Premises, Equipment and Leasehold Improvements

12 Months Ended

Dec. 31, 2018

Property, Plant and Equipment [Abstract]

Premises, Equipment and Leasehold Improvement

PREMISES, EQUIPMENT AND LEASEHOLD IMPROVEMENTS

Premises, equipment and leasehold improvements, stated at cost less accumulated depreciation and amortization, were as follows:

Table 62: Premises, Equipment and Leasehold Improvements



In millions	December 31 2018			December 31 2017
Premises, equipment and leasehold improvements	$	11,864		$	10,939
Accumulated depreciation and amortization	(6,137		)	(5,503		)
Net book value	$	5,727		$	5,436

The following table includes depreciation expense on premises, equipment and leasehold improvements, as well as amortization expense, excluding intangible assets, primarily for capitalized internally developed software.

Table 63: Depreciation and Amortization Expense



Year ended December 31 In millions	2018		2017		2016
Depreciation	$	754	$	743	$	683
Amortization	78		56		46
Total depreciation and amortization	$	832	$	799	$	729

We lease certain facilities and equipment under agreements expiring at various dates through the year 2081. We account for these as operating leases. Rental expense on such leases was $416 million, $431 million and $442 million at December 31, 2018, 2017 and 2016, respectively.

Required minimum annual rentals that we owe on noncancelable leases having initial or remaining terms in excess of one year totaled $2.5 billion at December 31, 2018.

Future minimum annual rentals are as follows:

Table 64: Minimum Annual Lease Rentals



In millions
2019	$	374
2020	$	346
2021	$	308
2022	$	258
2023	$	228
2024 and thereafter	$	941