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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Oct. 27, 2013	Nov. 21, 2013	Apr. 26, 2013
Document and Entity Information [Abstract]
Entity Registrant Name	APPLIED MATERIALS INC /DE
Entity Central Index Key	0000006951
Current Fiscal Year End Date	--10-27
Entity Filer Category	Large Accelerated Filer
Document Type	10-K
Document Period End Date	Oct. 27, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Common Stock Shares Outstanding		1,204,183,467
Entity Well Known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Public Float			$ 16,956,394,267

Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Income Statement [Abstract]
Net sales	$ 7,509	$ 8,719	$ 10,517
Cost of products sold	4,518	5,406	6,157
Gross margin	2,991	3,313	4,360
Operating expenses:
Research, development and engineering	1,320	1,237	1,118
Marketing and selling	433	481	432
General and administrative	469	595	469
Impairment of goodwill and intangible assets	278	421	0
Restructuring charges and asset impairments	63	168	(30)
Gain on sale of facilities, net	(4)	0	(27)
Total operating expenses	2,559	2,902	1,962
Income from operations	432	411	2,398
Impairment of strategic investments	6	17	3
Interest expense	95	95	59
Interest and other income, net	19	17	42
Income before income taxes	350	316	2,378
Provision for income taxes	94	207	452
Net income	$ 256	$ 109	$ 1,926
Earnings per share:
Basic (in dollars per share)	$ 0.21	$ 0.09	$ 1.46
Diluted (in dollars per share)	$ 0.21	$ 0.09	$ 1.45
Weighted average number of shares:
Basic (in shares)	1,202	1,266	1,319
Diluted (in shares)	1,219	1,277	1,330

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Statement of Comprehensive Income [Abstract]
Net income	$ 256	$ 109	$ 1,926
Other comprehensive income (loss), net of tax [Abstract]
Change in unrealized net gain on investments	9	(1)	(8)
Change in unrealized net gain on derivative investments	1	1	(4)
Change in defined benefit plan liability	18	(65)	14
Change in cumulative translation adjustments	(5)	(2)	2
Other comprehensive income (loss), net of tax	23	(67)	4
Comprehensive income	$ 279	$ 42	$ 1,930

- Definition

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

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Net Income
-URI http://asc.fasb.org/extlink&oid=6518256

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=31042434&loc=d3e3602-108585

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.19)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 225
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.18)
-URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.22)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Other Comprehensive Income
-URI http://asc.fasb.org/extlink&oid=6519514

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e565-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 03
-Paragraph 19
-Article 5

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph 20
-Article 9

+ Details

Consolidated Balance Sheets - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Current assets:
Cash and cash equivalents	$ 1,711	$ 1,392
Short-term investments	180	545
Accounts receivable, net	1,633	1,220
Inventories	1,413	1,272
Other current assets	705	673
Total current assets	5,642	5,102
Long-term investments	1,005	1,055
Property, plant and equipment, net	850	910
Goodwill	3,294	3,518
Purchased technology and other intangible assets, net	1,103	1,355
Deferred income taxes and other assets	149	162
Total assets	12,043	12,102
Current liabilities:
Accounts payable and accrued expenses	1,649	1,510
Customer deposits and deferred revenue	794	755
Total current liabilities	2,443	2,265
Long-term debt	1,946	1,946
Other liabilities	566	656
Total liabilities	4,955	4,867
Commitments and contingencies
Stockholders' equity:
Preferred stock: $.01 par value per share; 1 shares authorized; no shares issued	0	0
Common stock: $.01 par value per share; 2,500 shares authorized; 1,204 and 1,197 shares outstanding at 2013 and 2012, respectively	12	12
Additional paid-in capital	6,151	5,863
Retained earnings	12,487	12,700
Treasury stock: 717 and 699 shares at 2013 and 2012, respectively, net	(11,524)	(11,279)
Accumulated other comprehensive loss	(38)	(61)
Total stockholders' equity	7,088	7,235
Total liabilities and stockholders' equity	$ 12,043	$ 12,102

Consolidated Balance Sheets (Parenthetical) - $ / shares	Oct. 27, 2013	Oct. 28, 2012
Stockholders' equity:
Preferred stock, par value per share	$ 0.01	$ 0.01
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Common stock, par value per share	$ 0.01	$ 0.01
Common stock, shares authorized	2,500,000,000	2,500,000,000
Shares, Issued	1,204,000,000
Common stock, shares outstanding		1,197,000,000
Treasury stock, shares	717,000,000	699,000,000

Consolidated Statements of Stockholders' Equity - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Additional Paid-In Capital	Retained Earnings	Treasury Stock	Accumulated Other Comprehensive Income (Loss)
Beginning Balance at Oct. 31, 2010	$ 7,536	$ 13	$ 5,406	$ 11,511	$ (9,396)	$ 2
Beginning Balance, Shares at Oct. 31, 2010		1,328			537
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,926			1,926
Other comprehensive income (loss), net of tax	4					4
Dividends	(408)			(408)
Share-based compensation	146		146
Issuance under stock plans, net of a tax detriment of $14, 12 and 5 for 2013, 2012 and 2011 respectively and other	64		64
Issuance under stock plans, net of a tax detriment of $14, 12 and 5 for 2013, 2012 and 2011 respectively and other, shares		14
Common stock repurchases	$ (468)				$ (468)
Common stock repurchases, shares	36	(36)			36
Ending Balance at Oct. 30, 2011	$ 8,800	$ 13	5,616	13,029	$ (9,864)	6
Ending Balance, Shares at Oct. 30, 2011		1,306			573
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	109			109
Other comprehensive income (loss), net of tax	(67)					(67)
Dividends	(438)			(438)
Share-based compensation	182		182
Stock options assumed in connection with acquisition	11		11
Issuance under stock plans, net of a tax detriment of $14, 12 and 5 for 2013, 2012 and 2011 respectively and other	54		54
Issuance under stock plans, net of a tax detriment of $14, 12 and 5 for 2013, 2012 and 2011 respectively and other, shares		17
Common stock repurchases	$ (1,416)	$ (1)			$ (1,415)
Common stock repurchases, shares	126	(126)			126
Ending Balance at Oct. 28, 2012	$ 7,235	$ 12	5,863	12,700	$ (11,279)	(61)
Ending Balance, Shares at Oct. 28, 2012		1,197			699
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	256			256
Other comprehensive income (loss), net of tax	23					23
Dividends	(469)			(469)
Share-based compensation	162		162
Issuance under stock plans, net of a tax detriment of $14, 12 and 5 for 2013, 2012 and 2011 respectively and other	126		126
Issuance under stock plans, net of a tax detriment of $14, 12 and 5 for 2013, 2012 and 2011 respectively and other, shares		25
Common stock repurchases	$ (245)				$ (245)
Common stock repurchases, shares	18	(18)			18
Ending Balance at Oct. 27, 2013	$ 7,088	$ 12	$ 6,151	$ 12,487	$ (11,524)	$ (38)
Ending Balance, Shares at Oct. 27, 2013	1,204	1,204			717

Consolidated Statements of Stockholders' Equity (Parenthetical) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Statement of Stockholders' Equity [Abstract]
Tax detriment included in issuance under stock plans	$ (14)	$ (12)	$ (5)

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Cash flows from operating activities:
Net income	$ 256	$ 109	$ 1,926
Adjustments required to reconcile net income to cash provided by operating activities:
Depreciation and amortization	410	422	246
Impairment of goodwill and intangible assets	278	421	0
Restructuring charges and asset impairments	63	168	(30)
Deferred income tax and other	(91)	222	136
Share-based compensation	162	182	146
Changes in operating assets and liabilities, net of amounts acquired:
Accounts receivable	(404)	493	292
Inventories	(141)	679	(163)
Other assets	(63)	46	(61)
Accounts payable and accrued expenses	78	(469)	(310)
Customer deposits and deferred revenue	39	(412)	267
Other liabilities	36	(10)	(20)
Cash provided by operating activities	623	1,851	2,429
Cash flows from investing activities:
Capital expenditures	(197)	(162)	(209)
Cash paid for acquisitions, net of cash acquired	(1)	(4,190)	0
Proceeds from sale of facilities	7	0	130
Proceeds from sales and maturities of investments	1,013	1,019	1,923
Purchases of investments	(607)	(1,327)	(1,137)
Cash provided by (used in) investing activities	215	(4,660)	707
Cash flows from financing activities:
Debt borrowings (repayments), net	0	(1)	1,730
Proceeds from common stock issuances and others, net	182	97	95
Common stock repurchases	(245)	(1,416)	(468)
Payments of dividends to stockholders	(456)	(434)	(397)
Cash provided by (used in) financing activities	(519)	(1,754)	960
Effect of exchange rate changes on cash and cash equivalents	0	(5)	6
Increase (decrease) in cash and cash equivalents	319	(4,568)	4,102
Cash and cash equivalents - beginning of year	1,392	5,960	1,858
Cash and cash equivalents - end of year	1,711	1,392	5,960
Supplemental cash flow information:
Cash payments for income taxes	196	243	761
Cash refunds from income taxes	102	79	289
Cash payments for interest	$ 92	$ 94	$ 14

Summary of Significant Accounting Policies	12 Months Ended
Summary of Significant Accounting Policies	Oct. 27, 2013
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Principles of Consolidation and Basis of Presentation The consolidated financial statements include the accounts of Applied Materials, Inc. and its subsidiaries (Applied or the Company) after elimination of intercompany balances and transactions. All references to a fiscal year apply to Applied’s fiscal year which ends on the last Sunday in October. Fiscal 2013, 2012 and 2011 contained 52 weeks each. Each fiscal quarter of 2013, 2012 and 2011 contained 13 weeks. In November 2011, Applied completed its acquisition of Varian Semiconductor Equipment Associates, Inc. (Varian). Beginning in the first quarter of fiscal 2012, the acquired business is included in Applied's consolidated results of operations and the results of the Silicon Systems Group and Applied Global Services segments. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make judgments, estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ materially from those estimates. On an ongoing basis, Applied evaluates its estimates, including those related to accounts receivable and sales allowances, fair values of financial instruments, inventories, intangible assets and goodwill, useful lives of intangible assets and property and equipment, fair values of share-based awards, and income taxes, among others. Applied bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities. Cash Equivalents All highly-liquid investments with a remaining maturity of three months or less at the time of purchase are considered to be cash equivalents. Cash equivalents consist primarily of investments in institutional money market funds. Investments All of Applied’s investments, except equity investments held in privately-held companies, are classified as available-for-sale at the respective balance sheet dates. Investments classified as available-for-sale are recorded at fair value based upon quoted market prices, and any temporary difference between the cost and fair value of an investment is presented as a separate component of accumulated other comprehensive income (loss). The specific identification method is used to determine the gains and losses on investments. Interest earned on cash and investments, as well as realized gains and losses on sale of securities, are included in interest income in the accompanying Consolidated Statements of Operations. Equity investments in privately-held companies are generally accounted for under the cost method of accounting and are periodically assessed for other-than-temporary impairment when an event or circumstance indicates that an other-than-temporary decline in value may have occurred. Allowance for Doubtful Accounts Applied maintains an allowance for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. This allowance is based on historical experience, credit evaluations, specific customer collection history and any customer-specific issues Applied has identified. Changes in circumstances, such as an unexpected material adverse change in a major customer’s ability to meet its financial obligation to Applied or its payment trends, may require Applied to further adjust its estimates of the recoverability of amounts due to Applied. Inventories Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out (FIFO) basis. Applied adjusts inventory carrying value for estimated obsolescence equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. Applied fully reserves for inventories and noncancelable purchase orders for inventory deemed obsolete. Applied performs periodic reviews of inventory items to identify excess inventories on hand by comparing on-hand balances to anticipated usage using recent historical activity as well as anticipated or forecasted demand. If estimates of customer demand diminish further or market conditions become less favorable than those projected by Applied, additional inventory adjustments may be required. Property, Plant and Equipment Property, plant and equipment is stated at cost. Depreciation is provided over the estimated useful lives of the assets using the straight-line method. Estimated useful lives for financial reporting purposes are as follows: buildings and improvements, 3 to 30 years; demonstration and manufacturing equipment, 3 to 5 years; software, 3 to 5 years; and furniture, fixtures and other equipment, 3 to 15 years. Land improvements are amortized over the shorter of 15 years or the estimated useful life. Leasehold improvements are amortized over the shorter of five years or the lease term. Intangible Assets Goodwill and indefinite-lived assets are not amortized, but are reviewed for impairment annually during the fourth quarter of each fiscal year and whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Purchased technology and other intangible assets are presented at cost, net of accumulated amortization, and are amortized over their estimated useful lives of 1 to 15 years using the straight-line method. Long-Lived Assets Applied reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets may not be recoverable. Applied assesses these assets for impairment based on estimated future cash flows from these assets. Research, Development and Engineering Costs Research, development and engineering costs are expensed as incurred. Sales and Value Added Taxes Taxes collected from customers and remitted to governmental authorities are presented on a net basis in the accompanying Consolidated Statements of Operations. Warranty Applied provides for the estimated cost of warranty when revenue is recognized. Estimated warranty costs are determined by analyzing specific product, current and historical configuration statistics and regional warranty support costs. Applied's warranty obligation is affected by product and component failure rates, material usage and labor costs incurred in correcting product failures during the warranty period. If actual warranty costs differ substantially from Applied's estimates, revisions to the estimated warranty liability would be required. Income Taxes Income tax expense is based on pretax earnings. Deferred tax assets and liabilities are recognized for the expected tax consequences of temporary differences between the book and tax bases of recorded assets and liabilities, net operating losses and tax credit carryforwards. Restructuring From time to time, Applied initiates restructuring activities to appropriately align its cost structure relative to prevailing economic and industry conditions and associated customer demand as well as in connection with certain acquisitions. Costs associated with restructuring actions can include termination benefits and related charges in addition to facility closure, contract termination and other related activities. Costs associated with restructuring activities are included in restructuring charges and asset impairments in the Consolidated Statements of Operations. Revenue Recognition Applied recognizes revenue when all four revenue recognition criteria have been met: persuasive evidence of an arrangement exists; delivery has occurred or services have been rendered; seller’s price to buyer is fixed or determinable; and collectability is probable. Applied’s shipping terms are customarily FOB Applied shipping point or equivalent terms. Applied’s revenue recognition policy generally results in revenue recognition at the following points: (1) for all transactions where legal title passes to the customer upon shipment or delivery, Applied recognizes revenue upon passage of title for all products that have been demonstrated to meet product specifications prior to shipment; the portion of revenue associated with certain installation-related tasks is deferred, and that revenue is recognized upon completion of the installation-related tasks; (2) for products that have not been demonstrated to meet product specifications prior to shipment, revenue is recognized at customer technical acceptance; (3) for transactions where legal title does not pass at shipment or delivery, revenue is recognized when legal title passes to the customer, which is generally at customer technical acceptance; and (4) for arrangements containing multiple elements, the revenue relating to the undelivered elements is deferred using the relative selling price method utilizing estimated sales prices until delivery of the deferred elements. Applied limits the amount of revenue recognition for delivered elements to the amount that is not contingent on the future delivery of products or services, future performance obligations or subject to customer-specified return or adjustment. In cases where Applied has sold products that have been demonstrated to meet product specifications prior to shipment, Applied believes that at the time of delivery, it has an enforceable claim to amounts recognized as revenue. Spare parts revenue is generally recognized upon shipment, and services revenue is generally recognized over the period that the services are provided. When a sales arrangement contains multiple elements, such as hardware and services and/or software products, Applied allocates revenue to each element based on a selling price hierarchy. The selling price for a deliverable is based on its vendor specific objective evidence (VSOE) if available, third party evidence (TPE) if VSOE is not available, or estimated selling price (ESP) if neither VSOE nor TPE is available. Applied generally utilizes the ESP due to the nature of its products. In multiple element arrangements where more-than-incidental software deliverables are included, revenue is allocated to each separate unit of accounting for each of the non-software deliverables and to the software deliverables as a group using the relative selling prices of each of the deliverables in the arrangement based on the aforementioned selling price hierarchy. If the arrangement contains more than one software deliverable, the arrangement consideration allocated to the software deliverables as a group is then allocated to each software deliverable using the guidance for recognizing software revenue. Derivative Financial Instruments Applied uses financial instruments, such as forward exchange and currency option contracts, to hedge a portion of, but not all, existing and anticipated foreign currency denominated transactions typically expected to occur within 24 months. The terms of currency instruments used for hedging purposes are generally consistent with the timing of the transactions being hedged. The purpose of Applied’s foreign currency management is to mitigate the effect of exchange rate fluctuations on certain foreign currency denominated revenues, costs and eventual cash flows. All of Applied’s derivative financial instruments are recorded at fair value based upon quoted market prices for comparable instruments. For derivative instruments designated and qualifying as cash flow hedges of anticipated foreign currency denominated transactions, the effective portion of the gain or loss on these hedges is reported as a component of accumulated other comprehensive income (loss) in stockholders’ equity, and is reclassified into earnings when the hedged transaction affects earnings. If the transaction being hedged fails to occur, or if a portion of any derivative is ineffective, the gain or loss on the associated financial instrument is recorded promptly in earnings. For derivative instruments used to hedge existing foreign currency denominated assets or liabilities, the gain or loss on these hedges is recorded promptly in earnings to offset the changes in the fair value of the assets or liabilities being hedged. Applied does not use derivative financial instruments for trading or speculative purposes. Foreign Currencies As of October 27, 2013, primarily all of Applied’s subsidiaries use the United States dollar as their functional currency. Accordingly, assets and liabilities of these subsidiaries are remeasured using exchange rates in effect at the end of the period, except for non-monetary assets, such as inventories and property, plant and equipment, which are remeasured using historical exchange rates. Foreign currency-denominated revenues and costs are remeasured using average exchange rates for the period, except for costs related to those balance sheet items that are remeasured using historical exchange rates. The resulting remeasurement gains and losses are included in general and administrative expenses in the Consolidated Statements of Operations as incurred. Concentrations of Credit Risk Financial instruments that potentially subject Applied to significant concentrations of credit risk consist principally of cash equivalents, investments, trade accounts receivable and derivative financial instruments used in hedging activities. Applied invests in a variety of financial instruments, such as, but not limited to, certificates of deposit, corporate and municipal bonds, United States Treasury and agency securities, and asset-backed and mortgage-backed securities, and, by policy, limits the amount of credit exposure with any one financial institution or commercial issuer. Applied performs ongoing credit evaluations of its customers’ financial condition and generally requires no collateral to secure accounts receivable. Applied maintains an allowance reserve for potentially uncollectible accounts receivable based on its assessment of the collectability of accounts receivable. Applied regularly reviews the allowance by considering factors such as historical experience, credit quality, age of the accounts receivable balances, and current economic conditions that may affect a customer’s ability to pay. In addition, Applied utilizes letters of credit to mitigate credit risk when considered appropriate. Applied is exposed to credit-related losses in the event of nonperformance by counterparties to derivative financial instruments, but does not expect any counterparties to fail to meet their obligations. In some instances, Applied has entered into security arrangements which require the counterparties to post collateral to further mitigate credit exposure. Recent Accounting Pronouncements In July 2013, the Financial Accounting Standards Board (FASB) issued authoritative guidance that will require an unrecognized tax benefit to be presented as a reduction of a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward, with certain exceptions. The authoritative guidance becomes effective for Applied in the first quarter of fiscal 2015, with early adoption permitted. The guidance is not expected to have an impact on Applied's financial position or results of operations. In February 2013, the FASB issued authoritative guidance that will require a public entity to present in its annual and interim financial statements information about reclassification adjustments from accumulated other comprehensive income in a single note or on the face of the financial statements. The authoritative guidance becomes effective for Applied in the first quarter of fiscal 2014, with early adoption permitted, and is not expected to have an impact on Applied's financial position or results of operations.

Earnings Per Share

12 Months Ended

Oct. 27, 2013

Earnings Per Share [Abstract]

Earnings Per Share

Basic earnings per share is determined using the weighted average number of common shares outstanding during the period. Diluted earnings per share is determined using the weighted average number of common shares and potential common shares (representing the dilutive effect of stock options, restricted stock units, and employee stock purchase plans shares) outstanding during the period. Applied’s net income has not been adjusted for any period presented for purposes of computing basic or diluted earnings per share due to the Company’s non-complex capital structure.



	2013		2012		2011

	(In millions, except per share amounts)
Numerator:
Net income	$	256	$	109	$	1,926
Denominator:
Weighted average common shares outstanding	1,202		1,266		1,319
Effect of dilutive stock options, restricted stock units and employee stock purchase plan shares	17		11		11
Denominator for diluted earnings per share	1,219		1,277		1,330
Basic earnings per share	$	0.21	$	0.09	$	1.46
Diluted earnings per share	$	0.21	$	0.09	$	1.45
Potentially dilutive securities	2		9		16

Potentially dilutive securities attributable to outstanding stock options and restricted stock units were excluded from the calculation of diluted earnings per share because the combined exercise price, average unamortized fair value and assumed tax benefits upon the exercise of options and the vesting of restricted stock units were greater than the average market price of Applied common stock, and therefore their inclusion would have been anti-dilutive.

Cash, Cash Equivalents and Investments

12 Months Ended

Oct. 27, 2013

Cash and Cash Equivalents [Abstract]

Cash, Cash Equivalents and Investments

Summary of Cash, Cash Equivalents and Investments

The following tables summarize Applied’s cash, cash equivalents and investments by security type:



October 27, 2013	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

	(In millions)
Cash	$	611	$	—	$	—	$	611
Cash equivalents:
Money market funds	1,095		—		—		1,095
Municipal securities	5		—		—		5
Total Cash equivalents	1,100		—		—		1,100
Total Cash and Cash equivalents	$	1,711	$	—	$	—	$	1,711
Short-term and long-term investments:
U.S. Treasury and agency securities	$	170	$	—	$	—	$	170
Non-U.S. government securities*	11		—		—		11
Municipal securities	379		2		—		381
Commercial paper, corporate bonds and medium-term notes	218		2		1		219
Asset-backed and mortgage-backed securities	268		2		2		268
Total fixed income securities	1,046		6		3		1,049
Publicly traded equity securities	27		33		—		60
Equity investments in privately-held companies	76		—		—		76
Total short-term and long-term investments	$	1,149	$	39	$	3	$	1,185
Total Cash, Cash equivalents and Investments	$	2,860	$	39	$	3	$	2,896

_________________________

* Includes agency and corporate debt securities guaranteed by non-U.S. governments, which consist of Germany, Canada and Australia.



October 28, 2012	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

	(In millions)
Cash	$	876	$	—	$	—	$	876
Cash equivalents:
Money market funds	483		—		—		483
Municipal securities	33		—		—		33
Total Cash equivalents	516		—		—		516
Total Cash and Cash equivalents	$	1,392	$	—	$	—	$	1,392
Short-term and long-term investments:
U.S. Treasury and agency securities	$	373	$	1	$	—	$	374
Non-U.S. government securities	29		—		—		29
Municipal securities	396		2		—		398
Commercial paper, corporate bonds and medium-term notes	381		3		—		384
Asset-backed and mortgage-backed securities	294		4		—		298
Total fixed income securities	1,473		10		—		1,483
Publicly traded equity securities	32		15		—		47
Equity investments in privately-held companies	70		—		—		70
Total short-term and long-term investments	$	1,575	$	25	$	—	$	1,600
Total Cash, Cash equivalents and Investments	$	2,967	$	25	$	—	$	2,992

Maturities of Investments

The following table summarizes the contractual maturities of Applied’s investments at October 27, 2013:



	Cost		Estimated Fair Value

	(In millions)
Due in one year or less	$	149	$	149
Due after one through five years	629		632
No single maturity date**	371		404
	$	1,149	$	1,185

_________________________

** Securities with no single maturity date include publicly-traded and privately-held equity securities, and asset-backed and mortgage-backed securities.

Gains and Losses on Investments

Gross realized gains and losses on sales of investments during fiscal 2013, 2012, and 2011 were as follows:



	2013		2012		2011

	(In millions)
Gross realized gains	$	7	$	3	$	20
Gross realized losses	$	2	$	3	$	4

At October 27, 2013, gross unrealized losses related to Applied's investment portfolio were not material. Applied regularly reviews its investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether an unrealized loss was considered to be temporary, or other-than-temporary and therefore impaired, include: the length of time and extent to which fair value has been lower than the cost basis; the financial condition, credit quality and near-term prospects of the investee; and whether it is more likely than not that Applied will be required to sell the security prior to recovery. Generally, the contractual terms of investments in marketable securities do not permit settlement at prices less than the amortized cost of the investments. Applied determined that the gross unrealized losses on its marketable securities at October 27, 2013, October 28, 2012 and October 30, 2011 were temporary in nature and therefore it did not recognize any impairment of its marketable securities for fiscal 2013, 2012 or 2011. During fiscal 2013, 2012 and 2011, Applied determined that certain of its equity investments held in privately-held companies were other-than-temporarily impaired and, accordingly, recognized impairment charges of $6 million, $17 million and $3 million, respectively.

Unrealized gains and temporary losses on investments classified as available-for-sale are included within accumulated other comprehensive income (loss), net of any related tax effect. Upon realization, those amounts are reclassified from accumulated other comprehensive income (loss) to results of operations.

Fair Value Measurements

12 Months Ended

Oct. 27, 2013

Fair Value Disclosures [Abstract]

Fair Value Measurements

Applied’s financial assets are measured and recorded at fair value, except for equity investments held in privately-held companies. These equity investments are generally accounted for under the cost method of accounting and are periodically assessed for other-than-temporary impairment when events or circumstances indicate that an other-than-temporary decline in value may have occurred. Applied’s nonfinancial assets, such as goodwill, intangible assets, and property, plant and equipment, are recorded at cost and are assessed for impairment when events or circumstances indicate that an other-than-temporary decline in value may have occurred.

Fair Value Hierarchy

Applied uses the following fair value hierarchy, which prioritizes the inputs to valuation techniques used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement:


•	Level 1 — Quoted prices in active markets for identical assets or liabilities;


•	Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and


•	Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Applied’s investments are comprised primarily of debt securities that are classified as available-for-sale and recorded at their fair values. In determining the fair value of investments, Applied uses pricing information from pricing services that value securities based on quoted market prices and models that utilize observable market inputs. In the event a fair value estimate is unavailable from a pricing service, Applied generally obtains non-binding price quotes from brokers. Applied then reviews the information provided by the pricing services or brokers to determine the fair value of its short-term and long-term investments. In addition, to validate pricing information obtained from pricing services, Applied periodically performs supplemental analysis on a sample of securities. Applied reviews any significant unanticipated differences identified through this analysis to determine the appropriate fair value.

Investments with remaining effective maturities of 12 months or less from the balance sheet date are classified as short-term investments. Investments with remaining effective maturities of more than 12 months from the balance sheet date are classified as long-term investments. As of October 27, 2013, substantially all of Applied’s available-for-sale, short-term and long-term investments were recognized at fair value that was determined based upon observable inputs.

Assets Measured at Fair Value on a Recurring Basis

Financial assets (excluding cash balances) measured at fair value on a recurring basis are summarized below as of October 27, 2013 and October 28, 2012:



	October 27, 2013						October 28, 2012
	Level 1		Level 2		Total		Level 1		Level 2		Total

	(In millions)
Assets:
Money market funds	$	1,095	$	—	$	1,095	$	483	$	—	$	483
U.S. Treasury and agency securities	66		104		170		128		246		374
Non-U.S. government securities	—		11		11		—		29		29
Municipal securities	—		386		386		—		431		431
Commercial paper, corporate bonds and medium-term notes	—		219		219		—		384		384
Asset-backed and mortgage-backed securities	—		268		268		—		298		298
Publicly traded equity securities	60		—		60		47		—		47
Foreign exchange derivative assets	—		20		20		—		4		4
Total	$	1,221	$	1,008	$	2,229	$	658	$	1,392	$	2,050

There were no transfers between Level 1 and Level 2 fair value measurements during fiscal 2013 and 2012 and Applied did not have any financial assets measured at fair value on a recurring basis within Level 3 fair value measurements as of October 27, 2013 or October 28, 2012.

