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Document And Entity Information - shares	9 Months Ended
Document And Entity Information - shares	Sep. 30, 2018	Oct. 31, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	Conduent Incorporated
Entity Central Index Key	0001677703
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		211,291,181

Condensed Consolidated Statements of Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Revenues
Revenues	$ 1,304	$ 1,480	$ 4,111	$ 4,529
Cost of Goods and Services Sold	1,054	1,219	3,347	3,766
Gross Margin	250	261	764	763
Operating Costs and Expenses
Research and development	3	4	8	11
Selling, general and administrative	142	144	436	466
Restructuring and related costs	31	22	68	76
Amortization of acquired intangible assets	60	60	181	182
Interest expense	22	35	92	105
Separation costs	0	2	0	8
(Gain) loss on divestitures and transaction costs	54	(16)	9	(41)
Litigation costs (recoveries), net	78	6	113	(14)
(Gain) loss on extinguishment of debt	108	0	108	0
Other (income) expenses, net	4	(9)	1	(10)
Total Operating Costs and Expenses	502	248	1,016	783
Income (Loss) before Income Taxes	(252)	13	(252)	(20)
Income tax expense (benefit)	(15)	30	24	11
(Loss) Income from Continuing Operations	(237)	(17)	(276)	(31)
Income from discontinued operations, net of tax	0	0	0	4
Net (Loss) Income	$ (237)	$ (17)	$ (276)	$ (27)
Continuing operations, per basic share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.19)
Discontinued operations, per basic share	0.00	0.00	0.00	0.02
Total Basic Loss per Share	(1.16)	(0.09)	(1.38)	(0.17)
Continuing operations, per diluted share	(1.16)	(0.09)	(1.38)	(0.19)
Discontinued operations, per diluted share	0.00	0.00	0.00	0.02
Total Diluted Loss per Share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.17)

Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Statement of Comprehensive Income [Abstract]
Net (Loss) Income	$ (237)	$ (17)	$ (276)	$ (27)
Other Comprehensive Loss, Net:
Currency translation adjustments, net	(4)	8	(27)	34
Reclassification of currency translation adjustments on divestitures	36	0	41	0
Reclassification of divested benefit plans	61	0	64	0
Unrecognized gains (loss), net	0	0	(3)	2
Other Comprehensive Income (Loss), Net	93	8	75	36
Comprehensive Loss, Net
Comprehensive Income (Loss), Net	$ (144)	$ (9)	$ (201)	$ 9

Condensed Consolidated Balance Sheets - USD ($) shares in Thousands, $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Assets, Current [Abstract]
Cash and cash equivalents	$ 586	$ 658
Accounts receivable, net	951	1,114
Assets Held-for-sale, Not Part of Disposal Group	35	757
Contract with Customer, Asset, Net, Current	191	0
Other current assets	230	181
Total current assets	1,993	2,710
Assets
Land, buildings and equipment, net	297	257
Intangible assets, net	711	891
Goodwill	3,417	3,366
Other long-term assets	312	324
Total Assets	6,730	7,548
Liabilities, Current [Abstract]
Current portion of long-term debt	49	82
Accounts payable	216	138
Accrued compensation and benefits costs	233	335
Unearned income	119	151
Liabilities held for sale	21	169
Other current liabilities	613	493
Total current liabilities	1,251	1,368
Long-term debt	1,528	1,979
Deferred taxes	320	384
Other long-term liabilities	130	146
Total Liabilities	3,229	3,877
Contingencies (See Note 11)
Series A Convertible Preferred Stock	142	142
Common Stock	2	2
Additional paid-in-capital	3,871	3,850
Retained earnings	(90)	171
Accumulated other comprehensive loss	(424)	(494)
Total Equity	3,359	3,529
Total Liabilities and Equity	$ 6,730	$ 7,548
Shares of common stock outstanding (in shares)	211,277	210,440
Shares of series A convertible preferred stock outstanding (in shares)	120	120

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Cash Flows from Operating Activities:
Net income (loss)	$ (237)	$ (17)	$ (276)	$ (27)
Adjustments required to reconcile net income (loss) to cash flows from operating activities:
Depreciation and amortization	113	123	347	378
Deferred income taxes	(43)	24	(90)	(7)
(Gain) loss from investments	0	(3)	(1)	(10)
Amortization of debt financing costs	1	3	9	7
(Gain) loss on extinguishment of debt	108	0	108	0
(Gain) loss on divestitures and transaction costs	54	(16)	9	(48)
Stock-based compensation	11	8	30	26
(Increase) decrease in accounts receivable	(54)	(6)	(40)	(76)
(Increase) decrease in other current and long-term assets	(21)	12	(116)	(35)
Increase (decrease) in accounts payable and accrued compensation	(11)	(1)	(36)	(86)
Increase (decrease) in restructuring liabilities	12	1	16	25
Increase (decrease) in other current and long-term liabilities	49	(26)	38	(80)
Net change in income tax assets and liabilities	(12)	5	36	3
Other operating, net	0	(3)	(4)	(6)
Net cash provided by (used in) operating activities	(30)	104	30	64
Cash Flows from Investing Activities:
Cost of additions to land, buildings and equipment	(43)	(20)	(119)	(57)
Proceeds from Sale of Property, Plant, and Equipment	0	0	12	33
Cost of additions to internal use software	(17)	(11)	(31)	(26)
Payments for (Proceeds from) Investments	0	117	0	117
Proceeds from Divestiture of Businesses	272	56	672	56
Payments for (Proceeds from) Other Investing Activities	0	(1)	0	(1)
Net cash provided by (used in) investing activities	212	141	534	122
Cash Flows from Financing Activities:
Proceeds on long-term debt	0	0	0	306
Debt issuance fee payments	0	0	(3)	(9)
Payments on debt	(484)	(79)	(513)	(232)
Payment for Debt Extinguishment or Debt Prepayment Cost	(95)	0	(95)	0
Net (payments to) transfer from former parent company	0	0	0	(161)
Taxes paid for settlement of stock based compensation	(6)	(3)	(9)	(5)
Dividends paid on preferred stock	(2)	(2)	(7)	(7)
Other financing	0	(2)	0	(3)
Net cash provided by (used in) financing activities	(587)	(86)	(627)	(111)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(3)	0	(9)	2
Increase (decrease) in cash, cash equivalents and restricted cash	(408)	159	(72)	77
Cash, Cash Equivalents and Restricted Cash at Beginning of Period(1)	1,003	334	667	416
Cash, Cash Equivalents and restricted Cash at End of period	$ 595	$ 493	$ 595	$ 493

Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2018	Jun. 30, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Dec. 31, 2016
Statement of Cash Flows [Abstract]
Restricted cash, current	$ 9	$ 10	$ 9	$ 25	$ 25	$ 26

Basis of Presentation	9 Months Ended
Basis of Presentation	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation References herein to “we,” “us,” “our,” the “Company” and “Conduent” refer to Conduent Incorporated and its consolidated subsidiaries unless the context suggests otherwise. Description of Business The Company is a global enterprise and leading provider of business process services with expertise in managing operations involving high volume, repeatable and individualized interactions. The Company's portfolio covers both front office and back office operations; however, the majority of its revenue and differentiation derives from engagements where it serves on behalf of its clients to manage end-user interactions across a wide-range of domains. Examples include payments, collections, benefit administration and end-user communication services. The Company creates value for its commercial and government clients through more efficient service delivery combined with a personalized and seamless experience for the end-user. The Company applies its expertise, technology and innovation to continually modernize its offerings for improved customer and constituent satisfaction and loyalty, increase process efficiency and respond rapidly to changing market dynamics. Basis of Presentation The unaudited interim Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) on a basis consistent with reporting interim financial information in accordance with instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission (SEC). The year-end Condensed Consolidated Balance Sheet was derived from the audited Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2017. Certain reclassifications have been made to prior year information to conform to current year presentation. Intercompany balances and transactions have been eliminated. In the opinion of management, all adjustments necessary for a fair statement of the financial position, results of operations and cash flows have been made. These adjustments consist of normal recurring items. The interim results of operations are not necessarily indicative of the results of the full year. These financial statements should be read in conjunction with the Company’s Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017.

Recent Accounting Pronouncements

9 Months Ended

Sep. 30, 2018

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Recent Accounting Pronouncements

The Company's significant accounting policies are described in Note 1–Basis of Presentation and Summary of Significant Accounting Policies in the Company’s 2017 Annual Report on Form 10-K. Summarized below are the accounting pronouncements adopted subsequent to December 31, 2017 that were applicable and material to the Company.

New Accounting Standards Adopted

Cloud Computing Arrangements: In August 2018, the Financial Accounting Standards Board (FASB) issued an accounting update which aligns the requirements for capitalizing implementation costs incurred in a hosting cloud computing arrangement that is a service contract with the existing capitalization requirements for implementation costs incurred to develop or obtain internal-use software (and hosting cloud computing arrangements that include an internal-use software license). The Company elected to early adopt this standard on July 1, 2018 on a prospective basis. The adoption of this guidance did not have a material impact on the Company’s Condensed Consolidated Financial Statements.

Reclassifying Certain Tax Effects From Accumulated Other Comprehensive Income: On December 22, 2017, the Tax Cuts and Jobs Act (Tax Reform) was enacted, lowering the U.S. corporate tax rate from 35% to 21%. The U.S. deferred tax assets and liabilities, including the balances originally recorded to Accumulated Other Comprehensive Income (AOCI), were adjusted to the new tax rate through net income from continuing operations in December 2017. In February 2018, the FASB issued guidance permitting companies, on an elective basis, to reclassify the disproportionate income tax effects of Tax Reform on items within AOCI to retained earnings. The only disproportionate income tax effects in the Company’s AOCI balance in December 2017 related to the U.S. pension plan. The plan was transferred to H.I.G. Capital as part of the U.S. human resource consulting and actuarial business divestiture completed in August 2018. In light of this, the Company adopted this accounting policy effective July 1, 2018 and has reclassified $5 million from AOCI to retained earnings as of September 30, 2018. Refer to Note 13 – Shareholders’ Equity to the Condensed Consolidated Financial Statements for additional information regarding this reclassification.

Revenue Recognition: In May 2014, the FASB updated the accounting guidance related to revenue recognition, which is also referred to herein as "new revenue standard" to clarify the principles for recognizing revenue and replaced all existing revenue recognition guidance in U.S. GAAP with one accounting model. The core principle of the guidance is that an entity should recognize revenue when the promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. The updated guidance also requires additional qualitative and quantitative disclosures relating to the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers largely on a disaggregated basis. The Company adopted the new revenue standard as of January 1, 2018, using the modified retrospective method. The Company has applied the new revenue standard only to contracts not completed as of the date of initial application. The adoption has primarily impacted the following: (1) revenue associated with postage recognized on a net basis versus previously being recognized on a gross basis; (2) the timing of revenue recognition associated with fixed fees for certain contracts with more than one performance obligation; and (3) the timing of recognition of certain pricing discounts and credits.

The Company recorded a net increase to opening retained earnings of $17 million as of January 1, 2018, due to the cumulative impact of adopting this new guidance. The comparative information has not been restated and continues to be reported under the accounting standards in effect for the periods presented.

The impact of the new revenue standard for the three and nine months ended September 30, 2018, was a decrease in Revenue of $34 million and $110 million, respectively, primarily as a result of recognizing postage receipts on a net basis, in the Company’s Condensed Consolidated Statements of Income (Loss). The impact of the new revenue standard, as of and for the periods ended September 30, 2018, on the Company’s pre-tax income, Condensed Consolidated Balance Sheets and Statements of Cash Flows was not material.

Summary of Accounting Policy

Revenue recognition

The Company recognizes revenue when control of the promised goods or services is transferred to its customers, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods or services.

The Company's contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately, versus together, may require significant judgment. For instance, the Company may contract for an implementation or development project and also provide services to operate the system which the Company implements or develops over a period of time; or the Company may contract to scan, manage and store customer documents. For these contracts, the Company accounts for individual performance obligations separately, if they are distinct. The transaction price is allocated to the separate performance obligations on a relative standalone selling price basis. The Company generally determines standalone selling prices based on the prices charged to customers or using expected cost plus margin.

