Our portfolio of nonmineral leases is composed of leases for real estate (including office buildings, aggregates sales yards and terminals, and concrete and asphalt sites) and equipment (including railcars and rail track, barges, and office, plant and mobile equipment).

Lease right-of-use (ROU) assets and liabilities reflected on our December 31 balance sheets and the weighted-average lease terms and discount rates are as follows:



dollars in millions	Classification on the Balance Sheet	2023	2022
Assets
Operating lease ROU assets		$ 636.1	$ 665.4
Accumulated amortization		(124.4)	(92.8)
Operating leases, net	Operating lease right-of-use assets, net	511.7	572.6
Finance lease ROU assets		62.3	93.2
Accumulated depreciation		(20.2)	(14.9)
Finance leases, net	Property, plant & equipment, net	42.1	78.3
Total lease assets		$ 553.8	$ 650.9
Liabilities
Current
Operating	Other current liabilities	$ 47.3	$ 48.1
Finance	Other current liabilities	12.5	22.3
Noncurrent
Operating	Noncurrent operating lease liabilities	507.4	548.4
Finance	Other noncurrent liabilities	16.6	34.8
Total lease liabilities		$ 583.8	$ 653.6
Lease Term and Discount Rate
Weighted-average remaining lease term (years)
Operating leases		19.5	19.7
Finance leases		2.5	3.0
Weighted-average discount rate
Operating leases		4.3%	3.9%
Finance leases		2.4%	1.8%

The decreases in total lease assets and liabilities presented above primarily relate to the 2023 sale of concrete operations in Texas (see Note 19 for additional information). Our lease agreements do not contain material residual value guarantees, restrictive covenants or early termination options. In addition to the lease assets and liabilities presented in the table above, we entered into an agreement to lease a terminal in California and expect to have all permits in place associated with all lease commencement options by early 2024.

Our building leases have remaining noncancelable periods of 0 - 15 years and lease terms (including options to extend) of 0 - 23 years. Key factors in determining the certainty of lease renewals include the location of the building, the value of leasehold improvements and the cost to relocate. Rental payments for certain of our building leases are periodically adjusted for inflation, and this variable component is recognized as expense when incurred. Many of our building leases contain common area maintenance charges which we include in the calculation of our lease liability (the lease consideration is not allocated between the lease and non-lease components).

Our aggregates sales yard leases have remaining noncancelable periods of 0 - 25 years and lease terms of 0 - 75 years. The key factor in determining the certainty of lease renewals is the financial impact of extending the lease, including the reserve life of the sourcing aggregates quarry. Certain aggregates sales yard lease agreements include rental payments based on a percentage of sales over contractual levels or the number of shipments received into the sales yard. Variable payments for these sales yards comprise a majority of the overall variable lease cost presented in the table below.

Our concrete and asphalt site leases have remaining noncancelable periods of 0 - 16 years and lease terms of 0 - 75 years. The key factor in determining the certainty of lease renewals is the financial impact of extending the lease, including the reserve life of the sourcing aggregates quarry. Rental payments are generally fixed for our concrete and asphalt sites.

Our rail (car and track) leases have remaining noncancelable periods of 0 - 9 years and lease terms of 0 - 61 years. Key factors in determining the certainty of lease renewals include the market rental rate for comparable assets and, in some cases, the cost incurred to restore the asset. Rental payments are fixed for our rail leases. The majority of our rail leases contain substitution rights that allow the supplier to replace damaged equipment. Because these rights are generally limited to either replacing railcars or moving our placement on rail track for purposes of repair or maintenance, we do not consider these substitution rights to be substantive and have recorded a lease liability and ROU asset for all leased rail.

Our barge leases have remaining noncancelable periods of 4 - 5 years and lease terms of 11 - 19 years. Key factors in determining the certainty of lease renewals include the market rental rate for comparable assets and, in some cases, the cost incurred to restore the asset. Rental payments are fixed. Like our rail leases, our barge leases contain non-substantive substitution rights that are limited to replacing barges in need of repair or maintenance.

Office, plant and mobile equipment leases have remaining noncancelable periods of 0 - 6 years and lease terms of 0 - 6 years. The key factor in determining the certainty of lease renewals is the market rental rate for comparable assets. Rental payments are generally fixed for our equipment leases with terms greater than 1 year. The significant majority of our short-term lease cost presented in the table below is derived from office and plant equipment leases with terms of 1 year or less.

The components of lease expense for the years ended December 31, 2023, 2022 and 2021 are as follows:



in millions	2023	2022	2021
Lease Cost
Finance lease cost
Depreciation of right-of-use assets	$ 12.8	$ 16.5	$ 7.1
Interest on lease liabilities	0.9	1.2	0.6
Operating lease cost	77.5	85.6	71.0
Short-term lease cost ¹	50.4	46.4	27.3
Variable lease cost	23.5	14.4	10.6
Sublease income	(3.4)	(2.9)	(3.1)
Total lease cost	$ 161.7	$ 161.2	$ 113.5

Cash paid for operating leases was $73.0 million for 2023 and $78.6 million for 2022. Cash paid for finance leases (principal and interest) was $31.6 million for 2023 and $35.0 million for 2022.

Maturity analysis on an undiscounted basis of our lease liabilities (see Note 12 for mineral lease payments) as of December 31, 2023 is as follows:



	Operating	Finance
in millions	Leases	Leases
Maturity of Lease Liabilities
2024	$ 69.8	$ 13.1
2025	63.9	10.0
2026	57.3	5.5
2027	52.8	1.2
2028	47.4	0.4
Thereafter	606.5	0.0
Total minimum lease payments	$ 897.7	$ 30.2
Less: Lease payments representing interest	343.0	1.1
Present value of future minimum lease payments	$ 554.7	$ 29.1
Less: Current obligations under leases	47.3	12.5
Long-term lease obligations	$ 507.4	$ 16.6