Leases are classified as operating leases or finance leases in accordance with

ASC 842

The Company’s operating leases mainly related to land, office facilities, IDC facilities and vehicles. For leases with terms greater

than 12 months,

the Company records the related asset and lease liability at the present value of lease payments over the term. Certain leases include rental escalation clauses, renewal options and/or termination options, which are factored into the Company’s determination of lease payments when appropriate. As of

December 31, 2019, finance leases were insignificant.

As of December 31, 2019, the weighted

average remaining lease term was 6.3 years and weighted average discount rate was 4.45

% for the Group’s operating leases.

Operating lease

cost for the year ended December 31, 2019 w

RMB

2.7 billion (US$382 million), which excluded cost of short-term contracts. Short-term lease cost for the year ended December 31, 2019 w

RMB434 million (US$62 million). Variable lease cost w

immaterial for the year ended December 31, 2019.

For the year ended December 31, 2019, no lease cost for operating or finance leases was capitalized.

Supplemental cash flow information related to operating leases w

as follows:


	For the year ended December 31, 2019
	RMB		US$
	(In millions)
Cash payments for operating leases		2,631		378
ROU assets obtained in exchange for operating lease liabilities		3,896		560

Future lease payments under operating leases as of December 31, 2019 were as follows:


	Operating leases
	RMB		US$
	(In millions)
Year ending December 31,
2020		2,350		337
2021		1,705		245
2022		1,307		188
2023		1,080		155
2024		628		90
Thereafter		395		57

Total future lease payments		7,465		1,072
Less: Imputed interest		696		100

Total lease liability balance		6,769		972

As of December 31, 2019, additional operating leases that have not yet commenced were immaterial.