Quarterly report [Sections 13 or 15(d)]

LEASES

v3.26.1
LEASES
 6 Months Ended
Jun. 30, 2026
Leases [Abstract]  
LEASES LEASES
We have finance and operating leases for real estate (primarily package centers, airport facilities and warehouses), aircraft and engines, information technology equipment, vehicles and various other equipment used in operating our business. Certain leases for real estate and aircraft contain options to purchase, extend or terminate the lease.
As of June 30, 2026, we had $1.8 billion of additional leases which had not commenced and are expected to commence later in 2026 through 2027. These leases are primarily related to aircraft and will commence when the related aircraft is delivered. Other leases will commence when we are granted access to the property, such as when leasehold improvements are completed or a certificate of occupancy is obtained.
The components of lease expense for the three and six months ended June 30, 2026 and 2025 were as follows (in millions):
Three Months Ended
 June 30,		 Six Months Ended
 June 30,
2026 2025 2026 2025
Operating lease costs $ 250  $ 232  $ 494  $ 463 
Finance lease costs:
Amortization of assets 45  27  89  62 
Interest on lease obligations 13  5  24  12 
Total finance lease costs 58  32  113  74 
Variable lease costs 108  118  210  190 
Short-term lease costs 302  207  635  419 
Total lease costs $ 718  $ 589  $ 1,452  $ 1,146 
LEASES LEASES
We have finance and operating leases for real estate (primarily package centers, airport facilities and warehouses), aircraft and engines, information technology equipment, vehicles and various other equipment used in operating our business. Certain leases for real estate and aircraft contain options to purchase, extend or terminate the lease.
As of June 30, 2026, we had $1.8 billion of additional leases which had not commenced and are expected to commence later in 2026 through 2027. These leases are primarily related to aircraft and will commence when the related aircraft is delivered. Other leases will commence when we are granted access to the property, such as when leasehold improvements are completed or a certificate of occupancy is obtained.
The components of lease expense for the three and six months ended June 30, 2026 and 2025 were as follows (in millions):
Three Months Ended
 June 30,		 Six Months Ended
 June 30,
2026 2025 2026 2025
Operating lease costs $ 250  $ 232  $ 494  $ 463 
Finance lease costs:
Amortization of assets 45  27  89  62 
Interest on lease obligations 13  5  24  12 
Total finance lease costs 58  32  113  74 
Variable lease costs 108  118  210  190 
Short-term lease costs 302  207  635  419 
Total lease costs $ 718  $ 589  $ 1,452  $ 1,146