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Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2015	Oct. 15, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	BAKER HUGHES INC
Entity Central Index Key	0000808362
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		436,086,675

Consolidated Condensed Statements of Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenue:
Sales	$ 1,363	$ 2,013	$ 4,322	$ 5,845
Services	2,423	4,237	8,026	12,071
Total revenue	3,786	6,250	12,348	17,916
Costs and expenses:
Cost of sales	1,148	1,620	3,723	4,651
Cost of services	2,255	3,487	7,637	9,921
Research and engineering	115	159	377	461
Marketing, general and administrative	271	323	896	977
Restructuring charges	98	0	747	0
Litigation settlements	0	0	(13)	62
Total costs and expenses	3,887	5,589	13,367	16,072
Operating (loss) income	(101)	661	(1,019)	1,844
Interest expense, net	(55)	(59)	(162)	(175)
(Loss) income before income taxes	(156)	602	(1,181)	1,669
Income taxes	0	(233)	242	(605)
Net (loss) income	(156)	369	(939)	1,064
Net (income) loss attributable to noncontrolling interests	(3)	6	3	(8)
Net (loss) income attributable to Baker Hughes	$ (159)	$ 375	$ (936)	$ 1,056
Basic (loss) earnings per share attributable to Baker Hughes	$ (0.36)	$ 0.86	$ (2.13)	$ 2.42
Diluted (loss) earnings per share attributable to Baker Hughes	(0.36)	0.86	(2.13)	2.40
Cash dividends per share	$ 0.17	$ 0.17	$ 0.51	$ 0.47

Consolidated Condensed Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Statement of Comprehensive Income [Abstract]
Net (loss) income	$ (156)	$ 369	$ (939)	$ 1,064
Other comprehensive (loss) income:
Foreign currency translation adjustments during the period	(91)	(111)	(182)	(108)
Pension and other postretirement benefits, net of tax	5	4	6	(4)
Other comprehensive (loss) income	(86)	(107)	(176)	(112)
Comprehensive (loss) income	(242)	262	(1,115)	952
Comprehensive (income) loss attributable to noncontrolling interests	(3)	6	3	(8)
Comprehensive (loss) income attributable to Baker Hughes	$ (245)	$ 268	$ (1,112)	$ 944

Consolidated Condensed Balance Sheets - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 2,043	$ 1,740
Accounts receivable - less allowance for doubtful accounts (2015 - $366; 2014 - $224)	3,518	5,418
Inventories, net	3,262	4,074
Deferred income taxes	332	418
Other current assets	431	395
Total current assets	9,586	12,045
Property, plant and equipment - less accumulated depreciation (2015 - $8,721; 2014 - $8,215)	8,026	9,063
Goodwill	6,075	6,081
Intangible assets, net	729	812
Other assets	1,000	826
Total assets	25,416	28,827
Current liabilities:
Accounts payable	1,480	2,807
Short-term debt and current portion of long-term debt	156	220
Accrued employee compensation	795	782
Income taxes payable	50	265
Other accrued liabilities	437	563
Total current liabilities	2,918	4,637
Long-term debt	3,896	3,913
Deferred income taxes and other tax liabilities	324	740
Liabilities for pensions and other postretirement benefits	624	629
Other liabilities	149	178
Commitments and contingencies
Equity:
Common stock	436	434
Capital in excess of par value	7,192	7,062
Retained earnings	10,720	11,878
Accumulated other comprehensive loss	(925)	(749)
Treasury stock	(9)	0
Baker Hughes stockholders’ equity	17,414	18,625
Noncontrolling interests	91	105
Total equity	17,505	18,730
Total liabilities and equity	$ 25,416	$ 28,827

Consolidated Condensed Balance Sheets (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 366	$ 224
Accumulated depreciation	$ 8,721	$ 8,215

Consolidated Condensed Statements of Changes in Equity - USD ($) $ in Millions	Total	Common Stock	Capital in Excess of Par Value	Retained Earnings	Accumulated Other Comprehensive Loss	Treasury Stock [Member]	Non-controlling Interests
Balance at Dec. 31, 2013	$ 17,912	$ 438	$ 7,341	$ 10,438	$ (504)		$ 199
Comprehensive loss:
Net (loss) income	1,064			1,056			8
Other comprehensive loss	(112)				(112)
Activity related to stock plans	138	4	134
Repurchase and retirement of common stock	(600)	(9)	(591)
Stock-based compensation	93		93
Cash dividends	(205)			(205)
Net activity related to noncontrolling interests	(6)						(6)
Balance at Sep. 30, 2014	18,284	433	6,977	11,289	(616)		201
Balance at Dec. 31, 2014	18,730	434	7,062	11,878	(749)	$ 0	105
Comprehensive loss:
Net (loss) income	(939)			(936)			(3)
Other comprehensive loss	(176)				(176)
Activity related to stock plans	55	2	62			(9)
Stock-based compensation	92		92
Cash dividends	(222)			(222)
Net activity related to noncontrolling interests	(35)		(24)				(11)
Balance at Sep. 30, 2015	$ 17,505	$ 436	$ 7,192	$ 10,720	$ (925)	$ (9)	$ 91

Consolidated Condensed Statements of Changes in Equity (Parenthetical) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Statement of Stockholders' Equity [Abstract]
Cash dividends per share	$ 0.17	$ 0.17	$ 0.51	$ 0.47

Consolidated Condensed Statements of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net (loss) income	$ (939)	$ 1,064
Adjustments to reconcile net (loss) income to net cash flows from operating activities:
Depreciation and amortization	1,326	1,346
Impairment of assets	265	0
Benefit for deferred income taxes	(359)	(99)
Provision for doubtful accounts	160	86
Other noncash items	(3)	(89)
Changes in operating assets and liabilities:
Accounts receivable	1,692	(572)
Inventories	764	(280)
Accounts payable	(1,289)	186
Income taxes payable	(263)	133
Other operating items, net	(89)	(21)
Net cash flows provided by operating activities	1,265	1,754
Cash flows from investing activities:
Expenditures for capital assets	(751)	(1,288)
Proceeds from disposal of assets	269	295
Acquisition of businesses, net of cash acquired	0	(313)
Other investing items, net	(231)	0
Net cash flows used in investing activities	(713)	(1,306)
Cash flows from financing activities:
Net (repayments) proceeds of short-term debt and other borrowings	(38)	51
Repurchase of common stock	0	(600)
Dividends paid	(222)	(205)
Other financing items, net	21	120
Net cash flows used in financing activities	(239)	(634)
Effect of foreign exchange rate changes on cash and cash equivalents	(10)	(4)
Increase (decrease) in cash and cash equivalents	303	(190)
Cash and cash equivalents, beginning of period	1,740	1,399
Cash and cash equivalents, end of period	2,043	1,209
Supplemental cash flows disclosures:
Income taxes paid, net of refunds	395	571
Interest paid	192	199
Supplemental disclosure of noncash investing activities:
Capital expenditures included in accounts payable	$ 52	$ 123