Once the Company determines the performance obligations, the Company estimates the amount of variable consideration, if any, to be included in determining the transaction price. The majority of the Company's contracts consist of fixed consideration, variable consideration or both. Typical forms of variable consideration include variable pricing such as volume discounts, tiered and declining pricing, penalties for service level agreements, performance bonuses and credits. The Company includes variable consideration in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty is resolved. In order to determine the transaction price, the Company estimates the amount of variable consideration at the inception of the contract, either utilizing the expected value or the most likely amount method, depending on the facts and circumstances relative to the contract. The Company estimates variable consideration and performs a constraint analysis for these contracts on the basis of both historical information and current trends.

The Company’s performance obligations are generally transferred to customers over time. Typically, the Company’s contracts include performance obligation(s) to stand-ready on a daily or monthly basis to provide services to the customers. A time-elapsed output method is used to measure progress because the Company transfers control evenly by providing a stand-ready service. In limited circumstances, the Company also uses a cost-to-cost based input method. The Company has determined that the above methods provide a faithful depiction of the transfer of services to the customer.

Estimates of revenue expected to be recognized in future periods exclude unexercised customer options to purchase additional services that do not represent material rights to the customer. Customer options that do not represent a material right are only accounted for when the customer exercises its option to purchase additional goods or services. The Company recognizes revenue for non-refundable upfront implementation fees on a straight-line basis over the period between the initiation of the services through the end of the contract term.

When more than one party is involved in providing services to a customer, the Company evaluates whether it is the principal, and reports revenue on a gross basis, or an agent, and reports revenue on a net basis. In this assessment, the Company considers the following: if it obtains control of the specified services before they are transferred to the customer; is primarily responsible for fulfillment and inventory risk; and has discretion in establishing price.

The Company reports revenue net of any revenue-based taxes assessed by governmental authorities that are imposed on and concurrent with specific revenue-producing transactions. The primary revenue-based taxes are sales tax and value-added tax (VAT).

The Company's payment terms vary by type of services offered. The time between invoicing and when payment is due is not significant. For certain services and customer types, the Company requires payment before services are rendered.

From time to time, the Company's contracts are modified to account for additions or changes to existing performance obligations. The Company's contract modifications are generally accounted for prospectively.

Disaggregation of Revenue

During the second quarter, the Company changed how it presents the disaggregated revenue by major service line to reflect the core businesses separate from the non-core businesses. This change had no impact on disaggregated revenue by reportable segment or the timing of revenue recognition.

The following table provides information about disaggregated revenue by major service line, the timing of revenue recognition and a reconciliation of the disaggregated revenue by reportable segments. Refer to Note 3 – Segment Reporting for additional information on the Company's reportable segments.



(in millions)	Three Months Ended September 30, 2018		Nine Months Ended September 30, 2018
Commercial Industries:
Omni-channel communications	$	212	$	636
Human resource services	184		562
Industry services	228		719
Non-core	103		335
Total Commercial Industries	727		2,252
Public Sector:
Government services and health	336		1,006
Transportation services	184		541
Total Public Sector	520		1,547
Other:
Divestitures	56		298
Education	1		14
Total Other	57		312
Total Consolidated Revenue	$	1,304	$	4,111

Timing of Revenue Recognition:
Point in time	$	33	$	103
Over time	1,271		4,008
Total Revenue	$	1,304	$	4,111

The Company's contracts with customers are broadly similar in nature throughout the Company's major service lines. The following is a description of the major service lines:


•	Omni-Channel Communications: The Company offers a range of services that help its clients support their end-users. This includes in-bound and out-bound call support for both simple and complex transactions, technical support and patient assistance. The Company also provides multi-channel communication support (both print and digital) across a range of industries.

•

Human Resource Services: The Company helps its clients support their employees at all stages of employment from initial on-boarding through retirement as well as health savings account (HSA) administration. The Company offers clients a range of customized advisory, technology and administrative services that improve the ability of employees to manage their benefits, professional development and retirement planning. Also, the Company assists its clients with workers' compensation claims management.


•	Industry Services: The Company leverages technology to assist its clients with transaction processing as well as providing platform solutions. This includes offerings such as finance and accounting, transaction processing, learning, legal and payment integrity services, among others.


•	Non-Core Commercial: This represents certain customer experience businesses that are considered non-core and therefore are expected to be sold. These businesses are included in Assets/liabilities held for sale.

•

Government Services and Health: The Company's services include public assistance program administration such as child support, pension administration, records management, electronic benefits, eligibility and payment cards, unclaimed property, disease management and software offerings in support of federal, state and local government agencies. The Company also provides payment services, which include prepaid cards, child support disbursements and other government support programs, disbursement of electronic payments directly to end users, collections and transfer of payments.


•	Transportation Services: The Company's services include support for electronic toll collection, public transit, parking and photo enforcement.


•	Divestitures: This represents divested businesses that were previously reported as Commercial Industries Non-core and Public Sector Non-core.

Contract Balances

The Company receives payments from customers based upon contractual billing schedules. Accounts receivable are recorded when the right to consideration becomes unconditional. Contract assets are the Company’s rights to consideration for services provided when the right is conditioned on something other than passage of time (for example, meeting a milestone for the right to bill under the cost-to-cost measure of progress). Contract assets are transferred to Accounts receivable when the rights become unconditional. Unearned income includes payments received in advance of performance under the contract, which are realized when the associated revenue is recognized under the contract.

The following table provides information about the balances of the Company's contract assets, unearned income and receivables from contracts with customers:



(in millions)	September 30, 2018			January 1, 2018
Contract Assets (Unearned Income)
Current contract assets⁽¹⁾	$	191		$	191
Long-term contract assets⁽²⁾	6			2
Current unearned income	(119		)	(128		)
Long-term unearned income⁽³⁾	(34		)	(46		)
Net Contract Assets (Unearned Income)	$	44		$	19
Accounts receivable, net	$	951		$	908

__________


(1)	Prior to the adoption of the new revenue standard, these amounts were recorded in Accounts receivable, net and represented unbilled amounts.


(2)	Presented in Other long-term assets in the Condensed Consolidated Balance Sheets


(3)	Presented in Other long-term liabilities in the Condensed Consolidated Balance Sheets

Revenue of $128 million was recognized during the nine months ended September 30, 2018 related to the Company's unearned income at January 1, 2018. The Company had no asset impairment charges related to contract assets for the three and nine months ended September 30, 2018.

Transaction Price Allocated to the Remaining Performance Obligations

Estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied or partially satisfied at September 30, 2018, was approximately $2 billion. The Company expects to recognize approximately 66% of the revenues over the next two years and the remainder thereafter.

Costs to Obtain and Fulfill a Contract

The Company capitalizes commission expenses paid to internal sales personnel that are incremental to obtaining customer contracts. The net book value of these costs, which was $25 million as of September 30, 2018, are included in Other current assets or Other long-term assets. The judgments made in determining the amount of costs incurred include whether the commissions are incremental and directly related to a successful acquisition of a customer contract. These costs are amortized in Selling, general and administrative costs over the term of the contract or the estimated life of the customer relationship, if renewals are expected and the renewal commission is not commensurate with the initial commission. These costs are periodically reviewed for impairment. The Company expenses sales commissions when incurred if the amortization period of the sales commission is one year or less.

Also, the Company capitalizes costs incurred to fulfill its contracts that (i) relate directly to the contract, (ii) are expected to generate resources that will be used to satisfy the Company’s performance obligation under the contract and (iii) are expected to be recovered through revenue generated under the contract. The net book value of these costs, which comprise set-up/transition activities, was $53 million as of September 30, 2018, and are classified in Other current assets or Other long-term assets on the Condensed Consolidated Balance Sheets. Contract fulfillment costs are expensed to Cost of services as the Company satisfies its performance obligations by transferring the service to the customer. These costs are amortized on a systematic basis over the expected period of benefit.

The amortization of costs incurred to obtain and fulfill a contract for the three and nine months ended September 30, 2018, were $10 million and $37 million, respectively.

Cash Flows: In November 2016, the FASB issued updated accounting guidance regarding the presentation of restricted cash in the Condensed Consolidated Statements of Cash Flows. Specifically, this update requires that restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the Condensed Consolidated Statements of Cash Flows. The Company adopted this updated accounting guidance on January 1, 2018 using the retrospective method. The adoption of this guidance resulted in a reclassification of restricted cash of $25 million for both the three and nine months ended 2017 in the Condensed Consolidated Statements of Cash Flows.

New Accounting Standards To Be Adopted

Leases: In February 2016, the FASB updated the accounting guidance related to leases requiring lessees to recognize a right-of-use asset and a lease liability on the balance sheet for all leases except short term leases (lease term of 12 months or less). The accounting for lessors is largely unchanged. This updated guidance is effective for the Company beginning January 1, 2019. This guidance must be adopted using a modified retrospective approach through a cumulative-effect adjustment for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements. While we are currently evaluating the impact on the Company's Consolidated Financial Statements, we do expect a material impact to the Consolidated Balance Sheets.

Credit Losses: In June 2016, the FASB updated the accounting guidance related to measurement of credit losses on financial instruments, which requires financial assets measured at amortized cost to be presented at the net amount expected to be collected. This updated guidance is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact on the Company's Consolidated Financial Statements.

Segment Reporting

9 Months Ended

Sep. 30, 2018

Segment Reporting [Abstract]

Segment Reporting

The Company's reportable segments correspond to how we organize and manage the business and are aligned to the industries in which our clients operate.

Beginning in 2018, the Company moved the Health Enterprise business from the Other segment into the Public Sector segment. In addition, the Company moved the historical results of the divested businesses to the Other segment from both the Commercial Industries and the Public Sector segments. The prior periods presented have been revised to reflect these changes.

Our financial performance is based on Segment Profit / (Loss) and Segment Adjusted EBITDA for the following two segments:


•	Commercial Industries


•	Public Sector

Commercial Industries: Our Commercial Industries segment provides business process services and customized solutions to clients in a variety of industries. Across the Commercial Industries segment, we deliver end-to-end business-to-business and business-to-customer services that enable our clients to optimize their key processes. Our multi-industry competencies include omni-channel communications, human resource management and finance and accounting services.

Public Sector: Our Public Sector segment provides government-centric business process services to U.S. federal, state and local and foreign governments for transportation, public assistance, program administration, transaction processing, Medicaid platform and payment services.

Other segment includes businesses divested and our Student Loan business, which is in run-off mode. The Company exited the Student Loan business in the third quarter of 2018. In the third quarter of 2018 and beyond, any remaining costs for Student Loans will be reflected in Other (income) expenses, net.

