Leases (Tables)

12 Months Ended

Dec. 31, 2020

The following tables illustrate the financial impact of our leases as of and for the years ended December 31, 2020 and December 31, 2019, along with other supplemental information about our existing leases:


	Year Ended December 31
Millions of dollars	2020		2019
Components of lease expense:
Finance lease cost:
Amortization of right-of-use assets	$	19	$	19
Interest on lease liabilities	32		51
Operating lease cost	296		355
Short-term lease cost	31		110
Sublease income	(4)		(5)
Total lease cost	$	374	$	530

Lease supplemental disclosure


	As of December 31
Millions of dollars	2020		2019
Components of balance sheet:
Operating leases:
Operating lease right-of-use assets (non-current)	$	786	$	931
Current portion of operating lease liabilities	251		208
Operating lease liabilities (non-current)	758		825
Finance leases:
Other assets (non-current)	$	113	$	123
Other current liabilities	24		19
Other liabilities (non-current)	118		124

During the years ended December 31, 2020 and December 31, 2019, impairment charges were recorded related to operating and finance lease right-of-use assets totaling $191 million and $139 million, respectively. See Note 2 to the consolidated financial statements for further discussion on impairments and other charges.


	Year Ended December 31
Millions of dollars except years and percentages	2020			2019
Other supplemental information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	299		$	316
Operating cash flows from finance leases	32			51
Financing cash flows from finance leases	21			24
Right-of-use assets obtained in exchange for lease obligations:
Operating leases (a)	$	447		$	1,362
Finance leases	39			74
Weighted-average remaining lease term:
Operating leases	8.6 years			9.5 years
Finance leases	6.4 years			5.4 years
Weighted-average discount rate for operating leases	4.1		%	4.4		%

(a) The 2019 balance primarily consists of operating lease right-of-use assets exchanged for lease obligations upon implementation of the new lease accounting standard on January 1, 2019.

Lessee, Operating and Finance Leases, Liability Maturity Table

The following table summarizes the maturity of our operating and finance leases as of December 31, 2020:


Millions of dollars	Operating Leases		Finance Leases
2021	$	287	$	63
2022	233		63
2023	146		62
2024	94		49
2025	70		38
Thereafter	428		55
Total lease payments	1,258		330
Less imputed interest	(249)		(188)
Total	$	1,009	$	142