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Contract Sale of S Corporation Stock

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					          Document and Company Information (USD $)
                                                              6 Months Ended
                                                               Jan. 01, 2010

Document and Company Information [Abstract]
Entity Registrant Name                                    HARRIS CORP /DE/
Entity Central Index Key                                  0000202058
Document Type                                             10-Q
Document Period End Date                                  2010-01-01
Amendment Flag                                            false
Current Fiscal Year End Date                              --07-02
Entity Well-known Seasoned Issuer                         Yes
Entity Voluntary Filers                                   No
Entity Current Reporting Status                           Yes
Entity Filer Category                                     Large Accelerated Filer
Entity Public Float
Entity Common Stock, Shares Outstanding (actual number)
Jan. 22, 2010          Jan. 02, 2009




                             $5,416,808,799
         130,805,835
   Condensed Consolidated Statement of Income (Unaudited)
                           (USD $)
                                                                          3 Months Ended
                                                                           Jan. 01, 2010
                   In Millions, except Per Share data
Revenue from product sales and services                                               $1,217.7
Cost of product sales and services                                                     (778.6)
Engineering, selling and administrative expenses                                       (215.7)
Non-operating loss                                                                        (0.3)
Interest income                                                                             0.3
Interest expense                                                                        (18.2)
Income from continuing operations before income taxes                                       205.2
Income taxes                                                                               (65.7)
Income from continuing operations                                                          139.5
Discontinued operations, net of income taxes                                                   0
Net income (loss)                                                                          139.5
Noncontrolling interest in discontinued operations, net of income taxes                        0
Net income (loss) attributable to Harris Corporation                                       139.5
Amounts attributable to Harris Corporation common
shareholders
Income from continuing operations                                                          139.5
Discontinued operations, net of income taxes                                                   0
Net income (loss)                                                                      $139.5
Basic net income per common share attributable to Harris
Corporation common shareholders
Continuing operations                                                                      $1.07
Discontinued operations                                                                       $0
Net income (loss)                                                                          $1.07
Diluted net income per common share attributable to Harris
Corporation common shareholders
Continuing operations                                                                      $1.06
Discontinued operations                                                                       $0
Net income (loss)                                                                          $1.06
Cash dividends paid per common share                                                       $0.22
Basic weighted average shares outstanding                                                  130.9
Diluted weighted average shares outstanding                                                131.3
3 Months Ended            6 Months Ended           6 Months Ended
 Jan. 02, 2009             Jan. 01, 2010            Jan. 02, 2009

            $1,333.2                   $2,420.7                 $2,505.8
             (925.3)                  (1,590.7)                (1,717.2)
             (191.8)                    (427.8)                  (381.4)
                (0.7)                      (0.5)                    (8.8)
                  0.9                        0.7                      1.9
              (13.8)                     (36.4)                   (26.2)
                  202.5                      366                   374.1
                 (61.9)                    (122)                 (114.1)
                 140.6                      244                     260
                 (317)                        0                  (318.3)
             (176.4)                        244                     (58.3)
               137.8                          0                      138.4
                 (38.6)                     244                      80.1



               140.6                        244                     260
             (179.2)                          0                  (179.9)
             ($38.6)                       $244                     $80.1


               $1.06                       $1.86                   $1.95
             ($1.35)                          $0                 ($1.35)
             ($0.29)                       $1.86                     $0.6



