Maxar (MAXR) 10-Q5 Aug 202020 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2020	Jul. 31, 2020
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2020
Entity File Number	001-38228
Entity Registrant Name	Maxar Technologies Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	83-2809420
Entity Address, Address Line One	1300 W. 120th Avenue,
Entity Address, City or Town	Westminster
Entity Address, State or Province	CO
Entity Address, Postal Zip Code	80234
City Area Code	303
Local Phone Number	684-7660
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001121142
Amendment Flag	false
Common Stock
Security 12b Title	Common stock par value of $0.0001 per share
Trading Symbol	MAXR
Security Exchange Name	NYSE
Entity Common Stock, Shares Outstanding		60,873,138
Series A Junior Participating Preferred Stock
Security 12b Title	Preferred Stock Purchase Right
No Trading Symbol Flag	true
Entity Common Stock, Shares Outstanding		0

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Statements of Operations - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenues:
Revenues	$ 439	$ 412	$ 820	$ 843
Costs and expenses:
Selling, general and administrative	79	66	147	151
Depreciation and amortization	89	96	179	191
Depreciation, Depletion and Amortization	89	96	179	191
Impairment loss			14
Satellite insurance recovery		183		183
Operating income	40	189	11	177
Interest expense, net	(48)	(49)	(97)	(98)
Other (income) expense, net	(4)	(2)	(7)	3
(Loss) income before taxes	(4)	142	(79)	76
Income tax (benefit) expense	(2)	1		2
Equity in (income) loss from joint ventures, net of tax	(2)	2	(1)	3
Income (loss) from continuing operations		139	(78)	71
Income from operations of discontinued operations, net of tax	2	9	32	20
Gain on disposal of discontinued operations, net of tax	304		304
Income from discontinued operations, net of tax	306	9	336	20
Net income	$ 306	$ 148	$ 258	$ 91
Basic income per common share:
Basic income (loss) from continuing operations (in dollars per share)		$ 2.33	$ (1.29)	$ 1.19
Basic income from discontinued operations, net of tax (in dollars per share)	$ 5.05	0.15	5.56	0.34
Basic income per common share (in dollars per share)	5.05	2.48	4.27	1.53
Diluted income per common share:
Diluted income (loss) from continued operations (in dollars per share)		2.32	(1.29)	1.19
Diluted income from discontinued operations, net of tax (in dollars per share)	4.94	0.15	5.56	0.33
Diluted income per common share (in dollars per share)	$ 4.94	$ 2.47	$ 4.27	$ 1.52
Product
Revenues:
Revenues	$ 157	$ 144	$ 264	$ 310
Costs and expenses:
Product and service costs, excluding depreciation and amortization	144	141	289	312
Service
Revenues:
Revenues	282	268	556	533
Costs and expenses:
Product and service costs, excluding depreciation and amortization	$ 87	$ 103	$ 180	$ 195

Unaudited Condensed Consolida_2

Unaudited Condensed Consolidated Statements of Comprehensive (Loss) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Unaudited Condensed Consolidated Statements of Comprehensive (Loss)
Net income	$ 306	$ 148	$ 258	$ 91
Other comprehensive (loss) income, net of tax:
Foreign currency translation adjustment		15	(49)	11
Reclassification of currency translation adjustment to gain on disposal of discontinued operations	(64)		(64)
Unrealized loss on derivatives		(12)	(15)	(15)
Gain on pension and other postretirement benefit plans			1	2
Other comprehensive (loss) income, net of tax	(64)	3	(127)	(2)
Comprehensive income, net of tax	$ 242	$ 151	$ 131	$ 89

Unaudited Condensed Consolida_3

Unaudited Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 177	$ 59
Trade and other receivables, net	312	357
Inventory	21	20
Advances to suppliers	51	42
Prepaid and other current assets	41	32
Current assets held for sale		751
Total current assets	602	1,261
Non-current assets:
Orbital receivables, net	354	382
Property, plant and equipment, net	823	758
Intangible assets, net	901	991
Non-current operating lease assets	170	176
Goodwill	1,455	1,455
Other non-current assets	124	134
Total assets	4,429	5,157
Current liabilities:
Accounts payable	155	153
Accrued liabilities	57	130
Accrued compensation and benefits	60	93
Contract liabilities	234	271
Current portion of long-term debt	9	30
Current operating lease liabilities	41	40
Other current liabilities	85	49
Current liabilities held for sale		230
Total current liabilities	641	996
Non-current liabilities:
Pension and other postretirement benefits	193	197
Contract liabilities	3	4
Operating lease liabilities	165	173
Long-term debt	2,407	2,915
Other non-current liabilities	118	110
Total liabilities	3,527	4,395
Commitments and contingencies
Stockholders' equity:
Common stock ($0.0001 par value, 240 million common shares authorized; 60.7 million and 59.9 million outstanding at June 30, 2020 and December 31, 2019, respectively)
Additional paid-in capital	1,794	1,784
Accumulated deficit	(825)	(1,082)
Accumulated other comprehensive (loss) income	(68)	59
Total Maxar stockholders' equity	901	761
Noncontrolling interest	1	1
Total stockholders' equity	902	762
Total liabilities and stockholders' equity	$ 4,429	$ 5,157

Unaudited Condensed Consolida_4

Unaudited Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2020	Dec. 31, 2019
Unaudited Condensed Consolidated Balance Sheets
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, authorized shares	240,000,000	240,000,000
Common stock, shares outstanding	60,700,000	59,900,000

Unaudited Condensed Consolida_5

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash flows (used in) provided by Operating activities:
Net income	$ 258	$ 91
Income from operations of discontinued operations, net of tax	32	20
Gain on disposal of discontinued operations, net of tax	304
Income (loss) from continuing operations	(78)	71
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Impairment losses including inventory	14	3
Depreciation and amortization	179	191
Loss from extinguishment of debt	7
Amortization of debt issuance costs and other non-cash interest expense	8	4
Stock-based compensation expense	13	4
Other	2
Changes in operating assets and liabilities:
Trade and other receivables	40	(20)
Advances to suppliers	(9)	32
Accounts payables and accrued liabilities	(76)	(92)
Contract liabilities	(38)	(124)
Other	4	7
Cash provided by operating activities - continuing operations	66	76
Cash used in operating activities - discontinued operations	(30)	(15)
Cash provided by operating activities	36	61
Investing activities:
Purchase of property, plant and equipment and development or purchase of software	(128)	(124)
Return of capital from discontinued operations	20
Cash used in investing activities - continuing operations	(108)	(124)
Cash provided by (used in) investing activities - discontinued operations	723	(3)
Cash provided by (used in) investing activities	615	(127)
Financing activities:
Net proceeds of revolving credit facility		97
Net proceeds from issuance of 2027 Notes	147
Repurchase of 2023 Notes, including premium	(169)
Repayments of long-term debt	(516)	(11)
Settlement of securitization liability	(7)	(8)
Payment of dividends	(1)	(1)
Other	(3)
Cash (used in) provided by financing activities - continuing operations	(549)	77
Cash (used in) provided by financing activities - discontinued operations	(24)	14
Cash (used in) provided by financing activities	(573)	91
Increase in cash, cash equivalents, and restricted cash	78	25
Effect of foreign exchange on cash, cash equivalents, and restricted cash	(5)	1
Cash, cash equivalents, and restricted cash, beginning of year	110	43
Cash, cash equivalents, and restricted cash, end of period	$ 183	$ 69

Unaudited Condensed Consolida_6

Unaudited Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions	Jun. 30, 2020	Jun. 30, 2019
Reconciliation of cash flow information:
Cash and cash equivalents	$ 179	$ 63
Restricted cash included in prepaid and other current assets	1	5
Restricted cash included in other non-current assets	3	1
Total cash, cash equivalents, and restricted cash	$ 183	$ 69

Unaudited Condensed Consolida_7

Unaudited Condensed Consolidated Statements of Change in Stockholders' Equity - USD ($) shares in Millions, $ in Millions	Common Stock	Additional paid in capital	Retained earnings (Accumulated deficit)	Accumulated other comprehensive income (loss)	Noncontrolling interest	Total
Balance at the beginning of period at Dec. 31, 2018	$ 1,713	$ 59	$ (1,188)	$ 82	$ 1	$ 667
Balance at the beginning of period (in shares) at Dec. 31, 2018	59.4
Increase (Decrease) in Shareholders' Equity
Reclassification of APIC due to U.S. Domestication	$ (1,713)	1,713
Common stock issued under employee stock purchase plan		1				1
Common stock issued under employee stock purchase plan (in shares)	0.1
Common stock issued upon vesting or exercise of stock-based compensation awards (in shares)	0.1
Equity classified stock-based compensation expense		1				1
Dividends ($0.01 per common share)			(1)			(1)
Comprehensive loss			(57)	(6)		(63)
Balance at the end of period at Mar. 31, 2019		1,774	(1,246)	76	1	605
Balance at the end of period (in shares) at Mar. 31, 2019	59.6
Balance at the beginning of period at Dec. 31, 2018	$ 1,713	59	(1,188)	82	1	667
Balance at the beginning of period (in shares) at Dec. 31, 2018	59.4
Increase (Decrease) in Shareholders' Equity
Comprehensive loss						89
Balance at the end of period at Jun. 30, 2019		1,776	(1,098)	79	1	758
Balance at the end of period (in shares) at Jun. 30, 2019	59.6
Balance at the beginning of period at Mar. 31, 2019		1,774	(1,246)	76	1	605
Balance at the beginning of period (in shares) at Mar. 31, 2019	59.6
Increase (Decrease) in Shareholders' Equity
Equity classified stock-based compensation expense		2				2
Comprehensive loss			148	3		151
Balance at the end of period at Jun. 30, 2019		1,776	(1,098)	79	1	758
Balance at the end of period (in shares) at Jun. 30, 2019	59.6
Balance at the beginning of period at Dec. 31, 2019		1,784	(1,082)	59	1	$ 762
Balance at the beginning of period (in shares) at Dec. 31, 2019	59.9					59.9
Increase (Decrease) in Shareholders' Equity
Common stock issued under employee stock purchase plan		2				$ 2
Common stock issued under employee stock purchase plan (in shares)	0.2
Equity classified stock-based compensation expense		4				4
Comprehensive loss			(48)	(63)		(111)
Balance at the end of period at Mar. 31, 2020		1,790	(1,130)	(4)	1	657
Balance at the end of period (in shares) at Mar. 31, 2020	60.1
Balance at the beginning of period at Dec. 31, 2019		1,784	(1,082)	59	1	$ 762
Balance at the beginning of period (in shares) at Dec. 31, 2019	59.9					59.9
Increase (Decrease) in Shareholders' Equity
Comprehensive loss						$ 131
Balance at the end of period at Jun. 30, 2020		1,794	(825)	(68)	1	$ 902
Balance at the end of period (in shares) at Jun. 30, 2020	60.7					60.7
Balance at the beginning of period at Mar. 31, 2020		1,790	(1,130)	(4)	1	$ 657
Balance at the beginning of period (in shares) at Mar. 31, 2020	60.1
Increase (Decrease) in Shareholders' Equity
Reclassification of equity classified stock-based compensation awards to liability classified		(2)				(2)
Equity- settled stock- based compensation recovery from disposal of discontinued operations		(1)				(1)
Common stock issued under employee stock purchase plan		1				1
Common stock issued under employee stock purchase plan (in shares)	0.2
Equity classified stock-based compensation expense		6				6
Equity classified stock-based compensation expense (in shares)	0.4
Dividends ($0.01 per common share)			(1)			(1)
Comprehensive loss			306	(64)		242
Balance at the end of period at Jun. 30, 2020		$ 1,794	$ (825)	$ (68)	$ 1	$ 902
Balance at the end of period (in shares) at Jun. 30, 2020	60.7					60.7

Unaudited Condensed Consolida_8

Unaudited Condensed Consolidated Statements of Change in Stockholders' Equity (Parenthetical) - $ / shares	3 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019
Unaudited Condensed Consolidated Statements of Change in Stockholders' Equity
Dividends per share (in dollars per share)	$ 0.01	$ 0.01	$ 0.29	$ 0.01

General business description

General business description	6 Months Ended
General business description	Jun. 30, 2020
General business description
General business description	1. GENERAL BUSINESS DESCRIPTION Maxar Technologies Inc. (the “Company” or “Maxar”) is a leading provider of solutions in Earth Intelligence and Space Infrastructure. Maxar helps government and commercial customers to monitor, understand and navigate the changing planet; deliver global broadband communications; and explore and advance the use of space. The Company’s approach combines decades of deep mission understanding and a proven commercial and defense foundation to deliver services with speed, scale and cost effectiveness. Maxar’s stock trades on the New York Stock Exchange and Toronto Stock Exchange under the symbol “MAXR.”

