment. (b)Corporate operating costs consisted primarily of equity-based compensation expense.

v3.23.3

Fair Value	9 Months Ended
	Oct. 01, 2023
Fair Value Disclosures [Abstract]
Fair Value	FAIR VALUE Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between marketplace participants. Various valuation approaches can be used to determine fair value, each requiring different valuation inputs. The following hierarchy classifies the inputs used to determine fair value into three levels: •Level 1 – quoted prices in active markets for identical assets or liabilities. •Level 2 – inputs, other than quoted prices, observable by a marketplace participant either directly or indirectly. •Level 3 – unobservable inputs significant to the fair value measurement. We did not have any significant non-financial assets or liabilities measured at fair value on October 1, 2023, or December 31, 2022. Our financial instruments include cash and equivalents, accounts receivable and payable, marketable securities held in trust and other investments, short- and long-term debt, and derivative financial instruments. The carrying values of cash and equivalents and accounts receivable and payable on the unaudited Consolidated Balance Sheet approximate their fair value. The following tables present the fair values of our other financial assets and liabilities on October 1, 2023, and December 31, 2022, and the basis for determining their fair values: Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets (Liabilities) October 1, 2023 Measured at fair value: Marketable securities held in trust: Cash and equivalents $ 2  $ 2  $ —  $ 2  $ —  Available-for-sale debt securities 118  118  —  118  —  Commingled equity funds 45  45  45  —  —  Commingled fixed-income funds 5  5  5  —  —  Other investments 17  17  —  —  17  Cash flow hedge assets 62  62  —  62  —  Cash flow hedge liabilities (71) (71) —  (71) —  Measured at amortized cost: Short- and long-term debt principal (9,337) (8,304) —  (8,304) —  December 31, 2022 Measured at fair value: Marketable securities held in trust: Cash and equivalents $ 7  $ 7  $ —  $ 7  $ —  Available-for-sale debt securities 107  107  —  107  —  Commingled equity funds 42  42  42  —  —  Commingled fixed-income funds 6  6  6  —  —  Other investments 17  17  —  —  17  Cash flow hedge assets 109  109  —  109  —  Cash flow hedge liabilities (67) (67) —  (67) —  Measured at amortized cost: Short- and long-term debt principal (10,590) (9,773) —  (9,773) —  Our Level 1 assets include commingled equity and fixed-income funds that are valued using a unit price or net asset value (NAV). These funds are actively traded and valued using quoted prices for identical securities from the market exchanges. The fair value of our Level 2 assets and liabilities, which consist primarily of fixed-income securities, cash flow hedges and our fixed-rate notes, is determined under a market approach using valuation models that incorporate observable inputs such as interest rates, bond yields and quoted prices for similar assets. Our Level 3 assets include direct private equity investments that are measured using inputs unobservable to a marketplace participant.

v3.23.3

Derivative Financial Instruments and Hedging Activities	9 Months Ended
	Oct. 01, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments and Hedging Activities	DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES We are exposed to market risk, primarily from foreign currency exchange rates, commodity prices and investments. We may use derivative financial instruments to hedge some of these risks as described below. We do not use derivative financial instruments for trading or speculative purposes. Foreign Currency Risk. Our foreign currency exchange rate risk relates to receipts from customers, payments to suppliers and intercompany transactions denominated in foreign currencies. To the extent possible, we include terms in our contracts that are designed to protect us from this risk. Otherwise, we enter into derivative financial instruments, principally foreign currency forward purchase and sale contracts, designed to offset and minimize our risk. The dollar-weighted two-year average maturity of these instruments generally matches the duration of the activities that are at risk. Commodity Price Risk. We are subject to commodity price risk, primarily on long-term, fixed-price contracts. To the extent possible, we include terms in our contracts that are designed to protect us from these risks. Some of the protective terms included in our contracts are considered derivative financial instruments but are not accounted for separately, because they are clearly and closely related to the host contract. We have not entered into any material commodity hedging contracts but may do so as circumstances warrant. We do not believe that changes in commodity prices will have a material impact on our results of operations or cash flows. Investment Risk. Our investment policy allows for purchases of fixed-income securities with an investment-grade rating and a maximum maturity of up to five years. On October 1, 2023, and December 31, 2022, we held $1.4 billion and $1.2 billion in cash and equivalents, respectively, but held no marketable securities other than those held in trust to meet some of our obligations under workers’ compensation and non-qualified pension plans. On October 1, 2023, and December 31, 2022, we held marketable securities in trust of $170 and $162, respectively. These marketable securities are reflected at fair value on the Consolidated Balance Sheet in other current and noncurrent assets. See Note M for additional details. Hedging Activities. We had notional forward exchange contracts outstanding of $5.7 billion and $6.9 billion on October 1, 2023, and December 31, 2022, respectively. These derivative financial instruments are cash flow hedges, and are reflected at fair value on the Consolidated Balance Sheet in other current assets and liabilities. See Note M for additional details. Changes in fair value (gains and losses) related to derivative financial instruments that qualify as cash flow hedges are deferred in AOCL until the underlying transaction is reflected in earnings. Alternatively, gains and losses on derivative financial instruments that do not qualify for hedge accounting are recorded each period in earnings. All gains and losses from derivative financial instruments recognized in the Consolidated Statement of Earnings are presented in the same line item as the underlying transaction, generally operating costs and expenses. Net gains and losses recognized in earnings on derivative financial instruments that do not qualify for hedge accounting were not material to our results of operations for the three- and nine-month periods ended October 1, 2023, and October 2, 2022. Net gains and losses reclassified to earnings from AOCL related to qualified hedges were also not material to our results of operations for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, and we do not expect the amount of these gains and losses that will be reclassified to earnings during the next 12 months to be material. We had no material derivative financial instruments designated as fair value or net investment hedges on October 1, 2023, and December 31, 2022. Foreign Currency Financial Statement Translation. We translate foreign currency balance sheets from our international businesses’ functional currency (generally the respective local currency) to U.S. dollars at the end-of-period exchange rates, and statements of earnings at the average exchange rates for each period. The resulting foreign currency translation adjustments are a component of AOCL. We do not hedge the fluctuation in reported revenue and earnings resulting from the translation of these international operations’ results into U.S. dollars. The impact of translating our non-U.S. operations’ revenue and earnings into U.S. dollars was not material to our results of operations for the three- and nine-month periods ended October 1, 2023, and October 2, 2022. In addition, the effect of changes in foreign exchange rates on non-U.S. cash balances was not material for the nine-month periods ended October 1, 2023, and October 2, 2022.

v3.23.3

Retirement Plans	9 Months Ended
	Oct. 01, 2023
Retirement Benefits [Abstract]
Retirement Plans	RETIREMENT PLANS We provide retirement benefits to eligible employees through a variety of plans: •Defined contribution •Defined benefit ◦Pension (qualified and non-qualified) ◦Other post-retirement benefit For our defined benefit plans, net periodic benefit cost (credit) for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, consisted of the following: Pension Benefits Other Post-retirement Benefits Three Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Service cost $ 17  $ 26  $ 1  $ 1  Interest cost 163  100  7  4  Expected return on plan assets (207) (227) (8) (7) Net actuarial loss (gain) 183  54  (7) (4) Prior service (credit) cost (4) (5) 1  —  Net periodic benefit cost (credit) $ 152  $ (52) $ (6) $ (6) Nine Months Ended Service cost $ 50  $ 78  $ 3  $ 4  Interest cost 488  300  22  14  Expected return on plan assets (622) (682) (24) (23) Net actuarial loss (gain) 550  161  (23) (13) Prior service (credit) cost (11) (15) 2  1  Net periodic benefit cost (credit) $ 455  $ (158) $ (20) $ (17) Our contractual arrangements with the U.S. government provide for the recovery of pension and other post-retirement benefit costs related to employees working on government contracts. The amount allocated to U.S. government contracts is determined in accordance with the Federal Acquisition Regulation (FAR) and Cost Accounting Standards (CAS), which may result in a timing difference with the amount determined under GAAP. We defer this difference on the Consolidated Balance Sheet. At this time, cumulative benefit costs exceed the amount allocated to contracts, and the difference is reported in other current assets. To the extent there is a non-service component of net periodic benefit cost (credit) for our defined benefit plans, it is reported in other income (expense) in the Consolidated Statement of Earnings.

