Property, plant and equipment including equipment held for lease

6 Months Ended

Jun. 30, 2024

Property, plant and equipment including equipment held for lease

Note 11. Property, plant and equipment

A summary of property, plant and equipment of our insurance and other businesses follows (in millions).

	June 30, 2024			December 31, 2023
Land, buildings and improvements	$	15,277		$	15,058
Machinery and equipment		28,483			28,010
Furniture, fixtures and other		5,685			5,566
		49,445			48,634
Accumulated depreciation		(27,301	)		(26,604	)
	$	22,144		$	22,030

A summary of property, plant and equipment of our railroad and utilities and energy businesses follows (in millions). The utility generation, transmission and distribution systems and interstate natural gas pipeline assets are owned by regulated public utility and natural gas pipeline subsidiaries.

	June 30, 2024			December 31, 2023
Railroad:
Land, track structure and other roadway	$	72,725		$	71,692
Locomotives, freight cars and other equipment		16,461			16,256
Construction in progress		1,863			1,715
		91,049			89,663
Accumulated depreciation		(20,401	)		(19,464	)
		70,648			70,199
Utilities and energy:
Utility generation, transmission and distribution systems		97,682			96,195
Interstate natural gas pipeline assets		19,603			19,226
Independent power plants and other		14,891			14,781
Land, buildings and improvements		4,719			4,540
Machinery, equipment and other		4,040			3,855
Construction in progress		10,849			9,551
		151,784			148,148
Accumulated depreciation		(42,525	)		(40,731	)
		109,259			107,417
	$	179,907		$	177,616

Depreciation expense for the first six months of 2024 and 2023 is summarized below (in millions).

	First Six Months
	2024		2023
Insurance and other	$	1,226	$	1,158
Railroad, utilities and energy		3,553		3,494
	$	4,779	$	4,652

Equipment held for lease [Member]

Property, plant and equipment including equipment held for lease

Note 12. Equipment held for lease

Equipment held for lease includes railcars, aircraft and other equipment, including over-the-road trailers, intermodal tank containers, cranes, storage units and furniture. Equipment held for lease is summarized below (in millions).

	June 30, 2024			December 31, 2023
Railcars	$	10,148		$	10,031
Aircraft		13,340			12,537
Other		5,683			5,576
		29,171			28,144
Accumulated depreciation		(11,753	)		(11,197	)
	$	17,418		$	16,947

Depreciation expense for equipment held for lease in the first six months was $695 million in 2024 and $623 million in 2023. Fixed and variable operating lease revenues for the second quarter and first six months of 2024 and 2023 are summarized below (in millions).

	Second Quarter				First Six Months
	2024		2023		2024		2023
Fixed lease revenue	$	1,612	$	1,478	$	3,164	$	2,895
Variable lease revenue		696		601		1,366		1,228
	$	2,308	$	2,079	$	4,530	$	4,123