Leasing Arrangements (Tables)

12 Months Ended

Dec. 31, 2013

Finance Lease Receivables Included in Prepaid Expenses and Other and Other Assets

Finance lease receivables, which are included in Prepaid expenses and other and Other assets in our consolidated balance sheets, are comprised of the following:


							(dollars in millions)
At December 31,					2013							2012
	Leveraged Leases		Direct Finance Leases		Total		Leveraged Leases			Direct Finance Leases		Total

Minimum lease payments receivable	$	1,069	$	16	$	1,085	$	1,253		$	58	$	1,311
Estimated residual value		780		5		785		923			6		929
Unearned income		(589)		(4)		(593)		(654	)		(10)		(664)

Total	$	1,260	$	17	$	1,277	$	1,522		$	54	$	1,576

Allowance for doubtful accounts						(90)							(99)

Finance lease receivables, net					$	1,187						$	1,477

Prepaid expenses and other					$	5						$	22
Other assets						1,182							1,455

					$	1,187						$	1,477

Components of Income from Leveraged Leases

The following table is a summary of the components of income from leveraged leases:


	(dollars in millions)
Years Ended December 31,	2013		2012		2011
Pre-tax income	$	34	$	30	$	61
Income tax expense		12		12		24

Schedule of Future Minimum Lease Payments Received from Capital Leases

The future minimum lease payments to be received from noncancelable capital leases (direct financing and leveraged leases), net of nonrecourse loan payments related to leveraged leases and allowances for doubtful accounts, along with expected receipts relating to operating leases for the periods shown at December 31, 2013, are as follows:


	(dollars in millions)
Years	Capital Leases		Operating Leases
2014	$	34	$	197
2015		46		170
2016		114		142
2017		38		50
2018		56		23
Thereafter		797		19

Total	$	1,085	$	601

Amortization of Capital Leases

Amortization of capital leases is included in Depreciation and amortization expense in the consolidated statements of income. Capital lease amounts included in Plant, property and equipment are as follows:


	(dollars in millions)
At December 31,	2013		2012
Capital leases	$	353	$	358
Less accumulated amortization		188		158

Total	$	165	$	200

Schedule of Aggregate Minimum Rental Commitments under Noncancelable Leases

The aggregate minimum rental commitments under noncancelable leases for the periods shown at December 31, 2013, are as follows:


	(dollars in millions)
Years	Capital Leases		Operating Leases
2014	$	110	$	2,255
2015		70		2,020
2016		54		1,703
2017		46		1,379
2018		20		1,085
Thereafter		83		3,748

Total minimum rental commitments		383	$	12,190

Less interest and executory costs		90

Present value of minimum lease payments		293
Less current installments		91

Long-term obligation at December 31, 2013	$	202