v3.23.3

Pay vs Performance Disclosure - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Pay vs Performance Disclosure
Net earnings	$ 836	$ 902	$ 2,310	$ 2,398

v3.23.3

Insider Trading Arrangements	3 Months Ended
	Oct. 01, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

v3.23.3

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Oct. 01, 2023
Accounting Policies [Abstract]
Basis of Consolidation and Classification	The unaudited Consolidated Financial Statements include the accounts of General Dynamics Corporation and our wholly owned and majority-owned subsidiaries. We eliminate all intercompany balances and transactions in the unaudited Consolidated Financial Statements.Consistent with industry practice, we classify assets and liabilities related to long-term contracts as current, even though some of these amounts may not be realized within one year.
Interim Financial Statements	The unaudited Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). These rules and regulations permit some of the information and footnote disclosures included in financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP) to be condensed or omitted. Our fiscal quarters are typically 13 weeks in length. Because our fiscal year ends on December 31, the number of days in our first and fourth quarters varies slightly from year to year. Operating results for the three- and nine-month periods ended October 1, 2023, are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. The unaudited Consolidated Financial Statements contain all adjustments that are of a normal recurring nature necessary for a fair presentation of our results of operations and financial condition for the three- and nine-month periods ended October 1, 2023, and October 2, 2022. These unaudited Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022.
Accounting Standards Updates	There are accounting standards that have been issued by the Financial Accounting Standards Board (FASB) but are not yet effective. These standards are not expected to have a material impact on our results of operations, financial condition or cash flows.
Performance Obligations	A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account for revenue. A contract’s transaction price is allocated to each distinct performance obligation within that contract and recognized as revenue when, or as, the performance obligation is satisfied. The majority of our contracts have a single performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts and is, therefore, not distinct. Some of our contracts have multiple performance obligations, most commonly due to the contract covering multiple phases of the product life cycle (development, production, maintenance and support). For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation using our best estimate of the standalone selling price of each distinct good or service in the contract. The primary method used to estimate standalone selling price is the expected cost plus a margin approach, under which we forecast our expected costs of satisfying a performance obligation and then add an appropriate margin for that distinct good or service.Contract modifications are routine in the performance of our contracts. Contracts are often modified to account for changes in contract specifications or requirements. In most instances, contract modifications are for goods or services that are not distinct and, therefore, are accounted for as part of the existing contract.Our performance obligations are satisfied over time as work progresses or at a point in time. Substantially all of our revenue in the defense segments is recognized over time because control is transferred continuously to our customers. Typically, revenue is recognized over time using costs incurred to date relative to total estimated costs at completion to measure progress toward satisfying our performance obligations. Incurred costs represent work performed, which corresponds with, and thereby best depicts, the transfer of control to the customer. Contract costs include labor, material, overhead and, when appropriate, G&A expenses.Most of our revenue recognized at a point in time is for the manufacture of business jet aircraft in our Aerospace segment. Revenue on these contracts is recognized when the customer obtains control of the asset, which is generally upon delivery and acceptance by the customer of the fully outfitted aircraft.The majority of our revenue is derived from long-term contracts and programs that can span several years. Accounting for long-term contracts and programs involves the use of various techniques to estimate total contract revenue and costs. For long-term contracts, we estimate the profit on a contract as the difference between the total estimated revenue and expected costs to complete a contract and recognize that profit over the life of the contract. Contract estimates are based on various assumptions to project the outcome of future events that often span several years. These assumptions include labor productivity and availability; the complexity of the work to be performed; the cost and availability of materials; the performance of subcontractors; and the availability and timing of funding from the customer. The nature of our contracts gives rise to several types of variable consideration, including claims, award fees and incentive fees. We include in our contract estimates additional revenue for contract modifications or claims against the customer when we believe we have an enforceable right to the modification or claim, the amount can be estimated reliably and its realization is probable. In evaluating these criteria, we consider the contractual/legal basis for the claim, the cause of any additional costs incurred, the reasonableness of those costs and the objective evidence available to support the claim. We include award fees or incentive fees in the estimated transaction price when there is a basis to reasonably estimate the amount of the fee. These estimates are based on historical award experience, anticipated performance and our best judgment at the time. As a significant change in one or more of these estimates could affect the profitability of our contracts, we review and update our contract-related estimates regularly. We recognize adjustments in estimated profit on contracts under the cumulative catch-up method. Under this method, the impact of the adjustment on profit recorded to date on a contract is recognized in the period the adjustment is identified. Revenue and profit in future periods of contract performance are recognized using the adjusted estimate. If at any time the estimate of contract profitability indicates an anticipated loss on the contract, we recognize the total loss in the period it is identified. The impact of adjustments in contract estimates on our operating earnings can be reflected in either operating costs and expenses or revenue.Revenue by Category. Our portfolio of products and services consists of approximately 10,000 active contracts. The following series of tables presents our revenue disaggregated by several categories. Our segments operate under fixed-price, cost-reimbursement and time-and-materials contracts. Our production contracts are primarily fixed-price. Under these contracts, we agree to perform a specific scope of work for a fixed amount. Contracts for research, engineering, repair and maintenance, and other services are typically cost-reimbursement or time-and-materials. Under cost-reimbursement contracts, the customer reimburses contract costs incurred and pays a fixed, incentive or award-based fee. The amount for an incentive or award fee is determined by our ability to achieve targets set in the contract, such as cost, quality, schedule and performance. Under time-and-materials contracts, the customer pays a fixed hourly rate for direct labor and generally reimburses us for the cost of materials. Each of these contract types presents advantages and disadvantages. Typically, we assume more risk with fixed-price contracts. However, these types of contracts offer additional profits when we complete the work for less than originally estimated. Cost-reimbursement contracts generally subject us to lower risk. Accordingly, the associated base fees are usually lower than fees earned on fixed-price contracts. Under time-and-materials contracts, our profit may vary if actual labor-hour rates vary significantly from the negotiated rates. Also, because these contracts may provide little or no fee for managing material costs, the content mix can impact profitability. Contract Balances. The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (contract assets), and customer advances and deposits (contract liabilities) on the Consolidated Balance Sheet. In our defense segments, amounts are billed as work progresses in accordance with agreed-upon contractual terms, either at periodic intervals (e.g., biweekly or monthly) or upon achievement of contractual milestones. Generally, billing occurs subsequent to revenue recognition, resulting in contract assets. However, we sometimes receive advances or deposits from our customers, particularly on our international contracts, before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the Consolidated Balance Sheet on a contract-by-contract basis at the end of each reporting period. In our Aerospace segment, we generally receive deposits from customers upon contract execution and upon achievement of contractual milestones. These deposits are liquidated when revenue is recognized.
Earnings Per Share	We compute basic earnings per share (EPS) using net earnings for the period and the weighted average number of common shares outstanding during the period. Basic weighted average shares outstanding have decreased in 2023 and 2022 due to share repurchases. See Note K for further discussion of our share repurchases. Diluted EPS incorporates the additional shares issuable upon the assumed exercise of stock options and the release of restricted stock and restricted stock units (RSUs).
Tax Uncertainties	We participate in the Internal Revenue Service (IRS) Compliance Assurance Process (CAP), a real-time audit of our consolidated federal corporate income tax return. The IRS has examined our consolidated federal income tax returns through 2022. For all periods open to examination by tax authorities, we periodically assess our liabilities and contingencies based on the latest available information. Where we believe there is more than a 50% chance that our tax position will not be sustained, we record our best estimate of the resulting tax liability, including interest, in the Consolidated Financial Statements. We include any interest or penalties incurred in connection with income taxes as part of income tax expense. Based on all known facts and circumstances and applicable tax law, we believe the total amount of any unrecognized tax benefits on October 1, 2023, was not material to our results of operations, financial condition or cash flows. In addition, there are no tax positions for which it is reasonably possible that the unrecognized tax benefits will vary significantly over the next 12 months, producing, individually or in the aggregate, a material effect on our results of operations, financial condition or cash flows.
