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Document And Entity Information - shares	9 Months Ended
Document And Entity Information - shares	Sep. 30, 2016	Nov. 09, 2016
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	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		1,000

Condensed Consolidated Statements of Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Revenues
Outsourcing	$ 1,585	$ 1,557	$ 4,856	$ 4,892
Related party	11	14	38	40
Total Revenues	1,596	1,571	4,894	4,932
Costs and Expenses
Cost of outsourcing	1,319	1,672	4,079	4,505
Related party cost of services	9	10	28	29
Research and development	7	12	25	39
Selling, administrative and general	164	170	517	522
Restructuring and related costs	8	9	57	160
Amortization of intangible assets	63	62	200	187
Separation costs	15	0	34	0
Related party interest	10	14	30	50
Other expenses, net	(1)	12	10	22
Total Costs and Expenses	1,594	1,961	4,980	5,514
Income (Loss) before Income Taxes	2	(390)	(86)	(582)
Income tax expense (benefit)	1	(154)	(54)	(237)
Income (Loss) from Continuing Operations	1	(236)	(32)	(345)
Loss from discontinued operations, net of tax	0	(3)	0	(64)
Net Income (Loss)	$ 1	$ (239)	$ (32)	$ (409)

Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

Sep. 30, 2016

Sep. 30, 2015

Sep. 30, 2016

Sep. 30, 2015

Statement of Comprehensive Income [Abstract]

Net Income (Loss)

$ 1

$ (239)

$ (32)

$ (409)

Other Comprehensive Loss, Net:

Translation adjustments, net

^[1]

(10)

(28)

(25)

(47)

Unrealized (losses) gains, net

^[1]

(1)

Changes in defined benefit plans, net

^[1]

Other Comprehensive Loss, Net

^[1]

(9)

(27)

(22)

(44)

Comprehensive Loss, Net

Comprehensive Loss, Net

$ (8)

$ (266)

$ (54)

$ (453)

[1]	Refer to Note 10 - Other Comprehensive Loss for gross components of Other Comprehensive Loss, reclassification adjustments out of Accumulated Other Comprehensive Loss and related tax effects.

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets, Current [Abstract]
Cash and cash equivalents	$ 148	$ 140
Accounts receivable, net	1,420	1,246
Related party notes receivable	205	248
Other current assets	247	240
Total current assets	2,020	1,874
Land, buildings and equipment, net	264	280
Intangible assets, net	1,225	1,425
Goodwill	4,850	4,872
Other long-term assets	564	607
Total Assets	8,923	9,058
Liabilities, Current [Abstract]
Short-term debt and current portion of long-term debt	22	24
Related party notes payable	1,106	1,132
Accounts payable	116	264
Accrued compensation and benefits costs	245	249
Unearned income	208	227
Other current liabilities	609	845
Total current liabilities	2,306	2,741
Long-term debt	26	37
Pension and other benefit liabilities	151	153
Deferred taxes	781	764
Other long-term liabilities	169	201
Total Liabilities	3,433	3,896
Contingencies (See Note 11)
Accumulated other comprehensive loss	(203)	(181)
Total Liabilities and Net Parent Equity	8,923	9,058
Accumulated Net Investment Gain (Loss) Attributable to Parent
Liabilities, Current [Abstract]
Net parent investment	5,693	5,343
Total Net Parent Equity	5,693	5,343
AOCI attributable to parent
Liabilities, Current [Abstract]
Net parent investment	(203)	(181)
Accumulated other comprehensive loss	(203)	(181)
Total Net Parent Equity	(203)	(181)
Xerox Shareholders’ Equity
Liabilities, Current [Abstract]
Net parent investment	5,490	5,162
Total Net Parent Equity	$ 5,490	$ 5,162

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Cash Flows from Operating Activities:
Net income (loss)	$ 1	$ (239)	$ (32)	$ (409)
Adjustments required to reconcile net income (loss) to cash flows from operating activities:
Depreciation and amortization	135	170	417	466
Provision for receivables	0	0	3	2
Net loss on sales of businesses and assets	0	4	1	75
Stock-based compensation	8	28	18	33
Restructuring and asset impairment charges	0	9	45	160
Payments for restructurings	(17)	(3)	(37)	(13)
Contributions to defined benefit pension plans	(1)	(2)	(4)	(6)
(Increase) decrease in accounts receivable	(27)	116	(140)	31
(Increase) decrease in other current and long-term assets	(1)	118	(70)	(73)
(Decrease) increase in accounts payable and accrued compensation	(15)	53	(154)	(45)
(Decrease) increase in other current and long-term liabilities	(74)	231	(164)	191
Net change in income tax assets and liabilities	132	(358)	80	(408)
Other operating, net	(1)	1	(1)	1
Net cash provided by (used in) operating activities	140	128	(38)	5
Cash Flows from Investing Activities:
Cost of additions to land, buildings and equipment	(31)	(25)	(86)	(131)
Proceeds from sales of land, buildings and equipment	0	0	0	1
Cost of additions to internal use software	(11)	(7)	(31)	(20)
Proceeds from sale of businesses	0	6	(53)	939
Acquisitions, net of cash acquired	(1)	(153)	(1)	(195)
Net proceeds (payments) on related party notes receivable	43	(23)	43	(24)
Other investing	(1)	(1)	(1)	0
Net cash (used in) provided by investing activities	(1)	(203)	(129)	570
Cash Flows from Financing Activities:
Net proceeds on debt	2	2	6	30
Net payments on debt	(6)	(7)	(18)	(287)
Net transfers (to) from parent	1	45	(26)	16
Net transfers (to) from parent	(146)	35	216	(324)
Excess tax benefits from stock-based compensation	0	1	0	3
Other financing	0	0	(1)	(1)
Net cash (used in) provided by financing activities	(149)	76	177	(563)
Effect of exchange rate changes on cash and cash equivalents	(2)	(4)	(2)	(8)
(Decrease) increase in cash and cash equivalents	(12)	(3)	8	4
Cash and cash equivalents at beginning of period	160	166	140	159
Cash and Cash Equivalents at End of Period	$ 148	$ 163	$ 148	$ 163

Basis of Presentation

9 Months Ended

Sep. 30, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

The Proposed Transaction

On January 29, 2016, Xerox Corporation (Xerox or Parent) announced plans for the complete legal and structural separation ("Spin-Off") of the businesses constituting Xerox's Business Processing Outsourcing business and related operations (the "BPS Business") from Xerox. To effect the separation, Xerox will first undertake a series of internal transactions, following which Conduent Incorporated ("Conduent") will hold, directly or through its subsidiaries, the BPS Business. The separation will be completed by way of a pro rata distribution of Conduent Incorporated shares held by Xerox to Xerox's shareholders. The Spin-Off will be completed by way of a pro rata dividend on December 31, 2016 of shares of Conduent common stock held by Xerox to its shareholders as outstanding shares of common stock of Conduent and Conduent will operate as an independent publicly-traded company.

In these Condensed Combined Financial Statements, unless the context otherwise requires:


•	"We," "our" and "us" refer to Xerox's Business Processing Outsourcing business and related operations, and


•	"Spin-Off" refers to the transaction in which we will be separated from Xerox.

Completion of the Spin-Off is subject to the satisfaction or waiver of a number of conditions. In addition, Xerox has the right not to complete the Spin-Off if, at any time, Xerox’s board of directors determines, in its sole and absolute discretion, that the Spin-Off is not in the best interest of Xerox or its shareholders, or is otherwise not advisable.

Basis of Presentation and Principles of Combination

The Condensed Combined Financial Statements of the BPS Business have been derived from the Consolidated Financial Statements and accounting records of Xerox as if the BPS Business operated on a standalone basis during the periods presented and were prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and pursuant to the rules and regulations of the SEC. Historically, the BPS Business consisted of the Business Processing Outsourcing Operating segment within Xerox's reportable Services segment and did not operate as a separate, standalone company. Accordingly, its financial position and the related results of operations, cash flows and changes in equity have been reported in Xerox's Consolidated Financial Statements.

We have prepared the unaudited Condensed Combined Financial Statements in accordance with the accounting policies described in our audited 2015 Combined Financial Statements, contained in the Company's Registration Statement on Form 10 filed with the SEC, on June 30, 2016, as amended and the interim reporting requirements of U.S. GAAP. Accordingly, certain information and note disclosures normally included in our annual combined financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. You should read these Condensed Combined Financial Statements in conjunction with the 2015 Combined Financial Statements contained in our Registration Statement on Form 10. In the opinion of management, all adjustments which are necessary for a fair statement of financial position, operating results and cash flows for the interim periods presented have been made. These adjustments consist of normal recurring items. Interim results of operations are not necessarily indicative of the results of the full year.

As the separate legal entities and divisions that make up the BPS Business were not historically held by a single legal entity, Total Net Parent Equity is shown in lieu of shareholder's equity in these Condensed Combined Financial Statements. Balances between the BPS Business and Xerox that were not historically settled in cash are included in Net Parent Investment. Net Parent Investment represents Xerox's interest in the recorded assets of the BPS Business and represents the cumulative investment by Xerox in the BPS Business through the dates presented, inclusive of operating results.

The Condensed Combined Financial Statements include the historical basis of assets, liabilities, revenues, and expenses of the individual businesses of Xerox's historical BPS Business including the joint ventures and partnerships over which the BPS Business has a controlling financial interest. The BPS Business uses the equity method to account for investments in business entities that it does not control if it is otherwise able to exercise significant influence over the entities operating and financial policies (generally 20% to 50% ownership). The Condensed Combined Financial Statements include certain assets and liabilities that are held by Xerox that are specifically identifiable or otherwise attributable to the BPS Business. All intercompany transactions and balances within the BPS Business have been eliminated.

Cash is managed centrally through bank accounts controlled and maintained by Xerox. Accordingly, cash and cash equivalents held by Xerox at the corporate level were not attributable to the BPS Business for any of the periods presented. Only cash amounts specifically attributable to the BPS Business are reflected in the Condensed Combined Balance Sheets. Transfers of cash, both to and from Xerox's centralized cash management system, are reflected as a component of Net Parent Investment in the Condensed Combined Balance Sheets and as a financing activity on the accompanying Condensed Combined Statements of Cash Flows. Historically, the BPS Business received or provided funding as part of Xerox's centralized treasury program.

Third-party debt obligations of Xerox and the corresponding financing costs related to those debt obligations, specifically those that relate to senior notes, term loans, commercial paper obligations and revolving credit facilities, have not been attributed to the BPS Business, as the BPS Business was not the legal obligor on the debt. The only third-party debt obligations included in these Condensed Combined Financial Statements are those for which the legal obligor is a legal entity within the BPS Business.

