E-Z-GO 2013 Annual Report Download

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Table of contents

  • Page 1

  • Page 2
    ... and commitment, we put new products in the hands of our customers. Here are some of the innovative products we delivered in 2013: B Helicopter's V-280 Bell Valor V is next generation tiltrotor technology that offers the defense industry unparalleled speed and agility for tomorrow's missions. May...

  • Page 3
    ...-Capital KEY PERFORMANCE METRICS Net Cash Provided by Operating Activities of Continuing Operations for Manufacturing Group-GAAP Manufacturing Cash Flow Before Pension Contributions-Non-GAAP1 1 2013 2012 $ 12,104 $ 963 498 12,237 1,132 581 $ 23.94 $ 37.43 36.61 1.75 18.37 29.18 24.12 1.97 284...

  • Page 4
    ...rise in commercial deliveries contributed to a six percent increase in revenues over last year. The certification of three new Cessna models in 2013 positioned us for future growth as global markets gain momentum. At Textron Systems, we steadily grew our international customer base, capturing signi...

  • Page 5
    ... well known for its business, special mission, light attack, and trainer aircraft. Confidence in Our Future Our teams made great progress in 2013 as we brought important new products to the market, continued to increase our sales and service resources around the world and made acquisitions that...

  • Page 6
    ... informed Congress of its intent to sell six V-22s to Israel. E On both the commercial and military sides, innovation was also a driving force in 2013. At the Paris Air Show, we announced to commercial customers our plans to manufacture the Bell 505 Jet Ranger XTM, a new, short-light single-engine...

  • Page 7
    ... key program dates for next-generation U.S. Navy landing craft and Canadian Armed Forces armored vehicles. Looking back at these milestones and our wins in 2013, we enter 2014 confident in our ability to meet critical customer needs around the world. The relationships we've built with our domestic...

  • Page 8
    ..., commercially produced fixed-gear, single-engine piston aircraft. In 2013, we also redefined Cessna aircraft servicing. In new Citation...Moving forward, Cessna enters 2014 having won two category titles in the annual Robb Report "Best of the Best" competition and hit major production milestones for...

  • Page 9
    ..., sales of turf equipment climbed and revenues rose as we added more salespeople and stepped up our marketing and promotional activities in 2013. These actions helped Jacobsen capitalize on a number of opportunities, including closing its single largest sale of all-electric riding mowers; doubling...

  • Page 10
    ... liquidation plan that began in 2008 to exit the fi nancing of non-Textron brands. Of finance receivables totaling $1.5 billion in 2013, only $185 million represent our remaining noncaptive receivables. Concentrating on fi nancing the purchase of our own manufactured brands helped us post...

  • Page 11
    LEADERSHIP BOARD OF DIRECTORS Scott C. Donnelly (1) Chairman, President and Chief Executive Officer Textron Inc. Kathleen M. Bader (1) (3) President and Chief Executive Officer (Retired) NatureWorks LLC R. Kerry Clark (2) (4) Chairman and Chief Executive Officer (Retired) Cardinal Health, Inc. ...

  • Page 12
    ... obligations. This measure may not be comparable with similarly titled measures reported by other companies, as there is no definitive accounting standard ... to Manufacturing cash ï¬,ow before pension contributions is provided below: (In millions) 2013 $ 658 $ (444) (175) 1 22 194 256 $ 2012 958 ...

  • Page 13
    FORM 10-K TABLE OF CONTENTS 2 18 20 39 79 87 Business Summary Management's Discussion and Analysis Segment Analysis Financial Statements Controls and Procedures Corporate Information

  • Page 14
    UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K [ x ] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 28, 2013 or ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ...

  • Page 15
    ...in Note 15 to the Consolidated Financial Statements on pages 75 through 76 of this Annual Report on Form 10-K. The following description of our business should be read in conjunction ... and reliability, direct operating costs, product support and reputation. Textron Inc. Annual Report • 2013 2

  • Page 16
    ... 2013, 2012 and 2011, respectively...were as follows: (In millions) 2013 2012 2011 Military: V-22 Program Other... Defense (DoD). During 2013, the Bell Boeing .... In addition, during 2013 Bell announced the development... Textron's revenues in 2013, 2012 and 2011,...: (In millions) 2013 2012 2011 Unmanned Aircraft...