Summary of significant accounti

Summary of significant accounting policies	6 Months Ended
Summary of significant accounting policies	Jun. 30, 2020
Summary of significant accounting policies
Summary of significant accounting policies	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The Unaudited Condensed Consolidated Financial Statements include the accounts of Maxar Technologies Inc., and its consolidated subsidiaries. The Company’s Unaudited Condensed Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, and the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). All intercompany balances and transactions are eliminated in consolidation. The Company’s Unaudited Condensed Consolidated Financial Statements are presented in U.S. dollars and have been prepared on a historical cost basis, except for certain financial assets and liabilities including derivative financial instruments which are stated at fair value. References to “C$” refer to Canadian currency. The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Company’s annual audited consolidated financial statements and notes thereto included in the Company’s most recent Annual Report on Form 10-K filed with the SEC. Unless otherwise indicated, amounts provided in the Notes to the Unaudited Condensed Consolidated Financial Statements pertain to continuing operations (See Note 3 for information on discontinued operations). Certain amounts in the prior year financial statements have been reclassified to conform to the current year presentation. In management’s opinion, all adjustments of a normal recurring nature that are necessary for a fair statement of the accompanying Unaudited Condensed Consolidated Financial Statements have been included. Use of estimates, assumptions and judgments The preparation of the Unaudited Condensed Consolidated Financial Statements in accordance with U.S. GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the reporting date, as well as the reported amounts of revenues and expenses during the reporting period. Estimates have been prepared using the most current and best available information; however, actual results could differ materially from those estimates. Recently Adopted Accounting Pronouncements Financial Instruments In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) which, together with subsequent amendments, is included in ASC 326 – Financial Instruments – Credit Losses. ASC 326, as amended, significantly changes the impairment model for most financial assets and certain other instruments. ASC 326, as amended, will require immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets, which will generally result in earlier recognition of allowances for credit losses on loans and other financial instruments. These updates are effective for annual and interim financial statement periods beginning after December 15, 2019, with early adoption permitted for financial statement periods beginning after December 15, 2018. The Company adopted this standard and related amendments effective January 1, 2020, using the modified retrospective approach. The adoption of this standard resulted in additional disclosures related to the Company's orbital receivables. Refer to Note 4 for details. There were no impacts to the Unaudited Condensed Consolidated Financial Statements as a result of adoption. Simplifying the Accounting for Income Taxes In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”). ASU 2019-12 simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. ASU 2019-12 also simplifies aspects of accounting for franchise taxes and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU 2019-12 is effective for annual and interim financial statement periods beginning after December 15, 2020, with early adoption permitted. The Company early adopted this standard and related amendments effective January 1, 2020, in order to utilize the simplifying provision that removes the exception to the incremental approach for intraperiod tax allocation when a loss is incurred from continuing operations and income or a gain results from another item such as discontinued operations or other comprehensive income. The impact on the Unaudited Condensed Consolidated Financial Statements is to simplify the quarterly presentation related to the ordinary loss and the gain recorded in discontinued operations. There were no additional material impacts to the Unaudited Condensed Consolidated Financial Statements as a result of adoption. Recent Accounting Guidance Not Yet Adopted Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 In January 2020, the FASB issued ASU 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 (“ASU 2020-01”). ASU 2020-01 clarifies the accounting for certain equity securities upon application or discontinuation of the equity method of accounting and includes scope considerations for forward contracts and purchased options on certain securities. ASU 2020-01 is effective for annual and interim financial statement periods beginning after December 15, 2020, with early adoption permitted. The Company performed a preliminary assessment of this guidance and does not expect the adoption to have a material impact on the Company’s financial statements. Reference Rate Reform In March 2020, FASB issued ASU 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). The ASU is intended to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate and other interbank offered rates to alternative reference rates. This guidance was effective beginning on March 12, 2020, and the Company may elect to apply the amendments prospectively through December 31, 2022. The Company expects that it will elect to apply some of the expedients and exceptions in ASU 2020-04. However, the Company is still evaluating the guidance and the impact that adoption of ASU 2020-04 will have on the Company's financial statements.

Discontinued operations

Discontinued operations	6 Months Ended
Discontinued operations	Jun. 30, 2020
Discontinued operations
Discontinued Operations	3. DISCONTINUED OPERATIONS On April 8, 2020, the Company completed the sale of the MDA Business to Neptune Acquisition Inc., a corporation existing under the laws of the Province of British Columbia and an affiliate of Northern Private Capital Ltd. (“MDA Purchaser”), for an aggregate purchase price of $729 million (C$1.0 billion) (“MDA Transaction”). The Company recognized an after-tax gain on disposal of discontinued operations of $304 million, net of $25 million in taxes, on the MDA Transaction for the quarter ended June 30, 2020. The tax on the MDA Transaction is primarily due to the estimated U.S. federal Base Erosion and Anti-Abuse Tax and California state corporate income tax, the latter being attributable to recent legislation suspending the use of net operating loss (“NOL”) carryforwards. The gain on the MDA Transaction includes a reclassification of the related foreign currency translation adjustment balance of $64 million from Accumulated other comprehensive (loss) income. See Note 8 for details on the use of proceeds from the MDA Transaction. The operating results and cash flows related to the MDA Business are reflected as discontinued operations in the Unaudited Condensed Consolidated Statements of Operations and the Unaudited Condensed Consolidated Statements of Cash Flows for the three and six months ended June 30, 2020 and June 30, 2019, respectively. For the three and six months ended June 30, 2020, the Company has reported the operating results and cash flows related to the MDA Business through April 7, 2020. In addition, the Company and the MDA Purchaser entered into a Transition Services Agreement pursuant to which the MDA Purchaser will receive certain services (“Services”). The Services will be provided based on an agreed upon fee arrangement through April 8, 2021, with an option to extend to October 2021 for certain services. Income from discontinued operations, net of tax for MDA in the Unaudited Condensed Consolidated Statements of Operations consists of the following: Three Months Ended Six Months Ended June 30, June 30, 2020 1 2019 2020 1 2019 Revenues: Product $ 5 $ 57 $ 44 $ 110 Service 6 40 42 83 Total revenues 11 97 86 193 Costs and expenses: Product costs, excluding depreciation and amortization 4 39 38 80 Service costs, excluding depreciation and amortization 3 21 24 45 Selling, general and administrative — 13 13 31 Depreciation and amortization — 3 4 6 Impairment loss — 12 12 12 Operating income (loss) 4 9 (5) 19 Interest expense, net — — 1 — Other expense (income), net 2 2 (1) (34) — Income before taxes 2 10 28 19 Income tax expense (benefit) — 1 (4) (1) Income from operations of discontinued operations, net of tax 2 9 32 20 Gain on disposal of discontinued operations, net of tax 304 — 304 — Income from discontinued operations, net of tax $ 306 $ 9 $ 336 $ 20 1 F or the three and six months ended June 30, 2020, MDA results are presented through April 7, 2020. 2 Other (income) expense, net includes the $39 million recovery of the previously recorded liability in relation to the Company’s dispute with the Ukrainian Customer for the six months ended June 30, 2020. MDA holds an investment in a privately held company in which it does not have significant influence and for which the fair value cannot be reliably measured through external indicators. The investment is evaluated quarterly for impairment. There was no impairment loss recorded during the three months ended June 30, 2020. During the six months ended June 20, 2020, the Company recorded an impairment loss of $12 million as the privately held company filed for bankruptcy and as a result, the investment was fully impaired. During the three and six months ended June 30, 2019, the Company recorded an impairment loss of $12 million due to an observable price change related to its investment. The carrying amounts of the major classes of assets and liabilities, which are classified as held for sale in the Unaudited Condensed Consolidated Balance Sheet as of December 31, 2019, are as follows: December 31, 2019 Assets Cash and cash equivalents $ 45 Trade and other receivables, net 168 Deferred tax assets 117 Property, plant and equipment 29 Intangible assets 27 Goodwill 310 Other assets 1 55 Current assets held for sale $ 751 Liabilities Accounts payable $ 88 Accrued liabilities 18 Accrued compensation and benefits 21 Contract liabilities 29 Pension and other postretirement benefit liabilities 21 Other liabilities 2 53 Current liabilities held for sale $ 230 1 Other assets include income tax receivables, operating lease assets, prepaid and other current assets. 2 Other liabilities include operating and finance lease liabilities, current income taxes payable and other current liabilities

Trade and other receivables, ne

Trade and other receivables, net	6 Months Ended
Trade and other receivables, net	Jun. 30, 2020
Trade and other receivables, net
Trade and other receivables, net	4. TRADE AND OTHER RECEIVABLES, NET June 30, December 31, 2020 2019 Billed $ 185 $ 211 Unbilled 80 100 Total trade receivables 265 311 Orbital receivables, current portion 44 43 Other 4 4 Allowance for doubtful accounts (1) (1) Trade and other receivables, net $ 312 $ 357 Orbital receivables relate to performance incentives due under certain satellite construction contracts that are paid over the in-orbit life of the satellite. As of June 30, 2020 and December 31, 2019, non-current orbital receivables, net of allowances were $354 million and $382 million, respectively, and are included in Non-current assets on the Unaudited Condensed Consolidated Balance Sheets. Orbital receivables are recognized as an asset on the balance sheet in conjunction with revenue recognition under the cost-to-cost method of accounting during the satellite construction period and are stated at their carrying value less allowances for expected credit losses. The Company utilizes customer credit ratings, expected credit loss and other credit quality indicators to evaluate the collectability of orbital receivables on a quarterly basis. Assessments for impairments of the orbital receivables are completed utilizing a discounted cash flow analysis based on discount rates which reflect the credit risk of customers and are included as an addition to the orbital receivable allowance. Income is recognized on orbital receivable balances based upon contractual rates. As of June 30, 2020, the Company had orbital receivables from 14 customers for which the largest customer’s value represents $44 million, or 11% of the stated balance sheet value. During the six months ended June 30, 2020, the Company recognized an impairment of $14 million, primarily due to an increase in credit risk associated with the Company’s largest orbital customer as of March 31, 2020. The changes in allowance for expected credit losses related to non-current orbital receivables for the six months ended June 30, 2020, consist of the following: Orbital Receivables Allowance Allowance as of January 1, 2020 $ (35) Additions (14) Allowance as of June 30, 2020 $ (49) The Company has sold certain orbital receivables that are accounted for as securitized borrowings in the Unaudited Condensed Consolidated Balance Sheets as the Company does not meet the accounting criteria for surrendering control of the receivables. The net proceeds received on the orbital receivables have been recognized as securitization liabilities and are subsequently measured at amortized cost using the effective interest rate method. The securitized orbital receivables and the securitization liabilities are being drawn down as payments are received from the customers and passed on to the purchaser. The Company continues to recognize orbital interest revenue on the orbital receivables that are subject to the securitization transactions and recognizes interest expense to accrete the securitization liability. The total amounts of securitization liabilities at June 30, 2020 and December 31, 2019 were $61 million and $65 million, respectively. Current securitization liabilities of $13 million and $17 million, are included in Other current liabilities on the Unaudited Condensed Consolidated Balance Sheets at June 30, 2020 and December 31, 2019, respectively. Non-current securitization liabilities of $48 million are included in Other non-current liabilities on the Unaudited Condensed Consolidated Balance Sheets at June 30, 2020 and December 31, 2019.

Inventory

Inventory	6 Months Ended
Inventory	Jun. 30, 2020
Inventory
Inventory	5. INVENTORY June 30, December 31, 2020 2019 Raw materials $ 14 $ 13 Work in process 7 7 Inventory $ 21 $ 20

Property, plant and equipment,

Property, plant and equipment, net	6 Months Ended
Property, plant and equipment, net	Jun. 30, 2020
Property, plant and equipment, net
Property, plant and equipment, net	6. PROPERTY, PLANT AND EQUIPMENT, NET June 30, December 31, 2020 2019 Satellites $ 397 $ 397 Equipment 197 196 Leasehold improvements 81 75 Computer hardware 72 67 Furniture and fixtures 16 15 Construction in process 1 486 388 Property, plant and equipment, at cost 1,249 1,138 Accumulated depreciation (426) (380) Property, plant and equipment, net $ 823 $ 758 1 Depreciation expense for property, plant and equipment was $23 million and $28 million, and $47 million and $56 million for the three and six months ended June 30, 2020 and June 30, 2019, respectively. During the three months ended June 30, 2019, the Company received insurance recoveries of $183 million related to the loss of the WorldView-4 satellite. The insurance proceeds are included in operating cash flows as they are considered business interruption insurance and represent the satellite’s loss of capacity to produce imagery for sale to the Company’s customers.

