COMPONENTS OF LEASE EXPENSE


In millions	2023		2022		2021
Operating lease costs, net	$	177	$	153	$	138
Variable lease costs	39		39		40
Short-term lease costs, net	71		57		53
Finance lease cost
Amortization of lease assets	12		11		11
Interest on lease liabilities	3		3		3
Total lease cost, net	$	302	$	263	$	245

SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES


In millions	Classification	2023		2022
Assets
Operating lease assets	Right of use assets	$	448	$	424
Finance lease assets	Plants, properties and equipment, net (a)	47		49
Total leased assets		$	495	$	473
Liabilities
Current
Operating	Other current liabilities	$	153	$	147
Finance	Notes payable and current maturities of long-term debt	11		10
Noncurrent
Operating	Long-term lease obligations	312		283
Finance	Long-term debt	44		49
Total lease liabilities		$	520	$	489

(a) Finance leases are recorded net of accumulated amortization of $67 million and $59 million at December 31, 2023 and 2022, respectively.

LEASE TERM AND DISCOUNT RATE


In millions	2023		2022
Weighted average remaining lease term (years)
Operating leases	4.0 years		4.1 years
Finance leases	7.7 years		8.4 years
Weighted average discount rate
Operating leases	3.99	%	2.96	%
Finance leases	4.78	%	4.57	%

SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES


In millions	2023		2022		2021
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows related to operating leases	$	180	$	160	$	166
Operating cash flows related to financing leases	3		3		4
Financing cash flows related to finance leases	13		10		14

Right of use assets obtained in exchange for lease liabilities
Operating leases	216		221		156
Finance leases	12		6		9

MATURITY OF LEASE LIABILITIES


In millions	Operating Leases		Financing Leases		Total
2024	$	171	$	14	$	185
2025	127		12		139
2026	89		11		100
2027	60		10		70
2028	33		8		41
Thereafter	31		14		45
Total lease payments	511		69		580
Less imputed interest	46		14		60
Present value of lease liabilities	$	465	$	55	$	520