During the periods presented, the BPS Business functioned as part of the larger group of companies controlled by Xerox. Accordingly, Xerox performed certain corporate overhead functions for the BPS Business. Therefore, certain corporate costs, including compensation costs for corporate employees supporting the BPS Business, have been allocated from Xerox. These allocated costs are for corporate functions including, but not limited to, senior management, legal, human resources, finance and accounting, treasury, information technology, marketing and communications, internal audit and other shared services, which are not provided at the BPS Business level. Where possible, these costs were allocated based on direct usage, with the remainder allocated on a basis of cost, headcount, or other measures we have determined as reasonable. The Condensed Combined Financial Statements do not necessarily include all the expenses that would have been incurred or held by the BPS Business had it been a separate, standalone company. We expect to incur additional expenses, as well as gain incremental productivity as a separate, standalone publicly-traded company. It is not practicable to estimate actual costs that would have been incurred had the BPS Business been a separate standalone company during the periods presented. Allocations for management costs and corporate support services provided to the BPS Business totaled $41 and $125 for the three and nine months ended September 30, 2016, respectively, and $40 and $127 for the three and nine months ended September 30, 2015, respectively.

The management of the BPS Business believes the assumptions underlying the Condensed Combined Financial Statements, including the assumptions regarding the allocated expenses, reasonably reflect the utilization of services provided to or the benefit received by the BPS Business during the periods presented. Nevertheless, the Condensed Combined Financial Statements may not be indicative of the BPS Business's future performance, and do not necessarily include all of the actual expenses that would have been incurred by the BPS Business and may not reflect the results of operations, financial position, and cash flows of the BPS Business had the BPS Business been a separate, standalone company during the periods presented.

Operations of the BPS Business are included in the consolidated U.S. federal, and certain state and local and foreign income tax returns filed by Xerox, where applicable. The BPS Business also files certain separate state and local and foreign income tax returns. Income tax expense and other income tax related information contained in the Condensed Combined Financial Statements are presented on a separate return basis as if the BPS Business filed its own tax returns. The income taxes of the BPS Business, as presented in the Condensed Combined Financial Statements, may not be indicative of the income taxes that the BPS Business will generate in the future. In jurisdictions where the BPS Business has been included in the tax returns filed by Xerox, any income taxes payable resulting from the related income tax provisions have been reflected in the balance sheet within "Net Parent Investment."

For convenience and ease of reference, we refer to the financial statement caption “Income (Loss) before Income Taxes” as “pre-tax income (loss)” throughout the Notes to the Condensed Combined Financial Statements.

During the 2016 second quarter closing process, we determined that the first quarter 2016 income tax benefit of $25 should have been $6 higher. This additional income tax benefit was adjusted for and included in the six month results ended June 30, 2016 and the nine month results ended September 30, 2016. We will revise the first quarter 2016 results in future filings to reflect this adjustment. The Company concluded that this item was not material to the condensed combined financial statements for the three months ended March 31, 2016.

Recent Accounting Pronouncements

9 Months Ended

Sep. 30, 2016

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Recent Accounting Pronouncements

Revenue Recognition

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606), to supersede nearly all existing revenue recognition guidance under U.S. GAAP. The core principle of ASU 2014-09 is to recognize revenues when 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. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than required under existing U.S. GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is effective for our fiscal year beginning January 1, 2018, with early adoption permitted for fiscal years beginning January 1, 2017. The standard will be adopted using either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined per ASU 2014-09. In March 2016, the FASB issued ASU 2016-08, Revenue Recognition - Principal versus Agent (reporting revenue gross versus net). Also, in April 2016, the FASB issued ASU 2016-10 Revenue from Contracts with Customers - Identifying Performance Obligations and Licensing, and in May 2016, the FASB issued ASU 2016-12 Revenue Recognition - Narrow Scope Improvements and Practical Expedients. We will adopt this standard beginning January 1, 2018, and we will use the modified retrospective method. We continue to evaluate the impact of our pending adoption of ASU 2014-09 on our consolidated financial statements.

Leases

In February 2016, the FASB issued ASU 2016-02, Leases. This update requires the recognition of leased assets and lease obligations by lessees for those leases currently classified as operating leases under existing lease guidance. Short term leases with a term of 12 months or less are not required to be recognized. The update also requires disclosure of key information about leasing arrangements to increase transparency and comparability among organizations. The accounting for lessors does not fundamentally change except for changes to conform and align guidance to the lessee guidance as well as to the new revenue recognition guidance in ASU 2014-09. This update is effective for our fiscal year beginning January 1, 2019. We are currently evaluating the impact of the adoption of ASU 2016-02 on our consolidated financial statements.

Cash Flows

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows - Classification of Certain Cash Receipts and Cash Payments. This update provides specific guidance on eight cash flow classification issues where current GAAP is either unclear or does not include specific guidance. This update is effective for our fiscal year beginning January 1, 2018 with early adoption permitted. This update is not expected to have a material impact on our financial condition, results of operations or cash flows.

Stock Compensation

In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation, Improvements to Employee Share-Based payment Accounting (Topic 718). This update includes provisions to simplify certain aspects related to the accounting for share-based awards and the related financial statement presentation. The update also requires that excess tax benefits and deficiencies be recorded in the income statement when the awards vest or are settled as compared to equity as allowed under certain conditions by current US GAAP. This change is required to be adopted prospectively in the period of adoption. In addition, the ASU modifies the classification of certain share-based payment activities within the statements of cash flows and these changes are required to be applied retrospectively to all periods presented. ASU 2016-09 is effective for our fiscal year beginning January 1, 2017. The adoption of ASU No. 2016-09 is not expected to have a material impact on our financial condition, results of operations or cash flows. However, the update may add volatility to our income tax expense in future periods depending upon, among other things, the level of tax expense and the price of the Company's common stock at the date of vesting for share-based awards.

Income Taxes

In October 2016, the FASB issued ASU 2016-16, Income Taxes - Intra-Entity Transfers of Assets Other than Inventory. This update requires recognition of the income-tax consequences of an intra-entity transfer of assets other than inventory. Under current GAAP, recognition of the income tax consequences for assets other than inventory could only occur upon sale to a third party. This update is effective for our fiscal year beginning January 1, 2018. We are currently evaluating the impact of the adoption of ASU 2016-16 on our consolidated financial statements.

Financial Instruments - Credit Losses

In June 2016, the FASB issued ASU 2016-13, Financial Instruments Credit Losses - Measurement of Credit Losses on Financial Instruments, which requires measurement and recognition of expected credit losses for financial assets. The update impacts financial assets and net investment in leases that are not accounted for at fair value through net income. This update is effective for our fiscal year beginning January 1, 2020, with early adoption permitted as of January 1, 2019. We are currently evaluating the impact of the adoption of ASU 2016-13 on our financial statements.

Equity Method Accounting

In March 2016, the FASB issued ASU 2016-07, Investments - Equity Method and Joint Ventures (Topic 323), Simplifying the Transition to the Equity Method of Accounting. This update eliminates the requirement that when an existing cost method investment qualifies for use of the equity method, an investor must restate its historical financial statements, as if the equity method had been used during all previous periods. Under the new guidance, at the point an investment qualifies for the equity method, any unrealized gain or loss in accumulated other comprehensive income(loss) ("AOCI") will be recognized through earnings. This update is effective for our fiscal year beginning January 1, 2017, with early adoption permitted. The adoption of this update is not expected to have a material impact on our financial condition, results of operations or cash flows.

Other Updates

In 2016 and 2015, the FASB also issued the following Accounting Standards Updates which are not expected to have a material impact on our financial condition, results of operations or cash flows. Those updates are as follows:


•	Financial Instruments: ASU 2016-01, Financial Instruments - Recognition and Measurement of Financial Instruments and Financial Liabilities, which will be effective for our fiscal year beginning January 1, 2018.


•	Inventory: ASU 2015-11, Simplifying the Subsequent Measurement of Inventory, which is effective for our fiscal year beginning January 1, 2017.


•	Fair Value Measurements: ASU 2015-07, Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or its Equivalent), which was effective for our fiscal year beginning January 1, 2016.


•	Disclosures of Going Concern Uncertainties: ASU 2014-15, Presentation of Financial Statements -

Going Concern (Subtopic 205-40); Disclosure of Uncertainties about an Entity’s Ability to Continue as a

Going Concern, which is effective for our fiscal year ending December 31, 2016.


•	Stock Compensation: ASU 2014-12, Compensation - Stock Compensation (Topic 718): Accounting for

Share-Based Payments When the Terms of an Award Provide that a Performance Target Could be

Achieved after the Requisite Service Period, which was effective for our fiscal year beginning January 1,

2016.

- Definition

The entire disclosure of changes in accounting principles, including adoption of new accounting pronouncements, that describes the new methods, amount and effects on financial statement line items.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6507316

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Direct Effects of a Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6510796

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=56949863&loc=d3e22583-107794

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Indirect Effects of a Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6515603

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=56949863&loc=d3e22580-107794

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 270
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.10-01.(b)(6))
-URI http://asc.fasb.org/extlink&oid=27015980&loc=d3e46468-122699

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Accounting Change
-URI http://asc.fasb.org/extlink&oid=6503790

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=56949863&loc=d3e22499-107794

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Retrospective Application
-URI http://asc.fasb.org/extlink&oid=6523989

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 270
-SubTopic 10
-Section 45
-Paragraph 13
-URI http://asc.fasb.org/extlink&oid=51655806&loc=d3e765-108305

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 270
-SubTopic 10
-Section 45
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=51655806&loc=d3e725-108305

+ Details

Segment Reporting

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Segment Reporting

Our reportable segments correspond to how we organize and manage the business and are aligned to the industries in which our clients operate. All of our segments involve the delivery of business process services and include service arrangements where we manage a customer's business activity or process. We report our financial performance based on the following three primary reportable segments:


•	Commercial Industries


•	Healthcare


•	Public Sector

Commercial Industries: Our Commercial Industries segment provides business process services and customized solutions to clients in a variety of industries (other than healthcare). 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 customer care, human resource management and finance and accounting services. These services are complemented by innovative industry-specific services such as personalized product information for the automotive industry; digitized source-to-pay solutions for clients in the manufacturing industry; customer experience and marketing services for clients in the retail industry; mortgage and consumer loan processing for clients in the financial services industry and customized workforce learning solutions for clients in the aerospace industry.

Healthcare: Our Healthcare segment provides industry-centric business process services to clients across the healthcare industry, including providers, payers, employers, pharmaceutical and life science companies and government agencies. Through this segment we offer innovative services and subject matter expertise to clients. We strive to enable our healthcare clients to focus on improving the patient care experience, lowering total costs and enabling better long-term health outcomes.

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 and payment services.

Other: Other includes our Government Health Enterprise Medicaid Platform business, where we are limiting our focus to implementing and maintaining systems for our current Health Enterprise clients, and our Student Loan business, which is in run-off. Other also includes non-allocated corporate expenses as well as inter-segment eliminations.

Selected financial information for our reportable segments is as follows:



	Three Months Ended September 30,					Nine Months Ended September 30,
	Segment Revenue		Segment Profit (Loss)			Segment Revenue		Segment Profit(Loss)
2016
Commercial Industries	$	664	$	21		$	2,030	$	44
Healthcare	397		38			1,277		112
Public Sector	443		59			1,290		163
Other	92		(21		)	297		(74		)
Total	$	1,596	$	97		$	4,894	$	245
2015
Commercial Industries	$	720	$	14		$	2,161	$	51
Healthcare	422		32			1,293		113
Public Sector	429		51			1,283		145
Other ⁽¹⁾	—		(390		)	195		(469		)
Total	$	1,571	$	(293	)	$	4,932	$	(160	)

__________________________


(1)	Other includes a pre-tax charge of $389 associated with our third quarter 2015 decision to not fully complete the Health Enterprise implementations in California and Montana. The charge included a $116 reduction to revenues and $273 recorded to cost of outsourcing.