Intangible assets

Intangible assets	6 Months Ended
Intangible assets	Jun. 30, 2020
Intangible assets
Intangible assets	7. INTANGIBLE ASSETS June 30, 2020 December 31, 2019 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value Customer relationships $ 615 $ (124) $ 491 $ 615 $ (102) $ 513 Backlog 330 (265) 65 330 (217) 113 Technologies 320 (177) 143 320 (144) 176 Software 254 (103) 151 213 (83) 130 Image library 80 (54) 26 80 (48) 32 Trade names and other 37 (12) 25 37 (10) 27 Intangible assets $ 1,636 $ (735) $ 901 $ 1,595 $ (604) $ 991 Amortization expense related to intangible assets was $66 million and $68 million, and $132 million and $135 million for the three and six months ended June 30, 2020 and June 30, 2019, respectively.

Long-term debt and interest exp

Long-term debt and interest expense, net	6 Months Ended
Long-term debt and interest expense, net	Jun. 30, 2020
Long-term debt and interest expense, net
Long-term debt and interest expense, net	8. LONG-TERM DEBT AND INTEREST EXPENSE , NET June 30, December 31, 2020 2019 Syndicated Credit facility: Term Loan B $ 1,444 $ 1,960 2023 Notes 850 1,000 2027 Notes 150 — Deferred financing 30 33 Debt discount and issuance costs (63) (54) Obligations under finance leases and other 5 6 Total long-term debt 2,416 2,945 Current portion of long-term debt (9) (30) Non-current portion of long-term debt $ 2,407 $ 2,915 The Company’s senior secured syndicated credit facility (“Syndicated Credit Facility”) is composed of: (i) a senior secured first lien revolving credit facility in an aggregate capacity of up to $500 million maturing in December 2023 (“Revolving Credit Facility”) and (ii) a senior secured first lien term B facility in an original aggregate principal amount of $2.0 billion maturing in October 2024 (“Term Loan B”). The Revolving Credit Facility includes an aggregate $200 million sub limit under which letters of credit can be issued. As of June 30, 2020 and December 31, 2019, the Company had $24 million and $18 million of issued and undrawn letters of credit outstanding under the Revolving Credit Facility. Of the Company’s $500 million borrowing capacity on its Revolving Credit Facility, the Company has $0 outstanding borrowings as of June 30, 2020. During the three months ended June 30, 2020, the Company repaid $511 million of borrowings under Term Loan B using proceeds from the MDA Transaction. The Company expensed $7 million of unamortized debt issuance costs attributed to the partial pay down, which is included in Interest expense, net in the Unaudited Condensed Consolidated Statements of Operations. On June 25, 2020, the Company repurchased $150 million aggregate principal amount of its 9.75% Senior Secured Notes due 2023 (“2023 Notes”) using proceeds from the MDA Transaction. The 2023 Notes were repurchased (“2023 Notes Repurchase”) at approximately 112.45% of the principal amount thereof, subject to customary closing conditions. On June 25, 2020, the Company issued $150 million in principal amount of 7.54% Senior Secured Notes due 2027 (“2027 Notes”) in a private placement pursuant to Regulation S under the Securities Act of 1933, as amended. The 2027 Notes were issued at a price of 98.25% and bear interest at the rate of 7.54% per annum, payable semi-annually in cash in arrears, for which interest payments will commence in December 2020. The 2027 Notes are guaranteed on a senior secured basis by each of the Company’s existing and future subsidiaries that guarantee the Syndicated Credit Facility and the 2023 Notes. The Company evaluated the terms of the 2027 Notes and 2023 Notes Repurchase and concluded that both transactions are to be accounted for as a debt modification. As a result, the 12.45% premium paid on the repurchase of the $150 million of 2023 Notes is accounted for as an incremental discount to be amortized over the life of the 2027 Notes. Separately, the previously incurred unamortized debt discount and debt issuance costs will be amortized over the remaining life of the outstanding 2023 Notes. The 2027 Notes are guaranteed (“2027 Guarantees”) on a senior secured basis by each of the Company’ existing and future subsidiaries that guarantees the 2023 Notes and the Syndicated Credit Facility (“Guarantors”). The 2027 Notes are secured, equally and ratably with the 2023 Notes, the Syndicated Credit Facility and any future first lien debt, by liens on the same assets that secure the Revolving Credit Facility and the Term Loan B. The 2027 Notes and the 2027 Guarantees are the Company’s general senior secured obligations and rank equally in right of payment with all of the Company’s and the Guarantors’ existing and future unsubordinated debt (including the 2023 Notes and the Syndicated Credit Facility). The 2027 Notes and the 2027 Guarantees are effectively senior to all of the Company’s and the Guarantors’ existing and future unsecured debt as well as to all of any permitted junior lien debt that may be incurred in the future, in each case to the extent of the value of the assets securing the 2027 Notes and the 2027 Guarantees. The 2027 Notes and the 2027 Guarantees are effectively subordinated to any obligations that are secured by liens on assets that do not constitute a part of the collateral securing the 2027 Notes or the 2027 Guarantees, are structurally subordinated to all existing and future liabilities (including trade payables) of the Company’s subsidiaries that do not guarantee the 2027 Notes, and are senior in right of payment to all of the Company’s and the Guarantors’ existing and future subordinated indebtedness. The indenture governing the 2027 Notes limits, among other things, the Company’s and the Company’s restricted subsidiaries’ ability to: incur, assume or guarantee additional debt; issue redeemable stock and preferred stock; pay dividends, make distributions or redeem or repurchase capital stock; prepay, redeem or repurchase subordinated debt; make loans and investments; grant or incur liens; restrict dividends, loans or asset transfers from restricted subsidiaries; sell or otherwise dispose of assets; enter into transactions with affiliates; reduce the Company’s satellite insurance; and consolidate or merge with, or sell substantially all of the Company’s assets to, another person. The 2027 Notes may be redeemed, in whole or in part, at any time during the 12 months beginning on June 25, 2024, at a redemption price of 105.655%, during the 12 months beginning on June 25, 2025, at a redemption price of 103.770%, and at any time on or after June 25, 2026, at a redemption price of 101.885%, in each case plus accrued and unpaid interest, if any, thereon to the redemption date. The Company may also redeem the 2027 Notes, in whole or in part, at the Company’s option at any time prior to June 25, 2024, at a price equal to 100% of the principal amount of such 2027 Notes plus a “make-whole” premium, together with accrued but unpaid interest, if any, to, but excluding, the date of redemption. In addition, the Company may redeem up to 40% of the aggregate principal amount of the 2027 Notes at any time before June 25, 2024, with the net cash proceeds from certain equity offerings at a specified redemption price, plus accrued and unpaid interest, if any, to, but excluding, the date of redemption. In the event a change of control occurs (as defined in the indenture governing the 2027 Notes), each holder will have the right to require us to repurchase all or any part of such holder’s 2027 Notes at a purchase price in cash equal to 101% of the aggregate principal amount of the 2027 Notes repurchased, plus accrued and unpaid interest, if any, to the date of purchase (subject to the right of holders of record on the relevant record date to receive interest due on the relevant interest payment date). Interest expense, net on long-term debt and other obligations is as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest on long-term debt $ 55 $ 48 $ 109 $ 93 Interest expense on advance payments from customers 1 4 3 9 Interest on orbital securitization liability 2 2 3 4 Capitalized interest (10) (5) (18) (8) Interest expense, net $ 48 $ 49 $ 97 $ 98

Financial instruments and fair

Financial instruments and fair value disclosures	6 Months Ended
Financial instruments and fair value disclosures	Jun. 30, 2020
Financial instruments and fair value disclosures
Financial instruments and fair value disclosures	9. FINANCIAL INSTRUMENTS AND FAIR VALUE DISCLOSURES Factors used in determining the fair value of financial assets and liabilities are summarized into three categories in accordance with ASC 820 - Fair Value Measurements: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices) Level 3: Inputs for the asset or liability that are based on unobservable inputs The following tables present assets and liabilities that are measured at fair value on a recurring basis (at least annually) by level within the fair value hierarchy. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. Recurring Fair Value Measurements of as of June 30, 2020 Level 1 Level 2 Level 3 Total Assets Orbital receivables, net 1 $ — $ 398 $ — $ 398 Liabilities Interest rate swaps $ — $ 31 $ — $ 31 Long-term debt 2 — 2,218 — 2,218 $ — $ 2,249 $ — $ 2,249 Recurring Fair Value Measurements of as of December 31, 2019 Level 1 Level 2 Level 3 Total Assets Short-term investments $ 1 $ — $ — $ 1 Orbital receivables, net 1 — 425 — 425 $ 1 $ 425 $ — $ 426 Liabilities Interest rate swaps $ — $ 18 $ — $ 18 Long-term debt 2 — 3,004 — 3,004 $ — $ 3,022 $ — $ 3,022 1 The carrying value of Orbital receivables, net was $398 million and $425 million at June 30, 2020 and December 31, 2019, respectively. 2 Long-term debt excludes finance leases, deferred financing and other and is carried at amortized cost. The outstanding carrying value was $2,381 million and $2,906 million at June 30, 2020 and December 31, 2019, respectively. The Company determines the fair value of its orbital receivables using a discounted cash flow model, based on stated interest rates and observable market yield curves associated with the instruments. The Company determines fair value of its derivative financial instruments based on internal valuation models, such as discounted cash flow analysis, using management estimates and observable market-based inputs, as applicable. Management estimates include assumptions concerning the amount and timing of estimated future cash flows and application of appropriate discount rates. Observable market-based inputs are sourced from third parties and include interest rates and yield curves, currency spot and forward rates, and credit spreads, as applicable. The Company determines fair value of its long-term debt using market interest rates for debt with terms and maturities similar to the Company's existing debt arrangements. Cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities are all short-term in nature; therefore, the carrying value of these items approximates their fair value.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
Stockholders' Equity	Jun. 30, 2020
Stockholders' equity
Stockholders' Equity	10 . STOCKHOLDERS’ EQUITY As a result of the Company’s U.S. Domestication on January 1, 2019, a reclassification between Common Stock and Additional paid-in capital was necessary to reflect the Company’s new par value of $0.0001. The reclassification between Common Stock Tax Benefit Preservation Plan On May 12, 2019, the Company implemented a Tax Benefit Preservation Plan (“Tax Plan”), with the intent to preserve the value of certain deferred tax benefits (“Tax Benefits”). The Tax Plan is intended to act as a deterrent to any person or entity acquiring shares of the Company equal to or exceeding 4.9%. For each common stock outstanding as of May 28, 2019, a dividend of one preferred stock purchase right is granted. The Tax Plan gives current shareholders the right to purchase one one-hundredth As of June 30, 2020 and December 31, 2019, the Company had 2,400,000 shares authorized and no shares outstanding of the Series A Preferred stock. Changes in the components of Accumulated other comprehensive (loss) income are as follows: Foreign Currency Translation Adjustments Unrecognized (Loss) Gain on Interest Rate Swaps Loss on Pension and Other Postretirement Plans Total Accumulated Other Comprehensive Income (Loss) Balance as of December 31, 2019 $ 126 $ (12) $ (55) $ 59 Other comprehensive (loss) income (49) (15) 1 (63) Balance as of March 31, 2020 77 (27) (54) (4) Other comprehensive income — 1 — 1 Tax expense — (1) — (1) Reclassification of currency translation adjustment to gain on disposal of discontinued operations 1 (78) (5) 19 (64) Balance as of June 30, 2020 $ (1) $ (32) $ (35) $ (68) 1 Relates to the reclassification of foreign currency translation from Accumulated other comprehensive (loss) income to the Gain on disposal of discontinued operations due to the completion of the MDA Transaction. See Note 3 for details.