  • Page 17
    ...of Kautex accounted for approximately 15%, 15% and 16% of our total revenues in 2013, 2012 and 2011, respectively. Our automotive products have several major competitors worldwide, some... and reliability, prior experience and available manufacturing capacity. Textron Inc. Annual Report • 2013 4

  • Page 18
    ...had difficulty in accessing other sources of financing for the purchase of Textron-manufactured products. In 2013, 2012 and 2011, our Finance group paid our Manufacturing group $248 million, $309 ...for information about the Finance segment's credit performance. 5 Textron Inc. Annual Report • 2013

  • Page 19
    ...087 1,062 882 13 3,044 $ 11,463 Approximately 43% of our total backlog at December 28, 2013 represents orders that are not expected to be filled in 2014. Orders from Cessna customers, which cover ... Statements on page 53 of this Annual Report on Form 10-K. Textron Inc. Annual Report • 2013 6

  • Page 20
    ...is contained in Note 13 to the Consolidated Financial Statements on page 74 of this Annual Report on Form 10-K. We do not believe that existing or pending climate change legislation...held various other management positions since joining General Electric in 1989. 7 Textron Inc. Annual Report • 2013

  • Page 21
    ...furnish it to, the Securities and Exchange Commission. Forward-Looking Information Certain statements in this Annual Report on Form 10-K and other oral and written statements made by us from time to ... launching of significant new products or programs; Textron Inc. Annual Report • 2013 8

  • Page 22
    ...significantly reduce the federal deficit over ten years. Notwithstanding the Bipartisan Budget Control Act of 2013, substantial spending cuts to the U.S. defense budget are likely in the future. In ...also enter into "fee for service" contracts with the U.S. 9 Textron Inc. Annual Report • 2013

  • Page 23
    ... of our inventory. A prolonged weakness in the markets for our aircraft products could adversely impact our results of operations and our future prospects. Textron Inc. Annual Report • 2013 10

  • Page 24
    ... divert the attention of our management and resources from our existing operations. On December 26, 2013 we entered into an agreement and plan of merger pursuant to which we will acquire all outstanding..., and result in regulatory actions and/or litigation. 11 Textron Inc. Annual Report • 2013

  • Page 25
    ... us; as a result, our ability to compete successfully in those markets may be adversely affected, which could negatively impact our revenues and profitability. Textron Inc. Annual Report • 2013 12

  • Page 26
    ... Product Safety Act, which empowers the U.S. Consumer Product Safety Commission (CPSC) to exclude from the market products that are found to be 13 Textron Inc. Annual Report • 2013

  • Page 27
    ...future payment obligations and the rates of future cost growth. Additionally, as part of our annual evaluation of these plans, significant changes in our assumptions, due to changes in economic, ... assessment by a tax authority could affect our profitability. Textron Inc. Annual Report • 2013 14

  • Page 28
    ... they are being put and are substantially in regular use. Item 3. Legal Proceedings As previously reported in Textron's Annual Report on Form 10-K for the fiscal year ended January 2, 2010, on August 21, 2009,.... Item 4. Mine Safety Disclosures Not applicable. 15 Textron Inc. Annual Report • 2013

  • Page 29
    ... per share of our common stock as reported on the New York Stock Exchange and the dividends paid per share are provided in the following table: 2013 High Low Dividends per Share High 2012 ... $ 182.18 172.37 173.04 180.48 2013 $ 269.78 227.30 267.33 237.88 $300 Textron Inc. Annual Report • 2013 16

  • Page 30
    Item 6. Selected Financial Data (Dollars in millions, except per share amounts) 2013 2012 2011 2010 2009 Revenues Cessna Bell Textron Systems Industrial Finance Total revenues Segment profit... have an anti-dilutive effect on the loss from continuing operations. 17 Textron Inc. Annual Report • 2013

  • Page 31
    ... new product introductions, strategic acquisitions and investments in the future of our businesses. During 2013, we accomplished the following: • Invested $651 million in research and development costs, ...and Functional Components and Golf, Turf Care and Light Textron Inc. Annual Report • 2013 18

  • Page 32
    ...business. Selling and administrative expense was also impacted by $28 million in severance costs incurred in 2013 at Cessna, which were largely offset by a $27 million charge from an unfavorable arbitration ... for investment classification to the held for sale 19 Textron Inc. Annual Report • 2013

  • Page 33
    ... to retroactively reinstate and extend the Federal Research and Development Tax Credit from January 1, 2012 to December 31, 2013. As a result our income tax provision for 2013 includes a tax benefit that reduced the annual effective tax rate by approximately four percent. We estimate our full year...

