Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Mar. 31, 2017 | May 18, 2017 | Sep. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | CSRA Inc. | ||
Entity Central Index Key | 1,646,383 | ||
Current Fiscal Year End Date | --03-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Mar. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Common Stock, Shares Outstanding | 163,249,910 | ||
Entity Public Float | $ 4.4 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Current assets | ||
Cash and cash equivalents | $ 126 | $ 130 |
Receivables, net of allowance for doubtful accounts of $24 and $21, respectively | 748 | 751 |
Prepaid expenses and other current assets | 126 | 123 |
Total current assets | 1,000 | 1,004 |
Intangible and other assets | ||
Goodwill | 2,335 | 2,332 |
Customer-related and other intangible assets, net of accumulated amortization of $244 and $201, respectively | 775 | 870 |
Software, net of accumulated amortization of $89 and $95, respectively | 81 | 41 |
Other assets | 87 | 69 |
Total intangible and other assets | 3,278 | 3,312 |
Property and equipment, net of accumulated depreciation of $694 and $773, respectively | 610 | 530 |
Total assets | 4,888 | 4,846 |
Current liabilities | ||
Accounts payable | 187 | 170 |
Accrued payroll and related costs | 181 | 200 |
Accrued expenses and other current liabilities | 487 | 528 |
Current capital lease liability | 44 | 42 |
Current maturities of long-term debt | 72 | 128 |
Dividends payable | 21 | 18 |
Total current liabilities | 992 | 1,086 |
Long-term debt, net of current maturities | 2,511 | 2,656 |
Noncurrent capital lease liability | 172 | 109 |
Deferred income tax liabilities | 272 | 163 |
Other long-term liabilities | 582 | 742 |
Commitments and contingent liabilities (Note 21) | ||
Equity | ||
Common stock, $0.001 par value, 750,000 shares authorized, 163,570 and 162,926 shares issued, and 163,216 and 162,926 outstanding, respectively | 0 | 0 |
Additional paid-in capital | 134 | 117 |
Accumulated earnings (deficit) | 165 | (74) |
Accumulated other comprehensive income | 31 | 21 |
Total CSRA stockholders' equity | 330 | 64 |
Noncontrolling interests | 29 | 26 |
Total equity | 359 | 90 |
Total liabilities and equity | $ 4,888 | $ 4,846 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Allowance for doubtful accounts | $ 24 | $ 21 |
Finite-lived intangible assets, accumulated amortization | 333 | 296 |
Property and equipment, accumulated depreciation | $ 694 | $ 773 |
Common stock, par value per share (in USD per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 750,000,000 | 750,000,000 |
Common stock, shares issued (in shares) | 163,570,000 | 162,926,000 |
Common stock, shares outstanding (in shares) | 163,216,000 | 162,926,000 |
Customer-related and other intangible assets | ||
Finite-lived intangible assets, accumulated amortization | $ 244 | $ 201 |
Software | ||
Finite-lived intangible assets, accumulated amortization | $ 89 | $ 95 |
CONSOLIDATED AND COMBINED STATE
CONSOLIDATED AND COMBINED STATEMENTS OF OPERATIONS - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Income Statement [Abstract] | |||
Total revenue | $ 4,993 | $ 4,250 | $ 4,070 |
Cost of services | 3,830 | 3,576 | 3,282 |
Selling, general and administrative expenses | 210 | 187 | 194 |
Separation and merger costs | 90 | 118 | 0 |
Depreciation and amortization | 241 | 182 | 137 |
Operating expenses | 4,371 | 4,063 | 3,613 |
Operating income | 622 | 187 | 457 |
Interest expense, net | 124 | 53 | 22 |
Other expense (income), net | 3 | (15) | 6 |
Income from continuing operations before taxes | 495 | 149 | 429 |
Income tax expense | 179 | 46 | 161 |
Income from continuing operations | 316 | 103 | 268 |
Loss from discontinued operations, net of taxes | 0 | 0 | (2) |
Net income | 316 | 103 | 266 |
Less: noncontrolling interests | 12 | 16 | 14 |
Net income attributable to CSRA common stockholders | $ 304 | $ 87 | $ 252 |
Basic EPS: | |||
Continuing operations (in USD per share) | $ 1.86 | $ 0.54 | $ 1.82 |
Discontinued operations (in USD per share) | 0 | 0 | (0.01) |
Basic (in USD per share) | 1.86 | 0.54 | 1.81 |
Diluted EPS: | |||
Continuing operations (in USD per share) | 1.84 | 0.53 | 1.82 |
Discontinued operations (in USD per share) | 0 | 0 | (0.01) |
Diluted (in USD per share) | $ 1.84 | $ 0.53 | $ 1.81 |
CONSOLIDATED AND COMBINED STAT5
CONSOLIDATED AND COMBINED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 316 | $ 103 | $ 266 |
Other comprehensive income (loss), net of taxes, related to: | |||
Prior service cost | 0 | 0 | 3 |
Transfer of prior service cost due to Spin-Off | 0 | 31 | 0 |
Amortization of prior service cost | (8) | (5) | (1) |
Foreign currency translation adjustment | 0 | 2 | (2) |
Unrealized gain (loss) on interest rate swaps | 18 | (7) | 0 |
Other comprehensive income, net of taxes | 10 | 21 | 0 |
Comprehensive income | 326 | 124 | 266 |
Less: comprehensive income attributable to noncontrolling interest, net of taxes | 12 | 16 | 14 |
Comprehensive income attributable to CSRA common stockholders | $ 314 | $ 108 | $ 252 |
CONSOLIDATED AND COMBINED STAT6
CONSOLIDATED AND COMBINED STATEMENTS OF CHANGES IN EQUITY - USD ($) shares in Thousands, $ in Millions | Total | Common Shares | Additional Paid-In Capital | Net Parent Investment | Accumulated Earnings (Deficit) | Accumulated Other Comprehensive Income (Loss) | Total Equity | Non-controlling Interests | Restricted stock | Restricted stockCommon Shares | Restricted stockAdditional Paid-In Capital | Restricted stockTotal Equity |
Shares, beginning of period (in shares) at Mar. 28, 2014 | 0 | |||||||||||
Balance, beginning of period at Mar. 28, 2014 | $ 1,159 | $ 0 | $ 1,128 | $ 0 | $ 0 | $ 1,128 | $ 31 | |||||
Increase (Decrease) in Parent Equity | ||||||||||||
Net (loss) income | 266 | 252 | 252 | 14 | ||||||||
Spin-Off Activity | 0 | |||||||||||
Unfunded pension obligation, net of tax | 2 | 2 | 2 | 0 | ||||||||
Foreign currency translation, net of tax | (2) | (2) | (2) | |||||||||
Net transfers to Parent | (330) | (313) | (313) | (17) | ||||||||
Shares, ending of period (in shares) at Apr. 03, 2015 | 0 | |||||||||||
Balance, end of period at Apr. 03, 2015 | 1,095 | 0 | 1,067 | 0 | 0 | 1,067 | 28 | |||||
Increase (Decrease) in Parent Equity | ||||||||||||
Net (loss) income | 103 | |||||||||||
Spin-Off Activity | (608) | |||||||||||
Foreign currency translation, net of tax | 2 | |||||||||||
Shares, ending of period (in shares) at Apr. 01, 2016 | 162,926 | |||||||||||
Balance, end of period at Apr. 01, 2016 | 90 | 117 | 0 | (74) | 21 | 64 | 26 | |||||
Increase (Decrease) in Parent Equity | ||||||||||||
Net (loss) income | 316 | 304 | 0 | 304 | 12 | |||||||
Spin-Off Activity | 0 | |||||||||||
Shares withheld for taxes (in shares) | (354) | |||||||||||
Shares withheld for taxes | $ (10) | $ (10) | $ (10) | |||||||||
Unfunded pension obligation, net of tax | (8) | 0 | 0 | (8) | (8) | 0 | ||||||
Adjustments related to separation | 4 | 4 | 4 | |||||||||
Foreign currency translation, net of tax | 0 | |||||||||||
Share-based compensation expense | 29 | 29 | 29 | |||||||||
Share repurchases (in shares) | (989) | |||||||||||
Share repurchases | (29) | (29) | (29) | |||||||||
Cash dividends declared | (66) | (66) | (66) | |||||||||
Exercise of stock options (in shares) | 1,038 | |||||||||||
Exercise of stock options | 21 | 21 | 21 | |||||||||
Issuance of restricted stock units (in shares) | 595 | |||||||||||
Issuance of restricted stock units | 0 | 0 | ||||||||||
Noncontrolling interest distributions | (9) | (9) | ||||||||||
Unrealized gain (loss) on swaps, net of tax | 18 | 18 | 18 | |||||||||
Other | 3 | 2 | 1 | 3 | ||||||||
Shares, ending of period (in shares) at Mar. 31, 2017 | 163,216 | |||||||||||
Balance, end of period at Mar. 31, 2017 | $ 359 | $ 134 | $ 0 | $ 165 | $ 31 | $ 330 | $ 29 |
CONSOLIDATED AND COMBINED STAT7
CONSOLIDATED AND COMBINED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Cash flows from operating activities: | |||
Net income | $ 316 | $ 103 | $ 266 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Depreciation and amortization | 244 | 192 | 147 |
Pension and OPEB actuarial & settlement losses (gains) | (98) | 203 | 8 |
Stock-based compensation | 29 | 10 | 18 |
Excess tax benefit from stock-based compensation | (4) | (1) | 0 |
Deferred income taxes | 100 | (44) | (3) |
Net (gain) loss on dispositions of businesses and assets | 2 | (7) | 3 |
Other non-cash items, net | (2) | (5) | 0 |
Changes in assets and liabilities, net of acquisitions and dispositions: | |||
Decrease in receivables | 15 | 186 | 8 |
(Increase) decrease in prepaid and other assets | (9) | (30) | 43 |
(Decrease) increase in payables and accrued expenses | (29) | (18) | 30 |
Increase in defined benefits liability | (87) | (57) | (5) |
Decrease (increase) in other long-term liabilities | 6 | 14 | (22) |
Other operating activities, net | 5 | 7 | (6) |
Cash provided by operating activities | 488 | 553 | 487 |
Cash flows from investing activities: | |||
Purchases of property and equipment | (129) | (139) | (70) |
Software purchased and developed | (21) | (22) | (8) |
Payments for acquisitions, net of cash acquired- | |||
Payments for acquisitions, net of cash acquired | 0 | (342) | (50) |
Extinguishment of SRA long-term debt and costs | 0 | (1,101) | 0 |
Reimbursement of SRA-related expenses | 0 | (30) | 0 |
Proceeds from business dispositions | 0 | 34 | 3 |
Proceeds from disposals of assets | 11 | 4 | 8 |
Other investing | (29) | (9) | 0 |
Cash used in investing activities | (168) | (1,605) | (117) |
Cash flows from financing activities: | |||
Borrowings under lines of credit | 0 | 200 | 0 |
Repayments of borrowings under lines of credit | (50) | (150) | 0 |
Borrowings of long-term debt | 234 | 2,800 | 0 |
Payments of long-term debt | (399) | (20) | 0 |
Debt issuance costs | (4) | (56) | 0 |
Proceeds from stock options and other share transactions | 5 | 4 | 0 |
Repurchase of common stock | (29) | (50) | 0 |
Special Dividend payment | 0 | (1,148) | 0 |
Dividends paid | (67) | (16) | 0 |
Repayment of Transitory Note | 0 | (350) | 0 |
Payments on lease liability | (47) | (17) | (29) |
Payments to noncontrolling interest | (9) | (18) | 0 |
Net transfers to CSC | 0 | (10) | (340) |
Other financing | 42 | 8 | 0 |
Cash used in financing activities | (324) | 1,177 | (369) |
Net (decrease) increase in cash and cash equivalents | (4) | 125 | 1 |
Cash and cash equivalents at beginning of period | 130 | 5 | 4 |
Cash and cash equivalents at end of period | $ 126 | $ 130 | $ 5 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies Description of the Business CSRA Inc. (“CSRA” or “the Company”) is a provider of IT and professional services primarily to the federal government of the United States of America, including its branches, departments, agencies, and armed forces, which we refer to generally as the “U.S. government.” CSRA delivers IT, mission, and operations-related services across the government to the Department of Defense (“DoD”), the intelligence community and homeland security, civil and healthcare agencies, as well as to state and local government agencies through two business segments: Defense and Intelligence, and Civil. The Spin-Off On November 27, 2015 (the “Distribution Date”), Computer Sciences Corporation (“CSC” or “Parent”) completed the spin-off of CSRA, including the Computer Sciences GS Business to CSC shareholders of record (the “Spin-Off”). Prior to CSC’s distribution of the shares of CSRA common stock to CSC stockholders, CSC undertook a series of internal transactions, following which CSRA held the businesses constituting CSC’s North American Public Sector segment, which we refer to as the “Computer Sciences GS Business” together with certain other assets and liabilities. To effect the separation, CSC distributed all of the shares of CSRA common stock on a pro rata basis to the record holders of CSC common stock (the “Distribution”). Following the Distribution, CSC and CSRA paid a special dividend which, in aggregate, totaled $10.50 per share (the “Special Dividend”), of which $2.25 was paid by CSC and $8.25 was paid by CSRA. The portion of the Special Dividend paid by CSC was funded by a note payable to CSC that CSRA repaid with the incurrence of additional indebtedness as described in Note 14 — Debt. The Mergers Following the Spin-Off, on November 30, 2015, CSRA also completed its mergers which resulted in SRA Companies, Inc. (“SRA Parent”) merging with and into two wholly-owned subsidiaries of CSRA (the “Mergers”). As a result, SRA International Inc. (“SRA”) became an indirect wholly-owned subsidiary of CSRA. Pursuant to the Merger Agreement, CSRA agreed to pay merger consideration consisting of cash and shares of CSRA. Merger consideration consisted of: (1) $390 in cash, and (2) shares of CSRA common stock representing in the aggregate approximately 15.32% of the total number of shares of CSRA common stock outstanding immediately after the Mergers were completed. CSRA common stock began regular-way trading on the New York Stock Exchange on November 30, 2015 under the ticker symbol CSRA. Basis of Presentation and Principles of Consolidation and Combination The accompanying Consolidated and Combined Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). The Spin-Off and the Mergers were not consummated until November 27, 2015 and November 30, 2015, respectively. Accordingly, the accompanying audited financial statements are presented as described below. The period prior to the Spin-Off includes: • the Combined Financial Statements for the year ended April 3, 2015, which includes a full year of the Computer Sciences GS Business results; and • the Combined Financial Statements for the period of April 4, 2015 to November 27, 2015, which includes the operating results of the Computer Sciences GS Business. The period subsequent to the Spin-Off includes: • the Consolidated Financial Statements for the periods of: (a) November 28, 2015 to April 1, 2016, and (b) April 2, 2016 to March 31, 2017, which include the consolidated operating results of CSRA including the activity and operating results of SRA subsequent to the Mergers. Prior to the Spin-Off, the Company consisted of the business of CSC’s North American Public Sector segment and did not operate as a separate, stand-alone entity; rather, it operated as part of CSC prior to the Spin-Off and its financial position and the related results of operations, cash flows and changes in parent equity were reported in CSC’s Consolidated Financial Statements. After the Spin-Off, CSC does not have any beneficial ownership of CSRA or the Computer Sciences GS Business. The Consolidated and Combined Financial Statements and notes of CSRA include CSRA, its subsidiaries, and the joint ventures and partnerships over which CSRA (or the Computer Sciences GS Business for periods prior to the Spin-Off) has a controlling financial interest. CSRA (or the Computer Sciences GS Business for periods prior to the Spin-Off) uses the equity method to account for investments in entities that it does not control if it is otherwise able to exert significant influence over the entities’ operating and financial policies. The financial statements for the period prior to the Spin-Off are prepared on a carved-out and combined basis from the financial statements of CSC. Such carved-out and combined amounts were determined using the historical results of operations and carrying amounts of the assets and liabilities transferred to the Computer Sciences GS Business. CSC’s cash was not assigned to CSRA or the Computer Sciences GS Business for any of the periods presented prior to the Spin-Off because those cash balances are not directly attributable to the Computer Sciences GS Business or CSRA. All intercompany transactions of CSRA have been eliminated in consolidation and combination. CSRA reports its results based on a fiscal year convention that comprises four thirteen-week quarters. Every fifth year includes an additional week in the first quarter to prevent the fiscal year from moving from an approximate end of March date. For accounting purposes, the Consolidated and Combined Financial Statements for fiscal year 2016 reflect the financial results of SRA from the date of the Mergers to March 31, 2016 consolidated with the Computer Sciences GS Business for the year ended April 1, 2016. The CEO of CSC served as a member of the board of directors of the Company until August 2016. Consequently, transactions between CSRA and CSC or the Computer Sciences GS Business and other businesses of CSC were reflected as related-party transactions pursuant to the disclosure requirements of ASC 850, Related Party Disclosures , through August 2016; however, CSC was not considered as a related party of the Company after the second quarter of fiscal year 2017. For fiscal years 2016 and 2015, there was $5 and $8 of related party revenue and $5 and $8 of related party expenses, respectively, with CSC. For additional information about the allocation of expenses from CSC prior to the Spin-Off and certain continuing responsibilities between the Company and CSC, see Note 2 — Corporate Allocations and Transition Agreements. For periods prior to the Spin-Off, the Combined Financial Statements include all revenues and costs directly attributable to the Computer Sciences GS Business and an allocation of expenses related to certain CSC corporate functions including, but not limited to, senior management, legal, human resources, finance, IT and other shared services. These expenses had been allocated to the Computer Sciences GS Business based on direct usage or benefit where identifiable, with the remainder allocated on a pro rata basis of revenues, headcount, square footage, number of transactions or other measures. The management of CSRA considered these allocations to be a reasonable reflection of the utilization of services by, or benefit provided to, it. However, the allocations may not be indicative of the actual expense that would have been incurred had the Computer Sciences GS Business operated as an independent, stand-alone entity for the periods presented. Prior to the Spin-Off, CSC maintained various benefit and stock-based compensation plans at a corporate level and other benefit plans at a subsidiary level. The employees of the Computer Sciences GS Business participated in those plans and a portion of the cost of those plans for the periods prior to the Spin-Off is included in the Combined Financial Statements for periods prior to the Spin-Off. However, the Combined Balance Sheets do not include any net benefit plan obligations unless the benefit plan covered only the Computer Sciences GS Business's active, retired and other former employees or any expense related to share-based compensation plans. See Note 16 — Pension and Other Postretirement Benefit Plans and Note 17 — Share-Based Compensation Plans for a further description of the accounting for our benefit plans and share-based compensation, respectively. For the fiscal year ended April 1, 2016, CSRA changed the method used to estimate the interest and service cost components of net periodic cost for its post-retirement benefit plans. See Note 16 — Pension and Other Postretirement Benefit Plans for a discussion of this change. For periods presented that are prior to the Spin-Off, the Consolidated and Combined Financial Statements include current and deferred income tax expense that has been determined for the legacy Computer Sciences GS Business as if it were a separate taxpayer (i.e., following the separate return methodology). Reclassification Certain amounts reported in CSRA’s prior year financial statements have been reclassified to conform to the current year presentation. These reclassifications have no effect on our net income or financial position as previously reported. Use of Estimates GAAP requires management to make estimates and assumptions that affect certain amounts reported in the Consolidated and Combined Financial Statements and accompanying notes. These estimates are based on management’s best knowledge of historical experience, current events and various other assumptions that management considers reasonable under the circumstances. Actual results could differ from those estimates. Amounts subject to significant judgment and/or estimates include, but are not limited to, determining the fair value of assets acquired and liabilities assumed, costs to complete fixed-price contracts, cash flows used in the evaluation of impairment of goodwill and other long-lived intangible assets, certain deferred costs, collectability of receivables, reserves for tax benefits and valuation allowances on deferred tax assets, loss accruals for litigation, and inputs used for computing stock-based compensation and pension plan assets and liabilities. Summary of Significant Accounting Policies Revenue Recognition Substantially all of CSRA’s revenue is derived from contracts with departments and agencies of the U.S. government, as well as other state and local government agencies. CSRA generates its revenue from the following types of contractual arrangements: time and materials contracts, firm-fixed-price contracts and cost-reimbursable-plus-fee contracts. Generally, revenues are recognized when persuasive evidence of an arrangement exists, services or products have been provided to the customer, the sales price is fixed or determinable and collectability is reasonably assured. Total revenues by customer type were: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 U.S. government $ 4,696 $ 3,882 $ 3,720 State and local government 287 357 330 Other 10 11 20 Total revenue $ 4,993 $ 4,250 $ 4,070 Revenue on time-and-materials contracts is recognized as hours are worked based on contractual billing rates as services are provided, plus the cost of any allowable material costs and out-of-pocket expenses. Revenue on firm-fixed-price contracts is primarily recognized using the percentage-of-completion method based on actual costs incurred relative to total estimated costs for the contract. These estimated costs are updated during the term of the contract and may result in revision by CSRA of recognized revenue and estimated costs in the period in which the changes in estimates are identified. Significant adjustments on a single contract could have a material effect on the Company's Consolidated and Combined Financial Statements. Where such adjustments occur, we generally disclose the nature, underlying conditions and financial impact of the adjustments. No discrete event or adjustments to an individual contract were material to the accompanying Consolidated and Combined Financial Statements for each of the three fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 . CSRA’s income from continuing operations before income taxes for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 included the following gross favorable and unfavorable adjustments due to changes in estimated profitability on fixed price contracts accounted for under the percentage-of-completion method. Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Gross favorable $ 58 $ 79 $ 98 Gross unfavorable — (34 ) (15 ) (21 ) Total net adjustments, before taxes and noncontrolling interests $ 24 $ 64 $ 77 Revenue on cost-reimbursable-plus-fee contracts is recognized as services are performed, generally based on the allowable costs incurred during the period plus any recognizable earned fee. CSRA considers fixed fees under cost-reimbursable-plus-fee contracts to be earned in proportion to the allowable costs incurred in performance of the contract. For cost-reimbursable-plus-fee contracts that include performance-based fee incentives, which are principally award fee arrangements, CSRA recognizes income when such fees are probable and estimable. Estimates of the total fee to be earned are made based on contract provisions, prior experience with similar contracts or customers, and management’s evaluation of the performance on such contracts. Contract costs, including indirect expenses, are subject to audit by the Defense Contract Audit Agency (“DCAA”) and, accordingly, are subject to possible cost disallowances. Executive compensation that CSRA determines to be allowable for cost reimbursement based on management’s estimates is recognized as revenue, net of reserves. Management’s estimates in this regard are based on a number of factors that may change over time, including executive compensation survey data, CSRA’s and other government contractors’ experiences with the DCAA audit practices in this industry and relevant decisions of courts and boards of contract appeals. Contract accounting requires significant judgment relative to assessing risks, estimating contract revenue and costs, and making assumptions for schedule and technical issues. Due to the size and nature of many of CSRA’s contracts, developing total revenue and cost at completion estimates requires the use of significant judgment. Contract costs include direct labor and billable expenses, an allocation of allowable indirect costs, and warranty obligations. Billable expenses are comprised of subcontracting costs and other “out-of-pocket” costs that often include, but are not limited to, travel-related costs and telecommunications charges. CSRA recognizes revenue and billable expenses from these transactions on a gross basis because it is the primary obligor on contracts with customers. The contracts that required estimates-at-completion (“EACs”) using the percentage-of-completion method were approximately 39.1% , 43.4% and 42.3% of CSRA’s revenues for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively. Certain contracts that require EACs using the percentage-of-completion method are regularly reviewed by CSRA regarding project profitability and underlying estimates. CSRA prepares EACs for its contracts that include an estimated contract operating margin based initially on estimated contract sales and cost. Revisions to EACs are reflected in results of operations as a change in accounting estimate in the period in which the facts that give rise to the revision become known by management. Since contract costs are typically incurred over a period of several years, estimation of these costs requires the use of judgment. Factors considered in estimating the cost of the work to be completed include the availability, productivity and cost of labor, the nature and complexity of work to be performed, the effect of change orders, availability and cost of materials, the effect of any delays in performance, and the level of indirect cost allocations. Provisions for estimated losses at completion, if any, are recognized in the period in which the loss becomes evident. The provision includes estimated costs in excess of estimated revenue and any profit margin previously recognized. Amounts billed and collected but not yet earned as revenues under certain types of contracts are deferred. Contract costs incurred for U.S. government contracts, including indirect costs, are subject to audit and adjustment through negotiations between CSRA and government representatives. Further, as contracts are performed, change orders can be a regular occurrence and may be unpriced until negotiated with the customer. Unpriced change orders are included in estimated contract sales when they are probable of recovery in an amount at least equal to the cost. Amounts representing claims (including change orders unapproved as to both scope and price) and requests for equitable adjustment are included in estimated contract revenues when they are reliably estimable and realization is probable. CSRA’s U.S. government contracts generally contain Federal Acquisition Regulation (“FAR”) provisions that enable the customer to terminate a contract for default, or for the convenience of the government. If a contract is terminated for default, CSRA may not be entitled to recover any of its costs on partially completed work and may be liable to the government for re-procurement costs of acquiring similar products or services from another contractor and for certain other damages. Termination of a contract for the convenience of the government may occur when the government concludes it is in the best interests of the government that the contract be terminated. Under a termination for convenience, the contractor is typically entitled to be paid in accordance with the contract’s terms for costs incurred prior to the effective date of termination, plus a reasonable profit and settlement expenses. As of March 31, 2017, April 1, 2016, and April 3, 2015, CSRA did not have any contract terminations in process that would have a material effect on the consolidated and combined financial position, results of operations or cash flows. Property and Equipment and Intangibles CSRA’s depreciation and amortization policies are as follows: Useful Life (in years) Property and equipment: Buildings Up to 40 Computers and related equipment 3 to 5 Furniture and other equipment 5 to 10 Leasehold improvements Shorter of lease term or useful life Other leased assets Greater of lease term or useful life Intangibles: Internal use software 2 to 7 External use software 2 to 7 Customer related intangibles Expected customer service life Other intangible assets 3 to 8 The cost of property and equipment is depreciated using predominantly the straight-line method. Depreciation commences when the specific asset is complete, installed and ready for normal use. Acquired contract-related and customer-related intangible assets are amortized in proportion to estimated undiscounted cash flows over the estimated useful life of the asset or on a straight-line basis if cash flows cannot be reliably estimated. CSRA capitalizes costs incurred to develop commercial software products to be sold, leased or otherwise marketed after establishing technological feasibility until such time that the software products are available for general release to customers. Costs incurred to establish technological feasibility are expensed as incurred. Enhancements to software products are capitalized where such enhancements extend the life or significantly expand the marketability of the products. Amortization of capitalized software development costs is determined separately for each software product. Annual amortization expense is calculated based on the greater of the ratio of current gross revenues for each product to the total of current and anticipated future gross revenues for the product or the straight-line amortization method over the estimated economic life of the product. Unamortized capitalized software costs associated with commercial software products are regularly evaluated for impairment on a product-by-product basis by a comparison of the unamortized balance to the product’s net realizable value. The net realizable value is the estimated future gross revenues from that product reduced by the related estimated future costs. When the unamortized balance exceeds the net realizable value, the unamortized balance is written down to the net realizable value and an impairment charge is recorded. CSRA capitalizes costs incurred to develop internal-use computer software during the application development stage. Costs related to preliminary project activities and post-implementation activities are expensed as incurred. Internal and external costs incurred in connection with development of upgrades or enhancements that result in additional functionality are also capitalized. Capitalized costs associated with internal-use software are amortized on a straight-line basis over the estimated useful life of the software. Purchased software is capitalized and amortized over the estimated useful life of the software. Internal-use software assets are evaluated for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. Pension and Other Benefit Plans The employees of CSRA and its subsidiaries are participants in employer-sponsor defined benefit and defined contribution plans. CSRA’s defined benefit plans included both pension and other post-retirement benefit plans. CSRA recognizes net actuarial gains and losses and the changes in fair value of plan assets in earnings at the time of plan remeasurement, annually during the fourth quarter of each year, or if there is an interim remeasurement event, as a component of net periodic benefit or cost. CSRA utilizes actuarial methods to measure the benefit obligations and net periodic cost or income for its pension and other post-retirement benefit plans. Inherent in the application of these actuarial methods are key assumptions, including, but not limited to, discount rates, expected long-term rates of return on plan assets, mortality rates, rates of compensation increases, and medical cost trend rates. CSRA evaluates these assumptions annually and updates assumptions as necessary. The fair value of pension assets is determined based on the prevailing market prices or estimated fair value of investments when quoted prices are not available. The service and interest costs components of periodic cost or income are estimated using a full yield curve approach by applying the specific spot rates along the yield curve to the relevant projected cash flow. Share-Based Compensation CSRA provides share-based compensation to certain employees and non-employee Board of Director members. All share-based payment awards, which include stock options, restricted stock units (“RSUs”) and performance based restricted stock units (“PSUs”), are classified as equity instruments. CSRA recognizes compensation expense based on each award’s grant-date fair value, net of estimated forfeitures. The cost of share-based compensation is equal to the fair value of the awards issued and is recognized over the periods the services are rendered. Acquisition Accounting and Goodwill When CSRA acquires a controlling financial interest through a business combination, CSRA uses the acquisition method of accounting to allocate the purchase consideration to the assets acquired and liabilities assumed, which are recorded at fair value. Any excess of purchase consideration over the fair value of the assets acquired and liabilities assumed is recognized as goodwill. Acquisition-related costs are recognized separately from the business combination and are expensed as incurred. The results of operations of acquired businesses are included in the Consolidated and Combined Financial Statements from the acquisition date. The goodwill impairment test initially involves the assessment of qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. CSRA tests goodwill for impairment on an annual basis, as of the first day of the second fiscal quarter, and between annual tests if circumstances change, or if an event occurs, that would more likely than not reduce the fair value of a reporting unit below its carrying amount. A significant amount of judgment is involved in determining whether an event indicating impairment has occurred between annual testing dates. Such indicators include the loss of significant business, significant reductions in U.S. government appropriations or other significant adverse changes in industry or market conditions. Fair Value Measurements Fair value is the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between marketplace participants. The accounting guidance for fair value measurements establishes a three level fair value hierarchy that prioritizes the inputs used in measuring fair value as follows: Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 — Quoted prices for similar assets or liabilities or quoted market prices for identical or similar assets in markets that are not active. Level 3 — Valuations derived from valuation techniques in which one or more significant inputs are observable. The assets and liabilities which are valued using the fair value measurement guidance, on a recurring basis, include the Company’s pension assets and derivative instruments consisting of interest rate swap contracts and total return swaps. Most pension assets are valued using model based pricing methods that use observable market data and these inputs are considered Level 2 inputs. The fair value of interest rate swaps is estimated based on valuation models that use observable interest rate yield curves as inputs, which are considered Level 2 inputs. Total return swaps are settled on the last day of every fiscal month. Therefore, the value of any swaps outstanding as of any balance sheet date is not material. No significant assets or liabilities are measured at fair value on a recurring basis using significant unobservable (Level 3) inputs. Certain assets and liabilities are measured at fair value on a nonrecurring basis. These include assets and liabilities acquired in a business combination, equity-method investments and long-lived assets, which would be recognized at fair value if deemed to be impaired or if reclassified as assets held for sale. The fair value in these instances would be determined using Level 3 inputs. The Company’s financial instruments include cash, trade receivables, vendor payables, derivative financial instruments, debt, and pension assets. As of March 31, 2017 and April 1, 2016, the carrying value of cash, trade receivables, and vendor payables approximated their fair value. As of March 31, 2017 and April 1, 2016, the fair value of the Company’s debt, based on recent trading activity, approximated carrying value. We determined the fair value of our long-term debt using Level 2 inputs, in which fair value is generally estimated based on quoted market prices for identical or similar instruments. See Note 8—Derivative Instruments and Note 16—Pension and Other Postretirement Benefit Plans for a discussion of the fair value of the Company’s derivative financial instruments and pension assets, respectively. Receivables Receivables consist of amounts billed and currently due from customers, as well as amounts currently due but unbilled. Unbilled receivables include amounts: (1) to be billed in following month in the ordinary course of business, (2) measured under the percentage-of-completion method of accounting, and (3) retained by the customer until the completion of a specified contract, completion of government audit activities or until negotiation of contract modification or claims. Allowances for uncollectable billed and unbilled receivables are estimated based on a combination of write-off history, aging analysis and any specific and known collectability issues. Impairment of Long-Lived Assets CSRA evaluates the carrying value of long-lived assets expected to be held and used when events or circumstances indicate a potential impairment. The carrying value of a long-lived asset group are considered to be impaired when the anticipated undiscounted cash flows from such asset group are separately identifiable and are less than the group’s carrying value. In that case, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset group. Fair value is determined primarily using the present value of expected cash flows based on multiple scenarios that reflect a range of possible outcomes. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less costs to sell. Income Taxes Accounting for income taxes requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of temporary differences between the financial statements carrying amounts and the tax bases of assets and liabilities. CSRA maintains valuation allowances when, based on the weight of available evidence, it is more likely than not that all or a portion of a deferred tax asset will not be realized. Changes in valuation allowances from period to period are included in the Company’s tax provision in the period of change. In determining whether a valuation allowance is warranted, the Company takes into account such factors as prior earnings history, expected future earnings, carryback and carryforward periods, and tax strategies that could potentially enhance the likelihood of realization of a deferred tax asset. CSRA recognizes uncertain tax positions in the Consolidated and Combined Financial Statements when it is more likely than not that the tax position will be sustained upon examination. Uncertain tax positions are measured based on the probabilities that the uncertain tax position will be realized upon final settlement. Cash and Cash Equivalents CSRA considers investments with an original maturity of three months or less to be cash equivalents. Net Parent Investment Net Parent Investment on the Consolidated and Combined Statements of Changes in Equity represents the former Parent’s historical investment in CSRA prior to the Spin-Off, and includes accumulated net income and the net effect of transactions with, and cost allocations from, the former Parent. Note 2— Corporate Allocations and Transition Agreements provides additional information regarding the allocation to CSRA of expenses incurred by the former Parent. Self-Funded Medical Plans On January 1, 2017, the Company began self-funding medical insurance for certain groups of its current employees. Self-funded plans include a health maintenance organization, high-deductible, and traditional choice health plans. Further, self-funded plans also include prescription drug and dental benefits. The Company records an incurred but unreported claim liability within accrued expenses and other current liabilities on the consolidated balance sheet for self-funded plans based on an actuarial valuation. The estimate of the incurred but unreported claim liability is based on historical claims and participant data for the medical, dental, and pharmacy related costs. Derivative and Hedging Activities The Company primarily uses derivative instruments to manage interest rate risk on outstanding debt. The Company also uses a total return swap program to hedge market volatility on the notional investments underlying the Company’s non-qualified deferred compensation plan. The Company designates interest rate swaps as hedges for purposes of hedge accounting, through a match of all the critical terms of the derivative and the hedged interest rate risks, and recognizes all such derivative instruments as either assets or liabilities in the Consolidated Balance Sheets at fair value. These derivative instruments are classified by their short- and long-term components |