               $1.06                       $1.85                   $1.94
             ($1.35)                          $0                 ($1.34)
             ($0.29)                       $1.85                     $0.6
                  $0.2                     $0.44                     $0.4
                 133.3                     131.3                    133.6
                 133.3                     131.6                    134.2
  Condensed Consolidated Balance Sheet (Unaudited) (USD $)
                                                                        Jan. 01, 2010
                                In Millions
Current Assets
Cash and cash equivalents                                                               $310.2
Receivables                                                                              679.5
Inventories                                                                              672.2
Income taxes receivable                                                                    3.9
Current deferred income taxes                                                            142.7
Other current assets                                                                      66.1
Total current assets                                                                    1,874.6
Non-current Assets
Property, plant and equipment                                                             521.5
Goodwill                                                                                1,576.8
Intangible assets                                                                         315.4
Non-current deferred income taxes                                                          92.7
Other non-current assets                                                                  148.7
Total non-current assets                                                                2,655.1
Total assets                                                                            4,529.7
Current Liabilities
Short-term debt                                                                             45
Accounts payable                                                                         284.4
Compensation and benefits                                                                172.6
Other accrued items                                                                      312.5
Advance payments and unearned income                                                     195.5
Current portion of long-term debt                                                          0.7
Total current liabilities                                                               1,010.7
Non-current Liabilities
Long-term debt                                                                          1,176.9
Long-term contract liability                                                                139
Other long-term liabilities                                                               189.6
Total non-current liabilities                                                           1,505.5
Shareholders' Equity
Preferred stock, without par value; 1,000,000 shares authorized; none
issued                                                                                       0
Common stock, $1.00 par value; 500,000,000 shares authorized; issued
and outstanding 129,314,335 shares at January 1, 2010 and
131,370,702 shares at July 3, 2009                                                        129.3
Other capital                                                                             462.3
Retained earnings                                                                       1,436.6
Accumulated other comprehensive loss                                                     (14.7)
Total shareholders' equity                                                              2,013.5
Total liabilities and shareholders' equity                                          $4,529.7
Jul. 03, 2009


                $281.2
                 770.8
                 607.2
                    21
                 117.2
                    62
                1,859.4

                  543.2
                1,507.1
                  335.6
                   85.3
                  134.5
                2,605.7
                4,465.1

                 105.7
                   368
                 224.9
                 288.7
                 121.7
                   0.7
                1,109.7

                1,177.3
                  145.6
                  163.4
                1,486.3


                     0


                  131.4
                  466.3
                1,322.8
                 (51.4)
                1,869.1
            $4,465.1
      Condensed Consolidated Balance Sheet (Unaudited)
                  (Parenthetical) (USD $)
                                                         Jan. 01, 2010

Shareholders' Equity
Preferred shares, par value                                                 0
Preferred shares, authorized                                        1,000,000
Preferred shares, issued                                                    0
Common shares, par value                                                    1
Common shares, authorized                                         500,000,000
Common shares, issued                                             129,314,335
Common shares, outstanding                                        129,314,335
Jul. 03, 2009


                   0
           1,000,000
                   0
                   1
         500,000,000
         131,370,702
         131,370,702
 Condensed Consolidated Statement of Cash Flows (Unaudited)
                          (USD $)
                                                                          6 Months Ended
                                                                           Jan. 01, 2010
                                In Millions
Operating Activities
Net income                                                                                  $244
Adjustments to reconcile net income to net cash provided by
operating activities:
Depreciation and amortization                                                               80.8
Share-based compensation                                                                    21.2
Non-current deferred income taxes                                                            1.1
Impairment of securities available-for-sale                                                    0
Impairment of goodwill and other long-lived assets                                             0
Noncontrolling interest in discontinued operations, net of income taxes                        0
(Increase) decrease in:
Accounts and notes receivable                                                               97.6
Inventories                                                                                 (72)
Increase (decrease) in:
Accounts payable and accrued expenses                                                  (130.1)
Advance payments and unearned income                                                      73.7
Income taxes                                                                               7.9
Other                                                                                    (2.8)
Net cash provided by operating activities                                                  321.4
Investing Activities
Cash paid for acquired businesses                                                          (33.7)
Additions of property, plant and equipment                                                 (38.5)
Additions of capitalized software                                                           (3.9)
Cash paid for short-term investments available-for-sale                                         0
Proceeds from the sale of short-term investments available-for-sale                             0
Net cash used in investing activities                                                      (76.1)
Financing Activities
Proceeds from borrowings                                                                     0
Repayments of borrowings                                                                (61.4)
Proceeds from exercises of employee stock options                                            6
Repurchases of common stock                                                            (105.5)
Cash dividends                                                                          (57.8)
Net cash used in financing activities                                                  (218.7)
Effect of exchange rate changes on cash and cash equivalents                                 2.4
Net increase (decrease) in cash and cash equivalents                                          29
Cash and cash equivalents, beginning of year                                               281.2
Cash and cash equivalents, end of quarter                                                  310.2
Less cash and cash equivalents of discontinued operations                                      0
Cash and cash equivalents of continuing operations, end of quarter                     $310.2
6 Months Ended
 Jan. 02, 2009


