Note 14
Leases

The Company’s lease obligations primarily relate to real estate and office equipment. Rent expense was $459 million, $497 million and $558 million in 2016, 2015 and 2014, respectively. Sublease income received by the Company on leased assets was $13 million, $13 million and $17 million in 2016, 2015 and 2014, respectively.

At December 31, 2016, future net minimum lease payments for operating leases, having initial or remaining non-cancelable lease terms in excess of one year, consisted of the following:

($ in millions)

 

2017

382

2018

304

2019

248

2020

205

2021

166

Thereafter

243

 

1,548

Sublease income

(24)

Total

1,524

At December 31, 2016, the future net minimum lease payments for capital leases and the present value of the net minimum lease payments consisted of the following:

($ in millions)

 

2017

30

2018

25

2019

23

2020

18

2021

13

Thereafter

68

Total minimum lease payments

177

Less amount representing estimated executory costs included in total minimum lease payments

(1)

Net minimum lease payments

176

Less amount representing interest

(62)

Present value of minimum lease payments

114

Minimum lease payments have not been reduced by minimum sublease rentals due in the future under non-cancelable subleases. Such minimum sublease rentals were not significant. The present value of minimum lease payments is included in “Short-term debt and current maturities of long-term debt” or “Long-term debt” in the Consolidated Balance Sheets.