Lease Obligations - Lessee (Tables)

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Lease Assets and Lease Liabilities

The following table provides a summary of lease assets and lease liabilities as of:

($ in millions)	Condensed Consolidated Balance Sheets Caption	March 31, 2022		December 31, 2021
Assets
Operating lease right-of-use assets	Other assets	$	442	427
Finance lease right-of-use assets	Bank premises and equipment	143		145
Total right-of-use assets(a)		$	585	572
Liabilities
Operating lease liabilities	Accrued taxes, interest and expenses	$	533	520
Finance lease liabilities	Long-term debt	148		149
Total lease liabilities		$	681	669

(a)    Operating and finance lease right-of-use assets are recorded net of accumulated amortization of $213 and $51, respectively, as of March 31, 2022, and $198 and $47, respectively, as of December 31, 2021.

Components of Lease Costs, Weighted-Average Lease Term and Discount Rate

The following table presents the components of lease costs:

($ in millions)	Condensed Consolidated Statements of Income Caption	For the three months ended March 31,
		2022		2021
Lease costs:
Amortization of ROU assets	Net occupancy and equipment expense	$	5	5
Interest on lease liabilities	Interest on long-term debt	1		1
Total finance lease costs		$	6	6
Operating lease cost	Net occupancy expense	$	20	20
Short-term lease cost	Net occupancy expense	—		1
Variable lease cost	Net occupancy expense	7		8
Sublease income	Net occupancy expense	(1)		(1)
Total operating lease costs		$	26	28
Total lease costs		$	32	34

The following table presents the weighted-average remaining lease term and weighted-average discount rate as of:

	March 31, 2022		December 31, 2021
Weighted-average remaining lease term (years):
Operating leases	9.49		8.92
Finance leases	14.76		14.70
Weighted-average discount rate:
Operating leases	2.87	%	2.88
Finance leases	2.69		2.74

The following table presents information related to lease transactions for the three months ended March 31:

($ in millions)	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:(a)
Operating cash flows from operating leases	$	22	22
Operating cash flows from finance leases	1		1
Financing cash flows from finance leases	4		3

(a)    The cash flows related to the short-term and variable lease payments are not included in the amounts in the table as they were not included in the measurement of lease liabilities.

Undiscounted Cash Flows for Operating Leases

The following table presents undiscounted cash flows for both operating leases and finance leases for the remainder of 2022 through 2027 and thereafter as well as a reconciliation of the undiscounted cash flows to the total lease liabilities:

As of March 31, 2022 ($ in millions)	Operating Leases		Finance Leases	Total
Remainder of 2022	$	66	16	82
2023	81		19	100
2024	73		19	92
2025	66		12	78
2026	57		7	64
2027	50		7	57
Thereafter	223		107	330
Total undiscounted cash flows	$	616	187	803
Less: Difference between undiscounted cash flows and discounted cash flows	83		39	122
Present value of lease liabilities	$	533	148	681

Undiscounted Cash Flows for Finance Leases

The following table presents undiscounted cash flows for both operating leases and finance leases for the remainder of 2022 through 2027 and thereafter as well as a reconciliation of the undiscounted cash flows to the total lease liabilities:

As of March 31, 2022 ($ in millions)	Operating Leases		Finance Leases	Total
Remainder of 2022	$	66	16	82
2023	81		19	100
2024	73		19	92
2025	66		12	78
2026	57		7	64
2027	50		7	57
Thereafter	223		107	330
Total undiscounted cash flows	$	616	187	803
Less: Difference between undiscounted cash flows and discounted cash flows	83		39	122
Present value of lease liabilities	$	533	148	681