| Schedule of Shareholder's Equity |
A reconciliation of Shareholders’ equity is presented below: | | | | | | | | | | | | | | | | | | | | | | (In millions) | Common
Stock | Capital
Surplus | Treasury
Stock | Retained
Earnings | Accumulated
Other
Comprehensive
Income (Loss) | Total
Shareholders'
Equity | | Three months ended July 4, 2026 | | | | | | | | Beginning of period | $ | 22 | | $ | 2,091 | | $ | (223) | | $ | 6,001 | | $ | 111 | | $ | 8,002 | | | Net income | — | | — | | — | | 248 | | — | | 248 | | | Other comprehensive loss | — | | — | | — | | — | | (16) | | (16) | | | Share-based compensation activity | — | | 35 | | — | | — | | — | | 35 | | | Dividends declared | — | | — | | — | | (4) | | — | | (4) | | | Purchases of common stock, including excise tax* | — | | — | | (211) | | — | | — | | (211) | | | | | | | | | | End of period | $ | 22 | | $ | 2,126 | | $ | (434) | | $ | 6,245 | | $ | 95 | | $ | 8,054 | | | Three months ended June 28, 2025 | | | | | | | | Beginning of period | $ | 23 | | $ | 2,005 | | $ | (299) | | $ | 5,811 | | $ | (265) | | $ | 7,275 | | | Net income | — | | — | | — | | 245 | | — | | 245 | | | Other comprehensive income | — | | — | | — | | — | | 96 | | 96 | | | Share-based compensation activity | — | | 36 | | — | | — | | — | | 36 | | | Dividends declared | — | | — | | — | | (4) | | — | | (4) | | | Purchases of common stock, including excise tax* | — | | — | | (215) | | — | | — | | (215) | | | End of period | $ | 23 | | $ | 2,041 | | $ | (514) | | $ | 6,052 | | $ | (169) | | $ | 7,433 | | | Six months ended July 4, 2026 | | | | | | | | Beginning of period | $ | 22 | | $ | 1,995 | | $ | (55) | | $ | 5,784 | | $ | 129 | | $ | 7,875 | | | Net income | — | | — | | — | | 468 | | — | | 468 | | | Other comprehensive loss | — | | — | | — | | — | | (34) | | (34) | | | Share-based compensation activity | — | | 131 | | — | | — | | — | | 131 | | | Dividends declared | — | | — | | — | | (7) | | — | | (7) | | | Purchases of common stock, including excise tax* | — | | — | | (379) | | — | | — | | (379) | | | | | | | | | | End of period | $ | 22 | | $ | 2,126 | | $ | (434) | | $ | 6,245 | | $ | 95 | | $ | 8,054 | | | Six months ended June 28, 2025 | | | | | | | | Beginning of period | $ | 23 | | $ | 1,960 | | $ | (82) | | $ | 5,607 | | $ | (304) | | $ | 7,204 | | | Net income | — | | — | | — | | 452 | | — | | 452 | | | Other comprehensive income | — | | — | | — | | — | | 135 | | 135 | | | Share-based compensation activity | — | | 81 | | — | | — | | — | | 81 | | | Dividends declared | — | | — | | — | | (7) | | — | | (7) | | | Purchases of common stock, including excise tax* | — | | — | | (432) | | — | | — | | (432) | | | End of period | $ | 23 | | $ | 2,041 | | $ | (514) | | $ | 6,052 | | $ | (169) | | $ | 7,433 | |
* Includes amounts accrued for excise tax imposed on common share repurchases that totaled $2 million for both the second quarter and first half of 2026 and $1 million and $3 million for the second quarter and first half of 2025, respectively.
