Company: FCNCB
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000798941-25-000010
Chunk: 191

Company: FIRST CITIZENS BANCSHARES INC /DE/
Filing Date: 2025-02-21
Form: 10-K
Item: Item 8
Chunk 191
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ancy expense(6)(3)(2)Net lease cost (1), (2)$100 $88 $70 (1) In addition, approximately $34 million and $6 million related to subleases or closures of leased real estate were included in acquisition-related expenses in the Consolidated Statements of Income for the years ended December 31, 2023 and December 31, 2022, respectively.   (2) Includes short-term lease cost.Operating lease cost is recognized as a single lease cost on a straight-line basis over the lease term.  For finance leases, the ROU asset is amortized straight-line over the lease term as equipment expense and interest on the lease liability is recognized separately; however, interest on the lease liability was less than $1 million per year and is therefore not presented in the table above. Variable lease cost includes common area maintenance, property taxes, utilities, and other operating expenses related to leased premises recognized in the period in which the expense was incurred. Certain of our lease agreements also include rental payments adjusted periodically for inflation. While lease liabilities are not remeasured because of these changes, these adjustments are treated as variable lease costs and recognized in the period in which the expense is incurred. Sublease income results from leasing excess building space that BancShares is no longer utilizing under operating leases, which have remaining lease terms of up to 12 years.

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The following table presents supplemental cash flow information related to leases:Supplemental Cash Flow Informationdollars in millionsYear Ended December 31,202420232022Cash paid for amounts included in the measurement of lease liabilities:Operating cash flows from operating leases$77 $63 $54 Financing cash flows from finance leases2 2 2 ROU assets obtained in exchange for new operating lease liabilities28 69 19 ROU assets obtained in exchange for new finance lease liabilities8 4 5 The following table presents lease liability maturities at December 31, 2024:Maturity of Lease Liabilitiesdollars in millionsOperating LeasesFinance LeasesTotal202568 3 71 202667 3 70 202756 2 58 202842 1 43 202937 1 38 Thereafter124 10 134 Total undiscounted lease payments394 20 414 Difference between undiscounted cash flows and discounted cash flows37 5 42 Lease liabilities, at present value357 15 372