  • Page 34
    ...the impact of lower Citation jet revenues. Cessna's operating expenses decreased $197 million, 7%, in 2013, compared with 2012, primarily due to lower sales volume as discussed above. The volume-related...$24 million in lower engineering and development expenses. 21 Textron Inc. Annual Report • 2013

  • Page 35
    ...Cessna's segment profit decreased $130 million in 2013, compared with 2012, primarily due to ...in severance costs incurred in 2013, largely offset by a ...decreased $44 million, 4%, in 2013 and $827 million, 44%, in... 2013 2012 2011 % Change 2013 2012...During the second quarter of 2013, we signed the second ...

  • Page 36
    ... to continue to depress Bell's margins in 2014 as the costs for inventories manufactured in 2013 are realized as products are delivered. Factors contributing to the 2012 year-over-year revenue ... with 2011, primarily due to higher sales volume discussed above. 23 Textron Inc. Annual Report • 2013

  • Page 37
    ...product line of $28 million. Textron Systems' operating expenses decreased $87 million, 5%, in 2013, compared with 2012, primarily due to improved performance reflecting the favorable impact of lower profit adjustments...by the lower sales volume described above. Textron Inc. Annual Report • 2013 24

  • Page 38
    ... and recorded a $19 million unfavorable program profit adjustment in the fourth quarter of 2012. In 2013, we recorded $15 million of charges for the UAS fee-for service program related to our estimate... partially offset by the lower volume described above. 25 Textron Inc. Annual Report • 2013

  • Page 39
    ... in charges related to the UAS fee-for-service program described above. Textron Systems Backlog In 2013, Textron Systems backlog decreased $116 million, 4%, largely due to deliveries in excess of new... line, reflecting higher compensation and material costs. Textron Inc. Annual Report • 2013 26

  • Page 40
    ...39 9 (22) 1 27 Segment profit for the Industrial segment increased $27 million, 13%, in 2013, compared with 2012, primarily due to improved performance of which $27 million was associated with the Fuel... by cost inflation that exceeded related price increases. 27 Textron Inc. Annual Report • 2013

  • Page 41
    ... of $46 million, attributable to lower average finance receivables of $834 million. Revenues during 2013 were also lower by $25 million due to the resolution of a Timeshare account that returned...$ 1,483 105 7.08% $ 80 5.39% $ $ 1,934 143 7.39% 90 4.65% Textron Inc. Annual Report • 2013 28

  • Page 42
    ... available for the issuance of letters of credit. This facility expires in October 2018. At December 28, 2013, there were no amounts borrowed against the facility, and there were $35 million of letters of credits ... draw down upon the closing of the transaction. 29 Textron Inc. Annual Report • 2013

  • Page 43
    ...a total cost of $272 million which fully utilized our available repurchase authorization. On January 23, 2013, our Board of Directors approved a new authorization program for 25 million shares under which we intend...coverage of no less than 125% and consolidated Textron Inc. Annual Report • 2013 30

  • Page 44
    ...below: (In millions) 2013 2012 2011 Dividends paid...$ 179 (182) During 2013, we also made a...(In millions) 2013 2012 2011 Operating...(1,536) In 2013 and 2012, the... $65 million in 2013, 2012 and 2011,...2013...million in 2013, $331... and $756 million in 2013, 2012 and 2011, respectively...millions) 2013 2012 2011...

  • Page 45
    ... between the periods as net tax payments were $174 million and $36 million in 2013 and 2012, respectively, and $264 million of cash outflows related to changes in accounts...) - (284) 520 (60) 11 187 182 (179) 60 (8) 55 242 $ (1) (175) 89 $ (3) (108) (28) $ Textron Inc. Annual Report • 2013 32

  • Page 46
    ...following table summarizes the known contractual obligations, as defined by reporting regulations, of our Manufacturing group as of December 28, 2013: Payments Due by Period (In millions) Total Less ... full recourse under customary contract termination clauses. 33 Textron Inc. Annual Report • 2013

  • Page 47
    ... following table summarizes the known contractual obligations, as defined by reporting regulations, of our Finance group as of December 28, 2013: Payments Due by Period (In millions) Total Less than ... contract or (d) we are unable to meet contract milestones. Textron Inc. Annual Report • 2013 34

