Leases

3 Months Ended

Apr. 02, 2022

3.Leases

At April 2, 2022 and January 1, 2022, the Company’s lease assets and lease liabilities, primarily for its studios and corporate offices, were as follows:

	April 2, 2022		January 1, 2022
Assets:
Operating lease assets	$	86,302	$	89,902
Finance lease assets		136		127
Total leased assets	$	86,438	$	90,029

Liabilities:
Current
Operating	$	18,969	$	20,297
Finance		101		75
Noncurrent
Operating	$	75,527	$	78,157
Finance		22		29
Total lease liabilities	$	94,619	$	98,558

For the three months ended April 2, 2022 and April 3, 2021, the components of the Company’s lease expense were as follows:

	Three Months Ended
	April 2,			April 3,
	2022			2021
Operating lease cost:
Fixed lease cost	$	8,112		$	11,044
Lease termination cost		(120	)		3,152
Variable lease cost		7			5
Total operating lease cost	$	7,999		$	14,201
Finance lease cost:
Amortization of leased assets		35			43
Interest on lease liabilities		1			2
Total finance lease cost	$	36		$	45
Total lease cost	$	8,035		$	14,246

At April 2, 2022 and January 1, 2022, the Company’s weighted average remaining lease term and weighted average discount rates were as follows:

	April 2, 2022		January 1, 2022
Weighted Average Remaining Lease Term (years)
Operating leases		7.25		7.29
Finance leases		1.35		1.54

Weighted Average Discount Rate
Operating leases		7.15		7.15
Finance leases		4.56		5.31

The Company’s leases have remaining lease terms of 0 to 10 years with a weighted average lease term of 7.24 years as of April 2, 2022.

At April 2, 2022, the maturity of the Company’s lease liabilities in each of the next five fiscal years and thereafter were as follows:

	Operating Leases		Finance Leases		Total
Remainder of fiscal 2022	$	19,048	$	86	$	19,134
Fiscal 2023		21,532		36		21,568
Fiscal 2024		16,123		5		16,128
Fiscal 2025		11,811		—		11,811
Fiscal 2026		9,472		—		9,472
Thereafter		45,573		—		45,573
Total lease payments	$	123,559	$	127	$	123,686
Less imputed interest		29,063		4		29,067
Present value of lease liabilities	$	94,496	$	123	$	94,619

Supplemental cash flow information related to leases for the three months ended April 2, 2022 and April 3, 2021 were as follows:

	Three Months Ended
	April 2,		April 3,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	8,509	$	11,772
Operating cash flows from finance leases	$	1	$	2
Financing cash flows from finance leases	$	35	$	43

Leased assets obtained (modified) in exchange for new (modified) operating lease liabilities	$	2,859	$	(1,892	)
Leased assets obtained in exchange for new finance lease liabilities	$	46	$	—