Selected financial information for our reportable segments is as follows:



	Three Months Ended September 30,
(in millions)	Commercial Industries		Public Sector		Other				Total
2018					Divestitures		Other
Revenue	$	727	$	520	$	56	1		$	1,304
Segment profit (loss)	$	37	$	65	$	6	(3	)	$	105
Segment depreciation and amortization	$	30	$	21	$	2	—		$	53
Adjusted EBITDA	$	67	$	85	$	8	(3	)	$	157

2017
Revenue	$	777	$	543	$	139	21		$	1,480
Segment profit (loss)	$	29	$	46	$	36	2		$	113
Segment depreciation and amortization	$	32	$	26	$	4	1		$	63
Adjusted EBITDA	$	61	$	70	$	40	3		$	174



	Nine Months Ended September 30,
(in millions)	Commercial Industries		Public Sector		Other					Total
2018					Divestitures		Other
Revenue	$	2,252	$	1,547	$	298	$	14		$	4,111
Segment profit (loss)	$	96	$	166	$	72	$	(14	)	$	320
Segment depreciation and amortization	$	94	$	63	$	8	$	1		$	166
Adjusted EBITDA	$	190	$	227	$	80	$	(13	)	$	484

2017
Revenue	$	2,384	$	1,639	$	442	$	64		$	4,529
Segment profit (loss)	$	62	$	130	$	91	$	3		$	286
Segment depreciation and amortization	$	101	$	78	$	13	$	4		$	196
Adjusted EBITDA	$	163	$	210	$	104	$	7		$	484



(in millions)	Three Months Ended September 30,						Nine Months Ended September 30,
Segment Profit (Loss) Reconciliation to Pre-tax Income (Loss)	2018			2017			2018			2017
Income (Loss) Before Income Taxes	$	(252	)	$	13		$	(252	)	$	(20	)
Reconciling items:
Restructuring and related costs	31			22			68			76
Amortization of acquired intangible assets	60			60			181			182
Separation costs	—			2			—			8
Interest expense	22			35			92			105
(Gain) loss on divestitures and transaction costs	54			(16		)	9			(41		)
Litigation costs (recoveries), net	78			6			113			(14		)
(Gain) loss on extinguishment of debt	108			—			108			—
Other (income) expenses, net	4			(9		)	1			(10		)
Segment Pre-tax Income (Loss)	$	105		$	113		$	320		$	286
Segment depreciation and amortization	$	53		$	63		$	166		$	196
NY MMIS charge (credit) (Public Sector)	(1		)	1			(2		)	10
HE charge (credit) (Public Sector)	—			(3		)	—			(8		)
Adjusted EBITDA	$	157		$	174		$	484		$	484

Assets/Liabilities Held for Sale

9 Months Ended

Sep. 30, 2018

Divestitures [Abstract]

Assets/Liabilities Held for Sale

Assets/Liabilities Held for Sale and Divestitures

In September 2018, the Company entered into an agreement (subject to regulatory approval) to sell a portfolio of select standalone customer care contracts to Skyview Capital LLC. The assets and liabilities related to this portfolio, collectively referred to as the Disposal Group, have been reclassified to held for sale and measured at the lower of carrying value or fair value less cost to sell. The fair value less estimated cost to sell, as measured by the terms of the sale’s agreement, was less than the carrying amount by $47 million. Accordingly, the Company recorded a $47 million impairment charge, which included a write-off of goodwill of $10 million and long-lived assets of $8 million. This impairment charge was included in the (Gain) loss on divestitures and transaction costs line in the Consolidated Statements of Income(Loss). This Disposal Group is reported in the Commercial Industries segment. The revenues generated from this business were $103 million and $336 million for the three and nine months ended September 30, 2018, respectively and $483 million for the year ended December 31, 2017.

Following is a summary of the major categories of assets and liabilities that have been reclassified to held for sale.



(in millions)	September 30, 2018
Accounts Receivable, net	$	35
Total Assets held for sale	$	35

Accounts payable	$	1
Accrued compensation	9
Unearned revenue	4
Other	7
Total Liabilities held for sale	$	21

In September 2018, the Company completed the sale of its local and municipal constituent government software solutions business to Avenu Insights & Analytics. The proceeds from this divestiture were $106 million in cash and the transaction generated a pre-tax gain of $1 million. The revenues generated from this business were $26 million and $81 million for the three and nine months ended September 30, 2018, respectively and $113 million for the year ended December 31, 2017.

In August 2018, the Company completed the sale of its U.S. human resource consulting and actuarial business and the human resource consulting and outsourcing business located in Canada and the United Kingdom (U.K.) to H.I.G. Capital. The proceeds from this divestiture include $168 million in cash paid at closing, $20 million to be collected in installments over four years and a contingent consideration of $6 million. The transaction generated a pre-tax loss of $5 million. The revenues generated from this business were $29 million and $166 million for the three and nine months ended September 30, 2018, respectively and $279 million for the year ended December 31, 2017.

In July 2018, the Company completed the sale of its off-street parking business, including the Multipark System in France and the U.K., along with its U.S. Airport Parking business to Andera Partners. The proceeds from this divestiture were $26 million in cash and the transaction generated a pre-tax gain of $8 million. The revenues generated from this business were $1 million and $18 million for the three and nine months ended September 30, 2018, respectively and $42 million for the year ended December 31, 2017.

In June 2018, the Company completed the sale of its Commercial Vehicle Operations (CVO) business to Alinda Capital Partners. During the third quarter of 2018, the Company recorded a final working capital adjustment for the sale of the CVO business in the amount of $3 million, increasing the cash proceeds received and pre-tax gain recorded to $403 million and $77 million, respectively. The revenue generated from this business was $33 million for the six months ended June 30, 2018 and $66 million for the year ended December 31, 2017.

Restructuring Programs

9 Months Ended

Sep. 30, 2018

Restructuring and Related Activities [Abstract]

Restructuring Programs

Restructuring Programs and Related Costs

The Company engages in a series of restructuring programs related to downsizing its employee base, exiting certain activities, outsourcing certain internal functions and engaging in other actions designed to reduce its cost structure and improve productivity. The implementation of the Company's strategic transformation program and various productivity initiatives have reduced the Company's real estate footprint across all geographies and segments resulting in increased lease cancellation and other related costs. Management continues to evaluate the Company's business and in the future, there may be additional provisions for new plan initiatives and/or changes in previously recorded estimates as payments are made or actions are completed.

Costs associated with restructuring, including employee severance and lease termination costs, are generally recognized when it has been determined that a liability has been incurred, which is generally upon communication to the affected employees or exit from the leased facility. In those geographies where we have either a formal severance plan or a history of consistently providing severance benefits representing a substantive plan, we recognize employee severance costs when they are both probable and reasonably estimable.

A summary of the Company's restructuring program activity during the nine months ended September 30, 2018 and 2017 was as follows:



(in millions)	Severance and Related Costs			Lease Cancellation and Other Costs			Total
Accrued Balance at December 31, 2017	$	14		$	30		$	44
Restructuring provision	34			33			67
Adjustments to prior accruals	(4		)	5			1
Total Net Current Period Charges	30			38			68
Payments against reserve and currency	(28		)	(27		)	(55		)
Other	—			3			3
Accrued Balance at September 30, 2018	$	16		$	44		$	60



(in millions)	Severance and Related Costs			Lease Cancellation and Other Costs			Total
Accrued Balance at December 31, 2016	$	15		$	6		$	21
Restructuring provision	38			37			75
Adjustments to prior accruals	(5		)	(2		)	(7		)
Total Net Current Period Charges	33			35			68
Payments against reserve and currency	(34		)	(15		)	(49		)
Accrued Balance at September 30, 2017	$	14		$	26		$	40

In addition, the Company recorded professional support costs associated with the strategic transformation program in Restructuring and related costs of $0 million and $8 million for the nine months ended September 30, 2018 and 2017, respectively.

The following table summarizes the total amount of costs incurred in connection with these restructuring programs by segment:



	Three Months Ended September 30,				Nine Months Ended September 30,
(in millions)	2018		2017		2018		2017
Commercial Industries	$	21	$	13	$	48	$	44
Public Sector	7		7		15		21
Other	4		2		5		3
Total Net Restructuring Charges	$	32	$	22	$	68	$	68

Debt

9 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Debt

Long-term debt was as follows:



(in millions)	September 30, 2018			December 31, 2017
Term loan A due 2022	$	711		$	732
Term loan B due 2023	835			842
Senior notes due 2024	34			510
Capital lease obligations	30			33
Principal debt balance	1,610			2,117
Debt issuance costs and unamortized discounts	(33		)	(56		)
Less: current maturities	(49		)	(82		)
Total Long-term Debt	$	1,528		$	1,979

Loans Repricing

On June 28, 2018, the Company entered into Amendment No. 3 (Amendment) to the December 7, 2016 Credit Agreement, which (i) extended the revolving credit maturity from December 7, 2021 to December 7, 2022 and reduced the interest rate on the revolving credit by 0.5% from 2.25% over LIBOR to 1.75% over LIBOR; (ii) extended the maturity date of the Term A Loans from December 7, 2021 to December 7, 2022 and reduced the interest rate by 0.5% from 2.25% over LIBOR to 1.75% over LIBOR, and (iii) reduced the interest rate on the Term B Loans by 0.5% from 3.0% over LIBOR to 2.5% over LIBOR. These transactions resulted in a write-off of unamortized discount and issuance costs of $3 million.

In July 2018, the Company redeemed $476 million of its $510 million 10.5% Senior Notes due 2024. As part of the redemption, the Company paid a premium of $95 million and wrote off the associated unamortized discount and issuance costs of $13 million.

Financial Instruments	9 Months Ended
Financial Instruments	Sep. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Financial Instruments	Financial Instruments The Company is a global company that is exposed to foreign currency exchange rate fluctuations in the normal course of its business. As a part of the Company's foreign exchange risk management strategy, the Company uses derivative instruments, primarily forward contracts, to hedge the funding of foreign entities which have a non-dollar functional currency, thereby reducing volatility of earnings or protecting fair values of assets and liabilities. At September 30, 2018 and December 31, 2017, the Company had outstanding forward exchange contracts with gross notional values of approximately $144 million and $160 million, respectively. Approximately 60% of these contracts mature within three months, 15% in three to six months, 19% in six to twelve months and 6% in greater than twelve months. Most of these foreign currency derivative contracts are designated as cash flow hedges and did not have a material impact on the Company's balance sheet, income statement or cash flows for the periods presented. Refer to Note 8 – Fair Value of Financial Assets and Liabilities for additional information regarding the fair value of the Company's foreign exchange forward contracts.

Fair Value of Financial Assets and Liabilities

9 Months Ended

Sep. 30, 2018

Fair Value Disclosures [Abstract]

Fair Value of Financial Assets and Liabilities

Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP established a hierarchy framework to classify the fair value base on the observability of significant inputs to the measurement. The levels of the fair value hierarchy are as follows:

Level 1: Fair value is determined using an unadjusted quoted price in an active market for identical assets or liabilities.

Level 2: Fair value is estimated using inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly.

Level 3: Fair value is estimated using unobservable inputs that are significant to the fair value of the assets or liabilities.

Unless noted herein, the Company's valuation methodologies for assets and liabilities measured at fair value are described in Note 10 to the Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2017.

Summary of Financial Assets and Liabilities Accounted for at Fair Value on a Recurring Basis

The following table represents assets and liabilities measured at fair value on a recurring basis. The basis for the measurement at fair value in all cases is Level 2.



(in millions)	September 30, 2018		December 31, 2017
Assets:
Foreign exchange contract - forward	$	—	$	2
Total Assets	$	—	$	2
Liabilities:
Foreign exchange contracts - forwards	$	4	$	1
Deferred compensation plan liabilities⁽¹⁾	77		99
Total Liabilities	$	81	$	100

___________


(1)	In September 2017, the Company terminated the legacy deferred compensation plans (Plans) and the Company Owned Life Insurance (COLI), which held the Plans’ investments. The Company will make the remaining payments to Plan participants in the fourth quarter of 2018.

Summary of Other Financial Assets and Liabilities

The estimated fair values of our other financial assets and liabilities were as follows:



	September 30, 2018		December 31, 2017
(in millions)	Carrying Amount	Fair Value	Carrying Amount	Fair Value
Assets:
Assets held for sale	35	35	—	—
Liabilities:
Long-term debt	1,528	1,536	1,979	2,070
Liabilities held for sale	21	21	—	—

The fair value amounts for Cash and cash equivalents, Restricted cash, Accounts receivable, net and Short-term debt approximate carrying amounts due to the short-term maturities of these instruments.

The fair value of the Assets held for sale and the Liabilities held for sale were measured based on the sale’s price less estimated transactions costs (Level 3). Refer to Note 4 – Assets/Liabilities Held for Sale and Divestitures to the Condensed Consolidated Financial Statements for additional information

The fair value of Long-term debt was estimated based on the current rates offered to the Company for debt of similar maturities (Level 2).

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Employee Benefit Plans	9 Months Ended
Employee Benefit Plans	Sep. 30, 2018
Retirement Benefits [Abstract]
Employee Benefit Plans	Employee Benefit Plans The Company recognized an expense related to its defined contribution plans of $7 million and $8 million for the three months ended September 30, 2018 and 2017, respectively, and $23 million and $27 million for the nine months ended September 30, 2018 and 2017, respectively.