Unbilled Receivables	Unbilled receivables represent revenue recognized on long-term contracts (contract costs and estimated profits) less associated advances and progress billings. These amounts will be billed in accordance with the agreed-upon contractual terms.
Inventories	The majority of our inventories are for business jet aircraft. Our inventories are stated at the lower of cost or net realizable value. Work in process represents largely labor, material and overhead costs associated with aircraft in the manufacturing process and is based primarily on the estimated average unit cost in a production lot. Substantially all of our raw materials are valued on either the average cost or the first-in, first-out method. We record pre-owned aircraft acquired in connection with the sale of new aircraft at the lower of the trade-in value or the estimated net realizable value.
Commitments and Contingencies	Environmental We are subject to and affected by a variety of federal, state, local and foreign environmental laws and regulations. We are directly or indirectly involved in environmental investigations or remediation at some of our current and former facilities and third-party sites that we do not own but where we have been designated a potentially responsible party (PRP) by the U.S. Environmental Protection Agency or a state environmental agency. Based on historical experience, we expect that a significant percentage of the total remediation and compliance costs associated with these facilities will continue to be allowable contract costs and, therefore, recoverable under U.S. government contracts. As required, we provide financial assurance for certain sites undergoing or subject to investigation or remediation. We accrue environmental costs when it is probable that a liability has been incurred and the amount can be reasonably estimated. Where applicable, we seek insurance recovery for costs related to environmental liabilities. We do not record insurance recoveries before collection is considered probable. Based on all known facts and analyses, we do not believe that our liability at any individual site, or in the aggregate, arising from such environmental conditions will be material to our results of operations, financial condition or cash flows. We also do not believe that the range of reasonably possible additional loss beyond what has been recorded would be material to our results of operations, financial condition or cash flows. Other Government Contracts. As a government contractor, we are subject to U.S. government audits and investigations relating to our operations, including claims for fines, penalties, and compensatory and treble damages. We believe the outcome of such ongoing government audits and investigations will not have a material impact on our results of operations, financial condition or cash flows. In the performance of our contracts, we routinely request contract modifications that require additional funding from the customer. Most often, these requests are due to customer-directed changes in the scope of work. While we are entitled to recovery of these costs under our contracts, the administrative process with our customer may be protracted. Based on the circumstances, we periodically file requests for equitable adjustment (REAs) that are sometimes converted into claims. In some cases, these requests are disputed by our customer. We believe our outstanding modifications, REAs and other claims will be resolved without material impact to our results of operations, financial condition or cash flows. Letters of Credit and Guarantees. In the ordinary course of business, we have entered into letters of credit, bank guarantees, surety bonds and other similar arrangements with financial institutions and insurance carriers totaling approximately $1.3 billion on October 1, 2023. In addition, from time to time and in the ordinary course of business, we contractually guarantee the payment or performance of our subsidiaries arising under certain contracts. Aircraft Trade-ins. In connection with orders for new aircraft in contract backlog, some Gulfstream customers hold options to trade in aircraft as partial consideration in their new-aircraft transaction. These trade-in commitments are generally structured to establish the fair market value of the trade-in aircraft at a date generally 45 or fewer days preceding delivery of the new aircraft to the customer. At that time, the customer is required to either exercise the option or allow its expiration. Other trade-in commitments are structured to guarantee a predetermined trade-in value. These commitments present more risk in the event of an adverse change in market conditions. In either case, any excess of the preestablished trade-in price above the fair market value at the time the new aircraft is delivered is treated as a reduction of revenue in the new-aircraft sales transaction. As of October 1, 2023, the estimated change in fair market values from the date of the commitments was not material.
Product Warranties	Product Warranties. We provide warranties to our customers associated with certain product sales. We record estimated warranty costs in the period in which the related products are delivered. The warranty liability recorded at each balance sheet date is based generally on the number of months of warranty coverage remaining for the products delivered and the average historical monthly warranty payments. Warranty obligations incurred in connection with long-term production contracts are accounted for within the contract estimates at completion. Our other warranty obligations, primarily for business jet aircraft, are included in other current and noncurrent liabilities on the Consolidated Balance Sheet.
Segment Information	We organize our segments in accordance with the nature of products and services offered. We measure each segment’s profitability based on operating earnings. As a result, we do not allocate net interest, other income and expense items, and income taxes to our segments.
Fair Value	Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between marketplace participants. Various valuation approaches can be used to determine fair value, each requiring different valuation inputs. The following hierarchy classifies the inputs used to determine fair value into three levels: •Level 1 – quoted prices in active markets for identical assets or liabilities. •Level 2 – inputs, other than quoted prices, observable by a marketplace participant either directly or indirectly. •Level 3 – unobservable inputs significant to the fair value measurement. Our financial instruments include cash and equivalents, accounts receivable and payable, marketable securities held in trust and other investments, short- and long-term debt, and derivative financial instruments. The carrying values of cash and equivalents and accounts receivable and payable on the unaudited Consolidated Balance Sheet approximate their fair value.Our Level 1 assets include commingled equity and fixed-income funds that are valued using a unit price or net asset value (NAV). These funds are actively traded and valued using quoted prices for identical securities from the market exchanges. The fair value of our Level 2 assets and liabilities, which consist primarily of fixed-income securities, cash flow hedges and our fixed-rate notes, is determined under a market approach using valuation models that incorporate observable inputs such as interest rates, bond yields and quoted prices for similar assets. Our Level 3 assets include direct private equity investments that are measured using inputs unobservable to a marketplace participant.
Derivative Financial Instruments and Hedging Activities	We are exposed to market risk, primarily from foreign currency exchange rates, commodity prices and investments. We may use derivative financial instruments to hedge some of these risks as described below. We do not use derivative financial instruments for trading or speculative purposes.Our foreign currency exchange rate risk relates to receipts from customers, payments to suppliers and intercompany transactions denominated in foreign currencies. To the extent possible, we include terms in our contracts that are designed to protect us from this risk. Otherwise, we enter into derivative financial instruments, principally foreign currency forward purchase and sale contracts, designed to offset and minimize our risk. The dollar-weighted two-year average maturity of these instruments generally matches the duration of the activities that are at risk.We are subject to commodity price risk, primarily on long-term, fixed-price contracts. To the extent possible, we include terms in our contracts that are designed to protect us from these risks. Some of the protective terms included in our contracts are considered derivative financial instruments but are not accounted for separately, because they are clearly and closely related to the host contract. We have not entered into any material commodity hedging contracts but may do so as circumstances warrant. We do not believe that changes in commodity prices will have a material impact on our results of operations or cash flows.Our investment policy allows for purchases of fixed-income securities with an investment-grade rating and a maximum maturity of up to five years.Changes in fair value (gains and losses) related to derivative financial instruments that qualify as cash flow hedges are deferred in AOCL until the underlying transaction is reflected in earnings. Alternatively, gains and losses on derivative financial instruments that do not qualify for hedge accounting are recorded each period in earnings. All gains and losses from derivative financial instruments recognized in the Consolidated Statement of Earnings are presented in the same line item as the underlying transaction, generally operating costs and expenses.
Foreign Currency and Financial Statement Translation	We translate foreign currency balance sheets from our international businesses’ functional currency (generally the respective local currency) to U.S. dollars at the end-of-period exchange rates, and statements of earnings at the average exchange rates for each period. The resulting foreign currency translation adjustments are a component of AOCL.We do not hedge the fluctuation in reported revenue and earnings resulting from the translation of these international operations’ results into U.S. dollars.
Retirement Plans	We provide retirement benefits to eligible employees through a variety of plans: •Defined contribution •Defined benefit ◦Pension (qualified and non-qualified) ◦Other post-retirement benefit Our contractual arrangements with the U.S. government provide for the recovery of pension and other post-retirement benefit costs related to employees working on government contracts. The amount allocated to U.S. government contracts is determined in accordance with the Federal Acquisition Regulation (FAR) and Cost Accounting Standards (CAS), which may result in a timing difference with the amount determined under GAAP. We defer this difference on the Consolidated Balance Sheet. At this time, cumulative benefit costs exceed the amount allocated to contracts, and the difference is reported in other current assets. To the extent there is a non-service component of net periodic benefit cost (credit) for our defined benefit plans, it is reported in other income (expense) in the Consolidated Statement of Earnings.

