Operating Lease Equipment

9 Months Ended

Sep. 30, 2020

Operating lease equipment was $818 million and $848 million at September 30, 2020 and December 31, 2019, respectively. The Bancorp recorded lease income of $39 million and $44 million relating to lease payments for operating leases in leasing business revenue in the Condensed Consolidated Statements of Income during the three months ended September 30, 2020 and 2019, respectively, and $118 million and $110 million during the nine months ended September 30, 2020 and 2019, respectively. The Bancorp received payments of $119 million and $111 million related to operating leases during the nine months ended September 30, 2020 and 2019, respectively.

The Bancorp performs assessments of the recoverability of long-lived assets when events or changes in circumstances indicate that their carrying values may not be recoverable. As a result of these recoverability assessments, the Bancorp recognized $3 million of impairment losses associated with operating lease assets for the nine months ended September 30, 2020 but did not recognize any impairment losses for the three months ended September 30, 2020 or the three and nine months ended September 30, 2019. The recognized impairment losses were recorded in leasing business revenue in the Condensed Consolidated Statements of Income.

The following table presents undiscounted future lease payments for operating leases for the remainder of 2020 through 2025 and thereafter:


As of September 30, 2020 ($ in millions)	Undiscounted Cash Flows
Remainder of 2020	$	39
2021	140
2022	114
2023	85
2024	52
2025	32
Thereafter	44
Total operating lease payments	$	506