Accumulated Other Comprehensive Loss (AOCL)

9 Months Ended

Sep. 30, 2018

Other Comprehensive Income (Loss) [Abstract]

Accumulated Other Comprehensive Loss (AOCL)

Below are the balances and changes in AOCL⁽¹⁾:



(in millions)	Currency Translation Adjustments			Gains (Losses) on Cash Flow Hedges			Defined Benefit Pension Items			Total
Balance at December 31, 2017	$	(437	)	$	1		$	(58	)	$	(494	)
Reclassification of amounts impacted by Tax Reform	—			—			(5		)	(5		)
Other comprehensive income (loss) before reclassifications	(27		)	(3		)	—			(30		)
Amounts reclassified from accumulated other comprehensive loss	41			—			64			105
Net current period other comprehensive income (loss)	14			(3		)	64			75
Balance at September 30, 2018	$	(423	)	$	(2	)	$	1		$	(424	)



(in millions)	Currency Translation Adjustments			Gains (Losses) on Cash Flow Hedges			Defined Benefit Pension Items			Total
Balance at December 31, 2016	$	(472	)	$	(1	)	$	(53	)	$	(526	)
Other comprehensive income (loss) before reclassifications	34			2			—			36
Amounts reclassified from accumulated other comprehensive loss	—			—			—			—
Net current period other comprehensive income (loss)	34			2			—			36
Balance at September 30, 2017	$	(438	)	$	1		$	(53	)	$	(490	)

__________


(1)	All amounts are net of tax. Tax effects were immaterial.

Contingencies and Litigation	9 Months Ended
Contingencies and Litigation	Sep. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
Contingencies and Litigation	Contingencies and Litigation As more fully discussed below, the Company is involved in a variety of claims, lawsuits, investigations and proceedings concerning: securities law; governmental entity contracting, servicing and procurement law; intellectual property law; environmental law; employment law; commercial and contracts law; the Employee Retirement Income Security Act (ERISA); and other laws and regulations. The Company determines whether an estimated loss from a contingency should be accrued by assessing whether a loss is deemed probable and can be reasonably estimated. The Company assesses its potential liability by analyzing its litigation and regulatory matters using available information. The Company develops its view on estimated losses in consultation with outside counsel handling its defense in these matters, which involves an analysis of potential results, assuming a combination of litigation and settlement strategies. Should developments in any of these matters cause a change in the Company's determination as to an unfavorable outcome and result in the need to recognize a material accrual, or should any of these matters result in a final adverse judgment or be settled for significant amounts in excess of any accrual for such matter or matters, this could have a material adverse effect on the Company's results of operations, cash flows and financial position in the period or periods in which such change in determination, judgment or settlement occurs. The Company believes it has recorded adequate provisions for any such matters as of September 30, 2018. Litigation is inherently unpredictable, and it is not possible to predict the ultimate outcome of these matters and such outcome in any such matters could be in excess of any amounts accrued and could be material to the Company's results of operations, cash flows or financial position in any reporting period. Additionally, guarantees, indemnifications and claims arise during the ordinary course of business from relationships with suppliers, customers and non-consolidated affiliates when the Company undertakes an obligation to guarantee the performance of others if specified triggering events occur. Nonperformance under a contract could trigger an obligation of the Company. These potential claims include actions based upon alleged exposures to products, real estate, intellectual property such as patents, environmental matters and other indemnifications. The ultimate effect on future financial results is not subject to reasonable estimation because considerable uncertainty exists as to the final outcome of these claims. However, while the ultimate liabilities resulting from such claims may be significant to results of operations in the period recognized, management does not anticipate they will have a material adverse effect on the condensed consolidated financial position or liquidity. As of September 30, 2018, the Company had accrued its estimate of liability incurred under its indemnification arrangements and guarantees. Litigation Against the Company State of Texas v. Xerox Corporation, Conduent Business Services, LLC (f/k/a Xerox Business Services, LLC), Conduent State Healthcare, LLC (f/k/a Xerox State Healthcare, LLC, f/k/a ACS State Healthcare, LLC) and Conduent Incorporated: On May 9, 2014, the State of Texas, via the Texas Office of Attorney General (the “State”), filed a lawsuit in the 53rd Judicial District Court of Travis County, Texas. The lawsuit alleges that Xerox Corporation, Xerox State Healthcare, LLC and ACS State Healthcare (collectively, the "Xerox Defendants") violated the Texas Medicaid Fraud Prevention Act in the administration of its contract with the Texas Department of Health and Human Services (“HHSC”). The State alleges that the Xerox Defendants made false representations of material facts regarding the processes, procedures, implementation and results regarding the prior authorization of orthodontic claims. The State seeks recovery of amounts paid for orthodontic treatment under the Texas Medicaid program for the period from approximately 2004 to 2012, three times the amount of the payments made as a result of the alleged unlawful acts, civil penalties, pre- and post-judgment interest and all costs and attorneys’ fees. The Xerox Defendants filed their Answer in June, 2014 denying all allegations. A trial date was originally scheduled for November, 2018. During the first quarter of 2018, the State notified the Xerox Defendants in the litigation discovery process that its claim is in excess of two billion dollars based primarily on the assertion of treble damages and civil penalties per illegal act for almost two hundred thousand purported illegal acts. The Xerox Defendants will forcefully contest this assertion and continue to vigorously defend themselves in this matter. During the second quarter of 2018, the trial date was rescheduled for May, 2019. During October of 2018, discussions with the State were undertaken to determine if a mutually acceptable settlement might be reached. Those discussions were not productive. In the wake of those discussions, we have recorded an additional $72 million reserve during the third quarter of 2018, increasing our aggregate reserve for this matter as of September 30, 2018, to $110 million. We are not able to determine or predict with any degree of certainty the ultimate outcome of any future settlement discussions or this proceeding or to estimate any reasonably possible loss or range of losses, if any, in excess of the $110 million the Company has accrued. Should there be in the future a final adverse judgment or settlement for a significant amount in excess of the amount we have accrued, there could be a material adverse effect on the Company's results of operations, cash flows, liquidity, financial position and any debt covenants in the period in which such judgment or settlement occurs. Dennis Nasrawi v. Buck Consultants et al.: On October 8, 2009, plaintiffs filed a lawsuit in the Superior Court of California, Stanislaus County, and on November 24, 2009, the case was removed to the U.S. Court for the Eastern District of California, Fresno Division. Plaintiffs allege actuarial negligence against Buck Consultants, LLC (“Buck”), which was a wholly-owned subsidiary of Conduent, for the use of faulty actuarial assumptions in connection with the 2007 actuarial valuation for the Stanislaus County Employees Retirement Association (“StanCERA”). Plaintiffs allege that the employer contribution rate adopted by StanCERA based on Buck’s valuation was insufficient to fund the benefits promised by the County. On July 13, 2012, the Court entered its ruling that the plaintiffs lacked standing to sue in a representative capacity on behalf of all plan participants. The Court also ruled that plaintiffs had adequately pleaded their claim that Buck allegedly aided and abetted StanCERA in breaching its fiduciary duty. Plaintiffs then filed their Fifth Amended Complaint and added StanCERA to the litigation. Buck and StanCERA filed demurrers to the amended complaint. On September 13, 2012, the Court sustained both demurrers with prejudice, completely dismissing the matter and barring plaintiffs from refiling their claims. Plaintiffs appealed, and ultimately the California Court of Appeals (Sixth District) reversed the trial court’s ruling and remanded the case back to the trial court as to Buck only, and only with respect to Plaintiff’s claim of aiding and abetting StanCERA in breaching its fiduciary duty. This case has been stayed pending the outcome of parallel litigation the plaintiffs are pursuing against StanCERA. Buck will continue to aggressively defend these lawsuits. In August 2018, Conduent sold Buck Consultants, LLC; however, the Company retained this liability after the sale. The Company is not able to determine or predict the ultimate outcome of this proceeding or reasonably provide an estimate or range of estimate of the possible outcome or loss, if any. Conduent Business Services, LLC v. Cognizant Business Services, LLC: On April 12, 2017, Conduent Business Services LLC (“Conduent”) filed a lawsuit against Cognizant Business Services Corporation (“Cognizant”) in the Supreme Court of New York County, New York. The lawsuit relates to the Amended and Restated Master Outsourcing Services Agreement effective as of October 24, 2012, and the service delivery contracts and work orders thereunder, between Conduent and Cognizant, as amended and supplemented (the “Contract”). The Contract contains certain minimum purchase obligations by Conduent through the date of expiration. The lawsuit alleges that Cognizant committed multiple breaches of the Contract, including Cognizant’s failure to properly perform its obligations as subcontractor to Conduent under Conduent’s contract with the New York Department of Health to provide a Medicaid Management Information Systems (the “NY MMIS Contract”). In the lawsuit, Conduent seeks damages in excess of one hundred fifty million dollars. During the first quarter of 2018, Conduent provided notice to Cognizant that it was terminating the Contract for cause and recorded in the same period certain charges associated with the termination. Cognizant has asserted counterclaims against Conduent in the lawsuit seeking damages in excess of twenty-two million dollars and may assert additional counterclaims in the future and seek additional damages. Conduent has responded to Cognizant’s counterclaims by denying the allegations. Conduent will continue to vigorously defend itself against the counterclaims but the Company is not able to determine or predict the ultimate outcome of this proceeding or reasonably provide an estimate or range of estimate of the possible outcome. Other Matters On January 5, 2016, the Consumer Financial Protection Bureau (the "CFPB") notified Xerox Education Services, Inc. (XES) that, in accordance with the CFPB’s discretionary Notice and Opportunity to Respond and Advise (NORA) process, the CFPB’s Office of Enforcement is considering recommending that the CFPB take legal action against XES, alleging that XES violated the Consumer Financial Protection Act’s prohibition of unfair practices. Should the CFPB commence an action, it may seek restitution, civil monetary penalties, injunctive relief, or other corrective action. The purpose of a NORA letter is to provide a party being investigated an opportunity to present its position to the CFPB before an enforcement action is recommended or commenced. XES submitted its response to the NORA. The CFPB’s NORA stems from an inquiry that commenced in 2014 when XES received and responded to a CFPB Civil Investigative Demand containing a broad request for information. During this process, XES self-disclosed to the U.S. Department of Education (the "Department") and the CFPB certain adjustments of which it had become aware that had not been timely made relating to its servicing of a small percentage of third-party student loans under outsourcing arrangements for various financial institutions. The CFPB, the U.S. Department of Education, the U.S. Department of Justice, the New York Office of the Attorney General, the New York Department of Financial Services and the Massachusetts Office of the Attorney General began similar reviews. XES has cooperated and continues to fully cooperate with all regulatory agencies and resolved the Massachusetts Office of the Attorney General investigation in November 2016. Both as a result of these inquiries, its own reviews of operations and work performed by external auditors, XES has identified certain other operational issues requiring remediation, and this remediation work has commenced. XES disclosed these additional operational projects to the Department at the end of the second quarter of 2018 and is working with the Department to develop plans to complete these projects. In the third quarter of 2018, the Company exited the Student Loan Services business. The Company cannot provide assurance that the CFPB, another regulator, a financial institution on behalf of which the Company serviced third-party student loans, or another party will not ultimately commence a legal action against XES in which fines, penalties or other liabilities are sought from XES. Nor is the Company able to predict the likely outcome of these matters, should any such matter be commenced. The Company could in future periods incur judgments or enter into settlements to resolve these potential matters for amounts in excess of current reserves and there could be a material adverse effect on the Company's results of operations, cash flows and financial position in the period in which such change in judgment or settlement occurs. Other Contingencies Certain contracts, primarily in the Company's Public Sector segment, require the Company to provide a surety bond or a letter of credit as a guarantee of performance. As of September 30, 2018, the Company had $631 million of outstanding surety bonds used to secure its performance of contractual obligations with its clients and $345 million of outstanding letters of credit issued to secure the Company's performance of contractual obligations to its clients as well as other corporate obligations. In general, the Company would only be liable for the amount of these guarantees in the event of default in the Company's performance of its obligations under each contract. The Company believes it has sufficient capacity in the surety markets and liquidity from its cash flow and its various credit arrangements (including its Credit Facility) to allow it to respond to future requests for proposals that require such credit support.

Preferred Stock (Notes)	9 Months Ended
Preferred Stock (Notes)	Sep. 30, 2018
Temporary Equity Disclosure [Abstract]
Preferred Stock	Preferred Stock Series A Preferred Stock In December 2016, the Company issued 120 thousand shares of Series A convertible perpetual preferred stock with an aggregate liquidation preference of $120 million and an initial fair value of $142 million. The convertible preferred stock pays quarterly cash dividends at a rate of 8% per year ($9.6 million per year). Each share of convertible preferred stock is convertible at any time, at the option of the holder, into 44.9438 shares of common stock for a total of 5,393 thousand shares (reflecting an initial conversion price of approximately $22.25 per share of common stock), subject to customary anti-dilution adjustments.