Assets and Liabilities Measured at Fair Value on a Non-recurring Basis

Equity investments in privately-held companies are generally accounted for under the cost method of accounting and are periodically assessed for other-than-temporary impairment when an event or circumstance indicates that an other-than-temporary decline in value may have occurred. If Applied determines that an other-than-temporary impairment has occurred, the investment will be written down to its estimated fair value based on available information, such as pricing in recent rounds of financing, current cash positions, earnings and cash flow forecasts, recent operational performance and any other readily available market data. Equity investments in privately-held companies totaled $76 million at October 27, 2013, of which $66 million of investments were accounted for under the cost method of accounting and $10 million of investments had been measured at fair value on a non-recurring basis within Level 3 fair value measurements due to an other-than-temporary decline in value. Equity investments in privately-held companies totaled $70 million at October 28, 2012, of which $57 million of investments were accounted for under the cost method of accounting and $13 million of investments had been measured at fair value on a non-recurring basis within Level 3 fair value measurements due to an other-than-temporary decline in value.

During fiscal 2013, 2012 and 2011, Applied determined that certain of its equity investments held in privately-held companies were other-than-temporarily impaired and, accordingly, recognized impairment charges of $6 million, $17 million and $3 million, respectively.

The inputs used to measure the fair value of goodwill and intangible assets of the Energy and Environmental Solutions segment are classified as a Level 3 fair value measurement due to the significance of unobservable inputs using company-specific information. The valuation methodology used to estimate the fair value of goodwill and intangible assets are discussed in Note 9, Goodwill, Purchased Technology and Other Intangible Assets.

Other

The carrying amounts of Applied’s financial instruments, including cash and cash equivalents, accounts receivable, notes payable, and accounts payable and accrued expenses, approximate fair value due to the short maturities of these financial instruments. At October 27, 2013, the carrying amount of long-term debt was $1.9 billion and the estimated fair value was $2.1 billion. At October 28, 2012, the carrying amount of long-term debt was $1.9 billion and the estimated fair value was $2.3 billion. The estimated fair value of long-term debt is determined by Level 2 inputs and is based primarily on quoted market prices for the same or similar issues.

- 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

Derivative Instruments and Hedging Activities

12 Months Ended

Oct. 27, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities

Derivative Financial Instruments

Applied conducts business in a number of foreign countries, with certain transactions denominated in local currencies, such as the Japanese yen, euro, Israeli shekel, Taiwanese dollar and Swiss franc. Applied uses derivative financial instruments, such as forward exchange contracts and currency option contracts, to hedge certain forecasted foreign currency denominated transactions expected to occur typically up to the next 24 months. The purpose of Applied’s foreign currency management is to mitigate the effect of exchange rate fluctuations on certain foreign currency denominated revenues, costs and eventual cash flows. The terms of currency instruments used for hedging purposes are generally consistent with the timing of the transactions being hedged. Applied does not use derivative financial instruments for trading or speculative purposes.

Derivative instruments and hedging activities, including foreign currency exchange contracts, are recognized on the balance sheet at fair value. Changes in the fair value of derivatives that do not qualify for hedge treatment, as well as the ineffective portion of any hedges, are recognized currently in earnings. All of Applied’s derivative financial instruments are recorded at their fair value in other current assets or in accounts payable and accrued expenses.

Hedges related to anticipated transactions are designated and documented at the inception of the hedge as cash flow hedges and are typically entered into once per month. Cash flow hedges are evaluated for effectiveness quarterly. The effective portion of the gain or loss on these hedges is reported as a component of accumulated other comprehensive income or loss (AOCI) in stockholders’ equity and is reclassified into earnings when the hedged transaction affects earnings. The majority of the after-tax net income or loss related to derivative instruments included in AOCI at October 27, 2013 is expected to be reclassified into earnings within 12 months. Changes in the fair value of currency forward exchange and option contracts due to changes in time value are excluded from the assessment of effectiveness. Both ineffective hedge amounts and hedge components excluded from the assessment of effectiveness are recognized in earnings. If the transaction being hedged is no longer probable to occur, or if a portion of any derivative is deemed to be ineffective, Applied promptly recognizes the gain or loss on the associated financial instrument in general and administrative expenses. The amount recognized due to discontinuance of cash flow hedges that were probable not to occur by the end of the originally specified time period was not significant for fiscal 2013, 2012 or 2011.

Additionally, forward exchange contracts are generally used to hedge certain foreign currency denominated assets or liabilities. These derivatives are typically entered into once per month and are not designated for hedge accounting treatment. Accordingly, changes in the fair value of these hedges are recorded in earnings to offset the changes in the fair value of the assets or liabilities being hedged.

During the fourth quarter of fiscal 2013, the Company purchased foreign exchange option contracts to limit its foreign exchange risk associated with the announced business combination with Tokyo Electron Limited (TEL). The derivatives used to hedge our currency exposure did not qualify for hedge accounting treatment. These derivatives are marked to market at the end of each reporting period with gains and losses recognized as general and administrative expenses. At October 27, 2013, the fair value of these foreign exchange option contracts was approximately $17 million. The Company recognized a loss of $7 million during the fourth quarter of fiscal 2013 related to such contracts. The cash flow impact of this derivative has been classified as operating cash flows in the consolidated statements of cash flows. To further mitigate credit exposure in connection with these foreign exchange option contracts, the Company entered into security arrangements with certain counterparties, which require the counterparties to post collateral amounting to the approximate fair value of the derivative contracts. The cash collateral is included in cash and cash equivalents in the consolidated statements of financial position, with the corresponding liability included in accounts payable and accrued expenses.

Other than the foreign exchange option contracts discussed in the preceding paragraph, the fair values of other derivative instruments at October 27, 2013 and October 28, 2012 were not material.

The effects of derivative instruments on the Consolidated Statements of Operations for fiscal 2013 and 2012 were as follows:



		2013							2012
		Effective Portion				Ineffective Portion and Amount Excluded from Effectiveness Testing			Effective Portion					Ineffective Portion and Amount Excluded from Effectiveness Testing
	Location of Gain or (Loss) Reclassified from AOCI into Income	Gain or (Loss) Recognized in AOCI		Gain or (Loss) Reclassified from AOCI into Income		Gain or (Loss) Recognized in Income			Gain or (Loss) Recognized in AOCI		Gain or (Loss) Reclassified from AOCI into Income			Gain or (Loss) Recognized in Income
		(In millions)
Derivatives in Cash Flow Hedging Relationships
Foreign exchange contracts	Cost of products sold	$	29	$	21	$	(3	)	$	2	$	4		$	(1	)
Foreign exchange contracts	General and administrative	—		7		(1		)	—		(5		)	(1		)
Total		$	29	$	28	$	(4	)	$	2	$	(1	)	$	(2	)



		Amount of Gain or (Loss) Recognized in Income
	Location of Gain or (Loss) Recognized in Income	2013		2012
		(In millions)
Derivatives Not Designated as Hedging Instruments
Foreign exchange contracts	General and administrative	$	19	$	8
Total		$	19	$	8

Credit Risk Contingent Features

If Applied’s credit rating were to fall below investment grade, it would be in violation of credit risk contingent provisions of the derivative instruments discussed above, and certain counterparties to the derivative instruments could request immediate payment on derivative instruments in net liability positions. The aggregate fair value of all derivative instruments with credit-risk related contingent features that were in a net liability position was immaterial as of October 27, 2013.

Entering into foreign exchange contracts with banks exposes Applied to credit-related losses in the event of the banks’ nonperformance. However, Applied’s exposure is not considered significant.

- 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.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-SubTopic 30
-Section 45
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 815
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-Section 50
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Reference 10: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Name Accounting Standards Codification
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+ Details

Accounts Receivable, Net

12 Months Ended

Oct. 27, 2013

Receivables [Abstract]

Accounts Receivable, Net

Applied has agreements with various financial institutions to sell accounts receivable and discount promissory notes from selected customers. Applied sells its accounts receivable without recourse. Applied, from time to time, also discounts letters of credit issued by customers through various financial institutions. The discounting of letters of credit depends on many factors, including the willingness of financial institutions to discount the letters of credit and the cost of such arrangements. Details of discounted letters of credit, factored accounts receivable and discounted promissory notes for fiscal years ended October 27, 2013, October 28, 2012 and October 30, 2011 were as follows:



	2013		2012		2011

	(In millions)
Discounted letters of credit	$	—	$	—	$	211
Factored accounts receivable and discounted promissory notes	—		93		80
Total	$	—	$	93	$	291

Financing charges on the sale of receivables and discounting of letters of credit are included in interest expense in the accompanying Consolidated Statements of Operations and were not material for all years presented.

Accounts receivable are presented net of allowance for doubtful accounts of $74 million at October 27, 2013 and $87 million at October 28, 2012. Changes in allowance for doubtful accounts were as follows:



	2013			2012		2011
	(In millions)
Beginning balance	$	87		$	73	$	74
Provision	—			14		5
Deductions¹	(13		)	—		(6		)
Ending balance	$	74		$	87	$	73

_____________________________

¹ Fiscal 2013 deductions represent releases of allowance for doubtful accounts credited to expense as a result of lower risk exposures in display and solar customers

Applied sells principally to manufacturers within the semiconductor, display and solar industries. While Applied believes that its allowance for doubtful accounts is adequate and represents Applied’s best estimate as of October 27, 2013, Applied continues to closely monitor customer liquidity and other economic conditions, which may result in changes to Applied’s estimates regarding collectability.

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

Balance Sheet Detail

12 Months Ended

Oct. 27, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Balance Sheet Detail



	October 27, 2013		October 28, 2012

	(In millions)
Inventories
Customer service spares	$	274	$	312
Raw materials	325		331
Work-in-process	283		234
Finished goods	531		395
	$	1,413	$	1,272

Included in finished goods inventory is $136 million at October 27, 2013, and $60 million at October 28, 2012, of newly-introduced systems at customer locations where the sales transaction did not meet Applied’s revenue recognition criteria as set forth in Note 1. Finished goods inventory includes $177 million and $176 million of evaluation inventory at October 27, 2013 and October 28, 2012, respectively.



	October 27, 2013		October 28, 2012

	(In millions)
Other Current Assets
Deferred income taxes, net	$	323	$	369
Prepaid expenses	135		101
Income taxes receivable	7		87
Other	240		116
	$	705	$	673



	Useful Life	October 27, 2013			October 28, 2012

	(In years)	(In millions)
Property, Plant and Equipment, Net
Land and improvements		$	167		$	169
Buildings and improvements	3-30	1,217			1,196
Demonstration and manufacturing equipment	3-5	792			760
Furniture, fixtures and other equipment	3-15	589			734
Construction in progress		52			58
Gross property, plant and equipment		2,817			2,917
Accumulated depreciation		(1,967		)	(2,007		)
		$	850		$	910

Depreciation expense was $211 million, $198 million and $194 million for fiscal 2013, 2012 and 2011, respectively.

During fiscal 2013 and 2012, fixed asset impairment charges of $12 million and $20 million, respectively, were recorded in relation to the Energy and Environmental Solutions segment restructuring plan, as discussed in Note 11, Restructuring Charges and Asset Impairments.

In fiscal 2011, Applied received $99 million in proceeds from the sale of two properties located in North America and recognized a net gain of $27 million on the transactions. Applied also completed the divestiture of certain assets held for sale for proceeds of $31 million.



	October 27, 2013		October 28, 2012

	(In millions)
Accounts Payable and Accrued Expenses
Accounts payable	$	582	$	396
Compensation and employee benefits	417		426
Warranty	102		119
Income taxes payable	73		74
Dividends payable	121		108
Other accrued taxes	41		18
Interest payable	30		30
Restructuring reserve	39		133
Other	244		206
	$	1,649	$	1,510



	October 27, 2013		October 28, 2012

	(In millions)
Customer Deposits and Deferred Revenue
Customer deposits	$	175	$	143
Deferred revenue	619		612
	$	794	$	755

Applied typically receives deposits on future deliverables from customers in the Energy and Environmental Solutions and Display segments. In certain instances, customer deposits may be received from customers in the Applied Global Services segment.



	October 27, 2013		October 28, 2012

	(In millions)
Other Liabilities
Deferred income taxes	$	71	$	200
Income taxes payable	174		140
Defined benefit pension plan liability	193		216
Other	128		100
	$	566	$	656

Business Combinations

12 Months Ended

Oct. 27, 2013

Business Combinations [Abstract]

Business Combinations

Tokyo Electron Limited

On September 24, 2013, Applied and TEL entered into a definitive agreement to effect a strategic combination of their respective businesses into a new combined company through a “merger of equals.” TEL, a Japanese corporation, is a global provider of semiconductor, flat panel display and photovoltaic panel production equipment. Under the terms of the Agreement, TEL shareholders will receive 3.25 shares of the new combined company for every TEL share held. Applied shareholders will receive one share of the new combined company for every Applied share held. Based on the number of shares of Applied common stock and shares of TEL common stock expected to be issued and outstanding immediately prior to the closing of the transaction, it is anticipated that, immediately following the transaction, former Applied stockholders and former TEL shareholders will own approximately 68% and 32%, respectively, of the new combined company.

The new combined company will have a new name, dual headquarters in Tokyo and Santa Clara, and a dual listing on the Tokyo Stock Exchange and NASDAQ, and will be incorporated in the Netherlands. The closing of the transaction is subject to customary conditions, including approval by Applied’s and TEL’s shareholders and regulatory approvals. It is expected that the combined company will commence a $3.0 billion stock repurchase program targeted to be executed within 12 months following the closing of the transaction.

The business combination agreement contains mutual pre-closing covenants, including the obligation of Applied and TEL to conduct their businesses in the ordinary course consistent in all material respects with past practices. The agreement also contains termination rights for Applied and TEL and provides that upon certain events, such as a termination due to a change in recommendation by the other party or a termination relating to certain tax rulings, a termination fee of $400 million is payable.

Varian Semiconductor Equipment Associates, Inc.

On November 10, 2011, Applied completed the acquisition of Varian, a public company manufacturer of semiconductor processing equipment and the leading supplier of ion implantation equipment used by chip makers globally, for an aggregate purchase price of $4.2 billion in cash, net of cash acquired and assumed earned equity awards of $27 million, pursuant to an Agreement and Plan of Merger dated as of May 3, 2011. Applied's primary reasons for this acquisition were to complement existing product offerings and to provide opportunities for future growth. Varian designs, markets, manufactures and services ion implantation systems.

Applied allocated the purchase price of this acquisition to tangible and identifiable intangible assets acquired and liabilities assumed, based on their estimated fair values. These estimates were determined through established and generally accepted valuation techniques. Applied recorded $2.6 billion in goodwill, which represented the excess of the purchase price over the aggregate estimated fair values of the assets acquired and liabilities assumed in the acquisition. Of this amount, $1.8 billion of goodwill was allocated to the Silicon Systems Group segment, and the remainder was allocated to the Applied Global Services segment. Goodwill associated with the acquisition was primarily attributable to the opportunities from the addition of Varian's product portfolio which complement Applied's Silicon Systems Group's suite of products, including providing integrated process solutions to customers. Goodwill is not deductible for tax purposes. During the third quarter of fiscal 2012, Applied completed the purchase price allocation for the Varian acquisition.

The following table summarizes the allocation of the assets acquired and liabilities assumed at the acquisition date:



	Estimated Fair Values
	(In millions)
Fair value of net tangible assets acquired	$	892
Goodwill	2,604
Purchased intangible assets	1,365
Purchase price allocated	$	4,861

The following table presents details of the purchase price allocated to purchased intangible assets of Varian at the acquisition date:



	Useful Life	Purchased Intangible Assets
	(In years)	(In millions)
Developed technology	1 - 7	$	987
Customer relationships	15	150
In-process technology		142
Patents and trademarks	10	69
Backlog	1	7
Covenant not to compete	2	10
Total purchased intangible assets		$	1,365

The results of operations of Varian are included in Applied's consolidated results of operations, primarily in the results for the Silicon Systems Group and Applied Global Services segments, beginning in the first quarter of fiscal 2012. For the fiscal year ended October 28, 2012, net sales of approximately $1.0 billion and operating loss of approximately $148 million attributable to Varian were included in the consolidated results of operations. For the year ended October 28, 2012, results of operations included charges of $332 million, attributable to inventory fair value adjustments on products sold, amortization of purchased intangible assets, share-based compensation associated with accelerated vesting, deal costs and other integration costs associated with the acquisition. Of these amounts, deal costs and other acquisition-related costs of $45 million were not allocated to the segments for the year ended October 28, 2012. Deal costs are included in selling, general and administrative expenses in Applied's consolidated results of operations.

The following unaudited pro forma consolidated results of operations assume the acquisition was completed as of the beginning of fiscal 2011. The pro forma consolidated results of operations for the year ended October 30, 2011 combine the results of Applied for the year ended October 30, 2011, with the results of Varian for the year ended September 30, 2011.

The pro forma results below include adjustments related to the purchase price allocation and financing of the acquisition, primarily to increase depreciation and amortization with the higher values of property, plant and equipment and identifiable intangible assets, to increase interest expense for the additional debt incurred to complete the acquisition, and to reflect the related income tax effect. The pro forma results for the fiscal year ended October 30, 2011 include costs of $128 million, which reduced net income due to inventory fair value adjustments on products sold, share-based compensation associated with accelerated vesting and acquisition-related costs, which are not expected to occur in future quarters. The pro forma information does not necessarily reflect the actual results of operations had the acquisition been consummated at the beginning of the fiscal reporting period indicated nor is it necessarily indicative of future operating results. The pro forma information does not include any potential revenue enhancements, cost synergies or other operating efficiencies that could result from the acquisition.



	2012		2011
	(In millions, except per share amounts)
Net sales	$	8,719	$	11,734
Net income	$	167	$	1,862
Basic earnings per share	$	0.13	$	1.41
Diluted earnings per share	$	0.13	$	1.40

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1497-128463

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1490-128463

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1392-128463

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e7008-128479

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1486-128463

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e6927-128479

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4845-128472

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1500-128463

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1524-128463

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e7000-128479

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4922-128472

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
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-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4934-128472

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4926-128472

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1383-128463

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e6996-128479

+ Details

Goodwill, Purchased Technology and Other Intangible Assets

12 Months Ended

Oct. 27, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill, Purchased Technology and Other Intangible Assets

Goodwill and Purchased Intangible Assets

Applied’s methodology for allocating the purchase price relating to purchase acquisitions is determined through established and generally accepted valuation techniques. Goodwill is measured as the excess of the cost of the acquisition over the sum of the amounts assigned to tangible and identifiable intangible assets acquired less liabilities assumed. Applied assigns assets acquired (including goodwill) and liabilities assumed to one or more reporting units as of the date of acquisition. Typically, acquisitions relate to a single reporting unit and thus do not require the allocation of goodwill to multiple reporting units. If the products obtained in an acquisition are assigned to multiple reporting units, the goodwill is distributed to the respective reporting units as part of the purchase price allocation process.

Goodwill and purchased intangible assets with indefinite useful lives are not amortized, but are reviewed for impairment annually during the fourth quarter of each fiscal year and whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. The process of evaluating the potential impairment of goodwill and intangible assets requires significant judgment, especially in emerging markets. Applied regularly monitors current business conditions and other factors including, but not limited to, adverse industry or economic trends, restructuring actions and lower projections of profitability that may impact future operating results.

To test goodwill for impairment, Applied first performs a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If it is concluded that this is the case, Applied then performs the two-step goodwill impairment test. Otherwise, the two-step goodwill impairment test is not required. Under the two-step goodwill impairment test, Applied would, in the first step, compare the estimated fair value of each reporting unit to its carrying value. Applied determines the fair value of each of its reporting units based on a weighting of income and market approaches. If the carrying value of the net assets assigned to the reporting unit exceeds its fair value, then Applied would then perform the second step of the impairment test in order to determine the implied fair value of the reporting unit’s goodwill. If Applied determines that the carrying value of a reporting unit’s goodwill exceeds its implied fair value, Applied would record an impairment charge equal to the difference. Applied’s reporting units are consistent with the reportable segments identified in Note 16, Industry Segment Operations, which are based on the manner in which Applied operates its business and the nature of those operations.

During fiscal 2012, the solar industry faced increasing challenges, including manufacturing overcapacity and weak operating performance and outlook, which led to a deterioration in market conditions. As a result, Applied performed a two-step goodwill impairment test and recorded a $421 million goodwill impairment charge in its Energy and Environmental Solutions segment.

During the second quarter of fiscal 2013, the solar industry experienced further deterioration of market conditions associated with continued manufacturing overcapacity and weaker operating performance and outlook, resulting in increased uncertainties regarding the timing and nature of a recovery in solar capital equipment expenditures. Taking these factors into account, Applied reassessed its financial outlook for the Energy and Environmental Solutions reporting unit and consequently reevaluated the recoverability of this reporting unit's goodwill. Applied performed the two-step impairment test and concluded that the Energy and Environmental Solutions reporting unit's carrying value exceeded its fair value. Based on Applied's analyses, the implied fair value of goodwill was substantially lower than the carrying value of goodwill for the reporting unit. As a result, in the second quarter of fiscal 2013, Applied recorded a goodwill impairment charge of $224 million, representing all of the remaining goodwill for this reporting unit. As of October 27, 2013, accumulated goodwill impairment charges amounted to $645 million which were recorded in the Energy and Environmental Solutions segment.

Applied also performed an impairment test for long-lived assets associated with the Energy and Environmental Solutions reporting unit and determined that the majority of intangible assets were impaired mostly due to the lower long-term revenue and profitability outlook associated with products related to these intangible assets. Accordingly, during the second quarter of fiscal 2013, Applied recorded an impairment charge of $54 million related to these intangible assets, which was the amount by which the carrying value of these intangible assets exceeded their estimated fair value, based on discounted projected cash flows.

Applied utilized an equal weighting of both the discounted cash flow method of the income approach and the guideline company method of the market approach to estimate the fair value of the Energy and Environmental Solutions reporting unit. The estimates used in the impairment testing were consistent with the discrete forecasts that Applied uses to manage its business, and considered the significant developments that occurred during the quarter. Under the discounted cash flow method, cash flows beyond the discrete forecasts were estimated using a terminal growth rate, which considered the long-term earnings growth rate specific to the Energy and Environmental Solutions reporting unit. The estimated future cash flows were discounted to present value using a discount rate that was the value-weighted average of the reporting unit's estimated cost of equity and debt derived using both known and estimated market metrics, and was adjusted to reflect risk factors that considered both the timing and risks associated with the estimated cash flows. The tax rate used in the discounted cash flow method reflected the international structure currently in place, which is consistent with the market participant perspective. Under the guideline company method, market multiples were applied to forecasted revenues and earnings before interest, taxes, depreciation and amortization. The market multiples used were consistent with comparable publicly-traded companies.

In the fourth quarter of fiscal 2013, Applied performed a qualitative assessment to test goodwill for all reporting units for impairment and determined that it was more likely than not that each of the Silicon Systems Group, Applied Global Services, and Display reporting units' fair values exceeded their respective carrying values and that it was not necessary to perform the two-step goodwill impairment test for these reporting units.

The evaluation of goodwill and intangible assets for impairment requires the exercise of significant judgment. In the event of future changes in business conditions, Applied will be required to reassess and update its forecasts and estimates used in future impairment analyses. If the results of these analyses are lower than current estimates, a material impairment charge may result at that time.

Details of goodwill and other indefinite-lived intangible assets were as follows:



	October 27, 2013						October 28, 2012
	Goodwill		Other Intangible Assets		Total		Goodwill		Other Intangible Assets		Total

	(In millions)
Silicon Systems Group	$	2,151	$	142	$	2,293	$	2,151	$	142	$	2,293
Applied Global Services	1,027		—		1,027		1,027		—		1,027
Display	116		—		116		116		—		116
Energy and Environmental Solutions	—		—		—		224		—		224
Carrying amount	$	3,294	$	142	$	3,436	$	3,518	$	142	$	3,660

During fiscal 2013, goodwill and other indefinite-lived intangible assets decreased by $224 million due to the impairment of goodwill recorded in the second quarter of fiscal 2013.

Other intangible assets that are not subject to amortization consist primarily of in-process technology, which will be subject to amortization upon commercialization. The fair value assigned to in-process technology was determined using the income approach taking into account estimates and judgments regarding risks inherent in the development process, including the likelihood of achieving technological success and market acceptance. If an in-process technology project is abandoned, the acquired technology attributable to the project will be written-off.

A summary of Applied's purchased technology and intangible assets is set forth below:



	October 27, 2013		October 28, 2012

	(In millions)
Purchased technology, net	$	748	$	945
Intangible assets - finite-lived, net	213		268
Intangible assets - indefinite-lived	142		142
Total	$	1,103	$	1,355

Finite-Lived Purchased Intangible Assets

Applied amortizes purchased intangible assets with finite lives using the straight-line method over the estimated economic lives of the assets, ranging from 1 to 15 years.

Applied evaluates long-lived assets for impairment whenever events or changes in circumstances indicate the carrying value of an asset group may not be recoverable. Applied assesses the fair value of the assets based on the amount of the undiscounted future cash flow that the assets are expected to generate and recognizes an impairment loss when estimated undiscounted future cash flow expected to result from the use of the asset, plus net proceeds expected from disposition of the asset, if any, are less than the carrying value of the asset. When Applied identifies an impairment, Applied reduces the carrying value of the group of assets to comparable market values, when available and appropriate, or to its estimated fair value based on a discounted cash flow approach.

Intangible assets, such as purchased technology, are generally recorded in connection with a business acquisition. The value assigned to intangible assets is usually based on estimates and judgments regarding expectations for the success and life cycle of products and technology acquired. Applied evaluates the useful lives of its intangible assets each reporting period to determine whether events and circumstances require revising the remaining period of amortization. In addition, Applied reviews intangible assets for impairment when events or changes in circumstances indicate their carrying value may not be recoverable. Management considers such indicators as significant differences in actual product acceptance from the estimates, changes in the competitive and economic environment, technological advances, and changes in cost structure. In the fourth quarter of fiscal 2013, Applied performed an impairment analysis on the carrying value of its intangible assets and determined that there was no impairment.

Details of finite-lived intangible assets were as follows:



	October 27, 2013									October 28, 2012
	Purchased Technology			Other Intangible Assets			Total			Purchased Technology			Other Intangible Assets			Total

	(In millions)
Gross carrying amount:
Silicon Systems Group	$	1,301		$	252		$	1,553		$	1,300		$	252		$	1,552
Applied Global Services	28			44			72			28			44			72
Display	110			33			143			110			33			143
Energy and Environmental Solutions	5			15			20			105			232			337
Gross carrying amount	$	1,444		$	344		$	1,788		$	1,543		$	561		$	2,104
Accumulated amortization:
Silicon Systems Group	$	(562	)	$	(58	)	$	(620	)	$	(411	)	$	(36	)	$	(447	)
Applied Global Services	(23		)	(42		)	(65		)	(22		)	(39		)	(61		)
Display	(110		)	(29		)	(139		)	(106		)	(27		)	(133		)
Energy and Environmental Solutions	(1		)	(2		)	(3		)	(59		)	(191		)	(250		)
Accumulated amortization	$	(696	)	$	(131	)	$	(827	)	$	(598	)	$	(293	)	$	(891	)
Carrying amount	$	748		$	213		$	961		$	945		$	268		$	1,213

During fiscal 2013, the impact of the impairment of certain intangible assets associated with the Energy and Environmental Solutions segment on the gross carrying amount and accumulated amortization of the finite-lived intangible assets was approximately $317 million and $262 million, respectively.