Summary of Significant Accounting Policies - (Notes)	9 Months Ended
Summary of Significant Accounting Policies - (Notes)	Sep. 30, 2015
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations Baker Hughes Incorporated (“Baker Hughes,” “Company,” “we,” “our,” or “us,”) is a leading supplier of oilfield services, products, technology and systems used for drilling, formation evaluation, completion and production, pressure pumping, and reservoir development in the worldwide oil and natural gas industry. We also provide products and services for other businesses including downstream chemicals, and process and pipeline services. Basis of Presentation Our unaudited consolidated condensed financial statements included herein have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States of America (“U.S.”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, certain information and disclosures normally included in our annual financial statements have been condensed or omitted. These unaudited consolidated condensed financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2014. We believe the unaudited consolidated condensed financial statements included herein reflect all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the interim periods. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. In the Notes to Unaudited Consolidated Condensed Financial Statements, all dollar and share amounts in tabulations are in millions of dollars and shares, respectively, unless otherwise indicated. New Accounting Standards Updates In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers. The ASU will supersede most of the existing revenue recognition requirements in U.S. GAAP and will require entities to recognize revenue at an amount that reflects the consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer. The new standard also requires significantly expanded disclosures regarding the qualitative and quantitative information of an entity's nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The pronouncement is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period and is to be applied retrospectively. Early adoption is permitted. We have not completed an evaluation of the impact the pronouncement will have on our consolidated financial statements and related disclosures. In April 2015, the FASB issued ASU No. 2015-3, Simplifying the Presentation of Debt Issuance Costs. The ASU requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The pronouncement is effective for annual reporting periods beginning after December 15, 2015. We currently report debt issuance costs consistent with the guidance of this ASU; therefore there will be no impact on our consolidated financial statements and related disclosures upon adoption. In April 2015, the FASB issued ASU No. 2015-5, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement. The ASU provides guidance to customers about whether a cloud computing arrangement includes a software license and the related accounting treatment. The pronouncement is effective for annual reporting periods beginning after December 15, 2015. Adoption of this pronouncement is not expected to have a material impact upon our consolidated financial statements or notes thereto.

Halliburton Merger Agreement (Notes)	9 Months Ended
Halliburton Merger Agreement (Notes)	Sep. 30, 2015
Business Combinations [Abstract]
Halliburton Merger Agreement	HALLIBURTON MERGER AGREEMENT On November 16, 2014, Baker Hughes, Halliburton Company (“Halliburton”) and a wholly owned subsidiary of Halliburton (“Merger Sub”), entered into an Agreement and Plan of Merger (the “Merger Agreement”), under which Halliburton will acquire all of the outstanding shares of Baker Hughes through a merger of Baker Hughes with and into Merger Sub (the "Merger"). Subject to certain specified exceptions, at the effective time of the Merger, each share of Baker Hughes common stock will be converted into the right to receive (i) 1.12 shares of Halliburton common stock and (ii) $19.00 in cash. On March 27, 2015, Halliburton's stockholders approved the proposal to issue shares of Halliburton common stock as contemplated by the Merger Agreement. In addition, Baker Hughes’ stockholders adopted the Merger Agreement and thereby approved the proposed combination of the two companies. The obligation of the parties to consummate the Merger is still subject to additional customary closing conditions, including: (i) applicable regulatory approvals, including the termination or expiration of the applicable waiting period under the U.S. Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (the “HSR Act”); (ii) the absence of legal restraints and prohibitions; and (iii) other customary closing conditions. Halliburton is required to take all actions necessary to obtain regulatory approvals (including agreeing to divestitures) unless the assets, businesses or product lines subject to such actions would account for more than $7.5 billion of 2013 revenue. As mentioned in the paragraph above, under the HSR Act and the rules promulgated thereunder by the Federal Trade Commission (the “FTC”), the Merger cannot be completed until each of Halliburton and Baker Hughes has filed a notification and report form with the FTC and the Antitrust Division of the Department of Justice (the “DOJ”) under the HSR Act and the applicable waiting period has expired or been terminated. Each of Halliburton and Baker Hughes filed an initial notification and report form on December 8, 2014. Halliburton withdrew its filing on January 7, 2015 and refiled on January 9, 2015 in order to provide the FTC and the DOJ with an additional 30-day period to review the filings. On February 9, 2015, the DOJ issued a request for additional information under the HSR Act (the “Second Request”). On July 10, 2015, Halliburton and Baker Hughes entered into a timing agreement with the DOJ pursuant to which both companies agreed to extend the period for the DOJ's review of the Merger to the later of November 25, 2015 or 90 days after both companies have certified substantial compliance with the Second Request. On September 28, 2015, Halliburton and Baker Hughes announced an amendment to the timing agreement which extended the period for the DOJ's review of the Merger by three weeks, to the later of December 15, 2015 or 30 days following the date on which both companies have certified final, substantial compliance with the Second Request. In light of the timing agreement, Halliburton and Baker Hughes have agreed to extend the time period for closing of the acquisition pursuant to the Merger Agreement to no later than December 16, 2015. The Merger Agreement also provides that the closing can be extended into 2016, if necessary. Baker Hughes cannot predict with certainty when, or if, the Merger will be completed because completion of the Merger is subject to conditions beyond the control of Baker Hughes. Baker Hughes and Halliburton each made customary representations, warranties and covenants in the Merger Agreement, including, among others, covenants by each of Baker Hughes and Halliburton to, subject to certain exceptions, conduct its business in the ordinary course. In particular, among other restrictions and subject to certain exceptions, Baker Hughes agreed to generally refrain from acquiring new businesses, incurring new indebtedness, repurchasing shares, issuing new common stock or equity awards (other than equity awards granted to employees, officers and directors materially consistent with historical long-term incentive awards granted), or entering into new material contracts or commitments outside the normal course of business, without the consent of Halliburton, during the period between the execution of the Merger Agreement and the consummation of the Merger. With respect to equity awards granted after the Merger Agreement to officers and employees, such awards will not vest solely as a result of the Merger but will be converted to an equivalent Halliburton equity award. However, they will vest entirely if an officer or employee is terminated within one year following the closing of the Merger with Halliburton. Baker Hughes and Halliburton are each permitted to pay regular quarterly cash dividends during such period. In addition, under the terms of the Merger Agreement, Halliburton and Baker Hughes have agreed to coordinate the declaration and payment of dividends in respect of each party's common stock including record dates and payment dates relating thereto, which we expect to be in the third month of each quarter. Under the Merger Agreement, we have agreed not to increase the quarterly dividend while the Merger is pending. In the event the Merger Agreement is terminated by (i) either party as a result of the failure of the Merger to occur on or before the end date (as it may be extended) due to the failure to achieve certain specified antitrust-related approvals when all other closing conditions (other than receipt of antitrust and other specified regulatory approvals and conditions that by their nature cannot be satisfied until the closing but subject to such conditions being capable of being satisfied if the closing date were the date of termination) have been satisfied, (ii) either party as a result of any antitrust-related final, non-appealable order or injunction prohibiting the closing, or (iii) Baker Hughes as a result of Halliburton’s material breach of its obligations to obtain regulatory approval such that the antitrust-related condition to closing is incapable of being satisfied, then, in each case, Halliburton would be required to pay Baker Hughes a termination fee of $3.5 billion. Baker Hughes incurred costs related to the Merger of $93 million and $204 million for the three and nine months ended September 30, 2015, respectively, including costs under our retention program and obligations for minimum incentive compensation costs which, based on meeting eligibility criteria in April, have been treated as merger related expenses.

Restructuring Costs - (Notes)

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Restructuring and Other Charges

RESTRUCTURING AND OTHER CHARGES

Beginning in the second half of 2014 and throughout 2015, the oil and natural gas market experienced a significant over supply of capacity leading to a substantial and rapid decline in oil prices resulting in significantly lower activity in 2015. Accordingly, to adjust to the lower level of activity, we regularly assess our overall operations and have taken actions to restructure and adjust our operations and cost structure to reflect current and expected near-term activity levels. Depending on future market conditions and activity levels, further actions may be necessary to adjust our operations which may result in additional charges.

