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LEASES
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
LEASES LEASES
United leases aircraft, airport passenger terminal space, aircraft hangars and related maintenance facilities, cargo terminals, other airport facilities, other commercial real estate, office and computer equipment and vehicles, among other items. Certain of these leases include provisions for variable lease payments which are based on several factors, including, but not limited to,
relative leased square footage, available seat miles, enplaned passengers, passenger facility charges, terminal equipment usage fees, departures, and airports' annual operating budgets. Due to the variable nature of these payments, they are not included in the calculation of the right-of-use asset and lease liability.
Lease Cost. The Company's lease cost for the years ended December 31 included the following components (in millions):
202420232022
Operating lease cost$855 $925 $941 
Variable and short-term lease cost3,592 3,028 2,603 
Amortization of finance lease assets62 52 72 
Interest on finance lease liabilities16 20 13 
Sublease income(35)(39)(33)
Total lease cost$4,490 $3,986 $3,596 
Lease Terms and Commitments. United's leases include aircraft leases for aircraft that are directly leased by United and aircraft that are operated by regional carriers on United's behalf under CPAs (but excluding aircraft owned by United) and non-aircraft leases. Aircraft operating leases relate to leases of 66 mainline and 219 regional aircraft while finance leases relate to leases of 8 mainline and 21 regional aircraft. United's aircraft leases have remaining lease terms of 1 month to 12 years with expiration dates ranging from 2025 through 2036. Under the terms of most aircraft leases, United has the right to purchase the aircraft at the end of the lease term, in some cases at fair market value, and in others, at a percentage of cost.
In addition, United also has 66 leases of Boeing 737 MAX, Boeing 787 and Airbus A321neo aircraft under various sale-leaseback transactions. These transactions did not qualify as a sale under the applicable accounting guidance, and, as such, the associated aircraft remain on the Company's consolidated balance sheet as part of Operating property and equipment, net. The related obligations are recorded in Current maturities of long-term debt, finance leases, and other financial liabilities and Long-term debt, finance leases, and other financial liabilities. These aircraft leases have remaining lease terms of 9 months to 12 years with expiration dates ranging from 2025 through 2037.
Non-aircraft leases have remaining lease terms of 1 month to 32 years.
The table below summarizes the Company's scheduled future minimum lease payments under operating and finance leases, recorded on the balance sheet, as of December 31, 2024 (in millions):
Operating LeasesFinance Leases
2025$757 $232 
2026731 33 
2027926 21 
2028742 11 
2029546 5 
After 20293,081 4 
Minimum lease payments6,783 306 
Imputed interest(1,806)(15)
Present value of minimum lease payments4,977 291 
Less: current maturities of lease obligations(467)(223)
Long-term lease obligations$4,510 $68 
The table below presents the Company's future contractual lease payments at December 31, 2024 under then-outstanding sale and leaseback agreements that did not qualify as a sale under the applicable accounting guidance (in millions):
Other Financial Liabilities
2025$453 
2026320 
2027610 
2028283 
2029280 
After 20293,232 
5,178 
Imputed interest(1,466)
Current maturities of other financial liabilities(257)
Other financial liabilities$3,455 
In November 2024, at the request of United, the City of Houston, Texas issued special facility revenue bonds in the par amount of approximately $1.1 billion (the "IAH SFRBs") to fund a portion of the costs of construction, reconfiguration and redevelopment of portions of Terminal B at George Bush Intercontinental Airport. The IAH SFRBs have interest rates ranging from 5.25% to 5.50% per annum, payable semiannually, commencing in July 2025 through the July 2039 maturity date of the IAH SFRBs. United will account for the lease payments related to these IAH SFRBs as an operating lease recognized as a right-of-use asset and lease liability on the Company's balance sheet.
As of December 31, 2024, we had entered into leases with rental obligations of approximately $5.7 billion for several mainline aircraft, regional aircraft under CPAs, airport facilities, including the lease associated with the IAH SFRBs described above, and office space, none of which had commenced as of such date. These leases will commence between 2025 and 2027 with lease terms of up to 27 years.
Our lease agreements do not provide a readily determinable implicit rate nor is it available to us from our lessors. Instead, we estimate United's incremental borrowing rate based on information available at lease commencement in order to discount lease payments to present value. The table below presents additional information related to our leases as of December 31:
20242023
Weighted-average remaining lease term - operating leases11 years10 years
Weighted-average remaining lease term - finance leases2 years2 years
Weighted-average remaining lease term - other financial liabilities10 years10 years
Weighted-average discount rate - operating leases5.9 %5.8 %
Weighted-average discount rate - finance leases5.9 %6.3 %
Weighted-average interest rate - other financial liabilities5.3 %5.3 %


The table below presents supplemental cash flow information related to leases during the year ended December 31 (in millions):
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases$851 $874 $919 
Operating cash flows for finance leases15 21 13 
Financing cash flows for finance leases269 311 124 
LEASES LEASES
United leases aircraft, airport passenger terminal space, aircraft hangars and related maintenance facilities, cargo terminals, other airport facilities, other commercial real estate, office and computer equipment and vehicles, among other items. Certain of these leases include provisions for variable lease payments which are based on several factors, including, but not limited to,
relative leased square footage, available seat miles, enplaned passengers, passenger facility charges, terminal equipment usage fees, departures, and airports' annual operating budgets. Due to the variable nature of these payments, they are not included in the calculation of the right-of-use asset and lease liability.