  • Page 48
    .... We also make assumptions regarding employee demographic factors such as retirement patterns, mortality, turnover and rate of compensation increases. We evaluate and update these assumptions annually. 35 Textron Inc. Annual Report • 2013

  • Page 49
    ... on a combination of factors, including historical loss experience, current delinquency and default trends, collateral values and both general economic and specific industry trends. Textron Inc. Annual Report • 2013 36

  • Page 50
    ...years subject to examination based upon our evaluation of the facts, circumstances and information available at the reporting date. For those tax positions for which it is more likely than not that a tax benefit... the use of interest rate exchange agreements. 37 Textron Inc. Annual Report • 2013

  • Page 51
    ...instruments using discounted cash flow analysis and indicative market pricing as reported by leading financial news and data providers. This sensitivity analysis ...356 (1,244) $ 112 $ $ 24 (4) 20 $ 1,766 (1,687) $ 79 $ 1,793 (1,678) $ 115 $ $ 36 (13) 23 Textron Inc. Annual Report • 2013 38

  • Page 52
    ... firm thereon are included in this Annual Report on Form 10-K on the pages indicated below: Page 40 41 43 44 45 46 47 Report of Management Reports of Independent Registered Public Accounting Firm... is included in the financial statements or notes thereto. 39 Textron Inc. Annual Report • 2013

  • Page 53
    ...integrity and objectivity of the financial data presented in this Annual Report on Form 10-K. The Consolidated Financial Statements have been...has issued an attestation report on Textron's internal controls over financial reporting as of December 28, 2013, as stated in its reports, which are included ...

  • Page 54
    ...reporting as of December 28, 2013...reporting, and for its assessment of the effectiveness of internal control over financial reporting included in the accompanying Report...reporting...reporting...reporting...reporting... reporting may...reporting as of December 28, 2013...28, 2013 and ...2013 of Textron Inc. and our report...

  • Page 55
    ...Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (1992 Framework) and our report dated February 14, 2014 expressed an unqualified opinion thereon. /s/ Ernst & Young LLP Boston, Massachusetts February 14, 2014 Textron Inc. Annual Report • 2013 42

  • Page 56
    ...years in the three-year period ended December 28, 2013 (In millions, except per share data) 2013 2012 2011 Revenues Manufacturing revenues Finance revenues Total revenues ...78 1.75 - 1.75 $ $ $ $ 2.07 0.03 2.10 1.97 0.03 2.00 $ $ $ $ 0.87 - 0.87 0.79 - 0.79 43 Textron Inc. Annual Report • 2013

  • Page 57
    ...) For each of the years in the three-year period ended December 28, 2013 (In millions) 2013 2012 2011 Net income Other comprehensive income (loss), net of tax: Pension and...) 12 743 1,241 $ 589 (146) (1) 2 (145) 444 $ 242 (286) (20) (3) (309) (67) $ $ $ Textron Inc. Annual Report • 2013 44

  • Page 58
    Consolidated Balance Sheets (In millions, except share data) December 28, 2013 December 29, 2012 Assets Manufacturing group Cash and equivalents Accounts receivable, net Inventories Other... 4,384 - 4,384 $ 12,944 35 1,177 3,824 (1,770) 3,266 275 2,991 $ 13,033 45 Textron Inc. Annual Report • 2013

  • Page 59
    ...Purchases/conversions of convertible notes Settlement of capped call Retirement of treasury stock Balance at December 28, 2013 $ 35 $ 1,301 $ 3,037 242 (22) $ (85) $ (1,316) (309... $ $ $ (1,027) $ See Notes to the Consolidated Financial Statements. Textron Inc. Annual Report • 2013 46

  • Page 60
    ... and equivalents at beginning of year Cash and equivalents at end of year See Notes to the Consolidated Financial Statements. 2013 $ 498 - 498 2011 242 - 242 - - 389 86 29 (31) - 63 (118) (118)...(1,440) - 3 (22) - - - (23) (1,951) (1) (46) 931 885 $ $ $ 47 Textron Inc. Annual Report • 2013

  • Page 61
    ... 2012 $ 470 - 470 $ 542 8 534 $ 2011 464 - 464 $ 2013 28 - 28 Finance Group 2012 $ 47 - 47 $ 2011 (222) - (222) 175 (1) 371 51 - - - 86 (118) (135) (... (471) - 50 1,453 (756) 430 - - - (1,440) - - (179) 167 182 60 - (1,536) (1) (19) 33 14 $ $ $ $ $ $ Textron Inc. Annual Report • 2013 48