During the three and nine months ended September 30, 2015, we recorded restructuring charges as summarized below:



	Three Months Ended			Nine Months Ended
Restructuring Charges	September 30, 2015			September 30, 2015
Workforce reductions	$	108		$	416
Contract terminations	—			83
Impairment of buildings and improvements	—			82
Impairment of machinery and equipment	(10		)	166
Total restructuring charges	$	98		$	747

Workforce reduction costs: During the first nine months of 2015, we initiated workforce reductions that will result in the elimination of approximately 16,700 positions worldwide. As of September 30, 2015, we have eliminated approximately 13,100 positions. As a result of these workforce reductions, we recorded a charge for severance expense of $416 million for the first nine months of 2015. As of September 30, 2015, we have made payments totaling $282 million relating to workforce reductions. We expect that substantially all of the accrued severance remaining will be paid by the middle of 2016.

Contract termination costs: During the first nine months of 2015, we incurred costs of $83 million for various contracts being terminated, primarily in North America. This includes the accrual for costs to settle leases on closed facilities and certain equipment, and other estimated exit costs, and is net of expected sublease income. We also incurred costs to terminate a take-or-pay supply contract related to the purchase of materials used in our pressure pumping operations in North America, including the write-off of $14 million of prepayments made in 2014. As of September 30, 2015, we have made payments totaling $56 million relating to contract termination costs.

Impairment of buildings and improvements: We are consolidating facilities and shutting down certain operations and as a result are closing and abandoning or selling certain facilities, both owned and leased. During the first nine months of 2015, we recognized $82 million of impairment charges related to facilities primarily in North America and Latin America. For leased facilities, this charge includes the impairment of the leasehold improvements made to those facilities.

Impairment of machinery and equipment: We are exiting or substantially downsizing our presence in select markets primarily in our pressure pumping product line in North America and Latin America. During the first nine months of 2015, we recognized $166 million of impairment losses to adjust the carrying value of certain machinery and equipment to its fair value, net of costs to dispose. We are currently in the process of disposing of this machinery and equipment through sale or scrap and during the third quarter of 2015, we realized related net gains of $10 million on sales.

Other Charges

In addition to the matters described above, during the first nine months of 2015, we also recorded charges of $194 million, of which $37 million is reported in cost of sales and $157 million is reported in cost of services, to write-down the carrying value of certain inventory. The write-down, primarily in North America, includes lower of cost or market adjustments due to the significant decline in activity and related prices for our products coupled with declines in replacement costs. In addition, the adjustments include provisions for excess inventory levels based on estimates of current and future market demand. The product lines impacted are primarily pressure pumping and drilling and completion fluids.

Venezuelan Currency Devaluation - (Notes)	9 Months Ended
Venezuelan Currency Devaluation - (Notes)	Sep. 30, 2015
Foreign Currency [Abstract]
Venezuelan Currency Devaluation	VENEZUELA CURRENCY DEVALUATION In February of 2015, the Venezuelan government modified the currency exchange system by the creation of a new exchange mechanism, SIMADI, which allows for the trading of the Venezuelan Bolivars Fuertes ("BsF") at a floating rate. On March 31, 2015, we began using the SIMADI exchange rate of approximately 192 BsF per U.S. Dollar to remeasure our BsF denominated assets and liabilities, which resulted in a foreign currency loss of approximately $5 million. This loss was recorded in MG&A expenses in the first quarter of 2015. We believe any further devaluation of Venezuela's currency would not have a material impact on our financial position, results of operations or cash flows.

- Definition

The entire disclosure for foreign currency transactions and translation. This may include description of foreign currency transactions, foreign currency gains and losses, explanation of change in cumulative translation adjustment, description of effect of subsequent foreign currency exchange rate change, cumulative translation adjustment movement, foreign currency translation adjustment by component movement, translation adjustment for net investment hedge movement, adjustment for long-term intercompany transactions, schedule of long-term intercompany balances and any other foreign currency transactions and translation related items.

+ References + Details

Segment Information - (Notes)

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Segment Information

SEGMENT INFORMATION

We are a supplier of oilfield services, products, technology and systems to the worldwide oil and natural gas business, referred to as oilfield operations, which are managed through operating segments that are aligned with our geographic regions. We also provide services and products to the downstream chemicals, and process and pipeline industries, referred to as Industrial Services.

The performance of our operating segments is evaluated based on profit (loss) before tax, which is defined as income (loss) before income taxes and before the following: net interest expense, corporate expenses and certain gains and losses, including restructuring charges, not allocated to the operating segments.

Summarized financial information is shown in the following tables:



	Three Months Ended					Three Months Ended
	September 30, 2015					September 30, 2014
Segments	Revenue		Profit (Loss) Before Taxes			Revenue		Profit (Loss) Before Taxes
North America	$	1,368	$	(169	)	$	3,155	$	380
Latin America	439		48			571		71
Europe/Africa/Russia Caspian	791		90			1,114		91
Middle East/Asia Pacific	849		69			1,077		155
Industrial Services	339		40			333		35
Total Operations	3,786		78			6,250		732
Corporate and other	—		(81		)	—		(71		)
Interest expense, net	—		(55		)	—		(59		)
Restructuring charges	—		(98		)	—		—
Total	$	3,786	$	(156	)	$	6,250	$	602



	Nine Months Ended					Nine Months Ended
	September 30, 2015					September 30, 2014
Segments	Revenue		Profit (Loss) Before Taxes			Revenue		Profit (Loss) Before Taxes
North America	$	4,872	$	(545	)	$	8,774	$	978
Latin America	1,371		122			1,645		172
Europe/Africa/Russia Caspian	2,555		117			3,269		421
Middle East/Asia Pacific	2,621		182			3,241		448
Industrial Services	929		79			987		96
Total Operations	12,348		(45		)	17,916		2,115
Corporate and other	—		(240		)	—		(209		)
Interest expense, net	—		(162		)	—		(175		)
Restructuring charges	—		(747		)	—		—
Litigation settlements	—		13			—		(62		)
Total	$	12,348	$	(1,181	)	$	17,916	$	1,669

- 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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-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8906-108599

+ Details

Income Taxes - (Notes)	9 Months Ended
Income Taxes - (Notes)	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES We estimate our annual effective tax rate based on actual year-to-date operating results and our expectation of operating results for the remainder of the year, by jurisdiction, and apply this rate to the actual year-to-date operating results. If our actual operating results, by jurisdiction, differ from the expected operating results, our effective tax rate can change affecting the tax expense for both interim and annual periods. We reported zero income tax expense or benefit for the three months ended September 30, 2015, and an income tax benefit of $242 million for the nine months ended September 30, 2015. Our effective tax rate on the loss before income taxes for the three and nine months ended September 30, 2015 was 0.0% and 20.5%, respectively. The effective tax rate for the three months ended September 30, 2015 is lower than the U.S. statutory income tax rate of 35% primarily due to $98 million of restructuring charges with only partial or no tax-benefit in certain jurisdictions, the geographical mix of profits and losses, and higher withholding taxes, partially offset by adjustments to prior years' tax positions. The total tax benefit associated with the restructuring charges and inventory write-downs for the three and nine months ended September 30, 2015 was $28 million and $263 million, respectively.

Earnings Per Share - (Notes)

9 Months Ended

Sep. 30, 2015

Earnings Per Share [Abstract]

Earnings Per Share

EARNINGS PER SHARE

A reconciliation of the number of shares used for the basic and diluted (loss) earnings per share (“EPS”) computations is as follows:



	Three Months Ended September 30,		Nine Months Ended September 30,
	2015	2014	2015	2014
Weighted average common shares outstanding for basic EPS	439	436	438	437
Adjustment for effect of dilutive securities - stock plans	—	2	—	3
Weighted average common shares outstanding for diluted EPS	439	438	438	440

Anti-dilutive shares excluded from diluted EPS ⁽¹⁾	1	—	2	—
Future potentially dilutive shares excluded from diluted EPS ⁽²⁾	3	2	3	2


⁽¹⁾	The calculation of diluted net loss per share for both the three and nine months ended September 30, 2015, excludes shares potentially issuable under stock-based incentive compensation plans and the employee stock purchase plan, as their effect, if included, would have been anti-dilutive.


