Leases

12 Months Ended

Apr. 01, 2022

We lease certain of our facilities, equipment, and data center co-locations under operating leases that expire on various dates through fiscal 2029. Our leases generally have terms that range from 1 year to 8 years for our facilities, 1 year to 3 years for equipment and 1 year to 6 years for data center co-locations. Some of our leases contain renewal options, escalation clauses, rent concessions and leasehold improvement incentives.

On July 14, 2021, we completed the sale of certain land and buildings in Mountain View, California for cash consideration of $355 million, net of selling costs. In conjunction with the sale, we signed a 7-year leaseback agreement for a portion of the property, with an option to extend the lease for an additional 5 years. The leaseback agreement is effective as of the date of sale. The sale transaction and immediate leaseback qualified as a completed sale and we recognized a gain of $175 million on the sale.

The following summarizes our lease costs for fiscal 2022, 2021 and 2020:


	Year Ended
(In millions)	April 1, 2022		April 2, 2021		April 3, 2020
Operating lease costs	$	16	$	17	$	34
Short-term lease costs	2		4		8
Variable lease costs	6		6		21
Total lease costs	$	24	$	27	$	63

Other information related to our operating leases for fiscal 2022, 2021 and 2020 was as follows:


	Year Ended
	April 1, 2022		April 2, 2021		April 3, 2020
Weighted-average remaining lease term	4.7 years		4.4 years		4.5 years
Weighted-average discount rate	4.04	%	4.07	%	4.05	%

See Note 7 for cash flow information related to our operating leases.

As of April 1, 2022, the maturities of our lease liabilities by fiscal year are as follows:


(In millions)
2023	$	22
2024	26
2025	21
2026	15
2027	15
Thereafter	3
Total lease payments	102
Less: Imputed interest	(9)
Present value of lease liabilities	$	93