Leases (Tables)

12 Months Ended

Dec. 31, 2019

Components of Net Investment in Sales-Type and Direct Financing Leases

The components of the net investment in sales-type and direct financing leases, at December 31, were as follows:


(Dollars in Millions)	2019		2018
Lease receivables	$	12,324	$	12,207
Unguaranteed residual values accruing to the lessor’s benefit		1,834		1,877

Total net investment in sales-type and direct financing leases	$	14,158	$	14,084

Contractual Future Lease Payments to be Received

The contractual future lease payments to be received by the Company, at December 31, 2019, were as follows:


(Dollars in Millions)	Sales-type and direct financing leases			Operating leases
2020	$	4,755		$	176
2021		3,729			142
2022		2,766			103
2023		1,248			69
2024		382			50
Thereafter		483			52

Total lease payments		13,363		$	592
Amounts representing interest		(1,039	)

Lease receivables	$	12,324

Summary of Amounts Relevant to Company's Assets Leased for Use in its Operations

The following table presents amounts relevant to the Company’s assets leased for use in its operations

for the year ended December 31, 2019


(Dollars in Millions)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	302
Operating cash flows from finance leases		7
Financing cash flows from finance leases		10
Right of use assets obtained in exchange for new operating lease liabilities		134
Right of use assets obtained in exchange for new finance lease liabilities		10

Summary of Weighted-Average Remaining Lease Terms and Discount Rates

The following table presents the weighted-average remaining lease terms and discount rates of the Company’s assets leased for use in its operations at December 31, 2019:


Weighted-average remaining lease term of operating leases (in years)	7.4
Weighted-average remaining lease term of finance leases (in years)	10.7
Weighted-average discount rate of operating leases	3.2	%
Weighted-average discount rate of finance leases	14.3	%

Schedule of Contractual Future Lease Obligations

The contractual future lease obligations of the Company at December 31, 2019, were as follows:


(Dollars in Millions)	Operating leases			Finance leases
2020	$	296		$	17
2021		267			15
2022		226			13
2023		180			12
2024		132			10
Thereafter		391			38

Total lease payments		1,492			105
Amounts representing interest		(150	)		(31	)

Lease liabilities	$	1,342		$	74