v3.23.3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Oct. 01, 2023
Accounting Policies [Abstract]
Schedule of Property, Plant and Equipment, Net	Property, plant and equipment (PP&E) is carried at historical cost, net of accumulated depreciation. Net PP&E consisted of the following: October 1, 2023 December 31, 2022 PP&E $ 12,745  $ 12,292  Accumulated depreciation (6,732) (6,392) PP&E, net $ 6,013  $ 5,900

v3.23.3

Revenue (Tables)	9 Months Ended
	Oct. 01, 2023
Revenue Recognition [Abstract]
Schedule of Impact of Adjustments in Contract Estimates	The aggregate impact of adjustments in contract estimates increased our revenue, operating earnings and diluted earnings per share as follows: Three Months Ended Nine Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Revenue $ 27  $ 67  $ 179  $ 286  Operating earnings 11  115  98  321  Diluted earnings per share $ 0.03  $ 0.33  $ 0.28  $ 0.91
Revenue by Major Product Line	Revenue by major products and services was as follows: Three Months Ended Nine Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Aircraft manufacturing $ 1,348  $ 1,712  $ 3,715  $ 4,086  Aircraft services 684  635  2,162  2,031  Total Aerospace 2,032  2,347  5,877  6,117  Nuclear-powered submarines 2,027  1,785  6,186  5,257  Surface ships 697  701  2,016  1,905  Repair and other services 278  283  851  909  Total Marine Systems 3,002  2,769  9,053  8,071  Military vehicles 1,280  1,134  3,707  3,313  Weapons systems, armament and munitions 739  480  1,650  1,314  Engineering and other services 205  174  547  502  Total Combat Systems 2,224  1,788  5,904  5,129  Information technology (IT) services 2,149  2,038  6,445  6,188  C5ISR* solutions 1,164  1,033  3,325  3,051  Total Technologies 3,313  3,071  9,770  9,239  Total revenue $ 10,571  $ 9,975  $ 30,604  $ 28,556  *Command, control, communications, computers, cyber, intelligence, surveillance and reconnaissance
Revenue by Contract Type	Revenue by contract type was as follows: Three Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue Fixed-price $ 1,816  $ 1,513  $ 1,992  $ 1,428  $ 6,749  Cost-reimbursement —  1,489  220  1,408  3,117  Time-and-materials 216  —  12  477  705  Total revenue $ 2,032  $ 3,002  $ 2,224  $ 3,313  $ 10,571  Three Months Ended October 2, 2022 Fixed-price $ 2,127  $ 1,670  $ 1,575  $ 1,315  $ 6,687  Cost-reimbursement —  1,099  199  1,272  2,570  Time-and-materials 220  —  14  484  718  Total revenue $ 2,347  $ 2,769  $ 1,788  $ 3,071  $ 9,975  Nine Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue Fixed-price $ 5,145  $ 4,687  $ 5,204  $ 4,255  $ 19,291  Cost-reimbursement —  4,365  651  4,118  9,134  Time-and-materials 732  1  49  1,397  2,179  Total revenue $ 5,877  $ 9,053  $ 5,904  $ 9,770  $ 30,604  Nine Months Ended October 2, 2022 Fixed-price $ 5,414  $ 4,880  $ 4,481  $ 3,939  $ 18,714  Cost-reimbursement —  3,191  607  3,856  7,654  Time-and-materials 703  —  41  1,444  2,188  Total revenue $ 6,117  $ 8,071  $ 5,129  $ 9,239  $ 28,556
Revenue by Customer	Revenue by customer was as follows: Three Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue U.S. government: Department of Defense (DoD) $ 46  $ 2,970  $ 1,309  $ 1,914  $ 6,239  Non-DoD —  1  3  1,212  1,216  Foreign military sales (FMS) 14  31  143  14  202  Total U.S. government 60  3,002  1,455  3,140  7,657  U.S. commercial 1,375  —  53  49  1,477  Non-U.S. government 67  —  692  105  864  Non-U.S. commercial 530  —  24  19  573  Total revenue $ 2,032  $ 3,002  $ 2,224  $ 3,313  $ 10,571  Three Months Ended October 2, 2022 U.S. government: DoD $ 61  $ 2,723  $ 1,029  $ 1,716  $ 5,529  Non-DoD —  —  2  1,182  1,184  FMS 20  45  82  7  154  Total U.S. government 81  2,768  1,113  2,905  6,867  U.S. commercial 1,418  1  62  56  1,537  Non-U.S. government 123  —  592  95  810  Non-U.S. commercial 725  —  21  15  761  Total revenue $ 2,347  $ 2,769  $ 1,788  $ 3,071  $ 9,975  Nine Months Ended October 1, 2023 Aerospace Marine Systems Combat Systems Technologies Total Revenue U.S. government: DoD $ 241  $ 8,948  $ 3,184  $ 5,654  $ 18,027  Non-DoD —  2  8  3,582  3,592  FMS 53  101  435  33  622  Total U.S. government 294  9,051  3,627  9,269  22,241  U.S. commercial 3,558  1  159  151  3,869  Non-U.S. government 317  1  2,044  297  2,659  Non-U.S. commercial 1,708  —  74  53  1,835  Total revenue $ 5,877  $ 9,053  $ 5,904  $ 9,770  $ 30,604  Nine Months Ended October 2, 2022 U.S. government: DoD $ 221  $ 7,948  $ 2,824  $ 5,134  $ 16,127  Non-DoD —  1  7  3,603  3,611  FMS 102  118  201  23  444  Total U.S. government 323  8,067  3,032  8,760  20,182  U.S. commercial 3,616  2  167  159  3,944  Non-U.S. government 422  2  1,867  290  2,581  Non-U.S. commercial 1,756  —  63  30  1,849  Total revenue $ 6,117  $ 8,071  $ 5,129  $ 9,239  $ 28,556

v3.23.3

Earnings Per Share (Tables)	9 Months Ended
	Oct. 01, 2023
Earnings Per Share [Abstract]
Basic and diluted weighted average shares outstanding	Basic and diluted weighted average shares outstanding were as follows (in thousands): Three Months Ended Nine Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Basic weighted average shares outstanding 272,585  273,916  273,242  275,752  Dilutive effect of stock options and restricted stock/RSUs* 2,160  2,466  2,204  2,615  Diluted weighted average shares outstanding 274,745  276,382  275,446  278,367  *    Excludes outstanding options to purchase shares of common stock that had exercise prices in excess of the average market price of our common stock during the period and, therefore, the effect of including these options would be antidilutive. These options totaled 4,464 and 4,101 for the three- and nine-month periods ended October 1, 2023, and 1,724 and 1,393 for the three- and nine-month periods ended October 2, 2022, respectively.

v3.23.3

Income Taxes (Tables)	9 Months Ended
	Oct. 01, 2023
Income Tax Disclosure [Abstract]
Net Deferred Tax Assets and Liabilities	Our net deferred tax liability consisted of the following: October 1, 2023 December 31, 2022 Deferred tax asset $ 45  $ 39  Deferred tax liability (633) (685) Net deferred tax liability $ (588) $ (646)

v3.23.3

Unbilled Receivables (Tables)	9 Months Ended
	Oct. 01, 2023
Contractors [Abstract]
Schedule of Unbilled Receivables	Unbilled receivables consisted of the following: October 1, 2023 December 31, 2022 Unbilled revenue $ 40,973  $ 39,482  Advances and progress billings (32,520) (30,687) Net unbilled receivables $ 8,453  $ 8,795

v3.23.3

Inventories (Tables)	9 Months Ended
	Oct. 01, 2023
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories consisted of the following: October 1, 2023 December 31, 2022 Work in process $ 5,714  $ 4,182  Raw materials 2,491  2,072  Finished goods 39  17  Pre-owned aircraft 38  51  Total inventories $ 8,282  $ 6,322

v3.23.3

Goodwill and Intangible Assets (Tables)	9 Months Ended
	Oct. 01, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Changes in Carrying Amount of Goodwill By Reporting Unit	The changes in the carrying amount of goodwill by reporting unit were as follows: Aerospace Marine Systems Combat Systems Technologies Total Goodwill December 31, 2022 (a) $ 3,019  $ 297  $ 2,766  $ 14,252  $ 20,334  Acquisitions (b) —  —  —  16  16  Other (c) 25  —  9  2  36  October 1, 2023 (a) $ 3,044  $ 297  $ 2,775  $ 14,270  $ 20,386  (a)Goodwill in the Technologies reporting unit was net of $1.8 billion of accumulated impairment losses. (b)Included adjustments during the purchase price allocation period. (c)Consisted primarily of adjustments for foreign currency translation.
Intangible Assets	Intangible assets consisted of the following: Gross Carrying Amount (a) Accumulated Amortization Net Carrying Amount Gross Carrying Amount (a) Accumulated Amortization Net Carrying Amount October 1, 2023 December 31, 2022 Contract and program intangible assets (b) $ 3,246  $ (1,818) $ 1,428  $ 3,247  $ (1,688) $ 1,559  Trade names and trademarks 503  (264) 239  496  (248) 248  Technology and software 64  (50) 14  64  (48) 16  Other intangible assets 64  (64) —  64  (63) 1  Total intangible assets $ 3,877  $ (2,196) $ 1,681  $ 3,871  $ (2,047) $ 1,824  (a)Changes in gross carrying amounts consisted primarily of adjustments for foreign currency translation. (b)Consisted of acquired backlog and probable follow-on work and associated customer relationships.