⁽²⁾	Options where the exercise price exceeds the average market price are excluded from the calculation of diluted net loss or earnings per share because their effect would be anti-dilutive.

Inventories - (Notes)

9 Months Ended

Sep. 30, 2015

Inventory, Net [Abstract]

Inventories

INVENTORIES

Inventories, net of reserves of $351 million at September 30, 2015 and $319 million at December 31, 2014, are comprised of the following:



	September 30, 2015		December 31, 2014
Finished goods	$	2,928	$	3,644
Work in process	188		227
Raw materials	146		203
Total inventories	$	3,262	$	4,074

Intangible Assets - (Notes)

9 Months Ended

Sep. 30, 2015

Intangible Assets, Net (Excluding Goodwill) [Abstract]

Intangible Assets

INTANGIBLE ASSETS

Intangible assets are comprised of the following:



	September 30, 2015						December 31, 2014
	Gross Carrying Amount		Less: Accumulated Amortization		Net		Gross Carrying Amount		Less: Accumulated Amortization		Net
Technology	$	872	$	438	$	434	$	870	$	393	$	477
Customer relationships	487		221		266		488		191		297
Trade names	119		95		24		120		92		28
Other	18		13		5		23		13		10
Total intangible assets	$	1,496	$	767	$	729	$	1,501	$	689	$	812

Intangible assets are generally amortized on a straight-line basis with estimated useful lives ranging from 3 to 30 years. Amortization expense included in the net loss for the three and nine months ended September 30, 2015 was $26 million and $77 million, respectively, as compared to $26 million and $79 million reported in 2014 for the same periods.

Amortization expense of these intangibles over the remainder of 2015 and for each of the subsequent five fiscal years is expected to be as follows:



Year	Estimated Amortization Expense
Remainder of 2015	$	26
2016	101
2017	98
2018	92
2019	88
2020	78

Financial Instruments - (Notes)	9 Months Ended
Financial Instruments - (Notes)	Sep. 30, 2015
Fair Value Disclosures [Abstract]
Financial Instruments	FINANCIAL INSTRUMENTS Our financial instruments include cash and cash equivalents, accounts receivable, investments, accounts payable, debt and foreign currency forward contracts. Except as described below, the estimated fair value of such financial instruments at September 30, 2015 and December 31, 2014 approximates their carrying value as reflected in our unaudited consolidated condensed balance sheets. The estimated fair value of total debt at September 30, 2015 and December 31, 2014 was $4,403 million and $4,663 million, respectively, which differs from the carrying amounts of $4,052 million and $4,133 million, respectively, included in our unaudited consolidated condensed balance sheets. The fair value was determined using quoted period-end market prices.

- 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 - (Notes)

9 Months Ended

Sep. 30, 2015

Compensation and Retirement Disclosure [Abstract]

Employee Benefits Plans

EMPLOYEE BENEFIT PLANS

We have both funded and unfunded noncontributory defined benefit pension plans ("Pension Benefits") covering certain employees primarily in the U.S., the United Kingdom, Germany and Canada. We also provide certain postretirement health care benefits (“Other Postretirement Benefits”), through an unfunded plan, to a closed group of U.S. employees who, when they retire, have met certain age and service requirements.

The components of net periodic cost (benefit) are as follows for the three months ended September 30:



	U.S. Pension Benefits						Non-U.S. Pension Benefits						Other Postretirement Benefits
	2015			2014			2015			2014			2015			2014
Service cost	$	15		$	17		$	4		$	3		$	1		$	1
Interest cost	6			7			7			8			1			1
Expected return on plan assets	(12		)	(11		)	(12		)	(9		)	—			—
Amortization of prior service credit	—			—			—			—			(2		)	(2		)
Amortization of net actuarial loss	3			2			2			1			—			1
Curtailment gain	—			—			—			—			(2		)	—
Other	8			—			—			—			—			—
Net periodic cost (benefit)	$	20		$	15		$	1		$	3		$	(2	)	$	1

The components of net periodic cost (benefit) are as follows for the nine months ended September 30:



	U.S. Pension Benefits						Non-U.S. Pension Benefits						Other Postretirement Benefits
	2015			2014			2015			2014			2015			2014
Service cost	$	49		$	52		$	12		$	10		$	3		$	4
Interest cost	20			21			23			26			3			4
Expected return on plan assets	(37		)	(33		)	(36		)	(29		)	—			—
Amortization of prior service credit	—			—			—			—			(8		)	(5		)
Amortization of net actuarial loss	7			6			4			3			2			2
Curtailment gain	—			—			—			—			(11		)	—
Other	8			—			—			—			—			(3		)
Net periodic cost (benefit)	$	47		$	46		$	3		$	10		$	(11	)	$	2

Commitments and Contingencies - (Notes)

9 Months Ended

Sep. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

COMMITMENTS AND CONTINGENCIES

LITIGATION

We are subject to a number of lawsuits and claims arising out of the conduct of our business. The ability to predict the ultimate outcome of such matters involves judgments, estimates and inherent uncertainties. We record a liability for those contingencies where the incurrence of a loss is probable and the amount can be reasonably estimated, including accruals for self-insured losses which are calculated based on historical claim data, specific loss development factors and other information. A range of total possible losses for all litigation matters cannot be reasonably estimated. Based on a consideration of all relevant facts and circumstances, we do not expect the ultimate outcome of any currently pending lawsuits or claims against us will have a material adverse effect on our financial position, results of operations or cash flows; however, there can be no assurance as to the ultimate outcome of these matters.

We insure against risks arising from our business to the extent deemed prudent by our management and to the extent insurance is available, but no assurance can be given that the nature and amount of that insurance will be sufficient to fully indemnify us against liabilities arising out of pending or future legal proceedings or other claims. Most of our insurance policies contain deductibles or self-insured retentions in amounts we deem prudent and for which we are responsible for payment. In determining the amount of self-insurance, it is our policy to self-insure those losses that are predictable, measurable and recurring in nature, such as claims for automobile liability, general liability and workers compensation.

The following lawsuits have been filed in Delaware in connection with our pending merger with Halliburton:

•

On November 24, 2014, Gary Molenda, a purported shareholder of the Company, filed a class action lawsuit in the Court of Chancery of the State of Delaware ("Delaware Chancery Court") against Baker Hughes, the Company’s Board of Directors, Halliburton, and Red Tiger LLC, a wholly owned subsidiary of Halliburton (“Red Tiger” and together with all defendants, “Defendants”) styled Gary R. Molenda v. Baker Hughes, Inc., et al., Case No. 10390-CB.


•	On November 26, 2014, a second purported shareholder of the Company, Booth Family Trust, filed a substantially similar class action lawsuit in Delaware Chancery Court.


•	On December 1, 2014, New Jersey Building Laborers Annuity Fund and James Rice, two additional purported shareholders of the Company, filed substantially similar class action lawsuits in Delaware Chancery Court.


•	On December 10, 2014, a fifth purported shareholder of the Company, Iron Workers Mid-South Pension Fund, filed another substantially similar class action lawsuit in the Delaware Chancery Court.


•	On December 24, 2014, a sixth purported shareholder of the Company, Annette Shipp, filed another substantially similar class action lawsuit in the Delaware Chancery Court.

