v3.25.4
LEASES
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
LEASES LEASES
As disclosed in further detail in Note 2, “SIGNIFICANT ACCOUNTING POLICIES”, the Company leases certain facilities, vehicles and equipment principally under multi-year agreements. In addition, in 2025 the Company entered into a sale and master lease agreement with a third party. Under this agreement, on October 2, 2025, the Company sold various fixed asset equipment, for a sale price of $36 million, and then leased the equipment back through a three-year leaseback transaction. This transaction did not qualify as a sale under the applicable accounting guidance, and, as such, the associated equipment remained included within Property, plant and equipment, net. The Company refers to these failed sale-leasebacks as "other financial liabilities" and recorded the related obligations in Current portion of long-term debt and other financial liabilities and Long-term debt and other financial liabilities in the Consolidated Balance Sheets.
Right-of-use assets and lease liabilities associated with the Company's operating leases and fixed asset equipment and other financial liabilities associated with the Company's leaseback transaction are included in the Consolidated Balance Sheets as follows:
(in millions)December 31, 2025December 31, 2024
Right-of-use assets included in:
Other non-current assets$160 $151 
Fixed asset equipment included in:
Property, plant and equipment, net$36 $— 
Lease liabilities included in:
Accrued and other current liabilities$38 $32 
Other non-current liabilities125 120 
  Current portion of long-term debt and other financial liabilities
11 — 
   Long-term debt and other financial liabilities
23 — 
Total lease liabilities$197 $152 
As of December 31, 2025 and 2024, the Company's finance leases were not material and for 2025 and 2024 sub-lease income and short-term lease expense were not material. Lease expense for 2025 and 2024 includes:
(in millions)20252024
Operating lease costs$54 $46 
Variable operating lease costs$10 $10 
Amortization of other financial liabilities$— $— 
Interest on other financial liabilities$1 $— 
Other information related to operating leases and other financial liabilities for 2025 and 2024 is as follows:
(dollars in millions)20252024
Cash paid from operating cash flows for amounts included in the measurement of lease liabilities$51 $42 
Cash paid from operating cash flows for other financial liabilities$1 $— 
Cash paid from financing cash flows for other financial liabilities$2 $— 
Cash received from financing cash flows for other financial liabilities$36 $— 
Right-of-use assets obtained in exchange for new operating lease liabilities$39 $73 
Weighted-average remaining lease term - operating leases7.3 years7.4 years
Weighted-average remaining lease term - other financial liabilities2.8 years—
Weighted-average discount rate - operating leases7.6 %7.5 %
Weighted-average discount rate - other financial liabilities7.5 %—
As of December 31, 2025, future payments under noncancellable operating leases, and, under the leaseback agreement that did not qualify as a sale, for each of the five succeeding years ending December 31 and thereafter are as follows:
(in millions)Operating LeasesOther Financial Liabilities
2026$49 $13 
202740 13 
202828 12 
202915 — 
203013 — 
Thereafter72 — 
Total217 38 
Less: Imputed interest54 4 
Present value of remaining lease payments163 34 
Less: Current portion38 11 
Non-current portion$125 $23 
LEASES LEASES
As disclosed in further detail in Note 2, “SIGNIFICANT ACCOUNTING POLICIES”, the Company leases certain facilities, vehicles and equipment principally under multi-year agreements. In addition, in 2025 the Company entered into a sale and master lease agreement with a third party. Under this agreement, on October 2, 2025, the Company sold various fixed asset equipment, for a sale price of $36 million, and then leased the equipment back through a three-year leaseback transaction. This transaction did not qualify as a sale under the applicable accounting guidance, and, as such, the associated equipment remained included within Property, plant and equipment, net. The Company refers to these failed sale-leasebacks as "other financial liabilities" and recorded the related obligations in Current portion of long-term debt and other financial liabilities and Long-term debt and other financial liabilities in the Consolidated Balance Sheets.
Right-of-use assets and lease liabilities associated with the Company's operating leases and fixed asset equipment and other financial liabilities associated with the Company's leaseback transaction are included in the Consolidated Balance Sheets as follows:
(in millions)December 31, 2025December 31, 2024
Right-of-use assets included in:
Other non-current assets$160 $151 
Fixed asset equipment included in:
Property, plant and equipment, net$36 $— 
Lease liabilities included in:
Accrued and other current liabilities$38 $32 
Other non-current liabilities125 120 
  Current portion of long-term debt and other financial liabilities
11 — 
   Long-term debt and other financial liabilities
23 — 
Total lease liabilities$197 $152 
As of December 31, 2025 and 2024, the Company's finance leases were not material and for 2025 and 2024 sub-lease income and short-term lease expense were not material. Lease expense for 2025 and 2024 includes:
(in millions)20252024
Operating lease costs$54 $46 
Variable operating lease costs$10 $10 
Amortization of other financial liabilities$— $— 
Interest on other financial liabilities$1 $— 
Other information related to operating leases and other financial liabilities for 2025 and 2024 is as follows:
(dollars in millions)20252024
Cash paid from operating cash flows for amounts included in the measurement of lease liabilities$51 $42 
Cash paid from operating cash flows for other financial liabilities$1 $— 
Cash paid from financing cash flows for other financial liabilities$2 $— 
Cash received from financing cash flows for other financial liabilities$36 $— 
Right-of-use assets obtained in exchange for new operating lease liabilities$39 $73 
Weighted-average remaining lease term - operating leases7.3 years7.4 years
Weighted-average remaining lease term - other financial liabilities2.8 years—
Weighted-average discount rate - operating leases7.6 %7.5 %
Weighted-average discount rate - other financial liabilities7.5 %—
As of December 31, 2025, future payments under noncancellable operating leases, and, under the leaseback agreement that did not qualify as a sale, for each of the five succeeding years ending December 31 and thereafter are as follows:
(in millions)Operating LeasesOther Financial Liabilities
2026$49 $13 
202740 13 
202828 12 
202915 — 
203013 — 
Thereafter72 — 
Total217 38 
Less: Imputed interest54 4 
Present value of remaining lease payments163 34 
Less: Current portion38 11 
Non-current portion$125 $23