Leases (Tables)

12 Months Ended

Dec. 31, 2022

Leases [Abstract]

Schedule of Condensed Consolidated Balance Sheet Information, Leases

Supplemental consolidated balance sheet information for leases at December 31, is as follows (in millions):

	Classification	2022		2021
Assets
Operating leases	Operating lease assets	$	578	$	558
Finance leases	Property, plant and equipment, net (1)	2		5
Total lease assets		$	580	$	563
Liabilities
Current
Operating leases	Other accrued liabilities	$	121	$	122
Finance leases	Short-term debt and current portion of long-term debt	1		3
Noncurrent
Operating leases	Operating lease liabilities	512		500
Finance leases	Long-term debt	1		2
Total lease liabilities		$	635	$	627

(1)Net of accumulated depreciation of $18 million and $16 million, respectively.

Schedule of Lease Costs, Terms, Discount Rates and Supplemental Cash Flow Information

Components of lease expense for the years ended December 31, are as follows (in millions):

	2022		2021
Operating lease cost:
Operating lease cost (1)	$	172	$	166
Variable lease costs (2)	21		23
Finance lease cost
Amortization of leased assets	4		4

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

(2)Consists primarily of additional payments for non-lease components, such as maintenance costs, payments of taxes and additional rent based on a level of the Company’s retail store sales.

Remaining lease term and discount rates at December 31, are as follows:

	2022	2021
Weighted-average remaining lease term (years):
Operating leases	8	8
Finance leases	1	2
Weighted-average discount rate:
Operating leases	4.6%	3.4%
Finance leases	0.8%	3.6%

Supplemental cash flow information related to leases for the years ended December 31, are as follows (in millions):

	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	160	$	163
Financing cash flows from finance leases	3		4
Right of use assets obtained in exchange for lease liabilities:
Operating leases	135		144

Schedule of Maturities for Operating Lease Liabilities

Maturities of lease liabilities at December 31, 2022, are as follows (in millions):

	Operating Leases		Finance Leases
2023	$	145	$	1
2024	121		1
2025	98		—
2026	80		—
2027	63		—
Thereafter	216		—
Total lease payments	723		2
Less: imputed interest	(90)		—
Present value of lease liabilities	$	633	$	2

Schedule of Maturities for Finance Lease Liabilities

Maturities of lease liabilities at December 31, 2022, are as follows (in millions):

	Operating Leases		Finance Leases
2023	$	145	$	1
2024	121		1
2025	98		—
2026	80		—
2027	63		—
Thereafter	216		—
Total lease payments	723		2
Less: imputed interest	(90)		—
Present value of lease liabilities	$	633	$	2