Lease Arrangements

12 Months Ended

Dec. 31, 2015

The Company has non-cancelable operating leases for facilities through 2026. Future minimum lease payments and sublease proceeds under these leases with initial or remaining terms in excess of one year, including leases involved in facility restructurings, are as follows (dollars in millions):



	Operating Lease Commitments
Years ending December 31,
2016	$	26
2017	26
2018	23
2019	21
2020	15
Thereafter	22
Total future minimum lease payments	$	133
Sublease proceeds	(3		)
Net lease commitments	$	130

Certain leases contain provisions for renewal options and rent escalations based on increases in certain costs incurred by the lessor. Rent expense, net of sublease income, was $22 million, $21 million and $22 million for the years ended December 31, 2015, 2014 and 2013, respectively. Rent expense, which is recorded in the occupancy and equipment line item in the consolidated statement of income, excludes costs related to leases involved in facility restructurings, which are recorded in the restructuring and other exit activities line item in the consolidated statement of income.

On October 31, 2014, the Company executed a sale-leaseback transaction on its office located in Alpharetta, Georgia. See Note 8—Property and Equipment, Net for more information.