LEASES

3 Months Ended

Mar. 31, 2021

NOTE 13. LEASES

The components of lease expense were as follows (in millions):


	Three Months Ended March 31,
		2021		2020
Finance leases:
Amortization of assets, included in Depreciation and amortization expense		$	2	$	2
Interest on lease liabilities, included in Interest expense		1		1
Operating leases:
Amortization of assets, included in Total operating expense		2		2
Interest on lease liabilities, included in Total operating expense		1		1
Total net lease cost		$	6	$	6

Supplemental balance sheet information related to leases was as follows (in millions, except lease term and discount rate):


	March 31, 2021		December 31, 2020
Operating leases:
Operating lease right-of-use ("ROU") assets, included in Other assets	$	42	$	43

Current operating lease liabilities, included in Accrued expenses and other current liabilities	$	7	$	6
Noncurrent operating lease liabilities, included in Other liabilities	42		43
Total operating lease liabilities	$	49	$	49

Finance leases:
Property and equipment, at cost	$	170	$	170
Accumulated amortization	(35)		(33)
Property and equipment, net	$	135	$	137

Current obligations of finance leases, included in Current portion of project debt	$	6	$	6
Finance leases, net of current obligations, included in Project debt	70		72
Current obligations of finance leases, included in Current portion of long-term debt	1		1
Finance leases, net of current obligations, included in Long-term debt	6		6
Total finance lease liabilities	$	83	$	85

Supplemental cash flow and other information related to leases was as follows (in millions, lease term and discount rate):


	Three Months Ended
	March 31,
	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows related to operating leases	$	3		$	2

Financing cash flows related to finance leases	$	2		$	2





Weighted average remaining lease term (in years):
Operating leases	11.2			11.6
Finance leases	30.8			31.8

Weighted average discount rate:
Operating leases	4.54		%	4.63		%
Finance leases	5.06		%	5.06		%

Maturities of lease liabilities were as follows (in millions):


	March 31, 2021
	Operating Leases		Finance Leases
Remainder of 2021	$	8	$	9
2022	8		12
2023	7		12
2024	7		11
2025	6		13
2026 and thereafter	27		92
Total lease payments	63		149
Less: Amounts representing interest	(14)		(66)
Total lease obligations	$	49	$	83

As of March 31, 2021, we had no additional significant operating or finance leases that had not yet commenced.

The components of lease expense were as follows (in millions):


	Three Months Ended March 31,
		2021		2020
Finance leases:
Amortization of assets, included in Depreciation and amortization expense		$	2	$	2
Interest on lease liabilities, included in Interest expense		1		1
Operating leases:
Amortization of assets, included in Total operating expense		2		2
Interest on lease liabilities, included in Total operating expense		1		1
Total net lease cost		$	6	$	6

Supplemental balance sheet information related to leases was as follows (in millions, except lease term and discount rate):


	March 31, 2021		December 31, 2020
Operating leases:
Operating lease right-of-use ("ROU") assets, included in Other assets	$	42	$	43

Current operating lease liabilities, included in Accrued expenses and other current liabilities	$	7	$	6
Noncurrent operating lease liabilities, included in Other liabilities	42		43
Total operating lease liabilities	$	49	$	49

Finance leases:
Property and equipment, at cost	$	170	$	170
Accumulated amortization	(35)		(33)
Property and equipment, net	$	135	$	137

Current obligations of finance leases, included in Current portion of project debt	$	6	$	6
Finance leases, net of current obligations, included in Project debt	70		72
Current obligations of finance leases, included in Current portion of long-term debt	1		1
Finance leases, net of current obligations, included in Long-term debt	6		6
Total finance lease liabilities	$	83	$	85

Supplemental cash flow and other information related to leases was as follows (in millions, lease term and discount rate):


	Three Months Ended
	March 31,
	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows related to operating leases	$	3		$	2

Financing cash flows related to finance leases	$	2		$	2





Weighted average remaining lease term (in years):
Operating leases	11.2			11.6
Finance leases	30.8			31.8

Weighted average discount rate:
Operating leases	4.54		%	4.63		%
Finance leases	5.06		%	5.06		%

Maturities of lease liabilities were as follows (in millions):


	March 31, 2021
	Operating Leases		Finance Leases
Remainder of 2021	$	8	$	9
2022	8		12
2023	7		12
2024	7		11
2025	6		13
2026 and thereafter	27		92
Total lease payments	63		149
Less: Amounts representing interest	(14)		(66)
Total lease obligations	$	49	$	83

As of March 31, 2021, we had no additional significant operating or finance leases that had not yet commenced.