Details of amortization expense by segment for fiscal 2013, 2012 and 2011 were as follows:



	2013		2012		2011

	(In millions)
Silicon Systems Group	$	172	$	183	$	13
Applied Global Services	5		9		7
Display	6		7		8
Energy and Environmental Solutions	16		25		24
Total	$	199	$	224	$	52

For fiscal 2013, 2012 and 2011, amortization expense was charged to the following categories:



	2013		2012		2011

	(In millions)
Cost of products sold	$	166	$	185	$	36
Research, development and engineering	1		1		—
Marketing and selling	26		30		16
General and administrative	6		8		—
Total	$	199	$	224	$	52

As of October 27, 2013, future estimated amortization expense is expected to be as follows:



	Amortization Expense
	(In millions)
2014	181
2015	175
2016	169
2017	165
2018	163
Thereafter	108
Total	$	961

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Borrowing Facilities and Long-Term Debt

12 Months Ended

Oct. 28, 2012

Debt Disclosure [Abstract]

Borrowing Facilities and Long Term-Debt

Borrowing Facilities and Long-Term Debt

Applied has credit facilities for unsecured borrowings in various currencies of up to $1.6 billion, of which $1.5 billion is comprised of a committed revolving credit agreement with a group of banks that was extended by one year in May 2013 and is scheduled to expire in May 2017. This agreement provides for borrowings in United States dollars at interest rates keyed to one of the two rates selected by Applied for each advance and includes financial and other covenants with which Applied was in compliance at October 27, 2013. Remaining credit facilities in the amount of approximately $82 million are with Japanese banks. Applied’s ability to borrow under these facilities is subject to bank approval at the time of the borrowing request, and any advances will be at rates indexed to the banks’ prime reference rate denominated in Japanese yen. No amounts were outstanding under any of these facilities at both October 27, 2013 and October 28, 2012 and Applied has not utilized these credit facilities.

Long-term debt outstanding as of October 27, 2013 and October 28, 2012 was as follows:



	Principal Amount			Effective Interest Rate	Interest Pay Dates
	(In millions)
2.650% Senior Notes Due 2016	$	400		2.666%	June 15, December 15
7.125% Senior Notes Due 2017	200			7.190%	April 15, October 15
4.300% Senior Notes Due 2021	750			4.326%	June 15, December 15
5.850% Senior Notes Due 2041	600			5.879%	June 15, December 15
	1,950
Total unamortized discount	(4		)
Total long-term debt	$	1,946

Applied has debt agreements that contain financial and other covenants. These covenants require Applied to maintain certain minimum financial ratios. At October 27, 2013, Applied was in compliance with all such covenants.

Restructuring Charges and Asset Impairments

12 Months Ended

Oct. 27, 2013

Restructuring and Related Activities [Abstract]

Restructuring Charges and Asset Impairments

From time to time, Applied initiates restructuring activities to appropriately align its cost structure relative to prevailing economic and industry conditions and associated customer demand as well as in connection with certain acquisitions. Costs associated with restructuring actions can include termination benefits and related charges in addition to facility closure, contract termination and other related activities.

The following table summarizes major components of the restructuring and asset impairment charges during fiscal 2013, 2012 and 2011:



	2013			2012		2011

	(In millions)
2012 Global Restructuring Plan
Severance and other employee-related costs¹	$	39		$	106	$	—
2012 EES Restructuring Plan
Severance and other employee-related costs²	8			27		—
Contract cancellation and other costs	6			1		—
Asset impairments	12			20		—
2010 EES Restructuring Plan
Severance and other employee-related costs	—			—		(36		)
Asset impairments	—			—		—
2010 Global Restructuring Plan
Severance and other employee-related costs	—			—		(19		)
Others
Severance and other employee-related costs	2			14		(5		)
Contract cancellation and other costs	(4		)	—		—
Non-Restructuring Related
Asset impairments	—			—		30
	$	63		$	168	$	(30	)

_____________________________

¹Includes share-based compensation expense, with the offset recorded in additional paid-in capital.

²Includes post-retirement benefit expense, with the offset recorded in accumulated other comprehensive loss.

Restructuring and asset impairment charges were recorded as follows:



	2013		2012		2011

	(In millions)
Silicon Systems Group	$	1	$	4	$	—
Applied Global Services	2		15		24
Energy and Environmental Solutions	25		38		(33		)
Corporate Unallocated	35		111		(21		)
Total	$	63	$	168	$	(30	)

Global Restructuring Plan

On October 3, 2012, Applied announced a restructuring plan (the 2012 Global Restructuring Plan) to realign its global workforce and enhance its ability to invest for growth. Under this plan, Applied implemented a voluntary retirement program and other workforce reduction actions that were expected to affect approximately 900 to 1,300 positions, or 6 percent to 9 percent of its global workforce. The voluntary retirement program was available to certain U.S. employees who met minimum age and length of service requirements, as well as other business-specific criteria. In addition, Applied implemented other workforce reduction actions globally across multiple business segments and functions, the extent of which depended on the number of employees who participated in the voluntary retirement program and other considerations.

In connection with the 2012 Global Restructuring Plan, Applied expects to incur aggregate pre-tax restructuring charges comprised of severance and other termination benefits of up to $160 million (including costs incurred to date of $145 million discussed below). Applied expects to substantially complete this plan by the end of the first quarter of fiscal 2014.

During fiscal 2013 and 2012, Applied recognized $39 million and $106 million, respectively, of employee-related costs in connection with the 2012 Global Restructuring Plan. These costs were not allocated to the segments. Applied has incurred aggregate pre-tax restructuring charges comprised of severance and other termination benefits of $145 million under this plan.

2012 EES Restructuring Plan

On May 10, 2012, Applied announced a plan (the 2012 EES Restructuring Plan) to restructure its Energy and Environmental Solutions segment in light of challenging industry conditions affecting the solar photovoltaic and light-emitting diode (LED) equipment markets. As part of this plan, Applied relocated certain manufacturing, business operations and customer support functions of its precision wafering systems business and ceased LED development activities. The 2012 EES Restructuring Plan also impacted certain LED support activities in the Applied Global Services segment. The 2012 EES Restructuring Plan impacted approximately 300 positions globally. As of October 27, 2013, principal activities related to this plan were complete. Total costs incurred in implementing this plan were $87 million, of which $13 million were inventory-related charges.

During fiscal 2013 and 2012, Applied recognized $26 million and $48 million, respectively, of restructuring and asset impairment charges in connection with the 2012 EES Restructuring Plan. These costs were reported in the Energy and Environmental Solutions and Applied Global Services segments. As of October 27, 2013, remaining severance accrual associated with restructuring reserves under this program was $5 million.

Integration of Varian and Prior Year Restructuring Plans

During fiscal 2013 and 2012, Applied also recognized $2 million and $14 million, respectively of severance and other employee-related costs in connection with the integration of Varian. These costs were reported in the Silicon Systems Group and Applied Global Services segments. As of October 27, 2013, remaining severance accrual associated with restructuring reserves under this program was $2 million.

In fiscal 2011, Applied had favorable adjustments of $60 million related to a restructuring programs announced prior to fiscal 2012, partially offset by asset impairment charges of $30 million primarily related to certain fixed and intangible assets.

Changes in restructuring reserves for fiscal 2013, 2012, and 2011 were as follows:



	2012 Global Restructuring Plan			2012 EES Restructuring Plan						2010 EES Restructuring Plan			2010 Global Restructuring Plan			Others
	Severance and Other Employee-Related Costs			Severance and Other Employee-Related Costs			Contract Cancellation and Other Costs			Severance and Other Employee-Related Costs			Severance and Other Employee-Related Costs			Severance and Other Employee-Related Costs			Contract Cancellation and Other Costs			Total

	(In millions)
Balance, October 31, 2010	$	—		$	—		$	—		$	42		$	51		$	6		$	5		$	104
Consumption of reserves	—			—			—			(5		)	(27		)	(1		)	—			(33		)
Adjustment of restructuring reserves	—			—			—			(36		)	(19		)	(5		)	—			(60		)
Balance, October 30, 2011	$	—		$	—		$	—		$	1		$	5		$	—		$	5		$	11
Provision for restructuring reserves	106			27			1			—			—			14			—			148
Consumption of reserves	—			(11		)	—			(1		)	(5		)	(9		)	—			(26		)
Balance, October 28, 2012	$	106		$	16		$	1		$	—		$	—		$	5		$	5		$	133
Provision for restructuring reserves	35			7			8			—			—			2			—			52
Consumption of reserves	(111		)	(18		)	(2		)	—			—			(5		)	—			(136		)
Adjustment of restructuring reserves¹	(4		)	—			(2		)	—			—			—			(4		)	(10		)
Balance, October 27, 2013	$	26		5			5			—			—			$	2		$	1		$	39

_______________________________

¹ Adjustment of restructuring reserves for 2012 Global Restructuring plan represents reclassification of post-retirement benefit liability to other liabilities.

Stockholders' Equity, Comprehensive Income and Share-Based Compensation

12 Months Ended

Oct. 27, 2013

Equity [Abstract]

Stockholders' Equity, Comprehensive Income and Share-Based Compensation

Stockholders’ Equity, Comprehensive Income and Share-Based Compensation

Accumulated Other Comprehensive Loss

Components of accumulated other comprehensive loss, on an after-tax basis, were as follows:



	October 27, 2013			October 28, 2012

	(In millions)
Unrealized gain on investments, net	$	25		$	16
Unrealized gain on derivative instruments qualifying as cash flow hedges	2			1
Pension liability	(72		)	(90		)
Cumulative translation adjustments	7			12
	$	(38	)	$	(61	)

The decrease in accumulated other comprehensive loss associated with pension liability amounted to $18 million, net of income tax effect of $7 million.

Stock Repurchase Program

On March 5, 2012, Applied's Board of Directors approved a new stock repurchase program authorizing up to $3.0 billion in repurchases over the next three years ending in March 2015. Under this authorization, Applied purchases shares of its common stock under a systematic stock repurchase program and may also make supplemental stock repurchases from time to time, depending on market conditions, stock price and other factors. At October 27, 2013, $1.6 billion remains available for future stock repurchases under this repurchase program.

The following table summarizes Applied’s stock repurchases:



	2013		2012		2011

	(In millions, except per share amounts)
Shares of common stock repurchased	18		126		36
Cost of stock repurchased	$	245	$	1,416	$	468
Average price paid per share	$	13.60	$	11.22	$	12.88

Applied records treasury stock purchases under the cost method using the first-in, first-out (FIFO) method. Upon reissuance of treasury stock, amounts in excess of the acquisition cost are credited to additional paid in capital. If Applied reissues treasury stock at an amount below its acquisition cost and additional paid in capital associated with prior treasury stock transactions is insufficient to cover the difference between the acquisition cost and the reissue price, this difference is recorded against retained earnings.

Dividends

During fiscal 2013, Applied’s Board of Directors declared three quarterly cash dividends of $0.10 per share each and one quarterly cash dividend of $0.09 per share. During fiscal 2012, Applied’s Board of Directors declared three quarterly cash dividends of $0.09 per share each and one quarterly cash dividend of $0.08 per share. During fiscal 2011, Applied’s Board of Directors declared three quarterly cash dividends of $0.08 per share each and one quarterly cash dividend of $0.07. Dividends declared during fiscal 2013, 2012 and 2011 amounted to $469 million, $438 million and $408 million, respectively. Applied currently anticipates that cash dividends will continue to be paid on a quarterly basis, although the declaration of any future cash dividend is at the discretion of the Board of Directors and will depend on Applied’s financial condition, results of operations, capital requirements, business conditions and other factors, as well as a determination by the Board of Directors that cash dividends are in the best interests of Applied’s stockholders.

Share-Based Compensation

Applied has a stockholder approved equity plan, the Employee Stock Incentive Plan, which permits grants to employees of share-based awards, including stock options, restricted stock, restricted stock units, performance shares and performance units. In addition, the plan provides for the automatic grant of restricted stock units to non-employee directors and permits the grant of share-based awards to non-employee directors and consultants. Share-based awards made beginning in March 2012 under the plan may be subject to accelerated vesting under certain circumstances in the event of a change in control of Applied. Applied also has two Employee Stock Purchase Plans, one generally for United States employees and a second for employees of international subsidiaries (collectively, ESPP), which enable eligible employees to purchase Applied common stock.

During fiscal 2013, 2012, and 2011, Applied recognized share-based compensation expense related to stock options, ESPP shares, restricted stock, restricted stock units, performance shares and performance units. Total share-based compensation and related tax benefits were as follows:



	2013		2012		2011

	(In millions)
Share-based compensation	$	162	$	182	$	146
Tax benefit recognized	$	45	$	52	$	42

The effect of share-based compensation on the results of operations for fiscal 2013, 2012, and 2011 was as follows:



	2013		2012		2011

	(In millions)
Cost of products sold	$	50	$	54	$	48
Research, development, and engineering	53		54		46
Marketing and selling	20		22		16
General and administrative	34		52		36
Restructuring charge	5		—		—
Total	$	162	$	182	$	146

The cost associated with share-based awards that are subject solely to time-based vesting requirements, less expected forfeitures, is recognized over the awards’ service period for the entire award on a straight-line basis. The cost associated with performance-based equity awards is recognized for each tranche over the service period, based on an assessment of the likelihood that the applicable performance goals will be achieved.

At October 27, 2013, Applied had $250 million in total unrecognized compensation expense, net of estimated forfeitures, related to grants of share-based awards and shares issued under Applied’s ESPP, which will be recognized over a weighted average period of 2.4 years. At October 27, 2013, there were 183 million shares available for grants of share-based awards under the Employee Stock Incentive Plan, and an additional 40 million shares available for issuance under the ESPP.

Stock Options

Applied grants options to purchase, at future dates, shares of its common stock to employees and consultants. The exercise price of each stock option equals the fair market value of Applied common stock on the date of grant. Options typically vest over three to four years, subject to the grantee’s continued service with Applied through the scheduled vesting date, and expire no later than seven years from the grant date. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option pricing model. This model was developed for use in estimating the value of publicly traded options that have no vesting restrictions and are fully transferable. Applied’s employee stock options have characteristics significantly different from those of publicly traded options. The weighted average assumptions used in the model for the stock options granted and assumed are outlined below:



	2013		2012
Stock Options:
Dividend yield	2.7	%	2.6	%
Expected volatility	29.5	%	38.7	%
Risk-free interest rate	1.44	%	0.52	%
Expected life (in years)	4.5		3.3

Information with respect to stock options is as follows:



	2013		2012		2011
	(In millions)
Aggregate intrinsic value of outstanding stock options	$	49	$	43	$	58
Total intrinsic value of stock options exercised	$	63	$	21	$	23
Total fair value of stock options vested	$	4	$	41	$	17
Cash received from stock option exercises	$	88	$	33	$	41
Actual tax benefit realized from options exercised	$	19	$	7	$	11

Stock option activity for fiscal 2013, 2012 and 2011 was as follows:



	2013				2012				2011
	Shares		Weighted Average Exercise Price		Shares		Weighted Average Exercise Price		Shares		Weighted Average Exercise Price

	(In millions, except per share amounts)
Outstanding, beginning of year	21		$	10.53	30		$	13.05	51		$	15.04
Granted and assumed in Varian acquisition	1		$	15.06	5		$	4.85	—		$	—
Exercised	(11	)	$	8.16	(4	)	$	7.30	(5	)	$	9.21
Canceled and forfeited	(5	)	$	17.62	(10	)	$	16.76	(16	)	$	20.28
Outstanding, end of year	6		$	9.12	21		$	10.53	30		$	13.05
Exercisable, end of year	5		$	7.90	20		$	10.71	24		$	14.23

The following table summarizes information with respect to options outstanding and exercisable at October 27, 2013:



	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number of Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Life	Aggregate Intrinsic Value		Number of Shares	Weighted Average Exercise Price		Aggregate Intrinsic Value
	(In millions)			(In years)	(In millions)		(In millions)			(In millions)
$3.09 — $9.99	5	$	7.23	1.47	$	46	4	$	7.26	$	44
$10.00 — $19.99	1	$	15.00	5.55	3		1	$	14.77	1
	6	$	9.12	2.38	$	49	5	$	7.90	$	45
Options exercisable and expected to become exercisable	6	$	8.95	2.25	$	49

Option prices at the lower end of the range were principally attributable to stock options assumed in connection with the Varian acquisition in fiscal year 2012.

Restricted Stock Units, Restricted Stock, Performance Shares and Performance Units

Restricted stock units are converted into shares of Applied common stock upon vesting on a one-for-one basis. Restricted stock has the same rights as other issued and outstanding shares of Applied common stock except these shares generally have no right to dividends and are held in escrow until the award vests. Performance shares and performance units are awards that result in a payment to a grantee in shares of Applied common stock on a one-for-one basis if performance goals and/or other vesting criteria established by the Human Resources and Compensation Committee of Applied's Board of Directors (the Committee) are achieved or the awards otherwise vest. Restricted stock units, restricted stock, performance shares and performance units typically vest over four years and vesting is usually subject to the grantee’s continued service with Applied and, in some cases, achievement of specified performance goals. The compensation expense related to the service-based awards is determined using the fair market value of Applied common stock on the date of the grant, and the compensation expense is recognized over the vesting period.

Restricted stock, performance shares and performance units granted to certain executive officers are also subject to the achievement of specified performance goals (performance-based awards). These performance-based awards become eligible to vest only if performance goals are achieved and then actually will vest only if the grantee remains employed by Applied through each applicable vesting date. These performance-based awards require the achievement of targeted levels of relative adjusted annual operating profit margin. For the fiscal 2013 and fiscal 2012 performance-based awards, additional shares become eligible for time-based vesting if Applied achieves certain levels of total shareholder return (TSR) relative to a peer group comprised of companies in the Standard & Poor's 500 Information Technology Index measured at the end of a two-year period.

In September 2013, the Committee approved the amendment of certain outstanding performance-based awards, so that applicable performance goals will be deemed satisfied at target levels effective as of either three days prior to the closing of the announced business combination between Applied and TEL, or the date the proposed business combination is terminated. The vesting of the awards will remain subject to time-based vesting. In addition, the Committee also approved the amendment of certain outstanding awards held by executive officers to provide that if the award is outstanding and subject solely to time-based vesting as of three trading days prior to the closing of the business combination agreement with TEL, vesting of the portion of the award that is otherwise scheduled to vest during calendar year 2014 will accelerate.

The fair value of these performance-based awards is estimated on the date of grant and assumes that the specified performance goals will be achieved. If the goals are achieved, these awards vest over a specified remaining service period of generally three or four years, provided that the grantee remains employed by Applied through each scheduled vesting date. If the performance goals are not met, no compensation expense is recognized and any previously recognized compensation expense is reversed. The expected cost of each award is reflected over the service period and is reduced for estimated forfeitures.

A summary of the performance-based awards approved by the Committee is presented below:



	Number of Performance-Based Awards Granted		Percent of Performance-Based Awards Earned as of October 27, 2013*
Fiscal Year Granted	Performance Shares/Performance Units	Shares of Restricted Stock
	(in millions)
2013	3	—	0%
2012	3	1	14%
2011	2	0.1	100%
2010	2	0.1	82%

___________________

* subject to additional time-based vesting requirements

A summary of the changes in restricted stock units, restricted stock, performance shares and performance units outstanding under Applied’s equity compensation plans during fiscal 2013, 2012 and 2011 are presented below:



	Shares		Weighted Average Grant Date Fair Value		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value

	(In millions, except per share amounts)
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 31, 2010	18		$	13.33	2.8 years	$	227
Granted	17		$	12.62
Vested	(5	)	$	14.64
Canceled	(2	)	$	13.11
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 30, 2011	28		$	12.64	2.8 years	$	345
Granted	19		$	10.61
Vested	(9	)	$	12.87
Canceled	(2	)	$	12.26
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 28, 2012	36		$	11.53	2.6 years	$	376
Granted	19		$	10.55
Vested	(11	)	$	11.44
Canceled	(6	)	$	11.28
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 27, 2013	38		$	11.11	2.4 years	$	662
Non-vested restricted stock units, restricted stock, performance shares and performance units expected to vest	34		$	10.93	2.4 years	$	594

At October 27, 2013, 2 million additional performance-based awards could be earned upon certain levels of achievement of Applied's TSR relative to a peer group at a future date.

The actual tax benefit realized for the tax deductions from vested restricted stock units totaled $42 million in fiscal 2013, $27 million in fiscal 2012 and $22 million in fiscal 2011.

Employee Stock Purchase Plans

Under the ESPP, substantially all employees may purchase Applied common stock through payroll deductions at a price equal to 85 percent of the lower of the fair market value of Applied common stock at the beginning or end of each 6-month purchase period, subject to certain limits. Based on the Black-Scholes option pricing model, the weighted average estimated fair value of purchase rights under the ESPP was $3.08 per share for the year ended October 27, 2013, $2.73 per share for the year ended October 28, 2012 and $3.03 per share for the year ended October 30, 2011. The number of shares issued under the ESPP during fiscal 2013, 2012 and 2011 was 7 million, 7 million and 6 million, respectively. At October 27, 2013, there were 40 million available for future issuance under the ESPP. Compensation expense is calculated using the fair value of the employees’ purchase rights under the Black-Scholes model. Underlying assumptions used in the model for fiscal 2013, 2012 and 2011 are outlined in the following table:



	2013		2012		2011
ESPP:
Dividend yield	2.80	%	3.01	%	2.53	%
Expected volatility	24.8	%	29.6	%	31.1	%
Risk-free interest rate	0.09	%	0.13	%	0.09	%
Expected life (in years)	0.5		0.5		0.5

Employee Benefit Plans

12 Months Ended

Oct. 27, 2013

Compensation and Retirement Disclosure [Abstract]

Employee Benefit Plans

Employee Bonus Plans

Applied has various employee bonus plans. A discretionary bonus plan provides for the distribution of a percentage of pre-tax income to Applied employees who are not participants in other performance-based incentive plans, up to a maximum percentage of eligible compensation. Other plans provide for bonuses to Applied’s executives and other key contributors based on the achievement of profitability and/or other specified performance criteria. Charges under these plans were $269 million for fiscal 2013, $271 million for fiscal 2012, and $319 million charges for fiscal 2011.

Employee Savings and Retirement Plan

Applied’s Employee Savings and Retirement Plan (the 401(k) Plan) is qualified under Sections 401(a) and (k) of the Internal Revenue Code (the Code). Effective as of the close of the stock market on December 31, 2012, the Varian-sponsored 401(k) plan was merged with and into the 401(k) Plan, with the 401(k) Plan being the surviving plan. Eligible employees may make salary deferral and catch-up contributions under the 401(k) Plan on a pre-tax basis and/or (effective as of the first payroll period beginning on or after December 22, 2012) on a Roth basis, subject to an annual dollar limit established by the Code.

Applied matches 100% of participant salary and/or Roth deferral contributions up to the first 3% of eligible contribution and then 50% of every dollar between 4% and 6% of eligible contribution. Applied does not make matching contributions on any catch-up contributions made by participants. Plan participants who were employed by Applied or any of its affiliates on or after January 1, 2010 became 100% vested in their Applied matching contribution account balances. Applied’s matching contributions under the 401(k) Plan were approximately $29 million, net of $1 million in forfeitures for fiscal 2013, $37 million for fiscal 2012 and $27 million for fiscal 2011.

Defined Benefit Pension Plans of Foreign Subsidiaries and Other Post-Retirement Benefits

Several of Applied’s foreign subsidiaries have defined benefit pension plans covering substantially all of their eligible employees. Benefits under these plans are typically based on years of service and final average compensation levels. The plans are managed in accordance with applicable local statutes and practices. Applied deposits funds for certain of these plans with insurance companies, pension trustees, government-managed accounts, and/or accrues the expense for the unfunded portion of the benefit obligation on its Consolidated Financial Statements. Applied’s practice is to fund the various pension plans in amounts sufficient to meet the minimum requirements as established by applicable local governmental oversight and taxing authorities. Depending on the design of the plan, local custom and market circumstances, the liabilities of a plan may exceed qualified plan assets. The differences between the aggregate projected benefit obligations and aggregate plan assets of these plans have been recorded as liabilities by Applied and are included in other liabilities and accrued expenses in the Consolidated Balance Sheets.

Applied also has a U.S. post-retirement plan that provides certain medical and vision benefits to eligible retirees who are at least age 55 and whose years of service plus their age equals at least 65 at their date of retirement. An eligible retiree also may elect coverage for an eligible spouse or domestic partner who is not eligible for Medicare. Coverage under the plan generally ends for both the retiree and spouse or domestic partner upon becoming eligible for Medicare. In addition, Applied also has a post-retirement benefit plan as a result of the acquisition of Varian. Applied’s liability under these post-retirement plans, which was included in other liabilities in the Consolidated Balance Sheets, was $34 million at October 27, 2013 and $33 million at October 28, 2012.

A summary of the changes in benefit obligations and plan assets, which includes post-retirement benefits, for fiscal 2013 and 2012 is presented below.



	2013			2012

	(In millions, except percentages)
Change in projected benefit obligation
Beginning projected benefit obligation	$	434		$	303
Service cost	20			16
Interest cost	15			14
Plan participants’ contributions	1			1
Actuarial (gain) loss	(16		)	96
Curtailments, settlements and special termination benefits	(8		)	(3		)
Foreign currency exchange rate changes	10			(4		)
Benefits paid	(10		)	(7		)
Plan amendments and business combinations	(1		)	18
Ending projected benefit obligation	$	445		$	434
Ending accumulated benefit obligation	$	409		$	395
Range of assumptions to determine benefit obligations
Discount rate	1.1% - 4.5%			1.3% - 4.7%
Rate of compensation increase	2.0% - 4.7%			2.0% - 8.0%
Change in plan assets
Beginning fair value of plan assets	$	214		$	183
Return on plan assets	18			14
Employer contributions	24			31
Plan participants’ contributions	1			1
Foreign currency exchange rate changes	8			(4		)
Divestitures, settlements and business combinations	(7		)	(4		)
Benefits paid	(10		)	(7		)
Ending fair value of plan assets	$	248		$	214
Funded status	$	(197	)	$	(220	)
Amounts recognized in the consolidated balance sheets
Noncurrent asset	$	9		$	5
Current liability	(4		)	(4		)
Noncurrent liability	(202		)	(221		)
Total	$	(197	)	$	(220	)
Estimated amortization from accumulated other comprehensive loss into net periodic benefit cost over the next fiscal year
Actuarial loss	$	4		$	6
Prior service cost (credit)	—			(1		)
Total	$	4		$	5
Amounts recognized in accumulated other comprehensive loss
Net actuarial loss	$	91		$	117
Prior service cost (credit)	2			(3		)
Total	$	93		$	114
Plans with projected benefit obligations in excess of plan assets
Projected benefit obligation	$	438		$	428
Fair value of plan assets	$	233		$	202
Plans with accumulated benefit obligations in excess of plan assets
Accumulated benefit obligation	$	269		$	389
Fair value of plan assets	$	99		$	202



	2013		2012
Plan assets — allocation
Equity securities	37	%	37	%
Debt securities	36	%	33	%
Insurance contracts	19	%	23	%
Commingled funds	5	%	5	%
Cash	3	%	2	%

The following table presents a summary of the ending fair value of the plan assets:



	October 27, 2013								October 28, 2012
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total

	(In millions)
Equity securities	$	92	$	—	$	—	$	92	$	79	$	—	$	—	$	79
Debt securities	90		—		—		90		70		—		—		70
Insurance contracts	—		—		47		47		—		—		49		49
Commingled funds	—		12		—		12		—		12		—		12
Cash	7		—		—		7		4		—		—		4
Total	$	189	$	12	$	47	$	248	$	153	$	12	$	49	$	214

The following table presents the activity in Level 3 instruments during fiscal 2013 and 2012:



	2013			2012

	(In millions)
Balance, beginning of year	$	49		$	48
Actual return on plan assets:
Relating to assets still held at reporting date	(1		)	1
Purchases, sales, settlements, net	(4		)	3
Currency impact	3			(3		)
Balance, end of year	$	47		$	49

Applied’s investment strategy for its defined benefit plans is to invest plan assets in a prudent manner, maintaining well-diversified portfolios with the long-term objective of meeting the obligations of the plans as they come due. Asset allocation decisions are typically made by plan fiduciaries with input from Applied’s international pension committee. Applied’s asset allocation strategy incorporates a sufficient equity exposure in order for the plans to benefit from the expected better long-term performance of equities relative to the plans’ liabilities. Applied retains investment managers, where appropriate, to manage the assets of the plans. Performance of investment managers is monitored by plan fiduciaries with the assistance of local investment consultants. The investment managers make investment decisions within the guidelines set forth by plan fiduciaries. Risk management practices include diversification across asset classes and investment styles, and periodic rebalancing toward target asset allocation ranges. Investment managers may use derivative instruments for efficient portfolio management purposes. Plan assets do not include any of Applied’s own equity or debt securities.