	Three Months Ended September 30,						Nine Months Ended September 30,
Reconciliation to Pre-tax Income (Loss)	2016			2015			2016			2015
Segment Profit (Loss)	$	97		$	(293	)	$	245		$	(160	)
Reconciling items:
Amortization of intangible assets	(63		)	(62		)	(200		)	(187		)
Restructuring and related costs	(8		)	(9		)	(57		)	(160		)
Business transformation costs⁽¹⁾	—			—			—			(3		)
Related party interest	(10		)	(14		)	(30		)	(50		)
Separation costs⁽²⁾	(15		)	—			(34		)	—
Other	1			(12		)	(10		)	(22		)
Pre-tax Profit (Loss)	$	2		$	(390	)	$	(86	)	$	(582	)

__________________________


(1)	Business transformation costs represent incremental costs incurred directly in support of our business transformation and restructuring

initiatives such as compensation costs for overlapping staff, consulting costs and training costs.

(2)

Separation costs are expenses incurred in connection with Xerox's planned separation into two independent, publicly-traded companies. These costs are primarily for third-party investment banking, accounting, legal, consulting and other similar types of services related to the separation transaction as well as costs associated with the operational separation of the two companies, such as those related to human resources, brand management, real estate and information management to the extent not capitalized. Refer to Note 1 - Basis of Presentation for additional information regarding Xerox's planned separation.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

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+ Details

Divestitures

9 Months Ended

Sep. 30, 2016

Discontinued Operations and Disposal Groups [Abstract]

Divestitures

Information Technology Outsourcing (ITO)

In 2014, we announced an agreement to sell our ITO business to Atos SE ("Atos"). As a result of this agreement, we reported the ITO business as held for sale and a Discontinued Operation up through its date of sale, which was completed on June 30, 2015.

In February 2016, we reached an agreement with Atos on the final adjustments to the closing balance of net assets sold as well as the settlement of certain indemnification claims and recorded an additional pre-tax loss on the disposal in 2015 of $24 ($14 after-tax). This additional loss was recorded in the 2015 financial statements because the agreement with Atos was reached before the financial statements had been issued, accordingly no adjustment was required in 2016. In the first quarter 2016, we paid Atos approximately $52, representing a $28 adjustment to the final sales price as a result of this agreement and a payment of $24 due from closing. The payment is reflected in Investing cash flows as an adjustment of the sales proceeds.

Other Discontinued Operations

There were no Discontinued Operations for the nine months ended September 30, 2016.

Summarized financial information for our Discontinued Operations for the three and nine months ended September 30, 2015 was as follows:



	Three Months Ended September 30, 2015								Nine Months Ended September 30, 2015
	ITO			Other		Total			ITO			Other		Total
Revenues	$	—		$	—	$	—		$	619		$	—	$	619

Income from operations ⁽¹⁾	$	—		$	—	$	—		$	104		$	—	$	104
Loss on disposal	(5		)	—		(5		)	(77		)	—		(77		)
Net (loss) income before income taxes	(5		)	—		(5		)	27			—		27
Income tax benefit (expense)	2			—		2			(91		)	—		(91		)
Loss From Discontinued Operations, Net of Tax	$	(3	)	$	—	$	(3	)	$	(64	)	$	—	$	(64	)

__________________________


(1)	ITO Income from operations excludes depreciation and amortization expenses of approximately $80 (including $14 of intangible amortization) for the nine months ended September 30, 2015, since the business was held for sale.

- Definition

The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component.

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+ Details

Accounts Receivable, Net

9 Months Ended

Sep. 30, 2016

Receivables [Abstract]

Accounts Receivable, Net

Accounts receivable, net were as follows:



	September 30, 2016			December 31, 2015
Amounts billed or billable	$	1,067		$	963
Unbilled amounts	360			289
Allowance for doubtful accounts	(7		)	(6		)
Accounts Receivable, Net	$	1,420		$	1,246

Unbilled amounts include amounts associated with percentage-of-completion accounting and other earned revenues not currently billable due to contractual provisions. Amounts to be invoiced in the subsequent month for current services provided are included in amounts billable, and at September 30, 2016 and December 31, 2015 were approximately $464 and $443, respectively.

We perform ongoing credit evaluations of our customers and adjust credit limits based upon customer payment history and current creditworthiness. The allowance for uncollectible accounts receivables is determined principally on the basis of past collection experience, as well as consideration of current economic conditions and changes in our customer collection trends.

Accounts Receivable Sales Arrangements

Accounts receivable sales arrangements are utilized in the normal course of business as part of our cash and liquidity management. We have facilities in the U.S. and Europe that enable us to sell certain accounts receivable without recourse to third-parties. The accounts receivables sold are generally short-term trade receivables with payment due dates of less than 60 days. Our arrangements involve the sale of our entire interest in groups of accounts receivable for cash.

Under the agreements, we continue to service the sold accounts receivable. A servicing liability is recorded for the estimated fair value of the servicing. The amounts associated with the servicing liability were not material.

Of the accounts receivables sold and derecognized from our balance sheet, $63 and $136 remained uncollected as of September 30, 2016 and December 31, 2015, respectively. Accounts receivable sales were as follows:



	Three Months Ended September 30,					Nine Months Ended September 30,
	2016			2015		2016			2015
Accounts receivable sales	$	74		$	60	$	228		$	179
Estimated Increase (decrease) to operating cash flows⁽¹⁾	(1		)	1		(73		)	(19		)

__________________________


(1)	Represents the difference between current and prior period receivable sales adjusted for the effects of: (i) the deferred proceeds, (ii) collections prior to the end of the quarter and, (iii) currency.

Restructuring Programs

9 Months Ended

Sep. 30, 2016

Restructuring and Related Activities [Abstract]

Restructuring Programs

Restructuring Programs and Related Costs

During the nine months ended September 30, 2016, we recorded net restructuring and asset impairment charges of $45, which included approximately $52 of severance costs related to headcount reductions of approximately 3,300 employees worldwide, $2 of lease cancellation costs and $2 of asset impairments. These costs were offset by $11 of net reversals, primarily resulting from changes in estimated reserves from prior period initiatives. We also recorded $8 and $12 of costs during the three and nine months ended September 30, 2016, respectively, primarily related to professional support services associated with the implementation of the strategic transformation program.

Information related to restructuring program activity during the nine months ended September 30, 2016 is outlined below:



	Severance and Related Costs			Lease Cancellation and Other Costs			Asset Impairments⁽²⁾			Total
Balance at December 31, 2015	$	4		$	—		$	—		$	4
Provision	52			2			2			56
Reversals	(11		)	—			—			(11		)
Net Current Period Charges⁽¹⁾	41			2			2			45
Charges against reserve and currency	(36		)	(1		)	(2		)	(39		)
Balance at September 30, 2016	$	9		$	1		$	—		$	10

_____________________________


(1)	Represents net amount recognized within the Condensed Combined Statements of Income for the period shown.


(2)	Charges associated with asset impairments represent the write-down of the related assets to their new cost basis and are recorded concurrently with the recognition of the provision.

Reconciliation to the Condensed Combined Statements of Cash Flows:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Charges against reserve	$	(17	)	$	(149	)	$	(39	)	$	(159	)
Asset impairments	—			146			2			146
Restructuring Cash Payments	$	(17	)	$	(3	)	$	(37	)	$	(13	)

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,
	2016			2015		2016		2015
Commercial Industries	$	(3	)	$	4	$	25	$	8
Healthcare	—			3		12		4
Public Sector	(1		)	2		5		2
Other	4			—		3		146
Total Net Restructuring Charges	$	—		$	9	$	45	$	160

Financial Instruments

9 Months Ended

Sep. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Financial Instruments

Foreign Exchange Risk Management

We are a global company that is exposed to foreign currency exchange rate fluctuations in the normal course of our business. As a part of our foreign exchange risk management strategy, we use derivative instruments, primarily forward contracts, to hedge the following foreign currency exposures, thereby reducing volatility of earnings or protecting fair values of assets and liabilities:


•	Foreign currency-denominated assets and liabilities


•	Forecasted purchases and sales in foreign currency

Summary of Foreign Exchange Hedging Positions

At September 30, 2016, we had outstanding forward exchange contracts with gross notional values of $176, which is typical of the amounts that are normally outstanding at any point during the year. Approximately 68% of these contracts mature within three months, 12% in three to six months, 15% in six to 12 months and 5% in greater than 12 months.

Included in the $176 Gross Notional Value is $61 of derivatives where a Xerox related party is the counterparty. These related party derivatives are all entered into based on prevailing market terms and accounted for as if they were third-party derivatives. These derivatives had a net fair value of less than $1 at September 30, 2016.

Foreign Currency Cash Flow Hedges

We designate a portion of our foreign currency derivative contracts as cash flow hedges of our foreign currency-denominated expenses. The net liability fair value of these contracts were $1 and $3 as of September 30, 2016 and December 31, 2015, respectively.

Summary of Derivative Instruments Fair Value

The following table provides a summary of the fair value amounts of our derivative instruments:



Designation of Derivatives	Balance Sheet Location	September 30, 2016			December 31, 2015
Derivatives Designated as Hedging Instruments
Foreign exchange contracts – forwards	Other current assets	$	1		$	—
	Other current liabilities	(2		)	(3		)
	Net Designated Derivative Liability	$	(1	)	$	(3	)

Derivatives NOT Designated as Hedging Instruments
Foreign exchange contracts – forwards	Other current assets	$	1		$	—
	Other current liabilities	(2		)	—
	Net Undesignated Derivative Liability	$	(1	)	$	—

Summary of Derivatives	Total Derivative Assets	$	2		$	—
	Total Derivative Liabilities	(4		)	(3		)
	Net Derivative Liability	$	(2	)	$	(3	)

Summary of Derivative Instruments Gains (Losses)

Derivative gains (losses) affect the income statement based on whether such derivatives are designated as hedges of underlying exposures. The following is a summary of derivative gains (losses).

Designated Cash Flow Derivative Instruments Gains (Losses)

The following table provides a summary of gains (losses) on derivative instruments:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Cash Flow Hedges - Foreign Exchange Forward Contracts and Options
Derivative loss recognized in OCI (effective portion)	$	(1	)	$	(3	)	$	—		$	(3	)
Derivative loss reclassified from AOCI to income - Cost of outsourcing (effective portion)	(1		)	(1		)	(2		)	(3		)

During the nine months ended September 30, 2016 and 2015, no amount of ineffectiveness was recorded in earnings for these designated cash flow hedges and all components of each derivative’s gain (loss) was included in the assessment of hedge effectiveness. In addition, no amount was recorded for an underlying exposure that did not occur or was not expected to occur.

At September 30, 2016, net after-tax losses of $1 were recorded in accumulated other comprehensive loss associated with our cash flow hedging activity. The entire balance is expected to be reclassified into net income within the next 12 months, providing an offsetting economic impact against the underlying anticipated transactions.

