NOTES TO CONSOLIDATED FINANCIAL STATEMENTS OF AMERICAN AIRLINES, INC. agreements, particularly in the U.S., often contain provisions for periodic adjustments to rates and charges applicable under such agreements. These rates and charges also vary with American’s level of operations and the operations of the airport. Additionally, at American’s hub locations and in certain other cities it serves, American leases administrative offices, catering, cargo, training, maintenance and other facilities. The components of lease expense were as follows (in millions): Included in the table above is $226 million of operating lease cost under American’s capacity purchase agreement with Republic. American holds a 25% equity interest in Republic Holdings, the parent company of Republic. Supplemental balance sheet information related to leases was as follows (in millions, except lease term and discount rate): 151 December 31, 2018 Operating leases: Operating lease ROU assets $ 9,094 Current operating lease liabilities 1,639 Noncurrent operating lease liabilities 7,857 Total operating lease liabilities $ 9,496 Finance leases: Property and equipment, at cost $ 936 Accumulated amortization (391) Property and equipment, net $ 545 Current obligations of finance leases $ 81 Finance leases, net of current obligations 613 Total finance lease liabilities $ 694 Weighted average remaining lease term (in years): Operating leases 7.6 Finance leases 7.4 Weighted average discount rate: Operating leases 4.6% Finance leases 6.5 % Year Ended December 31, 2018 Operating lease cost $ 1,889 Finance lease cost: Amortization of assets 78 Interest on lease liabilities 48 Variable lease cost 2,353 Total net lease cost $ 4,368