Revenue

Revenue	6 Months Ended
Revenue	Jun. 30, 2020
Revenue
Revenue	11. REVENUE On June 30, 2020, the Company had $1.9 billion of remaining performance obligations, which represents the transaction price of firm orders less inception-to-date revenues recognized. Remaining performance obligations generally exclude unexercised contract options and indefinite delivery/indefinite quantity contracts. The Company expects to recognize revenues relating to existing performance obligations of approximately $0.7 billion , $0.7 billion and $0.5 billion for the remaining six months ended December 31, 2020, the year ending December 31, 202 Contract liabilities by segment are as follows: As of June 30, 2020 Earth Intelligence 1 Space Infrastructure Total Contract liabilities $ 60 $ 177 $ 237 As of December 31, 2019 Earth Intelligence 1 Space Infrastructure Total Contract liabilities $ 130 $ 145 $ 275 1 The contract liability balance associated with the Company’s EnhancedView Contract was $ 20 million and $ 78 million as of June 30, 2020 and December 31, 2019, respectively. The contract liability balance associated with the Company’s EnhancedView Contract is expected to be recognized as revenue through August 31, 2020. During the six months ended June 30, 2020, imputed interest on advanced payments increased the contract liability balance by $2 million, and $60 million in revenue was recognized, decreasing the contract liability balance. The decrease in total contract liabilities was primarily due to revenues recognized based upon satisfaction of performance obligations. The Company’s primary sources of revenues are as follows: Three Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 157 $ — $ 157 Service revenues 278 4 — 282 Intersegment — 23 (23) — $ 278 $ 184 $ (23) $ 439 Three Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 144 $ — $ 144 Service revenues 263 5 — 268 Intersegment — 32 (32) — $ 263 $ 181 $ (32) $ 412 Six Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 264 $ — $ 264 Service revenues 549 7 — 556 Intersegment — 45 (45) — $ 549 $ 316 $ (45) $ 820 Six Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 310 $ — $ 310 Service revenues 517 16 — 533 Intersegment — 65 (65) — $ 517 $ 391 $ (65) $ 843 Certain of the Company’s contracts with customers in the Space Infrastructure segment include a significant financing component since payments are received from the customer more than one year after delivery of the promised goods or services. The Company recognized orbital interest revenue of $7 million and $14 million for the three and six months ended June 30, 2020, respectively, as compared to $8 million and $15 million for the three and six months ended June 30, 2019, respectively, related to these contracts, which is included in product revenues. Revenue in the Space Infrastructure segment is primarily generated from long-term construction contracts. Due to the long-term nature of these contracts, the Company generally recognizes revenue over time using the cost-to-cost method of accounting to measure progress. Under the cost-to-cost method of accounting, revenue is recognized based on the proportion of total costs incurred to estimated total costs-at-completion ("EAC"). An EAC includes all direct costs and indirect costs directly attributable to a program or allocable based on program cost pooling arrangements. Estimates regarding the Company’s cost associated with the design, manufacture and delivery of products and services are used in determining the EAC. Changes to an EAC are recorded as a cumulative adjustment to revenue. For the three and six months ended June 30, 2020, the Company incurred COVID-19 related EAC growth of $6 million and $24 million within the Space Infrastructure segment. The changes in the EACs are due to increases in estimated program costs associated with the COVID-19 operating posture and the estimated impact of certain items such as supplier delays and increased labor hours. These costs are considered incremental and separable from normal operations. The COVID-19 EAC growth assumes, among other things, that the Company’s current combination of work from home and limited personnel working on-site for essential operations remains in effect through December 2020. During the three and six months ended June 30, 2020, the Company recorded an additional $17 million and $36 million estimated loss on a commercial satellite program which includes significant development efforts further delayed by COVID-19. The COVID-19 impact on this program for the three and six months ended June 30, 2020 was $2 million and $14 million which is included in our total COVID-19 impact discussed above. The revenues based on geographic location of customers are as follows: Three Months Ended June 30, 2020 2019 United States $ 356 $ 317 Europe 24 17 Asia 23 37 Middle East 13 10 Australia 10 4 South America 6 25 Other 7 2 Total revenues $ 439 $ 412 Six Months Ended June 30, 2020 2019 United States $ 658 $ 628 Europe 42 24 Asia 50 91 Middle East 26 19 Australia 17 9 South America 15 64 Other 12 8 Total revenues $ 820 $ 843 Revenues from significant customers are as follows: Three Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 203 $ 75 $ — $ 278 Commercial and other 75 109 (23) 161 Total revenues $ 278 $ 184 $ (23) $ 439 Three Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 211 $ 33 $ — $ 244 Commercial and other 52 148 (32) 168 Total revenues $ 263 $ 181 $ (32) $ 412 Six Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 402 $ 140 $ — $ 542 Commercial and other 147 176 (45) 278 Total revenues $ 549 $ 316 $ (45) $ 820 Six Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 401 $ 56 $ — $ 457 Commercial and other 116 335 (65) 386 Total revenues $ 517 $ 391 $ (65) $ 843

Segment information

Segment information	6 Months Ended
Segment information	Jun. 30, 2020
Segment information
Segment information	12. SEGMENT INFORMATION As of June 30, 2020, the Company’s business is organized into two reportable segments: Earth Intelligence and Space Infrastructure. With the Company’s closing of the MDA Transaction on April 8, 2020, MDA is no longer considered a reportable segment and has been classified within Income from discontinued operations, net of tax in the Unaudited Condensed Consolidated Statements of Operations. All prior-period amounts have been adjusted to reflect the reportable segment change. The Earth Intelligence reportable segment is a supplier of high-resolution space-based optical and radar imagery products and analytics. The Space Infrastructure reportable segment is a provider of Space Infrastructure that designs, builds, integrates and tests solutions for space-based communication satellites, on-orbit servicing, robotic assembly and space exploration. The Company’s CODM measures the performance of each segment based on revenue and Adjusted EBITDA. Adjusted EBITDA is defined as earnings before interest, tax, depreciation and amortization (“EBITDA”) adjusted for certain items affecting comparability as specified in the calculation. Certain items affecting comparability include restructuring, impairments, satellite insurance recovery, gain on sale of assets, CEO severance and transaction and integration related expense. Transaction and integration related expense includes costs associated with de-leveraging activities, acquisitions and dispositions and the integration of acquisitions. Corporate and other expenses include items such as corporate office costs, regulatory costs, executive and director compensation, foreign exchange gains and losses, and fees for audit, legal and consulting services. Intersegment sales are generally recorded at cost plus a specified margin, which may differ from what the segment may be able to obtain on sales to external customers. The following table summarizes the operating performance of the Company’s segments: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Revenues: Earth Intelligence $ 278 $ 263 $ 549 $ 517 Space Infrastructure 184 181 316 391 Intersegment eliminations (23) (32) (45) (65) Total revenues $ 439 $ 412 $ 820 $ 843 Adjusted EBITDA: Earth Intelligence $ 146 $ 124 $ 279 $ 249 Space Infrastructure 11 7 (28) 5 Intersegment eliminations (7) (4) (14) (8) Corporate and other expenses (12) (19) (22) (39) Restructuring — (4) — (15) Transaction and integration related expense (3) (2) (4) (7) Impairment loss, including inventory — — (14) (3) Satellite insurance recovery — 183 — 183 CEO severance — — — (3) Depreciation and amortization (89) (96) (179) (191) Interest expense, net (48) (49) (97) (98) Interest income 1 — — 1 — Equity in (income) loss from joint ventures, net of tax (2) 2 (1) 3 (Loss) income from continuing operations before taxes $ (4) $ 142 $ (79) $ 76 1 Included in Other (income) expense, net on the Unaudited Condensed Consolidated Statements of Operations. The Company’s capital expenditures are as follows: Three Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 28 $ 5 $ 11 $ 44 Intangible assets 20 — 4 24 $ 48 $ 5 $ 15 $ 68 Three Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 51 $ 3 $ (13) $ 41 Intangible assets 13 1 (1) 13 $ 64 $ 4 $ (14) $ 54 Six Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 62 $ 8 $ 18 $ 88 Intangible assets 36 — 4 40 $ 98 $ 8 $ 22 $ 128 Six Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 101 $ 8 $ (12) $ 97 Intangible assets 26 1 — 27 $ 127 $ 9 $ (12) $ 124 Substantially all of the Company’s long-lived tangible assets were in the United States as of June 30, 2020 and December 31, 2019.

Employee benefit plans

Employee benefit plans	6 Months Ended
Employee benefit plans	Jun. 30, 2020
Employee benefit plans
Employee benefit plans	13. EMPLOYEE BENEFIT PLANS The following table summarizes the components of net periodic benefit cost for the Company’s pension plans: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest cost $ 5 $ 5 $ 9 $ 10 Expected return on plan assets (7) (6) (13) (12) Amortization of net gain 1 — 1 — Expenses paid — — 1 1 Net periodic benefit cost $ (1) $ (1) $ (2) $ (1) Contributions The funding policy for the Company’s pension plans is to contribute at least the minimum required by applicable laws and regulations or to directly make benefit payments where appropriate. The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was enacted on March 27, 2020 in the United States. Under the CARES Act, all single-employer funding obligations due during calendar year 2020 can be delayed until January 1, 2021, with accrued interest added to the delayed payments. The Company contributed $3 million to its pension plan as of June 30, 2020 and has the ability to defer the remaining $15 million in payments for 2020 until January 1, 2021.

Income taxes

Income taxes	6 Months Ended
Income taxes	Jun. 30, 2020
Income taxes
Income taxes	14. INCOME TAXES For the three months ended June 30, 2020 and June 30, 2019, the effective tax rate on pre-tax continuing operations was 50.0% and 0.7%, respectively. For the six months ended June 30, 2020 and June 30, 2019, the effective tax rate on pre-tax continuing operations was 0.0% and 2.6%, respectively. The effective tax rates for the three and six months ended June 30, 2020 and June 30, 2019 differ from the statutory U.S. federal income tax rate of 21.0% primarily due to the estimated Base Erosion and Anti-Abuse Tax, state income taxes, estimated permanent differences and changes in valuation allowance. The Company does not anticipate a significant change to the Company’s gross unrecognized tax benefits within the next 12 months. The Company assesses the deferred tax assets for recoverability on a quarterly basis. Based upon all available positive and negative evidence, the Company has established a valuation allowance to reduce the net deferred tax asset to the amount that is more-likely-than-not realizable. The Company computes an estimated annual effective tax rate (“AETR”) each quarter based on the current and forecasted continuing operating results. The income tax expense or benefit associated with the interim period is computed using the most recent estimated AETR applied to the year-to-date ordinary income or loss, plus the tax effect of any significant or infrequently occurring items recorded during the interim period. Due to the early adoption of ASU 2019-12, Maxar is able to determine the tax effect of the loss from continuing operations without incorporating the gain on disposal of discontinued operations. The computation of the estimated AETR at each interim period requires certain estimates and significant judgments including, but not limited to, the expected operating income (loss) for the year, projections of the proportion of income earned and taxed in various jurisdictions, permanent differences and the likelihood of recovering deferred tax assets generated in the current year. The accounting estimates used to compute the provision for income taxes may change as new events occur, more experience is obtained, and additional information becomes known or as the tax environment changes.

Earnings per share

Earnings per share	6 Months Ended
Earnings per share	Jun. 30, 2020
Earnings per share
Earnings per share	15. EARNINGS PER SHARE The following table includes the calculation of basic and diluted net income per common share: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Income (loss) from continuing operations $ — $ 139 $ (78) $ 71 Income from discontinued operations, net of tax 306 9 336 20 Net income $ 306 $ 148 $ 258 $ 91 Weighted average number of common shares outstanding-basic 60.6 59.6 60.4 59.6 Weighted dilutive effect of equity awards 1.4 0.4 — 0.2 Weighted average number of common shares outstanding-diluted 62.0 60.0 60.4 59.8 Basic net income per common share: Income (loss) from continuing operations $ — $ 2.33 $ (1.29) $ 1.19 Income from discontinued operations, net of tax 5.05 0.15 5.56 0.34 Basic net income per common share $ 5.05 $ 2.48 $ 4.27 $ 1.53 Diluted net income per common share: Income (loss) from continuing operations $ — $ 2.32 $ (1.29) $ 1.19 Income from discontinued operations, net of tax 4.94 0.15 5.56 0.33 Diluted net income per common share $ 4.94 $ 2.47 $ 4.27 $ 1.52 For the three and six months ended June 30, 2020, approximately 3 million awards were excluded from the diluted weighted average number of ordinary common shares outstanding calculation because their effect would have been anti-dilutive.

