LEASES

9 Months Ended

Sep. 30, 2022

LEASES.

LEASES

22. LEASES

The Company currently leases office space, data centers, remote network operations centers, and equipment under non-cancelable operating leases with third parties as of September 30, 2022. Certain leases include one or more options to renew, with renewal terms that can extend the lease term from one to five years or more, and some of which include the Company’s option to terminate the leases within one year. During the three months ended September 30, 2022, $0.9 million of right of use assets and $0.9 million of lease liabilities were added related to new operating leases.

In October 2021, the Company signed a new lease to secure approximately 29,500 square feet of office space in Amsterdam. The initial term of the lease is 120 months from the accounting commencement date, February 1, 2022. The Company has the option to renew the lease term for an additional 60 months. The total legally binding minimum lease payments for this lease are approximately $9.2 million.

The following table presents the supplemental balance sheet information related to leases as of September 30, 2022 and December 31, 2021, respectively (in millions):

	September 30,		December 31,
	2022		2021
Operating lease right of use assets	$	114.2	$	110.1
Total leased assets	$	114.2	$	110.1
Accrued liabilities	$	18.2	$	15.6
Non-current operating lease liabilities		131.8		129.2
Total leased liabilities	$	150.0	$	144.8

The following table presents operating lease costs and other information as of and for the three and nine months ended September 30, 2022 and 2021, respectively (in millions, except as stated):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022			2021
Operating lease costs (1)	$	7.6	$	6.7	$	22.8		$	19.2
Lease term and discount rate information:
Weighted average remaining lease term (years)						10.4			11.2
Weighted average discount rate						3.1	%		3.3	%
Supplemental cash flow information and non-cash activity:
Cash paid for amounts included in the measurement of lease liabilities	$	5.0	$	4.5	$	15.8		$	13.1
Right of use assets obtained in exchange for lease liabilities		0.9		3.3		22.5			14.0

(1) Includes short-term lease and variable lease costs, which are immaterial.

The maturities of the lease liabilities are as follows as of September 30, 2022 (in millions):

	September 30,
	2022
Remainder of 2022	$	5.3
2023		21.9
2024		16.4
2025		15.3
2026		16.3
After 2026		104.7
Total lease payments (1)	$	179.9
Less: Interest		(29.9)
Present value of lease liabilities	$	150.0

(1) Total lease payments include $20.4 million related to options to extend lease terms that are reasonably certain of being exercised.