Non-Designated Derivative Instruments Gains (Losses)

Non-designated derivative instruments are primarily instruments used to hedge foreign currency-denominated assets and liabilities. They are not designated as hedges since there is a natural offset for the re-measurement of the underlying foreign currency-denominated asset or liability.

The following table provides a summary of losses on non-designated derivative instruments:



Derivatives NOT Designated as Hedging Instruments		Three Months Ended September 30,						Nine Months Ended September 30,
Derivatives NOT Designated as Hedging Instruments	Location of Derivative Loss	2016			2015			2016			2015
Foreign exchange contracts – forwards	Other expense – Currency loss, net	$	(1	)	$	(2	)	$	(1	)	$	(3	)

Net currency gains and losses are included in Other expenses, net and include the mark-to-market adjustments of the derivatives not designated as hedging instruments and the related cost of those derivatives as well as the re-measurement of foreign currency-denominated assets and liabilities. For the three months ended September 30, 2016 and 2015, currency gains (losses), net were $1 and $(1), respectively, and for the nine months ended September 30, 2016 and 2015, currency gains (losses), net were $3, and $(3), respectively.

- Definition

The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.

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+ Details

Fair Value of Financial Assets and Liabilities

9 Months Ended

Sep. 30, 2016

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 – Significant Other Observable Inputs.



	September 30, 2016		December 31, 2015
Assets:
Foreign exchange contracts - forwards	$	2	$	—
Deferred compensation investments in cash surrender life insurance	96		92
Deferred compensation investments in mutual funds	21		21
Total	$	119	$	113
Liabilities:
Foreign exchange contracts - forwards	$	4	$	3
Deferred compensation plan liabilities	110		110
Total	$	114	$	113

We utilize the income approach to measure the fair value for our derivative assets and liabilities. The income approach uses pricing models that rely on market observable inputs such as yield curves, currency exchange rates and forward prices, and therefore are classified as Level 2.

Fair value for our deferred compensation plan investments in Company-owned life insurance is reflected at cash surrender value. Fair value for our deferred compensation plan investments in mutual funds is based on quoted market prices for actively traded investments similar to those held by the plan. Fair value for deferred compensation plan liabilities is based on the fair value of investments corresponding to employees’ investment selections, based on quoted prices for similar assets in actively traded markets.

Summary of Other Financial Assets and Liabilities Not Measured at Fair Value on a Recurring Basis

The estimated fair values of our other financial assets and liabilities not measured at fair value on a recurring basis were as follows:



	September 30, 2016				December 31, 2015
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Cash and cash equivalents	$	148	$	148	$	140	$	140
Accounts receivable, net	1,420		1,420		1,246		1,246
Short-term debt	22		22		24		24
Long-term debt	26		26		37		37

The fair value amounts for Cash and cash equivalents and Accounts receivable, net, approximate carrying amounts due to the short maturities of these instruments. The fair value of Short and Long-term debt was estimated based on the current rates offered to us 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

Sep. 30, 2016

Compensation and Retirement Disclosure [Abstract]

Employee Benefit Plans

The components of Net periodic benefit cost and other changes in plan assets and benefit obligations were as follows:



	Three Months Ended September 30,
	Pension Benefits
	U.S. Plans					Non-U.S. Plans
Components of Net Periodic Benefit Costs:	2016			2015		2016			2015
Service cost	$	—		$	—	$	—		$	2
Interest cost	1			—		1			2
Expected return on plan assets	(1		)	—		(2		)	(3		)
Recognized net actuarial loss	—			—		1			—
Defined Benefit Plans	—			—		—			1
Defined contribution plans	8			6		2			1
Net Periodic Benefit Cost	8			6		2			2

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:
Net actuarial gain	—			—		—			—
Amortization of net actuarial loss	—			—		(1		)	—
Total Recognized in Other Comprehensive Loss	—			—		(1		)	—
Total Recognized in Net Periodic Benefit Cost and Other Comprehensive Loss	$	8		$	6	$	1		$	2



	Nine Months Ended September 30,
	Pension Benefits
	U.S. Plans						Non-U.S. Plans
Components of Net Periodic Benefit Costs:	2016			2015			2016			2015
Service cost	$	—		$	—		$	1		$	3
Interest cost	3			2			4			5
Expected return on plan assets	(3		)	(2		)	(6		)	(7		)
Recognized net actuarial loss	—			—			1			1
Defined Benefit Plans	—			—			—			2
Defined contribution plans	22			21			6			3
Net Periodic Benefit Cost	22			21			6			5

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:
Net actuarial loss	—			—			—			(2		)
Amortization of net actuarial loss	—			—			(1		)	(1		)
Total Recognized in Other Comprehensive Loss	—			—			(1		)	(3		)
Total Recognized in Net Periodic Benefit Cost and Other Comprehensive Loss	$	22		$	21		$	5		$	2

Contributions

During the nine months ended September 30, 2016, we made cash contributions of $4 ($3 U.S. and $1 Non-U.S.) to our defined benefit pension plans. We presently anticipate additional cash contributions of $2 ($1 U.S. and $1 Non-U.S.) for total full-year cash contributions of approximately $6 ($4 U.S. and $2 Non-U.S.). In 2015, full-year cash contributions to our defined benefit pension plans were $8 ($4 U.S. and $4 Non-U.S.).

Other Comprehensive Income (Loss)

9 Months Ended

Sep. 30, 2016

Other Comprehensive Income (Loss) [Abstract]

Other Comprehensive Income (Loss)

Other Comprehensive Loss

Other Comprehensive Loss is comprised of the following:



	Three Months Ended September 30,												Nine Months Ended September 30,
	2016						2015						2016						2015
	Pre-tax			Net of Tax			Pre-tax			Net of Tax			Pre-tax			Net of Tax			Pre-tax			Net of Tax
Translation Adjustments Losses	$	(10	)	$	(10	)	$	(28	)	$	(28	)	$	(25	)	$	(25	)	$	(47	)	$	(47	)
Unrealized (Losses) Gains:
Changes in fair value of cash flow hedges - losses	(1		)	—			(3		)	(3		)	—			—			(3		)	(3		)
Changes in cash flow hedges reclassed to earnings⁽¹⁾	1			—			1			2			2			1			3			3
Net Unrealized (Losses) Gains	—			—			(2		)	(1		)	2			1			—			—

Defined Benefit Plans:
Net actuarial gains	—			—			—			—			—			—			2			1
Actuarial loss amortization/settlement⁽²⁾	1			1			—			—			1			1			1			1
Other gains⁽³⁾	—			—			2			2			1			1			1			1
Changes in Defined Benefit Plans	1			1			2			2			2			2			4			3

Other Comprehensive Loss	$	(9	)	$	(9	)	$	(28	)	$	(27	)	$	(21	)	$	(22	)	$	(43	)	$	(44	)

_____________________________


(1)	Reclassified to Cost of outsourcing. Refer to Note 7 - Financial Instruments for additional information regarding our cash flow hedges.


(2)	Reclassified to Total Net Periodic Benefit Cost. Refer to Note 9 - Employee Benefit Plans for additional information.


(3)	Primarily represents currency impact on cumulative amount of benefit plan net actuarial losses and prior service credits in AOCL.

Accumulated Other Comprehensive Loss (AOCL)

AOCL is comprised of the following:



	September 30, 2016			December 31, 2015
Cumulative translation adjustments	$	(172	)	$	(147	)
Other unrealized losses, net	—			(1		)
Benefit plans net actuarial losses and prior service credits	(31		)	(33		)
Total Accumulated Other Comprehensive Loss	$	(203	)	$	(181	)

- Definition

The entire disclosure for comprehensive income, which includes, but is not limited to, 1) the amount of income tax expense or benefit allocated to each component of other comprehensive income, including reclassification adjustments, 2) the reclassification adjustments for each classification of other comprehensive income and 3) the ending accumulated balances for each component of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section 45
-Paragraph 15
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Reference 6: http://www.xbrl.org/2003/role/presentationRef
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Reclassification Adjustments
-URI http://asc.fasb.org/extlink&oid=6522872

+ Details

Contingencies and Litigation	9 Months Ended
Contingencies and Litigation	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Contingencies and Litigation	Contingencies and Litigation As more fully discussed below, we are 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. We determine whether an estimated loss from a contingency should be accrued by assessing whether a loss is deemed probable and can be reasonably estimated. We assess our potential liability by analyzing our litigation and regulatory matters using available information. We develop our views on estimated losses in consultation with outside counsel handling our 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 our 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, they could have a material adverse effect on our 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 and, as of September 30, 2016, it was not reasonably possible that a material loss had been incurred in connection with such matters in excess of the amounts recognized in its financial statements. Additionally, guarantees, indemnifications and claims arise during the ordinary course of business from relationships with suppliers, customers and nonconsolidated affiliates when the BPS Business undertakes an obligation to guarantee the performance of others if specified triggering events occur. Nonperformance under a contract could trigger an obligation of the BPS Business. 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 BPS Business's combined financial position or liquidity. As of September 30, 2016, we have accrued our estimate of liability incurred under our indemnification arrangements and guarantees. Litigation Against the BPS Business State of Texas v. Xerox Corporation, Xerox State Healthcare, LLC, and ACS State Healthcare, LLC: 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 actual damages, two times the amount of any overpayments made as a result of unlawful acts, civil penalties, pre- and post-judgment interest and all costs and attorneys’ fees. The State references the amount in controversy as exceeding hundreds of millions of dollars. The Xerox Defendants filed their Answer in June, 2014 denying all allegations. The Xerox Defendants will continue to vigorously defend themselves in this matter. We do not believe it is probable that we will incur a material loss in excess of the amount accrued for this matter. In the course of litigation, we periodically engage in discussions with plaintiff’s counsel for possible resolution of the matter. Should developments cause a change in our determination as to an unfavorable outcome, or result in a final adverse judgment or settlement for a significant amount, there could be a material adverse effect on our results of operations, cash flows and financial position in the period in which such change in determination, 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”) 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. Buck entered into a stay agreement with plaintiffs that essentially postpones this litigation pending the outcome of parallel litigation between plaintiffs and StanCERA. Buck will continue to aggressively defend these lawsuits. U.S. Equal Employment Opportunity Commission (“EEOC”) v. Baltimore County, Maryland: On January 1, 2007, the EEOC filed suit against Baltimore County (“County”) alleging that the County’s employer pension plan is age discriminatory under the federal Age Discrimination in Employment Act (“ADEA”) on the grounds that older employees were required to pay higher contributions to the plan than younger employees. Buck Consultants, LLC (“Buck”) is not a party to the lawsuit, but Buck provided administrative services to the plan and the County has asserted indemnity rights against Buck in the event that liability is found. On October 17, 2012, the trial court issued summary judgment finding the plan discriminatory but leaving for trial the question of damages. This decision has been affirmed on appeal and the matter is back before the trial court for trial on all remaining fact issues and damages. On April 24, 2015, the County filed for leave to add Buck as a third party to the lawsuit between the County and the EEOC. Buck has filed opposition papers. On January 22, 2015, the County served Buck with a declaratory judgment lawsuit seeking an affirmative determination that Buck owes the County defense and indemnity in the EEOC’s lawsuit against the County. Buck filed its motion to dismiss, which the court granted in part and dismissed the County’s claim for indemnity. The court declined, at this time, to dismiss the County’s claim related to Buck’s alleged duty to defend. This case will now go forward to assess whether Buck owes a duty to defend the County in the action with the EEOC. Buck will continue to aggressively defend these matters. 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. This notice stems from an inquiry that commenced in 2014 when XES received and responded to a Civil Investigative Demand containing a broad request for information. During this process, XES self-disclosed to the Department of Education 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 and the Department of Education, as well as certain states' attorney general offices and other regulatory agencies, began similar reviews. XES has cooperated and continues to fully cooperate with all regulatory agencies, and XES has submitted its NORA response. We cannot provide assurance that the CFPB or another party will not ultimately commence a legal action against XES in this matter nor are we able to predict the likely outcome of the investigations into this matter. We could in future periods incur judgments or enter into settlements in connection with this matter and there could be a material adverse effect on our 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 our Public Sector segment, require us to provide a surety bond or a letter of credit as a guarantee of performance. As of September 30, 2016, we had $655 of outstanding surety bonds used to secure our performance of contractual obligations with our clients, and we had $102 of outstanding letters of credit used to secure our performance of contractual obligations to our clients as well as other corporate obligations. In general, we would only be liable for the amount of these guarantees in the event of default in our performance of our obligations under each contract; the probability of which we believe is remote. We believe we have sufficient capacity in the surety markets and liquidity from our cash flow and our various credit arrangements, including those with our Parent, to allow us to respond to future requests for proposals that require such credit support. We have service arrangements where we service third-party student loans in the Federal Family Education Loan program (FFEL) on behalf of various financial institutions. We service these loans for investors under outsourcing arrangements and do not acquire any servicing rights that are transferable by us to a third-party. At September 30, 2016, we serviced a FFEL portfolio of approximately 1.6 million loans with an outstanding principal balance of approximately $24.1 billion. Some servicing agreements contain provisions that, under certain circumstances, require us to purchase the loans from the investor if the loan guaranty has been permanently terminated as a result of a loan default caused by our servicing error. If defaults caused by us are cured during an initial period, any obligation we may have to purchase these loans expires. Loans that we purchase may be subsequently cured, the guaranty reinstated and the loans repackaged for sale to third parties. We evaluate our exposure under our purchase obligations on defaulted loans and establish a reserve for potential losses, or default liability reserve, through a charge to the provision for loss on defaulted loans purchased. The reserve is evaluated periodically and adjusted based upon management’s analysis of the historical performance of the defaulted loans. As of September 30, 2016, other current liabilities include reserves of approximately $4 for losses on defaulted loans purchased which we believe to be adequate. In addition to potential purchase obligations arising from servicing errors, various laws and regulations applicable to student loan borrowers could give rise to fines, penalties and other liabilities associated with loan servicing errors.

