Operating Lease Equipment

3 Months Ended

Mar. 31, 2020

9. Operating Lease Equipment

Operating lease equipment was $819 million and $848 million at March 31, 2020 and December 31, 2019, respectively. $39 million and $21 million of lease income relating to lease payments for operating leases was recorded in leasing business revenue in the Condensed Consolidated Statements of Income for the three months ended March 31, 2020 and 2019, respectively. The Bancorp received payments of $41 million and $22 million related to operating leases during the three months ended March 31, 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 three months ended March 31, 2020 and did not recognize impairment losses for the three months ended March 31, 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 March 31, 2020 ($ in millions)	Undiscounted Cash Flows
Remainder of 2020	$	114
2021		125
2022		97
2023		70
2024		41
2025		25
Thereafter		40
Total operating lease payments	$	512