Property, plant and equipment including equipment held for lease

12 Months Ended

Dec. 31, 2019

Property, plant and equipment including equipment held for lease

(10) Property, plant and equipment

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

	December 31,
	2019			2018
Land	$	2,540		$	2,536
Buildings and improvements		10,719			9,959
Machinery and equipment		24,285			22,574
Furniture, fixtures and other		4,666			4,758
		42,210			39,827
Accumulated depreciation		(20,772	)		(19,199	)
	$	21,438		$	20,628

Notes to Consolidated Financial Statements (Continued)

(10) Property, plant and equipment (Continued)

A summary of property, plant and equipment of our railroad and our 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.

	December 31,
	2019			2018
Railroad:
Land, track structure and other roadway	$	62,404		$	59,509
Locomotives, freight cars and other equipment		13,482			13,016
Construction in progress		748			664
		76,634			73,189
Accumulated depreciation		(12,101	)		(10,004	)
		64,533			63,185
Utilities and energy:
Utility generation, transmission and distribution systems		81,127			77,288
Interstate natural gas pipeline assets		8,165			7,524
Independent power plants and other assets		8,817			8,324
Construction in progress		3,732			3,110
		101,841			96,246
Accumulated depreciation		(28,536	)		(27,651	)
		73,305			68,595
	$	137,838		$	131,780

Depreciation expense for each of the three years ending December 31, 2019 is summarized below (in millions).

	2019		2018		2017
Insurance and other	$	2,269	$	2,186	$	2,116
Railroad, utilities and energy		5,297		5,098		4,852
	$	7,566	$	7,284	$	6,968

Equipment held for lease [Member]

Property, plant and equipment including equipment held for lease

(11) Equipment held for lease

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

	December 31,
	2019			2018
Railcars	$	9,260		$	8,862
Aircraft		8,093			7,376
Other		4,862			4,379
		22,215			20,617
Accumulated depreciation		(7,150	)		(6,319	)
	$	15,065		$	14,298

Depreciation expense for equipment held for lease was $1,181 million in 2019, $1,102 million in 2018 and $751 million in 2017. Operating lease revenues in 2019 were $5,856 million consisting of $4,415 million of fixed lease revenue and $1,441 million of variable lease revenue.

Notes to Consolidated Financial Statements (Continued)

(11) Equipment held for lease (Continued)

Operating lease revenues were $5,732 million in 2018 and $2,452 million in 2017. In 2018, due to the adoption of ASC 606, $3,280 million was recorded as operating lease revenues that in previous years would have been recorded as sales and service revenues.

A summary of our remaining operating lease receipts as of December 31, 2019 follows (in millions).

2020		2021		2022		2023		2024		Thereafter		Total
$	2,623	$	1,914	$	1,367	$	889	$	468	$	439	$	7,700