  • Page 62
    ... and 2011, the gross favorable program profit adjustments totaled $51 million, $88 million and $83 million, respectively. For 2013, 2012 and 2011, the gross unfavorable program profit adjustments totaled $22 million, $73 million and $29 million, respectively. 49 Textron Inc. Annual Report • 2013

  • Page 63
    .... Cash and Equivalents Cash and equivalents consist of cash and short-term, highly liquid investments with original maturities of three months or less. Textron Inc. Annual Report • 2013 50

  • Page 64
    .... Otherwise, the amount of the impairment must be determined by comparing the carrying amount of the reporting unit's goodwill to the implied fair value of that goodwill. The implied fair value of goodwill is... of outstanding principal less allowance for losses. 51 Textron Inc. Annual Report • 2013

  • Page 65
    ..., discount rates and healthcare cost projections. We evaluate and update these assumptions annually in consultation with third-party actuaries and investment advisors. We also make assumptions... are recorded in the cumulative translation adjustment account. Textron Inc. Annual Report • 2013 52

  • Page 66
    ...million, and $525 million in 2013, 2012 and 2011, respectively, and... differences between the financial reporting carrying amounts of assets...Acquisition On December 26, 2013, we entered into ... approvals. 2013 Business Acquisitions In 2013, we ...both acquired on December 6, 2013, design, develop, install ...

  • Page 67
    ...2013... 2013.... 2013,... Foreign currency translation Balance at December 28, 2013 Our intangible assets are summarized below: $ ...82 4 $ 1,735 December 28, 2013 Weighted-Average Amortization Period (in years)..., $40 million and $51 million in 2013, 2012 and 2011, respectively. Amortization expense is...

  • Page 68
    ...lower of cost or fair value and are not included in the credit performance tables below. During 2013, we determined that we no longer had the intent to hold the remaining non-captive loan portfolio...These three categories are performing, watchlist and nonaccrual. 55 Textron Inc. Annual Report • 2013

  • Page 69
    ... receivables by delinquency aging category are summarized in the table below: (In millions) December 28, 2013 December 29, 2012 Less than 31 days past due 31-60 days past due 61-90 days... significant interest income recognized on impaired loans in 2013 or 2012. Textron Inc. Annual Report • 2013 56

  • Page 70
    .... Our Manufacturing group has established reserves for losses on its balance sheet within accrued and other liabilities for the amounts it guarantees. 57 Textron Inc. Annual Report • 2013

  • Page 71
    ...plans Other Total Changes in our warranty and product maintenance contract liability are as follows: (In millions) 2013 $ 888 246 142 74 538 $ 1,888 725 282 180 80 689 $ 1,956 $ 2012 2011...and currency translation adjustments. $ $ 242 223 (223) (18) 224 Textron Inc. Annual Report • 2013 58

  • Page 72
    ...Rate Junior Subordinated Notes Fair value adjustments and unamortized discount Total Finance group debt * Notes amortize on a quarterly or semi-annual basis. $ $ $ - - 350 250 150 350 250 246 250 85 1,931 (8) 1,923 1,931 - -... the closing of the transaction. 59 Textron Inc. Annual Report • 2013

  • Page 73
    ...stock price, and we received $75 million in cash from the counterparties in the second quarter of 2013. 6% Fixed-to-Floating Rate Junior Subordinated Notes The Finance group's $299 million of 6% Fixed-to... inputs are not available or cost-effective to obtain. Textron Inc. Annual Report • 2013 60

  • Page 74
    ...December 28, 2013 and December ...28, 2013, the ..., 2013, ...in 2013 and ...2013, resulting in an accumulated net gain balance of $6 million at December 28, 2013. There was no ineffectiveness recorded related to these hedges during 2013..., 2013 and...December 28, 2013, were a ...2013...2013... 2013 December 29, 2012 ...

