Leases

12 Months Ended

Apr. 26, 2024

9. Leases

We lease real estate, equipment and automobiles in the U.S. and internationally. Our real estate leases, which are responsible for the majority of our aggregate ROU asset and liability balances, include leases for office space, data centers and other facilities, and as of April 26, 2024, have remaining lease terms not exceeding 18 years. Some of these leases contain options that allow us to extend or terminate the lease agreement. Our equipment leases are primarily for servers and networking equipment and as of April 26, 2024, have remaining lease terms not exceeding 4 years. As of April 26, 2024, our automobile leases have remaining lease terms not exceeding 4 years. All our leases are classified as operating leases except for certain immaterial equipment finance leases.

The components of lease cost related to our operating leases were as follows (in millions):


	Year Ended
	April 26, 2024		April 28, 2023
Operating lease cost	$	53	$	61
Variable lease cost		15		16
Total lease cost	$	68	$	77

Variable lease cost is primarily attributable to amounts paid to lessors for common area maintenance and utility charges under our real estate leases.

The supplemental cash flow information related to our operating leases is as follows (in millions):


	Year Ended
	April 26, 2024		April 28, 2023
Cash paid for amounts included in the measurement of operating lease liabilities	$	50	$	55
Right-of-use assets obtained in exchange for new operating lease obligations	$	17	$	38

The supplemental balance sheet information related to our operating leases is as follows (in millions, except lease term and discount rate):


	April 26, 2024			April 28, 2023
Other non-current assets	$	247		$	281
Total operating lease ROU assets	$	247		$	281

Accrued expenses	$	40		$	47
Other long-term liabilities		220			248
Total operating lease liabilities	$	260		$	295

Weighted Average Remaining Lease Term	9.2 years			9.4 years

Weighted Average Discount Rate		3.1	%		3.0	%

Future minimum operating lease payments as of April 26, 2024 are as follows (in millions):


Fiscal Year	Amount
2025	$	45
2026		40
2027		34
2028		29
2029		27
Thereafter		127
Total lease payments		302
Less: Interest		(42	)
Total	$	260