Adoption of New Leasing Standard - Xerox as a Lessee Xerox as a Lessee (Tables)

3 Months Ended

Mar. 31, 2019

The components of lease expense are as follows:



	Three Months Ended March 31, 2019
Operating lease expense	$	33
Short-term lease expense	5
Variable lease expense⁽¹⁾	13
Total Lease expense	$	51

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(1)	Variable lease expense is related to our leased real estate for offices and warehouses and primarily includes labor and operational costs as well as taxes and insurance.

Operating Lease Assets and Liabilities

Operating leases ROU assets, net and operating lease liabilities were reported in the Condensed Consolidated Balance Sheets as follows:



	March 31, 2019
Other long-term assets	$	341

Accrued expenses and other current liabilities	$	97
Other long-term liabilities	265
Total Operating lease liabilities	$	362

Supplemental Operating Lease Information

Supplemental information related to operating leases is as follows:



	March 31, 2019
Cash paid for amounts included in the measurement of lease liabilities - Operating cash flows	$	32
Right-of-use assets obtained in exchange for new lease liabilities ⁽¹⁾	$	9
Weighted-average remaining lease term	4 years
Weighted-average discount rate	5.64		%

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(1)	Includes the impact of new leases as well as remeasurements and modifications to existing leases.

Lessee, Operating Lease, Liability, Maturity

Maturities and additional information related to operating lease liabilities are as follows:



	March 31, 2019
2019⁽¹⁾	$	92
2020	101
2021	77
2022	63
2023	47
Thereafter	28
Total Lease payments	408
Less: Imputed interest	46
Total Operating lease liabilities	$	362

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(1)	Represents the future minimum operating lease payments expected to be made over the remaining balance of the year.

Schedule of Future Minimum Rental Payments for Operating Leases

Future minimum operating lease commitments that have initial or remaining non-cancelable lease terms in excess of one year at December 31, 2018 were as follows:



	December 31, 2018
2019	$	114
2020	88
2021	64
2022	50
2023	36
Thereafter	27
Total Operating lease commitments	$	379

XEROX CORP 10-Q