Corporate Allocations and Trans
Corporate Allocations and Transition Agreements | 12 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Corporate Allocations and Transition Agreements | Corporate Allocations and Transition Agreements Corporate Allocations The Consolidated and Combined Statements of Operations, Comprehensive Income and Cash Flows include an allocation of general corporate expenses from CSC for periods prior to Spin-Off. Accordingly, CSRA’s Consolidated and Combined Financial Statements do not necessarily include all the expenses that would have been incurred by the Company had it been a separate, stand-alone entity during that time. The management of CSRA considers these allocations to be a reasonable reflection of the utilization of services by, or the benefits provided to, it. The allocation methods include relative headcount, actual services rendered and relative space utilization. Allocations for management costs and corporate support services provided to CSRA totaled $133.4 and $212.4 for the fiscal years ended April 1, 2016 and April 3, 2015 , respectively. These amounts include costs for corporate functions including, but not limited to, senior management, legal, human resources, finance, IT and other shared services. Following the Spin-Off, CSRA performs all corporate functions that were previously performed by CSC. Transition Agreements In connection with the Spin-Off, CSRA entered into certain agreements that govern the respective rights and responsibilities between CSC and CSRA. CSRA entered into an Intellectual Property Matters Agreement (“original IPMA”) with CSC that governed the respective rights and responsibilities between CSRA and CSC with respect to intellectual property owned or used by each of the companies. Pursuant to the original IPMA, CSC granted CSRA a perpetual, royalty-free, non-assignable license to certain know-how, certain software products, trademarks and workflow and design methodologies. Concurrently, CSRA granted CSC a non-exclusive, perpetual, royalty-free, fully paid-up, non-assignable license to any intellectual property acquired or developed by CSRA within six months following the Spin-Off, including all intellectual property rights of SRA for CSC’s use, which license was limited to use outside CSRA’s field of U.S. federal and certain state and local government customers during the first five years following the Distribution. Under the original IPMA, CSRA agreed to pay CSC an annual net maintenance fee of $30.0 per year for each of the five years following the Distribution in exchange for maintenance services including the rights to updates and patches of certain products as well as all inventions, modifications, improvements, enhancements and updates derived from certain licensed products. In addition, the agreement called for CSRA to pay CSC additional fees if CSRA’s total consolidated revenues exceeded certain thresholds during the initial five -year term. In December 2015, CSRA paid the $30.0 maintenance fee for year one, which was amortized on a straight line basis over the first year. During the fiscal years ended March 31, 2017 and April 1, 2016 , CSRA amortized $20.0 and $10.0 , respectively, to expense in Selling, general and administrative (“SG&A”) in the Consolidated and Combined Statements of Operations related to the first year’s payment. On February 10, 2017, CSRA Inc. and CSC entered into a Relationship Agreement (the “Relationship Agreement”). Pursuant to the Relationship Agreement, the non-competition covenants set forth in the Master Separation and Distribution Agreement, dated as of November 27, 2015, by and between CSRA and CSC (the “MSDA”), restricting CSC’s business activities in certain areas of the U.S. federal, state and local government fields are deemed null and void ab initio . Except with respect to the foregoing, the MSDA will remain in full force and effect. The Relationship Agreement also provides that the Non-U.S. Agency Agreement, dated as of November 27, 2015, between CSRA and CSC (the “Non-US Agency Agreement”), is supplemented to permit CSRA to sell services to certain additional non-U.S. government customers in certain territories (the “Open Jurisdictions”). If CSRA identifies certain opportunities with a governmental entity outside of the Open Jurisdictions, then the Company may request CSC’s consent (to be granted or withheld in good faith) to pursue such opportunity. CRSA’s ability to pursue work internationally through or sponsored by the U.S. government remains intact. The Relationship Agreement also includes certain releases and covenants for each party not to sue the other in regard to the original IPMA. On February 10, 2017, CSRA also entered into an Amended and Restated Intellectual Property Matters Agreement (the “IPMA”) with CSC which amends and restates the original IPMA. As per the IPMA, subject to certain terms and conditions, CSC will continue to grant CSRA a perpetual, non-exclusive, royalty-free, non-assignable license to certain know-how owned by CSC that we used to run our business prior to the Spin-Off. Under the IPMA, CSC has also assigned certain software and intellectual property rights it had previously licensed to CSRA under the Original IPMA. In addition, CSRA was released from the obligation under the original IPMA to pay the remaining four years of annual maintenance fees of $ 30.0 to CSC, and instead made a onetime payment of $ 65.0 to CSC in February 2017. As a result, CSRA will have no further obligation to pay maintenance or product fees to CSC, and will not receive any such service, under any of the aforementioned agreements. As a result, in the fourth quarter of fiscal year 2017 the Company recognized $61.4 of costs related to the IPMA agreement with CSC within Separation and Merger costs in the Consolidated and Combined Statements of Operations. The remaining $3.6 in costs associated with that agreement were capitalized as software or intellectual property and are being amortized over its estimated useful life. CSRA entered into a Tax Matters Agreement with CSC that governs the respective rights, responsibilities and obligations of CSC and CSRA with respect to all tax matters. CSRA has joint and several liability with CSC to the IRS for the consolidated U.S. Federal income taxes of the CSC consolidated group relating to the taxable periods in which CSRA was part of that group. The Tax Matters Agreement generally limits our responsibility for U.S. Federal taxes to periods (or portions of periods) beginning after the Spin-Off. During the fiscal years ended March 31, 2017 and April 1, 2016 , CSRA did not incur charges payable to CSC under the Tax Matters Agreement. CSRA entered into a Real Estate Matters Agreement with CSC that governs the respective rights and responsibilities between CSRA and CSC following the Spin-Off with respect to certain real property used by CSRA. For the fiscal years ended March 31, 2017 and April 1, 2016 , the rental income from the CSC associated with Real Estate Matters Agreement was not significant. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Acquisitions and Divestitures There were no acquisitions or divestitures of other businesses during the fiscal year ended March 31, 2017. Fiscal Year 2016 Acquisition As discussed in Note 1—Basis of Presentation and Summary of Significant Accounting Policies, on November 30, 2015, CSRA completed its Mergers with SRA. As a result, SRA became an indirect wholly-owned subsidiary of CSRA. The Mergers are reflected in CSRA’s financial statements using the acquisition method of accounting, with CSRA being considered the accounting acquirer of SRA. The total merger consideration (“Merger Consideration”) transferred was $2.3 billion, which consisted of: (1) $390 in cash (gross of cash acquired of $48.3 ): (2) 25,170,564 shares of CSRA common stock representing in the aggregate 15.32% of the total number of shares of CSRA common stock outstanding; (3) $1.1 billion related to SRA debt; and (4) $29.9 of acquiree-related transaction costs. The fair market value of shares was determined based on a volume-weighted average price of $30.95 per CSRA share on November 30, 2015, the first day of CSRA’s regular-way trading on the NYSE. CSRA recorded the assets acquired and liabilities assumed at their estimated fair value, with the difference between the fair value of the net assets acquired and the purchase consideration reflected as goodwill. See Note 9— Goodwill and Note 10— Intangible Assets for further discussion of the measurement considerations for acquired intangible assets. The following table reflects the fair values of assets acquired and liabilities assumed as of November 30, 2015 (including adjustments subsequent to closing): Final allocation: Cash, accounts receivable and other current assets $ 302 Property, equipment and other long-term assets 46 Intangibles—customer relationships, backlog and other intangibles assets 891 Accounts payable and other current liabilities (193 ) Other long-term liabilities (26 ) Deferred tax liabilities (263 ) Total identified net assets acquired 757 Goodwill 1,543 Estimated total purchase consideration and liabilities paid at closing $ 2,300 Subsequent to the acquisition, the Company made certain adjustments to provisional amounts previously recognized, which resulted in a $9.7 reduction of the goodwill primarily due to fair value adjustments made to property and equipment, and a reduction in above-market lease liabilities offset, in part, by an increase in related deferred tax liabilities. The goodwill recognized in the acquisition is attributable to the intellectual capital, the acquired assembled work force, and expected cost synergies, none of which qualify for recognition as a separate intangible asset. The goodwill is not deductible for tax purposes. Goodwill arising from the acquisition has been allocated to CSRA’s reporting units based on the relative fair value of assets acquired. The final allocation of goodwill to CSRA’s reportable segments was as follows: $335.2 allocated to Defense and Intelligence and $1.2 billion allocated to Civil. Unaudited Pro Forma Financial Information The following unaudited pro forma financial information presents results as if the Spin-Off and the Mergers and the related financing had occurred prior to April 3, 2015. The historical combined financial information of CSRA and SRA has been adjusted in the pro forma information to give effect to the events that are: (1) directly attributable to the transactions, (2) factually supportable, and (3) expected to have a continuing impact on the consolidated and combined results. The consolidated financial information of SRA includes merger and integration costs that are not expected to recur and impact the combined results over the long-term. The unaudited pro forma results do not reflect future events that have occurred or may occur after the transactions, including but not limited to, the impact of any actual or anticipated synergies expected to result from the Mergers. Accordingly, the unaudited pro forma financial information is not necessarily indicative of the results of operations as they would have been had the transactions been effected prior to April 3, 2015, nor is it necessarily an indication of future operating results. Fiscal Year Ended March 31, 2017 CSRA Effects of Spin-Off (a) Effects of Mergers (b) Pro Forma for Spin-Off and Merger Revenue $ 4,993 $ — $ — $ 4,993 Income from continuing operations attributable to CSRA Shareholders 304 38 16 358 Income per common share: Basic $ 1.86 $ 2.19 (a) Income from continuing operations attributable to CSRA Shareholders affected for the Spin-Off excludes $63 of non-recurring costs incurred to give effect to the separation of the Computer Sciences GS Business from CSC. Fiscal Year Ended April 1, 2016 Historical Computer Sciences GS Fiscal Year Ended April 1, 2016 Historical SRA April 1 - March 31, 2015 Effects of Spin-Off (a) Effects of Mergers (b) Pro Forma for Spin-Off and Merger Revenue $ 4,250 $ 950 $ — $ (2 ) $ 5,198 Income (loss) from continuing operations attributable to Parent 87 (40 ) 80 100 227 Income, per common share: Basic $ 0.54 $ 1.40 (a) Income from continuing operations attributable to CSRA Shareholders affected for the Spin-Off excludes $87 of non-recurring costs incurred to give effect to the separation of the Computer Sciences GS Business from CSC. Fiscal Year Ended April 3, 2015 Historical Computer Sciences GS Fiscal Year Ended April 3, 2015 Historical SRA April 1 - March 31, 2015 Effects of Spin-Off Effects of Mergers Pro Forma for Spin-Off and Merger Revenue $ 4,070 $ 1,377 $ — $ (3 ) $ 5,444 Income (loss) from continuing operations attributable to Parent 254 (16 ) (289 ) (1 ) (52 ) Income (loss), per common share: Basic $ 1.82 $ (0.32 ) Fiscal Year 2016 Divestiture On April 27, 2015, the Computer Sciences GS Business divested its wholly owned subsidiary, Welkin Associates Limited (“Welkin”), a provider of systems engineering and technical assistance services to the intelligence community and other U.S. Department of Defense clients. The Computer Sciences GS Business received consideration of $34.0 , and recorded a pre-tax gain on the sale of $18.5 , which was included in Other expense (income), net in the Consolidated and Combined Statements of Operations. Included in the divested net assets of $13.8 was $10.7 of goodwill and transaction costs of $1.7 . The divestiture did not qualify to be presented as discontinued operations as it did not represent a strategic shift that would have a major effect on the Computer Sciences GS Business’s operations and financial results. Fiscal Year 2015 Acquisitions During the fourth quarter of fiscal year 2015, the Computer Sciences GS Business acquired Autonomic Resources for $14.0 in an all-cash transaction. Autonomic Resources, a cloud computing infrastructure provider, was acquired by the Computer Sciences GS Business to expand cloud offerings in the federal and other government markets. This acquisition was intended to help grow the Computer Sciences GS Business presence as a provider of infrastructure-as-a-service, platform-as-a-service, and software-as-a-service cloud offerings to government agencies . The purchase price was allocated to assets acquired and liabilities assumed based on estimates of fair value at the date of acquisition, as follows: $1.3 to assets, $1.1 to liabilities, and $13.8 to goodwill. All of the acquired goodwill is tax deductible. The acquisition of Autonomic Resources is reported in the Civil segment. During the second quarter of fiscal year 2015, the Computer Sciences GS Business acquired Tenacity Solutions for $35.5 in an all-cash transaction. The Computer Sciences GS Business acquired this entity primarily to enhance its cyber security, systems engineering and software development service offerings in the federal intelligence sector. The purchase price was allocated to assets acquired and liabilities assumed based on estimates of fair value at the date of acquisition, as follows: $3.9 to assets, $9.4 to an intangible asset other than goodwill, $8.4 to current liabilities and $30.7 to goodwill. The intangible asset, which is associated with customer relationships and government programs, will be amortized over 15 years. All of the acquired goodwill is tax deductible. The acquisition of Tenacity is reported in the Defense and Intelligence segment. Fiscal Year 2015 Divestiture During fiscal year 2015, the Computer Sciences GS Business recorded a $1.9 loss from discontinued operations, net of taxes, related to the divestiture of the Applied Technology Division (“ATD”). |
Earnings Per Share ("EPS")
Earnings Per Share ("EPS") | 12 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share (EPS) | Earnings Per Share (“EPS”) On the Distribution Date, CSRA had 139,128,158 common shares outstanding. The calculation of both basic and diluted earnings per share for the fiscal years ended April 1, 2016 and April 3, 2015 utilized the Distribution Date common shares as the basis for the calculation of weighted average common shares outstanding for periods prior to the Spin-Off, because at that time, CSRA did not operate as a separate, stand-alone entity, and no equity-based awards were outstanding prior to the Distribution Date. The calculation of basic earnings per share for the fiscal year ended April 1, 2016 utilized 162,192,759 shares based on the weighted-average shares outstanding between the Distribution Date and the end of the period. The computation of diluted earnings per share excluded stock options and RSUs, whose effect, if included, would have been anti-dilutive. The number of shares related to such stock options was 1,578,000 and 1,598,000 shares for the fiscal years ended March 31, 2017 and April 1, 2016 , respectively. The period from the distribution date to the end of fiscal year 2016 was used as the basis for the basic and diluted calculation instead of using the whole twelve-month period. During fiscal year 2016, the Company entered into a share repurchase agreement (see Note 18— Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss)) through which the Company repurchased 989,319 and 1,768,129 shares in fiscal years 2017 and 2016, respectively, which are reflected in the determination of the weighted-average common shares outstanding in the EPS calculations. Basic earnings per common share (“EPS”) and diluted EPS are calculated as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Net income: From continuing operations $ 316 $ 103 $ 268 Less: discontinued operations — — (2 ) Less: Net income attributable to noncontrolling interests 12 16 14 Net income attributable to CSRA common stockholders $ 304 $ 87 $ 252 Common share information (in thousands): Common shares outstanding for basic EPS 163,345 162,193 139,128 Dilutive effect of stock options and equity awards 1,491 1,392 — Weighted average number of common shares outstanding—diluted (1) 164,836 163,585 139,128 Earnings (loss) per share—basic and diluted: Basic EPS: Continuing operations $ 1.86 $ 0.54 $ 1.82 Discontinued operations — — (0.01 ) Total $ 1.86 $ 0.54 $ 1.81 Diluted EPS: Continuing operations $ 1.84 $ 0.53 $ 1.82 Discontinued operations — — (0.01 ) Total $ 1.84 $ 0.53 $ 1.81 (1) Calculated based on number of days the shares were outstanding after the Spin-off and during which CSRA operated as a separate standalone entity for the fiscal year ended April 1, 2016 . |
Receivables
Receivables | 12 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Receivables | Receivables Receivables consist of the following: As of March 31, 2017 April 1, 2016 Billed trade accounts receivable $ 124 $ 181 Unbilled recoverable amounts under contracts in progress 569 578 Other receivables 79 13 Total accounts receivable 772 772 Less: allowance for doubtful accounts 24 21 Total receivables, net $ 748 $ 751 Unbilled recoverable amounts under contracts in progress generally become billable upon achievement of project milestones, completion of specified contracts, negotiation of contract modifications, completion of government audit activities, or upon acceptance by the customer. Unbilled recoverable amounts under contracts in progress do not have an allowance for credit losses and, therefore, any adjustments to unbilled recoverable amounts under contracts in progress related to credit quality would be accounted for as a reduction of revenue. Unbilled recoverable amounts under contracts in progress resulting from sales, primarily to the U.S. and other governments, that are expected to be collected after one year totaled $15.6 and $14.4 , as of March 31, 2017 and April 1, 2016 , respectively. Changes to the allowance for doubtful accounts for the fiscal years ended March 31, 2017 and April 1, 2016 , respectively, are as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 Beginning balance $ 21 $ 15 Allowance from acquisition for government audit activities 5 6 Write-offs (2 ) — Ending balance $ 24 $ 21 Sales of Receivables CSRA is the seller of certain accounts receivable under a Master Accounts Receivable Purchase Agreement (the “Purchase Agreement”) that was entered into on April 21, 2015 with the Royal Bank of Scotland, PLC (“RBS”), as Purchaser, along with Mitsubishi UFJ Financial Group Ltd, and Bank of Nova Scotia, each as a Participant, for the continuous non-recourse sale of CSRA’s eligible trade receivables. The Purchase Agreement with RBS was subsequently amended. Under the amendment, RBS assigned its rights as a purchaser to The Bank of Tokyo-Mitsubishi UFJ, Ltd (“BTMU”) and The Bank of Nova Scotia, and Mizuho Bank, Ltd., each as a Purchaser. The amendment also converted the receivables purchase facility into a committed facility and extended the initial term to a two -year period. Under the Purchase Agreement, CSRA can sell eligible receivables, including billed receivables and certain unbilled receivables arising from “cost plus fixed fee” and “time and materials” contracts up to $450.0 outstanding at any one time. CSRA has no retained interests in the transferred receivables and only performs collection and administrative functions for the Purchaser for a servicing fee. Beginning April 2, 2016, SRA discontinued selling receivables under its separate accounts receivable purchase agreement described below. The SRA accounts receivable agreement was terminated as of June 27, 2016 and, at that time, SRA became an additional seller under the Purchase Agreement. CSRA accounts for these receivable transfers as sales under ASC 860, Transfers and Servicing , and de-recognizes the sold receivables from its Consolidated Balance Sheets. The fair value of the sold receivables approximated their book value due to their short-term nature. CSRA estimated that its servicing fee was at fair value and, therefore, no servicing asset or liability related to these services was recognized as of March 31, 2017 or April 1, 2016 . We have amended the Purchase Agreement from time to time to broaden the eligibility of receivables for sale under the Purchase Agreement. In the period in which the receivables become eligible for sale, the proceeds from such sales will increase operating cash flow. The table below provides receivable sales activity, including initial sales of newly eligible receivables, under the Facility during the period presented. Fiscal Year Ended March 31, 2017 April 1, 2016 Sales of billed receivables $ 2,006 $ 1,798 Sales of unbilled receivables 1,149 699 Total sales of receivables $ 3,155 $ 2,497 Collections of sold receivables $ 3,089 $ 2,324 Operating cash flow effect, net of collections and fees from sales 62 170 As of March 31, 2017 and April 1, 2016 , there was $37 and $8 , respectively, of cash collected by CSRA but not remitted to purchasers. CSRA incurred purchase discount and administrative fees of $ 4 and $ 2 for the fiscal years ended March 31, 2017 and April 1, 2016 , respectively. These fees were recorded within Other expense (income), net in the Consolidated and Combined Statements of Operations. SRA Sale of Receivables Upon consummation of the Mergers, CSRA assumed SRA’s separate accounts receivable purchase agreement. SRA maintained an accounts receivable purchase agreement under which SRA sold certain accounts receivable to a third party, or the Factor, without recourse to SRA. The Factor initially paid SRA 90% of the receivable and the remaining price was deferred and based on the amount the Factor receives from SRA’s customer. During the four months ended April 1, 2016 , SRA sold $107.7 of its receivables and recognized a related loss of $0.3 in Other income (expense), net. Collections corresponding to these receivable sales were $105.1 . The net impact of total receivables sold, net of collections and fees related to accounts receivable sales, was $2.3 for the four months ended April 1, 2016 . The net cash proceeds under SRA’s accounts receivable purchase agreement were reported as operating activities in the Consolidated and Combined Statements of Cash Flows. |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 12 Months Ended |
Mar. 31, 2017 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Prepaid Expenses and Other Current Assets | Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consist of the following: As of March 31, 2017 April 1, 2016 Deferred contract costs $ 18 $ 25 Maintenance 35 41 Rent 4 5 Other 69 52 Total prepaid expenses and other current assets $ 126 $ 123 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Mar. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment consists of the following: As of March 31, 2017 April 1, 2016 Property and equipment—gross: Land, buildings and leasehold improvements $ 237 $ 233 Computers and related equipment 425 505 Furniture and other equipment 610 530 Construction in progress 32 35 1,304 1,303 Less: accumulated depreciation (694 ) (773 ) Property and equipment, net $ 610 $ 530 Depreciation expense for the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 was $ 131.9 , $120.2 and $113.7 , respectively. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments Derivatives Designated for Hedge Accounting The Company utilizes derivative financial instruments to manage interest rate risk related to its Term Loan A Facilities. The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company uses interest rate swaps as part of its interest rate risk management strategy. As of both March 31, 2017 and April 1, 2016 , the Company had outstanding interest rate derivatives with a notional value of $ 1,400 which were designated as a cash flow hedge of interest rate risk. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in Accumulated other comprehensive income (“AOCI”), net of taxes, and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. Amounts reported in AOCI related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. The Company reclassified $ 9.5 of the interest rate expense from AOCI into earnings in the Consolidated and Combined Statements of Operations for the fiscal year ending March 31, 2017 . During the next twelve months, the Company estimates that approximately $ 0 , net of tax, will be reclassified from AOCI into earnings. The fair value of the Company’s derivative financial instruments was an asset of $ 18.2 and a liability of $ 11.1 as of March 31, 2017 and April 1, 2016 , respectively. These derivative instruments are classified by their short- and long-term components based on the fair value of the anticipated timing of their cash flows. For net liability positions, the current portion is included in the Accounts payable and accrued expenses and the long-term portion is included in Other long-term liabilities in the Consolidated Balance Sheets. For net asset positions, the current portion is included in Prepaid and other assets and the long-term portion is included in Other asset in the Consolidated Balance Sheets. Under applicable agreements relating to the Company’s interest rate swap, a counterparty could declare the Company to be in default on its derivative obligations if repayment of the underlying indebtedness is accelerated by the lender due to the Company’s default. Derivatives Not Designated for Hedge Accounting Total Return Swaps The Company utilizes total return swaps derivative contracts to manage exposure to market volatility of the notional investments underlying the Company’s deferred compensation obligations. These arrangements are entered into monthly and are settled on the last day of every fiscal month. For accounting purposes, these arrangements are not designated as hedges. As changes in the fair value of the deferred compensation liabilities are recognized in Cost of services and Selling, general and administrative expenses, so too are the changes in the fair value of the total return swaps derivative contracts. The Company recorded $0 and $1 of gains attributable to the total return swaps in Cost of services and Selling, general, and administrative expenses in the Combined and Consolidated Statements of Operations for the fiscal years ended March 31, 2017 and April 1, 2016, respectively. Concentrations of Risk The Company is subject to counterparty risk in connection with its interest rate swap derivative contracts. Credit risk related to a derivative financial instrument represents the possibility that the counterparty will not fulfill the terms of the contract. The Company mitigates this credit risk by entering into agreements with credit-worthy counterparties. As of March 31, 2017 there was one counterparty, Bank of America, N.A., with greater than a 10% concentration of our total exposure. |
Goodwill
Goodwill | 12 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill The following tables summarize the changes in the carrying amount of goodwill, by reportable segment, as of March 31, 2017 , April 1, 2016 and April 3, 2015 . Defense and Intelligence Civil Total Balance as of April 3, 2015 $ 492 $ 311 $ 803 Welkin Divestiture (11 ) — (11 ) Tenacity Solutions Acquisition Working Capital Adjustment (1 ) — (1 ) SRA Acquisition 335 1,206 1,541 Balance as of April 1, 2016 815 1,517 2,332 SRA Purchase Price Adjustment — 3 3 Balance as of March 31, 2017 $ 815 $ 1,520 $ 2,335 During fiscal year 2016, CSRA recorded $1.5 billion of goodwill in connection with the SRA acquisition, which was allocated to each reportable segment based on the relative fair value of net assets acquired. During fiscal year 2017, the Company made adjustments related to the acquisition of SRA, which resulted in a $3 increase in goodwill. There were no other changes in the balance of goodwill or the allocations to CSRA’s reportable segments during the fiscal year ended March 31, 2017 . Fiscal year 2016 reductions to goodwill of $11 and $ (1) relate to the divestiture of Welkin and a working capital adjustment on the Tenacity Solutions acquisition. See Note 3— Acquisitions and Dispositions for additional information. There were no accumulated impairment losses as of March 31, 2017 or April 1, 2016 . Testing for Goodwill Impairment CSRA tests goodwill for impairment on an annual basis, as of the first day of the second fiscal quarter, and between annual tests if an event occurs, or circumstances change, that would more likely than not reduce the fair value of a reporting unit below its carrying amount. CSRA first assesses qualitative factors to determine whether events or circumstances existed that would lead CSRA to conclude that it is more likely than not that the fair value of any of its reporting units was below their carrying amounts. If CSRA determines that it is not more likely than not, then proceeding to step one of the two-step goodwill impairment test is not necessary. When CSRA performs step one of the two-step test for a reporting unit, it estimates the fair value of the reporting unit using both the income approach and the market approach. The income approach incorporates the use of a discounted cash flow method in which the estimated future cash flows and terminal values for each reporting unit are discounted to a present value using a discount rate. Cash flow projections are based on management’s estimates of economic and market conditions, which drive key assumptions of revenue growth rates, operating income, capital expenditures, and working capital requirements. For CSRA’s annual goodwill impairment assessment as of July 2, 2016, CSRA chose to bypass the initial qualitative assessment and proceeded directly to the first step of the impairment test for all reporting units. Based on the results of the first step of the impairment test, CSRA concluded that the fair value of each reporting unit significantly exceeded its carrying value, and therefore, the second step of the goodwill impairment test was not required. As of March 31, 2017 , CSRA assessed whether there were events or changes in circumstances that would more likely than not reduce the fair value of any of its reporting units below its carrying amount and require goodwill to be tested for impairment. CSRA determined that there have been no such indicators, and therefore, it was unnecessary to perform an interim goodwill impairment assessment as of March 31, 2017 . |
Intangible Assets
Intangible Assets | 12 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets On November 30, 2015, CSRA acquired $891 of other intangible assets, as described in Note 3— Acquisitions and Divestitures. The components of the acquired definite-lived intangible assets were: (1) customer relationships intangibles, (2) backlog, and (3) technology. Acquired intangible assets have been recorded at their estimated fair value, and they were determined, with the assistance of an independent third-party valuation specialist, through the use of various discounted cash flow valuation techniques. These valuation techniques incorporated Level 3 inputs as described under the fair value hierarchy of ASC 820, Fair Value Measurements (“ASC 820”). These unobservable inputs reflect CSRA’s own assumptions about which assumptions market participants would use in pricing an asset on a non-recurring basis. The customer relationship intangible asset represents the fair value of future projected cash flows that are expected to be derived from sales of services to existing customers. Customer relationships were valued using the excess earnings approach, with a discount rate of 8.50% and an implied royalty range of 6.35% to 8.10% . The asset is being amortized ratably over a weighted-average amortization period of 20 years based upon the information at the time of the Mergers related to the nature of the customer relationships that CSRA acquired, the Company’s experience on customer renewals and expectations associated with customer attrition and growth strategies. The backlog intangible represents the funded economic value of predominantly long-term contracts, less the amount of revenue already recognized on those contracts. Backlog was valued using the excess earnings approach, with a discount rate of 8.00% and an implied royalty range of 5.90% to 7.50% . The asset was amortized over an amortization period of one year , reflecting the fact that the funded and committed backlog that CSRA acquired was short-term in nature. Other intangible assets primarily consists of acquired technology and represents the fair value of future cash flow projections taking into account expectations on investments in the technology, current and future use, and the lack of legal limitations. A summary of amortizing intangible assets is as follows: As of March 31, 2017 Gross Carrying Value Accumulated Amortization Net Carrying Value Acquisition-related intangibles: Customer-related intangibles $ 948 $ (175 ) $ 773 Backlog 65 (65 ) — Other intangible assets 6 (4 ) 2 Subtotal- acquisition-related intangibles 1,019 (244 ) 775 Software 170 (89 ) 81 Total intangible assets $ 1,189 $ (333 ) $ 856 As of April 1, 2016 Gross Carrying Value Accumulated Amortization Net Carrying Value Acquisition-related intangibles: Customer-related intangibles $ 954 $ (133 ) $ 821 Backlog 65 (22 ) 43 Other intangible assets 52 (46 ) 6 Subtotal- acquisition-related intangibles 1,071 (201 ) 870 Software 136 (95 ) 41 Total intangible assets $ 1,207 $ (296 ) $ 911 Customer-related intangibles, backlog, and software are amortized to expense. Amortization expense for the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 was $109 , $62 , and $33 , respectively. Other intangible assets, which consist of contract-related intangibles, are amortized as a reduction to revenues and included in Depreciation and amortization in the Consolidated and Combined Statements of Cash Flows. Amortization as a reduction to revenues for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 was $2.5 , $9.2 , and $9.7 , respectively. As of March 31, 2017 , estimated amortization related to intangible assets for each of the fiscal years 2018, 2019, 2020, 2021, and 2022, is as follows: $77 , $82 , $76 , $67 , and $59 , respectively. Purchased and internally developed software (for both external and internal use), net of accumulated amortization, consisted of the following: As of March 31, 2017 April 1, 2016 Purchased software $ 73 $ 40 Internally developed software for external use — 1 Internally developed software for internal use 8 — Total software $ 81 $ 41 Amortization expense related to purchased software, internally developed software for external use and internally developed software for internal use was as follows: Fiscal Years Ended March 31, 2017 April 1, 2016 April 3, 2015 Purchased software $ 16 $ 16 $ 14 Internally developed software for external use 1 1 2 Internally developed software for internal use 1 — — Total amortization of software $ 18 $ 17 $ 16 As of March 31, 2017 estimated amortization related to purchased and internally developed software for each of the fiscal years 2018, 2019, 2020, 2021 and 2022 is as follows: $23 , $20 , $17 , $12 , and $7 , respectively. |
Accrued Payroll and Related Cos
Accrued Payroll and Related Costs | 12 Months Ended |
Mar. 31, 2017 | |
Payables and Accruals [Abstract] | |
Accrued Payroll and Related Costs | Accrued Payroll and Related Costs Accrued payroll and related costs consisted of the following: As of March 31, 2017 April 1, 2016 Accrued payroll $ 44 $ 54 Accrued vacation 65 65 Deferred compensation 7 3 Accrued incentive compensation 12 17 Payroll taxes 7 10 Other 46 51 Total $ 181 $ 200 Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: As of March 31, 2017 April 1, 2016 Accrued contract costs $ 239 $ 248 Deferred revenue 153 149 Accrued expenses 81 123 Other 14 8 Total $ 487 $ 528 |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Mar. 31, 2017 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Payroll and Related Costs Accrued payroll and related costs consisted of the following: As of March 31, 2017 April 1, 2016 Accrued payroll $ 44 $ 54 Accrued vacation 65 65 Deferred compensation 7 3 Accrued incentive compensation 12 17 Payroll taxes 7 10 Other 46 51 Total $ 181 $ 200 Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: As of March 31, 2017 April 1, 2016 Accrued contract costs $ 239 $ 248 Deferred revenue 153 149 Accrued expenses 81 123 Other 14 8 Total $ 487 $ 528 |
Other Long-term Liabilities
Other Long-term Liabilities | 12 Months Ended |
Mar. 31, 2017 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-term Liabilities | Other Long-term Liabilities Other long-term liabilities consisted of the following: As of March 31, 2017 April 1, 2016 Deferred revenue $ 27 $ 27 Pension and other postretirement obligations 461 646 Deferred rent 12 13 Deferred compensation 27 44 Other 55 12 Total $ 582 $ 742 |
Debt