All of the lawsuits make substantially similar claims. The plaintiffs generally allege that the members of the Company’s Board of Directors breached their fiduciary duties to our shareholders in connection with the merger negotiations by entering into the merger agreement and by approving the merger, and that the Company, Halliburton, and Red Tiger aided and abetted the purported breaches of fiduciary duties. More specifically, the lawsuits allege that the merger agreement provides inadequate consideration to our shareholders, that the process resulting in the merger agreement was flawed, that the Company’s directors engaged in self-dealing, and that certain provisions of the merger agreement improperly favor Halliburton and Red Tiger, precluding or impeding third parties from submitting potentially superior proposals, among other things. The lawsuit filed by Annettee Shipp also alleges that our Board of Directors failed to disclose material information concerning the proposed merger in the preliminary registration statement on Form S-4. On January 7, 2015, James Rice amended his complaint, adding similar allegations regarding the disclosures in the preliminary registration statement on Form S-4. The lawsuits seek unspecified damages, injunctive relief enjoining the merger, and rescission of the merger agreement, among other relief. On January 23, 2015, the Delaware lawsuits were consolidated under the caption In re Baker Hughes Inc. Stockholders Litigation, Consolidated C.A. No. 10390-CB (the "Consolidated Case"). Pursuant to the Court’s consolidation order, plaintiffs filed a consolidated complaint on February 4, 2015, which alleges substantially similar claims and seeks substantially similar relief to that raised in the six individual complaints, except that while Baker Hughes is named as a defendant, no claims are asserted against the Company.

On March 18, 2015, the parties reached an agreement in principle to settle the Consolidated Case in exchange for the Company making certain additional disclosures. Those disclosures were contained in a Form 8-K filed with the SEC on March 18, 2015. The settlement remains subject to certain conditions, including consummation of the merger, final documentation, and court approval.

On November 26, 2014, a seventh class action challenging the merger was filed by a purported Company shareholder in the United States District Court for the Southern District of Texas (Houston Division). The lawsuit, styled Marc Rovner v. Baker Hughes Inc., et al., Cause No. 4:14-cv-03416 ("the Rovner lawsuit"), asserts claims against the Company, most of our current Board of Directors, Halliburton, and Red Tiger. The lawsuit asserts substantially similar claims and seeks substantially similar relief as that sought in the Delaware lawsuits. On March 20, 2015, counsel for Mr. Rovner filed a notice of voluntary dismissal, and on March 23, 2015, the Court entered an order dismissing the Rovner lawsuit without prejudice.

On October 9, 2014, our subsidiary filed a Request for Arbitration against a customer before the London Court of International Arbitration, pursuing claims for the non-payment of invoices for goods and services provided in an amount provisionally quantified to exceed $67.9 million. In our Request for Arbitration, we also noted that invoices in an amount exceeding $57 million had been issued to the customer, and would be added to the claim in the event that they became overdue. The due date for payment of all of these invoices has now passed. On November 6, 2014, the customer filed its Response and Counterclaim, denying liability and counterclaiming damages for breach of contract of approximately $182 million. We deny any liability to the customer and intend to pursue our claims against the customer and defend the claims made under the counterclaim. The Parties have agreed to a suspension in the arbitral proceedings to October 31, 2015, pending ongoing settlement discussions. No timetable for the conduct of the arbitration has yet been established.

During 2014, we received customer notifications related to a possible equipment failure in a natural gas storage system in Northern Germany, which includes certain of our products. We are currently investigating the cause of the possible failure and, if necessary, possible repair and replacement options for our products. Similar products were utilized in other natural gas storage systems for this and other customers. The customer initiated arbitral proceedings against us on June 19, 2015, under the rules of the German Institute of Arbitration e.V. (DIS). The customer alleges damages of approximately $170 million plus interest at an annual rate of prime + 5%. A procedural schedule for the arbitration has not yet been set. In addition, on September 21, 2015, TRIUVA Kapitalverwaltungsgesellschaft mbH filed a lawsuit in the United States District Court for the Southern District of Texas, Houston Division against the Company and Baker Hughes Oilfield Operations, Inc. alleging that the plaintiff is the owner of gas storage caverns in Etzel, Germany in which the Company provided certain equipment in connection with the development of the gas storage caverns. The plaintiff further alleges that the Company supplied equipment that was either defectively designed or failed to warn of risks that the equipment posed, and that these alleged defects caused damage to the plaintiff’s property. The plaintiff seeks recovery of alleged compensatory and punitive damages of an unspecified amount, in addition to reasonable attorneys’ fees, court costs and pre-judgment and post-judgment interest. The allegations in this lawsuit are related to the claims made in the June 19, 2015 German arbitration referenced above. At this time, we are not able to predict the outcome of these claims or whether either will have any material impact on our financial position, results of operations or cash flows.

On August 31, 2015, a customer of one of the Company’s subsidiaries issued a Letter of Claim pursuant to a Construction and Engineering Contract. The customer has claimed $369 million plus loss of production resulting from a breach of contract related to five electric submersible pumps installed by the subsidiary in Europe. Investigation is ongoing as to the merits of the claim. At this time, we are not able to predict the outcome of this claim or whether it will have a material impact on our financial position, results of operations or cash flows.

We are a defendant in various labor claims including the following matters.

•

On April 28, 2014, a collective action lawsuit alleging that we failed to pay a class of workers overtime in compliance with the Fair Labor Standards Act ("FLSA") was filed titled Michael Ciamillo, individually, etc., et al. vs. Baker Hughes Incorporated in the U.S. District Court for the District of Alaska (“Ciamillo”). During the fourth quarter of 2014, the parties agreed to settle the Ciamillo lawsuit, including certain state law claims, for $5 million. The court granted final approval of that settlement on June 19, 2015.

•

On December 10, 2013, a class and collective action lawsuit alleging that we failed to pay a nationwide class of workers overtime in compliance with the FLSA and certain state laws was filed titled Lea et al. v. Baker Hughes, Inc. in the U.S. District Court for the Southern District of Texas, Galveston Division ("Lea"). During the second quarter of 2014, the parties agreed to settle the Lea lawsuit, subject to final court approval, and we recorded a charge of $62 million, which included an estimate of the Lea settlement amount and associated costs and an amount for settlement of another wage and hour lawsuit. A portion of this settlement was to be paid on a claims made basis and during the second quarter of 2015, the date passed by which the class members could file a claim under this provision of the settlement agreement. The amount of claims made was less than estimated and accordingly, we reduced the accrual by approximately $13 million, which was recorded as an adjustment of litigation settlements during the second quarter of 2015.

•

On April 30, 2015, a class and collective action lawsuit alleging that we failed to pay a nationwide class of workers overtime in compliance with the FLSA and North Dakota law was filed titled Williams et al. v. Baker Hughes Oilfield Operations, Inc. in the U.S. District Court for the District of North Dakota. We are evaluating the background facts and at this time cannot predict the outcome of this lawsuit and are not able to reasonably estimate the potential impact, if any, such outcome would have on our financial position, results of operations or cash flows.

On May 30, 2013, we received a Civil Investigative Demand ("CID") from the U.S. Department of Justice ("DOJ") pursuant to the Antitrust Civil Process Act. The CID seeks documents and information from us for the period from May 29, 2011 through the date of the CID in connection with a DOJ investigation related to pressure pumping services in the U.S. We are working with the DOJ to provide the requested documents and information. We are not able to predict what action, if any, might be taken in the future by the DOJ or other governmental authorities as a result of the investigation.

OTHER

In the normal course of business with customers, vendors and others, we have entered into off-balance sheet arrangements, such as surety bonds for performance, letters of credit and other bank issued guarantees, which totaled approximately $1.2 billion at September 30, 2015. It is not practicable to estimate the fair value of these financial instruments. None of the off-balance sheet arrangements either has, or is likely to have, a material effect on our financial position, results of operations or cash flows.