A summary of the components of net periodic benefit costs and the weighted average assumptions used for net periodic benefit cost and benefit obligation calculations for fiscal 2013, 2012 and 2011 is presented below.



	2013			2012			2011

	(In millions, except percentages)
Components of net periodic benefit cost
Service cost	$	20		$	16		$	15
Interest cost	15			14			14
Expected return on plan assets	(12		)	(11		)	(11		)
Amortization of actuarial loss and prior service credit	6			—			2
Settlement and curtailment loss (gain)	—			6			(2		)
Net periodic benefit cost	$	29		$	25		$	18
Weighted average assumptions
Discount rate	3.46		%	4.53		%	4.33		%
Expected long-term return on assets	5.38		%	5.91		%	6.39		%
Rate of compensation increase	3.07		%	3.09		%	3.42		%

Asset return assumptions are derived based on actuarial and statistical methodologies, from analysis of long-term historical data relevant to the country in which each plan is in effect and the investments applicable to the corresponding plan. The discount rate for each plan was derived by reference to appropriate benchmark yields on high quality corporate bonds, allowing for the approximate duration of both plan obligations and the relevant benchmark yields.

Future expected benefit payments for the pension plans and the post-retirement plan over the next ten fiscal years are as follows:



	Benefit Payments
	(In millions)
2014	$	14
2015	14
2016	15
2017	15
2018	17
2019-2023	98
	$	173

Company contributions to these plans for fiscal 2014 are expected to be approximately $18 million.

Executive Deferred Compensation Plans

Applied sponsors two unfunded deferred compensation plans, the Executive Deferred Compensation Plan (Predecessor EDCP) and the 2005 Executive Deferred Compensation Plan (2005 EDCP), under which certain employees may elect to defer a portion of their following year’s eligible earnings. The Predecessor EDCP was frozen as of December 31, 2004 such that no new deferrals could be made under the plan after that date and the plan would qualify for “grandfather” relief under Section 409A of the Code. The Predecessor EDCP participant accounts continue to be maintained under the plan and credited with deemed interest. The 2005 EDCP was implemented by Applied effective as of January 1, 2005 and is intended to comply with the requirements of Section 409A of the Code. In addition, Applied also sponsors a non-qualified deferred compensation plan as a result of the acquisition of Varian. Amounts payable, including accrued deemed interest, totaled $49 million at October 27, 2013 and $57 million at October 28, 2012, which were included in other liabilities in the Consolidated Balance Sheets. Under the Predecessor EDCP and 2005 EDCP, in the event of change of control (as defined under these plans), the distribution of all deferred balances would be required.

Income Taxes

12 Months Ended

Oct. 27, 2013

Income Tax Disclosure [Abstract]

Income Taxes

The components of income before income taxes for fiscal 2013, 2012 and 2011 were as follows:



	2013		2012			2011

	(In millions)
U.S.	$	194	$	381		$	1,257
Foreign	156		(65		)	1,121
	$	350	$	316		$	2,378

The components of the provision for income taxes for fiscal 2013, 2012 and 2011 were as follows:



	2013			2012			2011

	(In millions)
Current:
U.S.	$	3		$	74		$	290
Foreign	72			75			206
State	2			8			5
	77			157			501
Deferred:
U.S.	34			52			(95		)
Foreign	(19		)	(4		)	(23		)
State	2			2			69
	17			50			(49		)
	$	94		$	207		$	452

A reconciliation between the statutory U.S. federal income tax rate of 35 percent and Applied’s actual effective income tax rate for fiscal 2013, 2012 and 2011 is presented below:



	2013		2012		2011
Tax provision at U.S. statutory rate	35.0	%	35.0	%	35.0	%
Resolutions from prior years’ income tax filings	(4.7	)	(6.0	)	(6.9	)
Effect of foreign operations taxed at various rates	(19.4	)	(8.5	)	(8.1	)
State income taxes, net of federal benefit	0.8		2.0		1.6
Research and other tax credits	(5.4	)	(1.0	)	(1.2	)
Production benefit	(1.0	)	(8.0	)	(0.8	)
Goodwill impairment	22.5		47.0		—
Share-based compensation	2.2		4.0		0.4
Other	(3.1	)	1.0		(1.0	)
	26.9	%	65.5	%	19.0	%

The effective tax rate for fiscal 2013 was significantly lower than the rate for fiscal 2012 due primarily to the geographic composition of Applied's pre-tax income, lower nondeductible goodwill impairment charges, and reinstatement of the U.S. federal research and development tax credit retroactive to its expiration in December 2012. These reductions were partially offset by a lower benefit in fiscal 2013 from the U.S. federal domestic production deduction, which was limited by U.S. federal taxable income. The effective income tax rate for fiscal 2012 was significantly higher than the rate for fiscal 2011 due primarily to the nondeductible goodwill impairment charges in fiscal 2012 and the fiscal 2011 benefit from the December 2010 reinstatement of the U.S. R&D tax credit retroactive to its expiration in December 2009.

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The components of deferred income tax assets and liabilities are as follows:



	October 27, 2013			October 28, 2012

	(In millions)
Deferred tax assets:
Inventory reserves and basis difference	$	134		$	124
Installation and warranty reserves	14			27
Accrued liabilities	201			211
Restructuring reserves	5			23
Deferred revenue	27			36
Tax credits and net operating losses	182			111
Deferred compensation	33			41
Share-based compensation	60			51
Gross deferred tax assets	656			624
Valuation allowance	(116		)	(46		)
Total deferred tax assets	540			578
Deferred tax liabilities:
Fixed assets	(54		)	(71		)
Intangible assets	(94		)	(178		)
Undistributed foreign earnings	(75		)	(92		)
Other	(14		)	(18		)
Total gross deferred tax liabilities	(237		)	(359		)
Net deferred tax assets	$	303		$	219

The following table presents the breakdown between current and non-current net deferred tax assets and liabilities:



	October 27, 2013			October 28, 2012

	(In millions)
Current deferred tax asset	$	323		$	369
Non-current deferred tax asset	53			51
Current deferred tax liability	(2		)	(1		)
Non-current deferred tax liability	(71		)	(200		)
	$	303		$	219

Current deferred tax liabilities are included in accounts payable and accrued expenses on the Consolidated Balance Sheets and non-current deferred tax liabilities are included in other liabilities on the Consolidated Balance Sheets.

A valuation allowance is recorded to reflect the estimated amount of deferred tax assets that may not be realized. A valuation allowance was established against state research and development credit carryforwards and non-U.S. net operating loss carryforwards where it is believed that it is not more likely than not that the carryforwards will be realized.

Applied has been granted tax holidays for certain of its subsidiaries in Singapore, China and Israel. The tax benefit arising from these tax holidays was $15 million for 2013 ($0.08 per diluted share). The tax holidays expire at various times through 2026, excluding potential renewals, and are subject to certain conditions with which the Company expects to comply.

For fiscal 2013, U.S. income taxes have not been provided for approximately $2.2 billion of cumulative undistributed earnings of several non-U.S. subsidiaries. Applied intends to reinvest these earnings indefinitely in operations outside of the U.S. If these earnings were distributed to the United States in the form of dividends or otherwise, or if the shares of the relevant foreign subsidiaries were sold or otherwise transferred, Applied would be subject to additional U.S. income taxes (subject to an adjustment for foreign tax credits) and foreign withholding taxes. Determination of the amount of unrecognized deferred income tax liability related to these earnings is not practicable.

At October 27, 2013, Applied has state research and development tax credit carryforwards of $109 million, including $89 million of credits that are carried over until exhausted and $19 million which are carried over for 15 years and begin to expire in fiscal 2021. Applied has a $51 million federal foreign tax credit carryforward which may be carried over 10 years and expires in fiscal 2022. Applied has a $19 million federal research and development tax credit carryover which may be carried over for 20 years and begins to expire in fiscal 2032. Applied has a net operating loss carryover in state jurisdictions of $65 million which begin to expire in fiscal 2018. Management believes it is more likely than not that all loss and tax credit carryovers at October 27, 2013, net of valuation allowance, will be utilized in future periods.

Applied’s income taxes payable have been reduced by the tax benefits associated with employee stock option transactions. These benefits, credited directly to stockholders’ equity with a corresponding reduction to taxes payable, amounted to $11 million for fiscal 2013, $2 million for fiscal 2012, and $4 million for fiscal 2011.

Applied maintains liabilities for uncertain tax positions. These liabilities involve considerable judgment and estimation and are continuously monitored by management based on the best information available. A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows:



	2013			2012

	(In millions)
Beginning balance of gross unrecognized tax benefits	$	174		$	59
Uncertainties arising from the acquisition of Varian	—			70
Settlements with tax authorities	(15		)	(15		)
Lapses of statutes of limitation	(15		)	—
Increases in tax positions for current years	48			42
Increases in tax positions for prior years	2			51
Decreases in tax positions for prior years	—			(33		)
Ending balance of gross unrecognized tax benefits	$	194		$	174

Increases or decreases to interest and penalties on uncertain tax positions were included in the provision for income taxes in the Consolidated Statement of Operations. Interest and penalties related to uncertain tax positions were $7 million as of October 27, 2013 and $7 million as of October 28, 2012 and were classified as a non-current liability in the Consolidated Balance Sheets.

In fiscal 2013, Applied received a refund of $31 million, including interest, as a result of settling an Internal Revenue Service (IRS) audit of fiscal 2008 and fiscal 2009. This resulted in the recognition of a tax benefit of $12 million in the Consolidated Statement of Operations. In fiscal 2013, Applied paid $14 million to the IRS as part of an ongoing audit of the Varian subsidiary for fiscal 2010 through fiscal 2012. No tax expense or benefit was recognized. In fiscal 2011, Applied received a refund of $276 million, including interest, as a result of settling an IRS audit for fiscal years 2006 and 2007. This resulted in the recognition of a tax benefit of $176 million in the Consolidated Statement of Operations for fiscal 2011, which was net of previously recognized tax benefits.

A number of Applied’s tax returns remain subject to examination by taxing authorities. These include U.S. federal returns for fiscal 2010 and later years, California returns for fiscal 2009 and later years, tax returns for certain other states for fiscal 2009 and later years, and tax returns in certain jurisdictions outside of the United States for fiscal 2007 and later years.

The timing of the resolution of income tax examinations, as well as the amounts and timing of various tax payments that may be part of the settlement process, is highly uncertain. This could cause large fluctuations in the balance sheet classification of current assets and non-current assets and liabilities. Applied continues to have ongoing negotiations with various taxing authorities throughout the year. During the next twelve months, it is reasonably possible that audit resolutions and the expiration of statutes of limitation could reduce our unrecognized tax benefits by up to $115 million.

Warranty, Guarantees and Contingencies

12 Months Ended

Oct. 27, 2013

Commitments and Contingencies Disclosure [Abstract]

Warranty, Guarantees and Contingencies

Leases

Applied leases some of its facilities and equipment under non-cancelable operating leases and has options to renew most leases, with rentals to be negotiated. Total rent expense was $36 million for fiscal 2013, $38 million for fiscal 2012, and $44 million for fiscal 2011.

As of October 27, 2013, future minimum lease payments are expected to be as follows:



	Lease Payments
	(In millions)
2014	$	28
2015	19
2016	13
2017	10
2018	7
Thereafter	10
	$	87

Warranty

Changes in the warranty reserves during fiscal 2013 and 2012 were as follows:



	2013			2012

	(In millions)
Beginning balance	$	119		$	168
Provisions for warranty	103			107
Consumption of reserves	(120		)	(156		)
Ending balance	$	102		$	119

Applied products are generally sold with a 12-month warranty period following installation. The provision for the estimated cost of warranty is recorded when revenue is recognized. Parts and labor are covered under the terms of the warranty agreement. The warranty provision is based on historical experience by product, configuration and geographic region. Quarterly warranty consumption is generally associated with sales that occurred during the preceding four quarters, and quarterly warranty provisions are generally related to the current quarter’s sales.

Guarantees

In the ordinary course of business, Applied provides standby letters of credit or other guarantee instruments to third parties as required for certain transactions initiated by either Applied or its subsidiaries. As of October 27, 2013, the maximum potential amount of future payments that Applied could be required to make under these guarantee agreements was approximately $41 million. Applied has not recorded any liability in connection with these guarantee agreements beyond that required to appropriately account for the underlying transaction being guaranteed. Applied does not believe, based on historical experience and information currently available, that it is probable that any amounts will be required to be paid under these guarantee agreements.

Applied also has agreements with various banks to facilitate subsidiary banking operations worldwide, including overdraft arrangements, issuance of bank guarantees, and letters of credit. As of October 27, 2013, Applied Materials Inc. has provided parent guarantees to banks for approximately $102 million to cover these arrangements.

Legal Matters

Korea Criminal Proceedings

In 2010, the Seoul Eastern District Court began hearings on indictments brought by the Seoul Prosecutor's Office for the Eastern District of Korea (the Prosecutor's Office) alleging that employees of several companies improperly received and used confidential information belonging to Samsung Electronics Co., Ltd. (Samsung), a major Applied customer based in Korea. The individuals charged included the former head of Applied Materials Korea (AMK), who at the time of the indictment was a vice president of Applied Materials, Inc., and certain other AMK employees. Neither Applied nor any of its subsidiaries was named as a party to the proceedings. Hearings on these matters concluded in November 2012 and the Court issued its decision on February 7, 2013. As part of the ruling, nine AMK employees (including the former head of AMK) were acquitted of all charges, while one AMK employee was found guilty on some of the charges and received a suspended jail sentence. The Prosecutor's Office and various individuals filed notices of appeal, and hearings are underway in the appeals. The current round of hearings in the appeals is scheduled to conclude at the end of December 2013, with final briefing and a ruling expected early in 2014.

Other Matters

From time to time, Applied receives notification from third parties, including customers and suppliers, seeking indemnification, litigation support, payment of money or other actions by Applied in connection with claims made against them. In addition, from time to time, Applied receives notification from third parties claiming that Applied may be or is infringing or misusing their intellectual property or other rights. Applied also is subject to various other legal proceedings and claims, both asserted and unasserted, that arise in the ordinary course of business.

Although the outcome of the above-described matters, claims and proceedings cannot be predicted with certainty, Applied does not believe that any will have a material effect on its consolidated financial condition or results of operations.

Industry Segment Operations

12 Months Ended

Oct. 27, 2013

Segment Reporting [Abstract]

Industry Segment Operations

Applied’s four reportable segments are: Silicon Systems Group, Applied Global Services, Display, and Energy and Environmental Solutions. As defined under the accounting literature, Applied’s chief operating decision-maker has been identified as the President and Chief Executive Officer, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Segment information is presented based upon Applied’s management organization structure as of October 27, 2013 and the distinctive nature of each segment. Future changes to this internal financial structure may result in changes to Applied’s reportable segments.

Each reportable segment is separately managed and has separate financial results that are reviewed by Applied’s chief operating decision-maker. Each reportable segment contains closely related products that are unique to the particular segment. Segment operating income is determined based upon internal performance measures used by Applied’s chief operating decision-maker.

Applied derives the segment results directly from its internal management reporting system. The accounting policies Applied uses to derive reportable segment results are substantially the same as those used for external reporting purposes. Management measures the performance of each reportable segment based upon several metrics including orders, net sales and operating income. Management uses these results to evaluate the performance of, and to assign resources to, each of the reportable segments. Applied does not allocate to its reportable segments certain operating expenses that it manages separately at the corporate level, which include costs related to share-based compensation; certain management, finance, legal, human resources, and research, development and engineering functions provided at the corporate level; and unabsorbed information technology and occupancy. In addition, Applied does not allocate to its reportable segments restructuring and asset impairment charges and any associated adjustments related to restructuring actions, unless these actions pertain to a specific reportable segment. Segment operating income excludes interest income/expense and other financial charges and income taxes. Management does not consider the unallocated costs in measuring the performance of the reportable segments.

The Silicon Systems Group segment includes semiconductor capital equipment for etch, rapid thermal processing, deposition, chemical mechanical planarization, metrology and inspection, wafer packaging, and ion implantation.

The Applied Global Services segment includes technically differentiated products and services to improve operating efficiency, reduce operating costs and lessen the environmental impact of semiconductor, display and solar customers' factories. Applied Global Services’ products consist of spares, services, certain earlier generation products, remanufactured equipment, and products that have reached a particular stage in the product lifecycle. Customer demand for these products and services is fulfilled through a global distribution system with trained service engineers located in close proximity to customer sites.

The Display segment includes products for manufacturing LCDs, organic light-emitting diodes (OLEDs), and other display technologies for TVs, personal computers, tablets, smart phones, and other consumer-oriented devices.

The Energy and Environmental Solutions segment includes products for fabricating solar photovoltaic cells and modules, high throughput roll-to-roll deposition equipment for flexible electronics and other applications.

In November 2011, Applied completed its acquisition of Varian. Beginning in the first quarter of fiscal 2012, the acquired business is primarily included in the results for the Silicon Systems Group and Applied Global Services segments, with certain corporate functions included in corporate and unallocated costs.

With the acquisition of Varian, Applied acquired ion implantation technology for semiconductor as well as for c-Si solar cell manufacturing, which was recorded under the Silicon Systems Group segment in fiscal 2012. In fiscal 2013, Applied began marketing the solar implant products commercially through its Energy and Environmental Solutions segment. Accordingly, effective in the first quarter of fiscal 2013, Applied accounts for its solar implant products under the Energy and Environmental Solutions segment. The effect of the solar implant products was not material to the operations of either the Silicon Systems Group or Energy and Environmental Solutions segments.

Information for each reportable segment as of October 27, 2013, October 28, 2012 and October 30, 2011 and for the fiscal years then ended, is as follows:



	Net Sales		Operating Income (Loss)			Depreciation/ Amortization		Capital Expenditures		Segment Assets

	(In millions)
2013:
Silicon Systems Group	$	4,775	$	876		$	260	$	118	$	5,525
Applied Global Services	2,023		436			13		7		1,958
Display	538		74			8		6		293
Energy and Environmental Solutions	173		(433		)	22		1		183
Total Segment	$	7,509	$	953		$	303	$	132	$	7,959
2012:
Silicon Systems Group	$	5,536	$	1,243		$	256	$	71	$	5,106
Applied Global Services	2,285		502			17		8		2,035
Display	473		25			8		1		278
Energy and Environmental Solutions	425		(668		)	38		6		513
Total Segment	$	8,719	$	1,102		$	319	$	86	$	7,932
2011:
Silicon Systems Group	$	5,415	$	1,764		$	52	$	59	$	2,036
Applied Global Services	2,413		482			13		7		1,337
Display	699		147			7		31		459
Energy and Environmental Solutions	1,990		453			34		16		1,438
Total Segment	$	10,517	$	2,846		$	106	$	113	$	5,270

Operating results for fiscal 2013, 2012 and 2011 included restructuring charges and asset impairments as discussed in detail in Note 11, Restructuring Charges and Asset Impairments.

Reconciliations of segment operating results to Applied consolidated totals for fiscal 2013, 2012 and 2011 are as follows:



	2013			2012			2011

	(In millions)
Total segment operating income	$	953		$	1,102		$	2,846
Corporate and unallocated costs	(490		)	(580		)	(496		)
Restructuring charges and asset impairments	(35		)	(111		)	21
Gain on sale of facility	4			—			27
Income from operations	$	432		$	411		$	2,398

Corporate and unallocated costs for fiscal 2013 and fiscal 2012 included deal costs and other acquisition-related costs of $17 million and $45 million, respectively.

Reconciliations of depreciation and amortization expense to Applied consolidated totals for fiscal 2013, 2012 and 2011 are as follows:



	2013		2012		2011

	(In millions)
Total segment depreciation and amortization	$	303	$	319	$	106
Depreciation on shared facilities and information technology assets	107		103		140
Consolidated depreciation and amortization	$	410	$	422	$	246

Reconciliations of capital expenditures to Applied consolidated totals for fiscal 2013, 2012 and 2011 are as follows:



	2013		2012		2011

	(In millions)
Total segment capital expenditures	$	132	$	86	$	113
Shared facilities and information technology assets	65		76		96
Consolidated capital expenditures	$	197	$	162	$	209

Reconciliations of segment assets to Applied consolidated totals as of October 27, 2013, and October 28, 2012 are as follows:



	October 27, 2013			October 28, 2012

	(In millions)
Total segment assets	$	7,959		$	7,932
Cash and investments	2,896			2,992
Allowance for bad debts	(74		)	(87		)
Deferred income taxes	376			420
Other current assets	203			98
Common property, plant and equipment	541			588
Other assets	142			159
Consolidated total assets	$	12,043		$	12,102

For geographical reporting, revenue by geographic location is determined by the location of customers’ facilities to which products were shipped. Long-lived assets consist primarily of property, plant and equipment and equity-method investments, and are attributed to the geographic location in which they are located. Net sales and long-lived assets by geographic region were as follows:



	Net Sales		Long-lived Assets

	(In millions)
2013:
United States	$	1,473	$	620
Taiwan	2,640		37
China	787		65
Korea	924		8
Japan	685		4
Europe	680		99
Southeast Asia	320		81
Total outside United States	6,036		294
Consolidated total	$	7,509	$	914
2012:
United States	$	1,749	$	666
Taiwan	2,411		36
China	783		74
Korea	1,897		9
Japan	704		6
Europe	863		110
Southeast Asia	312		87
Total outside United States	6,970		322
Consolidated total	$	8,719	$	988
2011:
United States	$	1,963	$	623
Taiwan	2,093		33
China	2,574		81
Korea	1,263		8
Japan	912		7
Europe	1,120		128
Southeast Asia	592		71
Total outside United States	8,554		328
Consolidated total	$	10,517	$	951

The following companies accounted for at least 10 percent of Applied’s net sales in fiscal 2013, 2012, and/or 2011, which were for products in multiple reportable segments.



	2013		2012		2011
Taiwan Semiconductor Manufacturing Company Limited	27	%	16	%	10	%
Samsung Electronics Co., Ltd.	13	%	20	%	12	%
Intel Corporation	*		*		10	%

_____________________________


*	Less than 10%.

- 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

Unaudited Quarterly Consolidated Financial Data

12 Months Ended

Oct. 27, 2013

Quarterly Financial Information Disclosure [Abstract]

Unaudited Quarterly Consolidated Financial Data



	Fiscal Quarter
	First		Second			Third		Fourth			Fiscal Year

	(In millions, except per share amounts)
2013:
Net sales	$	1,573	$	1,973		$	1,975	$	1,988		$	7,509
Gross margin	$	582	$	808		$	806	$	795		$	2,991
Net income (loss)	$	34	$	(129	)	$	168	$	183		$	256
Earnings (loss) per diluted share	$	0.03	$	(0.11	)	$	0.14	$	0.15		$	0.21
2012:
Net sales	$	2,189	$	2,541		$	2,343	$	1,646		$	8,719
Gross margin	$	786	$	1,011		$	930	$	586		$	3,313
Net income (loss)	$	117	$	289		$	218	$	(515	)	$	109
Earnings (loss) per diluted share	$	0.09	$	0.22		$	0.17	$	(0.42	)	$	0.09

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Oct. 27, 2013

Accounting Policies [Abstract]

Principles of Consolidation and Basis of Presentation

The consolidated financial statements include the accounts of Applied Materials, Inc. and its subsidiaries (Applied or the Company) after elimination of intercompany balances and transactions. All references to a fiscal year apply to Applied’s fiscal year which ends on the last Sunday in October. Fiscal 2013, 2012 and 2011 contained 52 weeks each. Each fiscal quarter of 2013, 2012 and 2011 contained 13 weeks.

In November 2011, Applied completed its acquisition of Varian Semiconductor Equipment Associates, Inc. (Varian). Beginning in the first quarter of fiscal 2012, the acquired business is included in Applied's consolidated results of operations and the results of the Silicon Systems Group and Applied Global Services segments.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make judgments, estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ materially from those estimates. On an ongoing basis, Applied evaluates its estimates, including those related to accounts receivable and sales allowances, fair values of financial instruments, inventories, intangible assets and goodwill, useful lives of intangible assets and property and equipment, fair values of share-based awards, and income taxes, among others. Applied bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities.

Cash Equivalents

All highly-liquid investments with a remaining maturity of three months or less at the time of purchase are considered to be cash equivalents. Cash equivalents consist primarily of investments in institutional money market funds.

Investments

All of Applied’s investments, except equity investments held in privately-held companies, are classified as available-for-sale at the respective balance sheet dates. Investments classified as available-for-sale are recorded at fair value based upon quoted market prices, and any temporary difference between the cost and fair value of an investment is presented as a separate component of accumulated other comprehensive income (loss). The specific identification method is used to determine the gains and losses on investments. Interest earned on cash and investments, as well as realized gains and losses on sale of securities, are included in interest income in the accompanying Consolidated Statements of Operations.

Applied regularly reviews its investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether an unrealized loss was considered to be temporary, or other-than-temporary and therefore impaired, include: the length of time and extent to which fair value has been lower than the cost basis; the financial condition, credit quality and near-term prospects of the investee; and whether it is more likely than not that Applied will be required to sell the security prior to recovery. Generally, the contractual terms of investments in marketable securities do not permit settlement at prices less than the amortized cost of the investments.

Allowances for Doubtful Accounts

Allowance for Doubtful Accounts

Applied maintains an allowance for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. This allowance is based on historical experience, credit evaluations, specific customer collection history and any customer-specific issues Applied has identified. Changes in circumstances, such as an unexpected material adverse change in a major customer’s ability to meet its financial obligation to Applied or its payment trends, may require Applied to further adjust its estimates of the recoverability of amounts due to Applied.

Inventories

Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out (FIFO) basis. Applied adjusts inventory carrying value for estimated obsolescence equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. Applied fully reserves for inventories and noncancelable purchase orders for inventory deemed obsolete. Applied performs periodic reviews of inventory items to identify excess inventories on hand by comparing on-hand balances to anticipated usage using recent historical activity as well as anticipated or forecasted demand. If estimates of customer demand diminish further or market conditions become less favorable than those projected by Applied, additional inventory adjustments may be required.

Property, Plant and Equipment

Property, plant and equipment is stated at cost. Depreciation is provided over the estimated useful lives of the assets using the straight-line method. Estimated useful lives for financial reporting purposes are as follows: buildings and improvements, 3 to 30 years; demonstration and manufacturing equipment, 3 to 5 years; software, 3 to 5 years; and furniture, fixtures and other equipment, 3 to 15 years. Land improvements are amortized over the shorter of 15 years or the estimated useful life. Leasehold improvements are amortized over the shorter of five years or the lease term.

Intangible Assets

Goodwill and indefinite-lived assets are not amortized, but are reviewed for impairment annually during the fourth quarter of each fiscal year and whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Purchased technology and other intangible assets are presented at cost, net of accumulated amortization, and are amortized over their estimated useful lives of 1 to 15 years using the straight-line method.

Long-Lived Assets

Applied reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets may not be recoverable. Applied assesses these assets for impairment based on estimated future cash flows from these assets.

Research, Development and Engineering Costs

Research, development and engineering costs are expensed as incurred.

Sales and Value Added Taxes

Taxes collected from customers and remitted to governmental authorities are presented on a net basis in the accompanying Consolidated Statements of Operations.

Warranty

Applied provides for the estimated cost of warranty when revenue is recognized. Estimated warranty costs are determined by analyzing specific product, current and historical configuration statistics and regional warranty support costs. Applied's warranty obligation is affected by product and component failure rates, material usage and labor costs incurred in correcting product failures during the warranty period. If actual warranty costs differ substantially from Applied's estimates, revisions to the estimated warranty liability would be required.