                 $80.1


                85.7
                18.4
                  (2)
                 7.6
                 301
             (138.4)

                 (53.8)
                 (90.7)

                  (5.6)
                    6.8
                 (16.6)
                  (3.2)
                 189.3

                      0
                 (59.9)
                  (6.8)
                  (1.2)
                    2.7
                 (65.2)

                   78.7
                 (79.4)
                    7.3
                 (82.1)
                 (53.9)
             (129.4)
                  (12)
                 (17.3)
                    370
                  352.7
                 (97.7)
                  $255
     Significant Accounting Policies and Recent Accounting
                           Standards
                                                                      6 Months Ended
                                                                       Jan. 01, 2010
                                                                       USD / shares

Significant Accounting Policies and Recent Accounting
Standards [Abstract]
                                                                    Note A Significant
                                                                  Accounting Policies and
                                                                  Recent Accounting
                                                                  Standards Basis of
                                                                  Presentation The
                                                                  accompanying condensed
                                                                  consolidated financial
                                                                  statements include the
                                                                  accounts of Harris
                                                                  Corporation and its
                                                                  subsidiaries. As used in
                                                                  these Notes to Condensed
                                                                  Consolidated Financial
                                                                  Statements (Unaudited)
                                                                  (these Notes), the terms
                                                                  Harris, Company, we, our,
                                                                  and us refer to Harris
                                                                  Corporation and its
                                                                  consolidated subsidiaries.
                                                                  Significant intercompany
                                                                  transactions and accounts
                                                                  have been eliminated. The
                                                                  accompanying condensed
                                                                  consolidated financial
                                                                  statements have been
                                                                  prepared by Harris, without
                                                                  an audit, in accordance with
                                                                  U.S. generally accepted
                                                                  accounting principles for
                                                                  interim financial information
                                                                  and with the rules and
Significant Accounting Policies and Recent Accounting Standards   regulations of the Securities
                                                                  and Exchange Commission
                     Discontinued Operations
                                                   6 Months Ended
                                                    Jan. 01, 2010
                                                    USD / shares

Discontinued Operations [Abstract]
                                                 Note B
                                               Discontinued Operations
                                               In the fourth quarter of
                                               fiscal 2009, in connection
                                               with the Spin-off in the form
                                               of a taxable pro rata
                                               dividend to our shareholders
                                               of all the shares of HSTX
                                               common stock owned by us
                                               (which constituted a
                                               controlling interest in HSTX),
                                               we eliminated as a reporting
                                               segment our former HSTX
                                               segment, which is reported
                                               as discontinued operations
                                               in this Report. As a result,
                                               our historical financial
                                               results have been restated
                                               to account for HSTX as
                                               discontinued operations for
                                               all periods presented in this
                                               Report. Summarized
                                               financial information for our
                                               discontinued operations in
                                               the quarter and two
                                               quarters ended January2,
                                               2009 is as follows:

                                                Quarter Ended
                                                Two Quarters Ended
                                                January 2,
Discontinued Operations                        January 2,
                                               2009 2009
      Stock Options and Other Share-Based Compensation
                                                                  6 Months Ended
                                                                   Jan. 01, 2010
                                                                   USD / shares