Accumulated Other Comprehensive Loss - (Notes)

9 Months Ended

Sep. 30, 2015

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Loss

ACCUMULATED OTHER COMPREHENSIVE LOSS

The following tables present the changes in accumulated other comprehensive loss, net of tax:



	Pensions and Other Postretirement Benefits				Foreign Currency Translation Adjustments				Accumulated Other Comprehensive Loss
Balance at December 31, 2014		$	(246	)		$	(503	)		$	(749	)
Other comprehensive income (loss) before reclassifications		9				(182		)		(173		)
Amounts reclassified from accumulated other comprehensive loss		(6		)		—				(6		)
Deferred taxes		3				—				3
Balance at September 30, 2015		$	(240	)		$	(685	)		$	(925	)



	Pensions and Other Postretirement Benefits				Foreign Currency Translation Adjustments				Accumulated Other Comprehensive Loss
Balance at December 31, 2013		$	(217	)		$	(287	)		$	(504	)
Other comprehensive (loss) income before reclassifications		(5		)		(108		)		(113		)
Amounts reclassified from accumulated other comprehensive loss		3				—				3
Deferred taxes		(2		)		—				(2		)
Balance at September 30, 2014		$	(221	)		$	(395	)		$	(616	)

The amounts reclassified from accumulated other comprehensive loss during the nine months ended September 30, 2015 and 2014 represent the amortization of prior service credit, net actuarial loss, curtailment gain and certain other items which are included in the computation of net periodic cost (benefit). See Note 11. Employee Benefit Plans for additional details. Net periodic cost (benefit) is recorded in cost of sales and services, research and engineering, and marketing, general and administrative expenses.

- 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
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e689-108580

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=36458714&loc=SL7669619-108580

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
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-Name Accounting Standards Codification
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-Paragraph 17
-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e716-108580

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-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
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-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e709-108580

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e637-108580

Reference 8: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e681-108580

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

Summary of Significant Accounting Policies - (Policies)	9 Months Ended
Summary of Significant Accounting Policies - (Policies)	Sep. 30, 2015
Accounting Policies [Abstract]
Nature of Operations	Nature of Operations Baker Hughes Incorporated (“Baker Hughes,” “Company,” “we,” “our,” or “us,”) is a leading supplier of oilfield services, products, technology and systems used for drilling, formation evaluation, completion and production, pressure pumping, and reservoir development in the worldwide oil and natural gas industry. We also provide products and services for other businesses including downstream chemicals, and process and pipeline services.
Basis of Presentation	Basis of Presentation Our unaudited consolidated condensed financial statements included herein have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States of America (“U.S.”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, certain information and disclosures normally included in our annual financial statements have been condensed or omitted. These unaudited consolidated condensed financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2014. We believe the unaudited consolidated condensed financial statements included herein reflect all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the interim periods. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. In the Notes to Unaudited Consolidated Condensed Financial Statements, all dollar and share amounts in tabulations are in millions of dollars and shares, respectively, unless otherwise indicated.
New Accounting Standards Updates	New Accounting Standards Updates In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers. The ASU will supersede most of the existing revenue recognition requirements in U.S. GAAP and will require entities to recognize revenue at an amount that reflects the consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer. The new standard also requires significantly expanded disclosures regarding the qualitative and quantitative information of an entity's nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The pronouncement is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period and is to be applied retrospectively. Early adoption is permitted. We have not completed an evaluation of the impact the pronouncement will have on our consolidated financial statements and related disclosures. In April 2015, the FASB issued ASU No. 2015-3, Simplifying the Presentation of Debt Issuance Costs. The ASU requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The pronouncement is effective for annual reporting periods beginning after December 15, 2015. We currently report debt issuance costs consistent with the guidance of this ASU; therefore there will be no impact on our consolidated financial statements and related disclosures upon adoption. In April 2015, the FASB issued ASU No. 2015-5, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement. The ASU provides guidance to customers about whether a cloud computing arrangement includes a software license and the related accounting treatment. The pronouncement is effective for annual reporting periods beginning after December 15, 2015. Adoption of this pronouncement is not expected to have a material impact upon our consolidated financial statements or notes thereto.

Restructuring Costs - (Tables)

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Restructuring and Related Costs

During the three and nine months ended September 30, 2015, we recorded restructuring charges as summarized below:



	Three Months Ended			Nine Months Ended
Restructuring Charges	September 30, 2015			September 30, 2015
Workforce reductions	$	108		$	416
Contract terminations	—			83
Impairment of buildings and improvements	—			82
Impairment of machinery and equipment	(10		)	166
Total restructuring charges	$	98		$	747

Segment Information - (Tables)

9 Months Ended

Sep. 30, 2015

Segment Reporting Information [Line Items]

Summarized financial information

Summarized financial information is shown in the following tables:



	Three Months Ended					Three Months Ended
	September 30, 2015					September 30, 2014
Segments	Revenue		Profit (Loss) Before Taxes			Revenue		Profit (Loss) Before Taxes
North America	$	1,368	$	(169	)	$	3,155	$	380
Latin America	439		48			571		71
Europe/Africa/Russia Caspian	791		90			1,114		91
Middle East/Asia Pacific	849		69			1,077		155
Industrial Services	339		40			333		35
Total Operations	3,786		78			6,250		732
Corporate and other	—		(81		)	—		(71		)
Interest expense, net	—		(55		)	—		(59		)
Restructuring charges	—		(98		)	—		—
Total	$	3,786	$	(156	)	$	6,250	$	602



	Nine Months Ended					Nine Months Ended
	September 30, 2015					September 30, 2014
Segments	Revenue		Profit (Loss) Before Taxes			Revenue		Profit (Loss) Before Taxes
North America	$	4,872	$	(545	)	$	8,774	$	978
Latin America	1,371		122			1,645		172
Europe/Africa/Russia Caspian	2,555		117			3,269		421
Middle East/Asia Pacific	2,621		182			3,241		448
Industrial Services	929		79			987		96
Total Operations	12,348		(45		)	17,916		2,115
Corporate and other	—		(240		)	—		(209		)
Interest expense, net	—		(162		)	—		(175		)
Restructuring charges	—		(747		)	—		—
Litigation settlements	—		13			—		(62		)
Total	$	12,348	$	(1,181	)	$	17,916	$	1,669

Earnings Per Share - (Tables)

9 Months Ended

Sep. 30, 2015

Earnings Per Share [Abstract]

Reconciliation of Weighted Average Number of Shares

A reconciliation of the number of shares used for the basic and diluted (loss) earnings per share (“EPS”) computations is as follows:



	Three Months Ended September 30,		Nine Months Ended September 30,
	2015	2014	2015	2014
Weighted average common shares outstanding for basic EPS	439	436	438	437
Adjustment for effect of dilutive securities - stock plans	—	2	—	3
Weighted average common shares outstanding for diluted EPS	439	438	438	440

Anti-dilutive shares excluded from diluted EPS ⁽¹⁾	1	—	2	—
Future potentially dilutive shares excluded from diluted EPS ⁽²⁾	3	2	3	2


⁽¹⁾	The calculation of diluted net loss per share for both the three and nine months ended September 30, 2015, excludes shares potentially issuable under stock-based incentive compensation plans and the employee stock purchase plan, as their effect, if included, would have been anti-dilutive.


⁽²⁾	Options where the exercise price exceeds the average market price are excluded from the calculation of diluted net loss or earnings per share because their effect would be anti-dilutive.