Commitments and contingencies

Commitments and contingencies	6 Months Ended
Commitments and contingencies	Jun. 30, 2020
Commitments and contingencies
Commitments and contingencies	16. COMMITMENTS AND CONTINGENCIES Contingencies in the Normal Course of Business As discussed in Note 4, satellite construction contracts may include performance incentives whereby payment for a portion of the purchase price of the satellite is contingent upon in-orbit performance of the satellite. The Company’s ultimate receipt of orbital performance incentives is subject to the continued performance of its satellites generally over the contractually stipulated life of the satellites. A complete or partial loss of a satellite’s functionality can result in loss of orbital receivable payments or repayment of amounts received by the Company under a warranty payback arrangement. The Company generally receives the present value of the orbital receivables if there is a launch failure or a failure caused by a customer error, but will forfeit some or all of the orbital receivables if the loss is caused by satellite failure or as a result of Company error. The Company recognizes orbital performance incentives in the financial statements based on the amounts that are expected to be received and believes that it will not incur a material loss relating to the incentives recognized. With respect to the Company’s securitized liability for the orbital receivables, upon the occurrence of an event of default under the securitization facility agreement or upon the occurrence of limited events, the Company may be required to repurchase on demand any effected receivables at their then net present value. The Company may incur liquidated damages on programs as a result of delays due to slippage, or for programs which fail to meet all milestone requirements as outlined within the contractual arrangements with customers. Losses on programs related to liquidated damages result in a reduction of revenue. Changes in estimates related to contracts accounted for using the cost-to-cost method of accounting are recognized in the period in which such changes are made for the inception-to-date effect of the changes. Unrecoverable costs on contracts that are expected to be incurred in future periods are recorded in program cost in the current period. The Company enters into agreements in the ordinary course of business with resellers and others. Most of these agreements require the Company to indemnify the other party against third-party claims alleging that one of its products infringes or misappropriates a patent, copyright, trademark, trade secret or other intellectual property right. Certain of these agreements require the Company to indemnify the other party against claims relating to property damage, personal injury or acts or omissions by the Company, its employees, agents or representatives. From time to time, the Company has made guarantees regarding the performance of its systems to its customers. Some of these agreements do not limit the maximum potential future payments the Company could be obligated to make. The Company evaluates and estimates potential losses from such indemnification based on the likelihood that the future event will occur. The Company has not incurred any material costs as a result of such obligations and has not accrued any liabilities related to such indemnification and guarantees in the Unaudited Condensed Consolidated Financial Statements. The Company has entered into industrial cooperation agreements, sometimes referred to as offset agreements, as a condition to entering into contracts for its products and services from certain customers in foreign countries. These agreements are designed to return economic value to the foreign country and may be satisfied through activities that do not require a direct cash payment, including transferring technology and providing manufacturing, training and other consulting support to in-country projects. These agreements may provide for penalties in the event the Company fails to perform in accordance with offset requirements. The Company has historically not been required to pay any such penalties. Risks and uncertainties related to COVID-19 The near and long-term impacts of the current pandemic on the cost and schedule of the numerous programs in the Company’s existing backlog and the timing of new awards remain uncertain. The Company is observing stress in its supplier base inside and outside the U.S. and will continue to monitor and assess the actual and potential COVID-19 impacts on employees, customers, suppliers and the productivity of the work being done, all of which to some extent will affect revenues, estimated costs to complete projects, earnings and cash flow. The Company’s current estimate at completion on the Company’s satellite manufacturing contracts assumes, among other things, that the Company’s current combination of work from home and limited personnel working on-site for essential operations remains in effect through December 2020. COVID-19 represents a force majeure event and as such, the Company has notified certain customers that the Company will be exercising the Maxar’s contractual legal rights given the uncertain nature of the current pandemic and its near and long-term impacts on the cost and schedule of the numerous programs in the existing backlog. The CARES Act was enacted on March 27, 2020 in the United States. Under the CARES Act, all single-employer funding obligations due during calendar year 2020 can be delayed until January 1, 2021, with accrued interest added to the delayed payments. See Note 13 for additional details on the CARES Act. Legal proceedings In 2010, the Company entered into an agreement with a Ukrainian customer to provide a communication satellite system. In 2014, following the annexation of Crimea by the Russian Federation, the Company declared force majeure with respect to the program and subsequently terminated the agreement. In July 2018, the Ukrainian customer issued a statement of claim in the arbitration it had commenced against Maxar, challenging the Company’s right to terminate for force majeure, purporting to terminate the contract for default by Maxar, and seeking recovery from Maxar in the amount of approximately $227 million. On March 31, 2020, following a hearing on the merits, the arbitral tribunal issued a final decision in favor of the Company, dismissing the customer’s claims in their entirety and awarding the Company its costs and attorney’s fees. On January 14, 2019, a Maxar stockholder filed a putative class action lawsuit captioned Oregon Laborers Employers Pension Trust Fund, et al. v. Maxar Technologies Inc., No. 1:19-cv-00124-WJM-SKC in the District Court of Colorado (the “Colorado Action”), naming Maxar and members of management as defendants alleging, among other things, that the Company’s public disclosures were deficient in violation of the federal securities laws and seeking monetary damages. On October 7, 2019, the lead plaintiff filed a consolidated amended complaint alleging violations of Sections 10(b) and 20(a) of the Securities and Exchange Act of 1934 against the Company and members of management in connection with the Company’s public disclosures between March 26, 2018 and January 6, 2019. The consolidated complaint alleges that the Company’s statements regarding the AMOS-8 contract, accounting for its GEO communications assets, and WorldView-4 were allegedly false and/or misleading during the class period. On December 6, 2019, defendants moved to dismiss the Colorado Action, which motion is currently pending. Also, in January 2019, a Maxar stockholder resident in Canada issued a putative class action lawsuit captioned Charles O’Brien v. Maxar Technologies Inc., No. CV-19-00613564-00CP in the Ontario Superior Court of Justice against Maxar and members of management claiming misrepresentations in Maxar’s public disclosures and seeking monetary damages. On November 15, 2019, Mr. O’Brien and another Maxar stockholder resident in Canada issued a new putative class action lawsuit captioned Charles O’Brien v. Maxar Technologies Inc., No. CV-19-00631107-00CP, naming Maxar and certain members of management and the board of directors as defendants as well as Maxar’s auditor, KPMG LLP. On February 7, 2020, the January 2019 claim was discontinued. The Statement of Claim alleges that the Company’s statements regarding the AMOS-8 contract, accounting for its GEO communications assets, and WorldView-4 were false and/or misleading during the class period, and claims damages of $700 million. On April 24, 2020, the plaintiffs served their motion record for leave under the Securities Act (Ontario) and to certify the action as a class proceeding, which motion is currently pending. The Company believes that these cases are without merit and intends to vigorously defend against them. On October 21, 2019, a Maxar stockholder filed a putative class action lawsuit captioned McCurdy v. Maxar Technologies Inc., et al. No. T19-074 in the Superior Court of the State of California, County of Santa Clara, naming Maxar, and certain members of management and the board of directors as defendants. The lawsuit alleges violations of Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 in connection with the Company’s June 2, 2017 Registration Statement and prospectus filed in anticipation of its October 5, 2017 merger with DigitalGlobe. On April 30, 2020, the plaintiff filed an amended complaint alleging the same causes of action against the same set of defendants as set forth in his original complaint. The lawsuit is based upon many of the same underlying factual allegations as the Colorado Action. Specifically, the lawsuit alleges the Company’s statements regarding its accounting methods and risk factors, including those related to the GEO communications business, were false and/or misleading when made. The Company believes that this lawsuit is without merit and intends to vigorously defend against it. On June 29, 2020, defendants moved to stay this case, which motion is currently pending. On November 14, 2019, a complaint was filed in a derivative action against Maxar and certain current and former members of management and the board of directors in federal court in the District of Delaware, captioned as Dorling, Derivatively on Behalf of Nominal Defendant Maxar Technologies Inc. v. Lance et al., No. 19-cv-02134-UNA. The complaint concerns the same factual allegations as asserted in the Colorado Action. On February 7, 2020, the court granted the parties’ stipulated motion to stay this case. The Company is a party to various other legal proceedings and claims that arise in the ordinary course of business as either a plaintiff or defendant. As a matter of course, the Company is prepared both to litigate these matters to judgment, as well as to evaluate and consider all reasonable settlement opportunities. The Company has established accrued liabilities for these matters where losses are deemed probable and reasonably estimable. The outcome of any of these other proceedings, either individually or in the aggregate, is not expected to have a material adverse effect on the Company’s financial position, results of operations or liquidity.

Supplemental cash flow

Supplemental cash flow	6 Months Ended
Supplemental cash flow	Jun. 30, 2020
Supplemental cash flow
Supplemental cash flow	17. SUPPLEMENTAL CASH FLOW Selected cash payments and non-cash activities are as follows: Six Months Ended June 30, 2020 2019 Supplemental cash flow information: Cash paid for interest $ 122 $ 128 Supplemental non-cash investing and financing activities: Accrued capital expenditures 41 19

Subsequent events

Subsequent events	6 Months Ended
Subsequent events	Jun. 30, 2020
Subsequent events
Subsequent events	18. SUBSEQUENT EVENTS Acquisition of Vricon The Company’s most significant joint venture is Vricon Inc. (“Vricon”), a joint venture with Saab AB, specializing in the production of 3D models using high resolution imagery. The Company has an ownership interest of approximately 50% in Vricon. On June 25, 2020, the Company exercised its call option to purchase the remaining 50% ownership interest in Vricon (“Vricon Acquisition”) for approximately $140 million, excluding Vricon cash on hand of $23 million, or approximately $117 million net of estimated cash at closing. The Vricon Acquisition closed on July 1, 2020. Due to the timing of the Vricon Acquisition, the Company is unable to reasonably estimate the impact of the acquisition on the consolidated financial statements.

Summary of significant accoun_2

Summary of significant accounting policies (Policies)	6 Months Ended
Summary of significant accounting policies (Policies)	Jun. 30, 2020
Summary of significant accounting policies
Basis of presentation	Basis of presentation The Unaudited Condensed Consolidated Financial Statements include the accounts of Maxar Technologies Inc., and its consolidated subsidiaries. The Company’s Unaudited Condensed Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, and the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). All intercompany balances and transactions are eliminated in consolidation. The Company’s Unaudited Condensed Consolidated Financial Statements are presented in U.S. dollars and have been prepared on a historical cost basis, except for certain financial assets and liabilities including derivative financial instruments which are stated at fair value. References to “C$” refer to Canadian currency. The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Company’s annual audited consolidated financial statements and notes thereto included in the Company’s most recent Annual Report on Form 10-K filed with the SEC. Unless otherwise indicated, amounts provided in the Notes to the Unaudited Condensed Consolidated Financial Statements pertain to continuing operations (See Note 3 for information on discontinued operations). Certain amounts in the prior year financial statements have been reclassified to conform to the current year presentation. In management’s opinion, all adjustments of a normal recurring nature that are necessary for a fair statement of the accompanying Unaudited Condensed Consolidated Financial Statements have been included.
Use of estimates, assumptions and judgments	Use of estimates, assumptions and judgments The preparation of the Unaudited Condensed Consolidated Financial Statements in accordance with U.S. GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the reporting date, as well as the reported amounts of revenues and expenses during the reporting period. Estimates have been prepared using the most current and best available information; however, actual results could differ materially from those estimates.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements Financial Instruments In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) which, together with subsequent amendments, is included in ASC 326 – Financial Instruments – Credit Losses. ASC 326, as amended, significantly changes the impairment model for most financial assets and certain other instruments. ASC 326, as amended, will require immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets, which will generally result in earlier recognition of allowances for credit losses on loans and other financial instruments. These updates are effective for annual and interim financial statement periods beginning after December 15, 2019, with early adoption permitted for financial statement periods beginning after December 15, 2018. The Company adopted this standard and related amendments effective January 1, 2020, using the modified retrospective approach. The adoption of this standard resulted in additional disclosures related to the Company's orbital receivables. Refer to Note 4 for details. There were no impacts to the Unaudited Condensed Consolidated Financial Statements as a result of adoption. Simplifying the Accounting for Income Taxes In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”). ASU 2019-12 simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. ASU 2019-12 also simplifies aspects of accounting for franchise taxes and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU 2019-12 is effective for annual and interim financial statement periods beginning after December 15, 2020, with early adoption permitted. The Company early adopted this standard and related amendments effective January 1, 2020, in order to utilize the simplifying provision that removes the exception to the incremental approach for intraperiod tax allocation when a loss is incurred from continuing operations and income or a gain results from another item such as discontinued operations or other comprehensive income. The impact on the Unaudited Condensed Consolidated Financial Statements is to simplify the quarterly presentation related to the ordinary loss and the gain recorded in discontinued operations. There were no additional material impacts to the Unaudited Condensed Consolidated Financial Statements as a result of adoption.
Recent Accounting Guidance Not Yet Adopted	Recent Accounting Guidance Not Yet Adopted Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 In January 2020, the FASB issued ASU 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 (“ASU 2020-01”). ASU 2020-01 clarifies the accounting for certain equity securities upon application or discontinuation of the equity method of accounting and includes scope considerations for forward contracts and purchased options on certain securities. ASU 2020-01 is effective for annual and interim financial statement periods beginning after December 15, 2020, with early adoption permitted. The Company performed a preliminary assessment of this guidance and does not expect the adoption to have a material impact on the Company’s financial statements. Reference Rate Reform In March 2020, FASB issued ASU 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). The ASU is intended to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate and other interbank offered rates to alternative reference rates. This guidance was effective beginning on March 12, 2020, and the Company may elect to apply the amendments prospectively through December 31, 2022. The Company expects that it will elect to apply some of the expedients and exceptions in ASU 2020-04. However, the Company is still evaluating the guidance and the impact that adoption of ASU 2020-04 will have on the Company's financial statements.