Stock Options and Other Share-Based Compensation [Abstract]
                                                                Note C Stock
                                                              Options and Other Share-
                                                              Based Compensation
                                                              As of January1, 2010,
                                                              we had three shareholder-
                                                              approved employee stock
                                                              incentive plans (SIPs) under
                                                              which options or other share-
                                                              based compensation was
                                                              outstanding, and we had the
                                                              following types of share-
                                                              based awards outstanding
                                                              under our SIPs: stock
                                                              options, performance share
                                                              awards, performance share
                                                              unit awards, restricted stock
                                                              awards and restricted stock
                                                              unit awards. We believe that
                                                              such awards more closely
                                                              align the interests of
                                                              employees receiving such
                                                              awards with those of
                                                              shareholders. Certain share-
                                                              based awards provide for
                                                              accelerated vesting if there
                                                              is a change in control (as
                                                              defined under our SIPs).
                                                              The compensation cost
                                                              related to our share-based
                                                              awards that was charged
                                                              against income was
Stock Options and Other Share-Based Compensation              $10.1million and
                                                              $21.2million, respectively,
    Comprehensive Income (Loss) and Accumulated Other
                   Comprehensive Loss
                                                                      6 Months Ended
                                                                       Jan. 01, 2010
                                                                       USD / shares

Comprehensive Income (Loss) and Accumulated Other
Comprehensive Loss [Abstract]
                                                                    Note D
                                                                  Comprehensive Income
                                                                  (Loss) and Accumulated
                                                                  Other Comprehensive Loss
                                                                  Comprehensive income
                                                                  (loss)for the quarter and
                                                                  two quarters ended
                                                                  January1, 2010 and January
                                                                  2, 2009 was comprised of
                                                                  the following:


                                                                  Quarter Ended
                                                                  Two Quarters Ended
                                                                   January 1,
                                                                  January 2, January
                                                                  1 January 2,
                                                                   2010
                                                                  2009 2010
                                                                  2009
                                                                  (In millions)
                                                                  Net income (loss)
                                                                  $ 139.5 $
                                                                  (176.4 ) $ 244.0
                                                                   $ (58.3 )
                                                                  Other comprehensive
                                                                  income (loss):

                                                                  Foreign currency
                                                                  translation 16.2
Comprehensive Income (Loss) and Accumulated Other Comprehensive    (78.4 )
Loss                                                              34.3 (100.6 )
                                                                  Net unrealized gain
                         Receivables
                                           6 Months Ended
                                            Jan. 01, 2010
                                            USD / shares

Receivables [Abstract]
                                        Note E Receivables
                                       Receivables are
                                       summarized below:

                                        January 1,
                                       July 3, 2010
                                        2009 (In
                                       millions) Accounts
                                       receivable $ 573.4
                                        $ 630.4
                                       Unbilled costs on
                                       cost-plus contracts
                                       114.6 149.1
                                       Notes receivable
                                       due within one year, net
                                        4.1 4.5

                                        692.1
                                       784.0 Less
                                       allowances for collection
                                       losses (12.6 )
                                        (13.2 )
                                        $ 679.5
                                        $ 770.8

Receivables
                         Inventories
                                           6 Months Ended
                                            Jan. 01, 2010
                                            USD / shares

Inventories [Abstract]
                                        Note F Inventories
                                       Inventories are
                                       summarized below:

                                        January 1,
                                       July 3, 2010
                                        2009 (In
                                       millions) Unbilled
                                       costs and accrued earnings
                                       on fixed-price contracts
                                       $ 362.7 $
                                       305.0 Finished
                                       products 146.5
                                       146.7 Work in
                                       process 58.1
                                       64.1 Raw
                                       materials and supplies
                                       104.9 91.4

                                       $ 672.2
                                       $ 607.2
                                        Unbilled
                                       costs and accrued earnings
                                       on fixed-price contracts are
                                       net of progress payments of
                                       $26.6million at January1,
                                       2010 and $16.1million at
                                       July3, 2009.

Inventories
                  Property, Plant and Equipment
                                                      6 Months Ended
                                                       Jan. 01, 2010
                                                       USD / shares

Property, Plant and Equipment [Abstract]
                                                    Note G Property,
                                                  Plant and Equipment
                                                  Property, plant and
                                                  equipment are summarized
                                                  below:
                                                    January 1,
                                                   July 3,
                                                  2010 2009
                                                   (In millions)
                                                  Land $ 12.0
                                                   $ 10.9
                                                  Software
                                                  capitalized for internal use
                                                   83.1 79.9
                                                  Buildings
                                                  345.9 351.7
                                                  Machinery and
                                                  equipment 814.8
                                                   802.1