Shareholder's Equity (Notes)

9 Months Ended

Sep. 30, 2018

Statement of Stockholders' Equity [Abstract]

Stockholders' Equity

Shareholders’ Equity



(in millions)	Common Stock		Additional Paid-in Capital		Retained Earnings			AOCL			Conduent Shareholders' Equity
Balance at December 31, 2017	$	2	$	3,850	$	171		$	(494	)	$	3,529
Cash dividends paid - preferred stock	—		—		(7		)	—			(7		)
Cumulative impact of adopting the new revenue standard	—		—		17			—			17
Reclassification of amounts impacted by Tax Reform	—		—		5			(5		)	—
Stock option and incentive plans, net	—		21		—			—			21
Comprehensive Income (Loss):
Net Income (Loss)	—		—		(276		)	—			(276		)
Other comprehensive income (loss), net	—		—		—			75			75
Total Comprehensive Income (Loss), Net	—		—		(276		)	75			(201		)
Balance at September 30, 2018	$	2	$	3,871	$	(90	)	$	(424	)	$	3,359



(in millions)	Common Stock		Additional Paid-in Capital		Retained Earnings			AOCL			Conduent Shareholders' Equity
Balance at December 31, 2016	$	2	$	3,812	$	—		$	(526	)	$	3,288
Cash dividends paid - preferred stock	—		—		(7		)	—			(7		)
Stock option and incentive plans, net	—		22		—			—			22
Comprehensive Income (Loss):
Net Income (Loss)	—		—		(27		)	—			(27		)
Other comprehensive income (loss), net	—		—		—			36			36
Total Comprehensive Income (Loss), Net	—		—		(27		)	36			9
Balance at September 30, 2017	$	2	$	3,834	$	(34	)	$	(490	)	$	3,312

Earnings per Share (Notes)

9 Months Ended

Sep. 30, 2018

Earnings Per Share [Abstract]

Earnings Per Share

Earnings per Share

We did not declare any common stock dividends in the periods presented.

The following table sets forth the computation of basic and diluted earnings per share of common stock:



	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions, except per share data. Shares in thousands)	2018			2017			2018			2017
Basic Earnings (Loss) per Share:
Net income (loss) from continuing operations	$	(237	)	$	(17	)	$	(276	)	$	(31	)
Accrued dividends on preferred stock	(2		)	(2		)	(7		)	(7		)
Adjusted Net Income (Loss) From Continuing Operations Available to Common Shareholders	(239		)	(19		)	(283		)	(38		)
Net income (loss) from discontinued operations	—			—			—			4
Adjusted Net Income (Loss) Available to Common Shareholders	$	(239	)	$	(19	)	$	(283	)	$	(34	)
Weighted average common shares outstanding	206,605			204,356			205,739			203,838

Basic Earnings (Loss) per Share:
Continuing operations	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.19	)
Discontinued operations	—			—			—			0.02
Basic Earnings (Loss) per Share	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.17	)

Diluted Earnings (Loss) per Share:
Net income (loss) from continuing operations	$	(237	)	$	(17	)	$	(276	)	$	(31	)
Accrued dividends on preferred stock	(2		)	(2		)	(7		)	(7		)
Adjusted Net Income (Loss) From Continuing Operations Available to Common Shareholders	(239		)	(19		)	(283		)	(38		)
Net income (loss) from discontinued operations	—			—			—			4
Adjusted Net Income (Loss) Available to Common Shareholders	$	(239	)	$	(19	)	$	(283	)	$	(34	)
Weighted average common shares outstanding	206,605			204,356			205,739			203,838
Common shares issuable with respect to:
Stock options	—			—			—			—
Restricted stock and performance units / shares	—			—			—			—
Adjusted Weighted Average Common Shares Outstanding	206,605			204,356			205,739			203,838
Diluted Earnings (Loss) per Share:
Continuing operations	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.19	)
Discontinued operations	—			—			—			0.02
Diluted Earnings (Loss) per Share	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.17	)

The following securities were not included in the computation of diluted earnings per share as they were either contingently issuable shares or shares that if included would have been anti-dilutive (shares in thousands):

Stock Options	193			415			193			415
Restricted stock and performance shares/units	5,097			7,021			5,097			7,021
Convertible preferred stock	5,393			5,393			5,393			5,393
Total Anti-Dilutive Securities	10,683			12,829			10,683			12,829

Subsequent Event	9 Months Ended
Subsequent Event	Sep. 30, 2018
Subsequent Events [Abstract]
Subsequent Events	Subsequent Event In October 2018, the Company announced its agreement to acquire Health Solutions Plus (HSP), a leading software provider of healthcare payer administration solutions for approximately $98 million.

Basis of Presentation Basis of Presentation (Policies)

9 Months Ended

Sep. 30, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Recent accounting pronouncements

New Accounting Standards Adopted

Summary of Accounting Policy

Revenue recognition

Disaggregation of Revenue



(in millions)	Three Months Ended September 30, 2018		Nine Months Ended September 30, 2018
Commercial Industries:
Omni-channel communications	$	212	$	636
Human resource services	184		562
Industry services	228		719
Non-core	103		335
Total Commercial Industries	727		2,252
Public Sector:
Government services and health	336		1,006
Transportation services	184		541
Total Public Sector	520		1,547
Other:
Divestitures	56		298
Education	1		14
Total Other	57		312
Total Consolidated Revenue	$	1,304	$	4,111

Timing of Revenue Recognition:
Point in time	$	33	$	103
Over time	1,271		4,008
Total Revenue	$	1,304	$	4,111

The Company's contracts with customers are broadly similar in nature throughout the Company's major service lines. The following is a description of the major service lines:


•	Omni-Channel Communications: The Company offers a range of services that help its clients support their end-users. This includes in-bound and out-bound call support for both simple and complex transactions, technical support and patient assistance. The Company also provides multi-channel communication support (both print and digital) across a range of industries.

•


•	Industry Services: The Company leverages technology to assist its clients with transaction processing as well as providing platform solutions. This includes offerings such as finance and accounting, transaction processing, learning, legal and payment integrity services, among others.


•	Non-Core Commercial: This represents certain customer experience businesses that are considered non-core and therefore are expected to be sold. These businesses are included in Assets/liabilities held for sale.

•


•	Transportation Services: The Company's services include support for electronic toll collection, public transit, parking and photo enforcement.


•	Divestitures: This represents divested businesses that were previously reported as Commercial Industries Non-core and Public Sector Non-core.

Contract Balances

The following table provides information about the balances of the Company's contract assets, unearned income and receivables from contracts with customers:



(in millions)	September 30, 2018			January 1, 2018
Contract Assets (Unearned Income)
Current contract assets⁽¹⁾	$	191		$	191
Long-term contract assets⁽²⁾	6			2
Current unearned income	(119		)	(128		)
Long-term unearned income⁽³⁾	(34		)	(46		)
Net Contract Assets (Unearned Income)	$	44		$	19
Accounts receivable, net	$	951		$	908

__________


(1)	Prior to the adoption of the new revenue standard, these amounts were recorded in Accounts receivable, net and represented unbilled amounts.


(2)	Presented in Other long-term assets in the Condensed Consolidated Balance Sheets


(3)	Presented in Other long-term liabilities in the Condensed Consolidated Balance Sheets

Transaction Price Allocated to the Remaining Performance Obligations

Costs to Obtain and Fulfill a Contract

The amortization of costs incurred to obtain and fulfill a contract for the three and nine months ended September 30, 2018, were $10 million and $37 million, respectively.

New Accounting Standards To Be Adopted

Recent Accounting Pronouncements Recent Accounting Pronouncements (Tables)

9 Months Ended

Sep. 30, 2018

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Information about disaggregated revenue by major service line and timing of revenue recognition



(in millions)	Three Months Ended September 30, 2018		Nine Months Ended September 30, 2018
Commercial Industries:
Omni-channel communications	$	212	$	636
Human resource services	184		562
Industry services	228		719
Non-core	103		335
Total Commercial Industries	727		2,252
Public Sector:
Government services and health	336		1,006
Transportation services	184		541
Total Public Sector	520		1,547
Other:
Divestitures	56		298
Education	1		14
Total Other	57		312
Total Consolidated Revenue	$	1,304	$	4,111

Timing of Revenue Recognition:
Point in time	$	33	$	103
Over time	1,271		4,008
Total Revenue	$	1,304	$	4,111

Information about the balances of contract assets, unearned income and receivables from contracts with customers

The following table provides information about the balances of the Company's contract assets, unearned income and receivables from contracts with customers:



(in millions)	September 30, 2018			January 1, 2018
Contract Assets (Unearned Income)
Current contract assets⁽¹⁾	$	191		$	191
Long-term contract assets⁽²⁾	6			2
Current unearned income	(119		)	(128		)
Long-term unearned income⁽³⁾	(34		)	(46		)
Net Contract Assets (Unearned Income)	$	44		$	19
Accounts receivable, net	$	951		$	908

__________


(1)	Prior to the adoption of the new revenue standard, these amounts were recorded in Accounts receivable, net and represented unbilled amounts.


(2)	Presented in Other long-term assets in the Condensed Consolidated Balance Sheets


(3)	Presented in Other long-term liabilities in the Condensed Consolidated Balance Sheets

Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2018

Segment Reporting Information [Line Items]

Schedule of Segment Reporting Information, by Segment [Table Text Block]

Selected financial information for our reportable segments is as follows:



	Three Months Ended September 30,
(in millions)	Commercial Industries		Public Sector		Other				Total
2018					Divestitures		Other
Revenue	$	727	$	520	$	56	1		$	1,304
Segment profit (loss)	$	37	$	65	$	6	(3	)	$	105
Segment depreciation and amortization	$	30	$	21	$	2	—		$	53
Adjusted EBITDA	$	67	$	85	$	8	(3	)	$	157

2017
Revenue	$	777	$	543	$	139	21		$	1,480
Segment profit (loss)	$	29	$	46	$	36	2		$	113
Segment depreciation and amortization	$	32	$	26	$	4	1		$	63
Adjusted EBITDA	$	61	$	70	$	40	3		$	174



	Nine Months Ended September 30,
(in millions)	Commercial Industries		Public Sector		Other					Total
2018					Divestitures		Other
Revenue	$	2,252	$	1,547	$	298	$	14		$	4,111
Segment profit (loss)	$	96	$	166	$	72	$	(14	)	$	320
Segment depreciation and amortization	$	94	$	63	$	8	$	1		$	166
Adjusted EBITDA	$	190	$	227	$	80	$	(13	)	$	484

2017
Revenue	$	2,384	$	1,639	$	442	$	64		$	4,529
Segment profit (loss)	$	62	$	130	$	91	$	3		$	286
Segment depreciation and amortization	$	101	$	78	$	13	$	4		$	196
Adjusted EBITDA	$	163	$	210	$	104	$	7		$	484



(in millions)	Three Months Ended September 30,						Nine Months Ended September 30,
Segment Profit (Loss) Reconciliation to Pre-tax Income (Loss)	2018			2017			2018			2017
Income (Loss) Before Income Taxes	$	(252	)	$	13		$	(252	)	$	(20	)
Reconciling items:
Restructuring and related costs	31			22			68			76
Amortization of acquired intangible assets	60			60			181			182
Separation costs	—			2			—			8
Interest expense	22			35			92			105
(Gain) loss on divestitures and transaction costs	54			(16		)	9			(41		)
Litigation costs (recoveries), net	78			6			113			(14		)
(Gain) loss on extinguishment of debt	108			—			108			—
Other (income) expenses, net	4			(9		)	1			(10		)
Segment Pre-tax Income (Loss)	$	105		$	113		$	320		$	286
Segment depreciation and amortization	$	53		$	63		$	166		$	196
NY MMIS charge (credit) (Public Sector)	(1		)	1			(2		)	10
HE charge (credit) (Public Sector)	—			(3		)	—			(8		)
Adjusted EBITDA	$	157		$	174		$	484		$	484

Reconciliation to pre-tax income (loss)



(in millions)	Three Months Ended September 30,						Nine Months Ended September 30,
Segment Profit (Loss) Reconciliation to Pre-tax Income (Loss)	2018			2017			2018			2017
Income (Loss) Before Income Taxes	$	(252	)	$	13		$	(252	)	$	(20	)
Reconciling items:
Restructuring and related costs	31			22			68			76
Amortization of acquired intangible assets	60			60			181			182
Separation costs	—			2			—			8
Interest expense	22			35			92			105
(Gain) loss on divestitures and transaction costs	54			(16		)	9			(41		)
Litigation costs (recoveries), net	78			6			113			(14		)
(Gain) loss on extinguishment of debt	108			—			108			—
Other (income) expenses, net	4			(9		)	1			(10		)
Segment Pre-tax Income (Loss)	$	105		$	113		$	320		$	286
Segment depreciation and amortization	$	53		$	63		$	166		$	196
NY MMIS charge (credit) (Public Sector)	(1		)	1			(2		)	10
HE charge (credit) (Public Sector)	—			(3		)	—			(8		)
Adjusted EBITDA	$	157		$	174		$	484		$	484

Assets/Liabilities Held for Sale (Tables)

9 Months Ended

Sep. 30, 2018

Divestitures [Abstract]

Summary of the Major Categories of Assets and Liabilities reclassified to held for sale

Following is a summary of the major categories of assets and liabilities that have been reclassified to held for sale.