Inventories - (Tables)

9 Months Ended

Sep. 30, 2015

Inventory, Net [Abstract]

Inventories, net of reserves

Inventories, net of reserves of $351 million at September 30, 2015 and $319 million at December 31, 2014, are comprised of the following:



	September 30, 2015		December 31, 2014
Finished goods	$	2,928	$	3,644
Work in process	188		227
Raw materials	146		203
Total inventories	$	3,262	$	4,074

Intangible Assets - (Tables)

9 Months Ended

Sep. 30, 2015

Intangible Assets, Net (Excluding Goodwill) [Abstract]

Schedule of Finite-Lived Intangible Assets

Intangible assets are comprised of the following:



	September 30, 2015						December 31, 2014
	Gross Carrying Amount		Less: Accumulated Amortization		Net		Gross Carrying Amount		Less: Accumulated Amortization		Net
Technology	$	872	$	438	$	434	$	870	$	393	$	477
Customer relationships	487		221		266		488		191		297
Trade names	119		95		24		120		92		28
Other	18		13		5		23		13		10
Total intangible assets	$	1,496	$	767	$	729	$	1,501	$	689	$	812

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

Amortization expense of these intangibles over the remainder of 2015 and for each of the subsequent five fiscal years is expected to be as follows:



Year	Estimated Amortization Expense
Remainder of 2015	$	26
2016	101
2017	98
2018	92
2019	88
2020	78

Employee Benefit Plans - (Tables)

9 Months Ended

Sep. 30, 2015

Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]

Schedule of Net Benefit Costs

The components of net periodic cost (benefit) are as follows for the three months ended September 30:



	U.S. Pension Benefits						Non-U.S. Pension Benefits						Other Postretirement Benefits
	2015			2014			2015			2014			2015			2014
Service cost	$	15		$	17		$	4		$	3		$	1		$	1
Interest cost	6			7			7			8			1			1
Expected return on plan assets	(12		)	(11		)	(12		)	(9		)	—			—
Amortization of prior service credit	—			—			—			—			(2		)	(2		)
Amortization of net actuarial loss	3			2			2			1			—			1
Curtailment gain	—			—			—			—			(2		)	—
Other	8			—			—			—			—			—
Net periodic cost (benefit)	$	20		$	15		$	1		$	3		$	(2	)	$	1

The components of net periodic cost (benefit) are as follows for the nine months ended September 30:



	U.S. Pension Benefits						Non-U.S. Pension Benefits						Other Postretirement Benefits
	2015			2014			2015			2014			2015			2014
Service cost	$	49		$	52		$	12		$	10		$	3		$	4
Interest cost	20			21			23			26			3			4
Expected return on plan assets	(37		)	(33		)	(36		)	(29		)	—			—
Amortization of prior service credit	—			—			—			—			(8		)	(5		)
Amortization of net actuarial loss	7			6			4			3			2			2
Curtailment gain	—			—			—			—			(11		)	—
Other	8			—			—			—			—			(3		)
Net periodic cost (benefit)	$	47		$	46		$	3		$	10		$	(11	)	$	2

Accumulated Other Comprehensive Loss - (Tables)

9 Months Ended

Sep. 30, 2015

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Loss

The following tables present the changes in accumulated other comprehensive loss, net of tax:



	Pensions and Other Postretirement Benefits				Foreign Currency Translation Adjustments				Accumulated Other Comprehensive Loss
Balance at December 31, 2014		$	(246	)		$	(503	)		$	(749	)
Other comprehensive income (loss) before reclassifications		9				(182		)		(173		)
Amounts reclassified from accumulated other comprehensive loss		(6		)		—				(6		)
Deferred taxes		3				—				3
Balance at September 30, 2015		$	(240	)		$	(685	)		$	(925	)



	Pensions and Other Postretirement Benefits				Foreign Currency Translation Adjustments				Accumulated Other Comprehensive Loss
Balance at December 31, 2013		$	(217	)		$	(287	)		$	(504	)
Other comprehensive (loss) income before reclassifications		(5		)		(108		)		(113		)
Amounts reclassified from accumulated other comprehensive loss		3				—				3
Deferred taxes		(2		)		—				(2		)
Balance at September 30, 2014		$	(221	)		$	(395	)		$	(616	)

Halliburton Merger Agreement (Details) $ / shares in Units, $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2015 USD ($) $ / shares shares	Sep. 30, 2015 USD ($) $ / shares shares
Business Combinations [Abstract]
Baker Hughes to Halliburton share exchange ratio \| shares	1.12	1.12
Cash consideration per share from Halliburton \| $ / shares	$ 19.00	$ 19.00
Revenue divestiture threshold	$ 7,500	$ 7,500
Days for DOJ review after certification by BHI & HAL	90 days
Number of weeks to extend the DOJ review of merger	3	3
Days for DOJ review after final, substantial compliance by BHI & HAL	30 days
Halliburton merger termination fee maximum	$ 3,500	$ 3,500
Payments for Merger Related Costs	$ 93	$ 204

Restructuring Costs - (Details) $ in Millions	3 Months Ended	9 Months Ended
Restructuring Costs - (Details) $ in Millions	Sep. 30, 2015 USD ($) Employee	Sep. 30, 2015 USD ($) Employee
Restructuring Cost and Reserve [Line Items]
Restructuring Costs	$ 98	$ 747
Inventory Write-down		194
Inventory Write Down-Cost of Sales		37
Inventory Write Down-Cost of Services		157
Workforce reductions [Member]
Restructuring Cost and Reserve [Line Items]
Severance Costs	$ 108	$ 416
Restructuring and Related Cost, Number of Positions Eliminated \| Employee		16,700
Restructuring and Related Cost, Number of Positions Eliminated, Inception to Date \| Employee	13,100	13,100
Payments for Restructuring		$ 282
Contract Termination [Member]
Restructuring Cost and Reserve [Line Items]
Other Restructuring Costs	$ 0	83
Payments for Restructuring		56
Prepayments Write-Off		14
Impairment of buildings and improvements
Restructuring Cost and Reserve [Line Items]
Impairment of Long-Lived Assets Held-for-use	0	82
Impairment of machinery and equipment
Restructuring Cost and Reserve [Line Items]
Impairment of Long-Lived Assets Held-for-use	$ (10)	$ 166

Venezuelan Currency Devaluation - (Details) $ in Millions	9 Months Ended
Venezuelan Currency Devaluation - (Details) $ in Millions	Sep. 30, 2015 USD ($)
Foreign Currency [Abstract]
SIMADI Exchange Rate	192
Foreign Currency Transaction Loss, before Tax	$ 5

Segment Information - (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Segment Information - (Details) - USD ($) $ in Millions	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Summarized financial information [Abstract]
Revenue	$ 3,786	$ 6,250	$ 12,348	$ 17,916
Profit (Loss) Before Taxes	(156)	602	(1,181)	1,669
Corporate and other
Summarized financial information [Abstract]
Revenue	0	0	0	0
Profit (Loss) Before Taxes	(81)	(71)	(240)	(209)
Interest expense, net
Summarized financial information [Abstract]
Revenue	0	0	0	0
Profit (Loss) Before Taxes	(55)	(59)	(162)	(175)
Restructuring charges
Summarized financial information [Abstract]
Revenue	0	0	0	0
Profit (Loss) Before Taxes	(98)	0	(747)	0
Litigation settlements
Summarized financial information [Abstract]
Revenue			0	0
Profit (Loss) Before Taxes			13	(62)
North America
Summarized financial information [Abstract]
Revenue	1,368	3,155	4,872	8,774
Profit (Loss) Before Taxes	(169)	380	(545)	978
Latin America
Summarized financial information [Abstract]
Revenue	439	571	1,371	1,645
Profit (Loss) Before Taxes	48	71	122	172
Europe/Africa/Russia Caspian
Summarized financial information [Abstract]
Revenue	791	1,114	2,555	3,269
Profit (Loss) Before Taxes	90	91	117	421
Middle East/Asia Pacific
Summarized financial information [Abstract]
Revenue	849	1,077	2,621	3,241
Profit (Loss) Before Taxes	69	155	182	448
Industrial Services
Summarized financial information [Abstract]
Revenue	339	333	929	987
Profit (Loss) Before Taxes	40	35	79	96
Total Operations
Summarized financial information [Abstract]
Revenue	3,786	6,250	12,348	17,916
Profit (Loss) Before Taxes	$ 78	$ 732	$ (45)	$ 2,115

