Leases (Notes)

12 Months Ended

Dec. 31, 2019

The following table presents the minimum future payments due from customers for sales-type, direct financing, and operating leases:



	December 31, 2019
	Sales-Type and Direct Financing		Operating		Total
	(In millions)
2020	$	192	$	41	$	233
2021	150		30		180
2022	126		18		144
2023	104		9		113
2024	74		6		80
Thereafter	422		9		431
	$	1,068	$	113	$	1,181

Leases of Lessor Disclosure [Text Block]

NOTE 14. LEASES

LESSEE

As of December 31, 2019, assets and liabilities recorded under operating leases for properties were $443 million and $514 million, respectively. The difference between the asset and liability balance is largely the result of lease liabilities that existed prior to the January 1, 2019 adoption of the new accounting guidance for leases. The asset is recorded within other assets, and the lease liability is recorded within other liabilities on the consolidated balance sheet. Lease expense, which is operating lease costs recorded within net occupancy expense in the consolidated statements of income, was $81 million for the year ended December 31, 2019.

Other information related to operating leases is as follows:



	December 31, 2019
Weighted-average remaining lease term (years)	9.3 years
Weighted-average discount rate (%)	3.2	%

Future, undiscounted minimum lease payments on operating leases are as follows:



	December 31, 2019
	(In millions)
2020	$	94
2021	87
2022	78
2023	70
2024	57
Thereafter	234
Total lease payments	620
Less: Imputed interest	106
Total present value of lease liabilities	$	514

LESSOR

The following tables present a summary of Regions' sales-type, direct financing, operating, and leveraged leases:



	Net Interest Income and Other Financing Income
	Year Ended December 31, 2019
	(In millions)
Sales-Type and Direct Financing	$	33
Operating	11
Leveraged⁽¹⁾	14
	$	58

_________

(1) Leveraged lease income is shown pre-tax with related tax expense of $9 million. This income does not include leveraged lease termination gains of $1 million with related income tax expense of zero.



	As of December 31, 2019
	Sales-Type and Direct Financing			Operating			Leveraged			Total
	(In millions)
Lease receivable	$	1,068		$	113		$	182		$	1,363
Unearned income	(215		)	(29		)	(113		)	(357		)
Guaranteed residual	32			—			—			32
Unguaranteed residual	152			213			147			512
Total net investment	$	1,037		$	297		$	216		$	1,550

The following table presents the minimum future payments due from customers for sales-type, direct financing, and operating leases:



	December 31, 2019
	Sales-Type and Direct Financing		Operating		Total
	(In millions)
2020	$	192	$	41	$	233
2021	150		30		180
2022	126		18		144
2023	104		9		113
2024	74		6		80
Thereafter	422		9		431
	$	1,068	$	113	$	1,181

Lessor, Direct Financing Leases [Text Block]

The following table presents the minimum future payments due from customers for sales-type, direct financing, and operating leases:



	December 31, 2019
	Sales-Type and Direct Financing		Operating		Total
	(In millions)
2020	$	192	$	41	$	233
2021	150		30		180
2022	126		18		144
2023	104		9		113
2024	74		6		80
Thereafter	422		9		431
	$	1,068	$	113	$	1,181

Lessor, Sales-type Leases [Text Block]

The following table presents the minimum future payments due from customers for sales-type, direct financing, and operating leases:



	December 31, 2019
	Sales-Type and Direct Financing		Operating		Total
	(In millions)
2020	$	192	$	41	$	233
2021	150		30		180
2022	126		18		144
2023	104		9		113
2024	74		6		80
Thereafter	422		9		431
	$	1,068	$	113	$	1,181