Leases

3 Months Ended

Mar. 31, 2019

Our lease arrangements are primarily for: (1) corporate, administrative, and development studio offices; (2) data centers and server equipment; and (3) live event production equipment. Our existing leases have remaining lease terms ranging from one to 10 years. In certain instances, such leases include one or more options to renew, with renewal terms that generally extend the lease term by one to five years for each option. The exercise of lease renewal options is generally at our sole discretion. Additionally, the majority of our leases are classified as operating leases; our financing leases are not material.

Information related to our operating leases are as follows (amounts in millions):



	Three Months Ended March 31, 2019
Lease costs
Operating lease costs	$	20
Variable lease costs	$	4
Supplemental Operating Cash Flows Information
Cash paid for amounts included in the measurement of lease liabilities	$	22
ROU assets obtained in exchange for new lease obligations	$	19
Weighted Average Lease terms and discount rates
Remaining lease term	5.23 years
Discount rate	4.15		%

Future undiscounted lease payments for our operating lease liabilities, and a reconciliation of these payments to our operating lease liabilities at March 31, 2019, are as follows (amounts in millions):



For the years ending December 31,
2019 (remaining nine months)	$	56
2020	67
2021	51
2022	46
2023	38
Thereafter	60
Total future lease payments	$	318
Less imputed interest	(35		)
Total lease liabilities	$	283

Operating lease ROU assets and liabilities recorded on our condensed consolidated balance sheet as of March 31, 2019, were as follows (amounts in millions):



	At March 31, 2019		Balance Sheet Classification
ROU assets	$	248	Other assets

Current lease liabilities	$	62	Accrued expenses and other current liabilities
Non-current lease liabilities	221		Other liabilities
	$	283	Total lease liabilities

Future minimum lease payments as of December 31, 2018, prior to our adoption of the new lease accounting standard, were as follows:



For the years ending December 31,
2019	$	80
2020	70
2021	53
2022	45
2023	38
Thereafter	60
Total	$	346