Cummins Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

LEASES FOOTNOTE DISCLOSURE (Tables)

LEASES FOOTNOTE DISCLOSURE (Tables)

3 Months Ended

Mar. 31, 2019

The components of our lease expense were as follows:



In millions	March 31, 2019
Operating lease cost	$	50
Finance lease cost
Amortization of right-of-use asset	5
Interest expense	2
Short-term lease cost	1
Variable lease cost	1
Total lease cost	$	59

Schedule Of Supplemental Balance Sheet Information Related To Leases Table

Supplemental balance sheet information related to leases:



In millions	March 31, 2019		Balance Sheet Location
Assets
Operating lease assets	$	416	Other assets
Finance lease assets⁽¹⁾	130		Property, plant and equipment, net
Total lease assets	$	546

Liabilities
Current
Operating	$	125	Other accrued expenses
Finance	10		Current maturities of long-term debt
Long-term
Operating	302		Other liabilities
Finance	112		Long-term debt
Total lease liabilities	$	549

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⁽¹⁾ Finance lease assets are recorded net of accumulated amortization of $111 million at March 31, 2019.

Schedule Of Supplemental Cash Flow Information Related To Leases Table

Supplemental cash flow and other information related to leases:



	Three months ended
In millions	March 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	36
Operating cash flows from finance leases	2
Financing cash flows from finance leases	4

Right-of-use assets obtained in exchange for lease obligations:
Operating leases	18
Finance leases	1

Schedule Of Supplemental Other Information Related To Leases Table

Additional information related to leases:



	March 31, 2019
Weighted average remaining lease term (in years)
Operating leases	4.8
Finance leases	14.4

Weighted average discount rate
Operating leases	3.3	%
Finance leases	4.3	%

Lessee, Operating Lease, Liability, Maturity

Following is a summary of the future minimum lease payments due under finance and operating leases with terms of more than one year at March 31, 2019, together with the net present value of the minimum payments due under finance leases:



In millions	Finance Leases			Operating Leases
2019	$	17		$	101
2020	19			111
2021	15			84
2022	15			61
2023	13			41
After 2023	140			84
Total minimum lease payments	$	219		$	482
Interest	(98		)	(55		)
Present value of net minimum lease payments	$	121		$	427

Schedule of Future Minimum Rental Payments for Operating Leases Prior to Adoption of New Standard[Table Text Block]

Following is a summary of the future minimum lease payments due under capital and operating leases with terms of more than one year at December 31, 2018, together with the net present value of the minimum payments due under capital leases under the previous lease standard:



In millions	Capital Leases			Operating Leases
2019	$	30		$	138
2020	21			109
2021	16			81
2022	14			60
2023	13			39
After 2023	144			81
Total minimum lease payments	$	238		$	508
Interest	(106		)
Present value of net minimum lease payments	$	132