Leases

12 Months Ended

Dec. 31, 2023

Leases [Abstract]

Leases

LEASES

Lessee Contracts

We have operating leases primarily for office space, equipment, satellite transponders and studio facilities. We also have finance leases for equipment, which were not material for the periods presented. Lease costs are generally fixed, with certain contracts containing variable payments for non-lease costs based on usage and escalations in the lessors’ annual costs.

At December 31, 2023 and 2022, the following amounts were recorded on the Consolidated Balance Sheets relating to our operating leases.

	2023		2022
Right-of-Use Assets
Operating lease assets	$	1,183	$	1,391
Lease Liabilities
Other current liabilities	$	258	$	292
Operating lease liabilities	1,256		1,428
Total lease liabilities	$	1,514	$	1,720

	2023		2022
Weighted average remaining lease term	7 years		7 years
Weighted average discount rate	3.9	%	3.6	%

The following table presents our lease cost relating to our operating leases.

Year Ended December 31,	2023		2022		2021
Operating lease cost (a) (b)	$	332	$	373	$	374
Short-term lease cost (b) (c)	229		306		283
Variable lease cost (b) (d)	76		77		62
Sublease income	(7)		(12)		(20)
Total lease cost	$	630	$	744	$	699

(a) Includes fixed lease costs and non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) associated with long-term operating leases.

(b) Includes costs capitalized in programming assets during the period for leased assets used in the production of programming.

(c) Short-term leases, which are not recorded in right-of-use assets and lease liabilities on the Consolidated Balance Sheets, have a term of 12 months or less and exclude month-to-month leases.

(d) Primarily includes non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) and costs for equipment leases that vary based on usage.

The following table presents supplemental cash flow information for our operating leases.

Year Ended December 31,	2023		2022		2021
Payments for amounts included in operating lease    liabilities (operating cash flows)	$	368	$	394	$	399
Noncash additions to operating lease assets	$	123	$	170	$	377

The expected future payments relating to our operating lease liabilities at December 31, 2023 are as follows:

2024	$	309
2025	296
2026	253
2027	208
2028	184
2029 and thereafter	490
Total minimum payments	1,740
Less amounts representing interest	226
Present value of minimum payments	$	1,514

As of December 31, 2023, we had no material leases that were executed but not yet commenced.

Lessor Contracts

For the years ended December 31, 2023, 2022 and 2021, we recorded total lease income of $34 million, $65 million and $145 million, respectively, which relates to operating leases of our owned production facilities and office buildings. Lease payments received under these agreements consist of fixed payments for the rental of space and certain building operating costs, as well as variable payments based on usage of production facilities and services, and escalating costs of building operations. Lease income in 2023 was negatively impacted by temporary production shutdowns due to labor strikes. In 2021, lease income included amounts from a production facility and an office building before they were sold in the fourth quarter (see Note 2). Our future fixed lease income is not expected to be material.

Leases

LEASES

Lessee Contracts

We have operating leases primarily for office space, equipment, satellite transponders and studio facilities. We also have finance leases for equipment, which were not material for the periods presented. Lease costs are generally fixed, with certain contracts containing variable payments for non-lease costs based on usage and escalations in the lessors’ annual costs.

At December 31, 2023 and 2022, the following amounts were recorded on the Consolidated Balance Sheets relating to our operating leases.

	2023		2022
Right-of-Use Assets
Operating lease assets	$	1,183	$	1,391
Lease Liabilities
Other current liabilities	$	258	$	292
Operating lease liabilities	1,256		1,428
Total lease liabilities	$	1,514	$	1,720

	2023		2022
Weighted average remaining lease term	7 years		7 years
Weighted average discount rate	3.9	%	3.6	%

The following table presents our lease cost relating to our operating leases.

Year Ended December 31,	2023		2022		2021
Operating lease cost (a) (b)	$	332	$	373	$	374
Short-term lease cost (b) (c)	229		306		283
Variable lease cost (b) (d)	76		77		62
Sublease income	(7)		(12)		(20)
Total lease cost	$	630	$	744	$	699

(a) Includes fixed lease costs and non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) associated with long-term operating leases.

(b) Includes costs capitalized in programming assets during the period for leased assets used in the production of programming.

(c) Short-term leases, which are not recorded in right-of-use assets and lease liabilities on the Consolidated Balance Sheets, have a term of 12 months or less and exclude month-to-month leases.

(d) Primarily includes non-lease costs (consisting of other occupancy and service costs relating to the use of an asset) and costs for equipment leases that vary based on usage.

The following table presents supplemental cash flow information for our operating leases.

Year Ended December 31,	2023		2022		2021
Payments for amounts included in operating lease    liabilities (operating cash flows)	$	368	$	394	$	399
Noncash additions to operating lease assets	$	123	$	170	$	377

The expected future payments relating to our operating lease liabilities at December 31, 2023 are as follows:

2024	$	309
2025	296
2026	253
2027	208
2028	184
2029 and thereafter	490
Total minimum payments	1,740
Less amounts representing interest	226
Present value of minimum payments	$	1,514

As of December 31, 2023, we had no material leases that were executed but not yet commenced.

Lessor Contracts

For the years ended December 31, 2023, 2022 and 2021, we recorded total lease income of $34 million, $65 million and $145 million, respectively, which relates to operating leases of our owned production facilities and office buildings. Lease payments received under these agreements consist of fixed payments for the rental of space and certain building operating costs, as well as variable payments based on usage of production facilities and services, and escalating costs of building operations. Lease income in 2023 was negatively impacted by temporary production shutdowns due to labor strikes. In 2021, lease income included amounts from a production facility and an office building before they were sold in the fourth quarter (see Note 2). Our future fixed lease income is not expected to be material.