(in millions)	September 30, 2018
Accounts Receivable, net	$	35
Total Assets held for sale	$	35

Accounts payable	$	1
Accrued compensation	9
Unearned revenue	4
Other	7
Total Liabilities held for sale	$	21

Restructuring Programs (Tables)

9 Months Ended

Sep. 30, 2018

Restructuring and Related Activities [Abstract]

Restructuring Program Activity

A summary of the Company's restructuring program activity during the nine months ended September 30, 2018 and 2017 was as follows:



(in millions)	Severance and Related Costs			Lease Cancellation and Other Costs			Total
Accrued Balance at December 31, 2017	$	14		$	30		$	44
Restructuring provision	34			33			67
Adjustments to prior accruals	(4		)	5			1
Total Net Current Period Charges	30			38			68
Payments against reserve and currency	(28		)	(27		)	(55		)
Other	—			3			3
Accrued Balance at September 30, 2018	$	16		$	44		$	60



(in millions)	Severance and Related Costs			Lease Cancellation and Other Costs			Total
Accrued Balance at December 31, 2016	$	15		$	6		$	21
Restructuring provision	38			37			75
Adjustments to prior accruals	(5		)	(2		)	(7		)
Total Net Current Period Charges	33			35			68
Payments against reserve and currency	(34		)	(15		)	(49		)
Accrued Balance at September 30, 2017	$	14		$	26		$	40

Total Costs incurred with Restructuring programs, by segment

The following table summarizes the total amount of costs incurred in connection with these restructuring programs by segment:



	Three Months Ended September 30,				Nine Months Ended September 30,
(in millions)	2018		2017		2018		2017
Commercial Industries	$	21	$	13	$	48	$	44
Public Sector	7		7		15		21
Other	4		2		5		3
Total Net Restructuring Charges	$	32	$	22	$	68	$	68

Debt (Tables)

9 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

Long-term debt was as follows:



(in millions)	September 30, 2018			December 31, 2017
Term loan A due 2022	$	711		$	732
Term loan B due 2023	835			842
Senior notes due 2024	34			510
Capital lease obligations	30			33
Principal debt balance	1,610			2,117
Debt issuance costs and unamortized discounts	(33		)	(56		)
Less: current maturities	(49		)	(82		)
Total Long-term Debt	$	1,528		$	1,979

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
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-Name Accounting Standards Codification
-Topic 835
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Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 505
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-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21506-112644

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 235
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

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Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
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-Topic 835
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Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 505
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-URI http://asc.fasb.org/extlink&oid=109259400&loc=d3e21475-112644

+ Details

Fair Value of Financial Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2018

Fair Value Disclosures [Abstract]

Fair value of financial assets and liabilities

The following table represents assets and liabilities measured at fair value on a recurring basis. The basis for the measurement at fair value in all cases is Level 2.



(in millions)	September 30, 2018		December 31, 2017
Assets:
Foreign exchange contract - forward	$	—	$	2
Total Assets	$	—	$	2
Liabilities:
Foreign exchange contracts - forwards	$	4	$	1
Deferred compensation plan liabilities⁽¹⁾	77		99
Total Liabilities	$	81	$	100

___________


(1)	In September 2017, the Company terminated the legacy deferred compensation plans (Plans) and the Company Owned Life Insurance (COLI), which held the Plans’ investments. The Company will make the remaining payments to Plan participants in the fourth quarter of 2018.

Estimated fair values of financial assets and liabilities not measured at fair value on a recurring basis

The estimated fair values of our other financial assets and liabilities were as follows:



	September 30, 2018		December 31, 2017
(in millions)	Carrying Amount	Fair Value	Carrying Amount	Fair Value
Assets:
Assets held for sale	35	35	—	—
Liabilities:
Long-term debt	1,528	1,536	1,979	2,070
Liabilities held for sale	21	21	—	—

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

+ References + Details

Accumulated Other Comprehensive Loss (AOCL) (Tables)

9 Months Ended

Sep. 30, 2018

Other Comprehensive Income (Loss) [Abstract]

Schedule of Accumulated Other Comprehensive Loss

Below are the balances and changes in AOCL⁽¹⁾:



(in millions)	Currency Translation Adjustments			Gains (Losses) on Cash Flow Hedges			Defined Benefit Pension Items			Total
Balance at December 31, 2017	$	(437	)	$	1		$	(58	)	$	(494	)
Reclassification of amounts impacted by Tax Reform	—			—			(5		)	(5		)
Other comprehensive income (loss) before reclassifications	(27		)	(3		)	—			(30		)
Amounts reclassified from accumulated other comprehensive loss	41			—			64			105
Net current period other comprehensive income (loss)	14			(3		)	64			75
Balance at September 30, 2018	$	(423	)	$	(2	)	$	1		$	(424	)



(in millions)	Currency Translation Adjustments			Gains (Losses) on Cash Flow Hedges			Defined Benefit Pension Items			Total
Balance at December 31, 2016	$	(472	)	$	(1	)	$	(53	)	$	(526	)
Other comprehensive income (loss) before reclassifications	34			2			—			36
Amounts reclassified from accumulated other comprehensive loss	—			—			—			—
Net current period other comprehensive income (loss)	34			2			—			36
Balance at September 30, 2017	$	(438	)	$	1		$	(53	)	$	(490	)

__________


(1)	All amounts are net of tax. Tax effects were immaterial.

Shareholder's Equity (Tables)

9 Months Ended

Sep. 30, 2018

Statement of Stockholders' Equity [Abstract]

Schedule of Stockholders Equity [Table Text Block]

Shareholders’ Equity



(in millions)	Common Stock		Additional Paid-in Capital		Retained Earnings			AOCL			Conduent Shareholders' Equity
Balance at December 31, 2017	$	2	$	3,850	$	171		$	(494	)	$	3,529
Cash dividends paid - preferred stock	—		—		(7		)	—			(7		)
Cumulative impact of adopting the new revenue standard	—		—		17			—			17
Reclassification of amounts impacted by Tax Reform	—		—		5			(5		)	—
Stock option and incentive plans, net	—		21		—			—			21
Comprehensive Income (Loss):
Net Income (Loss)	—		—		(276		)	—			(276		)
Other comprehensive income (loss), net	—		—		—			75			75
Total Comprehensive Income (Loss), Net	—		—		(276		)	75			(201		)
Balance at September 30, 2018	$	2	$	3,871	$	(90	)	$	(424	)	$	3,359



(in millions)	Common Stock		Additional Paid-in Capital		Retained Earnings			AOCL			Conduent Shareholders' Equity
Balance at December 31, 2016	$	2	$	3,812	$	—		$	(526	)	$	3,288
Cash dividends paid - preferred stock	—		—		(7		)	—			(7		)
Stock option and incentive plans, net	—		22		—			—			22
Comprehensive Income (Loss):
Net Income (Loss)	—		—		(27		)	—			(27		)
Other comprehensive income (loss), net	—		—		—			36			36
Total Comprehensive Income (Loss), Net	—		—		(27		)	36			9
Balance at September 30, 2017	$	2	$	3,834	$	(34	)	$	(490	)	$	3,312

Earnings per Share (Tables)

9 Months Ended

Sep. 30, 2018

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following table sets forth the computation of basic and diluted earnings per share of common stock:



	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions, except per share data. Shares in thousands)	2018			2017			2018			2017
Basic Earnings (Loss) per Share:
Net income (loss) from continuing operations	$	(237	)	$	(17	)	$	(276	)	$	(31	)
Accrued dividends on preferred stock	(2		)	(2		)	(7		)	(7		)
Adjusted Net Income (Loss) From Continuing Operations Available to Common Shareholders	(239		)	(19		)	(283		)	(38		)
Net income (loss) from discontinued operations	—			—			—			4
Adjusted Net Income (Loss) Available to Common Shareholders	$	(239	)	$	(19	)	$	(283	)	$	(34	)
Weighted average common shares outstanding	206,605			204,356			205,739			203,838

Basic Earnings (Loss) per Share:
Continuing operations	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.19	)
Discontinued operations	—			—			—			0.02
Basic Earnings (Loss) per Share	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.17	)

Diluted Earnings (Loss) per Share:
Net income (loss) from continuing operations	$	(237	)	$	(17	)	$	(276	)	$	(31	)
Accrued dividends on preferred stock	(2		)	(2		)	(7		)	(7		)
Adjusted Net Income (Loss) From Continuing Operations Available to Common Shareholders	(239		)	(19		)	(283		)	(38		)
Net income (loss) from discontinued operations	—			—			—			4
Adjusted Net Income (Loss) Available to Common Shareholders	$	(239	)	$	(19	)	$	(283	)	$	(34	)
Weighted average common shares outstanding	206,605			204,356			205,739			203,838
Common shares issuable with respect to:
Stock options	—			—			—			—
Restricted stock and performance units / shares	—			—			—			—
Adjusted Weighted Average Common Shares Outstanding	206,605			204,356			205,739			203,838
Diluted Earnings (Loss) per Share:
Continuing operations	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.19	)
Discontinued operations	—			—			—			0.02
Diluted Earnings (Loss) per Share	$	(1.16	)	$	(0.09	)	$	(1.38	)	$	(0.17	)

The following securities were not included in the computation of diluted earnings per share as they were either contingently issuable shares or shares that if included would have been anti-dilutive (shares in thousands):

Stock Options	193			415			193			415
Restricted stock and performance shares/units	5,097			7,021			5,097			7,021
Convertible preferred stock	5,393			5,393			5,393			5,393
Total Anti-Dilutive Securities	10,683			12,829			10,683			12,829

Recent Accounting Pronouncements - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Jan. 01, 2018	Dec. 31, 2017
Reclassification of amounts impacted by Tax Reform			$ (5,000,000)
Retained earnings	$ (90,000,000)		(90,000,000)			$ 171,000,000
Revenues	1,304,000,000	$ 1,480,000,000	4,111,000,000	$ 4,529,000,000
Deferred Revenue, Current			128,000,000
Asset Impairment Charges			0
Remaining performance obligation	2,000,000,000		2,000,000,000
Deferred Sales Commission	25,000,000		25,000,000
Capitalized commission expenses paid to internal sales personnel, incremental to obtaining customer contracts	53,000,000		53,000,000
Capitalized Contract Cost, Amortization	$ 10,000,000		$ 37,000,000
Restricted Cash and Cash Equivalents, Current		$ 25,000,000		$ 25,000,000
Maximum [Member]
Capitalized Contract Cost, Amortization Period	1 year		1 year
ASU 2014-09 \| Difference between Revenue Guidance in Effect before and after Topic 606
Retained earnings					$ 17,000,000
Revenues	$ 34,000,000		$ 110,000,000
AOCI Attributable to Parent [Member]
Reclassification of amounts impacted by Tax Reform	(5,000,000)		(5,000,000)
Retained Earnings [Member]
Reclassification of amounts impacted by Tax Reform	$ 5,000,000		$ 5,000,000