v3.23.3

Debt (Tables)	9 Months Ended
	Oct. 01, 2023
Debt Disclosure [Abstract]
Schedule Of Debt	Debt consisted of the following: October 1, 2023 December 31, 2022 Fixed-rate notes due: Interest rate: May 2023 3.375% $ —  $ 750  August 2023 1.875% —  500  November 2024 2.375% 500  500  April 2025 3.250% 750  750  May 2025 3.500% 750  750  June 2026 1.150% 500  500  August 2026 2.125% 500  500  April 2027 3.500% 750  750  November 2027 2.625% 500  500  May 2028 3.750% 1,000  1,000  April 2030 3.625% 1,000  1,000  June 2031 2.250% 500  500  April 2040 4.250% 750  750  June 2041 2.850% 500  500  November 2042 3.600% 500  500  April 2050 4.250% 750  750  Other Various 87  90  Total debt principal 9,337  10,590  Less unamortized debt issuance costs and discounts 82  94  Total debt 9,255  10,496  Less current portion 7  1,253  Long-term debt $ 9,248  $ 9,243

v3.23.3

Other Liabilities (Tables)	9 Months Ended
	Oct. 01, 2023
Other Liabilities Disclosure [Abstract]
Summary Of Significant Other Liabilities By Balance Sheet Caption	A summary of significant other liabilities by balance sheet caption follows: October 1, 2023 December 31, 2022 Salaries and wages $ 1,118  $ 1,116  Dividends payable 362  347  Lease liabilities 312  288  Workers’ compensation 245  215  Other 1,252  1,288  Total other current liabilities $ 3,289  $ 3,254  Customer deposits on commercial contracts $ 2,545  $ 2,175  Retirement benefits 2,294  2,453  Lease liabilities 1,430  1,330  Other 2,089  2,475  Total other liabilities $ 8,358  $ 8,433

v3.23.3

Commitments And Contingencies (Tables)	9 Months Ended
	Oct. 01, 2023
Commitments and Contingencies Disclosure [Abstract]
Schedule Of Changes In Carrying Amount Of Warranty Liabilities	The changes in the carrying amount of warranty liabilities for the nine-month periods ended October 1, 2023, and October 2, 2022, were as follows: Nine Months Ended October 1, 2023 October 2, 2022 Beginning balance $ 603  $ 641  Warranty expense 57  67  Payments (74) (84) Adjustments 5  (21) Ending balance $ 591  $ 603

v3.23.3

Shareholders' Equity (Tables)	9 Months Ended
	Oct. 01, 2023
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	The changes, pretax and net of tax, in each component of accumulated other comprehensive loss (AOCL) consisted of the following: Changes in Unrealized Cash Flow Hedges Foreign Currency Translation Adjustments Changes in Retirement Plans’ Funded Status AOCL December 31, 2022 $ 4  $ 260  $ (2,416) $ (2,152) Other comprehensive income, pretax (33) 63  526  556  Provision for income tax, net 8  —  (110) (102) Other comprehensive income, net of tax (25) 63  416  454  October 1, 2023 $ (21) $ 323  $ (2,000) $ (1,698) December 31, 2021 $ 144  $ 538  $ (2,602) $ (1,920) Other comprehensive loss, pretax (223) (500) 134  (589) Benefit for income tax, net 59  —  (28) 31  Other comprehensive loss, net of tax (164) (500) 106  (558) October 2, 2022 $ (20) $ 38  $ (2,496) $ (2,478)

v3.23.3

Segment Information (Tables)	9 Months Ended
	Oct. 01, 2023
Segment Reporting [Abstract]
Summary Of Financial Information For Each Of Our Segments	Summary financial information for each of our segments follows: Revenue (a) Operating Earnings Three Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Aerospace $ 2,032  $ 2,347  $ 268  $ 312  Marine Systems 3,002  2,769  211  238  Combat Systems 2,224  1,788  300  271  Technologies 3,313  3,071  315  285  Corporate (b) —  —  (37) (8) Total $ 10,571  $ 9,975  $ 1,057  $ 1,098  Nine Months Ended Aerospace $ 5,877  $ 6,117  $ 733  $ 793  Marine Systems 9,053  8,071  657  660  Combat Systems 5,904  5,129  796  743  Technologies 9,770  9,239  897  887  Corporate (b) —  —  (126) (99) Total $ 30,604  $ 28,556  $ 2,957  $ 2,984  (a)See Note B for additional revenue information by segment. (b)Corporate operating costs consisted primarily of equity-based compensation expense.

v3.23.3

Fair Value (Tables)	9 Months Ended
	Oct. 01, 2023
Fair Value Disclosures [Abstract]
Schedule of Fair Values of Other Financial Assets and Liabilities	The following tables present the fair values of our other financial assets and liabilities on October 1, 2023, and December 31, 2022, and the basis for determining their fair values: Carrying Value Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets (Liabilities) October 1, 2023 Measured at fair value: Marketable securities held in trust: Cash and equivalents $ 2  $ 2  $ —  $ 2  $ —  Available-for-sale debt securities 118  118  —  118  —  Commingled equity funds 45  45  45  —  —  Commingled fixed-income funds 5  5  5  —  —  Other investments 17  17  —  —  17  Cash flow hedge assets 62  62  —  62  —  Cash flow hedge liabilities (71) (71) —  (71) —  Measured at amortized cost: Short- and long-term debt principal (9,337) (8,304) —  (8,304) —  December 31, 2022 Measured at fair value: Marketable securities held in trust: Cash and equivalents $ 7  $ 7  $ —  $ 7  $ —  Available-for-sale debt securities 107  107  —  107  —  Commingled equity funds 42  42  42  —  —  Commingled fixed-income funds 6  6  6  —  —  Other investments 17  17  —  —  17  Cash flow hedge assets 109  109  —  109  —  Cash flow hedge liabilities (67) (67) —  (67) —  Measured at amortized cost: Short- and long-term debt principal (10,590) (9,773) —  (9,773) —

v3.23.3

Retirement Plans (Tables)	9 Months Ended
	Oct. 01, 2023
Retirement Benefits [Abstract]
Net Periodic Defined-Benefit Pension And Other Post-Retirement Benefit Cost	For our defined benefit plans, net periodic benefit cost (credit) for the three- and nine-month periods ended October 1, 2023, and October 2, 2022, consisted of the following: Pension Benefits Other Post-retirement Benefits Three Months Ended October 1, 2023 October 2, 2022 October 1, 2023 October 2, 2022 Service cost $ 17  $ 26  $ 1  $ 1  Interest cost 163  100  7  4  Expected return on plan assets (207) (227) (8) (7) Net actuarial loss (gain) 183  54  (7) (4) Prior service (credit) cost (4) (5) 1  —  Net periodic benefit cost (credit) $ 152  $ (52) $ (6) $ (6) Nine Months Ended Service cost $ 50  $ 78  $ 3  $ 4  Interest cost 488  300  22  14  Expected return on plan assets (622) (682) (24) (23) Net actuarial loss (gain) 550  161  (23) (13) Prior service (credit) cost (11) (15) 2  1  Net periodic benefit cost (credit) $ 455  $ (158) $ (20) $ (17)

v3.23.3

Summary of Significant Accounting Policies - Additional Information (Details)	9 Months Ended
	Oct. 01, 2023
Accounting Policies [Abstract]
Length of fiscal quarters, weeks	91 days

v3.23.3

Summary of Significant Accounting Policies - Property, Plant, and Equipment, Net (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Accounting Policies [Abstract]
PP&E	$ 12,745	$ 12,292
Accumulated depreciation	(6,732)	(6,392)
PP&E, net	$ 6,013	$ 5,900

v3.23.3

Revenue - Additional Information (Details) contract in Thousands, $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023 USD ($)	Oct. 02, 2022 USD ($)	Oct. 01, 2023 USD ($) contract	Oct. 02, 2022 USD ($)
Disaggregation of Revenue [Line Items]
Number of active contracts | contract			10
Revenue recognized in contract liability balance | $	$ 869	$ 908	$ 3,500	$ 3,500
Transferred over Time
Disaggregation of Revenue [Line Items]
Revenue, percentage from products and services transferred to customers	79.00%	75.00%	80.00%	78.00%
Transferred at Point in Time
Disaggregation of Revenue [Line Items]
Revenue, percentage from products and services transferred to customers	21.00%	25.00%	20.00%	22.00%

v3.23.3

Revenue - Remaining Performance Obligations to be Recognized as Revenue (Details) $ in Billions	Oct. 01, 2023 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-02
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligations	$ 95.6
Revenue, remaining performance obligation percentage	45.00%
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year 6 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation percentage	35.00%
Revenue, remaining performance obligation, expected timing of satisfaction, period	2 years