Debt | 12 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt At March 31, 2017 , CSRA maintains the following debt facilities, as amended: (1) a five -year, senior secured revolving credit facility (the “Revolving Credit Facility”) with a committed borrowing capacity of $700 , which was fully available and undrawn as of March 31, 2017 , (2) a three -year, senior secured tranche A1 Term loan facility (the “Tranche A1 Facility”), (3) a five -year, senior secured tranche A2 Term loan facility (the “Tranche A2 Facility” and, together with the Tranche A1 Facility, the “Term Loan A Facilities”), and (4) a seven -year, senior secured Term loan B facility (the “Term Loan B Facility”), and, together with the Term Loan A Facilities, the “Term Loan Facilities”). All these facilities are guaranteed by CSRA’s significant domestic subsidiaries (the “Guarantors”) and are secured by substantially all of the assets of CSRA and the Guarantors. The following is a summary of CSRA’s debt as of March 31, 2017 and April 1, 2016 : March 31, 2017 April 1, 2016 Interest Rate (1) Outstanding Balance Interest Rate (1) Outstanding Balance Revolving credit facility, due November 2021 2.18% - 2.20% $ — 1.98% - 2.36% $ 50 Tranche A1 facility, due November 2019 2.06% - 2.41% 570 1.85% - 2.23% 600 Tranche A2 facility, due November 2021 2.18% - 2.53% 1,580 1.98% - 2.36% 1,432 Term Loan B facility, due November 2023 3.28% - 3.75% 466 3.75% 748 Capitalized lease liability 2.35% - 15.09% 216 2.10% - 16.51% 151 Total debt 2,832 2,981 Less: unamortized debt issuance costs (33 ) (46 ) Less: current portion of long-term debt and capitalized lease liability (116 ) (170 ) Total long-term debt, net of current maturities $ 2,683 $ 2,765 (1) Represents the range of the lowest and highest interest rate during the fiscal year for each facility. Capitalized lease rates are the lowest and highest rates among all leases outstanding during the period. In November 2015, the Tranche A1 Facility of $600 and $960 of the Tranche A2 Facility were funded in an aggregate amount of $1,560 , the proceeds of which were used to fund the Special Dividend and to pay transaction costs of the Spin-Off. On November 30, 2015, the Company borrowed an additional aggregate amount of $1,240 from the facilities, the proceeds of which were used to fund the cash portion of the Merger Consideration to holders of SRA common stock, to repay substantially all of SRA’s existing indebtedness, to pay for additional transaction costs, and for general corporate purposes. During the fiscal year 2017, the Company made repayments of $50 on the Revolving Credit Facility. Also during fiscal year 2017, the Company made $169 in repayments on the Term Loan Facilities, including $48 related to fiscal year 2016 excess cash flow and a $20 voluntary prepayment during the fourth quarter of fiscal year 2017. On November 30, 2016, the Company entered into a First Amendment to the Credit Agreement (the “Amendment”) to the Credit Agreement with The Bank of Tokyo-Mitsubishi UFJ, Ltd, as pro-rata administrative agent, Royal Bank of Canada, as term loan B administrative agent, MUFG Union Bank, N.A., as collateral agent, and the guarantors and lender parties thereto. Pursuant to the Amendment, the maturities of the Term Loan Facilities and the Revolving Credit Facility under the Credit Agreement were extended by one year. The Amendment provided for, among other things: (a) a reduction in the margin over indexed interest rates on the Term Loan B Facility of 50 basis points to LIBOR plus 2.50% ; (b) a payment of $ 230 in the unpaid principal balance of the Term Loan B Facility to a total of $466 and an increase in the borrowing on the Tranche A2 Facility by $234 to a total of $1.63 billion; and (c) changes to certain existing debt covenants, and terms and conditions to provide greater operational and financial flexibility to the Company. The Company wrote-off $8.1 of deferred financing fees related to the portion of the loans that were deemed extinguished which are recorded in interest expense, and recorded an additional $4.0 of deferred financing costs related to fees the Company paid associated with the Amendment. Deferred fees associated with the extinguished debt are reflected in Other financing activities within the Consolidated and Combined Statements of Cash Flows. The Revolving Credit Facility, as amended, bears interest at an interest rate per annum equal to, at CSRA’s option, either: (1) LIBOR plus the applicable margin subject to a 0% LIBOR floor, or (2) the base rate plus the applicable margin. The Term Loan A Facility bears interest at an interest rate per annum equal to, at CSRA’s option, either (1) LIBOR plus the applicable margin subject to a 0% LIBOR floor, or (2) the base rate plus the applicable margin and is payable quarterly. The Term Loan B Facility bears interest at an interest rate per annum, equal to, at CSRA’s option, either: (1) LIBOR plus the applicable margin of 2.50% , subject to a 0.75% LIBOR floor, or (2) the base rate plus the applicable margin of 1.50% , subject to a 1.75% base rate floor and is payable quarterly. The applicable margins for borrowings under the Revolving Credit Facility and the Term Loan A Facilities vary and are determined based on CSRA’s corporate credit or family rating. Interest expense consisted of the following: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Contractual interest -revolving and term loan credit facilities $ 74 $ 27 $ — Amortization of debt issuance costs 10 4 — Interest on derivatives and other 32 22 22 Loss on debt extinguishment 8 — — Total interest expense $ 124 $ 53 $ 22 CSRA incurred costs in connection with the Revolving Credit Facility and Term Loan Facilities, which are amortized using the effective interest method over the life of the respective loan. Unamortized debt issuance costs related to the Revolving Credit Facility are recorded as a deferred financing asset and are amortized using the straight line interest method. Unamortized debt issuance costs related to the Term Loan Facilities are recorded as a direct deduction from the carrying amount of the debt liability and are amortized using the effective interest method over the life of the respective loans. The Term Loan Facilities require the Company to prepay outstanding term loans, subject to certain exceptions, in the case of excess annual cash flow and in the event of certain asset sales, casualty events and issuances of debt. Any required excess cash flow payments are due within 90 days following the end of the fiscal year. As of March 31, 2017 , the Company’s calculated excess cash flow payment was $29 related to fiscal year 2017; however, this amount is more than offset by the $89 of voluntary payments made during the year, resulting in no required excess cash flow payment as of March 31, 2017. Expected maturities of long-term debt, excluding future minimum capital lease payments for fiscal years subsequent to fiscal year 2017, are as follows: Fiscal Year Amount (1) 2018 $ 72 2019 82 2020 651 2021 82 2022 1,263 Thereafter 466 Total $ 2,616 (1) This does not include voluntary prepayments of borrowings that the Company may expect to make as such voluntary prepayments are not required under the credit agreement. The agreements governing our indebtedness contain restrictions and limitations on our ability to engage in activities that may be in our long-term best interests, including covenants that place limitations on the incurrence of additional indebtedness; the creation of liens; the payment of dividends; sales of assets; fundamental changes; including mergers and acquisitions; loans and investments; pledging of assets; engaging in transactions with affiliates; engaging in certain transactions or other actions affecting subsidiaries; modifying the Company’s charter documents in a manner materially adverse to the lenders; changing CSRA’s fiscal year; and certain conduct of the Company’s business. CSRA’s long-term debt facilities contain representations, warranties, and covenants customary for arrangements of these types, as well as customary events of default. CSRA was in compliance with all financial covenants associated with its borrowings as of March 31, 2017 and April 1, 2016 . See Note 21— Commitments and Contingencies for further discussion of CSRA’s capitalized lease liability. |
Income Taxes
Income Taxes | 12 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For purposes of these Consolidated and Combined Financial Statements, the taxes prior to the Spin-Off were computed and reported using the separate return method. Use of the separate return method may result in significant differences when the sum of the amounts allocated to standalone tax provisions are compared with amounts presented in historical combined financial statements. Furthermore, certain tax attributes (e.g., state tax credit carry forwards) reflected in the historical combined financial statements may not have existed at the standalone Computer Sciences GS Business level. In general, prior to the Spin-Off, the taxable income of the Computer Sciences GS Business entities was included in CSC’s consolidated tax returns, where applicable in jurisdictions around the world. As such, separate income tax returns were not prepared for many the Computer Sciences GS Business entities. Consequently, income taxes payable for periods prior to the Spin-Off are deemed to have been settled with CSC. The sources of income from continuing operations before taxes, classified between domestic entities and those entities domiciled outside of the U.S., are as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Domestic entities $ 494 $ 142 $ 416 Entities outside the U.S. 1 7 13 Total $ 495 $ 149 $ 429 The components of the provision for income taxes from continuing operations were: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Current: Federal $ 55 $ 79 $ 132 State 16 12 27 Foreign 1 2 5 72 93 164 Deferred: Federal 91 (42 ) (4 ) State 16 (5 ) 1 107 (47 ) (3 ) Total income tax expense $ 179 $ 46 $ 161 The major elements contributing to the difference between the U.S. federal statutory tax rate of 35% and the effective tax rate (“ETR”) for continuing operations are as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Statutory rate 35.0 % 35.0 % 35.0 % State income tax, net of federal tax 3.9 3.7 4.2 Noncontrolling interest (0.9 ) (3.7 ) (1.1 ) Dividend paid to Employee Stock Ownership Plan (0.1 ) (9.5 ) 0.0 Transaction Costs — 5.6 0.1 Other items, net (1.7 ) (0.2 ) (0.6 ) Effective tax rate 36.2 % 30.9 % 37.6 % The significant components of deferred tax assets and liabilities are as follows: As of March 31, 2017 April 1, 2016 Deferred tax assets Employee benefits $ 211 $ 282 Accrued expenses 19 22 Net operating loss and tax credit carry forwards 12 65 Other assets 1 5 Total deferred tax assets 243 374 Valuation allowance (11 ) (9 ) Net deferred tax assets $ 232 $ 365 Deferred tax liabilities Depreciation and amortization $ (392 ) $ (403 ) Contract accounting (47 ) (68 ) Investment basis differences (16 ) (8 ) Deferred project costs (30 ) (33 ) Prepaid expenses (6 ) (16 ) Other Liabilities (13 ) — Total deferred tax liabilities (504 ) (528 ) Net deferred tax liabilities $ (272 ) $ (163 ) Historically, it has been the practice and intention of CSRA to reinvest the earnings of its non-U.S. subsidiaries in those operations. As of March 31, 2017 the cumulative undistributed positive earnings of the Company's foreign subsidiaries and the tax cost of repatriating the cumulative undistributed taxable earnings of these foreign subsidiaries to the U.S. is immaterial. Beginning in fiscal year 2018, CSRA is no longer permanently reinvested with respect to its non-U.S. subsidiaries. As of March 31, 2017 , CSRA had a state net operating loss (“NOL”) carryforward for tax purposes of $30.4 , which expires in 2036. As of April 1, 2016 , CSRA had federal and state net operating loss (“NOL”) carryforwards for tax purposes of $115.5 and $131.6 , respectively. These losses were materially incurred by SRA prior to the acquisition. CSRA had available foreign NOL carryforwards totaling approximately $1.8 and $2.0 as of March 31, 2017 and April 1, 2016 , respectively. CSRA has a valuation allowance equal to the full amount of its foreign NOL carryforwards. CSRA did not have a federal credit carryforward for fiscal year 2017 but had a federal credit carryforward of $11.0 as of April 1, 2016 . CSRA also did not have a federal Alternative Minimum Tax credit carryforward during fiscal year 2017 but had a federal Alternative Minimum Tax credit carryforward of $0.7 as of April 1, 2016 . CSRA had state credit carryforwards of $15.7 and $12.7 as of March 31, 2017 and April 1, 2016 , respectively, which expire at various dates through 2026. CSRA has established a valuation allowance equal to the full amount of the state tax credit carryforwards because CSRA believes it is more likely than not that the state tax credit carryforwards will not be utilized in future carryforward periods. Significant management judgment is required in determining the Company's provision for income taxes, deferred tax assets and liabilities, and any valuation allowance recorded against deferred tax assets. Valuation allowances are evaluated periodically and are subject to change in each future reporting period as a result of changes in various factors. In determining whether the deferred tax assets are realizable, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, taxable income in prior carryback years, projected future taxable income, tax planning strategies, and recent financial operations. Upon audit, taxing authorities may challenge all or part of an uncertain income tax position. The Computer Sciences GS Business has no history of tax audits on a standalone basis. The Company’s effective income tax rate reflects changes to the tax reserves that management considers appropriate. It is reasonably possible that changes to the Computer Sciences GS Business’s global unrecognized tax benefits could be significant; however, due to the uncertainty regarding the timing of completion of audits and possible outcomes, a current estimate of the range of increases or decreases that could occur within the next twelve months is not expected to be material. Our Tax Matters Agreement, entered into with CSC in connection with the Spin-Off, states each company’s rights and responsibilities with respect to payment of taxes, tax return filings and control of tax examinations. Except for historic SRA tax liabilities and certain separate state liabilities, we are generally only responsible for taxes allocable to periods (or portions of periods) beginning after the Spin-Off. Prior periods included uncertain tax positions allocated from CSC to CSRA on a stand-alone basis that are not reflected in the post-Spin-Off period. CSRA is subject to U.S. federal income tax, various state and local taxes, and international income taxes in numerous jurisdictions. As of March 31, 2017 and April 1, 2016 , CSRA’s liability for uncertain tax positions was $45.4 and $39.0 , respectively, including interest of $0.5 and $0.2 , respectively. The following table summarizes the activity related to CSRA’s uncertain tax positions (excluding interest and penalties and related tax attributes): Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Balance, at beginning of year $ 39 $ 24 $ 25 Net increase related to Spin — 7 — Increase related to acquisition — 7 — Gross increases related to prior year tax positions 5 1 1 Gross decreases related to prior year tax positions — — (3 ) Gross increases related to current year tax positions 1 — 1 Balance, at end of year $ 45 $ 39 $ 24 CSRA’s liability for uncertain tax positions at March 31, 2017 , April 1, 2016 and April 3, 2015 , include $45.4 , and $39.0 and $8.2 , respectively, related to amounts that, if recognized, would affect the effective tax rate (excluding related interest and penalties). During the year ended March 31, 2017 , CSRA had a net increase in accrued interest of $0.3 ( $0.2 net of tax) and as of March 31, 2017 , has recognized a liability for accrued interest of $0.5 ( $0.3 net of tax). During the year ended April 1, 2016 , CSRA had a net reduction in accrued interest of $0.5 ( $0.3 net of tax) and as of April 1, 2016 , recognized a liability for accrued interest of $0.2 ( $0.1 net of tax). Tax Examination Status CSRA is currently under examination in several tax jurisdictions. As a result of the Mergers, the tax years that remain subject to examination in certain of CSRA’s major tax jurisdictions are as follows: Jurisdiction: Tax Years that Remain United States - federal 2008 and forward United States - various states 2008 and forward One disputed matter remains unresolved in connection with the Internal Revenue Service’s (“IRS”) examination of SRA’s federal income tax return for 2011. The disputed matter concerns a $136.7 worthless stock deduction for a disposed subsidiary in that period. CSRA believes its tax positions are appropriate and is prepared to defend them vigorously. Furthermore, a tax insurance policy obtained pursuant to the terms of the Merger Agreement limits SRA’s exposure related to this position. It is reasonably possible that changes to CSRA’s unrecognized tax benefits could be significant; however, due to the uncertainty regarding the IRS administrative appeals process and possible outcomes, a current estimate of the range of increases or decreases that may occur within the next 12 months is not expected to be material. |
Pension and Other Postretiremen
Pension and Other Postretirement Benefit Plans | 12 Months Ended |
Mar. 31, 2017 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefit Plans | Pension and Other Postretirement Benefit Plans Certain employees of CSRA and its subsidiaries are participants in employer-sponsored defined benefit and defined contribution plans. CSRA’s defined benefit plans include both pension and other postretirement benefit (“OPEB”) plans. As discussed in Note 1— Basis of Presentation and Summary of Significant Accounting Policies, on November 27, 2015, CSC completed the Spin-Off of CSRA, including the Computer Sciences GS Business. Prior to the Spin-Off, the Computer Sciences GS Business recorded the assets, liabilities, and service costs for current employees for the single employer pension and OPEB plans in the Consolidated and Combined Financial Statements. For multi-employer plans, the Computer Sciences GS Business only recorded the service cost related to their current employees in the Consolidated and Combined Financial Statements. Subsequent to the Spin-Off date, all pension and OPEB plans assets, liabilities, and service costs related to current and certain former employees of CSC and the Computer Sciences GS Business’ were fully absorbed by CSRA. On November 25, 2015, CSC and CSRA entered into an agreement (the “PBGC Agreement”) with the Pension Benefit Guaranty Corporation (“PBGC”), which is a federal agency created to protect pension benefits in private-sector defined benefit plans. Under the PBGC Agreement, the PBGC agreed to close its investigation and CSRA agreed to contribute to the Plan: (1) $50.0 on or before August 31, 2018 (the “First Additional Contingent Payment”), and (2) $50.0 on or before the last day of CSRA’s fiscal year 2019 (the “Second Additional Contingent Payment,” in addition to any other contributions required by law, unless certain conditions are met. CSRA will not be required to contribute the First Additional Contingent Payment if, prior to or as of the last day of CSRA’s 2018 fiscal year, CSRA’s consolidated total net leverage ratio as defined in the PBGC Agreement is 2.75 to 1 or lower, and the Company meets specified credit rating levels as set out in the agreement. In addition, CSRA will not be required to contribute the Second Additional Contingent Payment if prior to the last day of CSRA’s 2019 fiscal year, the Company has permanently repaid certain amounts of its indebtedness on the terms set out in the PBGC Agreement. Estimation of Service and Interest Costs Prior to April 1, 2016, CSRA estimated the service and interest cost components using a single weighted-average discount rate derived from the yield curve used to measure the benefit obligation at the beginning of the period. For the fiscal quarter ended January 1, 2016, one previously classified multi-employer pension plan and a previously classified multi-employer OPEB plan were remeasured in connection with the Spin-Off using discount rates following the revised method for estimating service and interest costs described below. Beginning April 1, 2016, CSRA estimates the costs of the service and interest components for all pension and OPEB plans through a full yield curve approach by applying the specific spot rates along the yield curve used in the determination of the net periodic expense to the relevant projected cash flows. The more precise application of spot rates reduced the costs for the remeasured pension and OPEB plans by approximately $7.7 for the period ended April 1, 2016. Defined Benefit Pension Plans The assets and liabilities for the plans as well as service and interest costs related to current employees are reflected in CSRA’s Consolidated and Combined Financial Statements. The largest U.S. defined benefit pension plan was frozen in fiscal year 2010 for most participants. On July 19, 2013, CSC completed the sale of a portion of the Applied Technology Division of Computer Sciences’ GS Business, which had a pension and a retiree medical plan. The settlement of the plan remains CSRA’s potential liability upon completion of the related contract pending reimbursement from the government customer. See Note 21— Commitments and Contingencies for further discussion. The following tables provide reconciliation of the annual changes in the employer pension plans’ accumulated benefit obligations and assets and a related status of funding for fiscal year 2017 and 2016. Reconciliation of accumulated pension benefit obligation March 31, 2017 April 1, 2016 Accumulated benefit obligation, at beginning of year $ 3,222 $ 66 Transfer in of projected benefit obligation from Spin-Off — 3,064 Service cost 12 — Interest cost 99 38 Settlement activity (320 ) — Actuarial (gain) loss (59 ) 114 Benefits paid (167 ) (60 ) Accumulated benefit obligation, at end of year $ 2,787 $ 3,222 Reconciliation of fair value of plan assets March 31, 2017 April 1, 2016 Fair value of plan assets, at beginning of year $ 2,585 $ 55 Transfer in of fair value of plan assets from Spin-Off 2,597 Actual return (loss) on plan assets 222 (10 ) Company contributions 8 3 Settlement activity (320 ) — Benefits paid (167 ) (60 ) Fair value of plan assets, at end of year $ 2,328 $ 2,585 Unfunded status, at end of year $ (459 ) $ (637 ) During the second and third quarters of fiscal year 2017, the Company extended a voluntary offer of a lump sum settlement to the former employees who were vested participants in its largest U.S. defined benefit pension plan. The lump sum settlements totaled $ 320.2 and were paid in December 2016 with cash from the plan. The lump sum settlement resulted in an interim period remeasurement of the plan’s assets and liabilities from April 1, 2016 through December 1, 2016. As part of that remeasurement, the mortality assumption was changed to reflect the most recent mortality studies as updated by the Society of Actuaries, which is the MP-2016 scale. There was no change to the expected long-term rate of return on plan assets from the one used in the April 1, 2016 remeasurement and the change to the discount rate was insignificant. The lump sum settlements resulted in the recognition of a pension settlement benefit of $ 13.0 and the plan remeasurement resulted in the recognition of a one-time mark-to-market benefit of $ 101.5 in the third quarter of fiscal year 2017. The effect of the settlements reduced the Company’s pension obligation by $ 333.2 at December 1, 2016. The following table provides the amounts recorded in CSRA’s Consolidated Balance Sheets for the pension plan liabilities: As of March 31, 2017 April 1, 2016 Accrued expenses and other current liabilities $ 8 $ 8 Other long-term liabilities 451 629 Total recorded liability $ 459 $ 637 The components of net periodic postretirement cost (benefit) were as follows: Net periodic pension cost (benefit) Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Service cost $ 12 $ — $ — Interest cost 99 38 3 Expected return on assets (187 ) (71 ) (4 ) Settlement gain (13 ) — — Recognition of actuarial losses (gains) (81 ) 195 10 Net periodic pension cost (benefit) $ (170 ) $ 162 $ 9 The weighted-averages of the assumptions used to determine net periodic pension cost were: March 31, 2017 April 1, 2016 April 3, 2015 Discount or settlement rates 4.1 % 4.3 % 4.5 % Expected long-term rates of return on assets 7.8 % 7.9 % 7.6 % Rates on increase in compensation levels N/A 4.3 % N/A The following table summarizes the weighted average assumptions used in the determination of CSRA’s pension benefit obligations as of March 31, 2017 and April 1, 2016. March 31, 2017 April 1, 2016 Discount rate 4.1 % 4.0 % Information about the expected cash flows for pension plans as of March 31, 2017, is as follows: Employer Contributions: 2018 $ 8 Employer Benefit Payments: 2018 $ 171 2019 171 2020 175 2021 177 2022 178 2023-2026 897 Defined Benefit Other Postretirement Benefit Plans The assets and liabilities for the OPEB plans as well as service costs related to the plans’ participants are reflected in CSRA’s Consolidated and Combined Financial Statements. These statements also reflect the service costs related to current employees and certain former employees of CSC and the Computer Sciences GS Business and the assets and liabilities for the plans. CSRA provides subsidized healthcare, dental and life insurance benefits for certain U.S. employees and retirees, primarily for individuals employed prior to August 1992. The following tables provide a reconciliation of the changes in the single employer postretirement plan benefit obligations and assets and a statement of the plans’ funded status. Reconciliation of accumulated As of postretirement benefit obligations March 31, 2017 April 1, 2016 Accumulated benefit obligation, at beginning of year $ 93 $ 15 Transfer in of projected benefit obligation from Spin-Off — 72 Service cost 1 — Interest cost 3 1 Actuarial (gain) loss (4 ) 7 Benefits paid (7 ) (2 ) Accumulated benefit obligation, at end of year $ 86 $ 93 As of Reconciliation of Fair Value of Plan Assets March 31, 2017 April 1, 2016 Fair value of plan assets, at beginning of year $ 76 $ — Transfer in of fair value of plan assets from Spin-Off — 76 Actual return on plan assets 6 1 Company contribution 1 1 Benefits paid (7 ) (2 ) Fair value of plan assets, at end of year $ 76 $ 76 Unfunded status, at end of year $ (10 ) $ (17 ) The following table provides the amounts recorded in the Consolidated Balance Sheets for the postretirement benefit plan liabilities. As of March 31, 2017 April 1, 2016 Current liabilities $ 1 $ 1 Other long-term liabilities 9 16 Total recorded liabilities $ 10 $ 17 As of March 31, 2017, April 1, 2016 and April 3, 2015 the prior service benefit within accumulated other comprehensive income that had not yet been recognized in the Consolidated and Combined Statements of Operations (as a component of net periodic benefit cost) was $32 , $46 , and $3 , respectively. The components of net periodic postretirement cost related to retirement benefits other than pensions are shown in the table below: Net periodic benefit costs Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Service cost $ 1 $ — $ — Interest cost 3 1 — Expected return on assets (6 ) (2 ) — Amortization of prior service (benefit) costs (13 ) (7 ) (2 ) Recognition of actuarial (gain) loss (5 ) 8 (2 ) Net periodic (benefit) costs $ (20 ) $ — $ (4 ) Other before tax changes in plan assets and benefit obligations recognized in other comprehensive income during fiscal years 2017, 2016, and 2015 included the following components: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Prior service (credit) cost $ — $ — $ (5 ) Amortization of: Prior service cost (credit) 13 7 2 Total recognized in other comprehensive income $ 13 $ 7 $ (3 ) Other comprehensive income related to unamortized postretirement benefit plan costs for the fiscal years ended March 31, 2017, April 1, 2016 and April 3, 2015 was $8.1 , net of tax impact of $4.7 , $5.2 , net of tax impact of $2.3 , and $2.0 , net of tax impact of $1.3 , respectively. The weighted-averages of the assumptions used to determine net periodic postretirement benefit costs were: As of March 31, 2017 April 1, 2016 April 3, 2015 Discount or settlement rates 3.8 % 4.5 % 3.8 % Expected long-term rates of return on assets 7.6 % 7.7 % N/A The following table summarizes the weighted average assumptions used in the determination of CSRA’s postretirement benefit obligations as of March 31, 2017 and April 1, 2016: March 31, 2017 April 1, 2016 Discount rate 4.0 % 3.8 % The assumed healthcare cost trend rate used in measuring the accumulated postretirement benefit obligation was 9.0% for fiscal 2018, declining to 4.5% by 2026 and subsequent years for all retirees. Assumed healthcare cost trend rates can have a significant effect on the amounts reported for the healthcare plans. An increase or decrease of a one-percentage point change in the assumed healthcare cost trend rates would have less than $1 impact on the accumulated postretirement benefit obligation as of March 31, 2017 and net periodic postretirement (benefit) cost for fiscal year 2017. The following are expected cash flows for CSRA’s OPEB plans: Employer Contributions 2018 $ 1 Employer Benefit Payments 2018 $ 7 2019 6 2020 6 2021 6 2022 6 2023-2026 31 Multi-employer OPEB Plans During the fiscal year 2017, CSRA did not have any multi-employer OPEB plans. CSRA’s share of total service cost incurred by the multi-employer OPEB plans for the fiscal years April 1, 2016 and April 3, 2015 were $0.1 and $0.3 , respectively. The contribution for the fiscal year ended April 1, 2016 was $0.7 . Pension and OPEB Plan Assets Pension and OPEB plan assets of both CSRA and its former Parent are held in a single trust. These assets include separate accounts, commingled funds and mutual funds. The plan assets for the single employer plans have been allocated based on the master trust ownership and are disclosed herein. Investment goals and risk management strategy for plan assets takes into account a number of factors including the time horizon of the pension plans’ obligations. Plan assets are invested in various asset classes that are expected to produce a sufficient level of diversification and a reasonable amount of investment return over the long term. Sufficient liquidity is maintained to meet benefit obligations as they become due. Third-party investment managers are employed to invest assets in both passively indexed and actively managed strategies. Equities are primarily invested in domestic and foreign companies across market capitalizations and industries. Fixed income securities are invested primarily in government treasury, corporate credit, mortgage-backed and asset-backed investments. Alternative investment allocations are included in the pension plans to achieve greater portfolio diversity intended to reduce the overall risk of the plans. Risks include, but are not limited to, longevity risk, inflation risk and the risk of other changes in market conditions that reduce the value of plan assets. Also, a decline in the yield of high quality corporate bonds may adversely affect discount rates resulting in an increase in the pension and other postretirement obligations. These risks, among others, could cause the plans’ funded status to deteriorate, increasing reliance on CSRA or former Parent CSC contributions. Derivatives are permitted although their current use is limited within traditional funds and broadly allowed within alternative funds. They are used in the pension trust traditional fixed income portfolios for duration and interest rate risk management and traditional equity portfolios to gain market exposure. For the pension trust, an allocation range by asset class is developed. The allocation has a significant weighting to equity investments in part due to the relatively long duration of the plans’ obligations. As of April 2016, the plan fiduciaries adopted investment allocation targets for the pension trust of 31% equities, 23% fixed income securities, and 46% alternative investments. Alternatives include risk parity, global tactical asset allocation, hedge fund, and hedge fund-of-fund allocations. An allocation range is established for each asset class and cash equivalents may represent 0% – 10% of the fund. Asset allocations are monitored closely and investment reviews are conducted regularly. CSRA consults with internal and external advisors regarding asset strategy. Plan Asset Valuation Techniques Plan Assets Measured at Fair Value Domestic and global equity separate accounts are categorized as Level 1 and are based on the price of the securities as listed on an open and active exchange on the last trade date. Cash equivalents are primarily short term money market commingled funds that are categorized as Level 2, except for funds that have quoted prices in active markets, which are classified as Level 1. They are valued at cost plus accrued interest which approximates fair value. Alternative investment fund securities are measured at fair value if they are held in a mutual fund or in a separate account structure and actively traded through a recognized exchange. Derivatives are categorized as Level 1 if the securities trade actively on a recognized exchange, as Level 2 if the securities can be valued using observable inputs, or as Level 3 if the securities are valued using significant unobservable inputs. Plan Assets Measured at Net Asset Value (“NAV”) as a Practical Expedient for Fair Value Domestic and global equity commingled funds are pooled assets investing in domestic and global equity securities which are reported using a net asset value. Fixed income commingled funds invest primarily in investment grade corporate bonds and are reported using net asset value. Alternative investments reported using net asset value are commingled or collective account structures that invest in a wide range of assets including equities, fixed income instruments and commodities. Hedge funds include both direct and indirect investments in hedge funds and funds of hedge funds. Within this class of assets there are equity funds, fixed income funds, and multi strategy blended allocation funds. Equity and blended allocation funds invest in U.S common and preferred stocks as well as similar equity securities issued by companies incorporated, listed or domiciled in developed and/or emerging market countries. Fixed income and blended allocation funds include investments in high quality funds and, as well as high yield funds. High quality fixed income and blended allocation funds invest in government securities, investment-grade corporate bonds and mortgage and asset-backed securities. High yield fixed income funds invest in corporate issued bonds which are rated below investment grade by nationally recognized statistical rating organization. Hedge funds and hedge funds of funds managers typically seek to achieve their objectives by allocating capital across a broad array of funds and/or investment managers. The redemption period of hedge funds is generally quarterly and may require up to a 90-day notice. Traditional investments, including commingled or collective fund structures, generally require between zero and five days' notice. The fair value of CSRA’s pension and OPEB plan assets by investment category and the corresponding level within the fair value hierarchy as of March 31, 2017 and April 1, 2016 are as follows: As of March 31, 2017 Level 1 Level 2 Level 3 Total Equity: U.S. domestic stocks $ 117 $ — $ — $ 117 Global/international 51 — — 51 Fixed Income: Fixed income mutual funds 105 — 105 Mortgage and asset-backed securities — 31 — 31 Corporate bonds — 19 — 19 U.S. treasuries — 22 — 22 Non U.S. government — 1 — 1 U.S. government agencies — 1 — 1 Preferred securities — 1 — 1 Alternatives (a) 198 — — 198 Cash and cash equivalents 1 37 — 38 Total plan assets subject to leveling $ 472 $ 112 $ — 584 Plan assets measured at net asset value: Domestic equity commingled funds 249 Global equity commingled funds 254 Fixed income commingled funds 363 Alternatives (a) 407 Hedge funds (b) 554 Other plan assets: Unsettled trade receivables and accrued income 2 Unsettled trade payable and accrued expenses (9 ) Fair value of assets for pension and OPEB plans $ 2,404 (a) Represents institutional funds consisting mainly of equities, bonds, or commodities. (b) Represents investments in diversified fund of hedge funds in which the CSRA pension plans are the sole investor. As of April 1, 2016 Level 1 Level 2 Level 3 Total Equity: U.S. domestic stocks $ 132 $ — $ — $ 132 Global/international 31 — — 31 Fixed Income: Fixed income mutual funds 104 — — 104 Mortgage and asset-backed securities — 42 — 42 Corporate bonds — 27 — 27 U.S. treasuries — 30 — 30 Non U.S. government — 2 — 2 U.S. government agencies — 1 — 1 Alternatives (a) 213 — — 213 Cash and cash equivalents — 88 — 88 Total $ 480 $ 190 $ — 670 Plan assets measured at net asset value: Domestic equity commingled funds 355 Global equity commingled funds 192 Fixed income commingled funds 411 Alternatives (a) 477 Hedge funds (b) 620 Other plan assets: Unsettled trade receivables and accrued income 6 Unsettled trade payable and accrued expenses (70 ) Fair value of assets for pension plans $ 2,661 (a) Represents institutional funds consisting mainly of equities, bonds, or commodities. (b) Represents investments in diversified fund of hedge funds in which the CSRA pension plans are the sole investor. The asset allocation of pension plans as of March 31, 2017 and April 1, 2016, respectively, is as follows: Percentage of Plan Assets as of Year End Asset Category March 31, 2017 April 1, 2016 Equity securities 36 % 27 % Debt securities 29 % 23 % Alternatives 33 % 49 % Cash and other 2 % 1 % Total 100 % 100 % Defined Contribution Plans Certain employees of CSRA participate in CSRA defined contribution plans, as discussed below. CSRA 401(k) Plan The plan allows employees to contribute a portion of their earnings in accordance with specified guidelines. Generally, matching contributions are made once annually in January following the end of the calendar year. In order to receive such contributions, an eligible participant must be employed on December 31 of the plan year. However, if a participant retires from CSRA prior to December 31, the participant will be eligible to receive matching contributions approximately 30 days following separation from service. Matching contributions made by CSRA to participant accounts vest after 1 year of service. The reported expense related to employer matching contributions during the fiscal years 2017, 2016 and 2015 was $21.5 , $22.9 , and $24.3 , respectively. SRA 401(k) Plan CSRA maintains the SRA International, Inc. 401(k) Savings Plan, or the SRA Plan. All regular and full-time employees are generally eligible to participate in the Plan. The Board of Directors can make changes to the matching contribution percentage at any time. The Company’s matching contribution expense related to the SRA Plan for fiscal years 2017 and 2016 was $10.3 and $ 3.3 , respectively. Beginning April 1, 2017, the SRA Plan was merged into the CSRA 401(k) plan. The plan merger is expected to reduce plan administrative costs and will not significantly change the benefits to the SRA Plan participants since the structure of the plans’ were very similar to each other in fiscal year 2017. Deferred Compensation Plan CSRA Deferred Compensation Plan (the “Deferred Compensation Plan”), a deferred compensation plan sponsored by the Company, consists of two separate plans; one for the benefit of key executives and one for the benefit of non-employee directors. Pursuant to the Deferred Compensation Plan, certain management and highly compensated employees are eligible to defer all or a portion of their regular salaries and incentive compensation that exceeds the limitation set forth in Internal Revenue Section 401(a)(17) and all or a portion of their incentive compensation, and non-employee directors are eligible to defer up to 100% of their compensation. As of March 31, 2017, $27.2 of deferred compensation liability was included in Other long-term liabilities and $3.1 was included in Accrued payroll and related costs. As of April 1, 2016, $43.5 of deferred compensation liability was included in Other long-term liabilities and $3.2 was included in Accrued payroll and related costs. As of April 3, 2015, $33.4 of deferred compensation liability was included in Accrued payroll and related costs. CSRA’s deferred compensation expenses related to its employees totaled $1.7 , $1.0 and $2.2 for fiscal year 2017, fiscal year 2016, and fiscal year 2015, respectively. |
Share-Based Compensation Plans