  • Page 75
    ...for each loan, in an orderly transaction. The gains on finance receivables held for sale during 2013 and 2012 were primarily the result of the payoff of loans in amounts, and sale of...stock activity for the three years ended December 28, 2013 is presented below: Textron Inc. Annual Report • 2013 62

  • Page 76
    ...2013...convertible notes on May 1, 2013, the shares that could ... thousands) 2013 2012 2011...and warrants decreased significantly in 2013 from prior years due to...always anti-dilutive. In 2013, 2012 and 2011,...Comprehensive Loss Other comprehensive income Balance at December 28, 2013 $ 79 2 - 2 81 12 - 12 93...

  • Page 77
    ... Pre-Tax Amount Tax (Expense) Benefit After-Tax Amount (In millions) 2013 Pension and postretirement benefits adjustments: Unrealized gains Amortization of net actuarial loss* Amortization... of net periodic pension cost. See Note 11 for additional information. Textron Inc. Annual Report • 2013 64

  • Page 78
    ...to 80% of annual, long-term incentive ...December 28, 2013. Share-...as follows: (In millions) 2013 2012 2011 Compensation expense Income...million, $23 million and $17 million in 2013, 2012 and 2011, respectively, for a portion ...December 28, 2013, we had ...grants are as follows: 2013 2012 2011 Fair value ...

  • Page 79
    ...awards is based on the trading price of our common stock and is remeasured at each reporting period date. The 2013 activity for our performance share units is as follows: Number of Units WeightedAverage Grant Date ...895 27.14 28.47 (26.25) (27.44) $ 28.08 $ Textron Inc. Annual Report • 2013 66

  • Page 80
    ...new participants, and employees hired after that date receive an additional 4% annual cash contribution to their Textron Savings Plan account based on their eligible ... $ (55) $ (45) (6) 17 - (89) $ (75) $ 15 $ (2) (7) 11 - 17 $ 44 $ (17) (23) (11) 8 - (43) 1 67 Textron Inc. Annual Report • 2013

  • Page 81
    ... Benefits 2013 2012 Postretirement Benefits Other than Pensions 2013 2012 ...(564) (In millions) Pension Benefits 2013 2012 Postretirement Benefits Other than Pensions 2013 2012 Non-current assets Current liabilities Non...and $6.6 billion at December 28, 2013 and December 29, 2012, respectively,...

  • Page 82
    ...% 3.48% 5.71% 7.84% 3.99% 4.95% 3.49% 3.75% 4.75% 5.50% 4.50% 3.75% 4.75% 2013 2012 Medical cost trend rate Prescription drug cost trend rate Rate to which medical and prescription drug cost trend rates will gradually decline... manage on our behalf. 69 Textron Inc. Annual Report • 2013

  • Page 83
    ... using certified appraisals at least every three years, which then are updated at least annually by the real estate investment manager based on current market trends and other available information... liabilities to calculate the net asset value of the fund. Textron Inc. Annual Report • 2013 70

  • Page 84
    ...Estate Balance at beginning of year Actual return on plan assets: Related to assets still held at reporting date Related to assets sold during the period Purchases, sales and settlements, net Balance at end of... recorded significant deferred tax liabilities. 71 Textron Inc. Annual Report • 2013

  • Page 85
    ... the facts, circumstances and information available at the reporting date. For those tax positions for which it... fluctuate significantly on a quarterly and annual basis. Our unrecognized tax benefits represent...as follows: (In millions) December 28, 2013 December 29, 2012 Balance at beginning of year...

  • Page 86
    ... Finance group - Other liabilities Net deferred tax asset Our net operating loss and credit carryforwards at December 28, 2013 are as follows: (In millions) $ $ 206 270 (147) (129) 200 $ $ 256 591 ...event they no longer are indefinitely reinvested. 73 Textron Inc. Annual Report • 2013

  • Page 87
    ...28, 2013 and December... December 28, 2013, environmental reserves...$9 million in 2013, 2012 and 2011,... effect at December 28, 2013 approximated $64 million for ...cash payments: (In millions) 2013 2012 2011 Interest paid: Manufacturing... Manufacturing group was not significant in 2013. In 2012, net taxes paid ...