v3.23.3

Revenue - Impact of Adjustments in Contract Estimates (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Change in Accounting Estimate [Line Items]
Total revenue	$ 10,571	$ 9,975	$ 30,604	$ 28,556
Operating Earnings	1,057	1,098	2,957	2,984
Contracts Accounted for under Percentage of Completion
Change in Accounting Estimate [Line Items]
Total revenue	27	67	179	286
Operating Earnings	$ 11	$ 115	$ 98	$ 321
Diluted earnings per share (in dollars per share)	$ 0.03	$ 0.33	$ 0.28	$ 0.91

v3.23.3

Revenue - Revenue by Products and Services (Details) - USD ($) $ in Millions		3 Months Ended		9 Months Ended
		Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Revenue [Line Items]
Total revenue		$ 10,571	$ 9,975	$ 30,604	$ 28,556
Aerospace
Revenue [Line Items]
Total revenue		2,032	2,347	5,877	6,117
Aerospace | Aircraft manufacturing
Revenue [Line Items]
Total revenue		1,348	1,712	3,715	4,086
Aerospace | Aircraft services
Revenue [Line Items]
Total revenue		684	635	2,162	2,031
Marine Systems
Revenue [Line Items]
Total revenue		3,002	2,769	9,053	8,071
Marine Systems | Nuclear-powered submarines
Revenue [Line Items]
Total revenue		2,027	1,785	6,186	5,257
Marine Systems | Surface ships
Revenue [Line Items]
Total revenue		697	701	2,016	1,905
Marine Systems | Repair and other services
Revenue [Line Items]
Total revenue		278	283	851	909
Combat Systems
Revenue [Line Items]
Total revenue		2,224	1,788	5,904	5,129
Combat Systems | Military vehicles
Revenue [Line Items]
Total revenue		1,280	1,134	3,707	3,313
Combat Systems | Weapons systems, armament and munitions
Revenue [Line Items]
Total revenue		739	480	1,650	1,314
Combat Systems | Engineering and other services
Revenue [Line Items]
Total revenue		205	174	547	502
Technologies
Revenue [Line Items]
Total revenue		3,313	3,071	9,770	9,239
Technologies | Information technology (IT) services
Revenue [Line Items]
Total revenue		2,149	2,038	6,445	6,188
Technologies | C5ISR* solutions
Revenue [Line Items]
Total revenue	[1]	$ 1,164	$ 1,033	$ 3,325	$ 3,051
[1] Command, control, communications, computers, cyber, intelligence, surveillance and reconnaissance

v3.23.3

Revenue - Revenue by Contract Type (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Revenue [Line Items]
Total revenue	$ 10,571	$ 9,975	$ 30,604	$ 28,556
Fixed-price
Revenue [Line Items]
Total revenue	6,749	6,687	19,291	18,714
Cost-reimbursement
Revenue [Line Items]
Total revenue	3,117	2,570	9,134	7,654
Time-and-materials
Revenue [Line Items]
Total revenue	705	718	2,179	2,188
Aerospace
Revenue [Line Items]
Total revenue	2,032	2,347	5,877	6,117
Aerospace | Fixed-price
Revenue [Line Items]
Total revenue	1,816	2,127	5,145	5,414
Aerospace | Cost-reimbursement
Revenue [Line Items]
Total revenue	0	0	0	0
Aerospace | Time-and-materials
Revenue [Line Items]
Total revenue	216	220	732	703
Marine Systems
Revenue [Line Items]
Total revenue	3,002	2,769	9,053	8,071
Marine Systems | Fixed-price
Revenue [Line Items]
Total revenue	1,513	1,670	4,687	4,880
Marine Systems | Cost-reimbursement
Revenue [Line Items]
Total revenue	1,489	1,099	4,365	3,191
Marine Systems | Time-and-materials
Revenue [Line Items]
Total revenue	0	0	1	0
Combat Systems
Revenue [Line Items]
Total revenue	2,224	1,788	5,904	5,129
Combat Systems | Fixed-price
Revenue [Line Items]
Total revenue	1,992	1,575	5,204	4,481
Combat Systems | Cost-reimbursement
Revenue [Line Items]
Total revenue	220	199	651	607
Combat Systems | Time-and-materials
Revenue [Line Items]
Total revenue	12	14	49	41
Technologies
Revenue [Line Items]
Total revenue	3,313	3,071	9,770	9,239
Technologies | Fixed-price
Revenue [Line Items]
Total revenue	1,428	1,315	4,255	3,939
Technologies | Cost-reimbursement
Revenue [Line Items]
Total revenue	1,408	1,272	4,118	3,856
Technologies | Time-and-materials
Revenue [Line Items]
Total revenue	$ 477	$ 484	$ 1,397	$ 1,444

v3.23.3

Revenue - Revenue by Customer (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Revenue [Line Items]
Total revenue	$ 10,571	$ 9,975	$ 30,604	$ 28,556
U.S. Government - DoD
Revenue [Line Items]
Total revenue	6,239	5,529	18,027	16,127
U.S. Government - Non-DoD
Revenue [Line Items]
Total revenue	1,216	1,184	3,592	3,611
U.S. Government - Foreign Military Sales (FMS)
Revenue [Line Items]
Total revenue	202	154	622	444
Total U.S. government
Revenue [Line Items]
Total revenue	7,657	6,867	22,241	20,182
U.S. commercial
Revenue [Line Items]
Total revenue	1,477	1,537	3,869	3,944
Non-U.S. government
Revenue [Line Items]
Total revenue	864	810	2,659	2,581
Non-U.S. commercial
Revenue [Line Items]
Total revenue	573	761	1,835	1,849
Aerospace
Revenue [Line Items]
Total revenue	2,032	2,347	5,877	6,117
Aerospace | U.S. Government - DoD
Revenue [Line Items]
Total revenue	46	61	241	221
Aerospace | U.S. Government - Non-DoD
Revenue [Line Items]
Total revenue	0	0	0	0
Aerospace | U.S. Government - Foreign Military Sales (FMS)
Revenue [Line Items]
Total revenue	14	20	53	102
Aerospace | Total U.S. government
Revenue [Line Items]
Total revenue	60	81	294	323
Aerospace | U.S. commercial
Revenue [Line Items]
Total revenue	1,375	1,418	3,558	3,616
Aerospace | Non-U.S. government
Revenue [Line Items]
Total revenue	67	123	317	422
Aerospace | Non-U.S. commercial
Revenue [Line Items]
Total revenue	530	725	1,708	1,756
Marine Systems
Revenue [Line Items]
Total revenue	3,002	2,769	9,053	8,071
Marine Systems | U.S. Government - DoD
Revenue [Line Items]
Total revenue	2,970	2,723	8,948	7,948
Marine Systems | U.S. Government - Non-DoD
Revenue [Line Items]
Total revenue	1	0	2	1
Marine Systems | U.S. Government - Foreign Military Sales (FMS)
Revenue [Line Items]
Total revenue	31	45	101	118
Marine Systems | Total U.S. government
Revenue [Line Items]
Total revenue	3,002	2,768	9,051	8,067
Marine Systems | U.S. commercial
Revenue [Line Items]
Total revenue	0	1	1	2
Marine Systems | Non-U.S. government
Revenue [Line Items]
Total revenue	0	0	1	2
Marine Systems | Non-U.S. commercial
Revenue [Line Items]
Total revenue	0	0	0	0
Combat Systems
Revenue [Line Items]
Total revenue	2,224	1,788	5,904	5,129
Combat Systems | U.S. Government - DoD
Revenue [Line Items]
Total revenue	1,309	1,029	3,184	2,824
Combat Systems | U.S. Government - Non-DoD
Revenue [Line Items]
Total revenue	3	2	8	7
Combat Systems | U.S. Government - Foreign Military Sales (FMS)
Revenue [Line Items]
Total revenue	143	82	435	201
Combat Systems | Total U.S. government
Revenue [Line Items]
Total revenue	1,455	1,113	3,627	3,032
Combat Systems | U.S. commercial
Revenue [Line Items]
Total revenue	53	62	159	167
Combat Systems | Non-U.S. government
Revenue [Line Items]
Total revenue	692	592	2,044	1,867
Combat Systems | Non-U.S. commercial
Revenue [Line Items]
Total revenue	24	21	74	63
Technologies
Revenue [Line Items]
Total revenue	3,313	3,071	9,770	9,239
Technologies | U.S. Government - DoD
Revenue [Line Items]
Total revenue	1,914	1,716	5,654	5,134
Technologies | U.S. Government - Non-DoD
Revenue [Line Items]
Total revenue	1,212	1,182	3,582	3,603
Technologies | U.S. Government - Foreign Military Sales (FMS)
Revenue [Line Items]
Total revenue	14	7	33	23
Technologies | Total U.S. government
Revenue [Line Items]
Total revenue	3,140	2,905	9,269	8,760
Technologies | U.S. commercial
Revenue [Line Items]
Total revenue	49	56	151	159
Technologies | Non-U.S. government
Revenue [Line Items]
Total revenue	105	95	297	290
Technologies | Non-U.S. commercial
Revenue [Line Items]
Total revenue	$ 19	$ 15	$ 53	$ 30

v3.23.3

Earnings Per Share (Details) - shares shares in Thousands		3 Months Ended		9 Months Ended
		Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Basic weighted average shares outstanding (shares)		272,585	273,916	273,242	275,752
Dilutive effect of stock options and restricted stock/RSUs (shares)	[1]	2,160	2,466	2,204	2,615
Diluted weighted average shares outstanding (shares)		274,745	276,382	275,446	278,367
Stock/RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (shares)		4,464	1,724	4,101	1,393
[1] Excludes outstanding options to purchase shares of common stock that had exercise prices in excess of the average market price of our common stock during the period and, therefore, the effect of including these options would be antidilutive. These options totaled 4,464 and 4,101 for the three- and nine-month periods ended October 1, 2023, and 1,724 and 1,393 for the three- and nine-month periods ended October 2, 2022, respectively.