Recent Accounting Pronouncements - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Disaggregation of Revenue [Line Items]
Revenue	$ 1,304		$ 4,111
Point in time
Disaggregation of Revenue [Line Items]
Revenue	33		103
Over time
Disaggregation of Revenue [Line Items]
Revenue	1,271		4,008
Commercial Industries
Disaggregation of Revenue [Line Items]
Revenue	727		2,252
Public Sector
Disaggregation of Revenue [Line Items]
Revenue	520		1,547
Other
Disaggregation of Revenue [Line Items]
Revenue	57		312
Omni-Channel Communications \| Commercial Industries
Disaggregation of Revenue [Line Items]
Revenue	212		636
Human Resource Services \| Commercial Industries
Disaggregation of Revenue [Line Items]
Revenue	184		562
industry Services \| Commercial Industries
Disaggregation of Revenue [Line Items]
Revenue	228		719
Non-Core Commercial \| Commercial Industries
Disaggregation of Revenue [Line Items]
Revenue	103		335
Government Services and Health \| Public Sector
Disaggregation of Revenue [Line Items]
Revenue	336		1,006
Transportation Services \| Public Sector
Disaggregation of Revenue [Line Items]
Revenue	184		541
Education \| Other
Disaggregation of Revenue [Line Items]
Revenue	1	$ 21	14	$ 64
Divested businesses \| Other
Disaggregation of Revenue [Line Items]
Revenue	$ 56	$ 139	$ 298	$ 442

Recent Accounting Pronouncements - Expected Timing of Satisfaction (Details) $ in Billions	Sep. 30, 2018 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 2
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2018-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	66.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2018-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period	2 years

Recent Accounting Pronouncements - Balances of Contract Assets, Unearned Income and Receivables (Details) - USD ($) $ in Millions	Sep. 30, 2018	Jan. 01, 2018	Dec. 31, 2017
Accounting Policies [Abstract]
Current contract assets	$ 191	$ 191	$ 0
Long-term contract assets	6	2
Current unearned income	(119)	(128)
Long-term unearned income	(34)	(46)
Net Contract Assets (Unearned Income)	44	19
Accounts receivable, net	$ 951	$ 908	$ 1,114

Segment Reporting - Segment Revenue and Segment Profit (Loss) (Details) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2018 USD ($)	Sep. 30, 2017 USD ($)	Sep. 30, 2018 USD ($)	Sep. 30, 2017 USD ($)	Dec. 31, 2017 primaryreportablesegment
Segment Reporting Information [Line Items]
Revenues	$ 1,304	$ 1,480	$ 4,111	$ 4,529
Revenue	1,304		4,111
NY MMIS	(1)	1	(2)	10
Primary reportable segments \| primaryreportablesegment					2
Depreciation and Amortization, excluding Amortization of Acquired Intangible Assets	53	63	166	196
Segment Profit (Loss)	105	113	320	286
Segment Adjusted EBITDA	157	174	484	484
Commercial Industries
Segment Reporting Information [Line Items]
Revenues	727	777	2,252	2,384
Revenue	727		2,252
Depreciation and Amortization, excluding Amortization of Acquired Intangible Assets	30	32	94	101
Segment Profit (Loss)	37	29	96	62
Segment Adjusted EBITDA	67	61	190	163
Public Sector
Segment Reporting Information [Line Items]
Revenues	520	543	1,547	1,639
Revenue	520		1,547
Depreciation and Amortization, excluding Amortization of Acquired Intangible Assets	21	26	63	78
Segment Profit (Loss)	65	46	166	130
Segment Adjusted EBITDA	85	70	227	210
Other
Segment Reporting Information [Line Items]
Revenue	57		312
Divested businesses \| Other
Segment Reporting Information [Line Items]
Revenue	56	139	298	442
Depreciation and Amortization, excluding Amortization of Acquired Intangible Assets	2	4	8	13
Segment Profit (Loss)	6	36	72	91
Segment Adjusted EBITDA	8	40	80	104
Education \| Other
Segment Reporting Information [Line Items]
Revenue	1	21	14	64
Depreciation and Amortization, excluding Amortization of Acquired Intangible Assets	0	1	1	4
Segment Profit (Loss)	(3)	2	(14)	3
Segment Adjusted EBITDA	$ (3)	$ 3	$ (13)	$ 7

Segment Reporting - Reconciliation Of Operating Profit Loss (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Segment Reporting [Abstract]
Income (Loss) before Income Taxes	$ (252)	$ 13	$ (252)	$ (20)
Reconciling items:
Restructuring and related costs	31	22	68	76
Amortization of intangible assets	60	60	181	182
Interest expense	22	35	92	105
Separation costs	0	2	0	8
(Gain) loss on divestitures and transaction costs	54	(16)	9	(41)
Litigation costs (recoveries), net	78	6	113	(14)
(Gain) loss on extinguishment of debt	108	0	108	0
Other (income) expenses, net	4	(9)	1	(10)
Segment Pre-tax Income (Loss)	105	113	320	286
Depreciation and Amortization, excluding Amortization of Acquired Intangible Assets	53	63	166	196
NY MMIS	(1)	1	(2)	10
HE charge	0	(3)	0	(8)
Segment Adjusted EBITDA	$ 157	$ 174	$ 484	$ 484

Assets/Liabilities Held for Sale (Details) - USD ($) $ in Millions			3 Months Ended		6 Months Ended	9 Months Ended		12 Months Ended
	Jul. 10, 2018	Jun. 30, 2018	Sep. 30, 2018	Sep. 30, 2017	Jun. 30, 2018	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Jan. 01, 2018
Proceeds from Divestiture of Businesses			$ 272	$ 56		$ 672	$ 56
Accounts receivable, net			951			951		$ 1,114	$ 908
Assets Held-for-sale, Not Part of Disposal Group			35			35		757
Accounts payable			216			216		138
Unearned income			119			119		151
Customer Care Contracts [Member]
Impairment of Goodwill and long-lived assets						47
Impairment of Long-Lived Assets to be Disposed of						8
Goodwill, Written off Related to Sale of Business Unit						10
Divestiture revenue			103			336		483
Local And Municipal Constituent Government Software Solutions Business [Member]
Proceeds from Divestiture of Businesses	$ 106
Gain (Loss) on Disposition of Business	1
Divestiture revenue			26			81		113
Human Resource Services
Proceeds from Divestiture of Businesses	168
Proceeds Receivable from Divestiture	20
Contingent consideration from divestiture		$ 6
Gain (Loss) on Disposition of Business		(5)
Divestiture revenue			29			166		279
Commercial Vehicle Operations
Proceeds from Divestiture of Businesses		403
Gain (Loss) on Disposition of Business		77
Divestiture revenue					$ 33			66
Adjustment to divestiture proceeds and pre-tax gain		3
Off-Street Parking
Proceeds from Divestiture of Businesses	$ 26
Gain (Loss) on Disposition of Business		$ 8
Divestiture revenue			$ 1			$ 18		$ 42

Assets/Liabilities Held for Sale - Divestitures Balance Sheet Account (Details) - USD ($) $ in Millions	Sep. 30, 2018	Jan. 01, 2018	Dec. 31, 2017
Accounts receivable, net	$ 951	$ 908	$ 1,114
Contract with Customer, Asset, Net, Current	191	$ 191	0
Assets Held-for-sale, Not Part of Disposal Group	35		757
Accounts payable	216		138
Unearned income	119		$ 151
Disposal Group, Held-for-sale, Not Discontinued Operations [Member]
Accounts receivable, net	35
Assets Held-for-sale, Not Part of Disposal Group	35
Accounts payable	1
Accrued compensation	9
Unearned income	4
Other Liabilities	7
Liabilities held for sale	$ 21

Restructuring Programs (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Restructuring Programs (Details) - USD ($) $ in Millions	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Restructuring Cost and Reserve [Line Items]
Strategic transformation costs			$ 0	$ 8
Restructuring Reserve [Roll Forward]
Balance at beginning of period			44	21
Restructuring Charges			67	75
Reversals of prior accruals			1	(7)
Restructuring, Net Current Period Charges			68	68
Restructuring payments against reserve and currency			(55)	(49)
Restructuring assets held for sale			3
Balance at end of period	$ 60	$ 40	60	40
Net current period restructuring charges, continuing operations	32	22	68	68
Commercial Industries
Restructuring Reserve [Roll Forward]
Net current period restructuring charges, continuing operations	21	13	48	44
Public Sector
Restructuring Reserve [Roll Forward]
Net current period restructuring charges, continuing operations	7	7	15	21
Other
Restructuring Reserve [Roll Forward]
Net current period restructuring charges, continuing operations	4	2	5	3
Severance and Related Costs [Member]
Restructuring Reserve [Roll Forward]
Balance at beginning of period			14	15
Restructuring Charges			34	38
Reversals of prior accruals			(4)	(5)
Restructuring, Net Current Period Charges			30	33
Restructuring payments against reserve and currency			(28)	(34)
Restructuring assets held for sale			0
Balance at end of period	16	14	16	14
Lease Cancellation and Other Costs [Member]
Restructuring Reserve [Roll Forward]
Balance at beginning of period			30	6
Restructuring Charges			33	37
Reversals of prior accruals			5	(2)
Restructuring, Net Current Period Charges			38	35
Restructuring payments against reserve and currency			(27)	(15)
Restructuring assets held for sale			3
Balance at end of period	$ 44	$ 26	$ 44	$ 26

Debt - Debt Issuances (Details) - USD ($) $ in Millions				3 Months Ended
Debt - Debt Issuances (Details) - USD ($) $ in Millions	Jul. 10, 2018	Jun. 28, 2018	Jun. 27, 2018	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Capital lease obligations						$ 30	$ 33
Principal debt balance				$ 1,610		2,117
Debt issuance costs and unamortized discounts						(33)	(56)
Less: current maturities				(49)		(82)
Total Long-term Debt				1,528		1,979
Write off of unamortized discount and issuance costs				3
Repayments of Debt	$ 476
Redemption Premium	95
Write Off Of Unamortized Discount And Deferred Debt Issuance Cost	$ 13
Term Loan A due 2022
Debt Instrument [Line Items]
Long-term debt, gross						711	$ 732
Line of Credit Facility interest rate reduction		0.50%
Term Loan B due 2023
Debt Instrument [Line Items]
Long-term debt, gross				835		842
Line of Credit Facility interest rate reduction		0.50%
Senior Notes due 2024
Debt Instrument [Line Items]
Long-term debt, gross				$ 34		$ 510
Debt Instrument, Interest Rate, Stated Percentage				10.50%
Letters of Credit
Debt Instrument [Line Items]
Line of Credit Facility interest rate reduction				0.50%
London Interbank Offered Rate (LIBOR) [Member] \| Maximum [Member] \| Term Loan A due 2022
Debt Instrument [Line Items]
Long Term debt interest rate over LIBOR			2.25%
London Interbank Offered Rate (LIBOR) [Member] \| Maximum [Member] \| Term Loan B due 2023
Debt Instrument [Line Items]
Long Term debt interest rate over LIBOR			3.00%
London Interbank Offered Rate (LIBOR) [Member] \| Maximum [Member] \| Letters of Credit
Debt Instrument [Line Items]
Long Term debt interest rate over LIBOR				1.75%	2.25%
London Interbank Offered Rate (LIBOR) [Member] \| Minimum [Member] \| Term Loan A due 2022
Debt Instrument [Line Items]
Long Term debt interest rate over LIBOR		1.75%
London Interbank Offered Rate (LIBOR) [Member] \| Minimum [Member] \| Term Loan B due 2023
Debt Instrument [Line Items]
Long Term debt interest rate over LIBOR		2.50%

Financial Instruments - Foreign Exchange Risk Management (Details) - Designated as Hedging Instrument [Member] - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Gross Notional Value	$ 144	$ 160
Average Maturity of Foreign Exchange Hedging Contracts - within Three Months	60.00%
Average Maturity of Foreign Exchange Hedging Contracts - within Three and Six Months	15.00%
Average Maturity of Foreign Exchange Hedging Contracts - within Six and Twelve Months	19.00%
Average Maturity of Foreign Exchange Hedging Contracts - greater than twelve months	6.00%