Income Taxes

Income tax expense is based on pretax earnings. Deferred tax assets and liabilities are recognized for the expected tax consequences of temporary differences between the book and tax bases of recorded assets and liabilities, net operating losses and tax credit carryforwards.

Restructuring

Revenue Recognition

Applied recognizes revenue when all four revenue recognition criteria have been met: persuasive evidence of an arrangement exists; delivery has occurred or services have been rendered; seller’s price to buyer is fixed or determinable; and collectability is probable. Applied’s shipping terms are customarily FOB Applied shipping point or equivalent terms. Applied’s revenue recognition policy generally results in revenue recognition at the following points: (1) for all transactions where legal title passes to the customer upon shipment or delivery, Applied recognizes revenue upon passage of title for all products that have been demonstrated to meet product specifications prior to shipment; the portion of revenue associated with certain installation-related tasks is deferred, and that revenue is recognized upon completion of the installation-related tasks; (2) for products that have not been demonstrated to meet product specifications prior to shipment, revenue is recognized at customer technical acceptance; (3) for transactions where legal title does not pass at shipment or delivery, revenue is recognized when legal title passes to the customer, which is generally at customer technical acceptance; and (4) for arrangements containing multiple elements, the revenue relating to the undelivered elements is deferred using the relative selling price method utilizing estimated sales prices until delivery of the deferred elements. Applied limits the amount of revenue recognition for delivered elements to the amount that is not contingent on the future delivery of products or services, future performance obligations or subject to customer-specified return or adjustment. In cases where Applied has sold products that have been demonstrated to meet product specifications prior to shipment, Applied believes that at the time of delivery, it has an enforceable claim to amounts recognized as revenue. Spare parts revenue is generally recognized upon shipment, and services revenue is generally recognized over the period that the services are provided.

When a sales arrangement contains multiple elements, such as hardware and services and/or software products, Applied allocates revenue to each element based on a selling price hierarchy. The selling price for a deliverable is based on its vendor specific objective evidence (VSOE) if available, third party evidence (TPE) if VSOE is not available, or estimated selling price (ESP) if neither VSOE nor TPE is available. Applied generally utilizes the ESP due to the nature of its products. In multiple element arrangements where more-than-incidental software deliverables are included, revenue is allocated to each separate unit of accounting for each of the non-software deliverables and to the software deliverables as a group using the relative selling prices of each of the deliverables in the arrangement based on the aforementioned selling price hierarchy. If the arrangement contains more than one software deliverable, the arrangement consideration allocated to the software deliverables as a group is then allocated to each software deliverable using the guidance for recognizing software revenue.

Derivative Financial Instruments

Applied uses financial instruments, such as forward exchange and currency option contracts, to hedge a portion of, but not all, existing and anticipated foreign currency denominated transactions typically expected to occur within 24 months. The terms of currency instruments used for hedging purposes are generally consistent with the timing of the transactions being hedged. The purpose of Applied’s foreign currency management is to mitigate the effect of exchange rate fluctuations on certain foreign currency denominated revenues, costs and eventual cash flows. All of Applied’s derivative financial instruments are recorded at fair value based upon quoted market prices for comparable instruments. For derivative instruments designated and qualifying as cash flow hedges of anticipated foreign currency denominated transactions, the effective portion of the gain or loss on these hedges is reported as a component of accumulated other comprehensive income (loss) in stockholders’ equity, and is reclassified into earnings when the hedged transaction affects earnings. If the transaction being hedged fails to occur, or if a portion of any derivative is ineffective, the gain or loss on the associated financial instrument is recorded promptly in earnings. For derivative instruments used to hedge existing foreign currency denominated assets or liabilities, the gain or loss on these hedges is recorded promptly in earnings to offset the changes in the fair value of the assets or liabilities being hedged. Applied does not use derivative financial instruments for trading or speculative purposes.

Derivative Financial Instruments

Foreign Currency Translation

Foreign Currencies

As of October 27, 2013, primarily all of Applied’s subsidiaries use the United States dollar as their functional currency. Accordingly, assets and liabilities of these subsidiaries are remeasured using exchange rates in effect at the end of the period, except for non-monetary assets, such as inventories and property, plant and equipment, which are remeasured using historical exchange rates. Foreign currency-denominated revenues and costs are remeasured using average exchange rates for the period, except for costs related to those balance sheet items that are remeasured using historical exchange rates. The resulting remeasurement gains and losses are included in general and administrative expenses in the Consolidated Statements of Operations as incurred.

Concentrations of Credit Risk

Financial instruments that potentially subject Applied to significant concentrations of credit risk consist principally of cash equivalents, investments, trade accounts receivable and derivative financial instruments used in hedging activities. Applied invests in a variety of financial instruments, such as, but not limited to, certificates of deposit, corporate and municipal bonds, United States Treasury and agency securities, and asset-backed and mortgage-backed securities, and, by policy, limits the amount of credit exposure with any one financial institution or commercial issuer. Applied performs ongoing credit evaluations of its customers’ financial condition and generally requires no collateral to secure accounts receivable. Applied maintains an allowance reserve for potentially uncollectible accounts receivable based on its assessment of the collectability of accounts receivable. Applied regularly reviews the allowance by considering factors such as historical experience, credit quality, age of the accounts receivable balances, and current economic conditions that may affect a customer’s ability to pay. In addition, Applied utilizes letters of credit to mitigate credit risk when considered appropriate. Applied is exposed to credit-related losses in the event of nonperformance by counterparties to derivative financial instruments, but does not expect any counterparties to fail to meet their obligations. In some instances, Applied has entered into security arrangements which require the counterparties to post collateral to further mitigate credit exposure.

Recent Accounting Pronouncements

In July 2013, the Financial Accounting Standards Board (FASB) issued authoritative guidance that will require an unrecognized tax benefit to be presented as a reduction of a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward, with certain exceptions. The authoritative guidance becomes effective for Applied in the first quarter of fiscal 2015, with early adoption permitted. The guidance is not expected to have an impact on Applied's financial position or results of operations.

In February 2013, the FASB issued authoritative guidance that will require a public entity to present in its annual and interim financial statements information about reclassification adjustments from accumulated other comprehensive income in a single note or on the face of the financial statements. The authoritative guidance becomes effective for Applied in the first quarter of fiscal 2014, with early adoption permitted, and is not expected to have an impact on Applied's financial position or results of operations.

Fair Value Measurements

Fair Value Hierarchy


•	Level 1 — Quoted prices in active markets for identical assets or liabilities;


•	Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and


•	Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Cost Method Investments

Goodwill and Purchased Intangible Assets

Finite-Lived Purchased Intangible Assets

Applied amortizes purchased intangible assets with finite lives using the straight-line method over the estimated economic lives of the assets, ranging from 1 to 15 years.

Earnings Per Share (Tables)

12 Months Ended

Oct. 27, 2013

Earnings Per Share [Abstract]

Elements used in computing both basic and diluted net earnings per share



	2013		2012		2011

	(In millions, except per share amounts)
Numerator:
Net income	$	256	$	109	$	1,926
Denominator:
Weighted average common shares outstanding	1,202		1,266		1,319
Effect of dilutive stock options, restricted stock units and employee stock purchase plan shares	17		11		11
Denominator for diluted earnings per share	1,219		1,277		1,330
Basic earnings per share	$	0.21	$	0.09	$	1.46
Diluted earnings per share	$	0.21	$	0.09	$	1.45
Potentially dilutive securities	2		9		16

Cash, Cash Equivalents and Investments (Tables)

12 Months Ended

Oct. 27, 2013

Cash and Cash Equivalents [Abstract]

Summary of cash, cash equivalents and investments

The following tables summarize Applied’s cash, cash equivalents and investments by security type:



October 27, 2013	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

	(In millions)
Cash	$	611	$	—	$	—	$	611
Cash equivalents:
Money market funds	1,095		—		—		1,095
Municipal securities	5		—		—		5
Total Cash equivalents	1,100		—		—		1,100
Total Cash and Cash equivalents	$	1,711	$	—	$	—	$	1,711
Short-term and long-term investments:
U.S. Treasury and agency securities	$	170	$	—	$	—	$	170
Non-U.S. government securities*	11		—		—		11
Municipal securities	379		2		—		381
Commercial paper, corporate bonds and medium-term notes	218		2		1		219
Asset-backed and mortgage-backed securities	268		2		2		268
Total fixed income securities	1,046		6		3		1,049
Publicly traded equity securities	27		33		—		60
Equity investments in privately-held companies	76		—		—		76
Total short-term and long-term investments	$	1,149	$	39	$	3	$	1,185
Total Cash, Cash equivalents and Investments	$	2,860	$	39	$	3	$	2,896

_________________________

* Includes agency and corporate debt securities guaranteed by non-U.S. governments, which consist of Germany, Canada and Australia.



October 28, 2012	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

	(In millions)
Cash	$	876	$	—	$	—	$	876
Cash equivalents:
Money market funds	483		—		—		483
Municipal securities	33		—		—		33
Total Cash equivalents	516		—		—		516
Total Cash and Cash equivalents	$	1,392	$	—	$	—	$	1,392
Short-term and long-term investments:
U.S. Treasury and agency securities	$	373	$	1	$	—	$	374
Non-U.S. government securities	29		—		—		29
Municipal securities	396		2		—		398
Commercial paper, corporate bonds and medium-term notes	381		3		—		384
Asset-backed and mortgage-backed securities	294		4		—		298
Total fixed income securities	1,473		10		—		1,483
Publicly traded equity securities	32		15		—		47
Equity investments in privately-held companies	70		—		—		70
Total short-term and long-term investments	$	1,575	$	25	$	—	$	1,600
Total Cash, Cash equivalents and Investments	$	2,967	$	25	$	—	$	2,992

Contractual maturities of investments

The following table summarizes the contractual maturities of Applied’s investments at October 27, 2013:



	Cost		Estimated Fair Value

	(In millions)
Due in one year or less	$	149	$	149
Due after one through five years	629		632
No single maturity date**	371		404
	$	1,149	$	1,185

_________________________

** Securities with no single maturity date include publicly-traded and privately-held equity securities, and asset-backed and mortgage-backed securities.

Schedule of gross realized gains and losses on sales of investments

Gross realized gains and losses on sales of investments during fiscal 2013, 2012, and 2011 were as follows:



	2013		2012		2011

	(In millions)
Gross realized gains	$	7	$	3	$	20
Gross realized losses	$	2	$	3	$	4

Fair Value Measurements (Tables)

12 Months Ended

Oct. 27, 2013

Fair Value Disclosures [Abstract]

Financial assets/liabilities measured at fair value on a recurring basis

Financial assets (excluding cash balances) measured at fair value on a recurring basis are summarized below as of October 27, 2013 and October 28, 2012:



	October 27, 2013						October 28, 2012
	Level 1		Level 2		Total		Level 1		Level 2		Total

	(In millions)
Assets:
Money market funds	$	1,095	$	—	$	1,095	$	483	$	—	$	483
U.S. Treasury and agency securities	66		104		170		128		246		374
Non-U.S. government securities	—		11		11		—		29		29
Municipal securities	—		386		386		—		431		431
Commercial paper, corporate bonds and medium-term notes	—		219		219		—		384		384
Asset-backed and mortgage-backed securities	—		268		268		—		298		298
Publicly traded equity securities	60		—		60		47		—		47
Foreign exchange derivative assets	—		20		20		—		4		4
Total	$	1,221	$	1,008	$	2,229	$	658	$	1,392	$	2,050

Derivative Instruments and Hedging Activities Derivative Instruments and Hedging Activities (Tables)

12 Months Ended

Oct. 27, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Effect of derivative instruments on the consolidated statement of operations

The effects of derivative instruments on the Consolidated Statements of Operations for fiscal 2013 and 2012 were as follows:



		2013							2012
		Effective Portion				Ineffective Portion and Amount Excluded from Effectiveness Testing			Effective Portion					Ineffective Portion and Amount Excluded from Effectiveness Testing
	Location of Gain or (Loss) Reclassified from AOCI into Income	Gain or (Loss) Recognized in AOCI		Gain or (Loss) Reclassified from AOCI into Income		Gain or (Loss) Recognized in Income			Gain or (Loss) Recognized in AOCI		Gain or (Loss) Reclassified from AOCI into Income			Gain or (Loss) Recognized in Income
		(In millions)
Derivatives in Cash Flow Hedging Relationships
Foreign exchange contracts	Cost of products sold	$	29	$	21	$	(3	)	$	2	$	4		$	(1	)
Foreign exchange contracts	General and administrative	—		7		(1		)	—		(5		)	(1		)
Total		$	29	$	28	$	(4	)	$	2	$	(1	)	$	(2	)

Derivatives not designated as hedging instruments in statement of operations



		Amount of Gain or (Loss) Recognized in Income
	Location of Gain or (Loss) Recognized in Income	2013		2012
		(In millions)
Derivatives Not Designated as Hedging Instruments
Foreign exchange contracts	General and administrative	$	19	$	8
Total		$	19	$	8

Accounts Receivable, Net (Tables)

12 Months Ended

Oct. 27, 2013

Receivables [Abstract]

Sale and discounting of accounts receivable

Details of discounted letters of credit, factored accounts receivable and discounted promissory notes for fiscal years ended October 27, 2013, October 28, 2012 and October 30, 2011 were as follows:



	2013		2012		2011

	(In millions)
Discounted letters of credit	$	—	$	—	$	211
Factored accounts receivable and discounted promissory notes	—		93		80
Total	$	—	$	93	$	291

Changes in allowance for doubtful accounts

Changes in allowance for doubtful accounts were as follows:



	2013			2012		2011
	(In millions)
Beginning balance	$	87		$	73	$	74
Provision	—			14		5
Deductions¹	(13		)	—		(6		)
Ending balance	$	74		$	87	$	73

Balance Sheet Detail (Tables)

12 Months Ended

Oct. 27, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Inventories



	October 27, 2013		October 28, 2012

	(In millions)
Inventories
Customer service spares	$	274	$	312
Raw materials	325		331
Work-in-process	283		234
Finished goods	531		395
	$	1,413	$	1,272

Other current assets



	October 27, 2013		October 28, 2012

	(In millions)
Other Current Assets
Deferred income taxes, net	$	323	$	369
Prepaid expenses	135		101
Income taxes receivable	7		87
Other	240		116
	$	705	$	673

Property, plant and equipment, net



	Useful Life	October 27, 2013			October 28, 2012

	(In years)	(In millions)
Property, Plant and Equipment, Net
Land and improvements		$	167		$	169
Buildings and improvements	3-30	1,217			1,196
Demonstration and manufacturing equipment	3-5	792			760
Furniture, fixtures and other equipment	3-15	589			734
Construction in progress		52			58
Gross property, plant and equipment		2,817			2,917
Accumulated depreciation		(1,967		)	(2,007		)
		$	850		$	910

Accounts payable and accrued expenses



	October 27, 2013		October 28, 2012

	(In millions)
Accounts Payable and Accrued Expenses
Accounts payable	$	582	$	396
Compensation and employee benefits	417		426
Warranty	102		119
Income taxes payable	73		74
Dividends payable	121		108
Other accrued taxes	41		18
Interest payable	30		30
Restructuring reserve	39		133
Other	244		206
	$	1,649	$	1,510

Customer deposits and deferred revenue



	October 27, 2013		October 28, 2012

	(In millions)
Customer Deposits and Deferred Revenue
Customer deposits	$	175	$	143
Deferred revenue	619		612
	$	794	$	755

Other liabilities



	October 27, 2013		October 28, 2012

	(In millions)
Other Liabilities
Deferred income taxes	$	71	$	200
Income taxes payable	174		140
Defined benefit pension plan liability	193		216
Other	128		100
	$	566	$	656

Business Combinations (Tables) - Varian Semiconductor Equipment Associates Inc [Member]

12 Months Ended

Oct. 27, 2013

Business Combination [Line Items]

Allocation of assets acquired and liabilities assumed

The following table summarizes the allocation of the assets acquired and liabilities assumed at the acquisition date:



	Estimated Fair Values
	(In millions)
Fair value of net tangible assets acquired	$	892
Goodwill	2,604
Purchased intangible assets	1,365
Purchase price allocated	$	4,861

Intangible assets acquired as part of a business combination

The following table presents details of the purchase price allocated to purchased intangible assets of Varian at the acquisition date:



	Useful Life	Purchased Intangible Assets
	(In years)	(In millions)
Developed technology	1 - 7	$	987
Customer relationships	15	150
In-process technology		142
Patents and trademarks	10	69
Backlog	1	7
Covenant not to compete	2	10
Total purchased intangible assets		$	1,365

Business acquisition, pro forma information



	2012		2011
	(In millions, except per share amounts)
Net sales	$	8,719	$	11,734
Net income	$	167	$	1,862
Basic earnings per share	$	0.13	$	1.41
Diluted earnings per share	$	0.13	$	1.40

Goodwill, Purchased Technology and Other Intangible Assets (Tables)

12 Months Ended

Oct. 27, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Indefinite-lived intangible assets

Details of goodwill and other indefinite-lived intangible assets were as follows:



	October 27, 2013						October 28, 2012
	Goodwill		Other Intangible Assets		Total		Goodwill		Other Intangible Assets		Total

	(In millions)
Silicon Systems Group	$	2,151	$	142	$	2,293	$	2,151	$	142	$	2,293
Applied Global Services	1,027		—		1,027		1,027		—		1,027
Display	116		—		116		116		—		116
Energy and Environmental Solutions	—		—		—		224		—		224
Carrying amount	$	3,294	$	142	$	3,436	$	3,518	$	142	$	3,660

Summary of purchased technology and intangible assets

A summary of Applied's purchased technology and intangible assets is set forth below:



	October 27, 2013		October 28, 2012

	(In millions)
Purchased technology, net	$	748	$	945
Intangible assets - finite-lived, net	213		268
Intangible assets - indefinite-lived	142		142
Total	$	1,103	$	1,355

Finite-lived intangible assets

Details of finite-lived intangible assets were as follows:



	October 27, 2013									October 28, 2012
	Purchased Technology			Other Intangible Assets			Total			Purchased Technology			Other Intangible Assets			Total

	(In millions)
Gross carrying amount:
Silicon Systems Group	$	1,301		$	252		$	1,553		$	1,300		$	252		$	1,552
Applied Global Services	28			44			72			28			44			72
Display	110			33			143			110			33			143
Energy and Environmental Solutions	5			15			20			105			232			337
Gross carrying amount	$	1,444		$	344		$	1,788		$	1,543		$	561		$	2,104
Accumulated amortization:
Silicon Systems Group	$	(562	)	$	(58	)	$	(620	)	$	(411	)	$	(36	)	$	(447	)
Applied Global Services	(23		)	(42		)	(65		)	(22		)	(39		)	(61		)
Display	(110		)	(29		)	(139		)	(106		)	(27		)	(133		)
Energy and Environmental Solutions	(1		)	(2		)	(3		)	(59		)	(191		)	(250		)
Accumulated amortization	$	(696	)	$	(131	)	$	(827	)	$	(598	)	$	(293	)	$	(891	)
Carrying amount	$	748		$	213		$	961		$	945		$	268		$	1,213

Summary of amortization expense

Details of amortization expense by segment for fiscal 2013, 2012 and 2011 were as follows:



	2013		2012		2011

	(In millions)
Silicon Systems Group	$	172	$	183	$	13
Applied Global Services	5		9		7
Display	6		7		8
Energy and Environmental Solutions	16		25		24
Total	$	199	$	224	$	52

Schedule of categories amortization expense was charged to

For fiscal 2013, 2012 and 2011, amortization expense was charged to the following categories:



	2013		2012		2011

	(In millions)
Cost of products sold	$	166	$	185	$	36
Research, development and engineering	1		1		—
Marketing and selling	26		30		16
General and administrative	6		8		—
Total	$	199	$	224	$	52

Future estimated amortization expense

As of October 27, 2013, future estimated amortization expense is expected to be as follows:



	Amortization Expense
	(In millions)
2014	181
2015	175
2016	169
2017	165
2018	163
Thereafter	108
Total	$	961

Borrowing Facilities and Long-Term Debt (Tables)

12 Months Ended

Oct. 27, 2013

Debt Disclosure [Abstract]

Long Term Debt Outstanding

Long-term debt outstanding as of October 27, 2013 and October 28, 2012 was as follows:



	Principal Amount			Effective Interest Rate	Interest Pay Dates
	(In millions)
2.650% Senior Notes Due 2016	$	400		2.666%	June 15, December 15
7.125% Senior Notes Due 2017	200			7.190%	April 15, October 15
4.300% Senior Notes Due 2021	750			4.326%	June 15, December 15
5.850% Senior Notes Due 2041	600			5.879%	June 15, December 15
	1,950
Total unamortized discount	(4		)
Total long-term debt	$	1,946

- Definition

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

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6584090&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 22
-Article 5

+ Details

Restructuring Charges and Asset Impairments (Tables)

12 Months Ended

Oct. 27, 2013

Restructuring and Related Activities [Abstract]

Components of the restructuring and asset impairment

The following table summarizes major components of the restructuring and asset impairment charges during fiscal 2013, 2012 and 2011:



	2013			2012		2011

	(In millions)
2012 Global Restructuring Plan
Severance and other employee-related costs¹	$	39		$	106	$	—
2012 EES Restructuring Plan
Severance and other employee-related costs²	8			27		—
Contract cancellation and other costs	6			1		—
Asset impairments	12			20		—
2010 EES Restructuring Plan
Severance and other employee-related costs	—			—		(36		)
Asset impairments	—			—		—
2010 Global Restructuring Plan
Severance and other employee-related costs	—			—		(19		)
Others
Severance and other employee-related costs	2			14		(5		)
Contract cancellation and other costs	(4		)	—		—
Non-Restructuring Related
Asset impairments	—			—		30
	$	63		$	168	$	(30	)

_____________________________

¹Includes share-based compensation expense, with the offset recorded in additional paid-in capital.

²Includes post-retirement benefit expense, with the offset recorded in accumulated other comprehensive loss.

Restructuring and asset impairment charges by segment

Restructuring and asset impairment charges were recorded as follows:



	2013		2012		2011

	(In millions)
Silicon Systems Group	$	1	$	4	$	—
Applied Global Services	2		15		24
Energy and Environmental Solutions	25		38		(33		)
Corporate Unallocated	35		111		(21		)
Total	$	63	$	168	$	(30	)

Changes in restructuring reserves related to other restructuring plans and facilities realignment

Changes in restructuring reserves for fiscal 2013, 2012, and 2011 were as follows:



	2012 Global Restructuring Plan			2012 EES Restructuring Plan						2010 EES Restructuring Plan			2010 Global Restructuring Plan			Others
	Severance and Other Employee-Related Costs			Severance and Other Employee-Related Costs			Contract Cancellation and Other Costs			Severance and Other Employee-Related Costs			Severance and Other Employee-Related Costs			Severance and Other Employee-Related Costs			Contract Cancellation and Other Costs			Total

	(In millions)
Balance, October 31, 2010	$	—		$	—		$	—		$	42		$	51		$	6		$	5		$	104
Consumption of reserves	—			—			—			(5		)	(27		)	(1		)	—			(33		)
Adjustment of restructuring reserves	—			—			—			(36		)	(19		)	(5		)	—			(60		)
Balance, October 30, 2011	$	—		$	—		$	—		$	1		$	5		$	—		$	5		$	11
Provision for restructuring reserves	106			27			1			—			—			14			—			148
Consumption of reserves	—			(11		)	—			(1		)	(5		)	(9		)	—			(26		)
Balance, October 28, 2012	$	106		$	16		$	1		$	—		$	—		$	5		$	5		$	133
Provision for restructuring reserves	35			7			8			—			—			2			—			52
Consumption of reserves	(111		)	(18		)	(2		)	—			—			(5		)	—			(136		)
Adjustment of restructuring reserves¹	(4		)	—			(2		)	—			—			—			(4		)	(10		)
Balance, October 27, 2013	$	26		5			5			—			—			$	2		$	1		$	39

_______________________________

¹ Adjustment of restructuring reserves for 2012 Global Restructuring plan represents reclassification of post-retirement benefit liability to other liabilities.

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Tables)

12 Months Ended

Oct. 27, 2013

Equity [Abstract]

Components of accumulated other comprehensive loss, after-tax basis

Components of accumulated other comprehensive loss, on an after-tax basis, were as follows:



	October 27, 2013			October 28, 2012

	(In millions)
Unrealized gain on investments, net	$	25		$	16
Unrealized gain on derivative instruments qualifying as cash flow hedges	2			1
Pension liability	(72		)	(90		)
Cumulative translation adjustments	7			12
	$	(38	)	$	(61	)

Summary of stock repurchases

The following table summarizes Applied’s stock repurchases:



	2013		2012		2011

	(In millions, except per share amounts)
Shares of common stock repurchased	18		126		36
Cost of stock repurchased	$	245	$	1,416	$	468
Average price paid per share	$	13.60	$	11.22	$	12.88

Total share-based compensation and related tax benefits

Total share-based compensation and related tax benefits were as follows:



	2013		2012		2011

	(In millions)
Share-based compensation	$	162	$	182	$	146
Tax benefit recognized	$	45	$	52	$	42

Effect of share-based compensation on the results of operations

The effect of share-based compensation on the results of operations for fiscal 2013, 2012, and 2011 was as follows:



	2013		2012		2011

	(In millions)
Cost of products sold	$	50	$	54	$	48
Research, development, and engineering	53		54		46
Marketing and selling	20		22		16
General and administrative	34		52		36
Restructuring charge	5		—		—
Total	$	162	$	182	$	146

Weighted average assumptions used for stock options assumed

he weighted average assumptions used in the model for the stock options granted and assumed are outlined below:



	2013		2012
Stock Options:
Dividend yield	2.7	%	2.6	%
Expected volatility	29.5	%	38.7	%
Risk-free interest rate	1.44	%	0.52	%
Expected life (in years)	4.5		3.3

Information with repsect to stock options

Information with respect to stock options is as follows:



	2013		2012		2011
	(In millions)
Aggregate intrinsic value of outstanding stock options	$	49	$	43	$	58
Total intrinsic value of stock options exercised	$	63	$	21	$	23
Total fair value of stock options vested	$	4	$	41	$	17
Cash received from stock option exercises	$	88	$	33	$	41
Actual tax benefit realized from options exercised	$	19	$	7	$	11

Stock option activity

Stock option activity for fiscal 2013, 2012 and 2011 was as follows:



	2013				2012				2011
	Shares		Weighted Average Exercise Price		Shares		Weighted Average Exercise Price		Shares		Weighted Average Exercise Price

	(In millions, except per share amounts)
Outstanding, beginning of year	21		$	10.53	30		$	13.05	51		$	15.04
Granted and assumed in Varian acquisition	1		$	15.06	5		$	4.85	—		$	—
Exercised	(11	)	$	8.16	(4	)	$	7.30	(5	)	$	9.21
Canceled and forfeited	(5	)	$	17.62	(10	)	$	16.76	(16	)	$	20.28
Outstanding, end of year	6		$	9.12	21		$	10.53	30		$	13.05
Exercisable, end of year	5		$	7.90	20		$	10.71	24		$	14.23

Options outstanding and exercisable

The following table summarizes information with respect to options outstanding and exercisable at October 27, 2013:



	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number of Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Life	Aggregate Intrinsic Value		Number of Shares	Weighted Average Exercise Price		Aggregate Intrinsic Value
	(In millions)			(In years)	(In millions)		(In millions)			(In millions)
$3.09 — $9.99	5	$	7.23	1.47	$	46	4	$	7.26	$	44
$10.00 — $19.99	1	$	15.00	5.55	3		1	$	14.77	1
	6	$	9.12	2.38	$	49	5	$	7.90	$	45
Options exercisable and expected to become exercisable	6	$	8.95	2.25	$	49

Summary of performance-based awards

A summary of the performance-based awards approved by the Committee is presented below:



	Number of Performance-Based Awards Granted		Percent of Performance-Based Awards Earned as of October 27, 2013*
Fiscal Year Granted	Performance Shares/Performance Units	Shares of Restricted Stock
	(in millions)
2013	3	—	0%
2012	3	1	14%
2011	2	0.1	100%
2010	2	0.1	82%

___________________

* subject to additional time-based vesting requirements

Restricted stock units and restricted stock activity



	Shares		Weighted Average Grant Date Fair Value		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value

	(In millions, except per share amounts)
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 31, 2010	18		$	13.33	2.8 years	$	227
Granted	17		$	12.62
Vested	(5	)	$	14.64
Canceled	(2	)	$	13.11
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 30, 2011	28		$	12.64	2.8 years	$	345
Granted	19		$	10.61
Vested	(9	)	$	12.87
Canceled	(2	)	$	12.26
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 28, 2012	36		$	11.53	2.6 years	$	376
Granted	19		$	10.55
Vested	(11	)	$	11.44
Canceled	(6	)	$	11.28
Non-vested restricted stock units, restricted stock, performance shares and performance units at October 27, 2013	38		$	11.11	2.4 years	$	662
Non-vested restricted stock units, restricted stock, performance shares and performance units expected to vest	34		$	10.93	2.4 years	$	594

Significant valuation assumptions in relation to ESPP

Underlying assumptions used in the model for fiscal 2013, 2012 and 2011 are outlined in the following table:



	2013		2012		2011
ESPP:
Dividend yield	2.80	%	3.01	%	2.53	%
Expected volatility	24.8	%	29.6	%	31.1	%
Risk-free interest rate	0.09	%	0.13	%	0.09	%
Expected life (in years)	0.5		0.5		0.5

Employee Benefit Plans (Tables)

12 Months Ended

Oct. 27, 2013

Compensation and Retirement Disclosure [Abstract]

Changes in benefit obligations and plan assets including post-retirement benefits

A summary of the changes in benefit obligations and plan assets, which includes post-retirement benefits, for fiscal 2013 and 2012 is presented below.