Changes in Parent Equity

9 Months Ended

Sep. 30, 2016

Changes in Parent Equity [Abstract]

Changes in Parent Equity



	Net Parent Investment			Accumulated Other Comprehensive Loss			Total Net Parent Equity
Balance at December 31, 2015	$	5,343		$	(181	)	$	5,162
Net loss	(32		)	—			(32		)
Translation adjustments, net	—			(25		)	(25		)
Unrealized gains, net	—			1			1
Changes in defined benefit plans, net	—			2			2
Net transfers from parent	382			—			382
Balance at September 30, 2016	$	5,693		$	(203	)	$	5,490


Balance at December 31, 2014	$	5,540		$	(129	)	$	5,411
Net loss	(409		)	—			(409		)
Translation adjustments, net	—			(47		)	(47		)
Changes in defined benefit plans, net	—			3			3
Net transfers from parent	919			—			919
Balance at September 30, 2015	$	6,050		$	(173	)	$	5,877

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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Reference 1: http://www.xbrl.org/2003/role/presentationRef
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Reference 15: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Related Party Transactions and Parent Company Investment

9 Months Ended

Sep. 30, 2016

Allocation of Corporate Expenses

The Condensed Combined Statements of Income (Loss), Condensed Combined Statements of Comprehensive Loss and Condensed Combined Statements of Cash Flows include an allocation of general corporate expenses from Xerox. The financial information in these Condensed Combined Financial Statements does not necessarily include all the expenses that would have been incurred or held by the BPS Business had it been a separate, standalone company. It is not practicable to estimate actual costs that would have been incurred had the BPS Business been a standalone company during the periods presented. The management of the BPS Business considers these allocations to be a reasonable reflection of the utilization of services by, or the benefits provided to, it. Allocations for management costs and corporate support services provided to the BPS Business for the three and nine months ended September 30, 2016 totaled $41 and $125, respectively and $40 and $127 for the three and nine months ended September 30, 2015, respectively. These amounts include costs for corporate functions including, but not limited to, senior management, legal, human resources, finance and accounting, treasury, information technology, marketing and communications, internal audit and other shared services. Where possible, these costs were allocated based on direct usage, with the remainder allocated on a basis of costs, headcount or other measures we have determined as reasonable.



	Three Months Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Research and development	$	6	$	10	$	20	$	32
Selling, administrative and general	35		30		105		95
Total Allocated Corporate Expenses	$	41	$	40	$	125	$	127

Net Parent Investment

Net Parent investment on the Condensed Combined Balance Sheets and in Note 12 represents Xerox’s historical investment in the BPS Business, the net effect of transactions with, and allocations from Xerox, and the BPS Business’s accumulated earnings. Net transfers to Xerox are included within Net Parent investment. The components of Net transfers to Xerox and the reconciliation to the corresponding amount presented on the Condensed Combined Statements of Cash Flows were as follows:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Cash pooling and general financing activities	$	86		$	(85	)	$	360		$	275
Corporate cost allocations	41			40			125			127
Income taxes	(136		)	193			(157		)	244
Divestitures and acquisitions, net	1			147			54			(744		)
Capitalization of related party notes payable	—			—			—			1,017
Total net transfers (to) from parent	(8		)	295			382			919
Stock-based compensation	(8		)	(28		)	(18		)	(33		)
Capitalization of related party notes payable	—			—			—			(1,017		)
Other, net	(130		)	(232		)	(148		)	(193		)
Total Net Transfers (To) From Parent per Condensed Combined Statements of Cash Flows	$	(146	)	$	35		$	216		$	(324	)

Related Party Receivables/Payables

Certain operating units of the BPS Business have various interest bearing notes under contractual agreements to and from Xerox and other related parties. The purpose of these notes is to provide funds for certain working capital or other capital and operating requirements of the business. Net interest expense on these notes with related party companies is recorded net in Related Party Interest in the Condensed Combined Statements of Income (Loss) and was $10 and $14 for the three months ended September 30, 2016 and 2015, respectively and $30 and $50 for the nine months ended September 30, 2016 and 2015, respectively. These notes have fixed interest rates that range from 1.0% to 8.0%. The balances are reported within current assets as Related party notes receivable and within current liabilities as Related party notes payable in the Condensed Combined Balance Sheets as the balances are expected to be settled as part of the separation transaction.

Related Party Revenue and Purchases

The BPS Business provides various services to Xerox including those related to human resource, accounting and finance and customer care, which are reported as Related party revenue in the Condensed Combined Statements of Income (Loss). The costs related to these services are reported as Related party cost of services in the Condensed Combined Statements of Income (Loss).

The BPS Business also leased equipment and received related services, supplies and parts from Xerox and Xerox subsidiaries in the amount of $4 and $5 for the three months ended September 30, 2016 and 2015, respectively and $15 and $18 for the nine months ended September 30, 2016 and 2015, respectively. The costs related to these services, supplies and parts are reported as Cost of outsourcing in the Condensed Combined Statements of Income (Loss).

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

Subsequent Event	9 Months Ended
Subsequent Event	Sep. 30, 2016
Subsequent Events [Abstract]
Subsequent Event	Subsequent Event The Condensed Combined Financial Statements of the BPS Business are derived from the Consolidated Financial Statements of Xerox Corporation, which issued its financial statements for the three and nine months ended September 30, 2016 on November 3, 2016. Accordingly, the BPS Business has evaluated transactions or other events for consideration as recognized subsequent events in the financial statements through November 3, 2016. Additionally, the BPS Business has evaluated transactions and other events that occurred through the issuance of these Condensed Combined Financial Statements, November 10, 2016, for purposes of disclosure of unrecognized subsequent events.

Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Operating segment revenues and profitability



	Three Months Ended September 30,					Nine Months Ended September 30,
	Segment Revenue		Segment Profit (Loss)			Segment Revenue		Segment Profit(Loss)
2016
Commercial Industries	$	664	$	21		$	2,030	$	44
Healthcare	397		38			1,277		112
Public Sector	443		59			1,290		163
Other	92		(21		)	297		(74		)
Total	$	1,596	$	97		$	4,894	$	245
2015
Commercial Industries	$	720	$	14		$	2,161	$	51
Healthcare	422		32			1,293		113
Public Sector	429		51			1,283		145
Other ⁽¹⁾	—		(390		)	195		(469		)
Total	$	1,571	$	(293	)	$	4,932	$	(160	)

__________________________


(1)	Other includes a pre-tax charge of $389 associated with our third quarter 2015 decision to not fully complete the Health Enterprise implementations in California and Montana. The charge included a $116 reduction to revenues and $273 recorded to cost of outsourcing.

Reconciliation to pre-tax income (loss)



	Three Months Ended September 30,						Nine Months Ended September 30,
Reconciliation to Pre-tax Income (Loss)	2016			2015			2016			2015
Segment Profit (Loss)	$	97		$	(293	)	$	245		$	(160	)
Reconciling items:
Amortization of intangible assets	(63		)	(62		)	(200		)	(187		)
Restructuring and related costs	(8		)	(9		)	(57		)	(160		)
Business transformation costs⁽¹⁾	—			—			—			(3		)
Related party interest	(10		)	(14		)	(30		)	(50		)
Separation costs⁽²⁾	(15		)	—			(34		)	—
Other	1			(12		)	(10		)	(22		)
Pre-tax Profit (Loss)	$	2		$	(390	)	$	(86	)	$	(582	)

__________________________


(1)	Business transformation costs represent incremental costs incurred directly in support of our business transformation and restructuring

initiatives such as compensation costs for overlapping staff, consulting costs and training costs.

(2)

Divestitures (Tables)

9 Months Ended

Sep. 30, 2016

Discontinued Operations and Disposal Groups [Abstract]

Summarized Financial Information - Discontinued Operations

Summarized financial information for our Discontinued Operations for the three and nine months ended September 30, 2015 was as follows:



	Three Months Ended September 30, 2015								Nine Months Ended September 30, 2015
	ITO			Other		Total			ITO			Other		Total
Revenues	$	—		$	—	$	—		$	619		$	—	$	619

Income from operations ⁽¹⁾	$	—		$	—	$	—		$	104		$	—	$	104
Loss on disposal	(5		)	—		(5		)	(77		)	—		(77		)
Net (loss) income before income taxes	(5		)	—		(5		)	27			—		27
Income tax benefit (expense)	2			—		2			(91		)	—		(91		)
Loss From Discontinued Operations, Net of Tax	$	(3	)	$	—	$	(3	)	$	(64	)	$	—	$	(64	)

__________________________


(1)	ITO Income from operations excludes depreciation and amortization expenses of approximately $80 (including $14 of intangible amortization) for the nine months ended September 30, 2015, since the business was held for sale.

