Lantaigne Inc. entered into a seven-year lease of equipment from Weingartner Inc. At the lease's inception, it is estimated that the equipment has an economic life of 10 years and fair value of $450,000. Present value of minimum lease payments of $75,000 each year, paid in advance, amounts to $421,716. The lease does not transfer title or contain a bargain purchase option and it is not for specialized equipment. Assuming that Lantaigne follows IAS 17, how should the lease be classified?