Discontinued operations (Tables

Discontinued operations (Tables)	6 Months Ended
Discontinued operations (Tables)	Jun. 30, 2020
Discontinued operations
Schedule of results of discontinued operations and financial information of the discontinued operation that are included in the Unaudited Condensed Consolidated Statements of Operations and Unaudited Consolidated Balance Sheets	Income from discontinued operations, net of tax for MDA in the Unaudited Condensed Consolidated Statements of Operations consists of the following: Three Months Ended Six Months Ended June 30, June 30, 2020 1 2019 2020 1 2019 Revenues: Product $ 5 $ 57 $ 44 $ 110 Service 6 40 42 83 Total revenues 11 97 86 193 Costs and expenses: Product costs, excluding depreciation and amortization 4 39 38 80 Service costs, excluding depreciation and amortization 3 21 24 45 Selling, general and administrative — 13 13 31 Depreciation and amortization — 3 4 6 Impairment loss — 12 12 12 Operating income (loss) 4 9 (5) 19 Interest expense, net — — 1 — Other expense (income), net 2 2 (1) (34) — Income before taxes 2 10 28 19 Income tax expense (benefit) — 1 (4) (1) Income from operations of discontinued operations, net of tax 2 9 32 20 Gain on disposal of discontinued operations, net of tax 304 — 304 — Income from discontinued operations, net of tax $ 306 $ 9 $ 336 $ 20 1 F or the three and six months ended June 30, 2020, MDA results are presented through April 7, 2020. 2 Other (income) expense, net includes the $39 million recovery of the previously recorded liability in relation to the Company’s dispute with the Ukrainian Customer for the six months ended June 30, 2020. The carrying amounts of the major classes of assets and liabilities, which are classified as held for sale in the Unaudited Condensed Consolidated Balance Sheet as of December 31, 2019, are as follows: December 31, 2019 Assets Cash and cash equivalents $ 45 Trade and other receivables, net 168 Deferred tax assets 117 Property, plant and equipment 29 Intangible assets 27 Goodwill 310 Other assets 1 55 Current assets held for sale $ 751 Liabilities Accounts payable $ 88 Accrued liabilities 18 Accrued compensation and benefits 21 Contract liabilities 29 Pension and other postretirement benefit liabilities 21 Other liabilities 2 53 Current liabilities held for sale $ 230 1 Other assets include income tax receivables, operating lease assets, prepaid and other current assets. 2 Other liabilities include operating and finance lease liabilities, current income taxes payable and other current liabilities

Trade and other receivables, _2

Trade and other receivables, net (Tables)	6 Months Ended
Trade and other receivables, net (Tables)	Jun. 30, 2020
Trade and other receivables, net
Schedule of trade and other receivables, net	June 30, December 31, 2020 2019 Billed $ 185 $ 211 Unbilled 80 100 Total trade receivables 265 311 Orbital receivables, current portion 44 43 Other 4 4 Allowance for doubtful accounts (1) (1) Trade and other receivables, net $ 312 $ 357
Schedule of changes in allowance for expected credit losses related to non-current orbital receivables	Orbital Receivables Allowance Allowance as of January 1, 2020 $ (35) Additions (14) Allowance as of June 30, 2020 $ (49)

Inventory (Tables)

Inventory (Tables)	6 Months Ended
Inventory (Tables)	Jun. 30, 2020
Inventory
Schedule of inventory	June 30, December 31, 2020 2019 Raw materials $ 14 $ 13 Work in process 7 7 Inventory $ 21 $ 20

Property, plant and equipment_2

Property, plant and equipment, net (Tables)	6 Months Ended
Property, plant and equipment, net (Tables)	Jun. 30, 2020
Property, plant and equipment, net
Schedule of property, plant and equipment, net	June 30, December 31, 2020 2019 Satellites $ 397 $ 397 Equipment 197 196 Leasehold improvements 81 75 Computer hardware 72 67 Furniture and fixtures 16 15 Construction in process 1 486 388 Property, plant and equipment, at cost 1,249 1,138 Accumulated depreciation (426) (380) Property, plant and equipment, net $ 823 $ 758 1

Intangible assets (Tables)

Intangible assets (Tables)	6 Months Ended
Intangible assets (Tables)	Jun. 30, 2020
Intangible assets
Schedule of intangible assets	June 30, 2020 December 31, 2019 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value Customer relationships $ 615 $ (124) $ 491 $ 615 $ (102) $ 513 Backlog 330 (265) 65 330 (217) 113 Technologies 320 (177) 143 320 (144) 176 Software 254 (103) 151 213 (83) 130 Image library 80 (54) 26 80 (48) 32 Trade names and other 37 (12) 25 37 (10) 27 Intangible assets $ 1,636 $ (735) $ 901 $ 1,595 $ (604) $ 991

Long-term debt and interest e_2

Long-term debt and interest expense, net (Tables)	6 Months Ended
Long-term debt and interest expense, net (Tables)	Jun. 30, 2020
Long-term debt and interest expense, net
Summary of long term debt	June 30, December 31, 2020 2019 Syndicated Credit facility: Term Loan B $ 1,444 $ 1,960 2023 Notes 850 1,000 2027 Notes 150 — Deferred financing 30 33 Debt discount and issuance costs (63) (54) Obligations under finance leases and other 5 6 Total long-term debt 2,416 2,945 Current portion of long-term debt (9) (30) Non-current portion of long-term debt $ 2,407 $ 2,915
Schedule of interest expense on long term debt and other obligations	Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest on long-term debt $ 55 $ 48 $ 109 $ 93 Interest expense on advance payments from customers 1 4 3 9 Interest on orbital securitization liability 2 2 3 4 Capitalized interest (10) (5) (18) (8) Interest expense, net $ 48 $ 49 $ 97 $ 98

Financial instruments and fai_2

Financial instruments and fair value disclosures (Tables)	6 Months Ended
Financial instruments and fair value disclosures (Tables)	Jun. 30, 2020
Financial instruments and fair value disclosures
Summary of financial instruments measured at fair value	Recurring Fair Value Measurements of as of June 30, 2020 Level 1 Level 2 Level 3 Total Assets Orbital receivables, net 1 $ — $ 398 $ — $ 398 Liabilities Interest rate swaps $ — $ 31 $ — $ 31 Long-term debt 2 — 2,218 — 2,218 $ — $ 2,249 $ — $ 2,249 Recurring Fair Value Measurements of as of December 31, 2019 Level 1 Level 2 Level 3 Total Assets Short-term investments $ 1 $ — $ — $ 1 Orbital receivables, net 1 — 425 — 425 $ 1 $ 425 $ — $ 426 Liabilities Interest rate swaps $ — $ 18 $ — $ 18 Long-term debt 2 — 3,004 — 3,004 $ — $ 3,022 $ — $ 3,022 1 The carrying value of Orbital receivables, net was $398 million and $425 million at June 30, 2020 and December 31, 2019, respectively. 2 Long-term debt excludes finance leases, deferred financing and other and is carried at amortized cost. The outstanding carrying value was $2,381 million and $2,906 million at June 30, 2020 and December 31, 2019, respectively.

Stockholders' equity (Tables)

Stockholders' equity (Tables)	6 Months Ended
Stockholders' equity (Tables)	Jun. 30, 2020
Stockholders' equity
Schedule of changes in the components of accumulated other comprehensive income (loss)	Foreign Currency Translation Adjustments Unrecognized (Loss) Gain on Interest Rate Swaps Loss on Pension and Other Postretirement Plans Total Accumulated Other Comprehensive Income (Loss) Balance as of December 31, 2019 $ 126 $ (12) $ (55) $ 59 Other comprehensive (loss) income (49) (15) 1 (63) Balance as of March 31, 2020 77 (27) (54) (4) Other comprehensive income — 1 — 1 Tax expense — (1) — (1) Reclassification of currency translation adjustment to gain on disposal of discontinued operations 1 (78) (5) 19 (64) Balance as of June 30, 2020 $ (1) $ (32) $ (35) $ (68) 1 Relates to the reclassification of foreign currency translation from Accumulated other comprehensive (loss) income to the Gain on disposal of discontinued operations due to the completion of the MDA Transaction. See Note 3 for details.

Revenue (Tables)

Revenue (Tables)	6 Months Ended
Revenue (Tables)	Jun. 30, 2020
Revenue
Summary of contract assets and contract liabilities by segment	As of June 30, 2020 Earth Intelligence 1 Space Infrastructure Total Contract liabilities $ 60 $ 177 $ 237 As of December 31, 2019 Earth Intelligence 1 Space Infrastructure Total Contract liabilities $ 130 $ 145 $ 275 1 The contract liability balance associated with the Company’s EnhancedView Contract was $ 20 million and $ 78 million as of June 30, 2020 and December 31, 2019, respectively. The contract liability balance associated with the Company’s EnhancedView Contract is expected to be recognized as revenue through August 31, 2020. During the six months ended June 30, 2020, imputed interest on advanced payments increased the contract liability balance by $2 million, and $60 million in revenue was recognized, decreasing the contract liability balance.
Summary of revenue by primary sources	Three Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 157 $ — $ 157 Service revenues 278 4 — 282 Intersegment — 23 (23) — $ 278 $ 184 $ (23) $ 439 Three Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 144 $ — $ 144 Service revenues 263 5 — 268 Intersegment — 32 (32) — $ 263 $ 181 $ (32) $ 412 Six Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 264 $ — $ 264 Service revenues 549 7 — 556 Intersegment — 45 (45) — $ 549 $ 316 $ (45) $ 820 Six Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total Product revenues $ — $ 310 $ — $ 310 Service revenues 517 16 — 533 Intersegment — 65 (65) — $ 517 $ 391 $ (65) $ 843
Summary of revenue by geographic location	Three Months Ended June 30, 2020 2019 United States $ 356 $ 317 Europe 24 17 Asia 23 37 Middle East 13 10 Australia 10 4 South America 6 25 Other 7 2 Total revenues $ 439 $ 412 Six Months Ended June 30, 2020 2019 United States $ 658 $ 628 Europe 42 24 Asia 50 91 Middle East 26 19 Australia 17 9 South America 15 64 Other 12 8 Total revenues $ 820 $ 843
Schedule of revenue from significant customers	Three Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 203 $ 75 $ — $ 278 Commercial and other 75 109 (23) 161 Total revenues $ 278 $ 184 $ (23) $ 439 Three Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 211 $ 33 $ — $ 244 Commercial and other 52 148 (32) 168 Total revenues $ 263 $ 181 $ (32) $ 412 Six Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 402 $ 140 $ — $ 542 Commercial and other 147 176 (45) 278 Total revenues $ 549 $ 316 $ (45) $ 820 Six Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Eliminations Total U.S. federal government and agencies $ 401 $ 56 $ — $ 457 Commercial and other 116 335 (65) 386 Total revenues $ 517 $ 391 $ (65) $ 843

Segment information (Tables)

Segment information (Tables)	6 Months Ended
Segment information (Tables)	Jun. 30, 2020
Segment information
Summary of operating performance of the reporting segments	Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Revenues: Earth Intelligence $ 278 $ 263 $ 549 $ 517 Space Infrastructure 184 181 316 391 Intersegment eliminations (23) (32) (45) (65) Total revenues $ 439 $ 412 $ 820 $ 843 Adjusted EBITDA: Earth Intelligence $ 146 $ 124 $ 279 $ 249 Space Infrastructure 11 7 (28) 5 Intersegment eliminations (7) (4) (14) (8) Corporate and other expenses (12) (19) (22) (39) Restructuring — (4) — (15) Transaction and integration related expense (3) (2) (4) (7) Impairment loss, including inventory — — (14) (3) Satellite insurance recovery — 183 — 183 CEO severance — — — (3) Depreciation and amortization (89) (96) (179) (191) Interest expense, net (48) (49) (97) (98) Interest income 1 — — 1 — Equity in (income) loss from joint ventures, net of tax (2) 2 (1) 3 (Loss) income from continuing operations before taxes $ (4) $ 142 $ (79) $ 76 1 Included in Other (income) expense, net on the Unaudited Condensed Consolidated Statements of Operations.
Schedule of capital expenditures by segment	Three Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 28 $ 5 $ 11 $ 44 Intangible assets 20 — 4 24 $ 48 $ 5 $ 15 $ 68 Three Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 51 $ 3 $ (13) $ 41 Intangible assets 13 1 (1) 13 $ 64 $ 4 $ (14) $ 54 Six Months Ended June 30, 2020 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 62 $ 8 $ 18 $ 88 Intangible assets 36 — 4 40 $ 98 $ 8 $ 22 $ 128 Six Months Ended June 30, 2019 Earth Intelligence Space Infrastructure Corporate and Eliminations Total Capital expenditures: Property, plant and equipment $ 101 $ 8 $ (12) $ 97 Intangible assets 26 1 — 27 $ 127 $ 9 $ (12) $ 124

Employee benefit plans (Tables)

