Leases

9 Months Ended

Sep. 30, 2026

11. Leases

We are the lessee in contracts for office space tenancies, leased vehicles, office space in our flexible workplace

solutions business, and leases of land in our development business. We evaluate contracts for embedded leases.

Supplemental balance sheet information related to our leases is as follows (dollars in millions):


Category	Classification	September 30, 2026	December 31, 2025
Assets
Operating	Operating lease assets	$2,184	$2,062
Finance	Other assets	314	334
Total leased assets		$2,498	$2,396
Liabilities
Current:
Operating	Operating lease liabilities	$331	$284
Finance	Other current liabilities	77	69
Non-current:
Operating	Non-current operating lease liabilities	2,222	2,121
Finance	Other liabilities	139	167
Total lease liabilities		$2,769	$2,641

Supplemental cash flow information and non-cash activity related to our operating and finance leases are as follows

(dollars in millions):


	Nine Months Ended September 30,
	2026	2025
Right-of-use assets obtained in exchange for new operating lease liabilities (1)	$342	$872
Right-of-use assets obtained in exchange for new finance lease liabilities	69	63
Other non-cash increases in operating lease right-of-use assets (2)	12	78
Other non-cash decreases in finance lease right-of-use assets (2)	(26)	(8)

________________________________________________________________________________________________________________________________________

(1)Right-of-use assets obtained in exchange for new operating lease liabilities for the nine months ended September 30, 2026 decreased compared to the nine

months ended September 30, 2025, primarily due to leases acquired in conjunction with the Industrious acquisition in January 2025.

(2)The non-cash activity in the right-of-use assets resulted from lease modifications/remeasurements and terminations.

Leases