Leases
We have operating leases for office space and data centers. Our leases have remaining lease terms of one year to 12 years, some of which include options to extend the leases for up to ten years, and some of which include options to terminate the leases within one year.
Operating lease costs were $84 million, $85 million and $97 million for the years ended December 31, 2025, 2024 and 2023, respectively.
Supplemental cash flow information related to leases were as follows: | | | | | | | | | | | | | | | | | |
| Year ended
December 31, |
| 2025 | | 2024 | | 2023 |
| (In millions) |
| Cash paid for amounts included in the measurement of lease liabilities: | | | | | |
| Operating cash flows for operating lease payments | $ | 81 | | | $ | 80 | | | $ | 92 | |
| Right-of-use assets obtained in exchange for lease obligations: | | | | | |
| Operating leases | 41 | | | 22 | | | 86 | |
Supplemental consolidated balance sheet information related to leases were as follows: | | | | | | | | | | | |
| December 31, 2025 | | December 31, 2024 |
| (in millions) |
| Operating lease right-of-use assets | $ | 296 | | | $ | 305 | |
| | | |
| Current lease liabilities, included within Accrued expenses and other current liabilities | $ | 61 | | | $ | 63 | |
| Long-term lease liabilities, included within Operating lease liabilities | 254 | | | 265 | |
| Total operating lease liabilities | $ | 315 | | | $ | 328 | |
| | | |
| Weighted average remaining lease term | 5.8 years | | 6.2 years |
| Weighted average discount rate | 4.2 | % | | 4.2 | % |
Maturities of lease liabilities are as follows: | | | | | |
| Operating Leases |
| (in millions) |
| Year ending December 31, | |
| 2026 | $ | 72 | |
| 2027 | 73 | |
| 2028 | 66 | |
| 2029 | 56 | |
| 2030 | 32 | |
| 2031 and thereafter | 57 | |
| Total lease payments | 356 | |
| Less: imputed interest | (41) | |
| Total | $ | 315 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.