Share-Based Compensation Plans | 12 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation Plans | Share-Based Compensation Plans Employee Incentives Prior to the Spin-Off, CSC maintained various share-based compensation plans at a corporate level and other benefit plans at a subsidiary level. The employees of the Computer Sciences GS Business participated in those programs and a portion of the cost of those plans for the periods prior to the Spin-Off is included in the Combined Financial Statements for periods prior to the Spin-Off. Prior to the Spin-Off, CSC had two stock incentive plans under which CSC issued stock options, RSUs, and PSUs. Some of these awards vested upon separation of CSC and CSRA, some continue to vest in accordance with their original terms, and some converted into a different type of equity award at separation. CSRA had a net receivable from CSC of $1.3 and a net payable to CSC of $6.5 related to the settlement of equity awards -granted to employees prior to Spin-Off as of March 31, 2017 and April 1, 2016 , respectively. On May 31, 2016, CSRA granted stock options, RSUs and PSU awards relating to 1,538,878 shares that vest ratably over 3 years. The closing stock price on the date of the grant used to determine the fair value of the awards was $24.77 per share. During the remainder of fiscal year 2017, CSRA granted stock options, RSU and PSU awards to employees relating to 105,352 shares that vest ratably over a composite term of 3 years. The weighted average closing stock price on the date of the grants used to determine the award fair value of these awards was $31.32 per share. On August 12, 2016, CSRA also granted RSUs to non-employee directors relating to 63,500 shares that vest ratably over 1 year. The closing stock price on the date of the grant used to determine the fair value of the award was $25.94 . CSRA issues authorized but previously unissued shares upon the exercise of stock options, the granting of restricted stock and the settlement of RSUs and PSUs. As of March 31, 2017 , 7,663,307 shares of CSRA common stock were available for the grant of future stock options, RSUs, PSUs or other stock-based incentives to employees of CSRA. Share-Based Compensation Expense CSRA recognized share-based compensation expense for the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Cost of services $ — $ 5 $ 8 Selling, general and administrative expenses 29 5 10 Total $ 29 $ 10 $ 18 Total, net of tax $ 18 $ 7 $ 11 The Company recognized $15.2 of share-based compensation expense during the fiscal year ended March 31, 2017 upon the achievement of certain performance conditions associated with replacement awards issued with the Mergers. The share-based compensation in the table above also includes CSRA’s non-employee director grants which totaled $1.6 for the fiscal year ended March 31, 2017 . In addition, the share-based compensation listed above included CSRA’s share of the former Parent’s corporate and non-employee director grants for the fiscal years ended April 1, 2016 and April 3, 2015 of $4.3 and $9.5 , respectively. CSRA uses the Black-Scholes-Merton model in determining the fair value of options granted. The risk-free interest rate is based on the zero-coupon interest rate of U.S. government-issued Treasury strips with a period commensurate with the expected term of the options. In fiscal years 2017 and 2016, CSRA determined that there was not enough historical information to determine volatility and expected term for options granted during the periods. As such, the expected term was calculated based on a weighted average of expected terms for CSRA and similar entities. Additionally, the expected volatility was computed based on an average of those same entities. For future grants, as additional company specific historical data is gathered, we expect to change the weight of peer company volatility to CSRA historical volatility and to develop our expectations of expected term. CSRA, as a new public company, considered that history and the average dividend yields of similar entities in order to form a reasonable expectation commensurate with the average expected term for options granted of similar entities. CSRA periodically evaluates its significant assumptions used in the fair value calculation and will continue to incorporate appropriate CSRA inputs and assumptions into its valuation model. Forfeitures are recorded on an actual basis in the period in which the forfeitures occur. The weighted-average grant date fair values of stock options granted for the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 was $6.02 , $14.05 and $18.13 per share, respectively. In calculating the compensation expense for its stock incentive plans, the following weighted-average assumptions were used: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Risk-free interest rate 1.38 % 1.67 % 2.03 % Expected volatility 30.62 % 30.62 % 32.94 % Expected term (in years) 4.76 5.63 6.03 Dividend yield 1.6 % 1.56 % 1.50 % During the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 , CSRA’s tax benefit realized for deductions from exercising stock options was $14.1 , $6.3 and $5.6 , respectively. CSRA’s excess tax benefit was $3.9 and $0.6 for the fiscal years ended March 31, 2017 and April 1, 2016, respectively. Stock Options The following table summarizes the vested and unvested stock options and stock option activity: (i) from March 31, 2014 through November, 2015, for CSRA employees with CSC awards before the Spin-Off, and (ii) the resulting, converted CSRA awards after the Spin-Off and activity from November 27, 2015 through March 31, 2017 . The standard vesting schedule for stock options granted subsequent to the Spin-Off is one-third vesting on each of the first, second, and third anniversaries of the grant date. These stock options generally have a contractual term of ten years. Information concerning stock options granted during the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively were as follows: Number of Option Shares (in shares) Weighted Average Exercise Price (per share) Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding as of March 28, 2014 1,320,128 $ 44.15 4.61 $ 21 Granted 181,213 61.11 Exercised (611,595 ) 45.46 Canceled/Forfeited (73,851 ) 41.76 Expired (9,134 ) 44.70 Outstanding as of April 3, 2015 806,761 $ 47.18 6.13 $ 15 Granted 175,680 68.43 Net Transfer 223,090 57.85 Exercised (105,342 ) 35.11 Canceled/Forfeited (18,314 ) 58.43 Expired (2,827 ) 53.62 Outstanding at November 27, 2015, immediately prior to Spin-Off 1,079,048 $ 24.82 7.07 $ 47 Conversion of CSC Plan awards to CSRA Plan awards on November 27, 2015 1,203,316 $ 24.60 Conversion of SRA Plan awards to CSRA Plan awards on November 30, 2015 328,809 15.98 Granted 123,221 27.70 Exercised (25,293 ) 18.86 Canceled/Forfeited (120,951 ) 25.03 Expired (6,555 ) 18.15 Outstanding as of April 1, 2016 1,502,547 $ 23.06 7.01 $ 8 Granted 1,013,118 24.83 Exercised (303,908 ) 19.09 Canceled/Forfeited (147,413 ) 24.81 Expired (67,446 ) 27.31 Outstanding as of March 31, 2017 1,996,898 $ 24.29 7.80 $ 10 Expected to vest in the future as of March 31, 2017 1,333,919 $ 25.10 8.95 $ 6 Exercisable as of March 31, 2017 662,979 $ 22.67 5.49 $ 5 The following table summarizes stock options outstanding at March 31, 2017 : As of March 31, 2017 Options Outstanding Options Exercisable Range of Option Exercise Price (per share) Number Outstanding (in shares) Weighted Average Remaining Contractual Term (in years) Weighted Average Exercise Price (per share) Number Exercisable (in shares) Weighted Average Exercise Price (per share) $11.49 to $15.98 215,998 7.89 $ 15.10 107,486 $ 14.22 $15.99 to $24.77 1,218,287 8.00 23.75 273,048 20.21 $24.78 to $31.49 562,613 7.33 28.99 282,445 28.26 1,996,898 662,979 The intrinsic value of options exercised during the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 , totaled $2.6 , $2.4 and $11 , respectively. The total intrinsic value of stock options is based on the difference between the fair market value of CSRA’s common stock less the applicable exercise price. The grant-date fair value of stock options vested during the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 , totaled $1.7 , $5.6 and $1.0 , respectively. The cash received from stock options exercised during the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 , was $5.3 , $4.0 and $27.3 , respectively. As of March 31, 2017 , unrecognized compensation expense related to unvested stock options totaled $5.5 . This cost is expected to be recognized over a weighted-average period of 1.96 years. Restricted Stock Units RSUs consist of equity awards with the right to receive one share of common stock of CSRA. The fair value of RSUs granted is equal to the closing CSRA share price at the date of the grant. Upon the settlement date, RSUs are settled in shares of CSRA’s common stock and dividend equivalents. If, prior to the vesting of the RSU in full, the employee’s status as a full-time employee is terminated, then the RSU is automatically canceled on the employment termination date and any unvested shares are forfeited. CSRA grants RSUs with service and performance-based vesting terms. Service-based RSUs generally vest over periods of two to three years and are settled for shares of CSRA common stock and dividend equivalents. The performance-based restricted stock units (“PSUs”) generally vest over a period of three years. The number of PSUs that ultimately vest is dependent upon the Company’s achievement of certain specified financial performance criteria over the three -year period. PSU awards are settled for shares of CSRA common stock and dividend equivalents. Compensation expense for PSUs during the performance period is estimated at each reporting date using management's expectation of the probable achievement of the specified performance criteria and is adjusted to the extent the expected achievement changes. In the table below, such awards are reflected at the number of units originally granted. The following table summarizes the unvested restricted stock unit activity: (i) from March 28, 2014 through November 27, 2015, for CSRA employees with CSC awards before the Spin-Off, (ii) the resulting, converted CSRA awards after the Spin-Off, and (iii) and new CSRA award activity through March 31, 2017. Information concerning RSUs (including PSUs) granted during the fiscal years ended March 31, 2017, April 1, 2016 and April 3, 2015 are as follows: Number Weighted of Restricted Average Stock Units Fair Value Outstanding as of March 28, 2014 283,886 $ 38.77 Granted 105,531 61.05 Released/Issued (54,605 ) 36.04 Canceled/Forfeited (45,304 ) 41.43 Outstanding as of April 3, 2015 289,508 $ 46.99 Granted 84,150 67.48 Net transfers 62,554 10.07 Released/Issued (40,692 ) 40.10 Canceled/Forfeited (23,310 ) 45.54 Outstanding at November 27, 2015, immediately prior to Spin-Off 372,210 $ 38.58 Conversion of CSC Plan awards to CSRA Plan awards on November 27, 2015 407,888 $ 29.68 Granted 116,692 28.44 Vested (94,994 ) 24.29 Canceled/Forfeited (53,029 ) 35.96 Outstanding as of April 1, 2016 376,557 $ 29.39 Granted 694,432 25.78 Vested (164,936 ) 26.78 Canceled/Forfeited (48,139 ) 29.75 Outstanding as of March 31, 2017 857,914 $ 26.95 As of March 31, 2017 , total unrecognized compensation expense related to unvested restricted stock units totaled $ 12.9 . This cost is expected to be recognized over a weighted-average period of 1.91 years. As of March 31, 2017 , accrued unpaid dividends related to restricted stock units outstanding as of the date of the Spin-Off totaled $4.2 . |
Stockholders_ Equity and Accumu
Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) | Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) Dividends Declared Under the terms of our Term Loan Facilities, the Company may not pay ordinary cash dividends greater than $75 , in aggregate, during any fiscal year. During fiscal year 2017, the Company declared a total of $0.40 per share in cash dividends to shareholders and had dividends payable of $16.3 on March 31, 2017 . The table below summarizes the dividends declared on CSRA’s common stock during fiscal year 2017. Fiscal Year 2017 Date Declared Dividend per Share Total Amount May 25, 2016 $ 0.10 $ 16 August 10, 2016 0.10 16 December 15, 2016 0.10 16 March 20, 2017 0.10 16 Total (a) $ 0.40 $ 65 (a) The total amount does not equal the sum of the quarterly amounts due to rounding. Stock Repurchase Program On November 30, 2015, the Board authorized a share repurchase program (the “Share Repurchase Program”), pursuant to which CSRA, from time to time, purchases shares of its common stock for an aggregate purchase price not to exceed $400 . The share repurchases may be executed through various means, including, without limitation, open market transactions, and privately negotiated transactions or otherwise and are in compliance with SEC rules, market conditions and applicable federal and state legal requirements. The timing, volume, and nature of share repurchase are at the discretion of management and the Audit Committee, and may be suspended or discontinued at any time. The Share Repurchase Program may be terminated, increased, or decreased by the Board in its discretion at any time. The shares repurchase retired immediately and included in the category of authorized but unissued shares. The excess of purchase price over par value of the common shares is allocated between additional paid-in capital and retained earnings. During fiscal year 2016, CSRA repurchased 1,768,129 shares of common stock through open market purchases for an aggregate consideration of $ 50 , at an average price $ 28.23 per share. During fiscal year 2017, CSRA repurchased 989,319 shares of common stock through open market purchase of an aggregate consideration of approximately $29 , at an average price $29.31 per share, and as of March 31, 2017 remained authorized to repurchase $321 of common stock under the program. Accumulated Other Comprehensive Income (Loss) The following tables show the activity in the components of other comprehensive income (loss), including the respective tax effects, and reclassification adjustments for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively. Accumulated other comprehensive income (loss) was as follows: As of March 31, 2017 Before Tax Amount Tax Impact Increase (Decrease) Net of Tax Amount Foreign currency translation adjustments $ 1 $ (1 ) $ — Unrealized gain (loss) on interest rate swap 30 (12 ) 18 Amortization of prior service credit (13 ) 5 (8 ) Total other comprehensive income $ 18 $ (8 ) $ 10 As of April 1, 2016 Before Tax Amount Tax Impact Increase (Decrease) Net of Tax Amount Foreign currency translation adjustments $ 2 $ — $ 2 Unrealized gain (loss) on interest rate swap (11 ) 4 (7 ) Prior service credit 50 (19 ) 31 Amortization of prior service credit (7 ) 2 (5 ) Total other comprehensive income $ 34 $ (13 ) $ 21 As of April 3, 2015 Before Tax Amount Tax Impact Increase (Decrease) Net of Tax Amount Foreign currency translation adjustments $ (2 ) $ — $ (2 ) Prior service credit 5 (2 ) 3 Amortization of prior service cost (2 ) 1 (1 ) Total other comprehensive income $ 1 $ (1 ) $ — The following table shows the changes in accumulated other comprehensive income (loss) for fiscal years, 2015, 2016, and 2017. Foreign Currency Translation Adjustments Cash Flow Hedge Pension and Other Postretirement Benefit Plans Total Accumulated Other Comprehensive Income (Loss) Balance as of March 28, 2014 $ — $ — $ — $ — Current-period other comprehensive income (loss), net of taxes (2 ) — 3 1 Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests — — (1 ) (1 ) Balance as of April 3, 2015 $ (2 ) $ — $ 2 $ — Current-period other comprehensive income (loss), net of taxes 2 (7 ) — (5 ) Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests — — (5 ) (5 ) Effect of Spin-Off, net of tax — — 31 31 Balance as of April 1, 2016 $ — $ (7 ) $ 28 $ 21 Current-period other comprehensive income (loss), net of taxes — 18 — 18 Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests — — (8 ) (8 ) Balance as of March 31, 2017 $ — $ 11 $ 20 $ 31 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Mar. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Cash payments for interest on indebtedness and cash payments for taxes on income are as follows: Fiscal Years Ended Supplemental cash flow information: March 31, 2017 April 1, 2016 April 3, 2015 Cash paid for income taxes $ 90 $ 91 $ 163 Cash paid for interest 108 48 23 Non-cash investing and financing activities include the following: Fiscal Years Ended Supplemental schedule of non-cash activities March 31, 2017 April 1, 2016 April 3, 2015 Capital expenditures in accounts payable and other liabilities $ 38 $ 25 $ 14 Capital expenditures for capital lease obligations 119 1 10 Deferred tax liability 110 215 (2 ) Non-cash transfers related to Spin-Off — (475 ) — Non-cash transactions related to Mergers — (11 ) — Non-cash equity consideration issued, net of shares held for taxes for SRA Shareholders — (768 ) — Transfers of remaining net parent investment to additional paid-in capital — (608 ) — Non-cash investing activities for the fiscal year ended April 1, 2016 included the non-cash effects of the SRA consideration of $779 . This balance was based on the total shares issued of 25,170,564 . The fair market value of shares was determined based on a volume-weighted average price of $30.95 per CSRA share on November 30, 2015, the first day of CSRA’s regular-way trading on the NYSE. |
Segment and Geographic Informat
Segment and Geographic Information | 12 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment and Geographical Information | Segment and Geographic Information CSRA’s reportable segments are as follows: • Defense and Intelligence—The Defense and Intelligence segment provides services to the DoD, National Security Agency, branches of the Armed Forces and other DoD and Intelligence agencies. • Civil—The Civil segment provides services to various federal agencies within the Department of Homeland Security, Department of Health and Human Services and other federal civil agencies, as well as various state and local government agencies. The following table summarizes the operating results and total assets by reportable segments. Defense and Intelligence Civil Total Segment Corporate (1) Total For fiscal year ending March 31, 2017 Revenues $ 2,250 $ 2,743 $ 4,993 $ — $ 4,993 Segment operating income 268 440 708 — 708 Depreciation and amortization expense 137 104 241 — 241 As of March 31, 2017 Total assets $ 1,989 $ 2,583 $ 4,572 $ 316 $ 4,888 For fiscal year ending April 1, 2016 Revenues $ 2,067 $ 2,183 $ 4,250 $ — $ 4,250 Segment operating income 273 290 563 — 563 Depreciation and amortization expense 108 74 182 — 182 As of April 1, 2016 Total assets $ 1,846 $ 2,790 $ 4,636 $ 210 $ 4,846 For fiscal year ending April 3, 2015 Revenues $ 2,127 $ 1,943 $ 4,070 $ — $ 4,070 Segment operating income 254 292 546 — 546 Depreciation and amortization expense 93 44 137 — 137 As of April 3, 2015 Total assets $ 1,331 $ 830 $ 2,161 $ — $ 2,161 (1) Total assets for the Corporate Segment as of March 31, 2017 consist of the following: (1) $99 of cash, (2) $75 of accounts receivable, (3) $82 of property, plant, and equipment, net, (4) $42 of other current assets; and (5) $18 of other long-term assets. Segment operating income provides useful information to CSRA’s management for assessment of CSRA’s performance and is one of the financial measures utilized to determine executive compensation. A reconciliation of segment operating income to operating income is as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Segment operating income $ 708 $ 563 $ 546 Pension and OPEB plans actuarial (losses) gains, and pension settlement losses 98 (203 ) (8 ) Corporate segment expenses (94 ) (55 ) (81 ) Separation and merger costs (90 ) (118 ) — Operating income $ 622 $ 187 $ 457 Revenue, property and equipment, total assets, and capital expenditures of CSRA are primarily located in the U.S. for all fiscal years presented above. During fiscal year 2017 we were involved on approximately 850 contracts, with no single contract accounting for more than 10% of our total net sales in fiscal year 2017. However, CSRA derives a significant portion of its revenues from departments and agencies of the U.S. government which accounted for 92% , 91% and 91% of CSRA’s total revenues for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively. At March 31, 2017 and April 1, 2016 , approximately 94% and 99% of CSRA’s net accounts receivable were due from the U.S. government. Approximately 45% and 51% , respectively, of our total revenues from the DoD (including all branches of the U.S. military) and Intelligence community and approximately 55% and 40% , respectively, of our total revenues from civilian agencies. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments CSRA has operating leases for the use of certain real estate and equipment. Substantially all operating leases are non-cancelable or cancelable only by the payment of penalties. All lease payments are based on the passage of time but sometimes include payments for insurance, maintenance and property taxes. There are no purchase options on operating leases at terms favorable to market rates. Generally, CSRA’s real estate leases have one or more renewal options. Certain leases of real estate are subject to annual escalations for increases in utilities and property taxes. Rental expense amounted to $82.0 , $70.5 , and $70.2 for the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 , respectively. Minimum fixed rentals required for the next 5 years and thereafter under operating leases in effect at March 31, 2017 , are as follows: Fiscal Year Real Estate Equipment 2018 $ 43 $ 4 2019 39 3 2020 37 1 2021 27 — 2022 19 — Thereafter 76 — Total $ 241 $ 8 In the normal course of business, CSRA may provide certain customers, principally governmental entities, with financial performance guarantees, which are generally backed by stand-by letters of credit or surety bonds. In general, CSRA would only be liable for the amounts of these guarantees in the event that nonperformance by CSRA permits termination of the related contract by the customer. As of March 31, 2017 , CSRA had $20 of outstanding letters of credit and $12 of surety bonds relating to these performance guarantees. CSRA believes it is in compliance with its performance obligations under all service contracts for which there is a financial performance guarantee and the ultimate liability, if any, incurred in connection with these guarantees will not have a material adverse effect on its consolidated results of operations or financial position. The following table summarizes the expiration of CSRA’s financial guarantees and stand-by letters of credit outstanding as of March 31, 2017 : Fiscal Year 2018 Fiscal Year 2019 Fiscal Year 2020 and Thereafter Total Customer purchase commitments $ 35 $ 32 $ 22 $ 89 Stand-by letters of credit 20 — — 20 Surety bonds and other guarantees 12 — — 12 Total $ 67 $ 32 $ 22 $ 121 CSRA generally indemnifies licensees of its proprietary software products against claims brought by third parties alleging infringement of intellectual property rights (including rights in patents with or without geographic limitations, copyrights, trademarks, and trade secrets). CSRA’s indemnification of its licensees relates to costs arising from court awards, negotiated settlements and the related legal and internal costs of those licensees. CSRA maintains the right, at its own costs, to modify or replace software in order to eliminate any infringement. Historically, CSRA has not incurred any significant costs related to licensee software indemnifications. Capitalized lease liabilities represent obligations due under capital leases for the use of computers and other equipment. The gross amount of assets recorded under capital leases was $528 with accumulated amortization of $210 , as of March 31, 2017 , and $427 with accumulated amortization of $186 , as of April 1, 2016 . The future minimum lease payments required to be made under the capital leases as of March 31, 2017 , are as follows: Fiscal Year Amount 2018 $ 79 2019 73 2020 69 2021 64 2022 62 Thereafter 63 Total minimum lease payments 410 Less: Amount representing interest and executory costs (91 ) Less: Amount representing maintenance, taxes, and insurance costs (103 ) Present value of net minimum lease payments 216 Less: Current maturities of capital lease liability (44 ) Noncurrent capital lease liability $ 172 Contingencies CSRA is routinely subject to investigations and reviews relating to compliance with various laws and regulations with respect to its role as a contractor to federal, state and local government customers and in connection with performing services in countries outside of the U.S. Adverse findings in these investigations or reviews can lead to criminal, civil or administrative proceedings and CSRA could face penalties, fines, compensatory damages and suspension or debarment from doing business with governmental agencies. In addition, CSRA could suffer serious reputational harm if allegations of impropriety were made against CSRA. Adverse findings could also have a material adverse effect on CSRA’s business, Consolidated and Combined Financial Statements due to its reliance on government contracts. U.S. government agencies, including the Defense Contract Audit Agency (“DCAA”), Defense Contract Management Agency (“DCMA”), and others, routinely audit and review a contractor’s performance on government contracts, indirect rates and pricing practices, and compliance with applicable contracting and procurement laws, regulations, and standards. These agencies also review the adequacy of the contractor’s compliance with government standards for its business systems including: a contractor’s accounting system, earned value management system, estimating system, materials management and accounting system, property management system and purchasing system. CSRA’s indirect cost audits by the DCAA remain open for fiscal year 2004 and subsequent years for its major Civil agency activities, open for fiscal year 2008 and subsequent years for its major Defense agency activities, and open for fiscal year 2009 and subsequent years for its Intelligence agency activities. For the Defense agency activities, CSRA has Final Indirect Rate Agreements through fiscal year 2007. Although the Computer Science GS business recorded contract revenues subsequent to and including fiscal 2004 based upon an estimate of costs that the Company’s management believes will be approved upon final audit or review, management does not know the outcome of any ongoing or future audits or reviews and adjustments, and if future adjustments exceed these estimates, CSRA’s profitability would be adversely affected. The DCAA has completed audits of SRA’s incurred costs through fiscal year 2011. Since DCAA has not completed its audits of incurred costs for fiscal 2012 and subsequent fiscal years, SRA’s financial results for those years are based upon costs that management believes will be ultimately be approved. If incurred cost audits of SRA result in adverse findings that exceed these estimates, it may have an adverse effect on CSRA’s financial position, results of operations or cash flows. As of March 31, 2017 , CSRA has recorded a liability of $16.5 for its current best estimate of net amounts to be refunded to customers for potential adjustments from such audits or reviews of contract costs. This amount includes potential adjustments related to both pre-separation and post-separation audits and reviews. In connection with the sale of a portion of its Applied Technology Division (“ATD”) in fiscal year 2014, CSC transferred its joint venture interests in Computer Sciences Raytheon (“CSR”) to the purchaser of ATD. CSR is a joint venture formed between CSC and Raytheon Technical Services Company, and its sole business is performance of a single contract for a DoD customer. CSR is the plan sponsor of the CSR pension plan, which was terminated in connection with the termination of the CSR contract with the customer. CSC agreed with the purchaser of ATD that CSC would fund the purchaser’s share of the CSR pension settlement obligation upon plan termination. In addition, the agreement with the purchaser provides that the eventual expected recovery by CSR of such plan termination settlement costs from the customer as provided for under federal Cost Accounting Standards (“CAS”) Section 413, whereby contractors may recover such costs from the government plus interest, will be reimbursed to the business. The CSR pension plan termination process commenced in September 2015. The fair value of CSC’s funding advance obligation net of subsequent expected recoveries was recorded by CSRA prior to CSRA’s separation from CSC. As part of the Spin-Off, CSC and CSRA agreed that CSC would transfer to CSRA all rights, title and interest of the agreement to fund the CSR pension settlement obligation that would otherwise be the responsibility of CSC. Consequently, in September 2016, CSRA made a payment to escrow of $24.7 to fund CSC’s CSR pension settlement obligation. The funds, along with amounts paid by the other joint venture partner, were used by CSR to purchase annuities on behalf of pension plan participants and CSR is seeking reimbursement of these amounts from the customer in accordance with CAS 413. Unless otherwise noted, CSRA is unable to develop a reasonable estimate of possible loss or range of losses associated with the following contingent matters at this time. Maryland Medicaid Enterprise Restructuring Project There are several matters pending between CSC and the State of Maryland (the “State”) related to contracts for work by the Computer Sciences GS business for the State of Maryland’s MERP. These claims include affirmative claims of CSC against the State, a State MERP claim against CSC, and a declaratory judgment action by CSC related to certain discovery requests of the State relating to MERP. If settlement discussions with the State do not resolve these claims, then CSRA will litigate these matters on behalf of CSC and indemnify CSC for the costs of litigation and any other costs or liabilities CSC may incur in the litigation. Recovery by CSC related to these claims will be credited to CSRA. After competitive bidding on March 1, 2012, CSC was awarded the MERP contract by the State to modernize the Medicaid Management Information System (“MMIS”), a database of Medicaid recipients and providers used to manage Medicaid reimbursement claims. The MERP contract was fixed-price for the initial scope, with changes in the work to be reimbursed at specified time and materials rates. Since the date the MERP was awarded, U.S. government-mandated Medicaid IT standards have changed considerably. The State directed CSC to include additional functionality in the design to incorporate new federal mandates and guidance promulgated after the base scope of the contract was finalized. Further, the State declined to approve contract modifications to compensate CSC for the additional work. As a result of the State’s refusal to amend the MERP contract and equitably adjust the compensation to be paid to CSC and, in accordance with prescribed State statutes and regulations, CSC timely filed a certified contract claim in September 2013, which after various procedural developments is now pending before the Maryland Board of Contracts Appeals (the “State Board”). On August 22, 2014, the State unilaterally suspended performance under the contract for 90 days and repeatedly extended the suspension until providing a Notice of Default termination in October 2015. As the result of the suspension and other actions and inactions by the State in performance of its obligations under the contract, in October 2014, CSC filed additional claims under various legal theories, such that currently the total amount claimed by CSC is approximately $80.0 . Between April 2015 and September 2015, CSC and the State were in settlement negotiations to restructure the program and resolve all issues, including CSC’s contract claims. However, on September 14, 2015, the State orally advised CSC that the Governor elected to abandon the contract settlement and restructuring discussions and directed the State to terminate the contract. On October 14, 2015, the State provided CSC with a Notice of Default Termination. When a contract is terminated for default, Maryland procurement regulations allow the State to procure substitute performance, with the contractor being liable for any excess reprocurement costs. Any State claim against CSC arising from a default termination for reprocurement costs would be appealable by CSC to the State Board, as is the default termination itself. The State has not asserted a claim for reprocurement costs and, were it to do so, CSC believes such a claim to be meritless and unsupported by the facts. CSRA challenged the legal basis of the State’s termination for default in a claim for $83.0 filed with the State on December 14, 2015. The claim subsumes the quantum of the prior claims and seeks to convert the termination to a convenience termination. The State has not rendered a decision on the latest claim; however, if it is denied, CSRA will appeal through litigation at the State Board. On December 22, 2015, the State filed a motion to dismiss CSC’s claim with the State Board (the “Motion”). CSC responded to the State’s Motion on January 19, 2016. As set forth in CSC’s brief, the four arguments made in the State’s Motion are based on an incomplete and flawed discussion of the MERP contract and the factual record. On May 6, 2016, the State Board held a hearing on the Motion and decided to take the Motion under advisement. The Board requested that the Department of Health and Mental Hygiene (“DHMH”) move expeditiously to arrive at a final decision on CSC’s other claims and indicated that it would then consolidate the claims going forward and, at that time, might issue a decision on the Motion. When all of the material parts of the MERP contract and record are considered, CSRA believes that CSC is entitled to prevail on all of the issues raised by the Motion. Separately, on July 14, 2016, CSRA received a copy of a claim for breach of contract against CSC filed by the DHMH Contract Monitor with the DHMH Procurement Officer relating to the MERP contract (the “State Claim”). This claim was filed in accordance with Maryland State procedure for claims against State contractors. If the DHMH Procurement Officer takes final action on the claim, then CSC and/or CSRA will be able to appeal to the State Board, if necessary. The State claim seeks damages in excess of $30.0 . Categories of damages include: the full amount paid to CSC, $30.0 ; costs that are incurred by the State in procuring substitute performance; amounts paid by the State to its project management consultant; lost federal reimbursement; and additional costs incurred by the State, including wages, attributable to CSC’s alleged breach. The State claim is based solely on issues raised in the State’s February 14, 2014, and March 14, 2014, cure notices which we believe were fully addressed by CSC within the relevant time frame. No new facts are contained in the State claim. Subsequent to the cure notices, the State unilaterally suspended contract performance for over one year. In July 2016, the Maryland Office of the Attorney General (OAG) issued a request for production of documents to CSC, seeking documents related to the MERP contract, under the ostensible authority of the Maryland False Health Claims Act of 2010 (the “2010 Act”). In August 2016, CSC filed a complaint in the Circuit Court for Anne Arundel County, Maryland seeking a declaratory judgment that the 2010 Act does not apply to the MERP contract and does not authorize the OAG to undertake discovery related thereto. The OAG filed a motion to dismiss the complaint, to which CSC filed a response on January 24, 2017. The parties resumed exploring settlement options on CSC’s and the State’s claim but have not concluded any settlement. Because those discussions have not progressed, litigation has been resumed and CSRA expects to consolidate, on behalf of CSC, all of CSC’s claims against the State with any claims arising from the default termination. Management has evaluated the recoverability of assets related to the contract in light of these developments and concluded that no adjustments to its financial statements are required. Further, we have assessed the legal risk associated with the State claim under ASC 450 and have concluded at this time that no reserve is required. Strauch et al. Fair Labor Standards Act Class Action On July 1, 2014, plaintiffs filed Strauch and Colby v. Computer Sciences Corporation in the U.S. District Court for the District of Connecticut, a putative nationwide class action alleging that CSC violated provisions of the Fair Labor Standards Act (“FLSA”) with respect to system administrators who worked for CSC at any time from June 1, 2011 to the present. Plaintiffs claim that CSC improperly classified its system administrators as exempt from the FLSA and that CSC, therefore, owes them overtime wages and associated relief available under the FLSA and various statutes, including the Connecticut Minimum Wage Act, the California Unfair Competition Law, California Labor Code, California Wage Order No. 4-2001, and the California Private Attorneys General Act. In September 2015, plaintiffs filed an amended complaint, which added claims under Missouri and North Carolina wage and hour laws. The relief sought by Plaintiffs includes unpaid overtime compensation, liquidated damages, pre- and post-judgment interest, damages in the amount of twice the unpaid overtime wages due, and civil penalties. If a liability is ultimately incurred as a result of these claims, CSRA would pay a portion to CSC pursuant to an indemnity obligation. CSC and CSRA both maintain that system administrators have the job duties, responsibilities, and salaries of exempt employees and are properly classified as exempt from overtime compensation requirements and were paid in accordance with the FSLA and applicable state laws. Plaintiffs filed a motion for class certification on June 9, 2015 and on June 3, 2016, the Court entered an order granting the plaintiffs’ motion for conditional certification of the class of system administrators. The conditionally certified FLSA and putative classes include approximately 1,285 system administrators, of whom 407 are employed by CSRA and the remainder employed by CSC. We expect that, following a period during which potential class members may opt-in the action and discovery is completed, the court will determine whether the case will proceed to trial or whether to decertify the class. If the action is decertified, then only individual claims may proceed to trial. CSC filed its opposition to plaintiffs’ motion for class certification on July 15, 2016. Plaintiffs filed their reply brief on August 12, 2016 and the matter is currently under advisement with the Court. CECOM Rapid Response Demand Letter On July 12, 2013, the U.S. Army’s Communications-Electronics Command (“CECOM”) issued a demand letter based upon DCAA audit reports and Forms 1, for reimbursement in the amount of $235.2 in costs that CSC allegedly overcharged under its Rapid Response (“R2”) contract (contract by placing CSC, interdivisional, teammate, and vendor employees in R2 labor categories for which they were not qualified. CSC’s position is that, in most instances, the individuals in question met the contract requirements for their labor categories, and that, in all instances, DCAA and CECOM have ignored the value the government received for CSC’s work. DynCorp In connection with CSC’s acquisition of DynCorp in 2003 and its divestiture of substantially all of that business in two separate transactions in 2005 and in 2013 (collectively, the “DynCorp Divestitures”), CSC assumed and Computer Sciences GS Business will retain various environmental indemnities of DynCorp and its former subsidiaries arising from environmental representations and warranties in the relevant transaction documents. As part of the DynCorp Divestitures, CSC also assumed and CSRA will also retain indemnities for certain other litigation against DynCorp. CSRA does not anticipate any material adverse effect on its financial position, results of operations and cash flows from these indemnities. Southwest Asia Employment Contract Litigation Rishell v. CSC , a single plaintiff lawsuit, was filed in February 2013 in Florida (“Rishell”). In April 2013, a second lawsuit, Rhodes v. CSC, with five plaintiffs was filed in Mississippi (“Rhodes”). Each case involves a claim that the plaintiffs, who were employees working as civilian government contractors in Southwest Asia, were hourly employees of CSC who were entitled to receive overtime wages rather than salaried employees. The cases were consolidated before the United States District Court for the Eastern District of Virginia in 2014. Summary judgment was granted in favor of the plaintiffs in each case. On May 2, 2016, the U.S. Court of Appeals for the Fourth Circuit ruled against CSC in an appeal of these two consolidated cases. In addition, on remand, the District court awarded the plaintiff’s attorneys’ fees. The Company is contractually obligated to indemnify CSC for any losses under these cases pursuant to the terms of the Master Separation and Distribution Agreement between CSRA and CSC. CSRA, pursuant to its indemnification agreement with CSC, paid plaintiffs on CSC’s behalf the amount of the unpaid wages awarded in the judgment. However, CSC has appealed the award of attorneys’ fees and established a reserve for the amount of the fees that the Company would be required to indemnify CSC, if the appeal is unsuccessful. In addition to the two consolidated cases that were the subject of the Fourth Circuit’s opinion, there is a similar case involving approximately 90 individuals pending before a federal court in Louisiana for which CSRA would be obligated to indemnify CSC. Plaintiffs in that case similarly claim that they were hourly rather than salaried employees, and thus are entitled to overtime for time worked in excess of 40 hours per week. It is reasonably possible that the trial courts considering the case will adjudicate judgments against CSC awarding damages, although these plaintiffs’ claims will be adjudicated based on their respective merits and the applicable law (including defenses available to CSC), which varies from plaintiff to plaintiff. As of March 31, 2017, the range of possible losses for this case for which the Company would be required to indemnify CSC is between $1.3 and $8.5 . Other Matters CSRA accrues a liability when management believes that it is both probable that a liability has been incurred and the amount of loss can be reasonably estimated under ASC 450. CSRA believes it has appropriately recognized liabilities for any such matters. In addition to the matters noted above, CSRA is currently party to a number of disputes which involve or may involve litigation. Regarding other matters that may involve actual or threatened disputes or litigation, CSRA, in accordance with the applicable reporting requirements, provides disclosure of such matters for which the likelihood of material loss is reasonably possible. CSRA assessed reasonably possible losses for all other such pending legal or other proceedings in the aggregate and concluded that the range of potential loss is not material. CSRA also considered the requirements regarding estimates used in the disclosure of contingencies under ASC Subtopic 275-10, Risks and Uncertainties. Based on that guidance, CSRA determined that supplemental accrual and disclosure was not required for a change in estimate that involves contingencies because CSRA determined that it was not reasonably possible that a change in estimate will occur in the near term. CSRA reviews contingencies during each interim period and adjusts its accruals to reflect the impact of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular matter. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Dividend Declared On May 18, 2017, CSRA announced that its Board of Directors had declared a quarterly cash dividend of $0.10 per share, payable on July 12, 2017 to CSRA stockholders of record at the close of business on June 15, 2017. Acquisition On May 22, 2017, the Company executed an agreement for the acquisition of NES Associates, LLC (“NES”) for approximately $105 million in cash, subject to closing adjustments. NES is a provider of IT services to the U.S. government. The transaction is expected to close in the first half of fiscal year 2018, subject to regulatory approvals and the conditions and terms of the agreement. |
SUPPLEMENTARY DATA - SELECTED Q
SUPPLEMENTARY DATA - SELECTED QUARTERLY UNAUDITED FINANCIAL DATA | 12 Months Ended |
Mar. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
SUPPLEMENTARY DATA - SELECTED QUARTERLY UNAUDITED FINANCIAL DATA | Fiscal Year 2017 (Dollars in millions, except per share data) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Revenues $ 1,254 $ 1,263 $ 1,222 $ 1,254 Costs of services (excludes depreciation and amortization and restructuring costs) 991 983 866 990 Income before income taxes 106 124 204 61 Net income 68 80 128 40 Net income attributable to CSRA common stockholders 65 76 126 37 Earnings per common share (a) : Basic $ 0.40 $ 0.46 $ 0.77 $ 0.23 Diluted $ 0.39 $ 0.46 $ 0.76 $ 0.22 Fiscal Year 2016 (Dollars in millions, except per share data) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Revenues $ 959 $ 969 $ 1,032 $ 1,290 Costs of services (excludes depreciation and amortization and restructuring costs) 775 757 817 1,227 Income before income taxes 109 88 58 (107 ) Net income 67 53 51 (68 ) Net income attributable to CSRA common stockholders 63 48 48 (72 ) Earnings (loss) per common share (a) : Basic $ 0.45 $ 0.35 $ 0.30 $ (0.44 ) Diluted $ 0.45 $ 0.35 $ 0.29 $ (0.44 ) (a) On the Distribution Date, CSRA had 139,128,158 common shares outstanding. The calculation of both basic and diluted earnings per share for the first and second quarter of fiscal year 2016 utilize the Distribution Date common shares because at that time, CSRA did not operate as a separate, stand-alone entity, and no equity-based awards were outstanding prior to the Distribution Date. Additionally, the calculation of both basic and diluted earnings per share for the third and fourth quarter of fiscal year 2016 utilized the Distribution Date to period end weighted average shares, which includes the issuance of CSRA common stock in connection with the Mergers. |
