Leases (Tables)

9 Months Ended

Sep. 30, 2026


Supplemental Balance Sheet
	9/30/2026		12/31/2025		Account Classification
Assets
Operating lease right-of-use assets	$	2,072	$	2,189	Operating lease right-of-use assets
Finance lease right-of-use assets		46		49	PP&E, net
Total leased assets(a)	$	2,118	$	2,238

Liabilities
Current
Operating lease liabilities	$	425	$	438	Accounts payable and other current liabilities
Finance lease liabilities		6		6	Accounts payable and other current liabilities
Non-current
Operating lease liabilities		1,709		1,823	Non-current operating lease liabilities
Finance lease liabilities		47		51	Non-current finance lease liabilities
Total lease liabilities(a)	$	2,187	$	2,318

(a)

As of September 30, 2026, excluding the impact of foreign currency translation, right-of-use (“ROU”) assets decreased, primarily due to the amortization of existing ROU assets, lower lease payments resulting from lease renegotiations and a higher portion of our leases with variable lease payments. The decrease of lease liabilities, excluding the impact of foreign currency translation, was consistent with the decrease of ROU assets.

Summary of Lease Cost


Summary of Lease Cost
	Quarter Ended						Year to Date Ended
	9/30/2026			9/30/2025			9/30/2026			9/30/2025			Account Classification

Operating lease cost	$	124		$	124		$	380		$	370		Occupancy and other operating expenses, G&A or Franchise expenses
Finance lease cost
Amortization of leased assets		2			1			5			4		Occupancy and other operating expenses
Interest on lease liabilities		1			1			2			2		Interest income, net
Variable lease cost		132			123			370			341		Occupancy and other operating expenses or Franchise expenses
Short-term lease cost		2			3			7			10		Occupancy and other operating expenses or G&A
Sub-lease income		(5	)		(4	)		(14	)		(13	)	Franchise fees and income or Other revenues
Total lease cost	$	256		$	248		$	750		$	714

Schedule of Supplemental Cash Flow Information


Supplemental Cash Flow Information
	Year to Date Ended
	9/30/2026		9/30/2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	374	$	376
Operating cash flows from finance leases		2		2
Financing cash flows from finance leases		5		4
Right-of-use assets obtained in exchange for lease liabilities(b):
Operating leases	$	90	$	206
Finance leases		—		3

(b)

This supplemental non-cash disclosure for ROU assets obtained in exchange for lease liabilities includes an increase in lease liabilities associated with obtaining new ROU assets of $191 million and $219 million for the years to date ended September 30, 2026 and 2025, as well as adjustments to lease liabilities or ROU assets due to modification or other reassessment events, which resulted in a $101 million and $10 million decrease in lease liabilities for the years to date ended September 30, 2026 and 2025, respectively.

Schedule of Lease Terms and Discount Rate


Lease Term and Discount Rate
	9/30/2026			9/30/2025
Weighted-average remaining lease term (years)
Operating leases		6.7			6.8
Finance leases		10.0			10.4

Weighted-average discount rate
Operating leases		3.8	%		4.2	%
Finance leases		3.8	%		4.4	%

Summary of Maturities of Lease Liabilities

Maturities of lease liabilities as of September 30, 2026 were as follows:


	Amount of Operating Leases		Amount of Finance Leases		Total
Remainder of 2026	$	147	$	2	$	149
2027		460		8		468
2028		402		7		409
2029		340		7		347
2030		283		6		289
Thereafter		785		34		819
Total undiscounted lease payment		2,417		64		2,481
Less: imputed interest(c)		283		11		294
Present value of lease liabilities	$	2,134	$	53	$	2,187

(c)

As the rate implicit in the lease cannot be readily determined, we use our incremental borrowing rate based on the information available at the lease commencement date in determining the imputed interest and present value of lease payments. We used the incremental borrowing rate on January 1, 2019 for operating leases that commenced prior to that date.