  • Page 88
    ...mission support products and services primarily for U.S. and non-U.S. governments. In December 2013, we acquired two flight simulation and aircraft training product businesses. Industrial products and... (143) 674 $ 841 $ 60 521 141 202 (333) 591 (114) (140) 337 75 Textron Inc. Annual Report • 2013

  • Page 89
    ... sales to the U.S. Government of approximately $3.7 billion, $3.6 billion and $3.5 billion in 2013, 2012 and 2011, respectively, primarily in the Bell and Textron Systems segments. Other information...288 101 45 80 - 2,215 $ $ 1,644 275 106 43 82 - 2,150 Textron Inc. Annual Report • 2013 76

  • Page 90
    ... 0.40 $ 0.01 0.41 $ 288,978 (1.1)% 13.6 8.9 7.8 45.2 8.2% 31.30 $ 23.94 $ 0.02 $ 2013 Q2 560 $ 1,025 422 801 31 2,839 $ (50) $ 135 34 79 15 213 (20) (30) (49) 114... 8.4% 26.75 22.84 0.02 $ $ (a) The second quarter of 2013 included $28 million in severance costs. The fourth quarter of 2012 included a...

  • Page 91
    Schedule II - Valuation and Qualifying Accounts (In millions) 2013 2012 2011 Allowance for doubtful accounts Balance at beginning of year $ 19 $ 18 $ 20 7 4 7 Charged to... accounts (less recoveries), inventory disposals and currency translation adjustments. Textron Inc. Annual Report • 2013 78

  • Page 92
    ... of Directors--Director Independence" and "EXECUTIVE COMPENSATION - Transactions with Related Persons" in the Proxy Statement for our Annual Meeting of Shareholders to be held on April 23, 2014 is incorporated by reference into this Annual Report on Form 10-K. 79 Textron Inc. Annual Report • 2013

  • Page 93
    ... Form 10Q for the fiscal quarter ended June 29, 2013. Support Agreement dated as of May 25, 1994, between Textron Inc. and Textron Financial Corporation. Incorporated by reference to Exhibit 4.1 to Textron's Annual Report on Form 10-K for the fiscal year ended December 31, 2011. Instruments defining...

  • Page 94
    ...to the Deferred Income Plan for Textron Executives, dated November 7, 2013. Deferred Income Plan for Non-Employee Directors, As Amended and... before January 1, 2008). Incorporated by reference to Exhibit 10.9 to Textron's Annual Report on Form 10-K for the fiscal year ended January 3, 2009. 10.1H...

  • Page 95
    ... Annual Report ...Annual Report...Annual Report... Annual... Quarterly Report on ...Quarterly Report ... Textron's Annual Report on Form...Textron's Quarterly Report on Form...Quarterly Report ... Quarterly Report on ...Quarterly Report on... Quarterly Report on ...Textron's Annual Report on ...to Textron's Quarterly Report on Form 10-Q ...

  • Page 96
    ... Incorporated by reference to Exhibit 10.21 to Textron's Annual Report on Form 10K for the fiscal year ended December 29, 2007. (SEC...Sub, LLC, Textron Inc. and Textron Acquisition LLC, dated as of December 26, 2013. Term Credit Agreement, dated as of January 24, 2014 Among Textron, JPMorgan Chase ...

  • Page 97
    101 The following materials from Textron Inc.'s Annual Report on Form 10-K for the year ended December 28, 2013, formatted in XBRL (eXtensible Business Reporting Language): (i) the Consolidated Statements of Operations, (ii) the Consolidated Statements of Comprehensive Income (Loss), (iii) the ...

  • Page 98
    Signatures Pursuant to the requirement of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this Annual Report on Form 10-K to be signed on its behalf by the undersigned, thereunto duly authorized on this 14th day of February 2014. TEXTRON INC. Registrant ...

  • Page 99
    Pursuant to the requirements of the Securities Exchange Act of 1934, this Annual Report on Form 10-K has been signed below on this 14th day of...and Corporate Controller (principal accounting officer) *By: /s/ Jayne M. Donegan Jayne M. Donegan, Attorney-in-fact Textron Inc. Annual Report • 2013 86

  • Page 100
    ...and General Information To receive a copy of Textron's Forms 10-K and 10-Q, Proxy Statement or Annual Report without charge, visit our web site at www.textron.com or send a written request to Textron... 457-2269; or send an email to [email protected]. 87 Textron Inc. Annual Report ‰ 2013

  • Page 101
    ... MAST BELL AH-1Z CESSNA TURBO STATIONAIR JACOBSEN LF510â„¢ G-CLAWâ„¢ TEXTRON AIRLAND SCORPION JET The Textron AirLand Scorpion Jet was introduced in 2013 by Textron AirLand, LLC, the joint venture of Textron Inc. and AirLand Enterprises, LLC. Scorpion is designed to be a highly-affordable twin...

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