                                                  1,255.8 1,244.6
                                                  Less allowances for
                                                  depreciation and
                                                  amortization (734.3
                                                  ) (701.4 )

                                                  $ 521.5
                                                  $ 543.2
                                                   Depreciation
                                                  and amortization expense
                                                  related to property, plant
Property, Plant and Equipment                     and equipment for the
                                                  quarter and two quarters
                     Accrued Warranties
                                              6 Months Ended
                                               Jan. 01, 2010
                                               USD / shares

Accrued Warranties [Abstract]
                                            Note H Accrued
                                          Warranties Changes in
                                          our warranty liability, which
                                          is included as a component
                                          of the Other accrued items
                                          line item in the
                                          accompanying Condensed
                                          Consolidated Balance Sheet
                                          (Unaudited), during the two
                                          quarters ended January1,
                                          2010 are as follows:

                                          (In millions)
                                          Balance at July3,
                                          2009 $ 65.5
                                          Warranty provision
                                          for sales made during the
                                          two quarters ended
                                          January1, 2010 28.7
                                          Settlements made
                                          during the two quarters
                                          ended January1, 2010
                                          (14.2 ) Other
                                          adjustments to the warranty
                                          liability, including those for
                                          foreign currency translation,
                                          during the two quarters
                                          ended January1, 2010
                                          0.4
                                          Balance at
                                          January1, 2010 $
Accrued Warranties                        80.4
         Income From Continuing Operations Per Share
                                                             6 Months Ended
                                                              Jan. 01, 2010
                                                              USD / shares

Income From Continuing Operations Per Share [Abstract]
                                                           Note I Income
                                                         From Continuing Operations
                                                         Per Share In the
                                                         quarter ended October2,
                                                         2009, we adopted an
                                                         accounting standard
                                                         requiring that unvested
                                                         share-based payment
                                                         awards that contain rights
                                                         to receive nonforfeitable
                                                         dividends or dividend
                                                         equivalents (whether paid or
                                                         unpaid) be treated as
                                                         participating securities and
                                                         that such awards be
                                                         included in the calculations
                                                         of income per basic and
                                                         diluted share. Our
                                                         performance share awards
                                                         and restricted share awards
                                                         meet the definition of
                                                         participating securities and
                                                         are included in the
                                                         calculations of income from
                                                         continuing operations per
                                                         basic and diluted share
                                                         below, including
                                                         restatement of prior period
                                                         amounts, which was not
                                                         material. Also, income per
                                                         diluted share should be
Income From Continuing Operations Per Share              calculated using the more
                                                         dilutive of the treasury stock
                     Non-Operating Loss
                                              6 Months Ended
                                               Jan. 01, 2010
                                               USD / shares

Non-Operating Loss [Abstract]
                                            Note J Non-
                                          Operating Loss The
                                          components of non-
                                          operating loss are as
                                          follows:

                                           Quarter Ended
                                           Two Quarters Ended
                                           January 1,
                                          January 2, January
                                          1, January 2,
                                           2010
                                          2009 2010
                                          2009
                                          (In millions)
                                          Gain on the sale of
                                          investments $
                                          $ 0.5 $
                                          $ 0.5
                                          Impairment of
                                          securities available-for-sale

                                            (7.6 )
                                          Equity income
                                            0.1
                                           0.2 Net
                                          royalty expense (0.3
                                          ) (1.3 )
                                          (0.5 ) (1.9 )

                                           $ (0.3
Non-Operating Loss                        ) $ (0.7 ) $
                                          (0.5 ) $ (8.8 )
                          Income Taxes
                                             6 Months Ended
                                              Jan. 01, 2010
                                              USD / shares

