Leases

9 Months Ended

Sep. 26, 2020

LEASES

As of September 26, 2020, the Company was obligated under operating lease agreements for certain sales offices and manufacturing facilities, manufacturing equipment, vehicles, information technology equipment and warehouse space. As of September 26, 2020, the Company does not have material finance leases. Our leases have remaining lease terms of 1 year to 14 years, some of which may include options to extend the lease for up to 6 years, and some of which may include options to terminate the leases within 1 year.

As of September 26, 2020 and December 31, 2019, the Company’s operating lease components with initial or remaining terms in excess of one year were classified on the condensed consolidated balance sheet and other supplemental balance sheet information was as follows:


(In thousands, except lease term and discount rate)	Classification	September 26, 2020			December 31, 2019
Assets
Right-of-use assets	Right-of-use assets	$	46,655		$	50,160
Liabilities
Short-term lease liability	Other accrued liabilities	9,920			10,025
Long-term lease liability	Long-term lease liability	40,407			43,827
Total lease liabilities		$	50,327		$	53,852
Lease Term and Discount Rate
Weighted average remaining lease term (years)		8.1			8.4
Weighted average discount rate		5.0		%	4.9		%

Expense for leases less than 12 months for the three and nine months ended September 26, 2020 and September 28, 2019 were not material. The components of lease expense for the three and nine months ended September 26, 2020 and September 28, 2019 are as follows:


	Three months ended						Nine months ended
(In thousands)	September 26, 2020		September 28, 2019		September 26, 2020		September 28, 2019

Operating lease cost	$	3,421	$	3,334	$	10,073	$	9,146

The Company combines the amortization of the Right-of-use assets and the change in the operating lease liability in the same line item in the condensed consolidated statement of cash flows. Other information related to the Company’s operating leases was as follows:


(In thousands)	September 26, 2020		September 28, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from leases	$	8,049	$	8,107
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	3,132	$	5,751

Future minimum lease payments for noncancellable operating leases as of September 26, 2020, were as follows:


(In thousands)	Operating Leases
Remaining 2020	$	3,239
2021	11,540
2022	7,669
2023	6,586
2024	5,501
Thereafter	28,207
Total	62,742
Less: Interest	12,415
Present value of lease liabilities	$	50,327