Basis of Presentation and Sum31
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Principles of Consolidation and Combination | Basis of Presentation and Principles of Consolidation and Combination The accompanying Consolidated and Combined Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). The Spin-Off and the Mergers were not consummated until November 27, 2015 and November 30, 2015, respectively. Accordingly, the accompanying audited financial statements are presented as described below. The period prior to the Spin-Off includes: • the Combined Financial Statements for the year ended April 3, 2015, which includes a full year of the Computer Sciences GS Business results; and • the Combined Financial Statements for the period of April 4, 2015 to November 27, 2015, which includes the operating results of the Computer Sciences GS Business. The period subsequent to the Spin-Off includes: • the Consolidated Financial Statements for the periods of: (a) November 28, 2015 to April 1, 2016, and (b) April 2, 2016 to March 31, 2017, which include the consolidated operating results of CSRA including the activity and operating results of SRA subsequent to the Mergers. Prior to the Spin-Off, the Company consisted of the business of CSC’s North American Public Sector segment and did not operate as a separate, stand-alone entity; rather, it operated as part of CSC prior to the Spin-Off and its financial position and the related results of operations, cash flows and changes in parent equity were reported in CSC’s Consolidated Financial Statements. After the Spin-Off, CSC does not have any beneficial ownership of CSRA or the Computer Sciences GS Business. The Consolidated and Combined Financial Statements and notes of CSRA include CSRA, its subsidiaries, and the joint ventures and partnerships over which CSRA (or the Computer Sciences GS Business for periods prior to the Spin-Off) has a controlling financial interest. CSRA (or the Computer Sciences GS Business for periods prior to the Spin-Off) uses the equity method to account for investments in entities that it does not control if it is otherwise able to exert significant influence over the entities’ operating and financial policies. The financial statements for the period prior to the Spin-Off are prepared on a carved-out and combined basis from the financial statements of CSC. Such carved-out and combined amounts were determined using the historical results of operations and carrying amounts of the assets and liabilities transferred to the Computer Sciences GS Business. CSC’s cash was not assigned to CSRA or the Computer Sciences GS Business for any of the periods presented prior to the Spin-Off because those cash balances are not directly attributable to the Computer Sciences GS Business or CSRA. All intercompany transactions of CSRA have been eliminated in consolidation and combination. CSRA reports its results based on a fiscal year convention that comprises four thirteen-week quarters. Every fifth year includes an additional week in the first quarter to prevent the fiscal year from moving from an approximate end of March date. For accounting purposes, the Consolidated and Combined Financial Statements for fiscal year 2016 reflect the financial results of SRA from the date of the Mergers to March 31, 2016 consolidated with the Computer Sciences GS Business for the year ended April 1, 2016. The CEO of CSC served as a member of the board of directors of the Company until August 2016. Consequently, transactions between CSRA and CSC or the Computer Sciences GS Business and other businesses of CSC were reflected as related-party transactions pursuant to the disclosure requirements of ASC 850, Related Party Disclosures , through August 2016; however, CSC was not considered as a related party of the Company after the second quarter of fiscal year 2017. For fiscal years 2016 and 2015, there was $5 and $8 of related party revenue and $5 and $8 of related party expenses, respectively, with CSC. For additional information about the allocation of expenses from CSC prior to the Spin-Off and certain continuing responsibilities between the Company and CSC, see Note 2 — Corporate Allocations and Transition Agreements. For periods prior to the Spin-Off, the Combined Financial Statements include all revenues and costs directly attributable to the Computer Sciences GS Business and an allocation of expenses related to certain CSC corporate functions including, but not limited to, senior management, legal, human resources, finance, IT and other shared services. These expenses had been allocated to the Computer Sciences GS Business based on direct usage or benefit where identifiable, with the remainder allocated on a pro rata basis of revenues, headcount, square footage, number of transactions or other measures. The management of CSRA considered these allocations to be a reasonable reflection of the utilization of services by, or benefit provided to, it. However, the allocations may not be indicative of the actual expense that would have been incurred had the Computer Sciences GS Business operated as an independent, stand-alone entity for the periods presented. Prior to the Spin-Off, CSC maintained various benefit and stock-based compensation plans at a corporate level and other benefit plans at a subsidiary level. The employees of the Computer Sciences GS Business participated in those plans and a portion of the cost of those plans for the periods prior to the Spin-Off is included in the Combined Financial Statements for periods prior to the Spin-Off. However, the Combined Balance Sheets do not include any net benefit plan obligations unless the benefit plan covered only the Computer Sciences GS Business's active, retired and other former employees or any expense related to share-based compensation plans. See Note 16 — Pension and Other Postretirement Benefit Plans and Note 17 — Share-Based Compensation Plans for a further description of the accounting for our benefit plans and share-based compensation, respectively. For the fiscal year ended April 1, 2016, CSRA changed the method used to estimate the interest and service cost components of net periodic cost for its post-retirement benefit plans. See Note 16 — Pension and Other Postretirement Benefit Plans for a discussion of this change. For periods presented that are prior to the Spin-Off, the Consolidated and Combined Financial Statements include current and deferred income tax expense that has been determined for the legacy Computer Sciences GS Business as if it were a separate taxpayer (i.e., following the separate return methodology). |
Reclassification | Reclassification Certain amounts reported in CSRA’s prior year financial statements have been reclassified to conform to the current year presentation. These reclassifications have no effect on our net income or financial position as previously reported |
Use of Estimates | Use of Estimates GAAP requires management to make estimates and assumptions that affect certain amounts reported in the Consolidated and Combined Financial Statements and accompanying notes. These estimates are based on management’s best knowledge of historical experience, current events and various other assumptions that management considers reasonable under the circumstances. Actual results could differ from those estimates. Amounts subject to significant judgment and/or estimates include, but are not limited to, determining the fair value of assets acquired and liabilities assumed, costs to complete fixed-price contracts, cash flows used in the evaluation of impairment of goodwill and other long-lived intangible assets, certain deferred costs, collectability of receivables, reserves for tax benefits and valuation allowances on deferred tax assets, loss accruals for litigation, and inputs used for computing stock-based compensation and pension plan assets and liabilities |
Revenue Recognition | Revenue Recognition Substantially all of CSRA’s revenue is derived from contracts with departments and agencies of the U.S. government, as well as other state and local government agencies. CSRA generates its revenue from the following types of contractual arrangements: time and materials contracts, firm-fixed-price contracts and cost-reimbursable-plus-fee contracts. Generally, revenues are recognized when persuasive evidence of an arrangement exists, services or products have been provided to the customer, the sales price is fixed or determinable and collectability is reasonably assured. Revenue on cost-reimbursable-plus-fee contracts is recognized as services are performed, generally based on the allowable costs incurred during the period plus any recognizable earned fee. CSRA considers fixed fees under cost-reimbursable-plus-fee contracts to be earned in proportion to the allowable costs incurred in performance of the contract. For cost-reimbursable-plus-fee contracts that include performance-based fee incentives, which are principally award fee arrangements, CSRA recognizes income when such fees are probable and estimable. Estimates of the total fee to be earned are made based on contract provisions, prior experience with similar contracts or customers, and management’s evaluation of the performance on such contracts. Contract costs, including indirect expenses, are subject to audit by the Defense Contract Audit Agency (“DCAA”) and, accordingly, are subject to possible cost disallowances. Executive compensation that CSRA determines to be allowable for cost reimbursement based on management’s estimates is recognized as revenue, net of reserves. Management’s estimates in this regard are based on a number of factors that may change over time, including executive compensation survey data, CSRA’s and other government contractors’ experiences with the DCAA audit practices in this industry and relevant decisions of courts and boards of contract appeals. Contract accounting requires significant judgment relative to assessing risks, estimating contract revenue and costs, and making assumptions for schedule and technical issues. Due to the size and nature of many of CSRA’s contracts, developing total revenue and cost at completion estimates requires the use of significant judgment. Contract costs include direct labor and billable expenses, an allocation of allowable indirect costs, and warranty obligations. Billable expenses are comprised of subcontracting costs and other “out-of-pocket” costs that often include, but are not limited to, travel-related costs and telecommunications charges. CSRA recognizes revenue and billable expenses from these transactions on a gross basis because it is the primary obligor on contracts with customers. The contracts that required estimates-at-completion (“EACs”) using the percentage-of-completion method were approximately 39.1% , 43.4% and 42.3% of CSRA’s revenues for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively. Certain contracts that require EACs using the percentage-of-completion method are regularly reviewed by CSRA regarding project profitability and underlying estimates. CSRA prepares EACs for its contracts that include an estimated contract operating margin based initially on estimated contract sales and cost. Revisions to EACs are reflected in results of operations as a change in accounting estimate in the period in which the facts that give rise to the revision become known by management. Since contract costs are typically incurred over a period of several years, estimation of these costs requires the use of judgment. Factors considered in estimating the cost of the work to be completed include the availability, productivity and cost of labor, the nature and complexity of work to be performed, the effect of change orders, availability and cost of materials, the effect of any delays in performance, and the level of indirect cost allocations. Provisions for estimated losses at completion, if any, are recognized in the period in which the loss becomes evident. The provision includes estimated costs in excess of estimated revenue and any profit margin previously recognized. Amounts billed and collected but not yet earned as revenues under certain types of contracts are deferred. Contract costs incurred for U.S. government contracts, including indirect costs, are subject to audit and adjustment through negotiations between CSRA and government representatives. Further, as contracts are performed, change orders can be a regular occurrence and may be unpriced until negotiated with the customer. Unpriced change orders are included in estimated contract sales when they are probable of recovery in an amount at least equal to the cost. Amounts representing claims (including change orders unapproved as to both scope and price) and requests for equitable adjustment are included in estimated contract revenues when they are reliably estimable and realization is probable. CSRA’s U.S. government contracts generally contain Federal Acquisition Regulation (“FAR”) provisions that enable the customer to terminate a contract for default, or for the convenience of the government. If a contract is terminated for default, CSRA may not be entitled to recover any of its costs on partially completed work and may be liable to the government for re-procurement costs of acquiring similar products or services from another contractor and for certain other damages. Termination of a contract for the convenience of the government may occur when the government concludes it is in the best interests of the government that the contract be terminated. Under a termination for convenience, the contractor is typically entitled to be paid in accordance with the contract’s terms for costs incurred prior to the effective date of termination, plus a reasonable profit and settlement expenses. As of March 31, 2017, April 1, 2016, and April 3, 2015, CSRA did not have any contract terminations in process that would have a material effect on the consolidated and combined financial position, results of operations or cash flows. Revenue on time-and-materials contracts is recognized as hours are worked based on contractual billing rates as services are provided, plus the cost of any allowable material costs and out-of-pocket expenses. Revenue on firm-fixed-price contracts is primarily recognized using the percentage-of-completion method based on actual costs incurred relative to total estimated costs for the contract. These estimated costs are updated during the term of the contract and may result in revision by CSRA of recognized revenue and estimated costs in the period in which the changes in estimates are identified. Significant adjustments on a single contract could have a material effect on the Company's Consolidated and Combined Financial Statements. Where such adjustments occur, we generally disclose the nature, underlying conditions and financial impact of the adjustments. No discrete event or adjustments to an individual contract were material to the accompanying Consolidated and Combined Financial Statements for each of the three fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 . |
Property and Equipment and Intangibles | Property and Equipment and Intangibles CSRA’s depreciation and amortization policies are as follows: Useful Life (in years) Property and equipment: Buildings Up to 40 Computers and related equipment 3 to 5 Furniture and other equipment 5 to 10 Leasehold improvements Shorter of lease term or useful life Other leased assets Greater of lease term or useful life Intangibles: Internal use software 2 to 7 External use software 2 to 7 Customer related intangibles Expected customer service life Other intangible assets 3 to 8 The cost of property and equipment is depreciated using predominantly the straight-line method. Depreciation commences when the specific asset is complete, installed and ready for normal use. Acquired contract-related and customer-related intangible assets are amortized in proportion to estimated undiscounted cash flows over the estimated useful life of the asset or on a straight-line basis if cash flows cannot be reliably estimated. CSRA capitalizes costs incurred to develop commercial software products to be sold, leased or otherwise marketed after establishing technological feasibility until such time that the software products are available for general release to customers. Costs incurred to establish technological feasibility are expensed as incurred. Enhancements to software products are capitalized where such enhancements extend the life or significantly expand the marketability of the products. Amortization of capitalized software development costs is determined separately for each software product. Annual amortization expense is calculated based on the greater of the ratio of current gross revenues for each product to the total of current and anticipated future gross revenues for the product or the straight-line amortization method over the estimated economic life of the product. Unamortized capitalized software costs associated with commercial software products are regularly evaluated for impairment on a product-by-product basis by a comparison of the unamortized balance to the product’s net realizable value. The net realizable value is the estimated future gross revenues from that product reduced by the related estimated future costs. When the unamortized balance exceeds the net realizable value, the unamortized balance is written down to the net realizable value and an impairment charge is recorded. CSRA capitalizes costs incurred to develop internal-use computer software during the application development stage. Costs related to preliminary project activities and post-implementation activities are expensed as incurred. Internal and external costs incurred in connection with development of upgrades or enhancements that result in additional functionality are also capitalized. Capitalized costs associated with internal-use software are amortized on a straight-line basis over the estimated useful life of the software. Purchased software is capitalized and amortized over the estimated useful life of the software. Internal-use software assets are evaluated for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets |
Pension and Other Benefit Plans | Pension and Other Benefit Plans The employees of CSRA and its subsidiaries are participants in employer-sponsor defined benefit and defined contribution plans. CSRA’s defined benefit plans included both pension and other post-retirement benefit plans. CSRA recognizes net actuarial gains and losses and the changes in fair value of plan assets in earnings at the time of plan remeasurement, annually during the fourth quarter of each year, or if there is an interim remeasurement event, as a component of net periodic benefit or cost. CSRA utilizes actuarial methods to measure the benefit obligations and net periodic cost or income for its pension and other post-retirement benefit plans. Inherent in the application of these actuarial methods are key assumptions, including, but not limited to, discount rates, expected long-term rates of return on plan assets, mortality rates, rates of compensation increases, and medical cost trend rates. CSRA evaluates these assumptions annually and updates assumptions as necessary. The fair value of pension assets is determined based on the prevailing market prices or estimated fair value of investments when quoted prices are not available. The service and interest costs components of periodic cost or income are estimated using a full yield curve approach by applying the specific spot rates along the yield curve to the relevant projected cash flow |
Share-Based Compensation | Share-Based Compensation CSRA provides share-based compensation to certain employees and non-employee Board of Director members. All share-based payment awards, which include stock options, restricted stock units (“RSUs”) and performance based restricted stock units (“PSUs”), are classified as equity instruments. CSRA recognizes compensation expense based on each award’s grant-date fair value, net of estimated forfeitures. The cost of share-based compensation is equal to the fair value of the awards issued and is recognized over the periods the services are rendered |
Acquisition Accounting and Goodwill | Acquisition Accounting and Goodwill When CSRA acquires a controlling financial interest through a business combination, CSRA uses the acquisition method of accounting to allocate the purchase consideration to the assets acquired and liabilities assumed, which are recorded at fair value. Any excess of purchase consideration over the fair value of the assets acquired and liabilities assumed is recognized as goodwill. Acquisition-related costs are recognized separately from the business combination and are expensed as incurred. The results of operations of acquired businesses are included in the Consolidated and Combined Financial Statements from the acquisition date. The goodwill impairment test initially involves the assessment of qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. CSRA tests goodwill for impairment on an annual basis, as of the first day of the second fiscal quarter, and between annual tests if circumstances change, or if an event occurs, that would more likely than not reduce the fair value of a reporting unit below its carrying amount. A significant amount of judgment is involved in determining whether an event indicating impairment has occurred between annual testing dates. Such indicators include the loss of significant business, significant reductions in U.S. government appropriations or other significant adverse changes in industry or market conditions. |
Fair Value Measurements | Fair Value Measurements Fair value is the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between marketplace participants. The accounting guidance for fair value measurements establishes a three level fair value hierarchy that prioritizes the inputs used in measuring fair value as follows: Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 — Quoted prices for similar assets or liabilities or quoted market prices for identical or similar assets in markets that are not active. Level 3 — Valuations derived from valuation techniques in which one or more significant inputs are observable. The assets and liabilities which are valued using the fair value measurement guidance, on a recurring basis, include the Company’s pension assets and derivative instruments consisting of interest rate swap contracts and total return swaps. Most pension assets are valued using model based pricing methods that use observable market data and these inputs are considered Level 2 inputs. The fair value of interest rate swaps is estimated based on valuation models that use observable interest rate yield curves as inputs, which are considered Level 2 inputs. Total return swaps are settled on the last day of every fiscal month. Therefore, the value of any swaps outstanding as of any balance sheet date is not material. No significant assets or liabilities are measured at fair value on a recurring basis using significant unobservable (Level 3) inputs. Certain assets and liabilities are measured at fair value on a nonrecurring basis. These include assets and liabilities acquired in a business combination, equity-method investments and long-lived assets, which would be recognized at fair value if deemed to be impaired or if reclassified as assets held for sale. The fair value in these instances would be determined using Level 3 inputs. The Company’s financial instruments include cash, trade receivables, vendor payables, derivative financial instruments, debt, and pension assets. As of March 31, 2017 and April 1, 2016, the carrying value of cash, trade receivables, and vendor payables approximated their fair value. As of March 31, 2017 and April 1, 2016, the fair value of the Company’s debt, based on recent trading activity, approximated carrying value. We determined the fair value of our long-term debt using Level 2 inputs, in which fair value is generally estimated based on quoted market prices for identical or similar instruments. See Note 8—Derivative Instruments and Note 16—Pension and Other Postretirement Benefit Plans for a discussion of the fair value of the Company’s derivative financial instruments and pension assets, respectively |
Receivables | Receivables Receivables consist of amounts billed and currently due from customers, as well as amounts currently due but unbilled. Unbilled receivables include amounts: (1) to be billed in following month in the ordinary course of business, (2) measured under the percentage-of-completion method of accounting, and (3) retained by the customer until the completion of a specified contract, completion of government audit activities or until negotiation of contract modification or claims. Allowances for uncollectable billed and unbilled receivables are estimated based on a combination of write-off history, aging analysis and any specific and known collectability issues |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets CSRA evaluates the carrying value of long-lived assets expected to be held and used when events or circumstances indicate a potential impairment. The carrying value of a long-lived asset group are considered to be impaired when the anticipated undiscounted cash flows from such asset group are separately identifiable and are less than the group’s carrying value. In that case, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset group. Fair value is determined primarily using the present value of expected cash flows based on multiple scenarios that reflect a range of possible outcomes. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less costs to sell |
Income Taxes | Income Taxes Accounting for income taxes requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of temporary differences between the financial statements carrying amounts and the tax bases of assets and liabilities. CSRA maintains valuation allowances when, based on the weight of available evidence, it is more likely than not that all or a portion of a deferred tax asset will not be realized. Changes in valuation allowances from period to period are included in the Company’s tax provision in the period of change. In determining whether a valuation allowance is warranted, the Company takes into account such factors as prior earnings history, expected future earnings, carryback and carryforward periods, and tax strategies that could potentially enhance the likelihood of realization of a deferred tax asset. CSRA recognizes uncertain tax positions in the Consolidated and Combined Financial Statements when it is more likely than not that the tax position will be sustained upon examination. Uncertain tax positions are measured based on the probabilities that the uncertain tax position will be realized upon final settlement |
Cash and Cash Equivalents | Cash and Cash Equivalents CSRA considers investments with an original maturity of three months or less to be cash equivalents |
Net Parent Investment | Net Parent Investment Net Parent Investment on the Consolidated and Combined Statements of Changes in Equity represents the former Parent’s historical investment in CSRA prior to the Spin-Off, and includes accumulated net income and the net effect of transactions with, and cost allocations from, the former Parent. Note 2— Corporate Allocations and Transition Agreements provides additional information regarding the allocation to CSRA of expenses incurred by the former Parent. |
Self-Funded Medical Plans | Self-Funded Medical Plans On January 1, 2017, the Company began self-funding medical insurance for certain groups of its current employees. Self-funded plans include a health maintenance organization, high-deductible, and traditional choice health plans. Further, self-funded plans also include prescription drug and dental benefits. The Company records an incurred but unreported claim liability within accrued expenses and other current liabilities on the consolidated balance sheet for self-funded plans based on an actuarial valuation. The estimate of the incurred but unreported claim liability is based on historical claims and participant data for the medical, dental, and pharmacy related costs. |
Derivatives and Hedging Activities | Derivative and Hedging Activities The Company primarily uses derivative instruments to manage interest rate risk on outstanding debt. The Company also uses a total return swap program to hedge market volatility on the notional investments underlying the Company’s non-qualified deferred compensation plan. The Company designates interest rate swaps as hedges for purposes of hedge accounting, through a match of all the critical terms of the derivative and the hedged interest rate risks, and recognizes all such derivative instruments as either assets or liabilities in the Consolidated Balance Sheets at fair value. These derivative instruments are classified by their short- and long-term components, based on the fair value anticipated timing occurring within one year or beyond one year. The effective portion of changes in the fair value of derivative instruments designated and that qualify for cash flow hedges are reflected as adjustments to other comprehensive income, net of tax, and subsequently reclassified into earnings in the period during which the hedged transactions are recognized in earnings. Any ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. Total return swaps are not designated as hedges for purposes of hedge accounting. These instruments are recorded at their respective fair values and the change in their value is reported in Cost of services and Selling, general and administrative expenses consistent with the changes in value of the non-qualified deferred compensation plan liability with respect to total return swaps. All cash flows associated with the Company's derivative instruments are classified as operating activities in the Consolidated and Combined Statements of Cash Flows. |
Foreign Currency Translation | Foreign Currency Translation The assets and liabilities of foreign subsidiaries are translated from their respective functional currency to U.S. dollars using year end exchange rates, income and expense accounts are translated at the average exchange rates for the reporting period, and equity accounts are translated at historical rates. The resulting translation adjustment is reported as a component of accumulated other comprehensive income (loss). |
Recent Accounting Pronouncements | Recent Accounting Pronouncements New Accounting Standards During the fiscal year ended March 31, 2017 , CSRA adopted the following Accounting Standard Updates (“ASUs”): In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting (Topic 718) (“ASU 2016-09”), which simplifies several aspects of accounting for share-based payment award transactions related to accounting for income taxes, forfeitures, statutory tax withholding requirements, classification of awards as either equity or liabilities, and classification of employee taxes paid on the statements of cash flows when an employer withholds shares for tax-withholding purposes. The standard is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted in any interim or annual period. Upon the implementation of ASU 2016-09, a company may elect to adopt certain simplifications on a prospective or retrospective basis. CSRA early adopted ASU 2016-09, effective for the three months ended July 1, 2016. Certain of the simplification provisions were not applicable to CRSA. The primary impact of adoption was our election to no longer estimate forfeitures, but instead account for the forfeitures as they occur. The change in accounting for forfeitures was applied on a modified retrospective basis; accordingly, a cumulative adjustment of $1.1 was recognized as a reduction of accumulated earnings (deficit) upon adoption. The Company also adopted the simplification provision requiring recognition of excess tax benefits in the income statement as a discrete event and the provision related to the presentation of excess tax benefits and deficiencies within operating activities in the statement of cash flows on a prospective basis. The adoption of this provision was not material to the Company’s financial results for the fiscal year ended March 31, 2017. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230) (“ASU 2016-15”). The FASB’s guidance addresses the concern from Stakeholders that there is diversity in practice among companies in how certain cash receipts and cash payments are presented and classified in the Statement of Cash Flows. ASU 2016-15 addresses eight specific cash flow issues, including: debt prepayment or debt extinguishment costs, cash payments for debt prepayment or debt extinguishment costs, including third-party costs, premiums paid to repurchase debt in an open-market transaction, and other fees paid to lenders that are directly related to the debt prepayment or debt extinguishment, should be classified as cash outflows for financing activities; contingent consideration payments made after a business combination; and separately identifiable cash flows and application of the predominance principle. ASU 2016-15 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, with early adoption permitted. CSRA early adopted this ASU on a retrospective basis in the third quarter of fiscal year 2017. The adoption of this standard did not result in any changes to our consolidated statements of cash flows. In May 2015, the FASB issued ASU No. 2015-07, Fair Value Measurement (Topic 820) (“ASU 2015-07”), which eliminates the requirement for entities to categorize within the fair value hierarchy investments for which fair values are measured at net asset value (“NAV”) per share. This standard also removes the requirement to make certain disclosures for all investments measured at fair value using the NAV per share practical expedient. ASU 2015-07 is effective for public business entities for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. CSRA adopted this standard retrospectively during fiscal year 2017. The adoption of this standard did not result in changes to the Company’s financial position, results of operations or cash flows. However, the Company revised its presentation of a significant portion of the pension and other postretirement benefit plan assets, which are valued using NAV as a practical expedient, that had previously been categorized in Level 2 and Level 3 of the fair value hierarchy prior to the adoption of this standard. Standards Issued But Not Yet Effective The following ASUs were recently issued but have not yet been adopted by CSRA: In May 2014, the Financial Accounting Standards Board (FASB) issued a new standard, ASC Topic 606, Revenue from Contracts with Customers that will change the way we recognize revenue and significantly expand the disclosure requirements for revenue arrangements. On July 9, 2015, the FASB approved a one-year deferral of the effective date, which for CSRA would make the standard effective at the start of fiscal year 2019. The new standard may be adopted either retrospectively or on a modified retrospective basis whereby the new standard would be applied to new contracts and existing contracts with remaining performance obligations as of the effective date, with a cumulative catch-up adjustment recorded to beginning retained earnings at the effective date for existing contracts with remaining performance obligations. The new standard requires us to identify contractual performance obligations and determine whether revenue should be recognized at a point-in-time or over time. This and other requirements could change the method or timing of revenue recognition for our firm-fixed-price and cost-reimbursable-plus-fee contract portfolio. As a result, we are applying an integrated approach to analyzing the standard’s impact on our contract portfolio, including a review of accounting policies and practices, evaluating differences from applying the requirements of the new standard to our contracts and current business practices, and assessing the need for system changes or enhancements. We have not yet completed our review of the impact of the new standard. However, we have identified likely effects related to the treatment of option years as discrete contracts and the grouping of promised goods and services into performance obligations for the purpose of recognizing revenue under the new standard. As changes in estimated profit will be recognized in the period they are identified, rather than prospectively over the remaining contract term, the impact of revisions of contract estimates may be larger and potentially more variable from period to period. Anticipated losses on contracts will continue to be recognized in the period they are identified. We have not yet selected a transition date or method nor have we yet determined the effect of the standard on our Consolidated and Combined Financial Statements and, as a result, our evaluation of the effect of the new standard will extend into future periods. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”) which supersedes the current guidance related to accounting for leases. The guidance requires lessees to recognize most leases on-balance sheet via a right of use asset and lease liability. ASU 2016-02 will also require expanded qualitative and quantitative disclosures designed to give financial statement users additional information on the amount, timing, and uncertainty of cash flows arising from CSRA leases. The standard is required to be adopted using the modified retrospective approach. The standard will be effective for the first interim period within annual periods beginning after December 15, 2019 with early adoption permitted. CSRA is currently evaluating the impact of adoption on CSRA’s Consolidated and Combined Financial Statements. In November 2016, the FASB issued ASU No. 2016-18- Statement of Cash Flows: Restricted Cash (Topic 230) (“ASU 2016-18”). The key requirement of this ASU is that an entity should include in its cash and cash-equivalent balances in the statement of cash flows those amounts that are deemed to be restricted cash and restricted cash equivalents. The ASU does not define the terms "restricted cash" and "restricted cash equivalents." The standard will require the Company to include its restricted cash balance (currently classified within Prepaid and other current assets) in the Cash and cash equivalents balance presented in the statement of cash flows. A reconciliation between the statement of financial position and the statement of cash flows must be disclosed when the statement of financial position includes more than one line item for cash, cash equivalents, restricted cash, and restricted cash equivalents. An entity with a material balance of amounts generally described as restricted cash and restricted cash equivalents must also disclose information about the nature of the restrictions. The standard will be effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. In January 2017, the FASB issued ASU No. 2017-04- Intangibles-Goodwill and Other (Topic 350) Simplifying the Accounting for Goodwill Impairment (“ASU 2017-04”). The main provisions of ASU 2017-04 are to: (a) remove step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation, and (b) eliminate the need to determine the fair value of individual assets and liabilities of a reporting unit to measure goodwill impairment. ASU 2017-04 is effective for all public business entities for fiscal years beginning after December 15, 2019, and early adoption is permitted on or after January 1, 2017. The Company tests goodwill for impairment on an annual basis on the first day of the second fiscal quarter and on an interim basis if an event occurs, or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. The Company plans to early adopt ASU 2017-04 on or before its next annual assessment for the impairment of goodwill. In March 2017, the FASB issued ASU No. 2017-07- Compensation- Retirement Benefits (Topic 715) which changes the presentation of net periodic pension and postretirement costs. The guidance requires that service costs associated with pension and postretirement plans be presented in the same financial statement line item as the compensation cost for the related employees. All other net benefit costs must be reported separately from income from operations (if presented). The standard will be effective for the first interim period within annual periods beginning after December 15, 2017 with early adoption permitted. Since CSRA’s defined benefit pension and postretirement plans (the “Plans”) are frozen, the current components of service cost consist of administrative expenses. CSRA is currently evaluating the classification of administrative expenses upon adoption of this standard. CSRA’s other net benefit costs of the Plans may be presented in a separate line item or included in Other (income) expense on the Company’s statement of operations. Since adoption of this ASU will only change the presentation of retirement benefit costs and will have no impact to the Company's financial results, CSRA intends to early adopt this standard during the first quarter of the fiscal year ending March 30, 2018. Other recently issued ASUs by FASB during fiscal year 2017 and through the filing date of these consolidated and combined financial statements are not expected to have a material effect on these statements. |
Basis of Presentation and Sum32