Income Taxes [Abstract]
                                           Note K Income
                                         Taxes Our effective tax
                                         rate (income taxes as a
                                         percentage of income from
                                         continuing operations before
                                         income taxes) was
                                         32.0percent in the second
                                         quarter of fiscal 2010
                                         compared with 30.6 percent
                                         in the second quarter of
                                         fiscal 2009. In the second
                                         quarter of fiscal 2010, we
                                         recorded a $3.5million state
                                         income tax benefit
                                         associated with the filing of
                                         our fiscal 2008 income tax
                                         returns. In the second
                                         quarter of fiscal 2009, we
                                         recorded a $5.0million tax
                                         benefit relating to prior
                                         periods associated with
                                         legislative action during the
                                         second quarter of fiscal
                                         2009 that restored the U.S.
                                         Federal income tax credit for
                                         research and development
                                         expenses, and a $3.7 million
                                         state income tax benefit
                                         associated with the filing of
                                         our fiscal 2007 income tax
                                         returns. Our effective
Income Taxes                             tax rate was 33.3percent in
                                         the first two quarters of
                    Fair Value Measurements
                                                  6 Months Ended
                                                   Jan. 01, 2010
                                                   USD / shares

Fair Value Measurements [Abstract]
                                                Note L Fair Value
                                              Measurements In the
                                              quarter ended October2,
                                              2009, we adopted an
                                              accounting standard for fair
                                              value measurements for
                                              nonfinancial assets and
                                              nonfinancial liabilities that
                                              are recognized or disclosed
                                              at fair value in the financial
                                              statements on a
                                              nonrecurring basis.
                                              Nonfinancial assets and
                                              nonfinancial liabilities that
                                              were measured at fair value
                                              on a nonrecurring basis
                                              were not material during the
                                              quarter and two quarters
                                              ended January1, 2010.
                                              Fair value is defined as
                                              the price that would be
                                              received to sell an asset or
                                              paid to transfer a liability in
                                              the principal market (or
                                              most advantageous market,
                                              in the absence of a principal
                                              market) for the asset or
                                              liability in an orderly
                                              transaction between market
                                              participants at the
                                              measurement date. Further,
Fair Value Measurements                       entities are required to
                                              maximize the use of
          Derivative Instruments and Hedging Activities
                                                               6 Months Ended
                                                                Jan. 01, 2010
                                                                USD / shares

Derivative Instruments and Hedging Activities [Abstract]
                                                             Note M Derivative
                                                           Instruments and Hedging
                                                           Activities In the normal
                                                           course of doing business,
                                                           we are exposed to global
                                                           market risks, including the
                                                           effect of changes in foreign
                                                           currency exchange rates.
                                                           We use derivative
                                                           instruments to manage our
                                                           exposure to such risks and
                                                           formally document all
                                                           relationships between
                                                           hedging instruments and
                                                           hedged items, as well as the
                                                           risk-management objective
                                                           and strategy for undertaking
                                                           hedge transactions. We
                                                           recognize all derivatives in
                                                           the accompanying
                                                           Condensed Consolidated
                                                           Balance Sheet (Unaudited)
                                                           at fair value. We do not hold
                                                           or issue derivatives for
                                                           trading purposes. At
                                                           January1, 2010, we had
                                                           open foreign currency
                                                           forward contracts with a
                                                           notional amount of
                                                           $94.1million, of which
                                                           $55.7million were classified
Derivative Instruments and Hedging Activities              as cash flow hedges and
                                                           $38.4million were classified
                     Business Segments
                                             6 Months Ended
                                              Jan. 01, 2010
                                              USD / shares

Business Segments [Abstract]
                                           Note N Business
                                         Segments We structure
                                         our operations primarily
                                         around the products and
                                         services we sell and the
                                         markets we serve, and we
                                         report the financial results
                                         of our continuing operations
                                         in the following three
                                         business segments RF
                                         Communications,
                                         Government
                                         Communications Systems
                                         and Broadcast
                                         Communications. Our RF
                                         Communications segment is
                                         a global supplier of secure
                                         tactical radio
                                         communications and
                                         embedded high-grade
                                         encryption solutions for
                                         military and government
                                         organizations and also of
                                         secured communications
                                         systems and equipment for
                                         public safety, utility and
                                         transportation markets. Our
                                         Government
                                         Communications Systems
                                         segment conducts advanced
                                         research studies and
Business Segments                        produces, integrates and
                                         supports highly reliable, net-

				
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Description: Contract Sale of S Corporation Stock document sample