Sylvamo Corp
For the period ended Dec 31, 2023. Filed Feb 21, 2024.
View on SEC.govAbout this filing
A company's yearly report to the SEC, with audited financial statements. It is the fullest account a company gives of its business, its finances and the risks it sees.
FY2023 · Filed Feb 21, 2024
Contents
ITEM 2.
NOTE 10 LEASES
The Company leases various real estate, including warehouses, office space and land. The Company also leases material handling equipment, vehicles and certain other equipment. The Company’s leases have a remaining lease term of up to 15 years.
COMPONENTS OF LEASE EXPENSE
| In millions | 2023 | 2022 | 2021 |
|---|---|---|---|
| Operating lease costs | $21 | $18 | $9 |
| Variable lease costs | 40 | 28 | 20 |
| Short-term lease costs | — | 7 | 7 |
| Finance lease cost | |||
| Amortization of right-of-use assets | 3 | 4 | 3 |
| Interest on lease liabilities | 1 | 1 | 1 |
| Total lease cost, net | $65 | $58 | $40 |
SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES
| In millions | Classification | 2023 | 2022 |
|---|---|---|---|
| Assets | |||
| Operating lease assets | Right of use assets | $58 | $35 |
| Finance lease assets | Plants, properties, and equipment, net (a) | 22 | 24 |
| Total leased assets | $80 | $59 | |
| Liabilities | |||
| Current | |||
| Operating | Other current liabilities | $18 | $13 |
| Finance | Notes payable and current maturities of long-term debt | 2 | 3 |
| Noncurrent | |||
| Operating | Other Liabilities | 46 | 28 |
| Finance | Long-term debt | 14 | 14 |
| Total lease liabilities | $80 | $58 | |
(a)Finance leases above are presented net of accumulated amortization of $16 million and $13 million as of December 31, 2023 and 2022, respectively.
LEASE TERM AND DISCOUNT RATE
| 2023 | 2022 | |
|---|---|---|
| Weighted average remaining lease term (years) | ||
| Operating leases | 5.3 years | 5.8 years |
| Finance leases | 9.6 years | 7.5 years |
| Weighted average discount rate | ||
| Operating leases | 4.94% | 2.84% |
| Finance leases | 3.85% | 3.90% |
SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES
| In millions | 2023 | 2022 |
|---|---|---|
| Cash paid for amounts included in the measurement of lease liabilities | ||
| Operating cash flows related to operating leases | $21 | $21 |
| Operating cash flows related to financing leases | 1 | 1 |
| Financing cash flows related to finance leases | 5 | 5 |
| Right of use assets obtained in exchange for lease liabilities | ||
| Operating leases | 38 | 14 |
| Finance leases | 1 | — |
MATURITY OF LEASE LIABILITIES
| In millions | Operating Leases | Financing Leases | Total |
|---|---|---|---|
| 2024 | $21 | $3 | $24 |
| 2025 | 15 | 2 | 17 |
| 2026 | 10 | 2 | 12 |
| 2027 | 8 | 2 | 10 |
| 2028 | 8 | 2 | 10 |
| Thereafter | 11 | 8 | 19 |
| Total lease payments | 73 | 19 | 92 |
| Less: imputed interest | 9 | 3 | 12 |
| Present value of lease liabilities | $64 | $16 | $80 |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.