Leases

12 Months Ended

Dec. 31, 2023

Leases [Abstract]

Leases

NOTE 19. Leases

3M's lease arrangements include both operating and finance leases. Amounts associated with finance leases (such as right-of-use assets, liabilities, costs, cash flow information, and maturities) were not material to the consolidated financial statements. Finance lease right-of-use assets are included in property, plant, and equipment, net, and finance lease liabilities are included in other current liabilities and other liabilities on the consolidated balance sheets.

The following table summarizes the components of operating lease cost:

(Millions)	2023		2022		2021
Operating lease cost	$	284	$	295	$	319
Variable lease cost	122		135		127
Total operating lease cost	$	406	$	430	$	446

Short-term lease cost and income related to sub-lease activity is immaterial for the Company.

Supplemental balance sheet, lease term and discount rate information related to operating leases is as follows:

		December 31,
(Millions unless noted)	Location on face of Balance Sheet	2023			2022
Right of use assets	Operating lease right of use assets	$	759		$	829
Current liability	Operating lease liabilities - current	225			261
Noncurrent liability	Operating lease liabilities	534			580
Weighted average remaining lease term (in years):		5.4			5.5
Weighted average discount rate:		2.9		%	2.2		%

Supplemental cash flow information related to operating lease is as follows:

(Millions)	2023		2022		2021
Cash paid for amounts included in the measurement of lease liabilities:	$	286	$	295	$	317
Right of use assets obtained in exchange for operating lease liabilities:	285		261		342

Sale leased-back activity for the periods presented was not material.

Maturities of operating leases as of December 31, 2023 are as follows:

(Millions)
2024	$	247
2025	173
2026	118
2027	81
2028	53
After 2028	146
Total expected lease payments	818
Less: Amounts representing interest	(59)
Present value of future minimum lease payments	759
Less: Current obligations	225
Long-term obligations	$	534

As of December 31, 2023, the Company has additional operating lease commitments that have not yet commenced of approximately $9 million. These commitments pertain to 3M’s right of use of certain buildings.

Leases

NOTE 19. Leases

3M's lease arrangements include both operating and finance leases. Amounts associated with finance leases (such as right-of-use assets, liabilities, costs, cash flow information, and maturities) were not material to the consolidated financial statements. Finance lease right-of-use assets are included in property, plant, and equipment, net, and finance lease liabilities are included in other current liabilities and other liabilities on the consolidated balance sheets.

The following table summarizes the components of operating lease cost:

(Millions)	2023		2022		2021
Operating lease cost	$	284	$	295	$	319
Variable lease cost	122		135		127
Total operating lease cost	$	406	$	430	$	446

Short-term lease cost and income related to sub-lease activity is immaterial for the Company.

Supplemental balance sheet, lease term and discount rate information related to operating leases is as follows:

		December 31,
(Millions unless noted)	Location on face of Balance Sheet	2023			2022
Right of use assets	Operating lease right of use assets	$	759		$	829
Current liability	Operating lease liabilities - current	225			261
Noncurrent liability	Operating lease liabilities	534			580
Weighted average remaining lease term (in years):		5.4			5.5
Weighted average discount rate:		2.9		%	2.2		%

Supplemental cash flow information related to operating lease is as follows:

(Millions)	2023		2022		2021
Cash paid for amounts included in the measurement of lease liabilities:	$	286	$	295	$	317
Right of use assets obtained in exchange for operating lease liabilities:	285		261		342

Sale leased-back activity for the periods presented was not material.

Maturities of operating leases as of December 31, 2023 are as follows:

(Millions)
2024	$	247
2025	173
2026	118
2027	81
2028	53
After 2028	146
Total expected lease payments	818
Less: Amounts representing interest	(59)
Present value of future minimum lease payments	759
Less: Current obligations	225
Long-term obligations	$	534

As of December 31, 2023, the Company has additional operating lease commitments that have not yet commenced of approximately $9 million. These commitments pertain to 3M’s right of use of certain buildings.