Leases (Tables)

12 Months Ended

Dec. 31, 2021

Leases [Abstract]

Assets and liabilities, lessee

The tables below present financial information associated with our leases as of December 31, 2021 and 2020, and for the years ended December 31, 2021, 2020 and 2019.

	Classification	December 31, 2021		December 31, 2020
Assets
Operating lease assets	Operating lease right-of-use assets (1)	$	784	$	688
Finance lease assets	Rental equipment	329		295
	Less accumulated depreciation	(102)		(86)
	Rental equipment, net	227		209
	Property and equipment, net:
	Non-rental vehicles	8		8
	Buildings	23		19
	Less accumulated depreciation and amortization	(19)		(11)
	Property and equipment, net	12		16
Total leased assets		1,023		913
Liabilities
Current
Operating	Accrued expenses and other liabilities	202		178
Finance	Short-term debt and current maturities of long-term debt	53		60
Long-term
Operating	Operating lease liabilities (1)	621		549
Finance	Long-term debt	82		75
Total lease liabilities		$	958	$	862

_________________

(1)    The increases in 2021 include the impact of the General Finance acquisition discussed in note 4 to the consolidated financial statements.

Lease, cost

Lease cost	Classification	Year Ended December 31, 2021		Year Ended December 31, 2020		Year Ended December 31, 2019
Operating lease cost (1)	Cost of equipment rentals, excluding depreciation (1)	$	432	$	366	$	370
	Selling, general and administrative expenses	11		10		10
	Restructuring charge	1		9		16
Finance lease cost
Amortization of leased assets	Depreciation of rental equipment	36		31		28
	Non-rental depreciation and amortization	2		1		2
Interest on lease liabilities	Interest expense, net	4		5		6
Sublease income (2)		(194)		(142)		(157)
Net lease cost		$	292	$	280	$	275

_________________

(1)    Includes variable lease costs, which are immaterial. Cost of equipment rentals, excluding depreciation for the years ended December 31, 2021, 2020 and 2019 includes $163, $124 and $142, respectively, of short-term lease costs associated with equipment that we rent from vendors and then rent to our customers, as discussed further above. Apart from these costs, short-term lease costs are immaterial.

(2)    Primarily reflects re-rent revenue as discussed further above.

Lease term and discount rate	December 31, 2021		December 31, 2020
Weighted-average remaining lease term (years)
Operating leases	5.0		5.0
Finance leases	3.2		3.0
Weighted-average discount rate
Operating leases	3.5	%	4.2	%
Finance leases	2.8	%	3.4	%

Other information	Year Ended December 31, 2021		Year Ended December 31, 2020		Year Ended December 31, 2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	221	$	207	$	202
Operating cash flows from finance leases	4		5		6
Financing cash flows from finance leases	69		53		47
Leased assets obtained in exchange for new operating lease liabilities (1)	299		202		201
Leased assets obtained in exchange for new finance lease liabilities	$	66	$	64	$	55

_________________

(1)    The increase in 2021 includes the impact of the General Finance acquisition discussed in note 4 to the consolidated financial statements.

Finance lease, liability, maturity

Maturity of lease liabilities (as of December 31, 2021)	Operating leases (1)		Finance leases (2)
2022	$	226	$	56
2023	196		44
2024	162		26
2025	124		12
2026	84		2
Thereafter	101		4
Total	893		144
Less amount representing interest	(70)		(9)
Present value of lease liabilities	$	823	$	135

_________________

(1)    Reflects payments for non-cancelable operating leases with initial or remaining terms of one year or more as of December 31, 2021. The table above does not include any legally binding minimum lease payments for leases signed but not yet commenced, and such leases are not material in the aggregate.

(2)    The table above does not include any legally binding minimum lease payments for leases signed but not yet commenced, and such leases are not material in the aggregate.

Lessee, operating lease, liability, maturity

Maturity of lease liabilities (as of December 31, 2021)	Operating leases (1)		Finance leases (2)
2022	$	226	$	56
2023	196		44
2024	162		26
2025	124		12
2026	84		2
Thereafter	101		4
Total	893		144
Less amount representing interest	(70)		(9)
Present value of lease liabilities	$	823	$	135

_________________

(1)    Reflects payments for non-cancelable operating leases with initial or remaining terms of one year or more as of December 31, 2021. The table above does not include any legally binding minimum lease payments for leases signed but not yet commenced, and such leases are not material in the aggregate.

(2)    The table above does not include any legally binding minimum lease payments for leases signed but not yet commenced, and such leases are not material in the aggregate.