Leases (Tables)

12 Months Ended

Dec. 31, 2019

Leases [Abstract]

Schedule of lease-related assets and liabilities

The following table presents our lease-related assets and liabilities at December 31, 2019 (dollars in millions):

	Balance Sheet Classification	December 31, 2019
Assets:
Operating leases	Right-of-use operating lease assets	$	1,834
Finance leases	Property and equipment		520
Total lease assets		$	2,354
Liabilities:
Current:
Operating leases	Other accrued expenses	$	350
Finance leases	Long-term debt due within one year		87
Noncurrent:
Operating leases	Right-of-use operating lease obligations		1,499
Finance leases	Long-term debt		470
Total lease liabilities		$	2,406
Weighted-average remaining term:
Operating leases			10.8 years
Finance leases			12.0 years
Weighted-average discount rate:
Operating leases(1)			5.3	%
Finance leases			6.0	%

(1) Upon adoption of the new lease standard, discount rates used for existing leases were established at January 1, 2019.

Schedule of lease expense for finance and operating leases

The following table presents certain information related to lease expense for finance and operating leases for the year ended December 31, 2019 (dollars in millions):

	Year Ended December 31, 2019
Finance lease expense:
Amortization of leased assets	$	93
Interest on lease liabilities		32
Operating leases(2)		389
Short-term lease expense(2)		316
Variable lease expense(2)		150
	$	980

(2) Expenses are included in “other operating expenses” in our consolidated income statements.

Schedule of supplemental cash flow information

The following table presents supplemental cash flow information for the year ended December 31, 2019 (dollars in millions):

	2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	404
Operating cash flows for finance leases		32
Financing cash flows for finance leases		79

Schedule of undiscounted cash flows to the finance lease liabilities and operating lease liabilities recorded on balance sheet

The following table reconciles the undiscounted minimum lease payment amounts to the operating and finance lease liabilities recorded on the balance sheet at December 31, 2019 (dollars in millions):

	Operating Leases			Finance Leases
Year 1	$	411		$	110
Year 2		350			105
Year 3		285			99
Year 4		228			58
Year 5		182			60
Thereafter		1,074			368
Total minimum lease payments		2,530			800
Less: amount of lease payments representing interest		(681	)		(243	)
Present value of future minimum lease payments		1,849			557
Less: current lease obligations		(350	)		(87	)
Long-term lease obligations	$	1,499		$	470