v3.23.3

Income Taxes - Net Deferred Tax Liability (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Deferred tax asset	$ 45	$ 39
Deferred tax liability	(633)	(685)
Net deferred tax liability	$ (588)	$ (646)

v3.23.3

Income Taxes - Additional Information (Details)	Oct. 01, 2023 USD ($)
Income Tax Disclosure [Abstract]
Amount of unrecorded tax benefit that will vary significantly over the next 12 months	$ 0

v3.23.3

Unbilled Receivables (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Contractors [Abstract]
Unbilled revenue	$ 40,973	$ 39,482
Advances and progress billings	(32,520)	(30,687)
Net unbilled receivables	$ 8,453	$ 8,795

v3.23.3

Unbilled Receivables - Additional Information (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Contracts In Process [Line Items]
Net unbilled receivables	$ 8,453	$ 8,795
Combat Systems | Large International Contract [Member]
Contracts In Process [Line Items]
Net unbilled receivables	$ 1,300	$ 1,700

v3.23.3

Inventories - Schedule of Inventory (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Work in process	$ 5,714	$ 4,182
Raw materials	2,491	2,072
Finished goods	39	17
Pre-owned aircraft	38	51
Total inventories	$ 8,282	$ 6,322

v3.23.3

Goodwill and Intangible Assets - Changes In Carrying Amount of Goodwill by Reporting Unit (Details) $ in Millions	9 Months Ended
	Oct. 01, 2023 USD ($)
Goodwill [Roll Forward]
Goodwill, beginning of period	$ 20,334	[1]
Acquisitions	16
Other	36	[2]
Goodwill, end of period	20,386	[1]
Aerospace
Goodwill [Roll Forward]
Goodwill, beginning of period	3,019	[1]
Acquisitions	0
Other	25	[2]
Goodwill, end of period	3,044	[1]
Marine Systems
Goodwill [Roll Forward]
Goodwill, beginning of period	297	[1]
Acquisitions	0
Other	0	[2]
Goodwill, end of period	297	[1]
Combat Systems
Goodwill [Roll Forward]
Goodwill, beginning of period	2,766	[1]
Acquisitions	0
Other	9	[2]
Goodwill, end of period	2,775	[1]
Technologies
Goodwill [Roll Forward]
Goodwill, beginning of period	14,252	[1]
Acquisitions	16
Other	2	[2]
Goodwill, end of period	14,270	[1]
Accumulated impairment losses	$ 1,800
[1] Goodwill in the Technologies reporting unit was net of $1.8 billion of accumulated impairment losses. [2] Consisted primarily of adjustments for foreign currency translation.

v3.23.3

Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Millions		Oct. 01, 2023	Dec. 31, 2022
Intangible Assets [Line Items]
Gross Carrying Amount	[1]	$ 3,877	$ 3,871
Accumulated Amortization		(2,196)	(2,047)
Net Carrying Amount		1,681	1,824
Contract and program intangible assets
Intangible Assets [Line Items]
Gross Carrying Amount	[1],[2]	3,246	3,247
Accumulated Amortization	[2]	(1,818)	(1,688)
Net Carrying Amount		1,428	1,559
Trade names and trademarks
Intangible Assets [Line Items]
Gross Carrying Amount	[1]	503	496
Accumulated Amortization		(264)	(248)
Net Carrying Amount		239	248
Technology and software
Intangible Assets [Line Items]
Gross Carrying Amount	[1]	64	64
Accumulated Amortization		(50)	(48)
Net Carrying Amount		14	16
Other intangible assets
Intangible Assets [Line Items]
Gross Carrying Amount	[1]	64	64
Accumulated Amortization		(64)	(63)
Net Carrying Amount		$ 0	$ 1
[1] Changes in gross carrying amounts consisted primarily of adjustments for foreign currency translation. [2] Consisted of acquired backlog and probable follow-on work and associated customer relationships.

v3.23.3

Goodwill and Intangible Assets - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense of intangibles	$ 47	$ 53	$ 147	$ 152

v3.23.3

Debt - Schedule of Debt (Details) - USD ($) $ in Millions	9 Months Ended
	Oct. 01, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Total debt principal	$ 9,337	$ 10,590
Less unamortized debt issuance costs and discounts	82	94
Total debt	9,255	10,496
Less current portion	7	1,253
Long-term debt	$ 9,248	9,243
Fixed Rate Notes Due May 2023
Debt Instrument [Line Items]
Interest rate:	3.375%
Long term debt	$ 0	750
Fixed Rate Notes Due August 2023
Debt Instrument [Line Items]
Interest rate:	1.875%
Long term debt	$ 0	500
Fixed Rate Notes Due November 2024
Debt Instrument [Line Items]
Interest rate:	2.375%
Long term debt	$ 500	500
Fixed Rate Notes Due April 2025
Debt Instrument [Line Items]
Interest rate:	3.25%
Long term debt	$ 750	750
Fixed Rate Notes Due May 2025
Debt Instrument [Line Items]
Interest rate:	3.50%
Long term debt	$ 750	750
Fixed Rate Notes Due June 2026
Debt Instrument [Line Items]
Interest rate:	1.15%
Long term debt	$ 500	500
Fixed Rate Notes Due August 2026
Debt Instrument [Line Items]
Interest rate:	2.125%
Long term debt	$ 500	500
Fixed Rate Notes Due April 2027
Debt Instrument [Line Items]
Interest rate:	3.50%
Long term debt	$ 750	750
Fixed Rate Notes Due November 2027
Debt Instrument [Line Items]
Interest rate:	2.625%
Long term debt	$ 500	500
Fixed Rate Notes Due May 2028
Debt Instrument [Line Items]
Interest rate:	3.75%
Long term debt	$ 1,000	1,000
Fixed Rate Notes Due April 2030
Debt Instrument [Line Items]
Interest rate:	3.625%
Long term debt	$ 1,000	1,000
Fixed Rate Notes Due June 2031
Debt Instrument [Line Items]
Interest rate:	2.25%
Long term debt	$ 500	500
Fixed Rate Notes Due April 2040
Debt Instrument [Line Items]
Interest rate:	4.25%
Long term debt	$ 750	750
Fixed Rate Notes Due June 2041
Debt Instrument [Line Items]
Interest rate:	2.85%
Long term debt	$ 500	500
Fixed Rate Notes Due November 2042
Debt Instrument [Line Items]
Interest rate:	3.60%
Long term debt	$ 500	500
Fixed Rate Notes Due April 2050
Debt Instrument [Line Items]
Interest rate:	4.25%
Long term debt	$ 750	750
Other
Debt Instrument [Line Items]
Other Interest rate	Various
Long term debt	$ 87	$ 90

v3.23.3

Debt - Additional Information (Details) - USD ($)	1 Months Ended		9 Months Ended
	Aug. 31, 2023	May 31, 2023	Oct. 01, 2023	Oct. 02, 2022
Debt Instrument [Line Items]
Repayment of fixed-rate notes	$ 500,000,000	$ 750,000,000	$ 1,250,000,000	$ 0
Credit facility, maximum borrowing capacity			4,000,000,000
Commercial paper
Debt Instrument [Line Items]
Commercial paper outstanding			$ 0

