Leasing Activity

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Leasing Activity

Note 5:  Leasing Activity

The information below provides a summary of our leasing activities as a lessor and lessee. See Note 5 (Leasing Activity) in our 2021 Form 10-K for additional information about our leasing activities.

As a Lessor

Noninterest income on leases, included in Table 5.1, is included in other noninterest income on our consolidated statement of income. Lease expense, included in other noninterest expense on our consolidated statement of income, was $188 million and $226 million in first quarter 2022 and 2021, respectively.

Table 5.1: Leasing Revenue

	Quarter ended March 31,
(in millions)	2022		2021
Interest income on lease financing	$	152	181
Other lease revenues:
Variable revenues on lease financing	30		26
Fixed revenues on operating leases	245		260
Variable revenues on operating leases	15		18
Other lease-related revenues (1)	37		11
Noninterest income on leases	327		315
Total leasing revenue	$	479	496

(1)Predominantly includes net gains (losses) on disposition of assets leased under operating leases or lease financings.

As a Lessee

Substantially all of our leases are operating leases. Table 5.2 presents balances for our operating leases.

Table 5.2: Operating Lease Right-of-Use (ROU) Assets and Lease Liabilities

(in millions)	Mar 31, 2022		Dec 31, 2021
ROU assets	$	3,782	3,805
Lease liabilities	4,415		4,476

Table 5.3 provides the composition of our lease costs, which are predominantly included in net occupancy expense.

Table 5.3: Lease Costs

	Quarter ended March 31,
(in millions)	2022		2021
Fixed lease expense – operating leases	$	253	265
Variable lease expense	73		78
Other (1)	(10)		(3)
Total lease costs	$	316	340

(1)Predominantly includes gains recognized from sale leaseback transactions and sublease rental income.