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| Schedule of Weighted-Average Shares Outstanding for Basic and Diluted EPS |
The weighted-average shares outstanding for basic and diluted EPS are as follows: | | | | | | | | | | | | | | | | Three Months Ended | Six Months Ended | | (In thousands) | July 4,
2026 | June 28,
2025 | July 4,
2026 | June 28,
2025 | | Basic weighted-average shares outstanding | 173,500 | | 179,958 | | 174,031 | | 181,168 | | | Dilutive effect of stock options | 1,506 | | 1,133 | | 1,560 | | 1,211 | | | Diluted weighted-average shares outstanding | 175,006 | | 181,091 | | 175,591 | | 182,379 | |
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| Schedule of Components of Accumulated Other Comprehensive Income (Loss) |
The components of Accumulated other comprehensive income (loss) are presented below: | | | | | | | | | | | | | | | | (In millions) | Pension and
Postretirement
Benefits
Adjustments | Foreign
Currency
Translation
Adjustments | Deferred
Gains (Losses)
on Hedge
Contracts | Accumulated
Other
Comprehensive
Income (Loss) | | Balance at January 3, 2026 | $ | 119 | | $ | 12 | | $ | (2) | | $ | 129 | | | Other comprehensive loss before reclassifications | — | | (30) | | (7) | | (37) | | | Reclassified from Accumulated other comprehensive income | 2 | | — | | 1 | | 3 | | | Balance at July 4, 2026 | $ | 121 | | $ | (18) | | $ | (8) | | $ | 95 | | | Balance at December 28, 2024 | $ | (179) | | $ | (120) | | $ | (5) | | $ | (304) | | | Other comprehensive income before reclassifications | — | | 133 | | 3 | | 136 | | | Reclassified from Accumulated other comprehensive loss | — | | (2) | | 1 | | (1) | | | Balance at June 28, 2025 | $ | (179) | | $ | 11 | | $ | (1) | | $ | (169) | |
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| Schedule of Before and After-Tax Components of Other Comprehensive Income (Loss) |
The before and after-tax components of Other comprehensive income (loss) are presented below: | | | | | | | | | | | | | | | | | | | | | | July 4, 2026 | June 28, 2025 | | (In millions) | Pre-Tax
Amount | Tax
(Expense)
Benefit | After-tax
Amount | Pre-Tax
Amount | Tax
(Expense)
Benefit | After-tax
Amount | | Three Months Ended | | | | | | | | Pension and postretirement benefits adjustments: | | | | | | | | Amortization of net actuarial gain* | $ | (2) | | $ | 1 | | $ | (1) | | $ | (2) | | $ | 1 | | $ | (1) | | | Amortization of prior service cost* | 3 | | (1) | | 2 | | 2 | | (1) | | 1 | | | Pension and postretirement benefits adjustments, net | 1 | | — | | 1 | | — | | — | | — | | | Foreign currency translation adjustments: | | | | | | | | Foreign currency translation adjustments | (15) | | — | | (15) | | 93 | | — | | 93 | | | Business disposition | — | | — | | — | | (2) | | — | | (2) | | | Foreign currency translation adjustments, net | (15) | | — | | (15) | | 91 | | — | | 91 | | | Deferred gains (losses) on hedge contracts: | | | | | | | | Current deferrals | (2) | | 1 | | (1) | | 8 | | (3) | | 5 | | | Reclassification adjustments | 2 | | (3) | | (1) | | — | | — | | — | | | Deferred gains (losses) on hedge contracts, net | — | | (2) | | (2) | | 8 | | (3) | | 5 | | | Total | $ | (14) | | $ | (2) | | $ | (16) | | $ | 99 | | $ | (3) | | $ | 96 | | | Six Months Ended | | | | | | | | Pension and postretirement benefits adjustments: | | | | | | | | Amortization of net actuarial gain* | $ | (5) | | $ | 2 | | $ | (3) | | $ | (4) | | $ | 1 | | $ | (3) | | | Amortization of prior service cost* | 6 | | (1) | | 5 | | 4 | | (1) | | 3 | | | Pension and postretirement benefits adjustments, net | 1 | | 1 | | 2 | | — | | — | | — | | | Foreign currency translation adjustments: | | | | | | | | Foreign currency translation adjustments | (30) | | — | | (30) | | 133 | | — | | 133 | | | Business disposition | — | | — | | — | | (2) | | — | | (2) | | | Foreign currency translation adjustments, net | (30) | | — | | (30) | | 131 | | — | | 131 | | | Deferred gains (losses) on hedge contracts: | | | | | | | | Current deferrals | (9) | | 2 | | (7) | | 5 | | (2) | | 3 | | | Reclassification adjustments | 5 | | (4) | | 1 | | 2 | | (1) | | 1 | | | Deferred gains (losses) on hedge contracts, net | (4) | | (2) | | (6) | | 7 | | (3) | | 4 | | | Total | $ | (33) | | $ | (1) | | $ | (34) | | $ | 138 | | $ | (3) | | $ | 135 | |
*These components of other comprehensive income (loss) are included in the computation of net periodic pension cost (income). See Note 14 of our 2025 Annual Report on Form 10-K for additional information. |