Employee benefit plans (Tables)	6 Months Ended
Employee benefit plans (Tables)	Jun. 30, 2020
Employee benefit plans
Summary of the components of net periodic benefit cost	Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest cost $ 5 $ 5 $ 9 $ 10 Expected return on plan assets (7) (6) (13) (12) Amortization of net gain 1 — 1 — Expenses paid — — 1 1 Net periodic benefit cost $ (1) $ (1) $ (2) $ (1)

Earnings per share (Tables)

Earnings per share (Tables)	6 Months Ended
Earnings per share (Tables)	Jun. 30, 2020
Earnings per share
Summary of calculation of basic and diluted EPS	Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Income (loss) from continuing operations $ — $ 139 $ (78) $ 71 Income from discontinued operations, net of tax 306 9 336 20 Net income $ 306 $ 148 $ 258 $ 91 Weighted average number of common shares outstanding-basic 60.6 59.6 60.4 59.6 Weighted dilutive effect of equity awards 1.4 0.4 — 0.2 Weighted average number of common shares outstanding-diluted 62.0 60.0 60.4 59.8 Basic net income per common share: Income (loss) from continuing operations $ — $ 2.33 $ (1.29) $ 1.19 Income from discontinued operations, net of tax 5.05 0.15 5.56 0.34 Basic net income per common share $ 5.05 $ 2.48 $ 4.27 $ 1.53 Diluted net income per common share: Income (loss) from continuing operations $ — $ 2.32 $ (1.29) $ 1.19 Income from discontinued operations, net of tax 4.94 0.15 5.56 0.33 Diluted net income per common share $ 4.94 $ 2.47 $ 4.27 $ 1.52

Supplemental cash flow (Tables)

Supplemental cash flow (Tables)	6 Months Ended
Supplemental cash flow (Tables)	Jun. 30, 2020
Supplemental cash flow
Schedule of supplemental cash flow	Six Months Ended June 30, 2020 2019 Supplemental cash flow information: Cash paid for interest $ 122 $ 128 Supplemental non-cash investing and financing activities: Accrued capital expenditures 41 19

Discontinued operations - Narra

Discontinued operations - Narratives (Details) $ in Millions, $ in Billions	3 Months Ended	6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2020USD ($)	Apr. 08, 2020USD ($)	Apr. 08, 2020CAD ($)
Discontinued Operations
Gain on disposal of discontinued operations, net of tax	$ 304	$ 304
Reclassification of currency translation adjustment to gain on disposal of discontinued operations	(64)	(64)
MDA business \| Discontinued operations
Discontinued Operations
Aggregate purchase price			$ 729	$ 1
Gain on disposal of discontinued operations, net of tax	304	304
Tax on gain on disposal of discontinued operations	25
Reclassification of currency translation adjustment to gain on disposal of discontinued operations	$ 64
MDA business \| Discontinued operations \| Accrued Liabilities
Discontinued Operations
Recovery of previously recorded liability from dispute		$ 39

Discontinued operations - Finan

Discontinued operations - Financial information Operations (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Costs and expenses:
Income from operations of discontinued operations, net of tax	$ 2	$ 9	$ 32	$ 20
Gain on disposal of discontinued operations, net of tax	304		304
Income from discontinued operations, net of tax	306	9	336	20
MDA business \| Discontinued operations
Revenues:
Total revenues	11	97	86	193
Costs and expenses:
Selling, general and administrative		13	13	31
Depreciation and amortization		3	4	6
Impairment loss	0	12	12	12
Operating (loss) income	4	9	(5)	19
Interest expense, net			1
Other (income) expense, net	2	(1)	(34)
Income before taxes	2	10	28	19
Income tax expense (benefit)		1	(4)	(1)
Income from operations of discontinued operations, net of tax	2	9	32	20
Gain on disposal of discontinued operations, net of tax	304		304
Income from discontinued operations, net of tax	306	9	336	20
MDA business \| Discontinued operations \| Product
Revenues:
Total revenues	5	57	44	110
Costs and expenses:
Costs, excluding depreciation and amortization	4	39	38	80
MDA business \| Discontinued operations \| Service
Revenues:
Total revenues	6	40	42	83
Costs and expenses:
Costs, excluding depreciation and amortization	$ 3	$ 21	$ 24	$ 45

Discontinued operations - Fin_2

Discontinued operations - Financial Information Balance sheet (Details) $ in Millions	Dec. 31, 2019USD ($)
Assets
Current assets held for sale	$ 751
Liabilities
Current liabilities held for sale	230
MDA business \| Discontinued operations
Assets
Cash and cash equivalents	45
Trade and other receivables, net	168
Deferred tax assets	117
Property, plant and equipment	29
Intangible assets	27
Goodwill	310
Other assets	55
Current assets held for sale	751
Liabilities
Accounts payable	88
Accrued liabilities	18
Accrued compensation and benefits	21
Contract liabilities	29
Pension and other postretirement benefit liabilities	21
Other liabilities	53
Current liabilities held for sale	$ 230

Trade and other receivables, _3

Trade and other receivables, net (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Trade and other receivables, net
Billed	$ 185	$ 211
Unbilled	80	100
Total trade receivables	265	311
Orbital receivables, current portion	44	43
Other	4	4
Allowance for doubtful accounts	(1)	(1)
Total trade and other receivables, net	$ 312	$ 357

Trade and other receivables, _4

Trade and other receivables, net - Orbital receivables (Details) $ in Millions	6 Months Ended
	Jun. 30, 2020USD ($)customer	Dec. 31, 2019USD ($)
Trade and other receivables
Orbital receivables, net	$ 354	$ 382
Number of customers \| customer	14
Impairment to long-term orbital receivables	$ 14
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Allowance at the beginning of the period	(35)
Additions	(14)
Allowance at the end of the period	(49)
Accounts Receivable \| Credit Concentration Risk \| Largest Customer
Trade and other receivables
Orbital receivables, net	$ 44
Concentration risk, percentage	11.00%

Trade and other receivables, _5

Trade and other receivables, net - Expected timing of total contractual cash flows (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Orbital receivables
Securitization liabilities	$ 61	$ 65
Other current liabilities
Orbital receivables
Securitization liabilities	13	17
Other non-current liabilities
Orbital receivables
Securitization liabilities	$ 48	$ 48

Inventory (Details)

Inventory (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Inventory
Raw materials	$ 14	$ 13
Work in process	7	7
Total inventory	$ 21	$ 20

Property, plant and equipment_3

Property, plant and equipment, net (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Property, plant and equipment
Property, plant and equipment, at cost	$ 1,249		$ 1,249		$ 1,138
Accumulated depreciation	(426)		(426)		(380)
Property, plant and equipment, net	823		823		758
Depreciation	23	$ 28	47	$ 56
Satellite insurance recovery		183		$ 183
Satellites
Property, plant and equipment
Property, plant and equipment, at cost	397		397		397
Satellite insurance recovery		$ 183
Equipment
Property, plant and equipment
Property, plant and equipment, at cost	197		197		196
Leasehold improvements
Property, plant and equipment
Property, plant and equipment, at cost	81		81		75
Computer hardware
Property, plant and equipment
Property, plant and equipment, at cost	72		72		67
Furniture and fixtures
Property, plant and equipment
Property, plant and equipment, at cost	16		16		15
Construction in process
Property, plant and equipment
Property, plant and equipment, at cost	$ 486		$ 486		$ 388

Intangible assets (Details)

Intangible assets (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Intangible assets (Details) - USD ($) $ in Millions	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Finite-lived intangible assets:
Gross carrying value	$ 1,636		$ 1,636		$ 1,595
Accumulated amortization	(735)		(735)		(604)
Net carrying value	901		901		991
Amortization of intangible assets	66	$ 68	132	$ 135
Customer relationships
Finite-lived intangible assets:
Gross carrying value	615		615		615
Accumulated amortization	(124)		(124)		(102)
Net carrying value	491		491		513
Backlog
Finite-lived intangible assets:
Gross carrying value	330		330		330
Accumulated amortization	(265)		(265)		(217)
Net carrying value	65		65		113
Technologies
Finite-lived intangible assets:
Gross carrying value	320		320		320
Accumulated amortization	(177)		(177)		(144)
Net carrying value	143		143		176
Software
Finite-lived intangible assets:
Gross carrying value	254		254		213
Accumulated amortization	(103)		(103)		(83)
Net carrying value	151		151		130
Image library
Finite-lived intangible assets:
Gross carrying value	80		80		80
Accumulated amortization	(54)		(54)		(48)
Net carrying value	26		26		32
Trade names and other
Finite-lived intangible assets:
Gross carrying value	37		37		37
Accumulated amortization	(12)		(12)		(10)
Net carrying value	$ 25		$ 25		$ 27

Long-term debt and interest e_3

Long-term debt and interest expense, net (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Long-term debt and interest expenses
Debt discount and issuance costs	$ (63)	$ (54)
Obligations under finance leases and other	5	6
Total long-term debt	2,416	2,945
Current portion of long-term debt	(9)	(30)
Non-current portion of long-term debt	2,407	2,915
Term Loan B
Long-term debt and interest expenses
Long-term debt	1,444	1,960
2023 Notes
Long-term debt and interest expenses
Long-term debt	850	1,000
2027 Notes
Long-term debt and interest expenses
Long-term debt	150
Deferred financing
Long-term debt and interest expenses
Long-term debt	$ 30	$ 33

Long-term debt and interest e_4

Long-term debt and interest expense, net - Syndicated credit facility (Details) - USD ($) $ in Millions	Jun. 25, 2020	Jun. 30, 2020	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Long-term debt and interest expenses
Loss from early extinguishment of debt			$ (7)
Unamortized debt issuance cost expensed		$ 7	8	$ 4
2023 Notes
Long-term debt and interest expenses
Aggregate principal amount repurchased	$ 150	150	$ 150
Interest rate (as a percent)	9.75%
Percentage of principal amount of repurchased debt	112.45%
Percentage of premium paid on repurchase of notes	12.45%
2027 Notes
Long-term debt and interest expenses
Aggregate principal amount	$ 150
Interest rate (as a percent)	7.54%
Issue Price (as a percent)	98.25%
2027 Notes \| Redemption in period of 12 months beginning on June 25, 2024
Long-term debt and interest expenses
Debt instrument redemption price percentage			105.655%
2027 Notes \| Redemption in period of 12 months beginning on June 25, 2025
Long-term debt and interest expenses
Debt instrument redemption price percentage			103.77%
2027 Notes \| Redemption after June 25, 2026
Long-term debt and interest expenses
Debt instrument redemption price percentage			101.885%
2027 Notes \| Redemption before June 25, 2024
Long-term debt and interest expenses
Debt instrument redemption price percentage			100.00%
Percentage of principle amount of debt redeemed			40.00%
2027 Notes \| Change of control occurs
Long-term debt and interest expenses
Debt instrument redemption price percentage			101.00%
Revolving Credit Facility
Long-term debt and interest expenses
Maximum borrowing capacity		500	$ 500
Letter of credit outstanding		0	0
Revolving Credit Facility \| Maturing in December 2023
Long-term debt and interest expenses
Maximum borrowing capacity		500	500
Letter of credit
Long-term debt and interest expenses
Maximum borrowing capacity		200	200
Letter of credit outstanding		24	24		$ 18
Term Loan B
Long-term debt and interest expenses
Debt Repaid		511
Term Loan B \| Maturing in October 2024
Long-term debt and interest expenses
Aggregate principal amount		$ 2,000	$ 2,000

Long-term debt and interest e_5

Long-term debt and interest expense, net - Interest expense on long term debts and other obligations (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Interest expenses
Interest on long-term debt	$ 55	$ 48	$ 109	$ 93
Interest expense on advance payments from customers	1	4	3	9
Interest on orbital securitization liability	2	2	3	4
Capitalized interest	(10)	(5)	(18)	(8)
Loss from extinguishment of debt			7
Interest expense, net	$ 48	$ 49	$ 97	$ 98

Financial instruments and fai_3

Financial instruments and fair value disclosures - Financial instruments measured at fair value (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Assets
Orbital receivables, net	$ 354	$ 382
Recurring
Assets
Short-term investments		1
Orbital receivables, net	398	425
Assets fair value		426
Liabilities
Long-term debt	2,218	3,004
Liabilities fair value	2,249	3,022
Recurring \| Interest rate swaps
Liabilities
Derivative financial instruments	31	18
Recurring \| Level 1
Assets
Short-term investments		1
Assets fair value		1
Recurring \| Level 2
Assets
Orbital receivables, net	398	425
Assets fair value		425
Liabilities
Long-term debt	2,218	3,004
Liabilities fair value	2,249	3,022
Recurring \| Level 2 \| Interest rate swaps
Liabilities
Derivative financial instruments	$ 31	$ 18

