Leases

3 Months Ended

Mar. 31, 2021

NOTE 10. LEASES

We lease certain equipment, office space and land. Lease assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease.

The following table presents supplemental balance sheet information related to lease assets and liabilities:

(in thousands)	Classification	March 31, 2021		December 31, 2020
Assets
Operating lease assets	Other long-term assets	$	9,922	$	11,081
Finance lease assets¹	Property, plant and equipment, net		7,419		7,206
Total lease assets		$	17,341	$	18,287

Liabilities
Current:
Operating lease liabilities	Accounts payable and accrued liabilities	$	3,848	$	4,304
Finance lease liabilities	Accounts payable and accrued liabilities		2,363		2,202
Noncurrent:
Operating lease liabilities	Other long-term obligations		6,101		6,835
Finance lease liabilities	Other long-term obligations		4,977		4,914
Total lease liabilities		$	17,289	$	18,255

¹	Finance lease assets are presented net of accumulated amortization of $2.3 million and $1.7 million as of March 31, 2021 and December 31, 2020, respectively.

The following table presents the components of lease expense:

	Three Months Ended March 31,
(in thousands)	2021		2020
Operating lease costs¹	$	1,328	$	1,425
Finance lease costs:
Amortization of leased assets		589	213
Interest on lease liabilities		51	27
Net lease costs	$	1,968	$	1,665

¹	^{Excludes short-term leases and variable lease costs, which are immaterial.}

The following table presents supplemental cash flow information related to leases:

	Three Months Ended March 31,
(in thousands)	2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	1,368	$	1,506
Operating cash flows for finance leases	$	51	$	27
Financing cash flows for finance leases	$	577	$	215
Leased assets exchanged for new lease liabilities:
Operating leases	$	124	$	38
Finance leases	$	801	$	1,517