	2013			2012

	(In millions, except percentages)
Change in projected benefit obligation
Beginning projected benefit obligation	$	434		$	303
Service cost	20			16
Interest cost	15			14
Plan participants’ contributions	1			1
Actuarial (gain) loss	(16		)	96
Curtailments, settlements and special termination benefits	(8		)	(3		)
Foreign currency exchange rate changes	10			(4		)
Benefits paid	(10		)	(7		)
Plan amendments and business combinations	(1		)	18
Ending projected benefit obligation	$	445		$	434
Ending accumulated benefit obligation	$	409		$	395
Range of assumptions to determine benefit obligations
Discount rate	1.1% - 4.5%			1.3% - 4.7%
Rate of compensation increase	2.0% - 4.7%			2.0% - 8.0%
Change in plan assets
Beginning fair value of plan assets	$	214		$	183
Return on plan assets	18			14
Employer contributions	24			31
Plan participants’ contributions	1			1
Foreign currency exchange rate changes	8			(4		)
Divestitures, settlements and business combinations	(7		)	(4		)
Benefits paid	(10		)	(7		)
Ending fair value of plan assets	$	248		$	214
Funded status	$	(197	)	$	(220	)
Amounts recognized in the consolidated balance sheets
Noncurrent asset	$	9		$	5
Current liability	(4		)	(4		)
Noncurrent liability	(202		)	(221		)
Total	$	(197	)	$	(220	)
Estimated amortization from accumulated other comprehensive loss into net periodic benefit cost over the next fiscal year
Actuarial loss	$	4		$	6
Prior service cost (credit)	—			(1		)
Total	$	4		$	5
Amounts recognized in accumulated other comprehensive loss
Net actuarial loss	$	91		$	117
Prior service cost (credit)	2			(3		)
Total	$	93		$	114
Plans with projected benefit obligations in excess of plan assets
Projected benefit obligation	$	438		$	428
Fair value of plan assets	$	233		$	202
Plans with accumulated benefit obligations in excess of plan assets
Accumulated benefit obligation	$	269		$	389
Fair value of plan assets	$	99		$	202



	2013		2012
Plan assets — allocation
Equity securities	37	%	37	%
Debt securities	36	%	33	%
Insurance contracts	19	%	23	%
Commingled funds	5	%	5	%
Cash	3	%	2	%

Summary of ending fair value of the plan assets

The following table presents a summary of the ending fair value of the plan assets:



	October 27, 2013								October 28, 2012
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total

	(In millions)
Equity securities	$	92	$	—	$	—	$	92	$	79	$	—	$	—	$	79
Debt securities	90		—		—		90		70		—		—		70
Insurance contracts	—		—		47		47		—		—		49		49
Commingled funds	—		12		—		12		—		12		—		12
Cash	7		—		—		7		4		—		—		4
Total	$	189	$	12	$	47	$	248	$	153	$	12	$	49	$	214

Activity in Level 3 instruments

The following table presents the activity in Level 3 instruments during fiscal 2013 and 2012:



	2013			2012

	(In millions)
Balance, beginning of year	$	49		$	48
Actual return on plan assets:
Relating to assets still held at reporting date	(1		)	1
Purchases, sales, settlements, net	(4		)	3
Currency impact	3			(3		)
Balance, end of year	$	47		$	49

Schedule of net benefit costs and assumptions used



	2013			2012			2011

	(In millions, except percentages)
Components of net periodic benefit cost
Service cost	$	20		$	16		$	15
Interest cost	15			14			14
Expected return on plan assets	(12		)	(11		)	(11		)
Amortization of actuarial loss and prior service credit	6			—			2
Settlement and curtailment loss (gain)	—			6			(2		)
Net periodic benefit cost	$	29		$	25		$	18
Weighted average assumptions
Discount rate	3.46		%	4.53		%	4.33		%
Expected long-term return on assets	5.38		%	5.91		%	6.39		%
Rate of compensation increase	3.07		%	3.09		%	3.42		%

Schedule of expected benefit payments

Future expected benefit payments for the pension plans and the post-retirement plan over the next ten fiscal years are as follows:



	Benefit Payments
	(In millions)
2014	$	14
2015	14
2016	15
2017	15
2018	17
2019-2023	98
	$	173

Income Taxes (Tables)

12 Months Ended

Oct. 27, 2013

Income Tax Disclosure [Abstract]

Components of income from operations before income taxes

The components of income before income taxes for fiscal 2013, 2012 and 2011 were as follows:



	2013		2012			2011

	(In millions)
U.S.	$	194	$	381		$	1,257
Foreign	156		(65		)	1,121
	$	350	$	316		$	2,378

Components of the provision for income taxes

The components of the provision for income taxes for fiscal 2013, 2012 and 2011 were as follows:



	2013			2012			2011

	(In millions)
Current:
U.S.	$	3		$	74		$	290
Foreign	72			75			206
State	2			8			5
	77			157			501
Deferred:
U.S.	34			52			(95		)
Foreign	(19		)	(4		)	(23		)
State	2			2			69
	17			50			(49		)
	$	94		$	207		$	452

Effective income tax rate continuing operations tax rate reconciliation

A reconciliation between the statutory U.S. federal income tax rate of 35 percent and Applied’s actual effective income tax rate for fiscal 2013, 2012 and 2011 is presented below:



	2013		2012		2011
Tax provision at U.S. statutory rate	35.0	%	35.0	%	35.0	%
Resolutions from prior years’ income tax filings	(4.7	)	(6.0	)	(6.9	)
Effect of foreign operations taxed at various rates	(19.4	)	(8.5	)	(8.1	)
State income taxes, net of federal benefit	0.8		2.0		1.6
Research and other tax credits	(5.4	)	(1.0	)	(1.2	)
Production benefit	(1.0	)	(8.0	)	(0.8	)
Goodwill impairment	22.5		47.0		—
Share-based compensation	2.2		4.0		0.4
Other	(3.1	)	1.0		(1.0	)
	26.9	%	65.5	%	19.0	%

Components of deferred income tax assets and liabilities

The components of deferred income tax assets and liabilities are as follows:



	October 27, 2013			October 28, 2012

	(In millions)
Deferred tax assets:
Inventory reserves and basis difference	$	134		$	124
Installation and warranty reserves	14			27
Accrued liabilities	201			211
Restructuring reserves	5			23
Deferred revenue	27			36
Tax credits and net operating losses	182			111
Deferred compensation	33			41
Share-based compensation	60			51
Gross deferred tax assets	656			624
Valuation allowance	(116		)	(46		)
Total deferred tax assets	540			578
Deferred tax liabilities:
Fixed assets	(54		)	(71		)
Intangible assets	(94		)	(178		)
Undistributed foreign earnings	(75		)	(92		)
Other	(14		)	(18		)
Total gross deferred tax liabilities	(237		)	(359		)
Net deferred tax assets	$	303		$	219

The following table presents the breakdown between current and non-current net deferred tax assets and liabilities:



	October 27, 2013			October 28, 2012

	(In millions)
Current deferred tax asset	$	323		$	369
Non-current deferred tax asset	53			51
Current deferred tax liability	(2		)	(1		)
Non-current deferred tax liability	(71		)	(200		)
	$	303		$	219

A reconciliation of gross unrecognized tax benefits

A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows:



	2013			2012

	(In millions)
Beginning balance of gross unrecognized tax benefits	$	174		$	59
Uncertainties arising from the acquisition of Varian	—			70
Settlements with tax authorities	(15		)	(15		)
Lapses of statutes of limitation	(15		)	—
Increases in tax positions for current years	48			42
Increases in tax positions for prior years	2			51
Decreases in tax positions for prior years	—			(33		)
Ending balance of gross unrecognized tax benefits	$	194		$	174

Warranty, Guarantees and Contingencies (Tables)

12 Months Ended

Oct. 27, 2013

Commitments and Contingencies Disclosure [Abstract]

Future minimum lease payments

As of October 27, 2013, future minimum lease payments are expected to be as follows:



	Lease Payments
	(In millions)
2014	$	28
2015	19
2016	13
2017	10
2018	7
Thereafter	10
	$	87

Changes in the warranty reserves

Changes in the warranty reserves during fiscal 2013 and 2012 were as follows:



	2013			2012

	(In millions)
Beginning balance	$	119		$	168
Provisions for warranty	103			107
Consumption of reserves	(120		)	(156		)
Ending balance	$	102		$	119

- Definition

Tabular disclosure of a lessee's leasing arrangements including: (1) the basis on which contingent rental payments are determined, (2) the existence and terms of renewal or purchase options and escalation clauses, (3) restrictions imposed by lease arrangements, such as those concerning dividends, additional debt, and further leasing, (4) rent holidays, rent concessions, or leasehold improvement incentives and unusual provisions or conditions. Disclosure may also include the specific period used to amortize material leasehold improvements made at the inception of the lease or during the lease term. Additionally, for operating leases having initial or remaining noncancelable lease terms in excess of one year: (a) future minimum rental payments required as of the date of the latest balance sheet presented, in the aggregate and for each of the five succeeding fiscal years, (b) the total of minimum rentals to be received in the future under noncancelable subleases as of the date of the latest balance sheet presented, and (c) for all operating leases, rental expense for each period for which an income statement is presented, with separate amounts for minimum rentals, contingent rentals, and sublease rentals. Rental payments under leases with terms of a month or less that were not renewed need not be included.

+ References + Details

Industry Segment Operations (Tables)

12 Months Ended

Oct. 27, 2013

Segment Reporting [Abstract]

Net sales and operating income (loss) for each reportable segment

Information for each reportable segment as of October 27, 2013, October 28, 2012 and October 30, 2011 and for the fiscal years then ended, is as follows:



	Net Sales		Operating Income (Loss)			Depreciation/ Amortization		Capital Expenditures		Segment Assets

	(In millions)
2013:
Silicon Systems Group	$	4,775	$	876		$	260	$	118	$	5,525
Applied Global Services	2,023		436			13		7		1,958
Display	538		74			8		6		293
Energy and Environmental Solutions	173		(433		)	22		1		183
Total Segment	$	7,509	$	953		$	303	$	132	$	7,959
2012:
Silicon Systems Group	$	5,536	$	1,243		$	256	$	71	$	5,106
Applied Global Services	2,285		502			17		8		2,035
Display	473		25			8		1		278
Energy and Environmental Solutions	425		(668		)	38		6		513
Total Segment	$	8,719	$	1,102		$	319	$	86	$	7,932
2011:
Silicon Systems Group	$	5,415	$	1,764		$	52	$	59	$	2,036
Applied Global Services	2,413		482			13		7		1,337
Display	699		147			7		31		459
Energy and Environmental Solutions	1,990		453			34		16		1,438
Total Segment	$	10,517	$	2,846		$	106	$	113	$	5,270

Reconciliations of total segment operating income to Applied's consolidated operating income

Reconciliations of segment operating results to Applied consolidated totals for fiscal 2013, 2012 and 2011 are as follows:



	2013			2012			2011

	(In millions)
Total segment operating income	$	953		$	1,102		$	2,846
Corporate and unallocated costs	(490		)	(580		)	(496		)
Restructuring charges and asset impairments	(35		)	(111		)	21
Gain on sale of facility	4			—			27
Income from operations	$	432		$	411		$	2,398

Reconciliations of depreciation and amortization expense to Applied's consolidated totals

Reconciliations of depreciation and amortization expense to Applied consolidated totals for fiscal 2013, 2012 and 2011 are as follows:



	2013		2012		2011

	(In millions)
Total segment depreciation and amortization	$	303	$	319	$	106
Depreciation on shared facilities and information technology assets	107		103		140
Consolidated depreciation and amortization	$	410	$	422	$	246

Reconciliation of capital expenditures to Applied's consolidated totals

Reconciliations of capital expenditures to Applied consolidated totals for fiscal 2013, 2012 and 2011 are as follows:



	2013		2012		2011

	(In millions)
Total segment capital expenditures	$	132	$	86	$	113
Shared facilities and information technology assets	65		76		96
Consolidated capital expenditures	$	197	$	162	$	209

Reconciliation of segment assets to Applied's consolidated totals

Reconciliations of segment assets to Applied consolidated totals as of October 27, 2013, and October 28, 2012 are as follows:



	October 27, 2013			October 28, 2012

	(In millions)
Total segment assets	$	7,959		$	7,932
Cash and investments	2,896			2,992
Allowance for bad debts	(74		)	(87		)
Deferred income taxes	376			420
Other current assets	203			98
Common property, plant and equipment	541			588
Other assets	142			159
Consolidated total assets	$	12,043		$	12,102

Net sales and long-lived assets by geographic region

Net sales and long-lived assets by geographic region were as follows:



	Net Sales		Long-lived Assets

	(In millions)
2013:
United States	$	1,473	$	620
Taiwan	2,640		37
China	787		65
Korea	924		8
Japan	685		4
Europe	680		99
Southeast Asia	320		81
Total outside United States	6,036		294
Consolidated total	$	7,509	$	914
2012:
United States	$	1,749	$	666
Taiwan	2,411		36
China	783		74
Korea	1,897		9
Japan	704		6
Europe	863		110
Southeast Asia	312		87
Total outside United States	6,970		322
Consolidated total	$	8,719	$	988
2011:
United States	$	1,963	$	623
Taiwan	2,093		33
China	2,574		81
Korea	1,263		8
Japan	912		7
Europe	1,120		128
Southeast Asia	592		71
Total outside United States	8,554		328
Consolidated total	$	10,517	$	951

Companies accounted for at least 10 percent of Applied's net sales

The following companies accounted for at least 10 percent of Applied’s net sales in fiscal 2013, 2012, and/or 2011, which were for products in multiple reportable segments.



	2013		2012		2011
Taiwan Semiconductor Manufacturing Company Limited	27	%	16	%	10	%
Samsung Electronics Co., Ltd.	13	%	20	%	12	%
Intel Corporation	*		*		10	%

_____________________________


*	Less than 10%.

Unaudited Quarterly Consolidated Financial Data (Tables)

12 Months Ended

Oct. 27, 2013

Quarterly Financial Information Disclosure [Abstract]

Unaudited Quarterly Consolidated Financial Data



	Fiscal Quarter
	First		Second			Third		Fourth			Fiscal Year

	(In millions, except per share amounts)
2013:
Net sales	$	1,573	$	1,973		$	1,975	$	1,988		$	7,509
Gross margin	$	582	$	808		$	806	$	795		$	2,991
Net income (loss)	$	34	$	(129	)	$	168	$	183		$	256
Earnings (loss) per diluted share	$	0.03	$	(0.11	)	$	0.14	$	0.15		$	0.21
2012:
Net sales	$	2,189	$	2,541		$	2,343	$	1,646		$	8,719
Gross margin	$	786	$	1,011		$	930	$	586		$	3,313
Net income (loss)	$	117	$	289		$	218	$	(515	)	$	109
Earnings (loss) per diluted share	$	0.09	$	0.22		$	0.17	$	(0.42	)	$	0.09

Summary of Significant Accounting Policies (Details)	3 Months Ended												12 Months Ended
Summary of Significant Accounting Policies (Details)	Oct. 27, 2013	Jul. 28, 2013	Apr. 28, 2013	Jan. 27, 2013	Oct. 28, 2012	Jul. 29, 2012	Apr. 29, 2012	Jan. 29, 2012	Oct. 30, 2011	Jul. 31, 2011	May 01, 2011	Jan. 30, 2011	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Summary of Significant Accounting Policies (Textuals) [Abstract]
Operating cycle	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	91 days	364 days	364 days	364 days
Minimum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Useful life													1 year
Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Useful life													15 years
Building and improvements [Member] \| Minimum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													3 years
Building and improvements [Member] \| Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													30 years
Demonstration and manufacturing equipment [Member] \| Minimum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													3 years
Demonstration and manufacturing equipment [Member] \| Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													5 years
Software [Member] \| Minimum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													3 years
Software [Member] \| Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													5 years
Furniture, fixtures and other equipment [Member] \| Minimum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													3 years
Furniture, fixtures and other equipment [Member] \| Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Property, Plant and Equipment, useful life													15 years
Land improvements [Member] \| Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Term of amortization													15 years
Leasehold improvements [Member] \| Maximum [Member]
Summary of Significant Accounting Policies (Textuals) [Abstract]
Term of amortization													5 years

Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended								12 Months Ended
	Oct. 27, 2013	Jul. 28, 2013	Apr. 28, 2013	Jan. 27, 2013	Oct. 28, 2012	Jul. 29, 2012	Apr. 29, 2012	Jan. 29, 2012	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Numerator:
Net income (in dollars)	$ 183	$ 168	$ (129)	$ 34	$ (515)	$ 218	$ 289	$ 117	$ 256	$ 109	$ 1,926
Denominator:
Weighted average common shares outstanding									1,202	1,266	1,319
Effect of dilutive stock options, restricted stock units and employee stock purchase plans shares									17	11	11
Denominator for diluted earnings per share									1,219	1,277	1,330
Basic earnings per share (in dollars per share)									$ 0.21	$ 0.09	$ 1.46
Diluted earnings per share (in dollars per share)	$ 0.15	$ 0.14	$ (0.11)	$ 0.03	$ (0.42)	$ 0.17	$ 0.22	$ 0.09	$ 0.21	$ 0.09	$ 1.45
Potentially dilutive securities									2	9	16

- Definition

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

+ References + Details

- Definition

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

+ References

+ Details

Cash, Cash Equivalents and Investments (Details) - USD ($)
$ in Millions

Oct. 27, 2013

Oct. 28, 2012

Oct. 30, 2011

Oct. 31, 2010

Schedule of Investment Income, Reported Amounts, by Category [Line Items]

Cash

$ 611

$ 876

Cash equivalents:

Money market funds

1,095

483

Municipal securities

Total Cash equivalents

1,100

516

Total Cash and Cash equivalents

1,711

1,392

$ 5,960

$ 1,858

Short-term and long-term investments, Cost

1,149

1,575

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

1,185

1,600

Equity investments in privately-held companies

Cash, Cash Equivalents and Investments, Cost

2,860

2,967

Cash, Cash Equivalents and Investments, Gross Unrealized Gains

Cash, Cash Equivalents and Investments, Gross Unrealized Losses

(3)

Cash, Cash Equivalents and Investments, Estimated Fair Value

2,896

2,992

Total fixed income securities [Member]

Cash equivalents:

Short-term and long-term investments, Cost

1,046

1,473

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

1,049

1,483

U.S. Treasury and agency securities [Member]

Cash equivalents:

Short-term and long-term investments, Cost

170

373

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

170

374

Non-US government securities [Member]

Cash equivalents:

Short-term and long-term investments, Cost

^[1]

Short-term and long-term investments, Gross Unrealized Gains

^[1]

Short-term and long-term investments, Gross Unrealized Losses

^[1]

Short-term and long-term investments, Estimated Fair Value

^[1]

Municipal securities [Member]

Cash equivalents:

Short-term and long-term investments, Cost

379

396

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

381

398

Commercial paper, corporate bonds and medium-term notes [Member]

Cash equivalents:

Short-term and long-term investments, Cost

218

381

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

219

384

Asset-backed and mortgage-backed securities [Member]

Cash equivalents:

Short-term and long-term investments, Cost

268

294

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

268

298

Publicly traded equity securities [Member]

Cash equivalents:

Short-term and long-term investments, Cost

Short-term and long-term investments, Gross Unrealized Gains

Short-term and long-term investments, Gross Unrealized Losses

Short-term and long-term investments, Estimated Fair Value

$ 60

$ 47

[1]	Includes agency and corporate debt securities guaranteed by non-U.S. governments, which consist of Germany, Canada and Australia.

Cash, Cash Equivalents and Investments (Details 1)
$ in Millions

Oct. 27, 2013

USD ($)

Contractual maturities of investments

Due in one year or less, Cost

$ 149

Due after one through five years, Cost

629

No single maturity date, Cost

371

^[1]

Investments maturities amortized, Cost

1,149

Due in one year or less, Estimated Fair Value

149

Due after one through five years, Estimated Fair Value

632

No single maturity date, Estimated Fair Value

404

^[1]

Investments maturities, Estimated Fair Value

$ 1,185

[1]	Securities with no single maturity date include publicly-traded and privately-held equity securities, and asset-backed and mortgage-backed securities.

Cash, Cash Equivalents and Investments (Details 2) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Gains and Losses on Investments
Gross realized gains	$ 7	$ 3	$ 20
Gross realized losses	$ 2	$ 3	$ 4

Cash, Cash Equivalents and Investments (Details Textuals) - USD ($)	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Marketable securities [Member]
Cash, Cash Equivalents and Investments (Textuals) [Abstract]
Impairments of investments	$ 0	$ 0	$ 0
Equity investments in privately-held companies [Member]
Cash, Cash Equivalents and Investments (Textuals) [Abstract]
Impairments of investments	$ 6,000,000	$ 17,000,000	$ 3,000,000

Fair Value Measurements (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Total [Member]
Assets:
Investment securities	$ 2,229	$ 2,050
Total [Member] \| Money market funds [Member]
Assets:
Investment securities	1,095	483
Total [Member] \| U.S. Treasury and agency securities [Member]
Assets:
Investment securities	170	374
Total [Member] \| Non-U.S. government securities [Member]
Assets:
Investment securities	11	29
Total [Member] \| Municipal securities [Member]
Assets:
Investment securities	386	431
Total [Member] \| Commercial paper, corporate bonds and medium-term notes [Member]
Assets:
Investment securities	219	384
Total [Member] \| Asset-backed and mortgage-backed securities [Member]
Assets:
Investment securities	268	298
Total [Member] \| Publicly traded equity securities [Member]
Assets:
Investment securities	60	47
Total [Member] \| Foreign exchange derivative assets [Member]
Assets:
Investment securities	20	4
Level 1 [Member]
Assets:
Investment securities	1,221	658
Level 1 [Member] \| Money market funds [Member]
Assets:
Investment securities	1,095	483
Level 1 [Member] \| U.S. Treasury and agency securities [Member]
Assets:
Investment securities	66	128
Level 1 [Member] \| Non-U.S. government securities [Member]
Assets:
Investment securities	0	0
Level 1 [Member] \| Municipal securities [Member]
Assets:
Investment securities	0	0
Level 1 [Member] \| Commercial paper, corporate bonds and medium-term notes [Member]
Assets:
Investment securities	0	0
Level 1 [Member] \| Asset-backed and mortgage-backed securities [Member]
Assets:
Investment securities	0	0
Level 1 [Member] \| Publicly traded equity securities [Member]
Assets:
Investment securities	60	47
Level 1 [Member] \| Foreign exchange derivative assets [Member]
Assets:
Investment securities	0	0
Level 2 [Member]
Assets:
Investment securities	1,008	1,392
Level 2 [Member] \| Money market funds [Member]
Assets:
Investment securities	0	0
Level 2 [Member] \| U.S. Treasury and agency securities [Member]
Assets:
Investment securities	104	246
Level 2 [Member] \| Non-U.S. government securities [Member]
Assets:
Investment securities	11	29
Level 2 [Member] \| Municipal securities [Member]
Assets:
Investment securities	386	431
Level 2 [Member] \| Commercial paper, corporate bonds and medium-term notes [Member]
Assets:
Investment securities	219	384
Level 2 [Member] \| Asset-backed and mortgage-backed securities [Member]
Assets:
Investment securities	268	298
Level 2 [Member] \| Publicly traded equity securities [Member]
Assets:
Investment securities	0	0
Level 2 [Member] \| Foreign exchange derivative assets [Member]
Assets:
Investment securities	$ 20	$ 4

Fair Value Measurements (Details Textuals) - USD ($)	12 Months Ended
Fair Value Measurements (Details Textuals) - USD ($)	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Fair Value Measurements (Textuals) [Abstract]
Fair value of level one and level two transfers amount	$ 0	$ 0
Equity Investments In Privately Held Companies [Member]
Fair Value Measurements (Textuals) [Abstract]
Impairments of investments	6,000,000	17,000,000	$ 3,000,000
Reported Value Measurement [Member]
Fair Value Measurements (Textuals) [Abstract]
Long-term debt, fair value	1,900,000,000	1,900,000,000
Reported Value Measurement [Member] \| Short Term And Long Term Investments [Member] \| Equity Investments In Privately Held Companies [Member]
Fair Value Measurements (Textuals) [Abstract]
Equity investments in privately-held companies measured on non-recurring basis	76,000,000	70,000,000
Portion at Fair Value Measurement [Member] \| Fair Value, Measurements, Nonrecurring [Member] \| Level 3 [Member]
Fair Value Measurements (Textuals) [Abstract]
Equity investments in privately-held companies measured on non-recurring basis	10,000,000	13,000,000
Portion at Other than Fair Value Measurement [Member]
Fair Value Measurements (Textuals) [Abstract]
Equity investments in privately-held companies measured on non-recurring basis	66,000,000	57,000,000
Estimate of Fair Value Measurement [Member] \| Level 2 [Member]
Fair Value Measurements (Textuals) [Abstract]
Long-term debt, fair value	$ 2,100,000,000	$ 2,300,000,000

Derivative Instruments and Hedging Activities (Details) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012
Derivative Instruments, Gain (Loss) [Line Items]
Gain or (Loss) Recognized in AOCI, Effective Portion	$ 29	$ 2
Gain or (Loss) Reclassified from AOCI into Income, Effective Portion	28	(1)
Gain or (Loss) Reclassified in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing	(4)	(2)
Foreign exchange contracts [Member] \| Cost of products sold [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain or (Loss) Recognized in AOCI, Effective Portion	29	2
Gain or (Loss) Reclassified from AOCI into Income, Effective Portion	21	4
Gain or (Loss) Reclassified in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing	(3)	(1)
Foreign exchange contracts [Member] \| General and administrative [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain or (Loss) Recognized in AOCI, Effective Portion	0	0
Gain or (Loss) Reclassified from AOCI into Income, Effective Portion	7	(5)
Gain or (Loss) Reclassified in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing	$ (1)	$ (1)

Derivative Instruments and Hedging Activities (Details 1) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net	$ 19	$ 8
Foreign exchange contracts [Member] \| General and administrative [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net	$ 19	$ 8