- Definition

Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=51716988&loc=SL51721533-107759

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721665-107760

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1474-107760

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1361-107760

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721683-107760

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51719941&loc=SL51724579-110230

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5C
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721675-107760

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721663-107760

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51719941&loc=d3e2941-110230

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5B
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721673-107760

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721659-107760

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721671-107760

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5D
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721677-107760

+ Details

Accounts Receivable, Net (Tables)

9 Months Ended

Sep. 30, 2016

Receivables [Abstract]

Schedule of accounts receivable, net

Accounts receivable, net were as follows:



	September 30, 2016			December 31, 2015
Amounts billed or billable	$	1,067		$	963
Unbilled amounts	360			289
Allowance for doubtful accounts	(7		)	(6		)
Accounts Receivable, Net	$	1,420		$	1,246

Schedule of accounts receivables sales

Accounts receivable sales were as follows:



	Three Months Ended September 30,					Nine Months Ended September 30,
	2016			2015		2016			2015
Accounts receivable sales	$	74		$	60	$	228		$	179
Estimated Increase (decrease) to operating cash flows⁽¹⁾	(1		)	1		(73		)	(19		)

__________________________


(1)	Represents the difference between current and prior period receivable sales adjusted for the effects of: (i) the deferred proceeds, (ii) collections prior to the end of the quarter and, (iii) currency.

Restructuring Programs (Tables)

9 Months Ended

Sep. 30, 2016

Restructuring and Related Activities [Abstract]

Restructuring Program Activity

Information related to restructuring program activity during the nine months ended September 30, 2016 is outlined below:



	Severance and Related Costs			Lease Cancellation and Other Costs			Asset Impairments⁽²⁾			Total
Balance at December 31, 2015	$	4		$	—		$	—		$	4
Provision	52			2			2			56
Reversals	(11		)	—			—			(11		)
Net Current Period Charges⁽¹⁾	41			2			2			45
Charges against reserve and currency	(36		)	(1		)	(2		)	(39		)
Balance at September 30, 2016	$	9		$	1		$	—		$	10

_____________________________


(1)	Represents net amount recognized within the Condensed Combined Statements of Income for the period shown.


(2)	Charges associated with asset impairments represent the write-down of the related assets to their new cost basis and are recorded concurrently with the recognition of the provision.

Reconciliation to the Condensed Consolidated Statements Of Cash Flows

Reconciliation to the Condensed Combined Statements of Cash Flows:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Charges against reserve	$	(17	)	$	(149	)	$	(39	)	$	(159	)
Asset impairments	—			146			2			146
Restructuring Cash Payments	$	(17	)	$	(3	)	$	(37	)	$	(13	)

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,
	2016			2015		2016		2015
Commercial Industries	$	(3	)	$	4	$	25	$	8
Healthcare	—			3		12		4
Public Sector	(1		)	2		5		2
Other	4			—		3		146
Total Net Restructuring Charges	$	—		$	9	$	45	$	160

Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of Derivative Instruments Fair Value

The following table provides a summary of the fair value amounts of our derivative instruments:



Designation of Derivatives	Balance Sheet Location	September 30, 2016			December 31, 2015
Derivatives Designated as Hedging Instruments
Foreign exchange contracts – forwards	Other current assets	$	1		$	—
	Other current liabilities	(2		)	(3		)
	Net Designated Derivative Liability	$	(1	)	$	(3	)

Derivatives NOT Designated as Hedging Instruments
Foreign exchange contracts – forwards	Other current assets	$	1		$	—
	Other current liabilities	(2		)	—
	Net Undesignated Derivative Liability	$	(1	)	$	—

Summary of Derivatives	Total Derivative Assets	$	2		$	—
	Total Derivative Liabilities	(4		)	(3		)
	Net Derivative Liability	$	(2	)	$	(3	)

Derivative Instruments, Gain (Loss)

The following table provides a summary of gains (losses) on derivative instruments:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Cash Flow Hedges - Foreign Exchange Forward Contracts and Options
Derivative loss recognized in OCI (effective portion)	$	(1	)	$	(3	)	$	—		$	(3	)
Derivative loss reclassified from AOCI to income - Cost of outsourcing (effective portion)	(1		)	(1		)	(2		)	(3		)

Summary of Derivatives Not Designated as Hedging Instruments Gains (Losses)

The following table provides a summary of losses on non-designated derivative instruments:



Derivatives NOT Designated as Hedging Instruments		Three Months Ended September 30,						Nine Months Ended September 30,
Derivatives NOT Designated as Hedging Instruments	Location of Derivative Loss	2016			2015			2016			2015
Foreign exchange contracts – forwards	Other expense – Currency loss, net	$	(1	)	$	(2	)	$	(1	)	$	(3	)

Fair Value of Financial Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2016

Fair Value Disclosures [Abstract]

Fair value of financial assets and liabilities



	September 30, 2016		December 31, 2015
Assets:
Foreign exchange contracts - forwards	$	2	$	—
Deferred compensation investments in cash surrender life insurance	96		92
Deferred compensation investments in mutual funds	21		21
Total	$	119	$	113
Liabilities:
Foreign exchange contracts - forwards	$	4	$	3
Deferred compensation plan liabilities	110		110
Total	$	114	$	113

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 not measured at fair value on a recurring basis were as follows:



	September 30, 2016				December 31, 2015
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Cash and cash equivalents	$	148	$	148	$	140	$	140
Accounts receivable, net	1,420		1,420		1,246		1,246
Short-term debt	22		22		24		24
Long-term debt	26		26		37		37

Employee Benefit Plans (Tables)

9 Months Ended

Sep. 30, 2016

Compensation and Retirement Disclosure [Abstract]

Components of net periodic benefit cost and other changes in plan assets and benefit obligations

The components of Net periodic benefit cost and other changes in plan assets and benefit obligations were as follows:



	Three Months Ended September 30,
	Pension Benefits
	U.S. Plans					Non-U.S. Plans
Components of Net Periodic Benefit Costs:	2016			2015		2016			2015
Service cost	$	—		$	—	$	—		$	2
Interest cost	1			—		1			2
Expected return on plan assets	(1		)	—		(2		)	(3		)
Recognized net actuarial loss	—			—		1			—
Defined Benefit Plans	—			—		—			1
Defined contribution plans	8			6		2			1
Net Periodic Benefit Cost	8			6		2			2

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:
Net actuarial gain	—			—		—			—
Amortization of net actuarial loss	—			—		(1		)	—
Total Recognized in Other Comprehensive Loss	—			—		(1		)	—
Total Recognized in Net Periodic Benefit Cost and Other Comprehensive Loss	$	8		$	6	$	1		$	2



	Nine Months Ended September 30,
	Pension Benefits
	U.S. Plans						Non-U.S. Plans
Components of Net Periodic Benefit Costs:	2016			2015			2016			2015
Service cost	$	—		$	—		$	1		$	3
Interest cost	3			2			4			5
Expected return on plan assets	(3		)	(2		)	(6		)	(7		)
Recognized net actuarial loss	—			—			1			1
Defined Benefit Plans	—			—			—			2
Defined contribution plans	22			21			6			3
Net Periodic Benefit Cost	22			21			6			5

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:
Net actuarial loss	—			—			—			(2		)
Amortization of net actuarial loss	—			—			(1		)	(1		)
Total Recognized in Other Comprehensive Loss	—			—			(1		)	(3		)
Total Recognized in Net Periodic Benefit Cost and Other Comprehensive Loss	$	22		$	21		$	5		$	2

Other Comprehensive Income (Loss) (Tables)

9 Months Ended

Sep. 30, 2016

Other Comprehensive Income (Loss) [Abstract]

Schedule of Comprehensive Income (Loss)

Other Comprehensive Loss is comprised of the following:



	Three Months Ended September 30,												Nine Months Ended September 30,
	2016						2015						2016						2015
	Pre-tax			Net of Tax			Pre-tax			Net of Tax			Pre-tax			Net of Tax			Pre-tax			Net of Tax
Translation Adjustments Losses	$	(10	)	$	(10	)	$	(28	)	$	(28	)	$	(25	)	$	(25	)	$	(47	)	$	(47	)
Unrealized (Losses) Gains:
Changes in fair value of cash flow hedges - losses	(1		)	—			(3		)	(3		)	—			—			(3		)	(3		)
Changes in cash flow hedges reclassed to earnings⁽¹⁾	1			—			1			2			2			1			3			3
Net Unrealized (Losses) Gains	—			—			(2		)	(1		)	2			1			—			—

Defined Benefit Plans:
Net actuarial gains	—			—			—			—			—			—			2			1
Actuarial loss amortization/settlement⁽²⁾	1			1			—			—			1			1			1			1
Other gains⁽³⁾	—			—			2			2			1			1			1			1
Changes in Defined Benefit Plans	1			1			2			2			2			2			4			3

Other Comprehensive Loss	$	(9	)	$	(9	)	$	(28	)	$	(27	)	$	(21	)	$	(22	)	$	(43	)	$	(44	)

_____________________________


(1)	Reclassified to Cost of outsourcing. Refer to Note 7 - Financial Instruments for additional information regarding our cash flow hedges.


(2)	Reclassified to Total Net Periodic Benefit Cost. Refer to Note 9 - Employee Benefit Plans for additional information.


(3)	Primarily represents currency impact on cumulative amount of benefit plan net actuarial losses and prior service credits in AOCL.