Lease Cost. The Company's lease cost for the years ended December 31 included the following components (in millions):
202420232022
Operating lease cost$855 $925 $941 
Variable and short-term lease cost3,592 3,028 2,603 
Amortization of finance lease assets62 52 72 
Interest on finance lease liabilities16 20 13 
Sublease income(35)(39)(33)
Total lease cost$4,490 $3,986 $3,596 
Lease Terms and Commitments. United's leases include aircraft leases for aircraft that are directly leased by United and aircraft that are operated by regional carriers on United's behalf under CPAs (but excluding aircraft owned by United) and non-aircraft leases. Aircraft operating leases relate to leases of 66 mainline and 219 regional aircraft while finance leases relate to leases of 8 mainline and 21 regional aircraft. United's aircraft leases have remaining lease terms of 1 month to 12 years with expiration dates ranging from 2025 through 2036. Under the terms of most aircraft leases, United has the right to purchase the aircraft at the end of the lease term, in some cases at fair market value, and in others, at a percentage of cost.
In addition, United also has 66 leases of Boeing 737 MAX, Boeing 787 and Airbus A321neo aircraft under various sale-leaseback transactions. These transactions did not qualify as a sale under the applicable accounting guidance, and, as such, the associated aircraft remain on the Company's consolidated balance sheet as part of Operating property and equipment, net. The related obligations are recorded in Current maturities of long-term debt, finance leases, and other financial liabilities and Long-term debt, finance leases, and other financial liabilities. These aircraft leases have remaining lease terms of 9 months to 12 years with expiration dates ranging from 2025 through 2037.
Non-aircraft leases have remaining lease terms of 1 month to 32 years.
The table below summarizes the Company's scheduled future minimum lease payments under operating and finance leases, recorded on the balance sheet, as of December 31, 2024 (in millions):
Operating LeasesFinance Leases
2025$757 $232 
2026731 33 
2027926 21 
2028742 11 
2029546 5 
After 20293,081 4 
Minimum lease payments6,783 306 
Imputed interest(1,806)(15)
Present value of minimum lease payments4,977 291 
Less: current maturities of lease obligations(467)(223)
Long-term lease obligations$4,510 $68 
The table below presents the Company's future contractual lease payments at December 31, 2024 under then-outstanding sale and leaseback agreements that did not qualify as a sale under the applicable accounting guidance (in millions):
Other Financial Liabilities
2025$453 
2026320 
2027610 
2028283 
2029280 
After 20293,232 
5,178 
Imputed interest(1,466)
Current maturities of other financial liabilities(257)
Other financial liabilities$3,455 
In November 2024, at the request of United, the City of Houston, Texas issued special facility revenue bonds in the par amount of approximately $1.1 billion (the "IAH SFRBs") to fund a portion of the costs of construction, reconfiguration and redevelopment of portions of Terminal B at George Bush Intercontinental Airport. The IAH SFRBs have interest rates ranging from 5.25% to 5.50% per annum, payable semiannually, commencing in July 2025 through the July 2039 maturity date of the IAH SFRBs. United will account for the lease payments related to these IAH SFRBs as an operating lease recognized as a right-of-use asset and lease liability on the Company's balance sheet.
As of December 31, 2024, we had entered into leases with rental obligations of approximately $5.7 billion for several mainline aircraft, regional aircraft under CPAs, airport facilities, including the lease associated with the IAH SFRBs described above, and office space, none of which had commenced as of such date. These leases will commence between 2025 and 2027 with lease terms of up to 27 years.
Our lease agreements do not provide a readily determinable implicit rate nor is it available to us from our lessors. Instead, we estimate United's incremental borrowing rate based on information available at lease commencement in order to discount lease payments to present value. The table below presents additional information related to our leases as of December 31:
20242023
Weighted-average remaining lease term - operating leases11 years10 years
Weighted-average remaining lease term - finance leases2 years2 years
Weighted-average remaining lease term - other financial liabilities10 years10 years
Weighted-average discount rate - operating leases5.9 %5.8 %
Weighted-average discount rate - finance leases5.9 %6.3 %
Weighted-average interest rate - other financial liabilities5.3 %5.3 %


The table below presents supplemental cash flow information related to leases during the year ended December 31 (in millions):
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases$851 $874 $919 
Operating cash flows for finance leases15 21 13 
Financing cash flows for finance leases269 311 124