Financial instruments and fai_4

Financial instruments and fair value disclosures - Financial instruments recorded at carrying value (Details) - Carrying value - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Financial instruments and fair value disclosures
Long-term debt excludes finance leases, deferred financing and other	$ 2,381	$ 2,906
Orbital receivable	$ 398	$ 425

Stockholders' equity (Details)

Stockholders' equity (Details) $ / shares in Units, $ in Millions	May 28, 2019item$ / shares	May 12, 2019	Mar. 31, 2019USD ($)	Jun. 30, 2020$ / sharesshares	Dec. 31, 2019$ / sharesshares	Jan. 01, 2019$ / shares
Stockholders' equity
Common stock, par value (in dollars per share) \| $ / shares				$ 0.0001	$ 0.0001	$ 0.0001
Series A Junior Participating Preferred Stock
Stockholders' equity
Preferred stock, authorized shares \| shares				2,400,000	2,400,000
Preferred stock, shares outstanding \| shares				0	0
Rights offering
Stockholders' equity
Percentage of shares acquired by entity under tax plan		4.90%
Number of preferred stock purchase right granted as dividend \| item	1
Number of additional shares of common stock upon exercise \| item	1
Percentage of discount on additional shares of common stock upon exercise	50.00%
Rights offering \| Series A Junior Participating Preferred Stock
Stockholders' equity
Percentage of right to purchase shares of preferred stock	0.01%
Share price \| $ / shares	$ 30.92
Common Stock
Stockholders' equity
Reclassification of APIC due to U.S. Domestication \| $			$ (1,713)
Additional paid in capital
Stockholders' equity
Reclassification of APIC due to U.S. Domestication \| $			$ 1,713

Stockholders' equity - Componen

Stockholders' equity - Components of accumulated other comprehensive income (loss) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2020
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning of period		$ 761	$ 761
Reclassification of currency translation adjustment to gain on disposal of discontinued	$ (64)		(64)
Balance at the end of period	901		901
Accumulated other comprehensive income (loss)
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning of period	(4)	59	59
Other comprehensive (loss) income	1	(63)
Tax expense	(1)
Reclassification of currency translation adjustment to gain on disposal of discontinued	(64)
Balance at the end of period	(68)	(4)	(68)
Foreign Currency Translation Adjustments
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning of period	77	126	126
Other comprehensive (loss) income		(49)
Reclassification of currency translation adjustment to gain on disposal of discontinued	(78)
Balance at the end of period	(1)	77	(1)
Unrecognized (Loss) Gain on Derivative Instruments
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning of period	(27)	(12)	(12)
Other comprehensive (loss) income	1	(15)
Tax expense	(1)
Reclassification of currency translation adjustment to gain on disposal of discontinued	(5)
Balance at the end of period	(32)	(27)	(32)
Pension Adjustments
Accumulated Other Comprehensive Income (Loss)
Balance at the beginning of period	(54)	(55)	(55)
Other comprehensive (loss) income		1
Reclassification of currency translation adjustment to gain on disposal of discontinued	19
Balance at the end of period	$ (35)	$ (54)	$ (35)

Revenue - Remaining performance

Revenue - Remaining performance obligations (Details) $ in Billions	Jun. 30, 2020USD ($)
Revenue
Remaining performance obligation	$ 1.9
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01
Revenue
Remaining performance obligation	$ 0.7
Expected timing of satisfaction	6 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01
Revenue
Remaining performance obligation	$ 0.7
Expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01
Revenue
Remaining performance obligation	$ 0.5
Expected timing of satisfaction

Revenue - Contract assets and l

Revenue - Contract assets and liabilities (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Contract assets and contract liabilities
Contract Liabilities	$ 237	$ 275
Earth intelligence
Contract assets and contract liabilities
Contract Liabilities	60	130
Earth intelligence \| Enhanced View contract
Contract assets and contract liabilities
Contract Liabilities	20	78
Increase in contract liability due to imputed interest on advance payments	2
Revenue recognized	60
Space Infrastructure
Contract assets and contract liabilities
Contract Liabilities	$ 177	$ 145

Revenue - Disaggregation of rev

Revenue - Disaggregation of revenue by source (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenue
Revenues	$ 439	$ 412	$ 820	$ 843
COVID-19 \| Commercial Satellite Contract
Revenue
Estimated total cost of completion	2		14
Estimated Loss	17		36
Product
Revenue
Revenues	157	144	264	310
Service
Revenue
Revenues	282	268	556	533
Space Infrastructure
Revenue
Orbital interest revenue	7	8	14	15
Space Infrastructure \| COVID-19
Revenue
Estimated total cost of completion	6		24
Operating Segments
Revenue
Revenues	(23)	(32)	(45)	(65)
Operating Segments \| Earth intelligence
Revenue
Revenues	278	263	549	517
Operating Segments \| Earth intelligence \| Service
Revenue
Revenues	278	263	549	517
Operating Segments \| Space Infrastructure
Revenue
Revenues	184	181	316	391
Operating Segments \| Space Infrastructure \| Product
Revenue
Revenues	157	144	264	310
Operating Segments \| Space Infrastructure \| Service
Revenue
Revenues	4	5	7	16
Intersegment eliminations
Revenue
Revenues	(23)	(32)	(45)	(65)
Intersegment eliminations \| Space Infrastructure
Revenue
Revenues	$ 23	$ 32	$ 45	$ 65

Revenue - Disaggregation of r_2

Revenue - Disaggregation of revenue on geographic location of customers (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenue
Revenues	$ 439	$ 412	$ 820	$ 843
U.S.
Revenue
Revenues	356	317	658	628
Europe
Revenue
Revenues	24	17	42	24
Asia
Revenue
Revenues	23	37	50	91
Middle East
Revenue
Revenues	13	10	26	19
Australia
Revenue
Revenues	10	4	17	9
South America
Revenue
Revenues	6	25	15	64
Other
Revenue
Revenues	$ 7	$ 2	$ 12	$ 8

Revenue - Disaggregation of r_3

Revenue - Disaggregation of revenue from significant customers (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenue
Revenues	$ 439	$ 412	$ 820	$ 843
U.S. Federal Government and agencies
Revenue
Revenues	278	244	542	457
Commercial and other
Revenue
Revenues	161	168	278	386
Operating Segments
Revenue
Revenues	(23)	(32)	(45)	(65)
Intersegment eliminations
Revenue
Revenues	(23)	(32)	(45)	(65)
Intersegment eliminations \| Commercial and other
Revenue
Revenues	(23)	(32)	(45)	(65)
Earth intelligence \| Operating Segments
Revenue
Revenues	278	263	549	517
Earth intelligence \| Operating Segments \| U.S. Federal Government and agencies
Revenue
Revenues	203	211	402	401
Earth intelligence \| Operating Segments \| Commercial and other
Revenue
Revenues	75	52	147	116
Space Infrastructure \| Operating Segments
Revenue
Revenues	184	181	316	391
Space Infrastructure \| Operating Segments \| U.S. Federal Government and agencies
Revenue
Revenues	75	33	140	56
Space Infrastructure \| Operating Segments \| Commercial and other
Revenue
Revenues	109	148	176	335
Space Infrastructure \| Intersegment eliminations
Revenue
Revenues	$ 23	$ 32	$ 45	$ 65

Segment information - Operating

Segment information - Operating performance (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)segment	Jun. 30, 2019USD ($)
Segment information
Number of reportable segments \| segment			2
Total revenues	$ 439	$ 412	$ 820	$ 843
Corporate and other expense	(12)	(19)	(22)	(39)
Restructuring		(4)		(15)
Transaction and integration related expense	(3)	(2)	(4)	(7)
Inventory impairment			(14)	(3)
Satellite insurance recoveries		183		183
CEO severance				(3)
Depreciation and amortization	(89)	(96)	(179)	(191)
Interest expense, net	(48)	(49)	(97)	(98)
Interest income			1
Equity loss (income) from joint ventures, net of tax	(2)	2	(1)	3
(Loss) income before taxes	(4)	142	(79)	76
Operating Segments
Segment information
Total revenues	(23)	(32)	(45)	(65)
Operating Segments \| Earth Intelligence
Segment information
Total revenues	278	263	549	517
Adjusted EBITDA	146	124	279	249
Operating Segments \| Space Infrastructure
Segment information
Total revenues	184	181	316	391
Adjusted EBITDA	11	7	(28)	5
Intersegment eliminations
Segment information
Total revenues	(23)	(32)	(45)	(65)
Adjusted EBITDA	$ (7)	$ (4)	$ (14)	$ (8)

Segment information - Capital e

Segment information - Capital expenditures (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Segment information
Capital expenditures, property, plant and equipment	$ 44	$ 41	$ 88	$ 97
Capital expenditures, intangible assets	24	13	40	27
Capital expenditures	68	54	128	124
Intersegment eliminations
Segment information
Capital expenditures, property, plant and equipment	11	(13)	18	(12)
Capital expenditures, intangible assets	4	(1)	4
Capital expenditures	15	(14)	22	(12)
Earth Intelligence \| Operating Segments
Segment information
Capital expenditures, property, plant and equipment	28	51	62	101
Capital expenditures, intangible assets	20	13	36	26
Capital expenditures	48	64	98	127
Space Infrastructure \| Operating Segments
Segment information
Capital expenditures, property, plant and equipment	5	3	8	8
Capital expenditures, intangible assets		1		1
Capital expenditures	$ 5	$ 4	$ 8	$ 9

Employee benefit plans - Compon

Employee benefit plans - Components of net periodic benefit cost (Details) - Pension - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Employee benefit plans
Interest cost	$ 5	$ 5	$ 9	$ 10
Expected return on plan assets	(7)	(6)	(13)	(12)
Amortization of net loss (gain)	1		1
Expenses paid			1	1
Net periodic benefit cost	$ (1)	$ (1)	$ (2)	$ (1)

Employee benefit plans - Narrat

Employee benefit plans - Narrative (Details) - Pension $ in Millions	6 Months Ended
	Jun. 30, 2020USD ($)
Employee benefit plans
Employer contributions	$ 3
Expected future contribution by the employer	$ 15

Income taxes - Income tax rate

Income taxes - Income tax rate (Details)	3 Months Ended		6 Months Ended
Income taxes - Income tax rate (Details)	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income taxes
Effective income tax rate	50.00%	0.70%	0.00%	2.60%
Statutory U.S. Federal income tax rate			21.00%	21.00%

Earnings per share (Details)

Earnings per share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Earnings per share
Income from continuing operations		$ 139	$ (78)	$ 71
Income from discontinued operations, net of tax	$ 306	9	336	20
Net income	$ 306	$ 148	$ 258	$ 91
Weighted average number of common shares outstanding - basic (in shares)	60.6	59.6	60.4	59.6
Weighted dilutive effect of equity awards (in shares)	1.4	0.4		0.2
Weighted average number of common shares outstanding-diluted	62	60	60.4	59.8
Basic net income per common share:
Income from continuing operations (in dollars per share)		$ 2.33	$ (1.29)	$ 1.19
Income from discontinued operations, net of tax (in dollars per share)	$ 5.05	0.15	5.56	0.34
Basic income per common share (in dollars per share)	5.05	2.48	4.27	1.53
Diluted net income per common share:
Loss from continuing operations (in dollars per share)		2.32	(1.29)	1.19
Income from discontinued operations, net of tax (in dollars per share)	4.94	0.15	5.56	0.33
Diluted income per common share (in dollars per share)	$ 4.94	$ 2.47	$ 4.27	$ 1.52

Earnings per share - Anti-dilut

Earnings per share - Anti-dilutive securities (Details) - shares shares in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020
Earnings per share
Antidilutive securities excluded from computation of earnings per share (in shares)	3	3

Commitments and contingencies (

Commitments and contingencies (Details) - Pending Litigation - USD ($) $ in Millions	Feb. 07, 2020	Jul. 31, 2018
Ukranian customer
Commitments and Contingencies
Recovery amount sought		$ 227
Stockholder class action
Commitments and Contingencies
Recovery amount sought	$ 700

Supplemental cash flow - (Detai

Supplemental cash flow - (Details) - USD ($) $ in Millions	6 Months Ended
Supplemental cash flow - (Details) - USD ($) $ in Millions	Jun. 30, 2020	Jun. 30, 2019
Supplemental cash flow information:
Cash paid for interest	$ 122	$ 128
Supplemental non-cash investing and financing activities:
Accrued capital expenditures	$ 41	$ 19

Subsequent Events (Details)

Subsequent Events (Details) - Vricon Inc - USD ($) $ in Millions	Jul. 01, 2020	Jun. 30, 2020
Subsequent events
Ownership interest (as a percent)		50.00%
Subsequent event
Subsequent events
Remaining ownership interest acquired	50.00%
Purchase consideration	$ 140
Cash on hand	23
Purchase consideration net of estimated cash at closing	$ 117