Leases (Tables)

6 Months Ended

May 31, 2020

Leases [Abstract]

Schedule of Components of Lease Expenses

We amortize our lease assets on a straight-line basis over the lease term. The components of expense were as follows:

(in millions)	Three months ended May 31, 2020		Six months ended May 31, 2020
Operating lease expense	$	55	$	103
Variable lease expense (a) (b)	$	(21)	$	10

(a)Variable lease expense represents costs associated with our multi-year preferential berthing agreements which vary based on the number of passengers. These costs are recorded within commission, transportation and other in our Consolidated Statements of Income (Loss). Variable and short-term lease costs related to operating leases, other than the port facilities, were not material to our consolidated financial statements.

(b)Several of our preferential berthing agreements have Force Majeure provisions. We have treated the concessions granted under such provision as variable payment adjustments. If our interpretation of the Force Majeure provisions is disputed, we could be required to record and make additional guarantee payments.

Weighted average of the remaining lease terms and weighted average discount rates are as follows:

	May 31, 2020
Weighted average remaining lease term - operating leases (in years)	13
Weighted average discount rate - operating leases	3.2	%

Schedule of Maturities of Operating Lease Liabilities

As of May 31, 2020, maturities of operating lease liabilities were as follows:

(in millions) Year
Remainder of 2020	$	92
2021	191
2022	159
2023	153
2024	145
Thereafter	1,066
Total lease payments	1,806
Less: Present value discount	(360)
Present value of lease liabilities	$	1,445

Schedule of Future Minimum Lease Payments

Under ASC 840, Leases, future minimum lease payments under non-cancelable operating leases of port facilities and other assets as of November 30, 2019 were as follows:

(in millions) Year
2020	$	219
2021	196
2022	161
2023	173
2024	167
Thereafter	1,408
	$	2,324