Schedule of Accumulated Other Comprehensive Loss

L is comprised of the following:



	September 30, 2016			December 31, 2015
Cumulative translation adjustments	$	(172	)	$	(147	)
Other unrealized losses, net	—			(1		)
Benefit plans net actuarial losses and prior service credits	(31		)	(33		)
Total Accumulated Other Comprehensive Loss	$	(203	)	$	(181	)

Changes in Parent Equity (Tables)

9 Months Ended

Sep. 30, 2016

Changes in Parent Equity [Abstract]

Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net



	Net Parent Investment			Accumulated Other Comprehensive Loss			Total Net Parent Equity
Balance at December 31, 2015	$	5,343		$	(181	)	$	5,162
Net loss	(32		)	—			(32		)
Translation adjustments, net	—			(25		)	(25		)
Unrealized gains, net	—			1			1
Changes in defined benefit plans, net	—			2			2
Net transfers from parent	382			—			382
Balance at September 30, 2016	$	5,693		$	(203	)	$	5,490


Balance at December 31, 2014	$	5,540		$	(129	)	$	5,411
Net loss	(409		)	—			(409		)
Translation adjustments, net	—			(47		)	(47		)
Changes in defined benefit plans, net	—			3			3
Net transfers from parent	919			—			919
Balance at September 30, 2015	$	6,050		$	(173	)	$	5,877

Related party Transactions and Parent Company Investment (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Related Party Transactions



	Three Months Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Research and development	$	6	$	10	$	20	$	32
Selling, administrative and general	35		30		105		95
Total Allocated Corporate Expenses	$	41	$	40	$	125	$	127

The components of Net transfers to Xerox and the reconciliation to the corresponding amount presented on the Condensed Combined Statements of Cash Flows were as follows:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2016			2015			2016			2015
Cash pooling and general financing activities	$	86		$	(85	)	$	360		$	275
Corporate cost allocations	41			40			125			127
Income taxes	(136		)	193			(157		)	244
Divestitures and acquisitions, net	1			147			54			(744		)
Capitalization of related party notes payable	—			—			—			1,017
Total net transfers (to) from parent	(8		)	295			382			919
Stock-based compensation	(8		)	(28		)	(18		)	(33		)
Capitalization of related party notes payable	—			—			—			(1,017		)
Other, net	(130		)	(232		)	(148		)	(193		)
Total Net Transfers (To) From Parent per Condensed Combined Statements of Cash Flows	$	(146	)	$	35		$	216		$	(324	)

Basis of Presentation - Organization, Consolidation and Presentation of Financial statement (Details) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2016	Mar. 31, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Service management costs	$ 41		$ 40	$ 125	$ 127
Income taxes	$ 1	$ (25)	$ (154)	(54)	$ (237)
Correction to increase income tax benefit due to misstatement				$ 6

Segment Reporting - Segment Revenue and Segment Profit (Loss) (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016 USD ($)	Sep. 30, 2015 USD ($)	Sep. 30, 2016 USD ($) service_offering	Sep. 30, 2015 USD ($)
Segment Reporting Information [Line Items]
Primary reportable segments \| service_offering			3
Segment Revenue	$ 1,596	$ 1,571	$ 4,894	$ 4,932
Segment Profit (Loss)	97	(293)	245	(160)
Commercial Industries Member]
Segment Reporting Information [Line Items]
Segment Revenue	664	720	2,030	2,161
Segment Profit (Loss)	21	14	44	51
Healthcare [Member]
Segment Reporting Information [Line Items]
Segment Revenue	397	422	1,277	1,293
Segment Profit (Loss)	38	32	112	113
Public Sector [Member]
Segment Reporting Information [Line Items]
Segment Revenue	443	429	1,290	1,283
Segment Profit (Loss)	59	51	163	145
Other Segments [Member]
Segment Reporting Information [Line Items]
Segment Revenue	92	0	297	195
Segment Profit (Loss)	$ (21)	(390)	$ (74)	$ (469)
Charge associated with healthcare implementation		389
Decrease to revenue from charge associated with healthcare implementation		116
Increase to cost of services from charge associated with healthcare implementation		$ 273

Segment Reporting - Reconciliation Of Operating Profit Loss (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016 USD ($)	Sep. 30, 2015 USD ($)	Sep. 30, 2016 USD ($) business	Sep. 30, 2015 USD ($)
Segment Reporting [Abstract]
Segment Profit (Loss)	$ 97	$ (293)	$ 245	$ (160)
Reconciling items:
Amortization of intangible assets	(63)	(62)	(200)	(187)
Restructuring and related costs	(8)	(9)	(57)	(160)
Business transformation costs	0	0	0	(3)
Related party interest	(10)	(14)	(30)	(50)
Separation costs	(15)	0	(34)	0
Other	1	(12)	(10)	(22)
Income (Loss) before Income Taxes	$ 2	$ (390)	$ (86)	$ (582)
Number of Publicly Traded Companies \| business			2

Divestitures (Details) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

Sep. 30, 2016

Mar. 31, 2016

Dec. 31, 2015

Sep. 30, 2015

Sep. 30, 2016

Sep. 30, 2015

Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]

Revenues

$ 0

$ 619

Income from operations (1)

^[1]

104

Loss on disposal

(5)

(77)

Net (loss) income before income taxes

(5)

Income tax benefit (expense)

(91)

Loss From Discontinued Operations, Net of Tax

$ 0

(3)

$ 0

(64)

ITO

Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]

Additional pre-tax loss on disposal

$ 24

Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax

$ (14)

Payment for adjustment to sales price

$ 52

Payment/adjustment to sales price

Payment due from closing

$ 24

Revenues

619

Income from operations (1)

^[1]

104

Loss on disposal

(5)

(77)

Net (loss) income before income taxes

(5)

Income tax benefit (expense)

(91)

Loss From Discontinued Operations, Net of Tax

(3)

(64)

Disposal Group, Including Discontinued Operation, Depreciation and Amortization

Disposal Group, Including Discontinued Operations, Amortization

All Other Discontinued Operations [Member]

Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]

Revenues

Income from operations (1)

Loss on disposal

Net (loss) income before income taxes

Income tax benefit (expense)

Loss From Discontinued Operations, Net of Tax

$ 0

[1]	ITO Income from operations excludes depreciation and amortization expenses of approximately $80 (including $14 of intangible amortization) for the nine months ended September 30, 2015, since the business was held for sale.

Accounts Receivable, Net (Details) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

Sep. 30, 2016

Sep. 30, 2015

Sep. 30, 2016

Sep. 30, 2015

Dec. 31, 2015

Receivables [Abstract]

Amounts billed or billable

$ 1,067

$ 963

Unbilled amounts

360

289

Allowance for doubtful accounts

(7)

(6)

Accounts Receivable, Net

1,420

1,246

Billable contracts receivable to be invoiced in the subsequent month

464

443

Accounts Receivable Sales Arrangements [Abstract]

Remaining account receivable sold and derecognized

$ 136

Accounts Receivable [Member]

Accounts, Notes, Loans and Financing Receivable [Line Items]

Accounts receivable sales

$ 60

228

$ 179

Estimated increase (decrease) to operating cash flows

^[1]

$ (1)

$ 1

$ (73)

$ (19)

[1]	Represents the difference between current and prior period receivable sales adjusted for the effects of: (i) the deferred proceeds, (ii) collections prior to the end of the quarter and, (iii) currency.

Restructuring Programs (Details) $ in Millions	3 Months Ended		9 Months Ended
Restructuring Programs (Details) $ in Millions	Sep. 30, 2016 USD ($)	Sep. 30, 2015 USD ($)	Sep. 30, 2016 USD ($) Employees	Sep. 30, 2015 USD ($)
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Expected Number of Positions Eliminated (approximately) \| Employees			3,300
Professional and Contract Services Expense	$ 8		$ 12
Restructuring Reserve [Roll Forward]
Balance at beginning of period			4
Provision			56
Reversals			(11)
Net Current Period Charges	0	$ 9	45	$ 160
Charges against reserve and currency	(17)	(149)	(39)	(159)
Balance at end of period	10		10
Reconciliation To Consolidated Statements Of Cash Flows [Abstract]
Charges against reserve	(17)	(149)	(39)	(159)
Asset impairments	0	146	2	146
Restructuring Cash Payments	(17)	(3)	(37)	(13)
Commercial Industries [Member]
Restructuring Reserve [Roll Forward]
Net Current Period Charges	(3)	4	25	8
Healthcare [Member]
Restructuring Reserve [Roll Forward]
Net Current Period Charges	0	3	12	4
Public Sector [Member]
Restructuring Reserve [Roll Forward]
Net Current Period Charges	(1)	2	5	2
Other [Member]
Restructuring Reserve [Roll Forward]
Net Current Period Charges	4	$ 0	3	$ 146
Severance and Related Costs [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring Charges			52
Restructuring Reserve [Roll Forward]
Balance at beginning of period			4
Provision			52
Reversals			(11)
Net Current Period Charges			41
Charges against reserve and currency			(36)
Balance at end of period	9		9
Reconciliation To Consolidated Statements Of Cash Flows [Abstract]
Charges against reserve			(36)
Lease Cancellation and Other Costs [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring Charges			2
Restructuring Reserve [Roll Forward]
Balance at beginning of period			0
Provision			2
Reversals			0
Net Current Period Charges			2
Charges against reserve and currency			(1)
Balance at end of period	1		1
Reconciliation To Consolidated Statements Of Cash Flows [Abstract]
Charges against reserve			(1)
Asset Impairments [Member]
Restructuring Reserve [Roll Forward]
Balance at beginning of period			0
Provision			2
Reversals			0
Net Current Period Charges			2
Charges against reserve and currency			(2)
Balance at end of period	$ 0		0
Reconciliation To Consolidated Statements Of Cash Flows [Abstract]
Charges against reserve			$ (2)

Financial Instruments - Foreign Exchange Risk Management (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Foreign Exchange Contracts [Line Items]
Gross Notional Value	$ 176
Foreign Currency Cash Flow Hedges [Abstract]
Derivative Assets (Liabilities), at Fair Value, Net	$ (2)	$ (3)
Designated as Hedging Instrument [Member]
Foreign Exchange Contracts [Line Items]
Average Maturity of Foreign Exchange Hedging Contracts - within Three Months	68.00%
Average Maturity of Foreign Exchange Hedging Contracts - within Three and Six Months	12.00%
Average Maturity of Foreign Exchange Hedging Contracts - within Six and Twelve Months	15.00%
Average Maturity of Foreign Exchange Hedging Contracts - greater than twelve months	5.00%
Foreign Currency Cash Flow Hedges [Abstract]
Derivative Assets (Liabilities), at Fair Value, Net	$ 1
Xerox [Member]
Foreign Exchange Contracts [Line Items]
Gross Notional Value	61
Other Liabilities [Member] \| Designated as Hedging Instrument [Member]
Foreign Currency Cash Flow Hedges [Abstract]
Derivative Assets (Liabilities), at Fair Value, Net	$ (1)	$ (3)

Financial Instruments - Summary of Derivative Instruments Fair Value (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Net Derivative Liability	$ (2)	$ (3)
Other current assets [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Total Derivative Assets	2	0
Liabilities [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Total Derivative Liabilities	(4)	(3)
Derivatives Designated as Hedging Instruments [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Net Derivative Liability	1
Derivatives Designated as Hedging Instruments [Member] \| Liabilities [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Net Derivative Liability	(1)	(3)
Derivatives Designated as Hedging Instruments [Member] \| Foreign exchange contracts - forwards [Member] \| Other current assets [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Total Derivative Assets	1	0
Derivatives Designated as Hedging Instruments [Member] \| Foreign exchange contracts - forwards [Member] \| Other current liabilities [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Total Derivative Liabilities	(2)	(3)
Not Designated as Hedging Instrument [Member] \| Foreign exchange contracts - forwards [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Net Derivative Liability	(1)	0
Not Designated as Hedging Instrument [Member] \| Foreign exchange contracts - forwards [Member] \| Other current assets [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Total Derivative Assets	1	0
Not Designated as Hedging Instrument [Member] \| Foreign exchange contracts - forwards [Member] \| Other current liabilities [Member]
Summary Of Derivative Instruments By Hedge Designation [Abstract]
Total Derivative Liabilities	$ (2)	$ 0