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Revenues by Customer Type | Total revenues by customer type were: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 U.S. government $ 4,696 $ 3,882 $ 3,720 State and local government 287 357 330 Other 10 11 20 Total revenue $ 4,993 $ 4,250 $ 4,070 |
Schedule of Change in Accounting Estimate | CSRA’s income from continuing operations before income taxes for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 included the following gross favorable and unfavorable adjustments due to changes in estimated profitability on fixed price contracts accounted for under the percentage-of-completion method. Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Gross favorable $ 58 $ 79 $ 98 Gross unfavorable — (34 ) (15 ) (21 ) Total net adjustments, before taxes and noncontrolling interests $ 24 $ 64 $ 77 |
Depreciation and Amortization Useful Lives | CSRA’s depreciation and amortization policies are as follows: Useful Life (in years) Property and equipment: Buildings Up to 40 Computers and related equipment 3 to 5 Furniture and other equipment 5 to 10 Leasehold improvements Shorter of lease term or useful life Other leased assets Greater of lease term or useful life Intangibles: Internal use software 2 to 7 External use software 2 to 7 Customer related intangibles Expected customer service life Other intangible assets 3 to 8 |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Fair Value of Assets Acquired and Liabilities Assumed | The following table reflects the fair values of assets acquired and liabilities assumed as of November 30, 2015 (including adjustments subsequent to closing): Final allocation: Cash, accounts receivable and other current assets $ 302 Property, equipment and other long-term assets 46 Intangibles—customer relationships, backlog and other intangibles assets 891 Accounts payable and other current liabilities (193 ) Other long-term liabilities (26 ) Deferred tax liabilities (263 ) Total identified net assets acquired 757 Goodwill 1,543 Estimated total purchase consideration and liabilities paid at closing $ 2,300 |
Pro Forma Information | Fiscal Year Ended March 31, 2017 CSRA Effects of Spin-Off (a) Effects of Mergers (b) Pro Forma for Spin-Off and Merger Revenue $ 4,993 $ — $ — $ 4,993 Income from continuing operations attributable to CSRA Shareholders 304 38 16 358 Income per common share: Basic $ 1.86 $ 2.19 (a) Income from continuing operations attributable to CSRA Shareholders affected for the Spin-Off excludes $63 of non-recurring costs incurred to give effect to the separation of the Computer Sciences GS Business from CSC. Fiscal Year Ended April 1, 2016 Historical Computer Sciences GS Fiscal Year Ended April 1, 2016 Historical SRA April 1 - March 31, 2015 Effects of Spin-Off (a) Effects of Mergers (b) Pro Forma for Spin-Off and Merger Revenue $ 4,250 $ 950 $ — $ (2 ) $ 5,198 Income (loss) from continuing operations attributable to Parent 87 (40 ) 80 100 227 Income, per common share: Basic $ 0.54 $ 1.40 (a) Income from continuing operations attributable to CSRA Shareholders affected for the Spin-Off excludes $87 of non-recurring costs incurred to give effect to the separation of the Computer Sciences GS Business from CSC. Fiscal Year Ended April 3, 2015 Historical Computer Sciences GS Fiscal Year Ended April 3, 2015 Historical SRA April 1 - March 31, 2015 Effects of Spin-Off Effects of Mergers Pro Forma for Spin-Off and Merger Revenue $ 4,070 $ 1,377 $ — $ (3 ) $ 5,444 Income (loss) from continuing operations attributable to Parent 254 (16 ) (289 ) (1 ) (52 ) Income (loss), per common share: Basic $ 1.82 $ (0.32 ) |
Earnings Per Share ("EPS") (Tab
Earnings Per Share ("EPS") (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Basic earnings per common share (“EPS”) and diluted EPS are calculated as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Net income: From continuing operations $ 316 $ 103 $ 268 Less: discontinued operations — — (2 ) Less: Net income attributable to noncontrolling interests 12 16 14 Net income attributable to CSRA common stockholders $ 304 $ 87 $ 252 Common share information (in thousands): Common shares outstanding for basic EPS 163,345 162,193 139,128 Dilutive effect of stock options and equity awards 1,491 1,392 — Weighted average number of common shares outstanding—diluted (1) 164,836 163,585 139,128 Earnings (loss) per share—basic and diluted: Basic EPS: Continuing operations $ 1.86 $ 0.54 $ 1.82 Discontinued operations — — (0.01 ) Total $ 1.86 $ 0.54 $ 1.81 Diluted EPS: Continuing operations $ 1.84 $ 0.53 $ 1.82 Discontinued operations — — (0.01 ) Total $ 1.84 $ 0.53 $ 1.81 (1) Calculated based on number of days the shares were outstanding after the Spin-off and during which CSRA operated as a separate standalone entity for the fiscal year ended April 1, 2016 . |
Receivables (Tables)
Receivables (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Schedule of Receivables and Allowance for Doubtful Accounts | Receivables consist of the following: As of March 31, 2017 April 1, 2016 Billed trade accounts receivable $ 124 $ 181 Unbilled recoverable amounts under contracts in progress 569 578 Other receivables 79 13 Total accounts receivable 772 772 Less: allowance for doubtful accounts 24 21 Total receivables, net $ 748 $ 751 Changes to the allowance for doubtful accounts for the fiscal years ended March 31, 2017 and April 1, 2016 , respectively, are as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 Beginning balance $ 21 $ 15 Allowance from acquisition for government audit activities 5 6 Write-offs (2 ) — Ending balance $ 24 $ 21 |
Accounts Receivable Sales Activity Under the Existing Facility | The table below provides receivable sales activity, including initial sales of newly eligible receivables, under the Facility during the period presented. Fiscal Year Ended March 31, 2017 April 1, 2016 Sales of billed receivables $ 2,006 $ 1,798 Sales of unbilled receivables 1,149 699 Total sales of receivables $ 3,155 $ 2,497 Collections of sold receivables $ 3,089 $ 2,324 Operating cash flow effect, net of collections and fees from sales 62 170 |
Prepaid Expenses and Other Cu36
Prepaid Expenses and Other Current Assets (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consist of the following: As of March 31, 2017 April 1, 2016 Deferred contract costs $ 18 $ 25 Maintenance 35 41 Rent 4 5 Other 69 52 Total prepaid expenses and other current assets $ 126 $ 123 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consists of the following: As of March 31, 2017 April 1, 2016 Property and equipment—gross: Land, buildings and leasehold improvements $ 237 $ 233 Computers and related equipment 425 505 Furniture and other equipment 610 530 Construction in progress 32 35 1,304 1,303 Less: accumulated depreciation (694 ) (773 ) Property and equipment, net $ 610 $ 530 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following tables summarize the changes in the carrying amount of goodwill, by reportable segment, as of March 31, 2017 , April 1, 2016 and April 3, 2015 . Defense and Intelligence Civil Total Balance as of April 3, 2015 $ 492 $ 311 $ 803 Welkin Divestiture (11 ) — (11 ) Tenacity Solutions Acquisition Working Capital Adjustment (1 ) — (1 ) SRA Acquisition 335 1,206 1,541 Balance as of April 1, 2016 815 1,517 2,332 SRA Purchase Price Adjustment — 3 3 Balance as of March 31, 2017 $ 815 $ 1,520 $ 2,335 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | Purchased and internally developed software (for both external and internal use), net of accumulated amortization, consisted of the following: As of March 31, 2017 April 1, 2016 Purchased software $ 73 $ 40 Internally developed software for external use — 1 Internally developed software for internal use 8 — Total software $ 81 $ 41 A summary of amortizing intangible assets is as follows: As of March 31, 2017 Gross Carrying Value Accumulated Amortization Net Carrying Value Acquisition-related intangibles: Customer-related intangibles $ 948 $ (175 ) $ 773 Backlog 65 (65 ) — Other intangible assets 6 (4 ) 2 Subtotal- acquisition-related intangibles 1,019 (244 ) 775 Software 170 (89 ) 81 Total intangible assets $ 1,189 $ (333 ) $ 856 As of April 1, 2016 Gross Carrying Value Accumulated Amortization Net Carrying Value Acquisition-related intangibles: Customer-related intangibles $ 954 $ (133 ) $ 821 Backlog 65 (22 ) 43 Other intangible assets 52 (46 ) 6 Subtotal- acquisition-related intangibles 1,071 (201 ) 870 Software 136 (95 ) 41 Total intangible assets $ 1,207 $ (296 ) $ 911 |
Schedule of Amortization Expense | Amortization expense related to purchased software, internally developed software for external use and internally developed software for internal use was as follows: Fiscal Years Ended March 31, 2017 April 1, 2016 April 3, 2015 Purchased software $ 16 $ 16 $ 14 Internally developed software for external use 1 1 2 Internally developed software for internal use 1 — — Total amortization of software $ 18 $ 17 $ 16 |
Accrued Payroll and Related C40
Accrued Payroll and Related Costs (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Payroll and Related Costs | Accrued payroll and related costs consisted of the following: As of March 31, 2017 April 1, 2016 Accrued payroll $ 44 $ 54 Accrued vacation 65 65 Deferred compensation 7 3 Accrued incentive compensation 12 17 Payroll taxes 7 10 Other 46 51 Total $ 181 $ 200 Accrued expenses and other current liabilities consisted of the following: As of March 31, 2017 April 1, 2016 Accrued contract costs $ 239 $ 248 Deferred revenue 153 149 Accrued expenses 81 123 Other 14 8 Total $ 487 $ 528 |
Accrued Expenses and Other Cu41
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued payroll and related costs consisted of the following: As of March 31, 2017 April 1, 2016 Accrued payroll $ 44 $ 54 Accrued vacation 65 65 Deferred compensation 7 3 Accrued incentive compensation 12 17 Payroll taxes 7 10 Other 46 51 Total $ 181 $ 200 Accrued expenses and other current liabilities consisted of the following: As of March 31, 2017 April 1, 2016 Accrued contract costs $ 239 $ 248 Deferred revenue 153 149 Accrued expenses 81 123 Other 14 8 Total $ 487 $ 528 |
Other Long-term Liabilities (Ta
Other Long-term Liabilities (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Long-term Liabilities | Other long-term liabilities consisted of the following: As of March 31, 2017 April 1, 2016 Deferred revenue $ 27 $ 27 Pension and other postretirement obligations 461 646 Deferred rent 12 13 Deferred compensation 27 44 Other 55 12 Total $ 582 $ 742 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | The following is a summary of CSRA’s debt as of March 31, 2017 and April 1, 2016 : March 31, 2017 April 1, 2016 Interest Rate (1) Outstanding Balance Interest Rate (1) Outstanding Balance Revolving credit facility, due November 2021 2.18% - 2.20% $ — 1.98% - 2.36% $ 50 Tranche A1 facility, due November 2019 2.06% - 2.41% 570 1.85% - 2.23% 600 Tranche A2 facility, due November 2021 2.18% - 2.53% 1,580 1.98% - 2.36% 1,432 Term Loan B facility, due November 2023 3.28% - 3.75% 466 3.75% 748 Capitalized lease liability 2.35% - 15.09% 216 2.10% - 16.51% 151 Total debt 2,832 2,981 Less: unamortized debt issuance costs (33 ) (46 ) Less: current portion of long-term debt and capitalized lease liability (116 ) (170 ) Total long-term debt, net of current maturities $ 2,683 $ 2,765 (1) Represents the range of the lowest and highest interest rate during the fiscal year for each facility. Capitalized lease rates are the lowest and highest rates among all leases outstanding during the period. |
Schedule of Interest Expense | Interest expense consisted of the following: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Contractual interest -revolving and term loan credit facilities $ 74 $ 27 $ — Amortization of debt issuance costs 10 4 — Interest on derivatives and other 32 22 22 Loss on debt extinguishment 8 — — Total interest expense $ 124 $ 53 $ 22 |
Schedule of Maturities of Long-term Debt | Expected maturities of long-term debt, excluding future minimum capital lease payments for fiscal years subsequent to fiscal year 2017, are as follows: Fiscal Year Amount (1) 2018 $ 72 2019 82 2020 651 2021 82 2022 1,263 Thereafter 466 Total $ 2,616 (1) This does not include voluntary prepayments of borrowings that the Company may expect to make as such voluntary prepayments are not required under the credit agreement. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Sources of Income Before Income Taxes Classified Between Domestic and Foreign Entities | The sources of income from continuing operations before taxes, classified between domestic entities and those entities domiciled outside of the U.S., are as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Domestic entities $ 494 $ 142 $ 416 Entities outside the U.S. 1 7 13 Total $ 495 $ 149 $ 429 |
Components of Income Tax Provision | The components of the provision for income taxes from continuing operations were: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Current: Federal $ 55 $ 79 $ 132 State 16 12 27 Foreign 1 2 5 72 93 164 Deferred: Federal 91 (42 ) (4 ) State 16 (5 ) 1 107 (47 ) (3 ) Total income tax expense $ 179 $ 46 $ 161 |
Federal Statutory Tax Rate to Effective Tax Rate Reconciliation | The major elements contributing to the difference between the U.S. federal statutory tax rate of 35% and the effective tax rate (“ETR”) for continuing operations are as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Statutory rate 35.0 % 35.0 % 35.0 % State income tax, net of federal tax 3.9 3.7 4.2 Noncontrolling interest (0.9 ) (3.7 ) (1.1 ) Dividend paid to Employee Stock Ownership Plan (0.1 ) (9.5 ) 0.0 Transaction Costs — 5.6 0.1 Other items, net (1.7 ) (0.2 ) (0.6 ) Effective tax rate 36.2 % 30.9 % 37.6 % |
Components of Deferred Tax Assets and Liabilities | The significant components of deferred tax assets and liabilities are as follows: As of March 31, 2017 April 1, 2016 Deferred tax assets Employee benefits $ 211 $ 282 Accrued expenses 19 22 Net operating loss and tax credit carry forwards 12 65 Other assets 1 5 Total deferred tax assets 243 374 Valuation allowance (11 ) (9 ) Net deferred tax assets $ 232 $ 365 Deferred tax liabilities Depreciation and amortization $ (392 ) $ (403 ) Contract accounting (47 ) (68 ) Investment basis differences (16 ) (8 ) Deferred project costs (30 ) (33 ) Prepaid expenses (6 ) (16 ) Other Liabilities (13 ) — Total deferred tax liabilities (504 ) (528 ) Net deferred tax liabilities $ (272 ) $ (163 ) |
Summary of Income Tax Contingencies | The following table summarizes the activity related to CSRA’s uncertain tax positions (excluding interest and penalties and related tax attributes): Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Balance, at beginning of year $ 39 $ 24 $ 25 Net increase related to Spin — 7 — Increase related to acquisition — 7 — Gross increases related to prior year tax positions 5 1 1 Gross decreases related to prior year tax positions — — (3 ) Gross increases related to current year tax positions 1 — 1 Balance, at end of year $ 45 $ 39 $ 24 |
Summary of Income Tax Examinations | CSRA is currently under examination in several tax jurisdictions. As a result of the Mergers, the tax years that remain subject to examination in certain of CSRA’s major tax jurisdictions are as follows: Jurisdiction: Tax Years that Remain United States - federal 2008 and forward United States - various states 2008 and forward |
Pension and Other Postretirem45
Pension and Other Postretirement Benefit Plans (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of Changes in Pension Plans, Projected Benefit Obligations and Assets | The following tables provide a reconciliation of the changes in the single employer postretirement plan benefit obligations and assets and a statement of the plans’ funded status. Reconciliation of accumulated As of postretirement benefit obligations March 31, 2017 April 1, 2016 Accumulated benefit obligation, at beginning of year $ 93 $ 15 Transfer in of projected benefit obligation from Spin-Off — 72 Service cost 1 — Interest cost 3 1 Actuarial (gain) loss (4 ) 7 Benefits paid (7 ) (2 ) Accumulated benefit obligation, at end of year $ 86 $ 93 As of Reconciliation of Fair Value of Plan Assets March 31, 2017 April 1, 2016 Fair value of plan assets, at beginning of year $ 76 $ — Transfer in of fair value of plan assets from Spin-Off — 76 Actual return on plan assets 6 1 Company contribution 1 1 Benefits paid (7 ) (2 ) Fair value of plan assets, at end of year $ 76 $ 76 Unfunded status, at end of year $ (10 ) $ (17 ) The following tables provide reconciliation of the annual changes in the employer pension plans’ accumulated benefit obligations and assets and a related status of funding for fiscal year 2017 and 2016. Reconciliation of accumulated pension benefit obligation March 31, 2017 April 1, 2016 Accumulated benefit obligation, at beginning of year $ 3,222 $ 66 Transfer in of projected benefit obligation from Spin-Off — 3,064 Service cost 12 — Interest cost 99 38 Settlement activity (320 ) — Actuarial (gain) loss (59 ) 114 Benefits paid (167 ) (60 ) Accumulated benefit obligation, at end of year $ 2,787 $ 3,222 Reconciliation of fair value of plan assets March 31, 2017 April 1, 2016 Fair value of plan assets, at beginning of year $ 2,585 $ 55 Transfer in of fair value of plan assets from Spin-Off 2,597 Actual return (loss) on plan assets 222 (10 ) Company contributions 8 3 Settlement activity (320 ) — Benefits paid (167 ) (60 ) Fair value of plan assets, at end of year $ 2,328 $ 2,585 Unfunded status, at end of year $ (459 ) $ (637 ) |
Schedule of Amounts Recognized in Balance Sheet | The following table provides the amounts recorded in CSRA’s Consolidated Balance Sheets for the pension plan liabilities: As of March 31, 2017 April 1, 2016 Accrued expenses and other current liabilities $ 8 $ 8 Other long-term liabilities 451 629 Total recorded liability $ 459 $ 637 The following table provides the amounts recorded in the Consolidated Balance Sheets for the postretirement benefit plan liabilities. As of March 31, 2017 April 1, 2016 Current liabilities $ 1 $ 1 Other long-term liabilities 9 16 Total recorded liabilities $ 10 $ 17 |
Schedule of Net Periodic Pension Costs | The components of net periodic postretirement cost (benefit) were as follows: Net periodic pension cost (benefit) Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Service cost $ 12 $ — $ — Interest cost 99 38 3 Expected return on assets (187 ) (71 ) (4 ) Settlement gain (13 ) — — Recognition of actuarial losses (gains) (81 ) 195 10 Net periodic pension cost (benefit) $ (170 ) $ 162 $ 9 |
Schedule of Assumptions Used | The weighted-averages of the assumptions used to determine net periodic postretirement benefit costs were: As of March 31, 2017 April 1, 2016 April 3, 2015 Discount or settlement rates 3.8 % 4.5 % 3.8 % Expected long-term rates of return on assets 7.6 % 7.7 % N/A The following table summarizes the weighted average assumptions used in the determination of CSRA’s postretirement benefit obligations as of March 31, 2017 and April 1, 2016: March 31, 2017 April 1, 2016 Discount rate 4.0 % 3.8 % The weighted-averages of the assumptions used to determine net periodic pension cost were: March 31, 2017 April 1, 2016 April 3, 2015 Discount or settlement rates 4.1 % 4.3 % 4.5 % Expected long-term rates of return on assets 7.8 % 7.9 % 7.6 % Rates on increase in compensation levels N/A 4.3 % N/A The following table summarizes the weighted average assumptions used in the determination of CSRA’s pension benefit obligations as of March 31, 2017 and April 1, 2016. March 31, 2017 April 1, 2016 Discount rate 4.1 % 4.0 % |
Schedule of Defined Benefit Plans Disclosures | Other before tax changes in plan assets and benefit obligations recognized in other comprehensive income during fiscal years 2017, 2016, and 2015 included the following components: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Prior service (credit) cost $ — $ — $ (5 ) Amortization of: Prior service cost (credit) 13 7 2 Total recognized in other comprehensive income $ 13 $ 7 $ (3 ) Information about the expected cash flows for pension plans as of March 31, 2017, is as follows: Employer Contributions: 2018 $ 8 Employer Benefit Payments: 2018 $ 171 2019 171 2020 175 2021 177 2022 178 2023-2026 897 The following are expected cash flows for CSRA’s OPEB plans: Employer Contributions 2018 $ 1 Employer Benefit Payments 2018 $ 7 2019 6 2020 6 2021 6 2022 6 2023-2026 31 |
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets | The components of net periodic postretirement cost related to retirement benefits other than pensions are shown in the table below: Net periodic benefit costs Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Service cost $ 1 $ — $ — Interest cost 3 1 — Expected return on assets (6 ) (2 ) — Amortization of prior service (benefit) costs (13 ) (7 ) (2 ) Recognition of actuarial (gain) loss (5 ) 8 (2 ) Net periodic (benefit) costs $ (20 ) $ — $ (4 ) |
Schedule of Fair Value of Financial Assets for Pension and Postretirement Benefits | The fair value of CSRA’s pension and OPEB plan assets by investment category and the corresponding level within the fair value hierarchy as of March 31, 2017 and April 1, 2016 are as follows: As of March 31, 2017 Level 1 Level 2 Level 3 Total Equity: U.S. domestic stocks $ 117 $ — $ — $ 117 Global/international 51 — — 51 Fixed Income: Fixed income mutual funds 105 — 105 Mortgage and asset-backed securities — 31 — 31 Corporate bonds — 19 — 19 U.S. treasuries — 22 — 22 Non U.S. government — 1 — 1 U.S. government agencies — 1 — 1 Preferred securities — 1 — 1 Alternatives (a) 198 — — 198 Cash and cash equivalents 1 37 — 38 Total plan assets subject to leveling $ 472 $ 112 $ — 584 Plan assets measured at net asset value: Domestic equity commingled funds 249 Global equity commingled funds 254 Fixed income commingled funds 363 Alternatives (a) 407 Hedge funds (b) 554 Other plan assets: Unsettled trade receivables and accrued income 2 Unsettled trade payable and accrued expenses (9 ) Fair value of assets for pension and OPEB plans $ 2,404 (a) Represents institutional funds consisting mainly of equities, bonds, or commodities. (b) Represents investments in diversified fund of hedge funds in which the CSRA pension plans are the sole investor. As of April 1, 2016 Level 1 Level 2 Level 3 Total Equity: U.S. domestic stocks $ 132 $ — $ — $ 132 Global/international 31 — — 31 Fixed Income: Fixed income mutual funds 104 — — 104 Mortgage and asset-backed securities — 42 — 42 Corporate bonds — 27 — 27 U.S. treasuries — 30 — 30 Non U.S. government — 2 — 2 U.S. government agencies — 1 — 1 Alternatives (a) 213 — — 213 Cash and cash equivalents — 88 — 88 Total $ 480 $ 190 $ — 670 Plan assets measured at net asset value: Domestic equity commingled funds 355 Global equity commingled funds 192 Fixed income commingled funds 411 Alternatives (a) 477 Hedge funds (b) 620 Other plan assets: Unsettled trade receivables and accrued income 6 Unsettled trade payable and accrued expenses (70 ) Fair value of assets for pension plans $ 2,661 (a) Represents institutional funds consisting mainly of equities, bonds, or commodities. (b) Represents investments in diversified fund of hedge funds in which the CSRA pension plans are the sole investor. The asset allocation of pension plans as of March 31, 2017 and April 1, 2016, respectively, is as follows: Percentage of Plan Assets as of Year End Asset Category March 31, 2017 April 1, 2016 Equity securities 36 % 27 % Debt securities 29 % 23 % Alternatives 33 % 49 % Cash and other 2 % 1 % Total 100 % 100 % |
Share-Based Compensation Plans
Share-Based Compensation Plans (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | CSRA recognized share-based compensation expense for the fiscal years ended March 31, 2017 , April 1, 2016 and April 3, 2015 as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Cost of services $ — $ 5 $ 8 Selling, general and administrative expenses 29 5 10 Total $ 29 $ 10 $ 18 Total, net of tax $ 18 $ 7 $ 11 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | In calculating the compensation expense for its stock incentive plans, the following weighted-average assumptions were used: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Risk-free interest rate 1.38 % 1.67 % 2.03 % Expected volatility 30.62 % 30.62 % 32.94 % Expected term (in years) 4.76 5.63 6.03 Dividend yield 1.6 % 1.56 % 1.50 % |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award | Information concerning stock options granted during the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively were as follows: Number of Option Shares (in shares) Weighted Average Exercise Price (per share) Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding as of March 28, 2014 1,320,128 $ 44.15 4.61 $ 21 Granted 181,213 61.11 Exercised (611,595 ) 45.46 Canceled/Forfeited (73,851 ) 41.76 Expired (9,134 ) 44.70 Outstanding as of April 3, 2015 806,761 $ 47.18 6.13 $ 15 Granted 175,680 68.43 Net Transfer 223,090 57.85 Exercised (105,342 ) 35.11 Canceled/Forfeited (18,314 ) 58.43 Expired (2,827 ) 53.62 Outstanding at November 27, 2015, immediately prior to Spin-Off 1,079,048 $ 24.82 7.07 $ 47 Conversion of CSC Plan awards to CSRA Plan awards on November 27, 2015 1,203,316 $ 24.60 Conversion of SRA Plan awards to CSRA Plan awards on November 30, 2015 328,809 15.98 Granted 123,221 27.70 Exercised (25,293 ) 18.86 Canceled/Forfeited (120,951 ) 25.03 Expired (6,555 ) 18.15 Outstanding as of April 1, 2016 1,502,547 $ 23.06 7.01 $ 8 Granted 1,013,118 24.83 Exercised (303,908 ) 19.09 Canceled/Forfeited (147,413 ) 24.81 Expired (67,446 ) 27.31 Outstanding as of March 31, 2017 1,996,898 $ 24.29 7.80 $ 10 Expected to vest in the future as of March 31, 2017 1,333,919 $ 25.10 8.95 $ 6 Exercisable as of March 31, 2017 662,979 $ 22.67 5.49 $ 5 Information concerning RSUs (including PSUs) granted during the fiscal years ended March 31, 2017, April 1, 2016 and April 3, 2015 are as follows: Number Weighted of Restricted Average Stock Units Fair Value Outstanding as of March 28, 2014 283,886 $ 38.77 Granted 105,531 61.05 Released/Issued (54,605 ) 36.04 Canceled/Forfeited (45,304 ) 41.43 Outstanding as of April 3, 2015 289,508 $ 46.99 Granted 84,150 67.48 Net transfers 62,554 10.07 Released/Issued (40,692 ) 40.10 Canceled/Forfeited (23,310 ) 45.54 Outstanding at November 27, 2015, immediately prior to Spin-Off 372,210 $ 38.58 Conversion of CSC Plan awards to CSRA Plan awards on November 27, 2015 407,888 $ 29.68 Granted 116,692 28.44 Vested (94,994 ) 24.29 Canceled/Forfeited (53,029 ) 35.96 Outstanding as of April 1, 2016 376,557 $ 29.39 Granted 694,432 25.78 Vested (164,936 ) 26.78 Canceled/Forfeited (48,139 ) 29.75 Outstanding as of March 31, 2017 857,914 $ 26.95 |
Schedule of Share Based Compensation Shares Authorized Under Stock Option Plans by Exercise Price Range | The following table summarizes stock options outstanding at March 31, 2017 : As of March 31, 2017 Options Outstanding Options Exercisable Range of Option Exercise Price (per share) Number Outstanding (in shares) Weighted Average Remaining Contractual Term (in years) Weighted Average Exercise Price (per share) Number Exercisable (in shares) Weighted Average Exercise Price (per share) $11.49 to $15.98 215,998 7.89 $ 15.10 107,486 $ 14.22 $15.99 to $24.77 1,218,287 8.00 23.75 273,048 20.21 $24.78 to $31.49 562,613 7.33 28.99 282,445 28.26 1,996,898 662,979 |
Stockholders_ Equity and Accu47
Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Schedule of Dividends Declared | The table below summarizes the dividends declared on CSRA’s common stock during fiscal year 2017. Fiscal Year 2017 Date Declared Dividend per Share Total Amount May 25, 2016 $ 0.10 $ 16 August 10, 2016 0.10 16 December 15, 2016 0.10 16 March 20, 2017 0.10 16 Total (a) $ 0.40 $ 65 (a) The total amount does not equal the sum of the quarterly amounts due to rounding. |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following tables show the activity in the components of other comprehensive income (loss), including the respective tax effects, and reclassification adjustments for the fiscal years ended March 31, 2017 , April 1, 2016 , and April 3, 2015 , respectively. Accumulated other comprehensive income (loss) was as follows: As of March 31, 2017 Before Tax Amount Tax Impact Increase (Decrease) Net of Tax Amount Foreign currency translation adjustments $ 1 $ (1 ) $ — Unrealized gain (loss) on interest rate swap 30 (12 ) 18 Amortization of prior service credit (13 ) 5 (8 ) Total other comprehensive income $ 18 $ (8 ) $ 10 As of April 1, 2016 Before Tax Amount Tax Impact Increase (Decrease) Net of Tax Amount Foreign currency translation adjustments $ 2 $ — $ 2 Unrealized gain (loss) on interest rate swap (11 ) 4 (7 ) Prior service credit 50 (19 ) 31 Amortization of prior service credit (7 ) 2 (5 ) Total other comprehensive income $ 34 $ (13 ) $ 21 As of April 3, 2015 Before Tax Amount Tax Impact Increase (Decrease) Net of Tax Amount Foreign currency translation adjustments $ (2 ) $ — $ (2 ) Prior service credit 5 (2 ) 3 Amortization of prior service cost (2 ) 1 (1 ) Total other comprehensive income $ 1 $ (1 ) $ — The following table shows the changes in accumulated other comprehensive income (loss) for fiscal years, 2015, 2016, and 2017. Foreign Currency Translation Adjustments Cash Flow Hedge Pension and Other Postretirement Benefit Plans Total Accumulated Other Comprehensive Income (Loss) Balance as of March 28, 2014 $ — $ — $ — $ — Current-period other comprehensive income (loss), net of taxes (2 ) — 3 1 Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests — — (1 ) (1 ) Balance as of April 3, 2015 $ (2 ) $ — $ 2 $ — Current-period other comprehensive income (loss), net of taxes 2 (7 ) — (5 ) Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests — — (5 ) (5 ) Effect of Spin-Off, net of tax — — 31 31 Balance as of April 1, 2016 $ — $ (7 ) $ 28 $ 21 Current-period other comprehensive income (loss), net of taxes — 18 — 18 Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests — — (8 ) (8 ) Balance as of March 31, 2017 $ — $ 11 $ 20 $ 31 |
Supplemental Cash Flow Inform48
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Cash Flow Information | Cash payments for interest on indebtedness and cash payments for taxes on income are as follows: Fiscal Years Ended Supplemental cash flow information: March 31, 2017 April 1, 2016 April 3, 2015 Cash paid for income taxes $ 90 $ 91 $ 163 Cash paid for interest 108 48 23 Non-cash investing and financing activities include the following: Fiscal Years Ended Supplemental schedule of non-cash activities March 31, 2017 April 1, 2016 April 3, 2015 Capital expenditures in accounts payable and other liabilities $ 38 $ 25 $ 14 Capital expenditures for capital lease obligations 119 1 10 Deferred tax liability 110 215 (2 ) Non-cash transfers related to Spin-Off — (475 ) — Non-cash transactions related to Mergers — (11 ) — Non-cash equity consideration issued, net of shares held for taxes for SRA Shareholders — (768 ) — Transfers of remaining net parent investment to additional paid-in capital — (608 ) — |
Segment and Geographic Inform49
Segment and Geographic Information (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Operating Results and Total Assets by Reportable Segments | The following table summarizes the operating results and total assets by reportable segments. Defense and Intelligence Civil Total Segment Corporate (1) Total For fiscal year ending March 31, 2017 Revenues $ 2,250 $ 2,743 $ 4,993 $ — $ 4,993 Segment operating income 268 440 708 — 708 Depreciation and amortization expense 137 104 241 — 241 As of March 31, 2017 Total assets $ 1,989 $ 2,583 $ 4,572 $ 316 $ 4,888 For fiscal year ending April 1, 2016 Revenues $ 2,067 $ 2,183 $ 4,250 $ — $ 4,250 Segment operating income 273 290 563 — 563 Depreciation and amortization expense 108 74 182 — 182 As of April 1, 2016 Total assets $ 1,846 $ 2,790 $ 4,636 $ 210 $ 4,846 For fiscal year ending April 3, 2015 Revenues $ 2,127 $ 1,943 $ 4,070 $ — $ 4,070 Segment operating income 254 292 546 — 546 Depreciation and amortization expense 93 44 137 — 137 As of April 3, 2015 Total assets $ 1,331 $ 830 $ 2,161 $ — $ 2,161 (1) Total assets for the Corporate Segment as of March 31, 2017 consist of the following: (1) $99 of cash, (2) $75 of accounts receivable, (3) $82 of property, plant, and equipment, net, (4) $42 of other current assets; and (5) $18 of other long-term assets. |
Reconciliation of Segment Operating Income to Operating Income | A reconciliation of segment operating income to operating income is as follows: Fiscal Year Ended March 31, 2017 April 1, 2016 April 3, 2015 Segment operating income $ 708 $ 563 $ 546 Pension and OPEB plans actuarial (losses) gains, and pension settlement losses 98 (203 ) (8 ) Corporate segment expenses (94 ) (55 ) (81 ) Separation and merger costs (90 ) (118 ) — Operating income $ 622 $ 187 $ 457 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future minimum operating lease payments | Minimum fixed rentals required for the next 5 years and thereafter under operating leases in effect at March 31, 2017 , are as follows: Fiscal Year Real Estate Equipment 2018 $ 43 $ 4 2019 39 3 2020 37 1 2021 27 — 2022 19 — Thereafter 76 — Total $ 241 $ 8 |
Expiration of financial guarantees | The following table summarizes the expiration of CSRA’s financial guarantees and stand-by letters of credit outstanding as of March 31, 2017 : Fiscal Year 2018 Fiscal Year 2019 Fiscal Year 2020 and Thereafter Total Customer purchase commitments $ 35 $ 32 $ 22 $ 89 Stand-by letters of credit 20 — — 20 Surety bonds and other guarantees 12 — — 12 Total $ 67 $ 32 $ 22 $ 121 |
Schedule of future minimum lease payments for capital leases | The future minimum lease payments required to be made under the capital leases as of March 31, 2017 , are as follows: Fiscal Year Amount 2018 $ 79 2019 73 2020 69 2021 64 2022 62 Thereafter 63 Total minimum lease payments 410 Less: Amount representing interest and executory costs (91 ) Less: Amount representing maintenance, taxes, and insurance costs (103 ) Present value of net minimum lease payments 216 Less: Current maturities of capital lease liability (44 ) Noncurrent capital lease liability $ 172 |
SUPPLEMENTARY DATA - SELECTED51
SUPPLEMENTARY DATA - SELECTED QUARTERLY UNAUDITED FINANCIAL DATA (Tables) | 12 Months Ended |
Mar. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Fiscal Year 2017 (Dollars in millions, except per share data) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Revenues $ 1,254 $ 1,263 $ 1,222 $ 1,254 Costs of services (excludes depreciation and amortization and restructuring costs) 991 983 866 990 Income before income taxes 106 124 204 61 Net income 68 80 128 40 Net income attributable to CSRA common stockholders 65 76 126 37 Earnings per common share (a) : Basic $ 0.40 $ 0.46 $ 0.77 $ 0.23 Diluted $ 0.39 $ 0.46 $ 0.76 $ 0.22 Fiscal Year 2016 (Dollars in millions, except per share data) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Revenues $ 959 $ 969 $ 1,032 $ 1,290 Costs of services (excludes depreciation and amortization and restructuring costs) 775 757 817 1,227 Income before income taxes 109 88 58 (107 ) Net income 67 53 51 (68 ) Net income attributable to CSRA common stockholders 63 48 48 (72 ) Earnings (loss) per common share (a) : Basic $ 0.45 $ 0.35 $ 0.30 $ (0.44 ) Diluted $ 0.45 $ 0.35 $ 0.29 $ (0.44 ) (a) On the Distribution Date, CSRA had 139,128,158 common shares outstanding. The calculation of both basic and diluted earnings per share for the first and second quarter of fiscal year 2016 utilize the Distribution Date common shares because at that time, CSRA did not operate as a separate, stand-alone entity, and no equity-based awards were outstanding prior to the Distribution Date. Additionally, the calculation of both basic and diluted earnings per share for the third and fourth quarter of fiscal year 2016 utilized the Distribution Date to period end weighted average shares, which includes the issuance of CSRA common stock in connection with the Mergers. |
Basis of Presentation and Sum52
Basis of Presentation and Summary of Significant Accounting Policies - Narrative (Details) $ / shares in Units, $ in Millions | Nov. 30, 2015USD ($)subsidiary | Nov. 27, 2015$ / shares | Mar. 31, 2017segment | Apr. 01, 2016USD ($) | Apr. 03, 2015USD ($) | Jul. 01, 2016USD ($) |
Entity Information [Line Items] | ||||||
Number of segments | segment | 2 | |||||
Dividends paid (in dollars per share) | $ / shares | $ 8.25 | |||||
Number of merged subsidiaries | subsidiary | 2 | |||||
Related party revenue | $ 5 | $ 8 | ||||
Related party costs | $ 5 | $ 8 | ||||
Percentage of revenues recognized under percentage of completion method | 39.10% | 43.40% | 42.30% | |||
ASU 2016-09 | New accounting pronouncement, early adoption, effect | Retained earnings | ||||||
Entity Information [Line Items] | ||||||
Cumulative adjustment to reduction of accumulated earnings (deficit) | $ 1.1 | |||||
Merger With SRA International | ||||||
Entity Information [Line Items] | ||||||
Payments for acquisition | $ 390 | |||||
Percent interest acquired | 15.32% | |||||
CSC and CSRA | ||||||
Entity Information [Line Items] | ||||||
Dividends paid (in dollars per share) | $ / shares | 10.50 | |||||
CSC | ||||||
Entity Information [Line Items] | ||||||
Dividends paid (in dollars per share) | $ / shares | $ 2.25 |
Basis of Presentation and Sum53
Basis of Presentation and Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2017 | Dec. 30, 2016 | Sep. 30, 2016 | Jul. 01, 2016 | Apr. 01, 2016 | Jan. 01, 2016 | Oct. 02, 2015 | Jul. 03, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 1,254 | $ 1,222 | $ 1,263 | $ 1,254 | $ 1,290 | $ 1,032 | $ 969 | $ 959 | $ 4,993 | $ 4,250 | $ 4,070 |
U.S. government | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 4,696 | 3,882 | 3,720 | ||||||||
State and local government | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 287 | 357 | 330 | ||||||||
Other | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 10 | $ 11 | $ 20 |
Basis of Presentation and Sum54
Basis of Presentation and Summary of Significant Accounting Policies - Income Before Income Taxes and Noncontrolling Interest Included Gross Favorable and Unfavorable Adjustments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Gross favorable | $ 58 | $ 79 | $ 98 |
Gross unfavorable | (34) | (15) | (21) |
Total net adjustments, before taxes and noncontrolling interests | $ 24 | $ 64 | $ 77 |
Basis of Presentation and Sum55
Basis of Presentation and Summary of Significant Accounting Policies - Depreciation and Amortization (Details) | 12 Months Ended |
Mar. 31, 2017 | |
Customer related intangibles | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life, description | Expected customer service life |
Buildings | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 40 years |
Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life, description | Shorter of lease term or useful life |
Other leased assets | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life, description | Greater of lease term or useful life |
Minimum | Internal use software | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 2 years |
Minimum | External use software | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 2 years |
Minimum | Other intangible assets | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 3 years |
Minimum | Computers and related equipment | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 3 years |
Minimum | Furniture and other equipment | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 5 years |
Maximum | Internal use software | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 7 years |
Maximum | External use software | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 7 years |
Maximum | Other intangible assets | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 8 years |
Maximum | Computers and related equipment | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 5 years |
Maximum | Furniture and other equipment | |
Property, Plant and Equipment [Line Items] | |
Useful life (in years) | 10 years |
Corporate Allocations and Tra56
Corporate Allocations and Transition Agreements (Details) - CSC - Affiliated entity - USD ($) | Dec. 09, 2015 | Feb. 28, 2017 | Mar. 31, 2017 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 |
Allocated expenses | ||||||
Related Party Transaction [Line Items] | ||||||
Allocated expenses | $ 133,400,000 | $ 212,400,000 | ||||
Intellectual Property Matters Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Spinoff transaction, annual maintenance fee | $ 30,000,000 | $ 30,000,000 | ||||
Spinoff transaction, term of agreement | 5 years | |||||
Spinoff transaction, annual maintenance fee, amount paid | $ 30,000,000 | |||||
Spinoff transaction, remaining term of agreement | 4 years | |||||
Spinoff transaction, annual maintenance fee, one time payment | $ 65,000,000 | |||||
Spinoff transaction, annual maintenance fee, one time payment, expense | 61,400,000 | |||||
Spinoff transaction, annual maintenance fee, one time payment, capitalized | $ 3,600,000 | |||||
Selling, general and administrative expenses | Intellectual Property Matters Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Spinoff transaction, annual maintenance fee, amortization expense | $ 20,000,000 | $ 10,000,000 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Fiscal Year 2016 Acquisition and Divestiture (Details) - USD ($) | Nov. 30, 2015 | Apr. 27, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Mar. 31, 2017 |
Business Acquisition [Line Items] | ||||||
Goodwill | $ 2,335,000,000 | $ 2,332,000,000 | $ 803,000,000 | $ 2,335,000,000 | ||
Proceeds from business divestiture | 0 | 34,000,000 | 3,000,000 | |||
Defense and Intelligence | ||||||
Business Acquisition [Line Items] | ||||||
Reduction of goodwill | 1,000,000 | |||||
Goodwill | 815,000,000 | 815,000,000 | 492,000,000 | 815,000,000 | ||
