Contracts in Process, Net
Contracts in process, net consisted of the following at December 31:
|
| | | | | | | | | | | | | | | | | | | | | | | |
| Cost-Type | | Fixed-Price | | Total |
(In millions) | 2013 |
| | 2012 |
| | 2013 |
| | 2012 |
| | 2013 |
| | 2012 |
|
U.S. Government contracts (including foreign military sales): | | | | | | | | | | | |
Billed | $ | 490 |
| | $ | 363 |
| | $ | 374 |
| | $ | 212 |
| | $ | 864 |
| | $ | 575 |
|
Unbilled | 787 |
| | 956 |
| | 8,139 |
| | 8,890 |
| | 8,926 |
| | 9,846 |
|
Progress payments | — |
| | — |
| | (6,003 | ) | | (6,870 | ) | | (6,003 | ) | | (6,870 | ) |
| 1,277 |
| | 1,319 |
| | 2,510 |
| | 2,232 |
| | 3,787 |
| | 3,551 |
|
Other customers: | | | | | | | | | | | |
Billed | 16 |
| | 11 |
| | 343 |
| | 545 |
| | 359 |
| | 556 |
|
Unbilled | 22 |
| | 27 |
| | 1,411 |
| | 1,072 |
| | 1,433 |
| | 1,099 |
|
Progress payments | — |
| | — |
| | (705 | ) | | (659 | ) | | (705 | ) | | (659 | ) |
| 38 |
| | 38 |
| | 1,049 |
| | 958 |
| | 1,087 |
| | 996 |
|
Allowance for doubtful accounts | — |
| | — |
| | (4 | ) | | (4 | ) | | (4 | ) | | (4 | ) |
Total contracts in process, net | $ | 1,315 |
| | $ | 1,357 |
| | $ | 3,555 |
| | $ | 3,186 |
| | $ | 4,870 |
| | $ | 4,543 |
|
The U.S. Government has title to the assets related to unbilled amounts on contracts that provide progress payments. Unbilled amounts are recorded under the percentage-of-completion method and are recoverable from the customer upon shipment of the product, presentation of billings or completion of the contract. Included in unbilled at December 31, 2013 was $114 million which is expected to be collected outside of one year.
Billed and unbilled contracts in process include retentions arising from contractual provisions. At December 31, 2013, retentions were $54 million. We anticipate collecting $13 million of these retentions in 2014 and the balance thereafter.
