Leases

3 Months Ended

Mar. 31, 2024

LEASES

We have entered into non-cancellable operating and finance leases for fulfillment network, data center, office, and physical store facilities as well as server and networking equipment, aircraft, and vehicles. Gross assets acquired under finance leases, including those where title transfers at the end of the lease, are recorded in “Property and equipment, net” and were $62.5 billion and $60.9 billion as of December 31, 2023 and March 31, 2024. Accumulated amortization associated with finance leases was $44.7 billion and $44.0 billion as of December 31, 2023 and March 31, 2024.

Lease cost recognized in our consolidated statements of operations is summarized as follows (in millions):


	Three Months Ended March 31,
	2023		2024
Operating lease cost	$	2,512	$	2,829
Finance lease cost:
Amortization of lease assets	1,546		941
Interest on lease liabilities	80		73
Finance lease cost	1,626		1,014

Variable lease cost	518		635
Total lease cost	$	4,656	$	4,478

Other information about lease amounts recognized in our consolidated financial statements is as follows:


	December 31, 2023		March 31, 2024
Weighted-average remaining lease term – operating leases	11.3 years		11.2 years
Weighted-average remaining lease term – finance leases	11.9 years		12.0 years
Weighted-average discount rate – operating leases	3.3	%	3.3	%
Weighted-average discount rate – finance leases	2.7	%	2.8	%

Our lease liabilities were as follows (in millions):


	December 31, 2023
	Operating Leases		Finance Leases		Total
Gross lease liabilities	$	90,777	$	14,106	$	104,883
Less: imputed interest	(15,138)		(1,997)		(17,135)
Present value of lease liabilities	75,639		12,109		87,748
Less: current portion of lease liabilities	(8,419)		(2,032)		(10,451)
Total long-term lease liabilities	$	67,220	$	10,077	$	77,297


	March 31, 2024
	Operating Leases		Finance Leases		Total
Gross lease liabilities	$	91,419	$	13,262	$	104,681
Less: imputed interest	(15,400)		(2,022)		(17,422)
Present value of lease liabilities	76,019		11,240		87,259
Less: current portion of lease liabilities	(8,581)		(1,626)		(10,207)
Total long-term lease liabilities	$	67,438	$	9,614	$	77,052

Leases

LEASES

Lease cost recognized in our consolidated statements of operations is summarized as follows (in millions):


	Three Months Ended March 31,
	2023		2024
Operating lease cost	$	2,512	$	2,829
Finance lease cost:
Amortization of lease assets	1,546		941
Interest on lease liabilities	80		73
Finance lease cost	1,626		1,014

Variable lease cost	518		635
Total lease cost	$	4,656	$	4,478

Other information about lease amounts recognized in our consolidated financial statements is as follows:


	December 31, 2023		March 31, 2024
Weighted-average remaining lease term – operating leases	11.3 years		11.2 years
Weighted-average remaining lease term – finance leases	11.9 years		12.0 years
Weighted-average discount rate – operating leases	3.3	%	3.3	%
Weighted-average discount rate – finance leases	2.7	%	2.8	%

Our lease liabilities were as follows (in millions):


	December 31, 2023
	Operating Leases		Finance Leases		Total
Gross lease liabilities	$	90,777	$	14,106	$	104,883
Less: imputed interest	(15,138)		(1,997)		(17,135)
Present value of lease liabilities	75,639		12,109		87,748
Less: current portion of lease liabilities	(8,419)		(2,032)		(10,451)
Total long-term lease liabilities	$	67,220	$	10,077	$	77,297


	March 31, 2024
	Operating Leases		Finance Leases		Total
Gross lease liabilities	$	91,419	$	13,262	$	104,681
Less: imputed interest	(15,400)		(2,022)		(17,422)
Present value of lease liabilities	76,019		11,240		87,259
Less: current portion of lease liabilities	(8,581)		(1,626)		(10,207)
Total long-term lease liabilities	$	67,438	$	9,614	$	77,052