Financial Instruments - Summary of Derivative Instruments Gain (Losses) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Summary of Derivative Instruments Gains (Losses) [Abstract]
Net losses recorded in AOCL expected to be reclassified to net income in the future			$ (1,000,000)
Foreign Currency Transaction Gain (Loss), before Tax	$ 1,000,000	$ (1,000,000)	3,000,000	$ (3,000,000)
Cash Flow Hedging [Member] \| Foreign Exchange Forward [Member]
Summary of Derivative Instruments Gains (Losses) [Abstract]
Derivative loss recognized in OCI (effective portion)	(1,000,000)	(3,000,000)	0	(3,000,000)
Cost of Sales [Member] \| Cash Flow Hedging [Member] \| Foreign Exchange Forward [Member]
Summary of Derivative Instruments Gains (Losses) [Abstract]
Derivative loss reclassified from AOCI to income - Cost of outsourcing (effective portion)	(1,000,000)	(1,000,000)	(2,000,000)	(3,000,000)
Derivative loss reclassified from AOCI to income - Cost of outsourcing (effective portion)			0	0
Underlying, Derivative			0
Foreign Currency Gain (Loss) [Member] \| Foreign Exchange Forward [Member] \| Derivatives Not Designated as Hedging Instruments [Member]
Summary of Derivative Instruments Gains (Losses) [Abstract]
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net	$ (1,000,000)	$ (2,000,000)	$ (1,000,000)	$ (3,000,000)

Fair Value of Financial Assets and Liabilities - Recurring (Details) - Fair Value, Measurements, Recurring [Member] - Significant Other Observable Inputs (Level 2) [Member] - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets:
Deferred compensation investments in cash surrender life insurance	$ 96	$ 92
Deferred compensation investments in mutual funds	21	21
Total	119	113
Liabilities:
Deferred compensation plan liabilities	110	110
Total	114	113
Foreign Exchange Forward [Member]
Assets:
Foreign exchange contracts	2	0
Liabilities:
Foreign derivative contracts	$ 4	$ 3

Fair Value of Financial Assets and Liabilities - Nonrecurring (Details) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Carrying Amount [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	$ 148	$ 140
Accounts receivable, net	1,420	1,246
Short-term debt	22	24
Long-term debt	26	37
Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	148	140
Accounts receivable, net	1,420	1,246
Short-term debt	22	24
Long-term debt	$ 26	$ 37

Employee Benefit Plans (Details) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

12 Months Ended

Sep. 30, 2016

Sep. 30, 2015

Sep. 30, 2016

Sep. 30, 2015

Dec. 31, 2015

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:

Net actuarial loss

$ 0

$ 2

Amortization of net actuarial loss

^[1]

Pension Benefits

Contributions [Abstract]

Defined Benefit Plan, Contributions by Employer

$ 8

Anticipated additional contributions to the defined benefit and post retirement plans in current fiscal year

Anticipated total cash contributions to defined benefit and post retirement plans in the current year

United States

Components of Net Periodic Benefit Costs:

Service cost

Interest cost

Expected return on plan assets

(1)

(3)

(2)

Recognized net actuarial loss

Defined Benefit Plans

Defined contribution plans

Net Periodic Benefit Cost

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:

Net actuarial loss

Amortization of net actuarial loss

Total Recognized in Other Comprehensive Loss

Total Recognized in Net Periodic Benefit Cost and Other Comprehensive Loss

Contributions [Abstract]

Defined Benefit Plan, Contributions by Employer

Anticipated additional contributions to the defined benefit and post retirement plans in current fiscal year

Anticipated total cash contributions to defined benefit and post retirement plans in the current year

Non-U.S. Plans

Components of Net Periodic Benefit Costs:

Service cost

Interest cost

Expected return on plan assets

(2)

(3)

(6)

(7)

Recognized net actuarial loss

Defined Benefit Plans

Defined contribution plans

Net Periodic Benefit Cost

Other changes in plan assets and benefit obligations recognized in Other Comprehensive Loss:

Net actuarial loss

(2)

Amortization of net actuarial loss

(1)

Total Recognized in Other Comprehensive Loss

(1)

(3)

Total Recognized in Net Periodic Benefit Cost and Other Comprehensive Loss

$ 2

Contributions [Abstract]

Defined Benefit Plan, Contributions by Employer

$ 4

Anticipated additional contributions to the defined benefit and post retirement plans in current fiscal year

Anticipated total cash contributions to defined benefit and post retirement plans in the current year

$ 2

[1]	Reclassified to Total Net Periodic Benefit Cost. Refer to Note 9 - Employee Benefit Plans for additional information.

Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Millions

3 Months Ended

9 Months Ended

Sep. 30, 2016

Sep. 30, 2015

Sep. 30, 2016

Sep. 30, 2015

Dec. 31, 2015

Other Comprehensive Income (Loss) [Abstract]

Translation Adjustments Gains (Losses), pre-tax

$ (10)

$ (28)

$ (25)

$ (47)

Translation Adjustments Gains (Losses), Net of Tax

^[1]

(10)

(28)

(25)

(47)

Changes in fair value of cash flow hedges - gains, pre-tax

(1)

(3)

Changes in fair value of cash flow hedges - gains, net of tax

(3)

Changes in cash flow hedges reclassed to earnings, pre-tax

^[2]

Changes in cash flow hedges reclassed to earnings, net of tax

^[2]

Net Unrealized Gains, pre-tax

(2)

Net Unrealized Gains, Net of Tax

^[1]

(1)

Net actuarial loss, pre-tax

Net actuarial loss, net of tax

Actuarial loss amortization/settlement, pre-tax

^[3]

Actuarial loss amortization/settlement, net of tax

^[3]

Other gains, pre-tax

Other gains, net of tax

Change in Defined Benefit Plans (Losses) Gains, Pre-tax

Change in Defined Benefit Plans (Losses) Gains, Net of Tax

^[1]

Other Comprehensive Income (Loss), pre-tax

(9)

(28)

(21)

(43)

Other Comprehensive Income (Loss), Net of Tax

^[1]

(9)

$ (27)

(22)

$ (44)

Cumulative translation adjustments

(172)

$ (147)

Other unrealized losses, net

(1)

Benefit plans net actuarial losses and prior service credits

^[4]

(31)

(33)

Total Accumulated Other Comprehensive Loss

$ (203)

$ (181)

[1]	Refer to Note 10 - Other Comprehensive Loss for gross components of Other Comprehensive Loss, reclassification adjustments out of Accumulated Other Comprehensive Loss and related tax effects.
[2]	Reclassified to Cost of outsourcing. Refer to Note 7 - Financial Instruments for additional information regarding our cash flow hedges.
[3]	Reclassified to Total Net Periodic Benefit Cost. Refer to Note 9 - Employee Benefit Plans for additional information.
[4]	Primarily represents currency impact on cumulative amount of benefit plan net actuarial losses and prior service credits in AOCL.

Contingencies and Litigation - Other Contingencies (Details) loans in Millions, $ in Millions	9 Months Ended
	Sep. 30, 2016 USD ($) loans
Surety Bond [Member]
Guarantor Obligations [Line Items]
Maximum exposure, undiscounted	$ 655
Letter of Credit [Member]
Guarantor Obligations [Line Items]
Maximum exposure, undiscounted	$ 102
Federal Family Education Loan Program (FFELP) Guaranteed Loans [Member]
Guarantor Obligations [Line Items]
Outstanding Student Loan Portfolio, Loans \| loans	1.6
Outstanding Principal Balance - Student Loan Portfolio	$ 24,100
Reserves for losses on defaulted loans	$ 4
State Of Texas v. Xerox Corporation, Xerox State Healthcare, LLC, and ACS State Healthcare, LLC
Guarantor Obligations [Line Items]
Damages sought, multiplier of overpayment amount	2

Changes in Parent Equity (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Changes in Parent Equity (Details) - USD ($) $ in Millions	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Class of Stock [Line Items]
Net Income (Loss)	$ 1	$ (239)	$ (32)	$ (409)
Net transfers (to) from parent	(146)	35	216	(324)
Accumulated Net Investment Gain (Loss) Attributable to Parent
Class of Stock [Line Items]
Beginning Balance			5,343	5,540
Net Income (Loss)			(32)	(409)
Translation adjustments, net			0	0
Unrealized gains, net			0
Changes in defined benefit plans, net			0	0
Net transfers (to) from parent			382	919
Ending Balance	5,693	6,050	5,693	6,050
AOCI attributable to parent
Class of Stock [Line Items]
Beginning Balance			(181)	(129)
Net Income (Loss)			0	0
Translation adjustments, net			(25)	(47)
Unrealized gains, net			1
Changes in defined benefit plans, net			2	3
Net transfers (to) from parent			0	0
Ending Balance	(203)	(173)	(203)	(173)
Xerox Shareholders’ Equity
Class of Stock [Line Items]
Beginning Balance			5,162	5,411
Net Income (Loss)			(32)	(409)
Translation adjustments, net			(25)	(47)
Unrealized gains, net			1
Changes in defined benefit plans, net			2	3
Net transfers (to) from parent			382	919
Ending Balance	$ 5,490	$ 5,877	$ 5,490	$ 5,877

Related Party Trasactions and Parent Company Investment - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Related Party Transaction [Line Items]
Total allocated corporate expense	$ 1,594,000,000	$ 1,961,000,000	$ 4,980,000,000	$ 5,514,000,000
Related party interest	10,000,000	14,000,000	30,000,000	50,000,000
7350 Services, Miscellaneous Equipment Rental and Leasing [Member]
Related Party Transaction [Line Items]
Leased equipment and services	4,000,000	15,000,000	$ 5,000,000	$ 18,000,000
Minimum [Member]
Related Party Transaction [Line Items]
Related party transaction rate			1.00%	1.00%
Maximum [Member]
Related Party Transaction [Line Items]
Related party transaction rate			8.00%	8.00%
Pro Forma
Related Party Transaction [Line Items]
Total allocated corporate expense	$ 41,000,000	$ 40,000,000	$ 125,000,000	$ 127,000,000

Related Party Transactions and Parent Company Investment - Allocation or Corporate Expense (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Related Party Transaction [Line Items]
Research and development	$ 7	$ 12	$ 25	$ 39
Selling, administrative and general	164	170	517	522
Total Costs and Expenses	1,594	1,961	4,980	5,514
Pro Forma
Related Party Transaction [Line Items]
Research and development	6	10	20	32
Selling, administrative and general	35	30	105	95
Total Costs and Expenses	$ 41	$ 40	$ 125	$ 127

Related Party Transactions and Parent Company Investment - Net Parent Investment (Details) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2016	Mar. 31, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Related Party Transaction [Line Items]
Income taxes	$ 1	$ (25)	$ (154)	$ (54)	$ (237)
Stock-based compensation	8		28	18	33
Total Net Transfers (To) From Parent per Condensed Combined Statements of Cash Flows	(146)		35	216	(324)
Xerox Shareholders’ Equity
Related Party Transaction [Line Items]
Cash pooling and general financing activities	86		(85)	360	275
Corporate cost allocations	41		40	125	127
Income taxes	(136)		193	(157)	244
Divestitures and acquisitions, net	1		147	54	(744)
Capitalization of related party notes payable	0		0	0	1,017
Total net transfers (to) from parent	(8)		295	382	919
Stock-based compensation	(8)		(28)	(18)	(33)
Capitalization of Related Party Note Payable, Offset	0		0	0	(1,017)
Other, net	$ (130)		$ (232)	(148)	(193)
Total Net Transfers (To) From Parent per Condensed Combined Statements of Cash Flows				$ 382	$ 919