XML 91 R15.htm IDEA: XBRL DOCUMENT v3.24.2.u1
LEASES
 12 Months Ended
Jun. 30, 2024
Leases [Abstract]  
Leases LEASES
The Company has operating and finance leases primarily for real estate properties, including corporate offices, facilities to support the Company’s manufacturing, assembly, research and development and distribution operations and retail stores, as well as information technology equipment, automobiles and office equipment, with remaining terms of approximately 1 year to 56 years. Some of the Company’s lease contracts include options to extend the leases for up to 30 years, while others include options to terminate the leases within 25 years.
A summary of total lease costs and other information for the periods relating to the Company’s finance and operating leases is as follows:
June 30
(In millions)202420232022
Total lease cost
Finance lease cost:
Amortization of right-of-use assets
$11 $11 $12 
Interest on lease liabilities
— — — 
Operating lease cost
458 444 465 
Short-term lease cost
45 41 24 
Variable lease cost
227 213 332 
Total
$741 $709 $833 
Other information
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases
$489 $463 $506 
Financing cash flows from finance leases
$10 $15 $18 
Right-of-use assets obtained in exchange for new operating lease liabilities$466 $273 $279 
Right-of-use assets obtained in exchange for new finance lease liabilities$1 $34 $10 
Weighted-average remaining lease term – finance leases
16 years14 years3 years
Weighted-average remaining lease term – operating leases
9 years9 years9 years
Weighted-average discount rate – finance leases
0.3 %0.4 %1.0 %
Weighted-average discount rate – operating leases
2.8 %2.5 %2.4 %
The total future minimum lease payments, over the remaining lease term, relating to the Company’s operating and finance leases for each of the next five fiscal years and thereafter is as follows:
(In millions)Operating LeasesFinance Leases
Fiscal 2025$406 $4 
Fiscal 2026374 3 
Fiscal 2027303 2 
Fiscal 2028225 2 
Fiscal 2029167 1 
Thereafter841 20 
Total future minimum lease payments2,316 32 
Less imputed interest(261)— 
Total$2,055 $32 
Operating lease and finance lease liabilities included in the consolidated balance sheet are as follows:
June 30
20242023
(In millions)Operating LeasesFinance LeasesOperating LeasesFinance Leases
Total current liabilities
$354 $4 $357 $9 
Total noncurrent liabilities
1,701 28 1,698 33 
Total
$2,055 $32 $2,055 $42 
The ROU assets and lease liabilities related to finance leases are included in Other assets and in Current debt and Long-term debt, respectively, in the accompanying consolidated balance sheets as of June 30, 2024 and 2023.
Leases LEASES
The Company has operating and finance leases primarily for real estate properties, including corporate offices, facilities to support the Company’s manufacturing, assembly, research and development and distribution operations and retail stores, as well as information technology equipment, automobiles and office equipment, with remaining terms of approximately 1 year to 56 years. Some of the Company’s lease contracts include options to extend the leases for up to 30 years, while others include options to terminate the leases within 25 years.
A summary of total lease costs and other information for the periods relating to the Company’s finance and operating leases is as follows:
June 30
(In millions)202420232022
Total lease cost
Finance lease cost:
Amortization of right-of-use assets
$11 $11 $12 
Interest on lease liabilities
— — — 
Operating lease cost
458 444 465 
Short-term lease cost
45 41 24 
Variable lease cost
227 213 332 
Total
$741 $709 $833 
Other information
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases
$489 $463 $506 
Financing cash flows from finance leases
$10 $15 $18 
Right-of-use assets obtained in exchange for new operating lease liabilities$466 $273 $279 
Right-of-use assets obtained in exchange for new finance lease liabilities$1 $34 $10 
Weighted-average remaining lease term – finance leases
16 years14 years3 years
Weighted-average remaining lease term – operating leases
9 years9 years9 years
Weighted-average discount rate – finance leases
0.3 %0.4 %1.0 %
Weighted-average discount rate – operating leases
2.8 %2.5 %2.4 %
The total future minimum lease payments, over the remaining lease term, relating to the Company’s operating and finance leases for each of the next five fiscal years and thereafter is as follows:
(In millions)Operating LeasesFinance Leases
Fiscal 2025$406 $4 
Fiscal 2026374 3 
Fiscal 2027303 2 
Fiscal 2028225 2 
Fiscal 2029167 1 
Thereafter841 20 
Total future minimum lease payments2,316 32 
Less imputed interest(261)— 
Total$2,055 $32 
Operating lease and finance lease liabilities included in the consolidated balance sheet are as follows:
June 30
20242023
(In millions)Operating LeasesFinance LeasesOperating LeasesFinance Leases
Total current liabilities
$354 $4 $357 $9 
Total noncurrent liabilities
1,701 28 1,698 33 
Total
$2,055 $32 $2,055 $42 
The ROU assets and lease liabilities related to finance leases are included in Other assets and in Current debt and Long-term debt, respectively, in the accompanying consolidated balance sheets as of June 30, 2024 and 2023.