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Commitments
9 Months Ended
Feb. 28, 2019
Commitments [Abstract]  
Commitments

(8) Commitments

As of February 28, 2019, our purchase commitments under various contracts for the remainder of 2019 and annually thereafter were as follows (in millions):

 

 

 

Aircraft and Related

 

 

Other(1)

 

 

Total

 

2019 (remainder)

 

$

421

 

 

$

296

 

 

$

717

 

2020

 

 

1,998

 

 

 

833

 

 

 

2,831

 

2021

 

 

2,276

 

 

 

597

 

 

 

2,873

 

2022

 

 

1,874

 

 

 

433

 

 

 

2,307

 

2023

 

 

1,586

 

 

 

275

 

 

 

1,861

 

Thereafter

 

 

3,079

 

 

 

535

 

 

 

3,614

 

Total

 

$

11,234

 

 

$

2,969

 

 

$

14,203

 

 

 

(1)

Primarily equipment and advertising contracts.

The amounts reflected in the table above for purchase commitments represent noncancelable agreements to purchase goods or services. As of February 28, 2019, our obligation to purchase six Boeing 777 Freighter (“B777F”) aircraft and five Boeing 767-300 Freighter (“B767F”) aircraft is conditioned upon there being no event that causes FedEx Express or its employees not to be covered by the Railway Labor Act of 1926, as amended. Open purchase orders that are cancelable are not considered unconditional purchase obligations for financial reporting purposes and are not included in the table above.

As of February 28, 2019, we had $965 million in deposits and progress payments on aircraft purchases and other planned aircraft-related transactions. These deposits are classified in the “Other assets” caption of our accompanying unaudited condensed consolidated balance sheets. Aircraft and related contracts are subject to price escalations. The following table is a summary of the key aircraft we are committed to purchase as of February 28, 2019 with the year of expected delivery:

 

 

 

Cessna SkyCourier 408

 

 

ATR 72-600F

 

 

B767F

 

 

B777F

 

 

Total

 

2019 (remainder)

 

 

-

 

 

 

-

 

 

 

4

 

 

 

1

 

 

 

5

 

2020

 

 

-

 

 

 

-

 

 

 

17

 

 

 

5

 

 

 

22

 

2021

 

 

12

 

 

 

5

 

 

 

18

 

 

 

2

 

 

 

37

 

2022

 

 

12

 

 

 

6

 

 

 

12

 

 

 

3

 

 

 

33

 

2023

 

 

12

 

 

 

6

 

 

 

6

 

 

 

4

 

 

 

28

 

Thereafter

 

 

14

 

 

 

13

 

 

 

-

 

 

 

6

 

 

 

33

 

Total

 

 

50

 

 

 

30

 

 

 

57

 

 

 

21

 

 

 

158

 

 

A summary of future minimum lease payments under noncancelable operating leases with an initial or remaining term in excess of one year at February 28, 2019 is as follows (in millions):

 

 

 

Aircraft

and Related

Equipment

 

 

Facilities

and Other

 

 

Total

Operating

Leases

 

2019 (remainder)

 

$

26

 

 

$

571

 

 

$

597

 

2020

 

 

261

 

 

 

2,083

 

 

 

2,344

 

2021

 

 

203

 

 

 

1,923

 

 

 

2,126

 

2022

 

 

185

 

 

 

1,728

 

 

 

1,913

 

2023

 

 

127

 

 

 

1,555

 

 

 

1,682

 

Thereafter

 

 

48

 

 

 

8,926

 

 

 

8,974

 

Total

 

$

850

 

 

$

16,786

 

 

$

17,636

 

Future minimum lease payments under capital leases were immaterial at February 28, 2019. While certain of our lease agreements contain covenants governing the use of the leased assets or require us to maintain certain levels of insurance, none of our lease agreements include material financial covenants or limitations.