Lease Commitments

12 Months Ended

Dec. 31, 2018

At December 31, 2018, Northern Trust was obligated under a number of non-cancelable operating leases for buildings and equipment. Certain leases contain rent escalation clauses based on market indices or increases in real estate taxes and other operating expenses and renewal option clauses calling for increased rentals. There are no restrictions imposed by any lease agreement regarding the payment of dividends, debt financing or Northern Trust entering into further lease agreements. Minimum annual lease commitments as of December 31, 2018, for all non-cancelable operating leases with a term of one year or more are as follows:

TABLE 72: MINIMUM LEASE PAYMENTS



(In Millions)	FUTURE MINIMUM LEASE PAYMENTS
2019	$	98.8
2020	97.8
2021	85.9
2022	77.2
2023	67.7
Later Years	335.7

Total Minimum Lease Payments	763.1
Less: Sublease Rentals	(23.4		)

Net Minimum Lease Payments	$	739.7

Operating lease rental expense, net of rental income, is recorded in occupancy expense and amounted to $79.0 million in 2018, $76.7 million in 2017, and $76.1 million in 2016.