Company: CL
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0000021665-25-000008
Chunk: 58

Company: COLGATE PALMOLIVE CO
Filing Date: 2025-02-13
Form: 10-K
Item: Item 16
Chunk 58
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 exercise such options. As the Company’s leases typically do not contain a readily determinable implicit rate, the Company determines the present value of the lease liability using its incremental borrowing rate at the lease commencement date. Substantially all of the Company’s leases are considered operating leases. Finance leases were not material as of December 31, 2024 and 2023. As of December 31, 2024 and 2023, the Company’s right-of use assets and liabilities for operating leases were as follows:20242023Other assets$529 $491 Other accruals107 95 Other liabilities456 420 Total operating lease liabilities $563 $515 Lease liabilities for operating leases as of December 31, 2024 were as follows:2025$126 2026108 2027101 202880 202958 Thereafter182 Total lease commitments$655 Less: Interest(92)Present value of lease liabilities$563 The components of the Company’s operating lease cost for the twelve months ended December 31, 2024 and 2023 were as follows:20242023Operating lease cost$144 $136 Short-term lease cost3 3 Variable lease cost19 20 Sublease Income(2)(2)Total lease cost$164 $157 Short-term lease cost represents the Company’s cost with respect to leases with a duration of 12 months or less and is not reflected on the Company’s Consolidated Balance Sheets. Variable lease costs are comprised of costs, such as the Company’s proportionate share of actual costs for utilities, common area maintenance, property taxes and insurance, that are not included in the lease liability and are recognized in the period in which they are incurred. 

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COLGATE-PALMOLIVE COMPANY Notes to Consolidated Financial Statements (continued)(Dollars in Millions Except Share and Per Share Amounts)

Supplemental cash flow information related to operating leases for the twelve months ended December 31, 2024 and 2023 was as follows:▪Payments against amounts included in the measurement of lease liabilities: $132 and $171, respectively ▪Lease assets obtained in exchange for lease liabilities: $141 and $139, respectively.As of December 31, 2024 and 2023, the weighted-average remaining lease term for operating leases was 7 and 8 years, respectively, and the weighted-average discount rate for operating leases was 4.4%