v3.26.1
PROPERTY, PLANT AND EQUIPMENT AND OPERATING LEASES
 6 Months Ended
Jun. 30, 2026
Property, Plant, and Equipment [Abstract]  
PROPERTY, PLANT AND EQUIPMENT AND OPERATING LEASES PROPERTY, PLANT AND EQUIPMENT AND OPERATING LEASES
June 30, 2026December 31, 2025
Original cost$17,896 $17,388 
Less accumulated depreciation and amortization(10,804)(10,419)
Right-of-use operating lease assets1,042 1,018 
Property, plant and equipment – net$8,135 $7,987 

DEPRECIATION AND AMORTIZATION EXPENSEThree months ended June 30Six months ended June 30
2026202520262025
Commercial Engines & Services$164 $165 $331 $324 
Defense & Propulsion Technologies47 40 93 76 
Corporate & Other13 13 27 28 
Total$224 $219 $452 $428 

Operating Lease Liabilities. Our current operating lease liabilities, included in All other current liabilities in our Statement of Financial Position, were $287 million and $280 million as of June 30, 2026 and December 31, 2025, respectively. Our non-current operating lease liabilities, included in All other liabilities in our Statement of Financial Position, were $786 million and $783 million as of June 30, 2026 and December 31, 2025, respectively. Expense on our operating lease portfolio, primarily from our long-term fixed leases, was $84 million and $99 million for the three months ended June 30, 2026 and 2025, respectively, and $162 million and $197 million for the six months ended June 30, 2026 and 2025, respectively.

In the second quarter of 2026, as part of overall fleet management for one of our smaller engine programs with a diverse customer base, we entered into an agreement for the sale and leaseback of certain Company owned engines. We recognized sales proceeds of $41 million and net income attributable to the Company of $15 million for the six months ended June 30, 2026. The Company is leasing back the engines for a term of 12 years under an operating lease agreement.