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Leases
6 Months Ended
Jun. 28, 2020
Leases [Abstract]  
Leases

Note 13. Leases

The Company leases office space, cars, distribution centers and equipment under non-cancellable operating lease arrangements with various expiration dates through December 2026. The leases have remaining lease terms of 1 year to 6 years, some of which include options to extend for up to a further 5 years, and some of which include options to terminate prior to completion of the contractual lease term with or without penalties. The Company determines the duration of the lease arrangement giving thought to whether or not it is reasonably certain that the Company will exercise options to extend or terminate the lease arrangement ahead of its contractual term. The leases do not contain any material residual value guarantees.

The components of lease cost were as follows:

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 28,

2020

 

 

June 30,

2019

 

 

June 28,

2020

 

 

June 30,

2019

 

 

 

(In Thousands)

 

Operating lease cost

 

$

2,471

 

 

$

2,982

 

 

$

5,351

 

 

$

5,951

 

Short-term lease cost (1)

 

 

554

 

 

 

504

 

 

 

668

 

 

 

883

 

Total lease cost (2)

 

$

3,025

 

 

$

3,486

 

 

$

6,019

 

 

$

6,834

 

 

(1)

Includes variable lease cost, which was immaterial.

(2)

Included in cost of revenue, sales and marketing, research and development and general and administration in the Company’s unaudited condensed statement of operations.

Supplemental cash flow information related to leases was as follows:

 

 

Six Months Ended

 

 

 

June 28,

2020

 

 

June 30,

2019

 

 

 

(In Thousands)

 

Cash paid for amounts included in the measurement of lease liabilities:

 

 

 

 

 

 

 

 

Operating cash flows relating to operating leases

 

$

6,257

 

 

$

6,179

 

 

 

 

 

 

 

 

 

 

Lease liabilities arising from obtaining right-of-use assets:

 

 

 

 

 

 

 

 

Operating leases

 

$

7,503

 

 

$

677