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Leases
 12 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Leases Leases
PPG leases certain retail paint stores, warehouses, distribution facilities, office space, fleet vehicles and equipment.
The components of lease expense for the years ended December 31, 2021, 2020 and 2019 were as follows:
($ in millions)Classification in the Consolidated Statement of Income202120202019
Operating lease costCost of sales, exclusive of depreciation and amortization$41 $34 $34 
Operating lease costSelling, general and administrative219 206 198 
Total operating lease cost$260 $240 $232 
Finance lease cost:
Amortization of right-of-use assetsDepreciation$2 $2 $2 
Interest on lease liabilitiesInterest expense1 1 1 
Total finance lease cost$3 $3 $3 
Total lease cost$263 $243 $235 
Total operating lease cost for the years ended December 31, 2021, 2020 and 2019 is inclusive of the following:
($ in millions)202120202019
Variable lease costs$18 $17 $15 
Short-term lease costs$16 $8 $5 
The lease amounts included in the consolidated balance sheet as of December 31, 2021 and 2020 were as follows:
($ in millions)Classification on the Consolidated Balance Sheet20212020
Assets:
OperatingOperating lease right-of-use assets$891 $847 
Finance(1)
Property, plant, and equipment, net13 17 
Total leased assets$904 $864 
Liabilities:
Current
OperatingCurrent portion of operating lease liabilities$192 $180 
FinanceShort-term debt and current portion of long-term debt3 3 
Noncurrent
OperatingOperating lease liabilities$693 $677 
FinanceLong-term debt7 9 
Total lease liabilities$895 $869 
(1)Net of accumulated depreciation of $13 million as of December 31, 2021 and 2020.
Supplemental cash flow information related to leases for the years ended December 31, 2021, 2020 and 2019 was as follows:
($ in millions)202120202019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases$224 $212 $210 
Operating cash flows paid for finance leases$1 $1 $1 
Financing cash flows paid for finance leases$3 $2 $4 
Right-of-use assets obtained in exchange for lease obligations:
Operating leases$253 $227 $219 
Finance leases$— $4 $1 
Lease terms and discount rates as of December 31, 2021, 2020 and 2019 were as follows:
202120202019
Weighted-average remaining lease term (in years)
Operating leases7.17.47.4
Finance leases6.46.16.2
Weighted-average discount rate
Operating leases2.1 %2.4 %3.0 %
Finance leases5.8 %7.0 %9.4 %
As of December 31, 2021, maturities of lease liabilities were as follows:
($ in millions)Operating LeasesFinance Leases
2022$210 $3 
2023170 3 
2024133 2 
2025103 1 
202680 1 
Thereafter262 2 
Total lease payments$958 $12 
Less: Interest73 2 
Total lease obligations$885 $10 
Leases Leases
PPG leases certain retail paint stores, warehouses, distribution facilities, office space, fleet vehicles and equipment.
The components of lease expense for the years ended December 31, 2021, 2020 and 2019 were as follows:
($ in millions)Classification in the Consolidated Statement of Income202120202019
Operating lease costCost of sales, exclusive of depreciation and amortization$41 $34 $34 
Operating lease costSelling, general and administrative219 206 198 
Total operating lease cost$260 $240 $232 
Finance lease cost:
Amortization of right-of-use assetsDepreciation$2 $2 $2 
Interest on lease liabilitiesInterest expense1 1 1 
Total finance lease cost$3 $3 $3 
Total lease cost$263 $243 $235 
Total operating lease cost for the years ended December 31, 2021, 2020 and 2019 is inclusive of the following:
($ in millions)202120202019
Variable lease costs$18 $17 $15 
Short-term lease costs$16 $8 $5 
The lease amounts included in the consolidated balance sheet as of December 31, 2021 and 2020 were as follows:
($ in millions)Classification on the Consolidated Balance Sheet20212020
Assets:
OperatingOperating lease right-of-use assets$891 $847 
Finance(1)
Property, plant, and equipment, net13 17 
Total leased assets$904 $864 
Liabilities:
Current
OperatingCurrent portion of operating lease liabilities$192 $180 
FinanceShort-term debt and current portion of long-term debt3 3 
Noncurrent
OperatingOperating lease liabilities$693 $677 
FinanceLong-term debt7 9 
Total lease liabilities$895 $869 
(1)Net of accumulated depreciation of $13 million as of December 31, 2021 and 2020.
Supplemental cash flow information related to leases for the years ended December 31, 2021, 2020 and 2019 was as follows:
($ in millions)202120202019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases$224 $212 $210 
Operating cash flows paid for finance leases$1 $1 $1 
Financing cash flows paid for finance leases$3 $2 $4 
Right-of-use assets obtained in exchange for lease obligations:
Operating leases$253 $227 $219 
Finance leases$— $4 $1 
Lease terms and discount rates as of December 31, 2021, 2020 and 2019 were as follows:
202120202019
Weighted-average remaining lease term (in years)
Operating leases7.17.47.4
Finance leases6.46.16.2
Weighted-average discount rate
Operating leases2.1 %2.4 %3.0 %
Finance leases5.8 %7.0 %9.4 %
As of December 31, 2021, maturities of lease liabilities were as follows:
($ in millions)Operating LeasesFinance Leases
2022$210 $3 
2023170 3 
2024133 2 
2025103 1 
202680 1 
Thereafter262 2 
Total lease payments$958 $12 
Less: Interest73 2 
Total lease obligations$885 $10