Derivative Instruments and Hedging Activities (Details Textual) $ in Millions	3 Months Ended	12 Months Ended
	Oct. 27, 2013 USD ($)	Oct. 27, 2013 USD ($)
Derivative Instruments and Hedging Activities (Textuals) [Abstract]
Time period for hedging of foreign currency transactions		24 months
Time period over which majority of after tax gain loss related to derivatives to be reclassified into earnings		12 months
Tokyo Electron Limited [Member] \| Foreign exchange contracts [Member]
Derivative Instruments and Hedging Activities (Textuals) [Abstract]
Derivative Instruments Not Designated as Hedging Instruments, Loss	$ 7
Fair Value, Measurements, Recurring [Member] \| Estimate of Fair Value Measurement [Member] \| Tokyo Electron Limited [Member] \| Foreign exchange contracts [Member]
Derivative Instruments and Hedging Activities (Textuals) [Abstract]
Derivative assets	$ 17	$ 17

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

12 Months Ended

Oct. 27, 2013

Oct. 28, 2012

Oct. 30, 2011

Sale and Discounting of Accounts Receivable

Discounted letters of credit

$ 0

$ 211

Factored accounts receivable and discounted promissory notes

Total

291

Accounts Receivable, Net (Textual) [Abstract]

Allowance for doubtful accounts

Changes in allowance for doubtful accounts

Beginning balance

Provision

Deductions

(13)

^[1]

(6)

Ending balance

$ 74

$ 87

$ 73

[1]	Fiscal 2013 deductions represent releases of allowance for doubtful accounts credited to expense as a result of lower risk exposures in display and solar customers

Balance Sheet Detail (Details) $ in Millions	12 Months Ended
Balance Sheet Detail (Details) $ in Millions	Oct. 27, 2013 USD ($)	Oct. 28, 2012 USD ($)	Oct. 30, 2011 USD ($) property
Inventories
Customer service spares	$ 274	$ 312
Raw materials	325	331
Work-in-process	283	234
Finished goods	531	395
Total Inventories	1,413	1,272
Inventory at customer locations included in finished goods	136	60
Evaluation inventory	177	176
Other Current Assets
Deferred income taxes, net	323	369
Prepaid expenses	135	101
Income taxes receivable	7	87
Other	240	116
Total Other Current Assets	705	673
Property, Plant and Equipment, Net
Gross property, plant and equipment	2,817	2,917
Accumulated depreciation	(1,967)	(2,007)
Net property, plant and equipment	850	910
Depreciation	211	198	$ 194
Restructuring charges and asset impairments	63	168	(30)
Proceeds from sale of assets	7	0	130
Gain incurred on sale of property	4	0	$ 27
Accounts Payable and Accrued Expenses
Accounts payable	582	396
Compensation and employee benefits	417	426
Warranty	102	119
Income taxes payable	73	74
Dividends payable	121	108
Other accrued taxes	41	18
Interest payable	30	30
Restructuring reserve	39	133
Other	244	206
Total Accounts Payable and Accrued Expenses	1,649	1,510
Customer Deposits and Deferred Revenue
Customer deposits	175	143
Deferred revenue	619	612
Total Customer Deposits and Deferred Revenue	794	755
Other Liabilities
Deferred income taxes	71	200
Income taxes payable	174	140
Defined benefit pension plan liability	193	216
Other	128	100
Total Other Liabilities	566	656
North America [Member]
Property, Plant and Equipment, Net
Number of properties sold \| property			2
Gain incurred on sale of property			$ 27
2012 EES Restructuring Plan [Member]
Property, Plant and Equipment, Net
Restructuring charges and asset impairments	26	48
2012 EES Restructuring Plan [Member] \| Asset Impairments [Member]
Property, Plant and Equipment, Net
Restructuring charges and asset impairments	12	20	0
Land and improvements [Member]
Property, Plant and Equipment, Net
Gross property, plant and equipment	167	169
Building and improvements [Member]
Property, Plant and Equipment, Net
Gross property, plant and equipment	$ 1,217	1,196
Building and improvements [Member] \| Minimum [Member]
Property, Plant and Equipment, Net
Property, Plant and Equipment, useful life	3 years
Building and improvements [Member] \| Maximum [Member]
Property, Plant and Equipment, Net
Property, Plant and Equipment, useful life	30 years
Demonstration and manufacturing equipment [Member]
Property, Plant and Equipment, Net
Gross property, plant and equipment	$ 792	760
Demonstration and manufacturing equipment [Member] \| Minimum [Member]
Property, Plant and Equipment, Net
Property, Plant and Equipment, useful life	3 years
Demonstration and manufacturing equipment [Member] \| Maximum [Member]
Property, Plant and Equipment, Net
Property, Plant and Equipment, useful life	5 years
Furniture, fixtures and other equipment [Member]
Property, Plant and Equipment, Net
Gross property, plant and equipment	$ 589	734
Furniture, fixtures and other equipment [Member] \| Minimum [Member]
Property, Plant and Equipment, Net
Property, Plant and Equipment, useful life	3 years
Furniture, fixtures and other equipment [Member] \| Maximum [Member]
Property, Plant and Equipment, Net
Property, Plant and Equipment, useful life	15 years
Construction in progress [Member]
Property, Plant and Equipment, Net
Gross property, plant and equipment	$ 52	$ 58
Properties [Member] \| North America [Member]
Property, Plant and Equipment, Net
Proceeds from sale of assets			99
Certain assets [Member]
Property, Plant and Equipment, Net
Proceeds from sale of assets			$ 31

Business Combinations (Details) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012	Nov. 10, 2011
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Goodwill	$ 3,294	$ 3,518
Varian Semiconductor Equipment Associates Inc [Member]
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Fair value of net tangible assets acquired			$ 892
Goodwill			2,604
Purchased intangible assets			1,365
Purchase price allocated			$ 4,861

Business Combinations (Details 2) - USD ($) $ in Millions	12 Months Ended
Business Combinations (Details 2) - USD ($) $ in Millions	Oct. 27, 2013	Nov. 10, 2011
Minimum [Member]
Business Acquisition [Line Items]
Useful life	1 year
Maximum [Member]
Business Acquisition [Line Items]
Useful life	15 years
Varian Semiconductor Equipment Associates Inc [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		$ 1,365
Varian Semiconductor Equipment Associates Inc [Member] \| Developed technology [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		987
Varian Semiconductor Equipment Associates Inc [Member] \| Developed technology [Member] \| Minimum [Member]
Business Acquisition [Line Items]
Useful life	1 year
Varian Semiconductor Equipment Associates Inc [Member] \| Developed technology [Member] \| Maximum [Member]
Business Acquisition [Line Items]
Useful life	7 years
Varian Semiconductor Equipment Associates Inc [Member] \| Customer relationships [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		150
Useful life	15 years
Varian Semiconductor Equipment Associates Inc [Member] \| In-process technology [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		142
Varian Semiconductor Equipment Associates Inc [Member] \| Patents and trademarks [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		69
Useful life	10 years
Varian Semiconductor Equipment Associates Inc [Member] \| Backlog [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		7
Useful life	1 year
Varian Semiconductor Equipment Associates Inc [Member] \| Covenant not to compete [Member]
Business Acquisition [Line Items]
Purchased Intangible Assets		$ 10
Useful life	2 years

Business Combinations (Details 3) - Varian Semiconductor Equipment Associates Inc [Member] - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Oct. 28, 2012	Oct. 30, 2011
Business Acquisition [Line Items]
Net sales	$ 8,719	$ 11,734
Net income	$ 167	$ 1,862
Basic earnings per share (in dollars per share)	$ 0.13	$ 1.41
Diluted earnings per share (in dollars per share)	$ 0.13	$ 1.40

Business Combinations (Details Textuals)		3 Months Ended								12 Months Ended
Business Combinations (Details Textuals)	Sep. 24, 2013 USD ($)	Oct. 27, 2013 USD ($)	Jul. 28, 2013 USD ($)	Apr. 28, 2013 USD ($)	Jan. 27, 2013 USD ($)	Oct. 28, 2012 USD ($)	Jul. 29, 2012 USD ($)	Apr. 29, 2012 USD ($)	Jan. 29, 2012 USD ($)	Oct. 27, 2013 USD ($)	Oct. 28, 2012 USD ($)	Oct. 30, 2011 USD ($)	Nov. 10, 2011 USD ($)
Business Combination (Textuals) [Abstract]
Net sales		$ 1,988,000,000	$ 1,975,000,000	$ 1,973,000,000	$ 1,573,000,000	$ 1,646,000,000	$ 2,343,000,000	$ 2,541,000,000	$ 2,189,000,000	$ 7,509,000,000	$ 8,719,000,000	$ 10,517,000,000
Operating income (loss)										$ 432,000,000	411,000,000	2,398,000,000
Tokyo Electron Limited [Member]
Business Combination (Textuals) [Abstract]
Expected stock repurchase of resulting entity in the next fiscal year	$ 3,000,000,000.0
Termination fee	$ 400,000,000
Tokyo Electron Limited [Member] \| Former Applied Materials Shareholders [Member]
Business Combination (Textuals) [Abstract]
Shares to be received as part of combination, conversion ratio	1
Percentage of voting interests acquired	68.00%
Tokyo Electron Limited [Member] \| Former TEL Shareholders [Member]
Business Combination (Textuals) [Abstract]
Shares to be issued as part of combination, conversion ratio	3.25
Percentage of voting interests acquired	32.00%
Varian Semiconductor Equipment Associates, Inc [Member]
Business Combination (Textuals) [Abstract]
Purchase price, net of cash acquired													$ 4,200,000,000
Assumed equity awards													$ 27,000,000
Goodwill acquired											2,600,000,000
Net sales											1,000,000,000
Operating income (loss)											(148,000,000)
Business acquisition charges											332,000,000
Business acquisition costs not allocated to segments											45,000,000
Pro forma non recurring adjustments												$ 128,000,000
Varian Semiconductor Equipment Associates, Inc [Member] \| Silicon Systems Group [Member]
Business Combination (Textuals) [Abstract]
Goodwill acquired											$ 1,800,000,000

Goodwill, Purchased Technology and Other Intangible Assets (Details) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Indefinite-lived intangible assets
Goodwill	$ 3,294	$ 3,518
Other Intangible Assets	142	142
Total	3,436	3,660
Silicon Systems Group [Member]
Indefinite-lived intangible assets
Goodwill	2,151	2,151
Other Intangible Assets	142	142
Total	2,293	2,293
Applied Global Services [Member]
Indefinite-lived intangible assets
Goodwill	1,027	1,027
Other Intangible Assets	0	0
Total	1,027	1,027
Display [Member]
Indefinite-lived intangible assets
Goodwill	116	116
Other Intangible Assets	0	0
Total	116	116
Energy and Environmental Solutions [Member]
Indefinite-lived intangible assets
Goodwill	0	224
Other Intangible Assets	0	0
Total	$ 0	$ 224

Goodwill, Purchased Technology and Other Intangible Assets (Details 1) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Summary of Purchased Technology and Intangible Assets [Line Items]
Carrying amount	$ 961	$ 1,213
Intangible assets - indefinite-lived	142	142
Total	1,103	1,355
Purchased Technology [Member]
Summary of Purchased Technology and Intangible Assets [Line Items]
Carrying amount	748	945
Intangible Assets [Member]
Summary of Purchased Technology and Intangible Assets [Line Items]
Carrying amount	$ 213	$ 268

Goodwill, Purchased Technology and Other Intangible Assets (Details 2) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Amortized intangible assets
Gross carrying amount	$ 1,788	$ 2,104
Accumulated amortization	(827)	(891)
Carrying amount	961	1,213
Silicon Systems Group [Member]
Amortized intangible assets
Gross carrying amount	1,553	1,552
Accumulated amortization	(620)	(447)
Applied Global Services [Member]
Amortized intangible assets
Gross carrying amount	72	72
Accumulated amortization	(65)	(61)
Display [Member]
Amortized intangible assets
Gross carrying amount	143	143
Accumulated amortization	(139)	(133)
Energy and Environmental Solutions [Member]
Amortized intangible assets
Gross carrying amount	20	337
Accumulated amortization	(3)	(250)
Purchased Technology [Member]
Amortized intangible assets
Gross carrying amount	1,444	1,543
Accumulated amortization	(696)	(598)
Carrying amount	748	945
Purchased Technology [Member] \| Silicon Systems Group [Member]
Amortized intangible assets
Gross carrying amount	1,301	1,300
Accumulated amortization	(562)	(411)
Purchased Technology [Member] \| Applied Global Services [Member]
Amortized intangible assets
Gross carrying amount	28	28
Accumulated amortization	(23)	(22)
Purchased Technology [Member] \| Display [Member]
Amortized intangible assets
Gross carrying amount	110	110
Accumulated amortization	(110)	(106)
Purchased Technology [Member] \| Energy and Environmental Solutions [Member]
Amortized intangible assets
Gross carrying amount	5	105
Accumulated amortization	(1)	(59)
Other [Member]
Amortized intangible assets
Gross carrying amount	344	561
Accumulated amortization	(131)	(293)
Carrying amount	213	268
Other [Member] \| Silicon Systems Group [Member]
Amortized intangible assets
Gross carrying amount	252	252
Accumulated amortization	(58)	(36)
Other [Member] \| Applied Global Services [Member]
Amortized intangible assets
Gross carrying amount	44	44
Accumulated amortization	(42)	(39)
Other [Member] \| Display [Member]
Amortized intangible assets
Gross carrying amount	33	33
Accumulated amortization	(29)	(27)
Other [Member] \| Energy and Environmental Solutions [Member]
Amortized intangible assets
Gross carrying amount	15	232
Accumulated amortization	$ (2)	$ (191)

Goodwill, Purchased Technology and Other Intangible Assets (Details 3) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Finite-Lived Intangible Assets [Line Items]
Amortization expense	$ 199	$ 224	$ 52
Silicon Systems Group [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization expense	172	183	13
Applied Global Services [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization expense	5	9	7
Display [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization expense	6	7	8
Energy and Environmental Solutions [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization expense	$ 16	$ 25	$ 24

Goodwill, Purchased Technology and Other Intangible Assets (Details 4) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Indefinite Lived Intangible Assets By Category [Abstract]
Amortization expense	$ 199	$ 224	$ 52
Cost of products sold [Member]
Indefinite Lived Intangible Assets By Category [Abstract]
Amortization expense	166	185	36
Research, development and engineering [Member]
Indefinite Lived Intangible Assets By Category [Abstract]
Amortization expense	1	1	0
Marketing and selling [Member]
Indefinite Lived Intangible Assets By Category [Abstract]
Amortization expense	26	30	16
General and administrative [Member]
Indefinite Lived Intangible Assets By Category [Abstract]
Amortization expense	$ 6	$ 8	$ 0

Goodwill, Purchased Technology and Other Intangible Assets (Details 5) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Future estimated amortization expense
Future estimated amortization expense, 2014	$ 181
Future estimated amortization expense, 2015	175
Future estimated amortization expense, 2016	169
Future estimated amortization expense, 2017	165
Future estimated amortization expense, 2018	163
Future estimated amortization expense, Thereafter	108
Carrying amount	$ 961	$ 1,213

Goodwill, Purchased Technology and Other Intangible Assets (Details Textual) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Apr. 28, 2013	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Impairment of goodwill and intangible assets		$ 278	$ 421	$ 0
Goodwill, Purchased Technology and Other Intangible Assets (Textual) [Abstract]
Change in gross carrying amount of the amortized intangible assets		(224)
Energy and Environmental Solutions [Member]
Goodwill, Purchased Technology and Other Intangible Assets (Textual) [Abstract]
Impairment of goodwill	$ 224		$ 421
Accumulated goodwill impairment		645
Impairment of intangible assets (excluding goodwill)	$ 54
Change in carrying amount		(317)
Change in accumulated amortization		$ (262)
Minimum [Member]
Goodwill, Purchased Technology and Other Intangible Assets (Textual) [Abstract]
Useful life		1 year
Maximum [Member]
Goodwill, Purchased Technology and Other Intangible Assets (Textual) [Abstract]
Useful life		15 years

Borrowing Facilities and Long-Term Debt (Details) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Schedule of Long term debt
Total long-term debt	$ 1,946	$ 1,946
Senior Notes [Member]
Schedule of Long term debt
Principal amount	1,950	1,950
Less unamortized discount	(4)	(4)
Total long-term debt	$ 1,946	$ 1,946
Senior Notes [Member] \| 2.650% Unsecured Senior Notes Due 2016, Interest Payable June 15 and December 15 [Member]
Schedule of Long term debt
Debt, interest rate, stated percentage	2.65%	2.65%
Debt, interest rate, effective percentage	2.666%	2.666%
Principal amount	$ 400	$ 400
Senior Notes [Member] \| 7.125% Unsecured Senior Notes Due 2017, Interest Payable April 15 and October 15 [Member]
Schedule of Long term debt
Debt, interest rate, stated percentage	7.125%	7.125%
Debt, interest rate, effective percentage	7.19%	7.19%
Principal amount	$ 200	$ 200
Senior Notes [Member] \| 4.300% Unsecured Senior Notes Due 2021, Interest Payable June 15 and December 15 [Member]
Schedule of Long term debt
Debt, interest rate, stated percentage	4.30%	4.30%
Debt, interest rate, effective percentage	4.326%	4.326%
Principal amount	$ 750	$ 750
Senior Notes [Member] \| 5.850% Unsecured Senior Notes Due 2041, Interest Payable June 15 and December 15 [Member]
Schedule of Long term debt
Debt, interest rate, stated percentage	5.85%	5.85%
Debt, interest rate, effective percentage	5.879%	5.879%
Principal amount	$ 600	$ 600

Borrowing Facilities and Long-Term Debt (Details Textuals) - USD ($)	1 Months Ended
	May 31, 2013	Oct. 27, 2013	Oct. 28, 2012
Borrowing Facilities and Long Term Debt (Textuals) [Abstract]
Available revolving credit agreement		$ 1,600,000,000
Line of Credit Facility, Amount Outstanding		0	$ 0
Revolving Credit [Member]
Borrowing Facilities and Long Term Debt (Textuals) [Abstract]
Available revolving credit agreement		1,500,000,000
Credit revolving extension period	1 year
Foreign Line of Credit [Member]
Borrowing Facilities and Long Term Debt (Textuals) [Abstract]
Available revolving credit agreement		$ 82,000,000

Restructuring Charges and Asset Impairments (Details) - USD ($)
$ in Millions

12 Months Ended

Oct. 27, 2013

Oct. 28, 2012

Oct. 30, 2011

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

$ 63

$ 168

$ (30)

Asset impairment charges

2012 Global Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

^[1]

106

2012 EES Restructuring Plan [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

2012 EES Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

^[2]

2012 EES Restructuring Plan [Member] | Contract cancellation and other costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

2012 EES Restructuring Plan [Member] | Asset impairments [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

2010 EES Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

(36)

2010 EES Restructuring Plan [Member] | Asset impairments [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

2010 Global Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

(19)

Others [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

(5)

Others [Member] | Contract cancellation and other costs [Member]

Restructuring Cost and Reserve [Line Items]

Restructuring charges and asset impairments

$ (4)

$ 0

[1]	Includes share-based compensation expense, with the offset recorded in additional paid-in capital.
[2]	Includes post-retirement benefit expense, with the offset recorded in accumulated other comprehensive loss.

Restructuring Charges and Asset Impairments (Details 1) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Restructuring Cost and Reserve [Line Items]
Restructuring charges and asset impairments	$ 63	$ 168	$ (30)
Silicon Systems Group [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges and asset impairments	1	4	0
Applied Global Services [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges and asset impairments	2	15	24
Energy and Environmental Solutions [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges and asset impairments	25	38	(33)
Corporate Unallocated [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges and asset impairments	$ 35	$ 111	$ (21)

Restructuring Charges and Asset Impairments (Details 2) - USD ($)
$ in Millions

12 Months Ended

Oct. 27, 2013

Oct. 28, 2012

Oct. 30, 2011

Restructuring Cost and Reserve [Line Items]

Beginning Balance

$ 133

$ 11

$ 104

Provision for restructuring reserves

148

Consumption of reserves

(136)

(26)

(33)

Adjustment of restructuring reserves

(10)

^[1]

(60)

Ending Balance

133

2012 Global Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

106

Provision for restructuring reserves

106

Consumption of reserves

(111)

Adjustment of restructuring reserves

(4)

^[1]

Ending Balance

106

2012 EES Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

Provision for restructuring reserves

Consumption of reserves

(18)

(11)

Adjustment of restructuring reserves

^[1]

Ending Balance

2012 EES Restructuring Plan [Member] | Contract cancellation and other costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

Provision for restructuring reserves

Consumption of reserves

(2)

Adjustment of restructuring reserves

(2)

^[1]

Ending Balance

2010 EES Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

Provision for restructuring reserves

Consumption of reserves

(1)

(5)

Adjustment of restructuring reserves

^[1]

(36)

Ending Balance

2010 Global Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

Provision for restructuring reserves

Consumption of reserves

(5)

(27)

Adjustment of restructuring reserves

^[1]

(19)

Ending Balance

Others [Member] | Severance and other employee-related costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

Provision for restructuring reserves

Consumption of reserves

(5)

(9)

(1)

Adjustment of restructuring reserves

^[1]

(5)

Ending Balance

Others [Member] | Contract cancellation and other costs [Member]

Restructuring Cost and Reserve [Line Items]

Beginning Balance

Provision for restructuring reserves

Consumption of reserves

Adjustment of restructuring reserves

(4)

^[1]

Ending Balance

$ 1

$ 5

[1]	Adjustment of restructuring reserves for 2012 Global Restructuring plan represents reclassification of post-retirement benefit liability to other liabilities.

Restructuring Charges and Asset Impairments (Details Textuals)
$ in Millions

12 Months Ended

13 Months Ended

18 Months Ended

Oct. 03, 2012

USD ($)

positions

Oct. 27, 2013

USD ($)

Oct. 28, 2012

USD ($)

Oct. 30, 2011

USD ($)

Oct. 27, 2013

USD ($)

Oct. 27, 2013

USD ($)

positions

Oct. 31, 2010

USD ($)

Restructuring and Asset Impairments (Textuals) [Abstract]

Restructuring charges, asset impairments, and (favorable adjustments)

$ 63

$ 168

$ (30)

Restructuring reserve

133

$ 39

$ 104

2012 Global Restructuring Plan [Member] | Minimum [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Reduction in Global Workforce (in positions) | positions

900

Reduction in Global Workforce, percent

6.00%

2012 Global Restructuring Plan [Member] | Maximum [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Reduction in Global Workforce (in positions) | positions

1,300

Reduction in Global Workforce, percent

9.00%

Expected restructuring charges

$ 160

2012 Global Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Cost incurred to date

145

Restructuring charges, asset impairments, and (favorable adjustments)

^[1]

106

Restructuring reserve

106

2012 EES Restructuring Plan [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Cost incurred to date

$ 87

Restructuring charges, asset impairments, and (favorable adjustments)

2012 EES Restructuring Plan [Member] | Maximum [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Number of positions eliminated | positions

300

2012 EES Restructuring Plan [Member] | Severance and other employee-related costs [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Restructuring charges, asset impairments, and (favorable adjustments)

^[2]

Restructuring reserve

$ 5

2012 EES Restructuring Plan [Member] | Inventory-related Charges [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Cost incurred to date

2012 EES Restructuring Plan [Member] | Asset Impairments [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Restructuring charges, asset impairments, and (favorable adjustments)

Others [Member] | Severance and other employee-related costs [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Restructuring charges, asset impairments, and (favorable adjustments)

(5)

Restructuring reserve

$ 2

$ 5

$ 2

$ 6

Restructuring Programs Announced Prior to Fiscal 2012 [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Restructuring charges, asset impairments, and (favorable adjustments)

(60)

Restructuring Programs Announced Prior to Fiscal 2012 [Member] | Asset Impairments [Member]

Restructuring and Asset Impairments (Textuals) [Abstract]

Restructuring charges, asset impairments, and (favorable adjustments)

$ 30

[1]	Includes share-based compensation expense, with the offset recorded in additional paid-in capital.
[2]	Includes post-retirement benefit expense, with the offset recorded in accumulated other comprehensive loss.

