LEASES (Notes)

6 Months Ended

Jun. 30, 2022

LEASES

For additional information on the Corporation's leases, see Note 15 to the Consolidated Financial Statements included in the 2021 10-K.

The components of lease cost for operating and finance leases for the three and six months ended June 30, 2022 and 2021 were as follows:


Lease Cost	Three Months Ended				Six Months Ended
In millions	Jun 30, 2022		Jun 30, 2021		Jun 30, 2022		Jun 30, 2021
Operating lease cost	$	6	$	7	$	12	$	12
Short-term lease cost	8		8		16		14
Variable lease cost	5		16		9		18

Amortization of right-of-use assets - finance	—		1		1		1

Total lease cost	$	19	$	32	$	38	$	45

The following table provides supplemental cash flow information related to leases:


Other Lease Information	Six Months Ended
In millions	Jun 30, 2022		Jun 30, 2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	12	$	11

Financing cash flows for finance leases	$	1	$	2
Right-of-use assets obtained in exchange for lease obligations:

Finance leases	$	—	$	5

The following table summarizes the lease-related assets and liabilities recorded in the consolidated balance sheets at June 30, 2022 and December 31, 2021:


Lease Position	Balance Sheet Classification	Jun 30, 2022		Dec 31, 2021
In millions
Assets
Operating lease assets	Operating lease right-of-use assets	$	112	$	122
Finance lease assets	Property	19		19
Finance lease amortization	Accumulated depreciation	(12)		(11)
Total lease assets		$	119	$	130
Liabilities
Current
Operating	Operating lease liabilities - current	$	20	$	20
Finance	Long-term debt due within one year	3		3
Noncurrent
Operating	Operating lease liabilities - noncurrent	93		103
Finance	Long-term debt	5		6
Total lease liabilities		$	121	$	132

The weighted-average remaining lease term and discount rate for leases recorded in the consolidated balance sheets at June 30, 2022 and December 31, 2021 are provided below:


Lease Term and Discount Rate	Jun 30, 2022		Dec 31, 2021
Weighted-average remaining lease term
Operating leases	6.7 years		7.1 years
Finance leases	2.7 years		3.1 years
Weighted-average discount rate
Operating leases	3.29	%	3.17	%
Finance leases	2.53	%	2.53	%

The following table provides the maturities of lease liabilities at June 30, 2022:


Maturities of Lease Liabilities	Jun 30, 2022
	Operating Leases		Finance Leases
In millions
2022	$	12	$	2
2023	22		3
2024	22		2
2025	20		1
2026	19		—
2027 and thereafter	30		—
Total future undiscounted lease payments	$	125	$	8
Less: Imputed interest	12		—
Total present value of lease liabilities	$	113	$	8