Lease Commitments

12 Months Ended

Feb. 03, 2018

3. Lease Commitments

Rent expense charged to operations was $293 million for 2017, $276 million for 2016, and $279 million for 2015. In addition to rent payments, we are often required to pay real estate taxes, insurance and maintenance costs on leased properties. These items are not included in the future minimum lease payments listed below. Many store leases include multiple renewal options, exercisable at our option, that generally range from four to eight additional five-year periods.

Future minimum lease payments at February 3, 2018 were as follows:

(Dollars in Millions)	Capital Lease and Financing Obligations			Operating Leases
Fiscal year:
2018	$	273		$	259
2019		264			256
2020		247			252
2021		230			247
2022		207			236
Thereafter		2,183			3,873
		3,404		$	5,123
Non-cash gain on future sale of property		474
Amount representing interest		(2,161	)
Present value of lease payments	$	1,717