Civil | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill | 1,520,000,000 | $ 1,517,000,000 | $ 311,000,000 | 1,520,000,000 | ||
Disposal group, disposed of by sale, not discontinued operations | Welkin Associates Limited | ||||||
Business Acquisition [Line Items] | ||||||
Proceeds from business divestiture | $ 34,000,000 | |||||
Net assets divested | 13,800,000 | |||||
Goodwill divested | 10,700,000 | |||||
Transaction costs | 1,700,000 | |||||
Disposal group, disposed of by sale, not discontinued operations | Welkin Associates Limited | Other Expense (Income) | ||||||
Business Acquisition [Line Items] | ||||||
Pre-tax gain on divestiture of business | $ 18,500,000 | |||||
Merger With SRA International | ||||||
Business Acquisition [Line Items] | ||||||
Total consideration transferred | $ 2,300,000,000 | |||||
Payments for acquisition | 390,000,000 | |||||
Cash acquired from acquisition | $ 48,300,000 | |||||
Business acquisition, equity interest issued or issuable, number of shares (in shares) | 25,170,564 | |||||
Percent interest acquired | 15.32% | |||||
Acquisition, long-term debt | $ 1,100,000,000 | |||||
Business acquisition, transaction costs | $ 29,900,000 | |||||
Business acquisition, share price (usd per share) | $ 30.95 | |||||
Reduction of goodwill | (3,000,000) | 9,700,000 | ||||
Goodwill | $ 1,543,000,000 | |||||
Tax deductible goodwill | 0 | $ 0 | ||||
Merger With SRA International | Defense and Intelligence | ||||||
Business Acquisition [Line Items] | ||||||
Reduction of goodwill | 0 | |||||
Goodwill | 335,200,000 | |||||
Merger With SRA International | Civil | ||||||
Business Acquisition [Line Items] | ||||||
Reduction of goodwill | $ (3,000,000) | |||||
Goodwill | $ 1,200,000,000 | |||||
Merger With SRA International | Common stock | ||||||
Business Acquisition [Line Items] | ||||||
Percent interest acquired | 15.32% |
Acquisitions and Divestitures58
Acquisitions and Divestitures - Fiscal Year 2015 Acquisitions and Divestiture (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Oct. 02, 2015 | Apr. 03, 2015 | Oct. 03, 2014 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Nov. 30, 2015 | |
Business Acquisition [Line Items] | |||||||
Goodwill | $ 803 | $ 2,335 | $ 2,332 | $ 803 | |||
Intangibles—customer relationships, backlog and other intangibles assets | $ 891 | ||||||
Loss from discontinued operations, net of taxes | 0 | 0 | 2 | ||||
Civil | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | 311 | 1,520 | 1,517 | 311 | |||
Civil | Autonomic Resources | |||||||
Business Acquisition [Line Items] | |||||||
Payments for acquisition | 14 | ||||||
Assets acquired, excluding intangible assets and goodwill | 1.3 | 1.3 | |||||
Liabilities | 1.1 | 1.1 | |||||
Goodwill | 13.8 | 13.8 | |||||
Defense and Intelligence | |||||||
Business Acquisition [Line Items] | |||||||
Goodwill | $ 492 | $ 815 | $ 815 | 492 | |||
Defense and Intelligence | Tenacity Solutions | |||||||
Business Acquisition [Line Items] | |||||||
Payments for acquisition | $ 35.5 | ||||||
Assets acquired, excluding intangible assets and goodwill | 3.9 | ||||||
Goodwill | 30.7 | ||||||
Intangibles—customer relationships, backlog and other intangibles assets | 9.4 | ||||||
Current liabilities | $ 8.4 | ||||||
Customer relationships and government programs | Defense and Intelligence | Tenacity Solutions | |||||||
Business Acquisition [Line Items] | |||||||
Amortization period for intangible assets acquired (in years) | 15 years | ||||||
Discontinued operations, disposed of by sale | Applied Technology Division | |||||||
Business Acquisition [Line Items] | |||||||
Loss from discontinued operations, net of taxes | $ 1.9 |
Acquisitions and Divestitures59
Acquisitions and Divestitures - Fair Value of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 | Nov. 30, 2015 | Apr. 03, 2015 |
Business Acquisition [Line Items] | ||||
Intangibles—customer relationships, backlog and other intangibles assets | $ 891 | |||
Goodwill | $ 2,335 | $ 2,332 | $ 803 | |
Merger With SRA International | ||||
Business Acquisition [Line Items] | ||||
Cash, accounts receivable and other current assets | 302 | |||
Property, equipment and other long-term assets | 46 | |||
Accounts payable and other current liabilities | (193) | |||
Other long-term liabilities | (26) | |||
Deferred tax liabilities | (263) | |||
Total identified net assets acquired | 757 | |||
Goodwill | 1,543 | |||
Estimated total purchase consideration and liabilities paid at closing | 2,300 | |||
Customer relationships, backlog and other intangible assets | Merger With SRA International | ||||
Business Acquisition [Line Items] | ||||
Intangibles—customer relationships, backlog and other intangibles assets | $ 891 |
Acquisitions and Divestitures60
Acquisitions and Divestitures - Pro Forma Information (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2017 | Dec. 30, 2016 | Sep. 30, 2016 | Jul. 01, 2016 | Apr. 01, 2016 | Jan. 01, 2016 | Oct. 02, 2015 | Jul. 03, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Business Acquisition [Line Items] | |||||||||||
Revenues | $ 1,254 | $ 1,222 | $ 1,263 | $ 1,254 | $ 1,290 | $ 1,032 | $ 969 | $ 959 | $ 4,993 | $ 4,250 | $ 4,070 |
Income from continuing operations attributable to CSRA Shareholders | $ 304 | ||||||||||
Basic (in USD per share) | $ 0.23 | $ 0.77 | $ 0.46 | $ 0.40 | $ (0.44) | $ 0.30 | $ 0.35 | $ 0.45 | $ 1.86 | $ 0.54 | $ 1.81 |
Scenario, Actual | Computer Sciences GS | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Revenues | $ 4,250 | $ 4,070 | |||||||||
Income from continuing operations attributable to CSRA Shareholders | $ 87 | $ 254 | |||||||||
Basic (in USD per share) | $ 0.54 | $ 1.82 | |||||||||
Scenario, Actual | SRA | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Revenues | $ 950 | $ 1,377 | |||||||||
Income from continuing operations attributable to CSRA Shareholders | (40) | (16) | |||||||||
Effects of Spin-Off | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Revenues | $ 0 | 0 | 0 | ||||||||
Income from continuing operations attributable to CSRA Shareholders | 38 | 80 | (289) | ||||||||
Effects of Spin-Off | Non-recurring acquisition-related costs | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Income from continuing operations attributable to CSRA Shareholders | 63 | 87 | |||||||||
Effects of Mergers | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Revenues | 0 | (2) | (3) | ||||||||
Income from continuing operations attributable to CSRA Shareholders | 16 | 100 | (1) | ||||||||
Effects of Mergers | Non-recurring acquisition-related costs | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Income from continuing operations attributable to CSRA Shareholders | 27 | 68 | |||||||||
Pro Forma for Spin-Off and Merger | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Revenues | 4,993 | 5,198 | 5,444 | ||||||||
Income from continuing operations attributable to CSRA Shareholders | $ 358 | $ 227 | $ (52) | ||||||||
Basic (in USD per share) | $ 2.19 | $ 1.40 | $ (0.32) |
Earnings Per Share ("EPS") - Na
Earnings Per Share ("EPS") - Narrative (Details) - shares | 12 Months Ended | |||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Nov. 27, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Common stock, shares outstanding (in shares) | 163,216,000 | 162,926,000 | 139,128,158 | |
Weighted average shares outstanding, basic (in shares) | 163,345,000 | 162,192,759 | 139,128,000 | |
Shares repurchased (in shares) | 989,319 | 1,768,129 | ||
Stock options | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities (in shares) | 1,578,000 | 1,598,000 |
Earnings Per Share ("EPS") - Co
Earnings Per Share ("EPS") - Computation of EPS (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2017 | Dec. 30, 2016 | Sep. 30, 2016 | Jul. 01, 2016 | Apr. 01, 2016 | Jan. 01, 2016 | Oct. 02, 2015 | Jul. 03, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Net income: | |||||||||||
Net income from continuing operations | $ 40 | $ 128 | $ 80 | $ 68 | $ (68) | $ 51 | $ 53 | $ 67 | $ 316 | $ 103 | $ 268 |
Less: discontinued operations | 0 | 0 | (2) | ||||||||
Less: Net income attributable to noncontrolling interests | 12 | 16 | 14 | ||||||||
Net income attributable to CSRA common stockholders | $ 37 | $ 126 | $ 76 | $ 65 | $ (72) | $ 48 | $ 48 | $ 63 | $ 304 | $ 87 | $ 252 |
Common share information (in thousands): | |||||||||||
Common shares outstanding for basic EPS (in shares) | 163,345,000 | 162,192,759 | 139,128,000 | ||||||||
Dilutive effect of stock options and equity awards (in shares) | 1,491,000 | 1,392,000 | 0 | ||||||||
Weighted average number of common shares outstanding - diluted (shares) | 164,836,000 | 163,585,000 | 139,128,000 | ||||||||
Basic EPS: | |||||||||||
Continuing operations (in USD per share) | $ 1.86 | $ 0.54 | $ 1.82 | ||||||||
Discontinued operations (in USD per share) | 0 | 0 | (0.01) | ||||||||
Basic (in USD per share) | $ 0.23 | $ 0.77 | $ 0.46 | $ 0.40 | $ (0.44) | $ 0.30 | $ 0.35 | $ 0.45 | 1.86 | 0.54 | 1.81 |
Diluted EPS: | |||||||||||
Continuing operations (in USD per share) | 1.84 | 0.53 | 1.82 | ||||||||
Discontinued operations (in USD per share) | 0 | 0 | (0.01) | ||||||||
Diluted (in USD per share) | $ 0.22 | $ 0.76 | $ 0.46 | $ 0.39 | $ (0.44) | $ 0.29 | $ 0.35 | $ 0.45 | $ 1.84 | $ 0.53 | $ 1.81 |
Receivables (Details)
Receivables (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | $ 772 | $ 772 |
Less: allowance for doubtful accounts | 24 | 21 |
Total receivables, net | 748 | 751 |
Billed trade accounts receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | 124 | 181 |
Unbilled recoverable amounts under contracts in progress | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | 569 | 578 |
Other receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | $ 79 | $ 13 |
Receivables - Narrative (Detail
Receivables - Narrative (Details) - USD ($) | 4 Months Ended | 12 Months Ended | |
Apr. 01, 2016 | Mar. 31, 2017 | Apr. 01, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Unbilled recoverable amounts under contracts in progress | $ 14,400,000 | $ 15,600,000 | $ 14,400,000 |
Cash collected from sale of receivables but not remitted | 8,000,000 | 37,000,000 | 8,000,000 |
Net impact total receivables sold, net of collections and fees related to accounts receivable sales | 62,000,000 | 170,000,000 | |
Other expense (income), net | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Purchase discount and administrative fees | $ 4,000,000 | 2,000,000 | |
Loss on sale of SRA receivables | 300,000 | ||
SRA | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Cash collected from sale of receivables but not remitted | 105,100,000 | $ 105,100,000 | |
Price of receivable purchased by factor, percent | 90.00% | ||
Receivables sold | 107,700,000 | ||
Net impact total receivables sold, net of collections and fees related to accounts receivable sales | $ 2,300,000 | ||
The Bank of Tokyo-Mitsubishi UFJ, Ltd, The Bank of Nova Scotia, and Mizuho Bank, Ltd. | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Term of receivables purchase facility commitment | 2 years | ||
Receivables purchase facility commitment amount | $ 450,000,000 |
Receivables - Allowance for Dou
Receivables - Allowance for Doubtful Accounts (Details) - USD ($) $ in Millions | 12 Months Ended | |
Mar. 31, 2017 | Apr. 01, 2016 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||
Beginning balance | $ 21 | $ 15 |
Allowance from acquisition for government audit activities | 5 | 6 |
Write-offs | (2) | 0 |
Ending balance | $ 24 | $ 21 |
Receivables - Receivable sales
Receivables - Receivable sales (Details) - USD ($) $ in Millions | 12 Months Ended | |
Mar. 31, 2017 | Apr. 01, 2016 | |
Transfer of Financial Assets Accounted for as Sales [Line Items] | ||
Sale of receivables | $ 3,155 | $ 2,497 |
Collections of sold receivables | 3,089 | 2,324 |
Operating cash flow effect, net of collections and fees from sales | 62 | 170 |
Billed receivables | ||
Transfer of Financial Assets Accounted for as Sales [Line Items] | ||
Sale of receivables | 2,006 | 1,798 |
Unbilled receivables | ||
Transfer of Financial Assets Accounted for as Sales [Line Items] | ||
Sale of receivables | $ 1,149 | $ 699 |
Prepaid Expenses and Other Cu67
Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Deferred contract costs | $ 18 | $ 25 |
Maintenance | 35 | 41 |
Rent | 4 | 5 |
Other | 69 | 52 |
Total prepaid expenses and other current assets | $ 126 | $ 123 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | $ 1,304 | $ 1,303 | |
Less: accumulated depreciation | (694) | (773) | |
Property and equipment, net | 610 | 530 | |
Depreciation | 131.9 | 120.2 | $ 113.7 |
Land, buildings and leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 237 | 233 | |
Computers and related equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 425 | 505 | |
Furniture and other equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | 610 | 530 | |
Construction in progress | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, gross | $ 32 | $ 35 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | |
Mar. 31, 2017 | Apr. 01, 2016 | |
Derivative [Line Items] | ||
Interest rate expense reclassified from AOCI to earnings | $ 9.5 | |
Interest rate expense expected to be reclassified from AOCI into earnings during next 12 months | 0 | |
Derivatives Designated for Hedge Accounting | Interest rate swap | Prepaid and other current assets and Other assets | ||
Derivative [Line Items] | ||
Derivative asset | 18.2 | |
Derivatives Designated for Hedge Accounting | Interest rate swap | Accounts payable and accrued expenses and Other long-term liabilities | ||
Derivative [Line Items] | ||
Derivative liability | $ 11.1 | |
Derivatives Not Designated for Hedge Accounting | Total return swap | Cost of services and Selling, general, and administrative expenses | ||
Derivative [Line Items] | ||
Gains attributable to total return swaps | 0 | 1 |
Cash flow hedge | Derivatives Designated for Hedge Accounting | Interest rate swap | ||
Derivative [Line Items] | ||
Notional value | $ 1,400 | $ 1,400 |
Goodwill (Details)
Goodwill (Details) - USD ($) | 12 Months Ended | 16 Months Ended | |
Mar. 31, 2017 | Apr. 01, 2016 | Mar. 31, 2017 | |
Goodwill [Roll Forward] | |||
Beginning balance | $ 2,332,000,000 | $ 803,000,000 | |
Welkin Divestiture | (11,000,000) | ||
Ending balance | 2,335,000,000 | 2,332,000,000 | $ 2,335,000,000 |
Goodwill, accumulated impairment loss | 0 | 0 | 0 |
Tenacity Solutions | |||
Goodwill [Roll Forward] | |||
Acquisition purchase price and working capital adjustment | (1,000,000) | ||
SRA | |||
Goodwill [Roll Forward] | |||
Beginning balance | 1,543,000,000 | ||
Acquisition purchase price and working capital adjustment | 3,000,000 | (9,700,000) | |
Acquisition | 1,541,000,000 | ||
Defense and Intelligence | |||
Goodwill [Roll Forward] | |||
Beginning balance | 815,000,000 | 492,000,000 | |
Welkin Divestiture | (11,000,000) | ||
Acquisition purchase price and working capital adjustment | (1,000,000) | ||
Ending balance | 815,000,000 | 815,000,000 | 815,000,000 |
Defense and Intelligence | Tenacity Solutions | |||
Goodwill [Roll Forward] | |||
Acquisition purchase price and working capital adjustment | (1,000,000) | ||
Defense and Intelligence | SRA | |||
Goodwill [Roll Forward] | |||
Beginning balance | 335,200,000 | ||
Acquisition purchase price and working capital adjustment | 0 | ||
Acquisition | 335,000,000 | ||
Civil | |||
Goodwill [Roll Forward] | |||
Beginning balance | 1,517,000,000 | 311,000,000 | |
Welkin Divestiture | 0 | ||
Ending balance | 1,520,000,000 | 1,517,000,000 | 1,520,000,000 |
Civil | Tenacity Solutions | |||
Goodwill [Roll Forward] | |||
Acquisition purchase price and working capital adjustment | 0 | ||
Civil | SRA | |||
Goodwill [Roll Forward] | |||
Beginning balance | $ 1,200,000,000 | ||
Acquisition purchase price and working capital adjustment | $ 3,000,000 | ||
Acquisition | $ 1,206,000,000 |
Intangible Assets - Narrative (
Intangible Assets - Narrative (Details) - USD ($) $ in Millions | Nov. 30, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 |
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets acquired | $ 891 | |||
Amortization of intangible assets | $ 109 | $ 62 | $ 33 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||||
2,018 | 77 | |||
2,019 | 82 | |||
2,020 | 76 | |||
2,021 | 67 | |||
2,022 | 59 | |||
Customer-related intangibles | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Discount rate (percentage) | 8.50% | |||
Amortization period for intangible assets acquired | 20 years | |||
Amortization as a reduction of revenue | 2.5 | 9.2 | 9.7 | |
Customer-related intangibles | Minimum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Implied royalty (percentage) | 6.35% | |||
Customer-related intangibles | Maximum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Implied royalty (percentage) | 8.10% | |||
Backlog | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Discount rate (percentage) | 8.00% | |||
Amortization period for intangible assets acquired | 1 year | |||
Backlog | Minimum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Implied royalty (percentage) | 5.90% | |||
Backlog | Maximum | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Implied royalty (percentage) | 7.50% | |||
Software | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of intangible assets | 18 | $ 17 | $ 16 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||||
2,018 | 23 | |||
2,019 | 20 | |||
2,020 | 17 | |||
2,021 | 12 | |||
2,022 | $ 7 |
Intangible Assets - Schedule of
Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | $ 1,189 | $ 1,207 |
Accumulated Amortization | (333) | (296) |
Net Carrying Value | 856 | 911 |
Software | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 170 | 136 |
Accumulated Amortization | (89) | (95) |
Net Carrying Value | 81 | 41 |
Purchased software | ||
Finite-Lived Intangible Assets [Line Items] | ||
Net Carrying Value | 73 | 40 |
Internally developed software for external use | ||
Finite-Lived Intangible Assets [Line Items] | ||
Net Carrying Value | 0 | 1 |
Internally developed software for internal use | ||
Finite-Lived Intangible Assets [Line Items] | ||
Net Carrying Value | 8 | 0 |
Acquisition-related intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 1,019 | 1,071 |
Accumulated Amortization | (244) | (201) |
Net Carrying Value | 775 | 870 |
Acquisition-related intangibles | Customer-related intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 948 | 954 |
Accumulated Amortization | (175) | (133) |
Net Carrying Value | 773 | 821 |
Acquisition-related intangibles | Backlog | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 65 | 65 |
Accumulated Amortization | (65) | (22) |
Net Carrying Value | 0 | 43 |
Acquisition-related intangibles | Other intangible assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 6 | 52 |
Accumulated Amortization | (4) | (46) |
Net Carrying Value | $ 2 | $ 6 |
Intangible Assets - Schedule 73
Intangible Assets - Schedule of Amortization Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets | $ 109 | $ 62 | $ 33 |
Software | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets | 18 | 17 | 16 |
Purchased software | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets | 16 | 16 | 14 |
Internally developed software for external use | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets | 1 | 1 | 2 |
Internally developed software for internal use | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets | $ 1 | $ 0 | $ 0 |
Accrued Payroll and Related C74
Accrued Payroll and Related Costs (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Payables and Accruals [Abstract] | ||
Accrued payroll | $ 44 | $ 54 |
Accrued vacation | 65 | 65 |
Deferred compensation | 7 | 3 |
Accrued incentive compensation | 12 | 17 |
Payroll taxes | 7 | 10 |
Other | 46 | 51 |
Total | $ 181 | $ 200 |
Accrued Expenses and Other Cu75
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Payables and Accruals [Abstract] | ||
Accrued contract costs | $ 239 | $ 248 |
Deferred revenue | 153 | 149 |
Accrued expenses | 81 | 123 |
Other | 14 | 8 |
Total | $ 487 | $ 528 |
Other Long-term Liabilities (De
Other Long-term Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Other Liabilities Disclosure [Abstract] | ||
Deferred revenue | $ 27 | $ 27 |
Pension and other postretirement obligations | 461 | 646 |
Deferred rent | 12 | 13 |
Deferred compensation | 27 | 44 |
Other | 55 | 12 |
Total | $ 582 | $ 742 |
Debt - Narrative (Details)
Debt - Narrative (Details) - USD ($) | Nov. 30, 2016 | Nov. 30, 2015 | Mar. 31, 2017 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 |
Debt Instrument [Line Items] | ||||||
Borrowings of long-term debt | $ 1,240,000,000 | $ 234,000,000 | $ 2,800,000,000 | $ 0 | ||
Long-term debt | $ 2,616,000,000 | $ 2,616,000,000 | ||||
Credit agreement | ||||||
Debt Instrument [Line Items] | ||||||
Debt term extension | 1 year | |||||
Deferred financing fees written off | $ 8,100,000 | |||||
Debt issuance cost | 4,000,000 | |||||
Line of credit | Revolving credit facility | Revolving credit facility, due November 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Term (in years) | 5 years | |||||
Maximum borrowing capacity | 700,000,000 | $ 700,000,000 | ||||
Repayments of debt | 50,000,000 | |||||
Long-term debt | 0 | $ 0 | 50,000,000 | |||
Line of credit | Revolving credit facility | Minimum | Revolving credit facility, due November 2021 | LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate, floor (percentage) | 0.00% | |||||
Term Loan Facilities | ||||||
Debt Instrument [Line Items] | ||||||
Borrowings of long-term debt | 1,560,000,000 | |||||
Repayments of debt | $ 169,000,000 | |||||
Excess cash flow payments | 48,000,000 | |||||
Voluntary repayments of debt | 20,000,000 | $ 89,000,000 | ||||
Excess cash flow payments, period in which payments are due | 90 days | |||||
Excess cash flow payments due | 29,000,000 | $ 29,000,000 | ||||
Term Loan Facilities | Tranche A1 facility, due November 2019 | ||||||
Debt Instrument [Line Items] | ||||||
Term (in years) | 3 years | |||||
Borrowings of long-term debt | 600,000,000 | |||||
Long-term debt | 570,000,000 | $ 570,000,000 | 600,000,000 | |||
Term Loan Facilities | Tranche A2 facility, due November 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Term (in years) | 5 years | |||||
Borrowings of long-term debt | $ 960,000,000 | |||||
Debt increase (decrease) | 234,000,000 | |||||
Long-term debt | 1,630,000,000 | 1,580,000,000 | $ 1,580,000,000 | 1,432,000,000 | ||
Term Loan Facilities | Term Loan B facility, due November 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Term (in years) | 7 years | |||||
Debt increase (decrease) | (230,000,000) | |||||
Long-term debt | $ 466,000,000 | $ 466,000,000 | $ 466,000,000 | $ 748,000,000 | ||
Term Loan Facilities | Term Loan B facility, due November 2023 | LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Reduction in margin over indexed interest rates | 0.50% | |||||
Basis spread on variable rate, floor (percentage) | 2.50% | 2.50% | ||||
Term Loan Facilities | Term Loan B facility, due November 2023 | Base Rate | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate, floor (percentage) | 1.50% | |||||
Term Loan Facilities | Minimum | Term Loan A Facility | LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate, floor (percentage) | 0.00% | |||||
Term Loan Facilities | Minimum | Term Loan B facility, due November 2023 | LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate, floor (percentage) | 0.75% | |||||
Term Loan Facilities | Minimum | Term Loan B facility, due November 2023 | Base Rate | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate, floor (percentage) | 1.75% |
Debt - Long-term Debt (Details)
Debt - Long-term Debt (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Nov. 30, 2016 | Apr. 01, 2016 |
Debt Instrument [Line Items] | |||
Long-term debt | $ 2,616 | ||
Capitalized lease liability | 216 | $ 151 | |
Total debt | 2,832 | 2,981 | |
Less: unamortized debt issuance costs | (33) | (46) | |
Less: current portion of long-term debt and capitalized lease liability | (116) | (170) | |
Total long-term debt, net of current maturities | 2,683 | 2,765 | |
Revolving credit facility, due November 2021 | Revolving credit facility | Line of credit | |||
Debt Instrument [Line Items] | |||
Long-term debt | 0 | 50 | |
Tranche A1 facility, due November 2019 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Long-term debt | 570 | 600 | |
Tranche A2 facility, due November 2021 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Long-term debt | 1,580 | $ 1,630 | 1,432 |
Term Loan B facility, due November 2023 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 466 | $ 466 | $ 748 |
Debt, interest rate | 3.75% | ||
Minimum | Capitalized lease liability | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.35% | 2.10% | |
Minimum | Revolving credit facility, due November 2021 | Revolving credit facility | Line of credit | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.18% | 1.98% | |
Minimum | Tranche A1 facility, due November 2019 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.06% | 1.85% | |
Minimum | Tranche A2 facility, due November 2021 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.18% | 1.98% | |
Minimum | Term Loan B facility, due November 2023 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 3.28% | ||
Maximum | Capitalized lease liability | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 15.09% | 16.51% | |
Maximum | Revolving credit facility, due November 2021 | Revolving credit facility | Line of credit | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.20% | 2.36% | |
Maximum | Tranche A1 facility, due November 2019 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.41% | 2.23% | |
Maximum | Tranche A2 facility, due November 2021 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 2.53% | 2.36% | |
Maximum | Term Loan B facility, due November 2023 | Term Loan Facilities | |||
Debt Instrument [Line Items] | |||
Debt, interest rate | 3.75% |
Debt - Interest expense (Detail
Debt - Interest expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Debt Disclosure [Abstract] | |||
Contractual interest -revolving and term loan credit facilities | $ 74 | $ 27 | $ 0 |
Amortization of debt issuance costs | 10 | 4 | 0 |
Interest on derivatives and other | 32 | 22 | 22 |
Loss on debt extinguishment | 8 | 0 | 0 |
Total interest expense | $ 124 | $ 53 | $ 22 |
Debt - Maturities of Long-term
Debt - Maturities of Long-term Debt (Details) $ in Millions | Mar. 31, 2017USD ($) |
Fiscal Year | |
2,018 | $ 72 |
2,019 | 82 |
2,020 | 651 |
2,021 | 82 |
2,022 | 1,263 |
Thereafter | 466 |
Total | $ 2,616 |
Income Taxes - Sources of incom
Income Taxes - Sources of income from continuing operations before taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2017 | Dec. 30, 2016 | Sep. 30, 2016 | Jul. 01, 2016 | Apr. 01, 2016 | Jan. 01, 2016 | Oct. 02, 2015 | Jul. 03, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Income Tax Disclosure [Abstract] | |||||||||||
Domestic entities | $ 494 | $ 142 | $ 416 | ||||||||
Entities outside the U.S. | 1 | 7 | 13 | ||||||||
Total | $ 61 | $ 204 | $ 124 | $ 106 | $ (107) | $ 58 | $ 88 | $ 109 | $ 495 | $ 149 | $ 429 |
Income Taxes - Components of th
Income Taxes - Components of the provision for income taxes from continuing operations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Current: | |||
Federal | $ 55 | $ 79 | $ 132 |
State | 16 | 12 | 27 |
Foreign | 1 | 2 | 5 |
Total Current | 72 | 93 | 164 |
Deferred: | |||
Federal | 91 | (42) | (4) |
State | 16 | (5) | 1 |
Total Deferred | 107 | (47) | (3) |
Total income tax expense | $ 179 | $ 46 | $ 161 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | |||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Mar. 28, 2014 | |
Income Tax Examination [Line Items] | ||||
Federal statutory tax rate | 35.00% | 35.00% | 35.00% | |
Tax credit carryforwards, Alternative Minimum Tax | $ 0 | $ 700,000 | ||
Uncertain tax positions | 45,000,000 | 39,000,000 | $ 24,000,000 | $ 25,000,000 |
State and Local Jurisdiction | ||||
Income Tax Examination [Line Items] | ||||
NOL carryforwards | 30,400,000 | 131,600,000 | ||
Tax credit carryforward | 15,700,000 | 12,700,000 | ||
Foreign Tax Authority | ||||
Income Tax Examination [Line Items] | ||||
NOL carryforwards | 1,800,000 | 2,000,000 | ||
Federal Tax Authority | ||||
Income Tax Examination [Line Items] | ||||
NOL carryforwards | 115,500,000 | |||
Tax credit carryforward | 0 | 11,000,000 | ||
Uncertain tax positions | 45,400,000 | 39,000,000 | ||
Interest liability related to uncertain tax positions | 500,000 | 200,000 | ||
Federal Tax Authority | Internal Revenue Service | ||||
Income Tax Examination [Line Items] | ||||
Interest liability related to uncertain tax positions | 500,000 | 200,000 | ||
Liability for uncertain tax positions that if recognized would affect the effective tax rate | 45,400,000 | 39,000,000 | $ 8,200,000 | |
Interest expense (benefit) accrued related to uncertain tax positions | 300,000 | (500,000) | ||
Interest expense (benefit) accrued related to uncertain tax positions, net of tax | 200,000 | (300,000) | ||
Interest liability related to uncertain tax positions, net of tax | 300,000 | $ 100,000 | ||
Estimate of possible loss | $ 136,700,000 |
Income Taxes - Effective tax ra
Income Taxes - Effective tax rate reconciliation (Details) | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Difference between the U.S. federal statutory tax rate and effective tax rate [Abstract] | |||
Statutory rate (as a percent) | 35.00% | 35.00% | 35.00% |
State income tax, net of federal tax (as a percent) | 3.90% | 3.70% | 4.20% |
Noncontrolling interest (as a percent) | (0.90%) | (3.70%) | (1.10%) |
Dividend paid to Employee Stock Ownership Plan (as a percent) | (0.10%) | (9.50%) | (0.00%) |
Transaction Costs (as a percent) | 0.00% | 5.60% | 0.10% |
Other items, net (as a percent) | (1.70%) | (0.20%) | (0.60%) |
Effective tax rate (as a percent) | 36.20% | 30.90% | 37.60% |
Income Taxes - Components of de
Income Taxes - Components of deferred tax assets and liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Deferred tax assets | ||
Employee benefits | $ 211 | $ 282 |
Accrued expenses | 19 | 22 |
Net operating loss and tax credit carry forwards | 12 | 65 |
Other assets | 1 | 5 |
Total deferred tax assets | 243 | 374 |
Valuation allowance | (11) | (9) |
Net deferred tax assets | 232 | 365 |
Deferred tax liabilities | ||
Depreciation and amortization | (392) | (403) |
Contract accounting | (47) | (68) |
Investment basis differences | (16) | (8) |
Deferred project costs | (30) | (33) |
Prepaid expenses | (6) | (16) |
Other Liabilities | (13) | 0 |
Total deferred tax liabilities | (504) | (528) |
Net deferred tax liabilities | $ (272) | $ (163) |
Income Taxes - Uncertain tax po
Income Taxes - Uncertain tax positions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning of year | $ 39 | $ 24 | $ 25 |
Net increase related to Spin | 0 | 7 | 0 |
Increase related to acquisition | 0 | 7 | 0 |
Gross increases related to prior year tax positions | 5 | 1 | 1 |
Gross decreases related to prior year tax positions | 0 | 0 | (3) |
Gross increases related to current year tax positions | 1 | 0 | 1 |
End of year | $ 45 | $ 39 | $ 24 |
Pension and Other Postretirem87
Pension and Other Postretirement Benefit Plans - Narrative (Details) $ in Millions | Dec. 01, 2016USD ($) | Apr. 30, 2016 | Dec. 30, 2016USD ($) | Mar. 31, 2017USD ($) | Apr. 01, 2016USD ($) | Apr. 03, 2015USD ($) |
Defined Benefit Plan, Effect of One-Percentage Point Change in Assumed Health Care Cost Trend Rates [Abstract] | ||||||
Effect on accumulated postretirement benefit obligation for one percent decrease (less than) | $ 1 | |||||
Effect on net periodic postretirement benefit cost for one percent increase (less than) | 1 | |||||
Effect on net periodic postretirement benefit cost for one percent decrease (less than) | 1 | |||||
Pension and OPEB plans | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Costs reduced for the remeasured pension and OPEB plans | $ 7.7 | |||||
Pension plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Lump sum settlements to former employees | $ 320.2 | |||||
Settlement gain (loss) | 13 | |||||
Mark-to-market benefit | $ (101.5) | |||||
Settlement activity | $ 333.2 | 320 | 0 | |||
Postretirement Health Coverage | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Prior service benefit within accumulated other comprehensive income | 32 | 46 | $ 3 | |||
Other comprehensive (income) loss related to unamortized postretirement benefit plan costs | 8.1 | 5.2 | 2 | |||
Other comprehensive (income) loss related to unamortized postretirement benefit plan costs, tax impact | $ 4.7 | $ 2.3 | $ 1.3 | |||
Assumed healthcare cost trend rate | 9.00% | |||||
Assumed healthcare cost trend rate | 4.50% | |||||
Defined Benefit Plan, Effect of One-Percentage Point Change in Assumed Health Care Cost Trend Rates [Abstract] | ||||||
Effect on accumulated postretirement benefit obligation for one percent increase (less than) | $ 1 | |||||
Equity securities | Pension plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Target plan asset allocation | 31.00% | |||||
Fixed income securities | Pension plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Target plan asset allocation | 23.00% | |||||
Alternatives investments | Pension plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Target plan asset allocation | 46.00% | |||||
Cash equivalents | Pension plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Target plan asset allocation, minimum | 0.00% | |||||
Target plan asset allocation, maximum | 10.00% | |||||
PBGC Investigation | PBGC Agreement | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
First Additional Contingent Payment | 50 | |||||
Second Additional Contingent Payment | $ 50 | |||||
Net leverage ratio requirement | 2.75 |
Pension and Other Postretirem88
Pension and Other Postretirement Benefit Plans - Pension Plan, Reconciliation of Changes in Accumulated Pension and Postretirement Benefit Obligation and Fair Value of Plan Assets (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 30, 2016 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Pension plan | ||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||
Accumulated benefit obligation, at beginning of year | $ 3,222 | $ 66 | ||
Transfer in of projected benefit obligation from Spin-Off | 0 | 3,064 | ||
Service cost | 12 | 0 | $ 0 | |
Interest cost | 99 | 38 | 3 | |
Settlement activity | $ (333.2) | (320) | 0 | |
Actuarial (gain) loss | (59) | 114 | ||
Benefits paid | (167) | (60) | ||
Accumulated benefit obligation, at end of year | 2,787 | 3,222 | 66 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||||
Fair value of plan assets, at beginning of year | 2,585 | 55 | ||
Transfer in of fair value of plan assets from Spin-Off | 2,597 | |||
Actual return (loss) on plan assets | 222 | (10) | ||
Company contributions | 8 | 3 | ||
Settlement activity | (320) | 0 | ||
Benefits paid | (167) | (60) | ||
Fair value of plan assets, at end of year | 2,328 | 2,585 | 55 | |
Unfunded status, at end of year | (459) | (637) | ||
Postretirement Health Coverage | ||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||||
Accumulated benefit obligation, at beginning of year | 93 | 15 | ||
Transfer in of projected benefit obligation from Spin-Off | 0 | 72 | ||
Service cost | 1 | 0 | 0 | |
Interest cost | 3 | 1 | 0 | |
Actuarial (gain) loss | (4) | 7 | ||
Benefits paid | (7) | (2) | ||
Accumulated benefit obligation, at end of year | 86 | 93 | 15 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||||
Fair value of plan assets, at beginning of year | 76 | 0 | ||
Transfer in of fair value of plan assets from Spin-Off | 0 | 76 | ||
Actual return (loss) on plan assets | 6 | 1 | ||
Company contributions | 1 | 1 | ||
Benefits paid | (7) | (2) | ||
Fair value of plan assets, at end of year | 76 | 76 | $ 0 | |
Unfunded status, at end of year | $ (10) | $ (17) |
Pension and Other Postretirem89
Pension and Other Postretirement Benefit Plans - Pension Plan, Liabilities and Net Periodic Costs (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Pension plan | |||
Defined Benefit Plan, Amounts Recognized in Balance Sheet [Abstract] | |||
Accrued expenses and other current liabilities | $ 8 | $ 8 | |
Other long-term liabilities | 451 | 629 | |
Total recorded liability | 459 | 637 | |
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Service cost | 12 | 0 | $ 0 |
Interest cost | 99 | 38 | 3 |
Expected return on assets | (187) | (71) | (4) |
Settlement gain | (13) | 0 | 0 |
Recognition of actuarial losses (gains) | (81) | 195 | 10 |
Recognition of actuarial losses (gains) | $ (170) | $ 162 | $ 9 |
Defined Benefit Plan, Assumptions Used in Calculations [Abstract] | |||
Discount or settlement rates | 4.10% | 4.30% | 4.50% |
Expected long-term rates of return on assets | 7.80% | 7.90% | 7.60% |
Rates on increase in compensation levels | 4.30% | ||
Discount rate | 4.10% | 4.00% | |
Employer Contributions: | |||
2,018 | $ 8 | ||
Employer Benefit Payments: | |||
2,018 | 171 | ||
2,019 | 171 | ||
2,020 | 175 | ||
2,021 | 177 | ||
2,022 | 178 | ||
2023-2026 | 897 | ||
Postretirement Health Coverage | |||
Defined Benefit Plan, Amounts Recognized in Balance Sheet [Abstract] | |||
Accrued expenses and other current liabilities | 1 | $ 1 | |
Other long-term liabilities | 9 | 16 | |
Total recorded liability | 10 | 17 | |
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Service cost | 1 | 0 | $ 0 |
Interest cost | 3 | 1 | 0 |
Expected return on assets | (6) | (2) | 0 |
Amortization of prior service (benefit) costs | (13) | (7) | (2) |
Recognition of actuarial losses (gains) | (5) | 8 | (2) |
Recognition of actuarial losses (gains) | (20) | 0 | (4) |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss) [Abstract] | |||
Prior service (credit) cost | 0 | 0 | (5) |
Prior service cost (credit) | 13 | 7 | 2 |
Total recognized in other comprehensive income | $ 13 | $ 7 | $ (3) |
Defined Benefit Plan, Assumptions Used in Calculations [Abstract] | |||
Discount or settlement rates | 3.80% | 4.50% | 3.80% |
Expected long-term rates of return on assets | 7.60% | 7.70% | |
Discount rate | 4.00% | 3.80% | |
Employer Contributions: | |||
2,018 | $ 1 | ||
Employer Benefit Payments: | |||
2,018 | 7 | ||
2,019 | 6 | ||
2,020 | 6 | ||
2,021 | 6 | ||
2,022 | 6 | ||
2023-2026 | $ 31 |
Pension and Other Postretirem90
Pension and Other Postretirement Benefit Plans - Schedule of Fair Value by Investment (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 |
Pension and OPEB plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | $ 2,404 | $ 2,661 | |
Pension and OPEB plans | Total plan assets subject to leveling | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets, excluding NAV assets | 584 | 670 | |
Pension and OPEB plans | Total plan assets subject to leveling | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 472 | 480 | |
Pension and OPEB plans | Total plan assets subject to leveling | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 112 | 190 | |
Pension and OPEB plans | Total plan assets subject to leveling | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | U.S. domestic stocks | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 117 | 132 | |
Pension and OPEB plans | U.S. domestic stocks | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 117 | 132 | |
Pension and OPEB plans | U.S. domestic stocks | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | U.S. domestic stocks | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Global/international | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 51 | 31 | |
Pension and OPEB plans | Global/international | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 51 | 31 | |
Pension and OPEB plans | Global/international | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Global/international | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Fixed income mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 105 | 104 | |
Pension and OPEB plans | Fixed income mutual funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 105 | 104 | |
Pension and OPEB plans | Fixed income mutual funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | ||
Pension and OPEB plans | Fixed income mutual funds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Mortgage and asset-backed securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 31 | 42 | |
Pension and OPEB plans | Mortgage and asset-backed securities | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Mortgage and asset-backed securities | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 31 | 42 | |
Pension and OPEB plans | Mortgage and asset-backed securities | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Corporate bonds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 19 | 27 | |
Pension and OPEB plans | Corporate bonds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Corporate bonds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 19 | 27 | |
Pension and OPEB plans | Corporate bonds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | U.S. treasuries | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 22 | 30 | |
Pension and OPEB plans | U.S. treasuries | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | U.S. treasuries | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 22 | 30 | |
Pension and OPEB plans | U.S. treasuries | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Non U.S. government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | 2 | |
Pension and OPEB plans | Non U.S. government | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Non U.S. government | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | 2 | |
Pension and OPEB plans | Non U.S. government | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | U.S. government agencies | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | 1 | |
Pension and OPEB plans | U.S. government agencies | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | U.S. government agencies | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | 1 | |
