LEASES (Tables)

12 Months Ended

Dec. 25, 2021

The components of lease expense were as follows:

(In millions)	2021			2020			2019
Finance lease cost:
Amortization of right-of-use assets	$	18		$	18		$	17
Interest on lease liabilities		3			4			5
Operating lease cost		350			402			419
Short-term lease cost		4			6			5
Variable lease cost		99			112			118
Sublease income		(2	)		(2	)		(2	)
Total lease cost	$	472		$	540		$	562

Supplemental cash flow information related to leases was as follows:

(In millions)	2021		2020		2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from finance leases	$	3	$	4	$	5
Operating cash flows from operating leases		408		447		473
Financing cash flows from finance leases		22		20		21
Right-of-use assets obtained in exchange for new finance lease liabilities		3		29		27
Right-of-use assets obtained in exchange for new operating lease liabilities		127		117		327

Supplemental balance sheets information related to leases was as follows:

	December 25,			December 26,
(In millions, except lease term and discount rate)	2021			2020
Property and equipment, net	$	39		$	59
Operating lease right-of-use assets		936			1,107
Accrued expenses and other current liabilities		304			334
Short-term borrowings and current maturities of long-term debt		17			21
Long-term debt, net of current maturities		35			57
Operating lease liabilities		753			935
Weighted-average remaining lease term – finance leases	4			5
Weighted-average remaining lease term – operating leases	5			5
Weighted-average discount rate – finance leases		5.0	%		5.4	%
Weighted-average discount rate – operating leases		5.8	%		6.4	%

Maturities of lease liabilities as of December 25, 2021 were as follows:

	December 25, 2021
	Operating			Finance
(In millions)	Leases⁽¹⁾			Leases⁽²⁾
2022	$	358		$	19
2023		283			15
2024		199			8
2025		134			7
2026		102			5
Thereafter		140			3
		1,216			57
Less imputed interest		(159	)		(5	)
Total	$	1,057		$	52

Reported as of December 25, 2021
Accrued expenses and other current liabilities	$	304		$	—
Short-term borrowings and current maturities of long-term debt		—			17
Long-term debt, net of current maturities		—			35
Operating lease liabilities		753			—
Total	$	1,057		$	52

(1)	Operating lease payments include $77 million related to options to extend lease terms that are reasonably certain of being exercised.

(2)	Finance lease payments include $1 million related to options to extend lease terms that are reasonably certain of being exercised.