Leases and Commitments

12 Months Ended

Dec. 31, 2020

Leases [Abstract]

Lessee, Operating Leases [Text Block]

Leases and Commitments

We have entered into leases for certain facilities, vehicles, material handling and other equipment. Our operating leases have remaining contractual terms up to 18 years, some of which include options to extend the leases for up to 20 years, and some of which include options to terminate the leases within 1 year. Our operating lease agreements do not contain any material residual value guarantees or material restrictive covenants. Our operating lease costs are primarily related to facility leases for inventory warehousing and administration offices. Our finance leases are immaterial.

Operating Lease Cost

	Year Ended December 31
	2020		2019		Income Statement Classification
Lease cost	$	168	$	162	Cost of products sold, Marketing, research and general expenses
Variable lease cost(a)	202		145		Cost of products sold, Marketing, research and general expenses
Total lease cost	$	370	$	307

(a)    Includes short-term leases, which are immaterial.

Operating Lease Assets and Liabilities

	December 31
	2020		2019		Balance Sheet Classification
Lease assets	$	540	$	396	Other Assets
Current lease liabilities	$	133	$	130	Accrued expenses and other current liabilities
Noncurrent lease liabilities	423		274		Other Liabilities
Total lease liabilities	$	556	$	404

Maturity of Operating Lease Liabilities

	December 31, 2020
2021	$	148
2022	126
2023	100
2024	76
2025	63
Thereafter	90
Total lease payments	603
Less imputed interest	47
Present value of lease liabilities	$	556

As of December 31, 2020, our operating leases have a weighted-average remaining lease term of 5.1 years and a weighted-average discount rate of 3.55 percent.

Supplemental Information Related to Operating Leases

	December 31
	2020		2019
Operating cash flows from leases included in the measurement of lease liabilities	$	164	$	163
Leased assets obtained in exchange for new lease obligations	$	198	$	504
Other non-cash modifications to lease assets	$	98	$	31

Consolidated rental expense under operating leases prior to the adoption of ASU Topic 842 was $280 in 2018.

We have entered into long-term contracts for the purchase of superabsorbent materials, pulp and certain utilities. Commitments under these contracts based on current prices are $1,422 in 2021, $1,010 in 2022, $622 in 2023, $103 in 2024, $108 in 2025, and $222 beyond the year 2025.

Although we are primarily liable for payments on the above-mentioned leases and purchase commitments, our exposure to losses, if any, under these arrangements is not material.