Pension and OPEB plans | U.S. government agencies | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Preferred securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | ||
Pension and OPEB plans | Preferred securities | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | ||
Pension and OPEB plans | Preferred securities | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | ||
Pension and OPEB plans | Preferred securities | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | ||
Pension and OPEB plans | Alternatives | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 198 | 213 | |
Plan assets measured at net asset value | 407 | 477 | |
Pension and OPEB plans | Alternatives | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 198 | 213 | |
Pension and OPEB plans | Alternatives | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Alternatives | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 38 | 88 | |
Pension and OPEB plans | Cash and cash equivalents | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 1 | 0 | |
Pension and OPEB plans | Cash and cash equivalents | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 37 | 88 | |
Pension and OPEB plans | Cash and cash equivalents | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 0 | 0 | |
Pension and OPEB plans | Domestic equity commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets measured at net asset value | 249 | 355 | |
Pension and OPEB plans | Global equity commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets measured at net asset value | 254 | 192 | |
Pension and OPEB plans | Fixed income commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets measured at net asset value | 363 | 411 | |
Pension and OPEB plans | Hedge funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets measured at net asset value | 554 | 620 | |
Pension and OPEB plans | Unsettled trade receivables and accrued income | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | 2 | 6 | |
Pension and OPEB plans | Unsettled trade payable and accrued expenses | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | (9) | (70) | |
Pension plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value of plan assets | $ 2,328 | $ 2,585 | $ 55 |
Defined benefit plan, asset allocation | 100.00% | 100.00% | |
Pension plan | Alternatives | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, asset allocation | 33.00% | 49.00% | |
Pension plan | Equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, asset allocation | 36.00% | 27.00% | |
Pension plan | Debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, asset allocation | 29.00% | 23.00% | |
Pension plan | Cash and other | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, asset allocation | 2.00% | 1.00% |
Pension and Other Postretirem91
Pension and Other Postretirement Benefit Plans - Multi-employer Plans (Details) - Multiemployer Plans, Postretirement Benefit - USD ($) $ in Millions | 12 Months Ended | |
Apr. 01, 2016 | Apr. 03, 2015 | |
Multiemployer Plans [Line Items] | ||
Multiemployer plan, share of service cost incurred | $ 0.1 | $ 0.3 |
Multiemployer plan, period contributions | $ 0.7 |
Pension and Other Postretirem92
Pension and Other Postretirement Benefit Plans - Defined Contribution Plans (Details) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017USD ($)plan | Apr. 01, 2016USD ($) | Apr. 03, 2015USD ($) | |
Defined Contribution Plan Disclosure [Line Items] | |||
Eligibility period for matching contributions following separation | 30 days | ||
Vesting period | 1 year | ||
Matching contributions | $ 21.5 | $ 22.9 | $ 24.3 |
Number of deferred compensation plans | plan | 2 | ||
Deferred compensation expense | $ 1.7 | 1 | 2.2 |
Other postretirement benefit plan | Executive Officer | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Number of deferred compensation plans | plan | 1 | ||
Maximum deferral percentage | 100.00% | ||
Other postretirement benefit plan | Director | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Number of deferred compensation plans | plan | 1 | ||
SRA International, Inc. 401(k) Savings Plan | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Matching contributions | $ 10.3 | 3.3 | |
Other long-term liabilities | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Deferred compensation liability | 27.2 | 43.5 | |
Accrued payroll and related costs | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Deferred compensation liability | $ 3.1 | $ 3.2 | $ 33.4 |
Share-Based Compensation Plan93
Share-Based Compensation Plans - Narrative (Details) $ / shares in Units, $ in Millions | Aug. 12, 2016$ / sharesshares | May 31, 2016$ / sharesshares | Nov. 27, 2015plan | Mar. 31, 2017USD ($)$ / sharesshares | Mar. 31, 2017USD ($)$ / sharesshares | Apr. 01, 2016USD ($)$ / shares | Apr. 03, 2015USD ($)$ / shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Net receivable | $ 748 | $ 748 | $ 751 | ||||
Number of common shares available for grant at period end (in shares) | shares | 7,663,307 | 7,663,307 | |||||
Share-based compensation expense | $ 29 | 10 | $ 18 | ||||
Excess tax benefit | 4 | 1 | 0 | ||||
Dividends payable | $ 21 | 21 | 18 | ||||
Performance-based metrics awards assumed from merger with SRA | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | 15.2 | ||||||
CSRA corporate and non-employee director grants | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | 1.6 | ||||||
CSC corporate and non-employee director grants | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | 4.3 | $ 9.5 | |||||
CSC | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of stock incentive plans | plan | 2 | ||||||
Net receivable | $ 1.3 | $ 1.3 | |||||
CSC | Settlement of equity awards | Affiliated entity | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Net payable | $ 6.5 | ||||||
Stock options, RSUs and PSUs | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock options granted (in shares) | shares | 1,538,878 | 105,352 | |||||
Vesting period (in years) | 3 years | ||||||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 24.77 | $ 31.32 | $ 31.32 | ||||
Stock options, RSUs and PSUs | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period (in years) | 3 years | ||||||
Stock options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 6.02 | $ 14.05 | $ 18.13 | ||||
Tax benefit realized from stock option exercises | $ 14.1 | $ 6.3 | $ 5.6 | ||||
Excess tax benefit | $ 3.9 | 0.6 | |||||
Percentage vesting | 33.33% | ||||||
Intrinsic value of options exercised | $ 2.6 | 2.4 | 11 | ||||
Fair value of options vested in period | 1.7 | 5.6 | 1 | ||||
Cash received from stock options exercised | 5.3 | $ 4 | $ 27.3 | ||||
Unrecognized compensation costs | $ 5.5 | $ 5.5 | |||||
Unrecognized compensation costs, weighted average period for recognition (in years) | 1 year 11 months 16 days | ||||||
RSUs (including PSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Dividends payable | 4.2 | $ 4.2 | |||||
Restricted Stock Units (RSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation costs | $ 12.9 | $ 12.9 | |||||
Unrecognized compensation costs, weighted average period for recognition (in years) | 1 year 10 months 28 days | ||||||
Restricted Stock Units (RSUs) | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period (in years) | 2 years | ||||||
Restricted Stock Units (RSUs) | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period (in years) | 3 years | ||||||
Restricted Stock Units (RSUs) | Non-employee directors | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock options granted (in shares) | shares | 63,500 | ||||||
Weighted average grant date fair value (in dollars per share) | $ / shares | $ 25.94 | ||||||
Restricted Stock Units (RSUs) | Non-employee directors | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period (in years) | 1 year | ||||||
Performance-based Restricted Stock Units (PSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting period (in years) | 3 years |
Share-Based Compensation Plan94
Share-Based Compensation Plans - Share-Based Compensation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | $ 29 | $ 10 | $ 18 |
Stock-based compensation, net of tax | 18 | 7 | 11 |
Cost of services | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | 0 | 5 | 8 |
Selling, general and administrative expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | $ 29 | $ 5 | $ 10 |
Share-Based Compensation Plan95
Share-Based Compensation Plans - Assumptions Used To Determine Fair Value of Stock Option (Details) - Stock options | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 1.38% | 1.67% | 2.03% |
Expected volatility | 30.62% | 30.62% | 32.94% |
Expected term (in years) | 4 years 9 months 4 days | 5 years 7 months 18 days | 6 years 11 days |
Dividend yield | 1.60% | 1.56% | 1.50% |
Share-Based Compensation Plan96
Share-Based Compensation Plans - Information Concerning Share Based Compensation Plans (Details) - USD ($) $ / shares in Units, $ in Millions | 4 Months Ended | 8 Months Ended | 12 Months Ended | |||
Apr. 01, 2016 | Nov. 27, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Mar. 28, 2014 | |
Stock options | ||||||
Number of Option Shares | ||||||
Outstanding beginning of period (in shares) | 1,079,048 | 806,761 | 1,502,547 | 806,761 | 1,320,128 | |
Granted (in shares) | 123,221 | 175,680 | 1,013,118 | 181,213 | ||
Net transfer/conversion (in shares) | 223,090 | |||||
Exercised (in shares) | (25,293) | (105,342) | (303,908) | (611,595) | ||
Canceled/forfeited (in shares) | (120,951) | (18,314) | (147,413) | (73,851) | ||
Expired (in shares) | (6,555) | (2,827) | (67,446) | (9,134) | ||
Outstanding end of period (in shares) | 1,502,547 | 1,079,048 | 1,996,898 | 1,502,547 | 806,761 | 1,320,128 |
Vested and expected to vest [Abstract] | ||||||
Expected to vest in the future as of period end (in shares) | 1,333,919 | |||||
Exercisable as of period end (in shares) | 662,979 | |||||
Weighted Average Exercise Price | ||||||
Weighted average exercise price - beginning of period (in dollars per share) | $ 24.82 | $ 47.18 | $ 23.06 | $ 47.18 | $ 44.15 | |
Weighted average exercise price - granted (in dollars per share) | 27.70 | 68.43 | 24.83 | 61.11 | ||
Weighted average exercise price - net transfer/converted (in dollars per share) | 57.85 | |||||
Weighted average exercise price - exercised (in dollars per share) | 18.86 | 35.11 | 19.09 | 45.46 | ||
Weighted average exercise price - canceled/forfeited (in dollars per share) | 25.03 | 58.43 | 24.81 | 41.76 | ||
Weighted average exercise price - expired (in dollars per share) | 18.15 | 53.62 | 27.31 | 44.70 | ||
Weighted average exercise price - end of period (in dollars per share) | $ 23.06 | $ 24.82 | 24.29 | $ 23.06 | $ 47.18 | $ 44.15 |
Weighted average exercise price expected to vest as of period end (in dollars per share) | 25.10 | |||||
Weighted average exercise price exercisable as of period end (in dollars per share) | $ 22.67 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||||||
Weighted average remaining contractual life (in years) | 7 years 4 days | 7 years 26 days | 7 years 9 months 18 days | 6 years 1 month 17 days | 4 years 7 months 10 days | |
Weighted average remaining contractual life vested and expected to vest in the future as of period end (in years) | 8 years 11 months 12 days | |||||
Weighted average remaining contractual life exercisable as of period end (in years) | 5 years 5 months 27 days | |||||
Aggregate intrinsic value | $ 8 | $ 47 | $ 10 | $ 8 | $ 15 | $ 21 |
Aggregate intrinsic value expected to vest in the future as of period end | 6 | |||||
Aggregate intrinsic value exercisable as of period end | $ 5 | |||||
Stock options | CSC Plan | ||||||
Number of Option Shares | ||||||
Net transfer/conversion (in shares) | 1,203,316 | |||||
Weighted Average Exercise Price | ||||||
Weighted average exercise price - net transfer/converted (in dollars per share) | $ 24.60 | |||||
Stock options | SRA Plan | ||||||
Number of Option Shares | ||||||
Net transfer/conversion (in shares) | 328,809 | |||||
Weighted Average Exercise Price | ||||||
Weighted average exercise price - net transfer/converted (in dollars per share) | $ 15.98 | |||||
RSUs (including PSUs) | ||||||
Number of Option Shares | ||||||
Net transfer/conversion (in shares) | 62,554 | |||||
Weighted Average Exercise Price | ||||||
Weighted average exercise price - net transfer/converted (in dollars per share) | $ 10.07 | |||||
Equity instruments other than options nonvested [Roll Forward] | ||||||
Equity instruments other than options nonvested - beginning balance (in shares) | 372,210 | 289,508 | 376,557 | 289,508 | 283,886 | |
Equity instruments other than options nonvested - granted (in shares) | 116,692 | 84,150 | 694,432 | 105,531 | ||
Equity instruments other than options nonvested - released/issued (in shares) | (94,994) | (40,692) | (164,936) | (54,605) | ||
Equity instruments other than options nonvested - canceled/forfeited (in shares) | (53,029) | (23,310) | (48,139) | (45,304) | ||
Equity instruments other than options nonvested - ending balance (in shares) | 376,557 | 372,210 | 857,914 | 376,557 | 289,508 | 283,886 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||||||
Weighted average fair value other than options - beginning balance (in dollars per share) | $ 38.58 | $ 46.99 | $ 29.39 | $ 46.99 | $ 38.77 | |
Weighted average fair value other than options - granted (in dollars per share) | 28.44 | 67.48 | 25.78 | 61.05 | ||
Weighted average fair value other than options - released/issued (in dollars per share) | 24.29 | 40.10 | 26.78 | 36.04 | ||
Weighted average fair value other than options - canceled/forfeited (in dollars per share) | 35.96 | 45.54 | 29.75 | 41.43 | ||
Weighted average fair value other than options - ending balance (in dollars per share) | $ 29.39 | $ 38.58 | $ 26.95 | $ 29.39 | $ 46.99 | $ 38.77 |
RSUs (including PSUs) | CSC Plan | ||||||
Number of Option Shares | ||||||
Net transfer/conversion (in shares) | 407,888 | |||||
Weighted Average Exercise Price | ||||||
Weighted average exercise price - net transfer/converted (in dollars per share) | $ 29.68 |
Share-Based Compensation Plan97
Share-Based Compensation Plans - Schedule of Share Based Compensation Shares Authorized Under Stock Option Plans by Exercise Price Range (Details) | 12 Months Ended |
Mar. 31, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options outstanding, Number Outstanding (in shares) | shares | 1,996,898 |
Options exercisable, Number Exercisable (in shares) | shares | 662,979 |
$11.49 to $15.98 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Range of option exercise price, minimum (in USD per share) | $ 11.49 |
Range of option exercise price, maximum (in USD per share) | $ 15.98 |
Options outstanding, Number Outstanding (in shares) | shares | 215,998 |
Options outstanding, Weighted Average Remaining Contractual Term (in years) | 7 years 10 months 21 days |
Options outstanding, Weighted Average Exercise Price (in USD per share) | $ 15.10 |
Options exercisable, Number Exercisable (in shares) | shares | 107,486 |
Options exercisable, Weighted Average Exercise Price (in USD per share) | $ 14.22 |
$15.99 to $24.77 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Range of option exercise price, minimum (in USD per share) | 15.99 |
Range of option exercise price, maximum (in USD per share) | $ 24.77 |
Options outstanding, Number Outstanding (in shares) | shares | 1,218,287 |
Options outstanding, Weighted Average Remaining Contractual Term (in years) | 8 years |
Options outstanding, Weighted Average Exercise Price (in USD per share) | $ 23.75 |
Options exercisable, Number Exercisable (in shares) | shares | 273,048 |
Options exercisable, Weighted Average Exercise Price (in USD per share) | $ 20.21 |
$24.78 to $31.49 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Range of option exercise price, minimum (in USD per share) | 24.78 |
Range of option exercise price, maximum (in USD per share) | $ 31.49 |
Options outstanding, Number Outstanding (in shares) | shares | 562,613 |
Options outstanding, Weighted Average Remaining Contractual Term (in years) | 7 years 3 months 29 days |
Options outstanding, Weighted Average Exercise Price (in USD per share) | $ 28.99 |
Options exercisable, Number Exercisable (in shares) | shares | 282,445 |
Options exercisable, Weighted Average Exercise Price (in USD per share) | $ 28.26 |
Stockholders_ Equity and Accu98
Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) - Narrative (Details) - USD ($) | Mar. 31, 2017 | Mar. 20, 2017 | Dec. 15, 2016 | Aug. 10, 2016 | May 25, 2016 | Mar. 31, 2017 | Apr. 01, 2016 | Nov. 30, 2015 |
Equity [Abstract] | ||||||||
Limit for amount of dividends Company can pay | $ 75,000,000 | |||||||
Cash dividend declared (in USD per share) | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.40 | |||
Dividends payable | $ 16,300,000 | |||||||
Authorized stock repurchase amount (not to exceed) | $ 400,000,000 | |||||||
Shares repurchased (in shares) | 989,319 | 1,768,129 | ||||||
Aggregate consideration of stock repurchased | $ 29,000,000 | $ 50,000,000 | ||||||
Average price per share of stock acquired (in USD per share) | $ 29.31 | $ 28.23 | ||||||
Remained authorized shares repurchased, amount | $ 321,000,000 | $ 321,000,000 |
Stockholders_ Equity and Accu99
Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) - Dividends declared (Details) - USD ($) $ / shares in Units, $ in Millions | Mar. 20, 2017 | Dec. 15, 2016 | Aug. 10, 2016 | May 25, 2016 | Mar. 31, 2017 |
Equity [Abstract] | |||||
Cash dividend declared (in USD per share) | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.40 |
Amount of dividends paid | $ 16 | $ 16 | $ 16 | $ 16 | $ 65 |
Stockholders_ Equity and Acc100
Stockholders’ Equity and Accumulated Other Comprehensive Income (Loss) - AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Mar. 28, 2014 | |
Before Tax Income (Loss) [Abstract] | ||||
Total OCI, Before Tax Amount | $ 18 | $ 34 | $ 1 | |
Tax Expense [Abstract] | ||||
Total OCI, Tax Impact Increase (Decrease) | (8) | (13) | (1) | |
Other comprehensive income (loss), net of taxes, related to: | ||||
Other comprehensive income, net of taxes | 10 | 21 | $ 0 | 0 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance, beginning of period | 90 | 1,095 | 1,159 | |
Balance, end of period | 359 | 90 | 1,095 | 1,159 |
Foreign Currency Translation Adjustments | ||||
Before Tax Income (Loss) [Abstract] | ||||
Component of OCI, Before Tax Amount | 1 | 2 | (2) | |
Tax Expense [Abstract] | ||||
Component of OCI, Tax Impact Increase (Decrease) | (1) | 0 | 0 | |
Other comprehensive income (loss), net of taxes, related to: | ||||
Component of OCI, Net of Tax Amount | 0 | 2 | (2) | |
Reclassification Adjustments, Net of Tax Amount | 0 | 0 | 0 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance, beginning of period | 0 | (2) | 0 | |
Current-period other comprehensive income (loss), net of taxes | 0 | 2 | (2) | |
Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests | 0 | 0 | 0 | |
Effect of Spin-Off, net of tax | 0 | |||
Balance, end of period | 0 | 0 | (2) | 0 |
Cash Flow Hedge | ||||
Before Tax Income (Loss) [Abstract] | ||||
Component of OCI, Before Tax Amount | 30 | (11) | ||
Tax Expense [Abstract] | ||||
Component of OCI, Tax Impact Increase (Decrease) | (12) | 4 | ||
Other comprehensive income (loss), net of taxes, related to: | ||||
Component of OCI, Net of Tax Amount | 18 | (7) | 0 | |
Reclassification Adjustments, Net of Tax Amount | 0 | 0 | 0 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance, beginning of period | (7) | 0 | 0 | |
Current-period other comprehensive income (loss), net of taxes | 18 | (7) | 0 | |
Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests | 0 | 0 | 0 | |
Effect of Spin-Off, net of tax | 0 | |||
Balance, end of period | 11 | (7) | 0 | 0 |
Prior service cost (credit) | ||||
Before Tax Income (Loss) [Abstract] | ||||
Component of OCI, Before Tax Amount | 50 | 5 | ||
Reclassification Adjustments, Before Tax Amount | (13) | (7) | (2) | |
Tax Expense [Abstract] | ||||
Component of OCI, Tax Impact Increase (Decrease) | (19) | (2) | ||
Reclassification Adjustments, Tax Impact Increase (Decrease) | 5 | 2 | 1 | |
Other comprehensive income (loss), net of taxes, related to: | ||||
Component of OCI, Net of Tax Amount | 31 | 3 | ||
Reclassification Adjustments, Net of Tax Amount | (8) | (5) | (1) | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Current-period other comprehensive income (loss), net of taxes | 31 | 3 | ||
Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests | (8) | (5) | (1) | |
Pension and Other Postretirement Benefit Plans | ||||
Other comprehensive income (loss), net of taxes, related to: | ||||
Component of OCI, Net of Tax Amount | 0 | 0 | 3 | |
Reclassification Adjustments, Net of Tax Amount | (8) | (5) | (1) | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance, beginning of period | 28 | 2 | 0 | |
Current-period other comprehensive income (loss), net of taxes | 0 | 0 | 3 | |
Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests | (8) | (5) | (1) | |
Effect of Spin-Off, net of tax | 31 | |||
Balance, end of period | 20 | 28 | 2 | 0 |
Total Accumulated Other Comprehensive Income (Loss) | ||||
Other comprehensive income (loss), net of taxes, related to: | ||||
Component of OCI, Net of Tax Amount | 18 | (5) | 1 | |
Reclassification Adjustments, Net of Tax Amount | (8) | (5) | (1) | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Balance, beginning of period | 21 | 0 | 0 | |
Current-period other comprehensive income (loss), net of taxes | 18 | (5) | 1 | |
Amounts reclassified from accumulated other comprehensive income (loss), net of taxes and noncontrolling interests | (8) | (5) | (1) | |
Effect of Spin-Off, net of tax | 31 | |||
Balance, end of period | $ 31 | $ 21 | $ 0 | $ 0 |
Supplemental Cash Flow Infor101
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Supplemental Cash Flow Elements [Abstract] | |||
Cash paid for income taxes | $ 90 | $ 91 | $ 163 |
Cash paid for interest | $ 108 | $ 48 | $ 23 |
Supplemental Cash Flow Infor102
Supplemental Cash Flow Information - Non-Cash Activities (Details) - USD ($) $ in Millions | 8 Months Ended | 12 Months Ended | ||
Nov. 27, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Capital expenditures in accounts payable and other liabilities | $ 38 | $ 25 | $ 14 | |
Capital expenditures for capital lease obligations | 119 | 1 | 10 | |
Deferred tax liability | 110 | 215 | (2) | |
Non-cash transfers related to Spin-Off | 0 | (475) | 0 | |
Non-cash transactions related to Mergers | 0 | (11) | 0 | |
Non-cash equity consideration issued, net of shares held for taxes for SRA Shareholders | 0 | (768) | 0 | |
Transfers of remaining net parent investment to additional paid-in capital | $ 0 | $ 0 | $ (608) | $ 0 |
Supplemental Cash Flow Infor103
Supplemental Cash Flow Information - Narrative (Details) - Merger With SRA International - USD ($) $ / shares in Units, $ in Millions | Nov. 30, 2015 | Apr. 01, 2016 |
Other Significant Noncash Transactions [Line Items] | ||
Noncash effects of SRA consideration | $ 779 | |
Shares issued (in shares) | 25,170,564 | |
Volume-weighted average price (in dollars per share) | $ 30.95 |
Segment and Geographic Infor104
Segment and Geographic Information (Operating Results and Total Assets by Reportable Segments) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2017 | Dec. 30, 2016 | Sep. 30, 2016 | Jul. 01, 2016 | Apr. 01, 2016 | Jan. 01, 2016 | Oct. 02, 2015 | Jul. 03, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Mar. 28, 2014 | |
Segment Reporting Information [Line Items] | ||||||||||||
Revenues | $ 1,254 | $ 1,222 | $ 1,263 | $ 1,254 | $ 1,290 | $ 1,032 | $ 969 | $ 959 | $ 4,993 | $ 4,250 | $ 4,070 | |
Segment operating income | 622 | 187 | 457 | |||||||||
Depreciation and amortization expense | 241 | 182 | 137 | |||||||||
Total assets | 4,888 | 4,846 | 4,888 | 4,846 | 2,161 | |||||||
Cash | 126 | 130 | 126 | 130 | 5 | $ 4 | ||||||
Property, plant and equipment, net | 610 | 530 | 610 | 530 | ||||||||
Other current assets | 69 | 52 | 69 | 52 | ||||||||
Other long-term assets | 87 | 69 | 87 | 69 | ||||||||
Operating segments | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenues | 4,993 | 4,250 | 4,070 | |||||||||
Segment operating income | 708 | 563 | 546 | |||||||||
Depreciation and amortization expense | 241 | 182 | 137 | |||||||||
Total assets | 4,572 | 4,636 | 4,572 | 4,636 | 2,161 | |||||||
Operating segments | Defense and Intelligence | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenues | 2,250 | 2,067 | 2,127 | |||||||||
Segment operating income | 268 | 273 | 254 | |||||||||
Depreciation and amortization expense | 137 | 108 | 93 | |||||||||
Total assets | 1,989 | 1,846 | 1,989 | 1,846 | 1,331 | |||||||
Operating segments | Civil | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenues | 2,743 | 2,183 | 1,943 | |||||||||
Segment operating income | 440 | 290 | 292 | |||||||||
Depreciation and amortization expense | 104 | 74 | 44 | |||||||||
Total assets | 2,583 | 2,790 | 2,583 | 2,790 | 830 | |||||||
Corporate | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenues | 0 | 0 | 0 | |||||||||
Segment operating income | 0 | 0 | 0 | |||||||||
Depreciation and amortization expense | 0 | 0 | 0 | |||||||||
Total assets | 316 | $ 210 | 316 | $ 210 | $ 0 | |||||||
Cash | 99 | 99 | ||||||||||
Accounts receivable | 75 | 75 | ||||||||||
Property, plant and equipment, net | 82 | 82 | ||||||||||
Other current assets | 42 | 42 | ||||||||||
Other long-term assets | $ 18 | $ 18 |
Segment and Geographic Infor105
Segment and Geographic Information (Reconciliation of Consolidated Operating Income to income Before Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Reconciliation of consolidated operating income to income before taxes [Abstract] | |||
Operating income | $ 622 | $ 187 | $ 457 |
Separation and merger costs | (90) | (118) | 0 |
Operating segments | |||
Reconciliation of consolidated operating income to income before taxes [Abstract] | |||
Operating income | 708 | 563 | 546 |
Segment reconciling items | |||
Reconciliation of consolidated operating income to income before taxes [Abstract] | |||
Pension and OPEB plans actuarial (losses) gains, and pension settlement losses | 98 | (203) | (8) |
Corporate segment expenses | (94) | (55) | (81) |
Separation and merger costs | $ (90) | $ (118) | $ 0 |
Segment and Geographic Infor106
Segment and Geographic Information (Narrative) (Details) - contract | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Segment Reporting Information [Line Items] | |||
Number of contracts | 850 | ||
Departments and agencies of U.S. government | Customer concentration risk | Revenues | |||
Segment Reporting Information [Line Items] | |||
Concentration percentage | 92.00% | 91.00% | 91.00% |
Departments and agencies of U.S. government | Customer concentration risk | Net accounts receivable | |||
Segment Reporting Information [Line Items] | |||
Concentration percentage | 94.00% | 99.00% | |
DoD and Intelligence Community | Customer concentration risk | Revenues | |||
Segment Reporting Information [Line Items] | |||
Concentration percentage | 45.00% | 51.00% | |
Civilian agencies | Customer concentration risk | Revenues | |||
Segment Reporting Information [Line Items] | |||
Concentration percentage | 55.00% | 40.00% |
Commitments and Contingencies -
Commitments and Contingencies - Commitments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | |
Leases, Operating [Abstract] | |||
Rent expense | $ 82 | $ 70.5 | $ 70.2 |
Guarantor obligations | 121 | ||
Capital Leases of Lessee [Abstract] | |||
Gross assets | 1,304 | 1,303 | |
Accumulated amortization | 694 | 773 | |
Stand-by letters of credit | |||
Leases, Operating [Abstract] | |||
Guarantor obligations | 20 | ||
Surety bonds | |||
Leases, Operating [Abstract] | |||
Guarantor obligations | 12 | ||
Capital lease assets | |||
Capital Leases of Lessee [Abstract] | |||
Gross assets | 528 | 427 | |
Accumulated amortization | $ 210 | $ 186 |
Commitments and Contingencie108
Commitments and Contingencies - Future Minimum Operating Lease Obligations (Details) $ in Millions | Mar. 31, 2017USD ($) |
Real Estate | |
Loss Contingencies [Line Items] | |
2,018 | $ 43 |
2,019 | 39 |
2,020 | 37 |
2,021 | 27 |
2,022 | 19 |
Thereafter | 76 |
Total | 241 |
Equipment | |
Loss Contingencies [Line Items] | |
2,018 | 4 |
2,019 | 3 |
2,020 | 1 |
2,021 | 0 |
2,022 | 0 |
Thereafter | 0 |
Total | $ 8 |
Commitments and Contingencie109
Commitments and Contingencies - Schedule of Expiation of Financial Guarantees and Letters of Credit (Details) $ in Millions | Mar. 31, 2017USD ($) |
Loss Contingencies [Line Items] | |
Fiscal Year 2018 | $ 67 |
Fiscal Year 2019 | 32 |
Fiscal Year 2020 and Thereafter | 22 |
Total | 121 |
Customer purchase commitments | |
Loss Contingencies [Line Items] | |
Fiscal Year 2018 | 35 |
Fiscal Year 2019 | 32 |
Fiscal Year 2020 and Thereafter | 22 |
Total | 89 |
Stand-by letters of credit | |
Loss Contingencies [Line Items] | |
Fiscal Year 2018 | 20 |
Fiscal Year 2019 | 0 |
Fiscal Year 2020 and Thereafter | 0 |
Total | 20 |
Surety bonds and other guarantees | |
Loss Contingencies [Line Items] | |
Fiscal Year 2018 | 12 |
Fiscal Year 2019 | 0 |
Fiscal Year 2020 and Thereafter | 0 |
Total | $ 12 |
Commitments and Contingencie110
Commitments and Contingencies - Future Minimum Lease Payment Capital Lease Obligation (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Apr. 01, 2016 |
Commitments and Contingencies Disclosure [Abstract] | ||
2,018 | $ 79 | |
2,019 | 73 | |
2,020 | 69 | |
2,021 | 64 | |
2,022 | 62 | |
Thereafter | 63 | |
Total minimum lease payments | 410 | |
Less: Amount representing interest and executory costs | (91) | |
Less: Amount representing maintenance, taxes, and insurance costs | (103) | |
Present value of net minimum lease payments | 216 | |
Less: Current maturities of capital lease liability | (44) | $ (42) |
Noncurrent capital lease liability | $ 172 | $ 109 |
Commitments and Contingencie111
Commitments and Contingencies - Contingencies (Details) $ in Millions | Jul. 14, 2016USD ($) | Dec. 14, 2015USD ($) | Jun. 09, 2015plaintiff | Aug. 22, 2014 | Jul. 12, 2013USD ($) | Sep. 30, 2016USD ($) | Oct. 31, 2014USD ($) | Apr. 30, 2013plaintiff | Feb. 28, 2013plaintiff | Mar. 31, 2017USD ($)caseplaintiff | Dec. 22, 2015argument | Dec. 31, 2013divestiture_transaction |
Loss Contingencies [Line Items] | ||||||||||||
Payment to fund pension settlement obligation | $ 24.7 | |||||||||||
Maryland Medicaid Enterprise Restructuring Project | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Damages sought | $ 83 | |||||||||||
Number of arguments in the motion | argument | 4 | |||||||||||
Maryland Medicaid Enterprise Restructuring Project - State Claim | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Damages sought | $ 30 | |||||||||||
Strauch and Colby v. Computer Sciences Corporation | Pending Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of system administrators | plaintiff | 1,285 | |||||||||||
Number of system administrators employed by CSRA | plaintiff | 407 | |||||||||||
Rishell v. Computer Sciences Corporation | Pending Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of system administrators | plaintiff | 1 | |||||||||||
Rhodes v. Computer Sciences Corporation | Pending Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of system administrators | plaintiff | 5 | |||||||||||
Litigation Cases Similar To Southwest Asia Employment Contract Litigation | Pending Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of system administrators | plaintiff | 90 | |||||||||||
Number of similar cases | case | 2 | |||||||||||
Potential adjustments on government contracts | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, estimate of possible loss | $ 16.5 | |||||||||||
Maximum | Southwest Asia Employment Contract Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, estimate of possible loss | 8.5 | |||||||||||
Minimum | Southwest Asia Employment Contract Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, estimate of possible loss | $ 1.3 | |||||||||||
CSC | Maryland Medicaid Enterprise Restructuring Project | Pending Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Contract performance suspension period | 90 days | |||||||||||
Damages sought | $ 80 | |||||||||||
CSC | U.S. Army Communications-Electronics Command v. Computer Sciences Corp | Pending Litigation | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Damages sought | $ 235.2 | |||||||||||
CSC | DynCorp Divestitures | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of separate transactions | divestiture_transaction | 2 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | May 22, 2017 | May 18, 2017 | Mar. 20, 2017 | Dec. 15, 2016 | Aug. 10, 2016 | May 25, 2016 | Mar. 31, 2017 |
Subsequent Event [Line Items] | |||||||
Cash dividend declared (in USD per share) | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.40 | ||
Subsequent event | |||||||
Subsequent Event [Line Items] | |||||||
Cash dividend declared (in USD per share) | $ 0.1 | ||||||
NES Associates, LLC | Subsequent event | |||||||
Subsequent Event [Line Items] | |||||||
Payments for acquisition | $ 105 |
SUPPLEMENTARY DATA - SELECTE113
SUPPLEMENTARY DATA - SELECTED QUARTERLY UNAUDITED FINANCIAL DATA (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2017 | Dec. 30, 2016 | Sep. 30, 2016 | Jul. 01, 2016 | Apr. 01, 2016 | Jan. 01, 2016 | Oct. 02, 2015 | Jul. 03, 2015 | Mar. 31, 2017 | Apr. 01, 2016 | Apr. 03, 2015 | Nov. 27, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||
Revenues | $ 1,254 | $ 1,222 | $ 1,263 | $ 1,254 | $ 1,290 | $ 1,032 | $ 969 | $ 959 | $ 4,993 | $ 4,250 | $ 4,070 | |
Costs of services (excludes depreciation and amortization and restructuring costs) | 990 | 866 | 983 | 991 | 1,227 | 817 | 757 | 775 | ||||
Income before income taxes | 61 | 204 | 124 | 106 | (107) | 58 | 88 | 109 | 495 | 149 | 429 | |
Net income | 40 | 128 | 80 | 68 | (68) | 51 | 53 | 67 | 316 | 103 | 268 | |
Net income attributable to CSRA common stockholders | $ 37 | $ 126 | $ 76 | $ 65 | $ (72) | $ 48 | $ 48 | $ 63 | $ 304 | $ 87 | $ 252 | |
Earnings (loss) per common share | ||||||||||||
Basic (in USD per share) | $ 0.23 | $ 0.77 | $ 0.46 | $ 0.40 | $ (0.44) | $ 0.30 | $ 0.35 | $ 0.45 | $ 1.86 | $ 0.54 | $ 1.81 | |
Diluted (in USD per share) | $ 0.22 | $ 0.76 | $ 0.46 | $ 0.39 | $ (0.44) | $ 0.29 | $ 0.35 | $ 0.45 | $ 1.84 | $ 0.53 | $ 1.81 | |
Common stock, shares outstanding (in shares) | 163,216,000 | 162,926,000 | 163,216,000 | 162,926,000 | 139,128,158 |
Uncategorized Items - csra-2017
Label | Element | Value |
Stock Issued During Period, Value, Restricted Stock Award, Gross | us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardGross | $ 0 |
Dividends, Special, Common Stock, Cash | csra_DividendsSpecialCommonStockCash | 1,148,000,000 |
Adjustments to Additional Paid in Capital, Share-based Compensation and Exercise of Stock Options | us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationAndExerciseOfStockOptions | 4,000,000 |
Unrealized Gain (Loss) on Derivatives | us-gaap_UnrealizedGainLossOnDerivatives | (7,000,000) |
Stock Repurchased During Period, Value | us-gaap_StockRepurchasedDuringPeriodValue | 50,000,000 |
Stock Issued During Period, Value, Stock Options Exercised | us-gaap_StockIssuedDuringPeriodValueStockOptionsExercised | 4,000,000 |
Dividends, Cash | us-gaap_DividendsCash | 34,000,000 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeDefinedBenefitPlansAdjustmentNetOfTaxPortionAttributableToParent | 5,000,000 |
Adjustments Related to Tax Withholding for Share-based Compensation | us-gaap_AdjustmentsRelatedToTaxWithholdingForShareBasedCompensation | 11,000,000 |
Distributions to Parent | csra_DistributionstoParent | 274,000,000 |
Stock Issued During Period, Value, Acquisitions | us-gaap_StockIssuedDuringPeriodValueAcquisitions | 779,000,000 |
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | us-gaap_MinorityInterestDecreaseFromDistributionsToNoncontrollingInterestHolders | 18,000,000 |
Transitory Note to Related Party | csra_TransitoryNotetoRelatedParty | 350,000,000 |
Additional Paid-in Capital [Member] | ||
Stock Issued During Period, Value, Restricted Stock Award, Gross | us-gaap_StockIssuedDuringPeriodValueRestrictedStockAwardGross | 0 |
Adjustments to Additional Paid in Capital, Share-based Compensation and Exercise of Stock Options | us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationAndExerciseOfStockOptions | 4,000,000 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax | 0 |
Stock Repurchased During Period, Value | us-gaap_StockRepurchasedDuringPeriodValue | 50,000,000 |
Stock Issued During Period, Value, Stock Options Exercised | us-gaap_StockIssuedDuringPeriodValueStockOptionsExercised | 4,000,000 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeDefinedBenefitPlansAdjustmentNetOfTaxPortionAttributableToParent | 0 |
Adjustments Related to Tax Withholding for Share-based Compensation | us-gaap_AdjustmentsRelatedToTaxWithholdingForShareBasedCompensation | 11,000,000 |
Stock Issued During Period, Value, Acquisitions | us-gaap_StockIssuedDuringPeriodValueAcquisitions | 779,000,000 |
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | (608,000,000) |
Noncontrolling Interest [Member] | ||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeDefinedBenefitPlansAdjustmentNetOfTaxPortionAttributableToParent | 0 |
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | 0 |
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | us-gaap_MinorityInterestDecreaseFromDistributionsToNoncontrollingInterestHolders | 18,000,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | 11,000,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | $ 5,000,000 |
Common Stock [Member] | ||
Stock Issued During Period, Shares, Acquisitions | us-gaap_StockIssuedDuringPeriodSharesAcquisitions | 25,171,000 |
Stock Issued During Period, Shares, Other | us-gaap_StockIssuedDuringPeriodSharesOther | 139,124,000 |
Stock Issued During Period, Shares, Restricted Stock Award, Gross | us-gaap_StockIssuedDuringPeriodSharesRestrictedStockAwardGross | 844,000 |
Shares Paid for Tax Withholding for Share Based Compensation | us-gaap_SharesPaidForTaxWithholdingForShareBasedCompensation | 367,000 |
Stock Repurchased During Period, Shares | us-gaap_StockRepurchasedDuringPeriodShares | 1,768,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | us-gaap_StockIssuedDuringPeriodSharesStockOptionsExercised | 222,000 |
Parent [Member] | ||
Dividends, Special, Common Stock, Cash | csra_DividendsSpecialCommonStockCash | $ 1,148,000,000 |
Adjustments to Additional Paid in Capital, Share-based Compensation and Exercise of Stock Options | us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationAndExerciseOfStockOptions | 4,000,000 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax | 2,000,000 |
Unrealized Gain (Loss) on Derivatives | us-gaap_UnrealizedGainLossOnDerivatives | (7,000,000) |
Stock Repurchased During Period, Value | us-gaap_StockRepurchasedDuringPeriodValue | 50,000,000 |
Stock Issued During Period, Value, Stock Options Exercised | us-gaap_StockIssuedDuringPeriodValueStockOptionsExercised | 4,000,000 |
Dividends, Cash | us-gaap_DividendsCash | 34,000,000 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeDefinedBenefitPlansAdjustmentNetOfTaxPortionAttributableToParent | 5,000,000 |
Adjustments Related to Tax Withholding for Share-based Compensation | us-gaap_AdjustmentsRelatedToTaxWithholdingForShareBasedCompensation | 11,000,000 |
Distributions to Parent | csra_DistributionstoParent | 274,000,000 |
Stock Issued During Period, Value, Acquisitions | us-gaap_StockIssuedDuringPeriodValueAcquisitions | 779,000,000 |
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | 0 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | 128,000,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | (40,000,000) |
Transitory Note to Related Party | csra_TransitoryNotetoRelatedParty | 350,000,000 |
Retained Earnings [Member] | ||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax | 0 |
Dividends, Cash | us-gaap_DividendsCash | 34,000,000 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeDefinedBenefitPlansAdjustmentNetOfTaxPortionAttributableToParent | 0 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | (40,000,000) |
AOCI Attributable to Parent [Member] | ||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax | 2,000,000 |
Unrealized Gain (Loss) on Derivatives | us-gaap_UnrealizedGainLossOnDerivatives | (7,000,000) |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeDefinedBenefitPlansAdjustmentNetOfTaxPortionAttributableToParent | 5,000,000 |
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | 31,000,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | 0 |
Net Parent Investment [Member] | ||
Dividends, Special, Common Stock, Cash | csra_DividendsSpecialCommonStockCash | 1,148,000,000 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax | 0 |
Distributions to Parent | csra_DistributionstoParent | 274,000,000 |
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | 577,000,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | 128,000,000 |
Transitory Note to Related Party | csra_TransitoryNotetoRelatedParty | 350,000,000 |
Restricted Stock [Member] | ||
Adjustments Related to Tax Withholding for Share-based Compensation | us-gaap_AdjustmentsRelatedToTaxWithholdingForShareBasedCompensation | 1,000,000 |
Restricted Stock [Member] | Additional Paid-in Capital [Member] | ||
Adjustments Related to Tax Withholding for Share-based Compensation | us-gaap_AdjustmentsRelatedToTaxWithholdingForShareBasedCompensation | $ 1,000,000 |
Restricted Stock [Member] | Common Stock [Member] | ||
Shares Paid for Tax Withholding for Share Based Compensation | us-gaap_SharesPaidForTaxWithholdingForShareBasedCompensation | 300,000 |
Restricted Stock [Member] | Parent [Member] | ||
Adjustments Related to Tax Withholding for Share-based Compensation | us-gaap_AdjustmentsRelatedToTaxWithholdingForShareBasedCompensation | $ 1,000,000 |