Income Taxes - (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Income Taxes - (Details) - USD ($) $ in Millions	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Tax Disclosure [Abstract]
Income taxes (benefit)	$ 0	$ (233)	$ 242	$ (605)
Effective Income Tax Rate Reconciliation, Percent	0.00%		20.50%
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent			35.00%
Restructuring costs and inventory write-downs	$ 98
Income tax benefit, Amount related to Restructuring	$ 28		$ 263

Earnings Per Share - (Details) - shares
shares in Millions

3 Months Ended

9 Months Ended

Sep. 30, 2015

Sep. 30, 2014

Sep. 30, 2015

Sep. 30, 2014

Earnings Per Share [Abstract]

Weighted average common shares outstanding for basic EPS

439

436

438

437

Adjustment for effect of dilutive securities - stock plans

Weighted average common shares outstanding for diluted EPS

439

438

440

Anti-dilutive shares excluded from diluted EPS (1)

^[1]

Future potentially dilutive shares excluded from diluted EPS (2)

^[2]

[1]	The calculation of diluted net loss per share for both the three and nine months ended September 30, 2015, excludes shares potentially issuable under stock-based incentive compensation plans and the employee stock purchase plan, as their effect, if included, would have been anti-dilutive.
[2]	Options where the exercise price exceeds the average market price are excluded from the calculation of diluted net loss or earnings per share because their effect would be anti-dilutive.

Inventories - (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Inventory, Net [Abstract]
Inventory Valuation Reserves	$ 351	$ 319
Finished goods	2,928	3,644
Work in process	188	227
Raw materials	146	203
Total inventories	$ 3,262	$ 4,074

Intangible Assets - Schedule of Intangible Assets by Type (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
Finite-Lived Intangible Assets, Gross	$ 1,496	$ 1,501
Finite-Lived Intangible Assets, Accumulated Amortization	767	689
Finite-Lived Intangible Assets, Net	729	812
Technology-Based Intangible Assets
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
Finite-Lived Intangible Assets, Gross	872	870
Finite-Lived Intangible Assets, Accumulated Amortization	438	393
Finite-Lived Intangible Assets, Net	434	477
Customer Relationships
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
Finite-Lived Intangible Assets, Gross	487	488
Finite-Lived Intangible Assets, Accumulated Amortization	221	191
Finite-Lived Intangible Assets, Net	266	297
Trade Names
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
Finite-Lived Intangible Assets, Gross	119	120
Finite-Lived Intangible Assets, Accumulated Amortization	95	92
Finite-Lived Intangible Assets, Net	24	28
Other Intangible Assets
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
Finite-Lived Intangible Assets, Gross	18	23
Finite-Lived Intangible Assets, Accumulated Amortization	13	13
Finite-Lived Intangible Assets, Net	$ 5	$ 10

Intangible Assets - Schedule of Future Estimated Amortization Expense (Details) $ in Millions	Sep. 30, 2015 USD ($)
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract]
Remainder of 2015	$ 26
2016	101
2017	98
2018	92
2019	88
2020	$ 78

Intangible Assets - Textual Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Finite-Lived Intangible Assets [Line Items]
Amortization expense for intangible assets included in net income	$ 26	$ 26	$ 77	$ 79
Minimum
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	3 years
Maximum
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	30 years

Financial Instruments - (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Fair Value Disclosures [Abstract]
Debt, fair value	$ 4,403	$ 4,663
Debt, Long-term and Short-term, Combined Amount	$ 4,052	$ 4,133

Employee Benefit Plans - (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
Employee Benefit Plans - (Details) - USD ($) $ in Millions	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
U.S. Pension Benefits
Components of net periodic benefit cost [Abstract]
Service cost	$ 15	$ 17	$ 49	$ 52
Interest cost	6	7	20	21
Expected return on plan assets	(12)	(11)	(37)	(33)
Amortization of prior service credit	0	0	0	0
Amortization of net actuarial loss	3	2	7	6
Other	8	0	8	0
Net periodic cost	20	15	47	46
Non-U.S. Pension Benefits
Components of net periodic benefit cost [Abstract]
Service cost	4	3	12	10
Interest cost	7	8	23	26
Expected return on plan assets	(12)	(9)	(36)	(29)
Amortization of prior service credit	0	0	0	0
Amortization of net actuarial loss	2	1	4	3
Other	0	0	0	0
Net periodic cost	1	3	3	10
Other Postretirement Benefits
Components of net periodic benefit cost [Abstract]
Service cost	1	1	3	4
Interest cost	1	1	3	4
Expected return on plan assets	0	0	0	0
Amortization of prior service credit	(2)	(2)	(8)	(5)
Amortization of net actuarial loss	0	1	2	2
Curtailment gain	2	0	11	0
Other	0	0	0	(3)
Net periodic cost	$ (2)	$ 1	$ (11)	$ 2

Commitments and Contingencies - (Details) - USD ($) $ in Millions	3 Months Ended			9 Months Ended
	Sep. 30, 2015	Dec. 31, 2014	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Loss Contingencies [Line Items]
Claims amount for terminated contract		$ 67.9
Additional claim amount for terminated contract		57.0
Breach of contract counter suit amount		182.0
Litigation Settlement, Expense		$ 5.0
Gain (Loss) Related to Litigation Settlement	$ 0.0		$ 0.0	$ 13.0	$ (62.0)
Fair Value Disclosure, Off-balance Sheet Risks, Face Amount, Liability	1,200.0			$ 1,200.0
Natural Gas Storage System in Northern Germany [Member]
Loss Contingencies [Line Items]
Loss Contingency, Damages Sought, Value	$ 170.0
Loss Contingency, Damages Sought, interest rate	5.00%			5.00%
Construction and Engineering Contract in Europe [Member]
Loss Contingencies [Line Items]
Loss Contingency, Damages Sought, Value	$ 369.0

Accumulated Other Comprehensive Loss - (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Accumulated Other Comprehensive Loss [Line Items]
Beginning Balance	$ (749)	$ (504)
Other comprehensive income (loss) before reclassifications	(173)	(113)
Amounts reclassified from accumulated other comprehensive loss	(6)	3
Deferred taxes	3	(2)
Ending Balance	(925)	(616)
Pensions and Other Postretirement Benefits
Accumulated Other Comprehensive Loss [Line Items]
Beginning Balance	(246)	(217)
Other comprehensive income (loss) before reclassifications	9	(5)
Amounts reclassified from accumulated other comprehensive loss	(6)	3
Deferred taxes	3	(2)
Ending Balance	(240)	(221)
Foreign Currency Translation Adjustments
Accumulated Other Comprehensive Loss [Line Items]
Beginning Balance	(503)	(287)
Other comprehensive income (loss) before reclassifications	(182)	(108)
Amounts reclassified from accumulated other comprehensive loss	0	0
Deferred taxes	0	0
Ending Balance	$ (685)	$ (395)

- Definition

Accumulated change in equity from transactions and other events and circumstances from non-owner sources, net of tax effect, at period end. Excludes Net Income (Loss), and accumulated changes in equity from transactions resulting from investments by owners and distributions to owners. Includes foreign currency translation items, certain pension adjustments, unrealized gains and losses on certain investments in debt and equity securities, other than temporary impairment (OTTI) losses related to factors other than credit losses on available-for-sale and held-to-maturity debt securities that an entity does not intend to sell and it is not more likely than not that the entity will be required to sell before recovery of the amortized cost basis, as well as changes in the fair value of derivatives related to the effective portion of a designated cash flow hedge.

+ References + Details