Leases (Tables)

12 Months Ended

Jun. 30, 2022

Schedule of Operating and Financing Leases Presented in Balance Sheet

Supplemental information concerning the leases recorded in the Company's consolidated balance sheet as of June 30, 2022 is detailed in the following table:


(Dollars in millions)	Line item in the consolidated balance sheet	Balance at June 30, 2022
Right-of-use assets:
Finance leases	Property, plant, and equipment, net	$	178
Operating leases	Other long-term assets	93

Current lease liabilities:
Finance leases	Current portion of long-term obligations and other short-term borrowings	17
Operating leases	Other accrued liabilities	14

Non-current lease liabilities:
Finance leases	Long-term obligations, less current portion	217
Operating leases	Other liabilities	$	85

Lease, Cost

The components of the net lease costs for the fiscal year ended June 30, 2022 reflected in the Company's consolidated statement of operations were as follows:


(Dollars in millions)	Fiscal Year Ended June 30, 2022
Financing lease costs:
Amortization of right-of-use assets	$	17
Interest on lease liabilities	12
Total	29

Operating lease costs	28
Variable lease costs	8
Total lease costs	$	65

The short-term lease cost amounted to $8 million during the fiscal year ended June 30, 2022.

The weighted average remaining lease term and weighted average discount rate related to the Company's right-of-use assets and lease liabilities as of June 30, 2022 are as follows:


Weighted average remaining lease term (years):
Finance leases	17.7
Operating leases	13.7
Weighted average discount rate:
Finance leases	6.1	%
Operating leases	4.3	%

Schedule of Cash Flow, Supplemental Disclosures

Supplemental information concerning the cash-flow impact arising from the Company's leases for the fiscal year ended June 30, 2022 recorded in the Company's unaudited consolidated statement of cash flows is detailed in the following table (in millions):


	Fiscal Year Ended June 30, 2022
Cash paid for amounts included in lease liabilities:
Financing cash flows used for finance leases	$	15
Operating cash flows used for finance leases	11
Operating cash flows used for operating leases	19

Non-cash transactions:
Right-of-use assets obtained in exchange for new finance lease liabilities	59
Right-of-use assets obtained in exchange for new operating lease liabilities	$	31

Schedule of Maturities of Lease Liabilities

As of June 30, 2022, the Company expects that its future minimum lease payments will become due and payable as follows:


(Dollars in millions)	Financing Leases		Operating Leases		Total
2023	$	29	$	17	$	46
2024	28		14		42
2025	25		11		36
2026	22		11		33
2027	22		11		33
Thereafter	238		74		312
Total minimum lease payments	364		138		502
Less: interest	130		39		169
Total lease liabilities	$	234	$	99	$	333