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Components of accumulated other comprehensive loss, after-tax basis
Unrealized gain on investments, net	$ 25	$ 16
Unrealized gain on derivative instruments qualifying as cash flow hedges	2	1
Pension liability	(72)	(90)
Cumulative translation adjustments	7	12
Accumulated other comprehensive loss	$ (38)	$ (61)

- 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

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 1) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Summary of stock repurchases
Shares of common stock repurchased (in shares)	18	126	36
Cost of stock repurchased	$ 245	$ 1,416	$ 468
Average price paid per share (in dollars per share)	$ 13.60	$ 11.22	$ 12.88

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 2) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Total share-based compensation and related tax benefits
Share-based compensation	$ 162	$ 182	$ 146
Tax benefit recognized	$ 45	$ 52	$ 42

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 3) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total share-based compensation	$ 162	$ 182	$ 146
Cost of products sold [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total share-based compensation	50	54	48
Research, development, and engineering [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total share-based compensation	53	54	46
Marketing and selling [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total share-based compensation	20	22	16
General and administrative [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total share-based compensation	34	52	36
Restructuring charge [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total share-based compensation	$ 5	$ 0	$ 0

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 4) - Stock Options [Member]	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012
Weighted Average Assumptions Used For Stock Options Granted
Dividend yield	2.70%	2.60%
Expected volatility	29.50%	38.70%
Risk-free interest rate	1.44%	0.52%
Expected life (in years)	4 years 6 months	3 years 3 months 19 days

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 5) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Equity [Abstract]
Aggregate intrinsic value of outstanding stock options	$ 49	$ 43	$ 58
Total intrinsic value of stock options exercised	63	21	23
Total fair value of stock options vested	4	41	17
Cash received from stock option exercises	88	33	41
Actual tax benefit realized from options exercised	$ 19	$ 7	$ 11

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 6) - $ / shares shares in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Shares
Beginning Balance	21	30	51
Granted and assumed in Varian acquisition	1	5	0
Exercised	(11)	(4)	(5)
Canceled and forfeited	(5)	(10)	(16)
Ending Balance	6	21	30
Exercisable, Shares	5	20	24
Weighted Average Exercise Price
Beginning Balance (in dollars per share)	$ 10.53	$ 13.05	$ 15.04
Granted and assumed in Varian acquisition (in dollars per share)	15.06	4.85	0.00
Exercised (in dollars per share)	8.16	7.30	9.21
Canceled and forfeited (in dollars per share)	17.62	16.76	20.28
Ending Balance (in dollars per share)	9.12	10.53	13.05
Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 7.90	$ 10.71	$ 14.23

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 7) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Options outstanding and exercisable
Options outstanding, Number of Shares	6
Options exercisable and expected to become exercisable, Number of Shares	6
Options outstanding, Weighted Average Exercise Price (in dollars per share)	$ 9.12
Options exercisable and expected to become exercisable, Weighted Average Exercise Price (in dollars per share)	$ 8.95
Options outstanding, Weighted Average Remaining Contractual Life	2 years 4 months 17 days
Options exercisable and expected to become exercisable, Weighted Average Remaining Contractual Life	2 years 3 months
Options outstanding, Aggregate Intrinsic Value	$ 49	$ 43	$ 58
Options exercisable and expected to become exercisable, Aggregate Intrinsic Value	$ 49
Options exercisable, Number of Shares	5
Options exercisable, Weighted Average Exercise Price (in dollars per share)	$ 7.90
Options exercisable, Aggregate Intrinsic Value	$ 45
Range $3.09 - $9.99 [Member]
Options outstanding and exercisable
Exercise price range, lower range limit (in dollar per share)	$ 3.09
Exercise price range, upper range limit (in dollar per share)	$ 9.99
Options outstanding, Number of Shares	5
Options outstanding, Weighted Average Exercise Price (in dollars per share)	$ 7.23
Options outstanding, Weighted Average Remaining Contractual Life	1 year 5 months 20 days
Options outstanding, Aggregate Intrinsic Value	$ 46
Options exercisable, Number of Shares	4
Options exercisable, Weighted Average Exercise Price (in dollars per share)	$ 7.26
Options exercisable, Aggregate Intrinsic Value	$ 44
Range $10.00 - $19.99 [Member]
Options outstanding and exercisable
Exercise price range, lower range limit (in dollar per share)	$ 10
Exercise price range, upper range limit (in dollar per share)	$ 19.99
Options outstanding, Number of Shares	1
Options outstanding, Weighted Average Exercise Price (in dollars per share)	$ 15.00
Options outstanding, Weighted Average Remaining Contractual Life	5 years 6 months 19 days
Options outstanding, Aggregate Intrinsic Value	$ 3
Options exercisable, Number of Shares	1
Options exercisable, Weighted Average Exercise Price (in dollars per share)	$ 14.77
Options exercisable, Aggregate Intrinsic Value	$ 1

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 8) - shares
shares in Millions

12 Months Ended

Oct. 27, 2013

Oct. 28, 2012

Oct. 30, 2011

Oct. 31, 2010

Performance Based Awards 2013 [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Percent of Performance-Based Awards Earned

^[1]

0.00%

Performance Based Awards 2013 [Member] | Performance Shares/Performance Units [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

3.0

Performance Based Awards 2013 [Member] | Restricted Stock [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

0.0

Performance Based Awards 2012 [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Percent of Performance-Based Awards Earned

^[1]

14.00%

Performance Based Awards 2012 [Member] | Performance Shares/Performance Units [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

3.0

Performance Based Awards 2012 [Member] | Restricted Stock [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

1.0

Performance Based Awards 2011 [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Percent of Performance-Based Awards Earned

^[1]

100.00%

Performance Based Awards 2011 [Member] | Performance Shares/Performance Units [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

2.0

Performance Based Awards 2011 [Member] | Restricted Stock [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

0.1

Performance Based Awards 2010 [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Percent of Performance-Based Awards Earned

^[1]

82.00%

Performance Based Awards 2010 [Member] | Performance Shares/Performance Units [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

2.0

Performance Based Awards 2010 [Member] | Restricted Stock [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of Performance-Based Awards Granted

0.1

[1]	subject to additional time-based vesting requirements

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 9) - Restricted Stock Units, Restricted Stock, Performance Shares and Performance Units [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011	Oct. 31, 2010
Restricted stock units, restricted stock, performance shares and performance units
Beginning Balance	36	28	18
Granted	19	19	17
Vested	(11)	(9)	(5)
Canceled	(6)	(2)	(2)
Ending Balance	38	36	28	18
Non-vested restricted stock units, restricted stock, performance shares and performance units expected to vest	34
Weighted Average Grant Date Fair Value
Beginning of Period (in dollars per share)	$ 11.53	$ 12.64	$ 13.33
Granted (in dollars per share)	10.55	10.61	12.62
Vested (in dollars per share)	11.44	12.87	14.64
Canceled (in dollars per share)	11.28	12.26	13.11
Ending Balance (in dollars per share)	11.11	$ 11.53	$ 12.64	$ 13.33
Non-vested restricted stock units, restricted stock, performance shares and performance units expected to vest, Weighted Average Remaining Fair Value (in dollars per share)	$ 10.93
Weighted Average Remaining Contractual Term
Weighted average remaining contractual term	2 years 4 months 25 days	2 years 7 months 6 days	2 years 9 months 18 days	2 years 9 months 18 days
Non-vested restricted stock units, restricted stock, performance shares and performance units expected to vest, Weighted Average Remaining Contractual Term	2 years 4 months 25 days
Aggregate Intrinsic Value
End of the period	$ 662	$ 376	$ 345	$ 227
Non-vested restricted stock units, restricted stock, performance shares and performance units expected to vest, Aggregate Intrinsic Value	$ 594

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details 10) - Employee Stock [Member]	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Weighted Average Assumptions Used For Stock Options Granted
Dividend yield	2.80%	3.01%	2.53%
Expected volatility	24.80%	29.60%	31.10%
Risk-free interest rate	0.09%	0.13%	0.09%
Expected life (in years)	6 months	6 months	6 months

Stockholders' Equity, Comprehensive Income and Share-Based Compensation (Details Textuals) $ / shares in Units, shares in Millions			12 Months Ended
	Oct. 27, 2013 USD ($) shares	Mar. 05, 2012 USD ($)	Oct. 27, 2013 USD ($) Plan $ / shares shares	Oct. 28, 2012 USD ($) $ / shares shares	Oct. 30, 2011 USD ($) $ / shares shares
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Remaining authorized repurchase amount	$ 1,600,000,000
Authorized amount		$ 3,000,000,000.0
Period in force		3 years
Change in defined benefit plan liability			$ 18,000,000
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Tax			7,000,000
Dividend declared, amount			$ 469,000,000	$ 438,000,000	$ 408,000,000
Number of employee stock purchase plans \| Plan			2
Options granted \| shares			1	5	0
Additional performance-based awards to be earned upon certain levels of achievement \| shares	2		2
Number of shares issued under the ESPP \| shares			7	7	6
First Quarter Dividend [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Cash dividend declared \| $ / shares			$ 0.09	$ 0.08	$ 0.07
Second Quarter Dividend [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Cash dividend declared \| $ / shares			0.10	0.09	0.08
Third Quarter Dividend [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Cash dividend declared \| $ / shares			0.10	0.09	0.08
Fourth Quarter Dividend [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Cash dividend declared \| $ / shares			$ 0.10	0.09	0.08
Employee Stock Purchase Plan [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Number of shares available for grant \| shares	40		40
Purchase price of common stock, percent			85.00%
Purchase period			6-month
Weighted average estimated fair value of purchase rights under ESPP \| $ / shares			$ 3.08	$ 2.73	$ 3.03
Employee Stock [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Total unrecognized compensation expense	$ 250,000,000		$ 250,000,000
Weighted average period for unrecognized compensation expense to be recognized			2 years 4 months 24 days
Number of shares available for grant \| shares	183		183
Stock Options [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Stock options scheduled to expire			7 years
Stock Options [Member] \| Minimum [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Stock options scheduled to be vested			3 years
Stock Options [Member] \| Maximum [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Stock options scheduled to be vested			4 years
Restricted Stock Awards [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Tax benefit realized			$ 42,000,000	$ 27,000,000	$ 22,000,000
Restricted Stock [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Award conversion ratio to common stock			1
Performance Shares/Performance Units [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Award conversion ratio to common stock			1
Restricted Stock Units, Restricted Stock, Performance Shares and Performance Units [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Stock options scheduled to be vested			4 years
Restricted Stock Units, Restricted Stock, Performance Shares and Performance Units [Member] \| Minimum [Member] \| Certain Executive Officers [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Stock options scheduled to be vested			3 years
Restricted Stock Units, Restricted Stock, Performance Shares and Performance Units [Member] \| Maximum [Member] \| Certain Executive Officers [Member]
Stockholders' Equity Comprehensive Income and Share-Based Compensation (Textuals) [Abstract]
Stock options scheduled to be vested			4 years

Employee Benefit Plans (Details) - USD ($) $ in Millions	12 Months Ended
Employee Benefit Plans (Details) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Change in projected benefit obligation
Beginning projected benefit obligation	$ 434	$ 303
Service cost	20	16	$ 15
Interest cost	15	14	14
Plan participants' contributions	1	1
Actuarial (gain) loss	(16)	96
Curtailments, settlements and special termination benefits	(8)	(3)
Foreign currency exchange rate changes	10	(4)
Benefits paid	(10)	(7)
Plan amendments and business combinations	(1)	18
Ending projected benefit obligation	445	434	303
Ending accumulated benefit obligation	409	395
Change in plan assets
Beginning fair value of plan assets	214	183
Return on plan assets	18	14
Employer contributions	24	31
Plan participants' contributions	1	1
Foreign currency exchange rate changes	8	(4)
Divestitures, settlements and business combinations	(7)	(4)
Benefits paid	(10)	(7)
Ending fair value of plan assets	248	214	$ 183
Funded status	(197)	(220)
Amounts recognized in the consolidated balance sheets
Noncurrent asset	9	5
Current liability	(4)	(4)
Noncurrent liability	(202)	(221)
Total	(197)	(220)
Estimated amortization from accumulated other comprehensive loss into net periodic benefit cost over the next fiscal year
Actuarial loss	4	6
Prior service cost (credit)	0	(1)
Total	4	5
Amounts recognized in accumulated other comprehensive loss
Net actuarial loss	91	117
Prior service cost (credit)	2	(3)
Total	93	114
Plans with projected benefit obligations in excess of plan assets
Projected benefit obligation	438	428
Fair value of plan assets	233	202
Plans with accumulated benefit obligations in excess of plan assets
Accumulated benefit obligation	269	389
Fair value of plan assets	99	202
Equity securities [Member]
Change in plan assets
Beginning fair value of plan assets	79
Ending fair value of plan assets	$ 92	$ 79
Plans with accumulated benefit obligations in excess of plan assets
Plan assets — allocation	37.00%	37.00%
Debt securities [Member]
Change in plan assets
Beginning fair value of plan assets	$ 70
Ending fair value of plan assets	$ 90	$ 70
Plans with accumulated benefit obligations in excess of plan assets
Plan assets — allocation	36.00%	33.00%
Insurance contracts [Member]
Change in plan assets
Beginning fair value of plan assets	$ 49
Ending fair value of plan assets	$ 47	$ 49
Plans with accumulated benefit obligations in excess of plan assets
Plan assets — allocation	19.00%	23.00%
Commingled funds [Member]
Change in plan assets
Beginning fair value of plan assets	$ 12
Ending fair value of plan assets	$ 12	$ 12
Plans with accumulated benefit obligations in excess of plan assets
Plan assets — allocation	5.00%	5.00%
Cash [Member]
Change in plan assets
Beginning fair value of plan assets	$ 4
Ending fair value of plan assets	$ 7	$ 4
Plans with accumulated benefit obligations in excess of plan assets
Plan assets — allocation	3.00%	2.00%
Minimum [Member]
Range of assumptions to determine benefit obligations
Discount rate	1.10%	1.30%
Rate of compensation increase	2.00%	2.00%
Maximum [Member]
Range of assumptions to determine benefit obligations
Discount rate	4.50%	4.70%
Rate of compensation increase	4.70%	8.00%

Employee Benefit Plans (Details 1) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	$ 248	$ 214	$ 183
Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	189	153
Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	12	12
Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	47	49	$ 48
Equity securities [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	92	79
Equity securities [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	92	79
Equity securities [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Equity securities [Member] \| Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Debt securities [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	90	70
Debt securities [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	90	70
Debt securities [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Debt securities [Member] \| Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Insurance contracts [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	47	49
Insurance contracts [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Insurance contracts [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Insurance contracts [Member] \| Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	47	49
Commingled funds [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	12	12
Commingled funds [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Commingled funds [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	12	12
Commingled funds [Member] \| Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Cash [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	7	4
Cash [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	7	4
Cash [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	0	0
Cash [Member] \| Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan of assets	$ 0	$ 0

Employee Benefit Plans (Details 2) - USD ($) $ in Millions	12 Months Ended
Employee Benefit Plans (Details 2) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Change in plan assets
Beginning fair value of plan assets	$ 214	$ 183
Actual return on plan assets:
Currency impact	8	(4)
Ending fair value of plan assets	248	214
Level 3 [Member]
Change in plan assets
Beginning fair value of plan assets	49	48
Actual return on plan assets:
Relating to assets still held at reporting date	(1)	1
Purchases, sales, settlements, net	(4)	3
Currency impact	3	(3)
Ending fair value of plan assets	$ 47	$ 49

Employee Benefit Plans (Details 3) - USD ($) $ in Millions	12 Months Ended
Employee Benefit Plans (Details 3) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Components of net periodic benefit costs of defined and postretirement benefit plans
Service cost	$ 20	$ 16	$ 15
Interest cost	15	14	14
Expected return on plan assets	(12)	(11)	(11)
Amortization of actuarial loss and prior service credit	6	0	2
Settlement and curtailments loss (gain)	0	6	(2)
Net periodic benefit cost	$ 29	$ 25	$ 18
Weighted average assumptions
Discount rate	3.46%	4.53%	4.33%
Expected long-term return on assets	5.38%	5.91%	6.39%
Rate of compensation increase	3.07%	3.09%	3.42%

Employee Benefit Plans (Details 4) $ in Millions	Oct. 27, 2013 USD ($)
Defined Benefit Plan, Estimated Future Benefit Payments [Abstract]
2014	$ 14
2015	14
2016	15
2017	15
2018	17
2019-2023	98
Total	$ 173

Employee Benefit Plans (Details Textuals) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Defined Benefit Plan Disclosure [Line Items]
Charges to expense under Employee bonus plans	$ 269	$ 271	$ 319
Liability under U.S. post retirement plan	202	221
Estimated company contributions to pension plans and the post-retirement plan	18
Executive Deferred Compensation Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Amounts payable under EDCP	$ 49	57
Other Postretirement Benefit Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Line Items]
Minimum age limit for medical and vision benefits	55 years
Minimum age limit for medical and vision benefits, years	65 years
Liability under U.S. post retirement plan	$ 34	33
Savings and Retirement Plan [Member]
Defined Benefit Plan Disclosure [Line Items]
Employer matching contribution, percent of match	100.00%
Employer matching contribution, percent of employees' gross pay	3.00%
Employer matching contribution, percent of match, second tier	50.00%
Percentage vested in matching contribution account for participants employed after January 1, 2010	100.00%
Employer discretionary contribution amount	$ 29	$ 37	$ 27
Contributions under Employee Savings and Retirement Plan - forfeitures	$ 1
Savings and Retirement Plan [Member] \| Minimum [Member]
Defined Benefit Plan Disclosure [Line Items]
Employer matching contribution, percent of employees' gross pay, second tier	4.00%
Savings and Retirement Plan [Member] \| Maximum [Member]
Defined Benefit Plan Disclosure [Line Items]
Employer matching contribution, percent of employees' gross pay, second tier	6.00%

Income Taxes (Details) - USD ($) $ in Millions	12 Months Ended
Income Taxes (Details) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Components of income from operations before income taxes
U.S.	$ 194	$ 381	$ 1,257
Foreign	156	(65)	1,121
Income before income taxes	350	316	2,378
Current:
U.S.	3	74	290
Foreign	72	75	206
State	2	8	5
Total current provision for income taxes	77	157	501
Deferred:
U.S.	34	52	(95)
Foreign	(19)	(4)	(23)
State	2	2	69
Total deferred provision (benefit) for income taxes	17	50	(49)
Provision for income taxes	$ 94	$ 207	$ 452
Reconciliation between the statutory U.S.federal income tax rate to actual effective income tax rate
Tax provision at U.S. statutory rate	35.00%	35.00%	35.00%
Resolutions from prior years’ income tax filings	(4.70%)	(6.00%)	(6.90%)
Effect of foreign operations taxed at various rates	(19.40%)	(8.50%)	(8.10%)
State income taxes, net of federal benefit	0.80%	2.00%	1.60%
Research and other tax credits	(5.40%)	(1.00%)	(1.20%)
Production benefit	(1.00%)	(8.00%)	(0.80%)
Goodwill impairment	22.50%	47.00%	0.00%
Share-based compensation	2.20%	4.00%	0.40%
Other	(3.10%)	1.00%	(1.00%)
Effective income tax rate	26.90%	65.50%	19.00%
Deferred tax assets:
Inventory reserves and basis difference	$ 134	$ 124
Installation and warranty reserves	14	27
Accrued liabilities	201	211
Restructuring reserves	5	23
Deferred revenue	27	36
Tax credits and net operating losses	182	111
Deferred compensation	33	41
Share-based compensation	60	51
Gross deferred tax assets	656	624
Valuation allowance	(116)	(46)
Total deferred tax assets	540	578
Deferred tax liabilities:
Fixed assets	(54)	(71)
Intangible assets	(94)	(178)
Undistributed foreign earnings	(75)	(92)
Other	(14)	(18)
Total gross deferred tax liabilities	(237)	(359)
Net deferred tax assets	303	219
Breakdown between current and non-current net deferred tax assets and liabilities
Current deferred tax asset	323	369
Non-current deferred tax asset	53	51
Current deferred tax liability	(2)	(1)
Non-current deferred tax liability	(71)	(200)
Net deferred tax assets	303	219
Reconciliation of gross unrecognized tax benefits
Beginning balance of gross unrecognized tax benefits	174	59
Uncertainties arising from the acquistion of Varian	0	70
Settlements with tax authorities	(15)	(15)
Lapses of statutes of limitation	(15)	0
Increases in tax positions for current years	48	42
Increases in tax positions from prior years	2	51
Decreases in tax positions for prior years	0	(33)
Ending balance of gross unrecognized tax benefits	$ 194	$ 174	$ 59

Income Taxes (Details Textuals) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Income Tax Examination [Line Items]
Statutory U.S. federal income tax rate	35.00%	35.00%	35.00%
Tax holiday benefit	$ 15
Tax holiday benefit per diluted share	$ 0.08
Undistributed earnings from foregin subsidiaries	$ 2,200
Income tax benefits allocated directly to stockholders' equity	11	$ 2	$ 4
Interest and penalties related to uncertain tax positions	7	7
Tax benefit recognized in relation to the tax refund received	12	0	$ 176
Maximum [Member]
Income Tax Examination [Line Items]
Approximate reduction to unrecognized tax benefits in the next 12 months	115
Internal Revenue Service [Member]
Income Tax Examination [Line Items]
Income tax refund	31	$ 276
Payments for tax settlements	14
State and Local Jurisdiction [Member]
Income Tax Examination [Line Items]
Net operating loss carryforwards	65
Research [Member] \| Internal Revenue Service [Member]
Income Tax Examination [Line Items]
Tax credit carryforwards	$ 19
Tax credit carryforward, term	20 years
Research [Member] \| State and Local Jurisdiction [Member]
Income Tax Examination [Line Items]
Tax credit carryforwards	$ 109
Research, carried over until exhausted [Member] \| State and Local Jurisdiction [Member]
Income Tax Examination [Line Items]
Tax credit carryforwards	89
Research, carried over the next fifteen years [Member] \| State and Local Jurisdiction [Member]
Income Tax Examination [Line Items]
Tax credit carryforwards	$ 19
Tax credit carryforward, term	15 years
Foreign tax credit carryforward [Member] \| Internal Revenue Service [Member]
Income Tax Examination [Line Items]
Tax credit carryforwards	$ 51
Tax credit carryforward, term	10 years

Warranty, Guarantees and Contingencies (Details) $ in Millions	Oct. 27, 2013 USD ($)
Future minimum lease payments
2014	$ 28
2015	19
2016	13
2017	10
2018	7
Thereafter	10
Total	$ 87

Warranty, Guarantees and Contingencies (Details 1) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012
Changes in the warranty reserves
Beginning balance	$ 119	$ 168
Provisions for warranty	103	107
Consumption of reserves	(120)	(156)
Ending balance	$ 102	$ 119

Warranty, Guarantees and Contingencies (Details Textuals) $ in Millions	12 Months Ended
	Oct. 27, 2013 USD ($)	Oct. 28, 2012 USD ($)	Oct. 30, 2011 USD ($)	Feb. 07, 2013 employee
Warranty, Guarantees and Contingencies (Textuals) [Abstract]
Total rent expense	$ 36	$ 38	$ 44
Products warranty period, General	12 months
Maximum potential amount of future payments for letters of credit or other guarantee instruments	$ 41
Parent guarantees to banks	$ 102
Number of employees acquitted \| employee				9
Number of employees found guilty \| employee				1

Industry Segment Operations (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Oct. 27, 2013	Jul. 28, 2013	Apr. 28, 2013	Jan. 27, 2013	Oct. 28, 2012	Jul. 29, 2012	Apr. 29, 2012	Jan. 29, 2012	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Net sales and operating income (loss) for each reportable segment
Net Sales	$ 1,988	$ 1,975	$ 1,973	$ 1,573	$ 1,646	$ 2,343	$ 2,541	$ 2,189	$ 7,509	$ 8,719	$ 10,517
Operating Income (Loss)									432	411	2,398
Depreciation/Amortization									410	422	246
Capital Expenditures									197	162	209
Segment Assets	12,043				12,102				12,043	12,102
Operating Segments [Member]
Net sales and operating income (loss) for each reportable segment
Net Sales									7,509	8,719	10,517
Operating Income (Loss)									953	1,102	2,846
Depreciation/Amortization									303	319	106
Capital Expenditures									132	86	113
Segment Assets	7,959				7,932				7,959	7,932	5,270
Operating Segments [Member] \| Silicon Systems Group [Member]
Net sales and operating income (loss) for each reportable segment
Net Sales									4,775	5,536	5,415
Operating Income (Loss)									876	1,243	1,764
Depreciation/Amortization									260	256	52
Capital Expenditures									118	71	59
Segment Assets	5,525				5,106				5,525	5,106	2,036
Operating Segments [Member] \| Applied Global Services [Member]
Net sales and operating income (loss) for each reportable segment
Net Sales									2,023	2,285	2,413
Operating Income (Loss)									436	502	482
Depreciation/Amortization									13	17	13
Capital Expenditures									7	8	7
Segment Assets	1,958				2,035				1,958	2,035	1,337
Operating Segments [Member] \| Display [Member]
Net sales and operating income (loss) for each reportable segment
Net Sales									538	473	699
Operating Income (Loss)									74	25	147
Depreciation/Amortization									8	8	7
Capital Expenditures									6	1	31
Segment Assets	293				278				293	278	459
Operating Segments [Member] \| Energy and Environmental Solutions [Member]
Net sales and operating income (loss) for each reportable segment
Net Sales									173	425	1,990
Operating Income (Loss)									(433)	(668)	453
Depreciation/Amortization									22	38	34
Capital Expenditures									1	6	16
Segment Assets	$ 183				$ 513				$ 183	$ 513	$ 1,438

Industry Segment Operations (Details 1) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Reconciliations of total segment operating income to Applied's consolidated operating income (loss)
Income (loss) from operations	$ 432	$ 411	$ 2,398
Total segment operating income [Member]
Reconciliations of total segment operating income to Applied's consolidated operating income (loss)
Income (loss) from operations	953	1,102	2,846
Corporate and unallocated costs [Member]
Reconciliations of total segment operating income to Applied's consolidated operating income (loss)
Income (loss) from operations	(490)	(580)	(496)
Restructuring charges and asset impairments [Member]
Reconciliations of total segment operating income to Applied's consolidated operating income (loss)
Income (loss) from operations	(35)	(111)	21
Gain on sale of facility [Member]
Reconciliations of total segment operating income to Applied's consolidated operating income (loss)
Income (loss) from operations	$ 4	$ 0	$ 27

Industry Segment Operations (Details 2) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Reconciliations of depreciation and amortization expense to Applied consolidated totals
Depreciation and amortization	$ 410	$ 422	$ 246
Operating Segments [Member]
Reconciliations of depreciation and amortization expense to Applied consolidated totals
Depreciation and amortization	303	319	106
Unallocated Amount to Segment [Member]
Reconciliations of depreciation and amortization expense to Applied consolidated totals
Depreciation and amortization	$ 107	$ 103	$ 140

Industry Segment Operations (Details 3) - USD ($) $ in Millions	12 Months Ended
	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Reconciliation of capital expenditures to applied's consolidated totals
Capital expenditures	$ 197	$ 162	$ 209
Operating Segments [Member]
Reconciliation of capital expenditures to applied's consolidated totals
Capital expenditures	132	86	113
Shared facilities and information technology assets [Member]
Reconciliation of capital expenditures to applied's consolidated totals
Capital expenditures	$ 65	$ 76	$ 96

Industry Segment Operations (Details 4) - USD ($) $ in Millions	Oct. 27, 2013	Oct. 28, 2012
Reconciliation of segment assets to Applied's consolidated totals
Assets	$ 12,043	$ 12,102
Allowance for bad debts	(74)	(87)
Deferred income taxes	540	578
Property, plant and equipment	850	910
Operating Segments [Member]
Reconciliation of segment assets to Applied's consolidated totals
Assets	7,959	7,932
Unallocated Amount to Segment [Member]
Reconciliation of segment assets to Applied's consolidated totals
Cash and investments	2,896	2,992
Allowance for bad debts	(74)	(87)
Deferred income taxes	376	420
Other current assets	203	98
Property, plant and equipment	541	588
Other assets	$ 142	$ 159

Industry Segment Operations (Details 5) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Oct. 27, 2013	Jul. 28, 2013	Apr. 28, 2013	Jan. 27, 2013	Oct. 28, 2012	Jul. 29, 2012	Apr. 29, 2012	Jan. 29, 2012	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Net sales and long-lived assets by geographic region
Net Sales	$ 1,988	$ 1,975	$ 1,973	$ 1,573	$ 1,646	$ 2,343	$ 2,541	$ 2,189	$ 7,509	$ 8,719	$ 10,517
Long-lived Assets	914				988				914	988	951
United States [Member]
Net sales and long-lived assets by geographic region
Net Sales									1,473	1,749	1,963
Long-lived Assets	620				666				620	666	623
China [Member]
Net sales and long-lived assets by geographic region
Net Sales									787	783	2,574
Long-lived Assets	65				74				65	74	81
Taiwan [Member]
Net sales and long-lived assets by geographic region
Net Sales									2,640	2,411	2,093
Long-lived Assets	37				36				37	36	33
Korea [Member]
Net sales and long-lived assets by geographic region
Net Sales									924	1,897	1,263
Long-lived Assets	8				9				8	9	8
Europe [Member]
Net sales and long-lived assets by geographic region
Net Sales									680	863	1,120
Long-lived Assets	99				110				99	110	128
Japan [Member]
Net sales and long-lived assets by geographic region
Net Sales									685	704	912
Long-lived Assets	4				6				4	6	7
Southeast Asia [Member]
Net sales and long-lived assets by geographic region
Net Sales									320	312	592
Long-lived Assets	81				87				81	87	71
Total outside United States [Member]
Net sales and long-lived assets by geographic region
Net Sales									6,036	6,970	8,554
Long-lived Assets	$ 294				$ 322				$ 294	$ 322	$ 328

Industry Segment Operations (Details 6)	12 Months Ended
Industry Segment Operations (Details 6)	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Taiwan Semiconductor Manufacturing Company Limited [Member]
Companies accounted for at least 10 percent of Applied's net sales
Entity-Wide Revenue, Major Customer, Percentage	27.00%	16.00%	10.00%
Samsung Electronics Co., Ltd. [Member]
Companies accounted for at least 10 percent of Applied's net sales
Entity-Wide Revenue, Major Customer, Percentage	13.00%	20.00%	12.00%
Intel Corporation [Member]
Companies accounted for at least 10 percent of Applied's net sales
Entity-Wide Revenue, Major Customer, Percentage			10.00%

Industry Segment Operations (Details Textuals) $ in Millions	12 Months Ended
	Oct. 27, 2013 USD ($) Segment	Oct. 28, 2012 USD ($)
Industry Segment Operations (Textuals) [Abstract]
Number of reportable segments \| Segment	4
Corporate and unallocated costs [Member]
Industry Segment Operations (Textuals) [Abstract]
Deal costs and other acquisition related costs \| $	$ 17	$ 45

Unaudited Quarterly Consolidated Financial Data (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended								12 Months Ended
	Oct. 27, 2013	Jul. 28, 2013	Apr. 28, 2013	Jan. 27, 2013	Oct. 28, 2012	Jul. 29, 2012	Apr. 29, 2012	Jan. 29, 2012	Oct. 27, 2013	Oct. 28, 2012	Oct. 30, 2011
Unaudited Quarterly Consolidated Financial Data
Net sales	$ 1,988	$ 1,975	$ 1,973	$ 1,573	$ 1,646	$ 2,343	$ 2,541	$ 2,189	$ 7,509	$ 8,719	$ 10,517
Gross margin	795	806	808	582	586	930	1,011	786	2,991	3,313	4,360
Net income (loss)	$ 183	$ 168	$ (129)	$ 34	$ (515)	$ 218	$ 289	$ 117	$ 256	$ 109	$ 1,926
Diluted earnings (loss) per share (in dollars per share)	$ 0.15	$ 0.14	$ (0.11)	$ 0.03	$ (0.42)	$ 0.17	$ 0.22	$ 0.09	$ 0.21	$ 0.09	$ 1.45

- Definition

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

+ References

+ Details