Page 147 - Martin Marietta - 2023 Proxy Statement

NOTES TO FINANCIAL STATEMENTS (Continued)

The balance sheet classifications of operating and finance leases are as follows:
December 31
(in millions) 2022 2021
Operating leases:
Operating lease right‐of‐use assets $ 383.5 $ 426.7

Current operating lease liabilities $ 52.1 $ 53.9
Noncurrent operating lease liabilities 335.9 379.4
Total operating lease liabilities $ 388.0 $ 433.3

Finance leases:
Property, plant and equipment $ 236.9 $ 225.9
Accumulated depreciation (39.4) (21.2)
Property, plant and equipment, net $ 197.5 $ 204.7

Other current liabilities $ 17.8 $ 13.3
Other noncurrent liabilities 182.1 191.1
Total finance lease liabilities $ 199.9 $ 204.4

The incremental borrowing rate ranged from 0.0% to 6.0% and 0.4% to 6.0% for the years ended December 31, 2022 and 2021,
respectively. Weighted‐average remaining lease terms and discount rates are as follows:
December 31 2022 2021
Weighted‐average remaining lease terms (years):
Operating leases 12.2 12.6
Finance leases 19.1 19.5

Weighted‐average discount rates:
Operating leases 4.0% 3.9%
Finance leases 2.3% 2.3%

Future lease payments as of December 31, 2022 are as follows:
Operating Finance
(in millions) Leases Leases
2023 $ 72.8 $ 20.3
2024 56.0 20.1
2025 49.0 18.1
2026 40.4 11.5
2027 33.7 10.7
Thereafter 264.8 176.4
Total lease payments 516.7 257.1
Less: imputed interest (120.9) (56.4)
Present value of lease payments 395.8 200.7
Less: leases classified as held for sale (7.8) (0.8)
Less: current lease obligations (52.1) (17.8)
Total long‐term lease obligations $ 335.9 $ 182.1

Note N: Shareholders’ Equity
The authorized capital structure of the Company includes 100.0 million shares of common stock, with a par value of $0.01 per
share. At December 31, 2022, approximately 1.2 million common shares were reserved for issuance under stock‐based award
plans.

Annual Report ♦ Page 43