v3.23.3

Other Liabilities (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Other Liabilities Disclosure [Abstract]
Salaries and wages	$ 1,118	$ 1,116
Dividends payable	362	347
Lease liabilities	312	288
Workers’ compensation	245	215
Other	1,252	1,288
Total other current liabilities	3,289	3,254
Customer deposits on commercial contracts	2,545	2,175
Retirement benefits	2,294	2,453
Lease liabilities	1,430	1,330
Other	2,089	2,475
Total other liabilities	$ 8,358	$ 8,433

v3.23.3

Commitments And Contingencies - Additional Information (Details) $ in Billions	9 Months Ended
	Oct. 01, 2023 USD ($)
Other Commitments [Line Items]
Letters of credit and guarantees	$ 1.3
Aerospace | Maximum
Other Commitments [Line Items]
Period preceding delivery of aircraft to customer fair market value of trade-in aircraft is established, days, maximum	45 days

v3.23.3

Commitments And Contingencies - Product Guarantee (Details) - USD ($) $ in Millions	9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]
Beginning balance	$ 603	$ 641
Warranty expense	57	67
Payments	(74)	(84)
Adjustments	5	(21)
Ending balance	$ 591	$ 603

v3.23.3

Shareholders' Equity - Additional Information (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Equity [Abstract]
Stock repurchased during the period (shares)			2.0	4.9
Stock repurchased during the period, value			$ 434	$ 1,100
Remaining number of shares authorized to be repurchased (shares)	4.7		4.7
Shares remaining to be repurchased as a percent of total shares outstanding	1.70%		1.70%
Dividends declared per share	$ 1.32	$ 1.26	$ 3.96	$ 3.78
Dividends paid in cash	$ 363	$ 345	$ 1,068	$ 1,024

v3.23.3

Shareholders' Equity - Changes in AOCI (Details) - USD ($) $ in Millions	9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning Balance	$ (2,152)
Ending Balance	(1,698)
Changes in Unrealized Cash Flow Hedges
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning Balance	4	$ 144
Other comprehensive income, pretax	(33)	(223)
Provision for income tax, net	8	59
Other comprehensive loss, net of tax	(25)	(164)
Ending Balance	(21)	(20)
Foreign Currency Translation Adjustments
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning Balance	260	538
Other comprehensive income, pretax	63	(500)
Provision for income tax, net	0	0
Other comprehensive loss, net of tax	63	(500)
Ending Balance	323	38
Changes in Retirement Plans’ Funded Status
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning Balance	(2,416)	(2,602)
Other comprehensive income, pretax	526	134
Provision for income tax, net	(110)	(28)
Other comprehensive loss, net of tax	416	106
Ending Balance	(2,000)	(2,496)
AOCL
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning Balance	(2,152)	(1,920)
Other comprehensive income, pretax	556	(589)
Provision for income tax, net	(102)	31
Other comprehensive loss, net of tax	454	(558)
Ending Balance	$ (1,698)	$ (2,478)

v3.23.3

Segment Information - Additional Information (Details)	9 Months Ended
	Oct. 01, 2023 segment
Segment Reporting [Abstract]
Number of operating segments	4

v3.23.3

Segment Information - Summary of Financial Information (Details) - USD ($) $ in Millions	3 Months Ended				9 Months Ended
	Oct. 01, 2023		Oct. 02, 2022		Oct. 01, 2023	Oct. 02, 2022
Segment Reporting Information [Line Items]
Total revenue	$ 10,571		$ 9,975		$ 30,604	$ 28,556
Operating Earnings	1,057		1,098		2,957	2,984
Aerospace
Segment Reporting Information [Line Items]
Total revenue	2,032		2,347		5,877	6,117
Marine Systems
Segment Reporting Information [Line Items]
Total revenue	3,002		2,769		9,053	8,071
Combat Systems
Segment Reporting Information [Line Items]
Total revenue	2,224		1,788		5,904	5,129
Technologies
Segment Reporting Information [Line Items]
Total revenue	3,313		3,071		9,770	9,239
Operating Segments | Aerospace
Segment Reporting Information [Line Items]
Total revenue	2,032		2,347		5,877	6,117
Operating Earnings	268		312		733	793
Operating Segments | Marine Systems
Segment Reporting Information [Line Items]
Total revenue	3,002		2,769		9,053	8,071
Operating Earnings	211		238		657	660
Operating Segments | Combat Systems
Segment Reporting Information [Line Items]
Total revenue	2,224		1,788		5,904	5,129
Operating Earnings	300		271		796	743
Operating Segments | Technologies
Segment Reporting Information [Line Items]
Total revenue	3,313		3,071		9,770	9,239
Operating Earnings	315		285		897	887
Corporate
Segment Reporting Information [Line Items]
Total revenue	0	[1]	0	[1]	0	0
Operating Earnings	$ (37)	[1]	$ (8)	[1]	$ (126)	$ (99)
[1] (a)See Note B for additional revenue information by segment. (b)Corporate operating costs consisted primarily of equity-based compensation expense.

v3.23.3

Fair Value (Details) - USD ($) $ in Millions	Oct. 01, 2023	Dec. 31, 2022
Quoted Prices in Active Markets for Identical Assets (Level 1)
Marketable securities held in trust:
Cash and equivalents	$ 0	$ 0
Available-for-sale debt securities	0	0
Other investments	0	0
Cash flow hedge assets	0	0
Cash flow hedge liabilities	0	0
Short- and long-term debt principal	0	0
Significant Other Observable Inputs (Level 2)
Marketable securities held in trust:
Cash and equivalents	2	7
Available-for-sale debt securities	118	107
Other investments	0	0
Cash flow hedge assets	62	109
Cash flow hedge liabilities	(71)	(67)
Short- and long-term debt principal	(8,304)	(9,773)
Significant Unobservable Inputs (Level 3)
Marketable securities held in trust:
Cash and equivalents	0	0
Available-for-sale debt securities	0	0
Other investments	17	17
Cash flow hedge assets	0	0
Cash flow hedge liabilities	0	0
Short- and long-term debt principal	0	0
Carrying Value
Marketable securities held in trust:
Cash and equivalents	2	7
Available-for-sale debt securities	118	107
Commingled equity funds	45	42
Commingled fixed-income funds	5	6
Other investments	17	17
Cash flow hedge assets	62	109
Cash flow hedge liabilities	(71)	(67)
Short- and long-term debt principal	(9,337)	(10,590)
Fair Value
Marketable securities held in trust:
Cash and equivalents	2	7
Available-for-sale debt securities	118	107
Commingled equity funds	45	42
Commingled fixed-income funds	5	6
Other investments	17	17
Cash flow hedge assets	62	109
Cash flow hedge liabilities	(71)	(67)
Short- and long-term debt principal	(8,304)	(9,773)
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1)
Marketable securities held in trust:
Commingled equity funds	45	42
Commingled fixed-income funds	5	6
Fair Value | Significant Other Observable Inputs (Level 2)
Marketable securities held in trust:
Commingled equity funds	0	0
Commingled fixed-income funds	0	0
Fair Value | Significant Unobservable Inputs (Level 3)
Marketable securities held in trust:
Commingled equity funds	0	0
Commingled fixed-income funds	$ 0	$ 0

v3.23.3

Derivative Financial Instruments and Hedging Activities (Details) - USD ($) $ in Millions	9 Months Ended
	Oct. 01, 2023	Dec. 31, 2022
Derivative Instruments, Gain (Loss) [Line Items]
Average maturity of foreign currency forward contracts, in years	2 years
Cash and equivalents	$ 1,352	$ 1,242
Marketable securities held in trust	170	162
Notional forward foreign exchange contracts outstanding	$ 5,700	$ 6,900
Maximum
Derivative Instruments, Gain (Loss) [Line Items]
Maturity of fixed-income securities, in years	5 years

v3.23.3

Retirement Plans (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Oct. 01, 2023	Oct. 02, 2022	Oct. 01, 2023	Oct. 02, 2022
Pension Benefits
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 17	$ 26	$ 50	$ 78
Interest cost	163	100	488	300
Expected return on plan assets	(207)	(227)	(622)	(682)
Net actuarial loss (gain)	183	54	550	161
Prior service (credit) cost	(4)	(5)	(11)	(15)
Net periodic benefit cost (credit)	152	(52)	455	(158)
Other Post-retirement Benefits
Defined Benefit Plan Disclosure [Line Items]
Service cost	1	1	3	4
Interest cost	7	4	22	14
Expected return on plan assets	(8)	(7)	(24)	(23)
Net actuarial loss (gain)	(7)	(4)	(23)	(13)
Prior service (credit) cost	1	0	2	1
Net periodic benefit cost (credit)	$ (6)	$ (6)	$ (20)	$ (17)

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