Fair Value of Financial Assets and Liabilities - Recurring (Details) - Significant Other Observable Inputs (Level 2) [Member] - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Assets:
Total Assets	$ 0	$ 2
Liabilities:
Foreign derivative contracts	4	1
Deferred compensation plan liabilities(1)	77	99
Total Liabilities	81	100
Foreign Exchange Forward [Member]
Assets:
Foreign exchange contracts	$ 0	$ 2

Fair Value of Financial Assets and Liabilities - Nonrecurring (Details) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Carrying Amount [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets held for sale	$ 35	$ 0
Long-term debt	1,528	1,979
Liabilities held for sale	21	0
Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets held for sale	35	0
Long-term debt	1,536	2,070
Liabilities held for sale	$ 21	$ 0

Employee Benefit Plans (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Employee Benefit Plans (Details) - USD ($) $ in Millions	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Pension Plan
Defined Contribution Plan Disclosure [Line Items]
Defined contribution plans	$ 7	$ 8	$ 23	$ 27

Accumulated Other Comprehensive Loss (AOCL) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Changes in Accumulated Other Comprehensive Loss (AOCL) [Roll Forward]
Balance at beginning of period			$ (494)	$ (526)
Reclassification of amounts impacted by Tax Reform			(5)
Other comprehensive income (loss) before reclassifications			(30)	36
Net current period other comprehensive income (loss)			105	0
Other Comprehensive Income (Loss), Net	$ 93	$ 8	75	36
Balance at end of period	(424)	(490)	(424)	(490)
Accumulated Foreign Currency Adjustment Attributable to Parent [Member]
Changes in Accumulated Other Comprehensive Loss (AOCL) [Roll Forward]
Balance at beginning of period			(437)	(472)
Reclassification of amounts impacted by Tax Reform			0
Other comprehensive income (loss) before reclassifications			(27)	34
Net current period other comprehensive income (loss)			41	0
Other Comprehensive Income (Loss), Net			14	34
Balance at end of period	(423)	(438)	(423)	(438)
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member]
Changes in Accumulated Other Comprehensive Loss (AOCL) [Roll Forward]
Balance at beginning of period			1	(1)
Reclassification of amounts impacted by Tax Reform			0
Other comprehensive income (loss) before reclassifications			(3)	2
Net current period other comprehensive income (loss)			0	0
Other Comprehensive Income (Loss), Net			(3)	2
Balance at end of period	(2)	1	(2)	1
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member]
Changes in Accumulated Other Comprehensive Loss (AOCL) [Roll Forward]
Balance at beginning of period			(58)	(53)
Reclassification of amounts impacted by Tax Reform			(5)
Other comprehensive income (loss) before reclassifications			0	0
Net current period other comprehensive income (loss)			64	0
Other Comprehensive Income (Loss), Net			64	0
Balance at end of period	$ 1	$ (53)	$ 1	$ (53)

Contingencies and Litigation - Other Contingencies (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017	Sep. 30, 2018 USD ($)
Surety Bond [Member]
Guarantor Obligations [Line Items]
Maximum exposure, undiscounted		$ 631
Contractual and Corporate Obligations Guarantee [Member]
Guarantor Obligations [Line Items]
Maximum exposure, undiscounted		$ 345
State Of Texas v. Xerox Corporation, Xerox State Healthcare, LLC, and ACS State Healthcare, LLC
Guarantor Obligations [Line Items]
Loss Contingency, Damages Sought, Multiplier Of Overpayment Amounts	3

Contingencies and Litigation - Loss Contingency (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Dec. 31, 2017	Sep. 30, 2018
Loss Contingencies [Line Items]
Additional Accrual for Loss Contingency		$ 72
Loss Contingency, Damages Sought, Value		2,000
Loss Contingency, Estimate of Possible Loss		110
Conduent Business Services, LLC v. Cognizant Business Service, LLC [Member]
Loss Contingencies [Line Items]
Loss Contingency, Damages Sought, Value	$ 22
Contractual and Corporate Obligations Guarantee [Member]
Loss Contingencies [Line Items]
Maximum exposure, undiscounted		345
Surety Bond [Member]
Loss Contingencies [Line Items]
Maximum exposure, undiscounted		$ 631

Contingencies and Litigation - Gain Contingency (Details) $ in Millions	Dec. 31, 2017 USD ($)
Conduent Business Services, LLC v. Cognizant Business Service, LLC [Member]
Gain Contingencies [Line Items]
Gain Contingency, Unrecorded Amount	$ 150

Contingencies and Litigation - Number of purported acts (Details) number in Millions	3 Months Ended
	Dec. 31, 2017
Loss Contingencies [Line Items]
Loss Contingency, New Claims Filed, Number	0.2

Preferred Stock (Details) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2016 USD ($) $ / shares shares
Temporary Equity [Line Items]
Preferred Stock, Shares Issued \| shares	120,000
Preferred Stock, Liquidation Preference, Value \| $	$ 120.0
Preferred Stock, Value, Issued \| $	$ 142.0
Preferred Stock, Dividend Rate, Percentage	8.00%
Preferred stock annual dividends \| $	$ 9.6
Total shares available for issuance (in shares) \| shares	5,393,000
Preferred Stock Initial Conversion Price per Share \| $ / shares	$ 22.25
Common Stock [Member]
Temporary Equity [Line Items]
Shares issued upon conversion (in shares) \| shares	44.9438

Shareholder's Equity (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Shareholder's Equity (Details) - USD ($) $ in Millions	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at period start			$ 3,529
Cash dividends paid - preferred stock	$ (2)	$ (2)	(7)	$ (7)
Reclassification of amounts impacted by Tax Reform			(5)
Net income (loss)	(237)	(17)	(276)	(27)
Other comprehensive income (loss), net	93	8	75	36
Comprehensive Income (Loss), Net	(144)	(9)	(201)	9
Balance at period end	3,359		3,359
Common Stock [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at period start			2	2
Cash dividends paid - preferred stock			0	0
Reclassification of amounts impacted by Tax Reform			0
Stock option and incentive plans, net			0	0
Net income (loss)			0	0
Other comprehensive income (loss), net			0	0
Comprehensive Income (Loss), Net			0	0
Balance at period end	2	2	2	2
Additional Paid-in Capital [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at period start			3,850	3,812
Cash dividends paid - preferred stock			0	0
Reclassification of amounts impacted by Tax Reform			0
Stock option and incentive plans, net			(21)	22
Net income (loss)			0	0
Other comprehensive income (loss), net			0	0
Comprehensive Income (Loss), Net			0	0
Balance at period end	3,871	3,834	3,871	3,834
Retained Earnings [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at period start			171	0
Cash dividends paid - preferred stock			(7)	(7)
Reclassification of amounts impacted by Tax Reform	5		5
Stock option and incentive plans, net			0	0
Net income (loss)			(276)	(27)
Other comprehensive income (loss), net			0	0
Comprehensive Income (Loss), Net			(276)	(27)
Balance at period end	(90)	(34)	(90)	(34)
AOCL Attributable to Parent [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at period start			(494)	(526)
Cash dividends paid - preferred stock			0	0
Reclassification of amounts impacted by Tax Reform	(5)		(5)
Stock option and incentive plans, net			0	0
Net income (loss)			0	0
Other comprehensive income (loss), net			75	36
Comprehensive Income (Loss), Net			75	36
Balance at period end	(424)	(490)	(424)	(490)
Parent [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance at period start			3,529	3,288
Cash dividends paid - preferred stock			(7)	(7)
Reclassification of amounts impacted by Tax Reform			0
Stock option and incentive plans, net			(21)	22
Net income (loss)			(276)	(27)
Other comprehensive income (loss), net			75	36
Comprehensive Income (Loss), Net			(201)	9
Balance at period end	$ 3,359	$ 3,312	$ 3,359	$ 3,312
ASU 2014-09 \| Common Stock [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative impact of adopting the new revenue standard					$ 0
ASU 2014-09 \| Additional Paid-in Capital [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative impact of adopting the new revenue standard					0
ASU 2014-09 \| Retained Earnings [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative impact of adopting the new revenue standard					17
ASU 2014-09 \| AOCL Attributable to Parent [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative impact of adopting the new revenue standard					0
ASU 2014-09 \| Parent [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative impact of adopting the new revenue standard					$ 17

Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net loss from continuing operations	$ (237)	$ (17)	$ (276)	$ (31)
Accrued dividends on preferred stock	(2)	(2)	(7)	(7)
Preferred Stock Dividends and Other Adjustments	(2)	(2)	(7)	(7)
Income from discontinued operations, net of tax	0	0	0	4
Adjusted Net Income Available to Common Shareholders, Common	$ (239)	$ (19)	$ (283)	$ (34)
Weighted average number of shares outstanding, Basic	206,605	204,356	205,739	203,838
Loss from continuing operations, per basic share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.19)
Income from discontinued operation, net of tax, per basic share	0.00	0.00	0.00	0.02
Basic Loss per Share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.17)
Adjusted Net Loss from Continuing Operations Available to Common Shareholders, Diluted	$ (239)	$ (19)	$ (283)	$ (38)
Net income from discontinued operations, diluted	0	0	0	4
Adjusted Net Loss Available to Common Stockholders, Diluted	$ (239)	$ (19)	$ (283)	$ (34)
Weighted average number of shares outstanding, Diluted	206,605	204,356	205,739	203,838
Loss from continuing operations, per diluted share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.19)
Income from discontinued operation, net of tax, per diluted share	0.00	0.00	0.00	0.02
Loss Per Share, Diluted	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.17)
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	10,683	12,829	10,683	12,829
Restricted Stock and Performance Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	5,097	7,021	5,097	7,021
Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	193	415	193	415
Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	5,393	5,393	5,393	5,393
Restricted Stock and Performance Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements	0	0	0	0
Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements	0	0	0	0

Earnings per Share - Earnings per share reconciliation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Schedule of Basic And Diluted Earnings [Line Items]
Adjusted Net Income Available to Common Shareholders, Common	$ (239)	$ (19)	$ (283)	$ (34)
Income from discontinued operations, net of tax	0	0	0	4
Adjusted net income (loss) from continuing operations available to common stockholders, basic	(239)	(19)	(283)	(38)
Preferred Stock Dividends and Other Adjustments	2	2	7	7
Net loss from continuing operations	$ (237)	$ (17)	$ (276)	$ (31)
Weighted average number of shares outstanding, Basic	206,605	204,356	205,739	203,838
Continuing operations, per basic share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.19)
Discontinued operations, per basic share	0.00	0.00	0.00	0.02
Earnings Per Share, Basic	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.17)
Dividends, Preferred Stock, Cash	$ 2	$ 2	$ 7	$ 7
Adjusted Net Loss from Continuing Operations Available to Common Shareholders, Diluted	(239)	(19)	(283)	(38)
Net income from discontinued operations, diluted	0	0	0	4
Adjusted Net Loss Available to Common Stockholders, Diluted	$ (239)	$ (19)	$ (283)	$ (34)
Weighted average number of shares outstanding, Diluted	206,605	204,356	205,739	203,838
Continuing operations, per diluted share	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.19)
Income from discontinued operation, net of tax, per diluted share	0.00	0.00	0.00	0.02
Earnings Per Share, Diluted	$ (1.16)	$ (0.09)	$ (1.38)	$ (0.17)
Stock Options [Member]
Schedule of Basic And Diluted Earnings [Line Items]
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements	0	0	0	0
Restricted Stock and Performance Shares [Member]
Schedule of Basic And Diluted Earnings [Line Items]
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements	0	0	0	0

Earnings per Share - Earnings per share-anti dilutive shares (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	10,683	12,829	10,683	12,829
Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	193	415	193	415
Restricted Stock and Performance Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	5,097	7,021	5,097	7,021
Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	5,393	5,393	5,393	5,393

Subsequent Events Acquisition of business (Details) $ in Millions	1 Months Ended
	Oct. 31, 2018 USD ($)
Health Solutions Plus (HSP) \| Subsequent Event
Subsequent Event [Line Items]
Payments to Acquire Businesses, Gross	$ 98