Leases

12 Months Ended

Dec. 28, 2019

Leases [Abstract]

Leases

Leases

The Company primarily leases property under operating leases and has five equipment operating leases for aircrafts. Our property operating leases consist of various office facilities, which we lease from unrelated parties. We use a portfolio approach to account for such leases due to the similarities in characteristics and apply an incremental borrowing rate based on estimates of rates the Company would pay for senior collateralized loans over a similar term. Our office leases with an initial term of 12 months or less are not recorded on the balance sheet. We account for lease components (e.g. fixed payments including rent, real estate taxes and common area maintenance costs) as a single lease component. Some of our leases include one or more options to renew the lease term at our sole discretion; however, these are not included in the calculation of our lease liability or ROU lease asset because they are not reasonably certain of exercise.

We also lease vehicles through a fleet leasing program. The payments for the vehicles are based on the terms selected. We have determined that it is reasonably certain that the leased vehicles will be held beyond the period in which the entire capitalized value of the vehicle has been paid to the lessor. As such, the capitalized value is the delivered price of the vehicle. Our vehicle leases are classified as financing leases.

Supplemental balance sheet information related to the Company's operating and finance leases is as follows:

Leases	Classification	December 28, 2019
Assets
Operating lease assets	Right-of-use lease asset, net (1)	$	46,313
Finance lease assets	Property and equipment, net (1)	2,371
Total leased assets		$	48,685
Liabilities
Current
Operating	Accrued liabilities	$	(13,108	)
Finance	Current portion of notes payable and other obligations	(1,022		)
Noncurrent
Operating	Long-term lease liability	(34,573		)
Finance	Notes payable and other obligations, less current portion	(1,685		)
Total lease liabilities		$	(50,388	)

⁽¹⁾At December 28, 2019, operating right of-use lease assets and finance lease assets are recorded net of accumulated amortization of $9,657 and $1,592, respectively.

Supplemental balance sheet information related to the Company's operating and finance leases is as follows:

Weighted - Average Remaining Lease Term (Years)	December 28, 2019
Operating leases	5.0
Finance leases	2.8
Weighted - Average Discount Rate
Operating leases	4%
Finance leases	7%

Supplemental cash flow information related to the Company's operating and finance lease liabilities is as follows:

	Fiscal Year Ended
	December 28, 2019
Operating cash flows from operating leases	$	10,988
Financing cash flows from finance leases	$	796
Right-of-use assets obtained in exchange for lease obligations
Operating leases	$	20,731

The following table summarizes the components of lease cost recognized in the consolidated statements of net income and comprehensive income:

		Fiscal Year Ended
Lease Cost	Classification	December 28, 2019
Operating lease cost	Facilities and facilities related	$	11,538
Finance lease cost
Amortization of right of use assets	Depreciation and amortization	1,245
Interest on lease liabilities	Interest expense	98
Total lease cost		12,881

As of December 28, 2019, maturities of the Company's lease liabilities under its long-term operating leases and finance leases for the next five fiscal years and thereafter are as follows:

Fiscal Year	Operating Leases			Finance Leases
2020	$	14,620		$	990
2021	12,492			875
2022	8,693			708
2023	6,205			438
2024	3,890			199
Thereafter	6,776			11
Total lease payments	52,676			3,221
Less: Interest	(4,995		)	(514		)
Present value of lease liabilities	$	47,681		$	2,707

As of December 29, 2018, future minimum payments by fiscal year for the Company's non-cancelable operating leases was as follows:

Fiscal Year	Amount
2019	$	9,506
2020	8,054
2021	7,224
2022	5,364
2023	4,504
Thereafter	7,704
Total minimum lease payments	$	42,356

Leases

Leases

The Company primarily leases property under operating leases and has five equipment operating leases for aircrafts. Our property operating leases consist of various office facilities, which we lease from unrelated parties. We use a portfolio approach to account for such leases due to the similarities in characteristics and apply an incremental borrowing rate based on estimates of rates the Company would pay for senior collateralized loans over a similar term. Our office leases with an initial term of 12 months or less are not recorded on the balance sheet. We account for lease components (e.g. fixed payments including rent, real estate taxes and common area maintenance costs) as a single lease component. Some of our leases include one or more options to renew the lease term at our sole discretion; however, these are not included in the calculation of our lease liability or ROU lease asset because they are not reasonably certain of exercise.

We also lease vehicles through a fleet leasing program. The payments for the vehicles are based on the terms selected. We have determined that it is reasonably certain that the leased vehicles will be held beyond the period in which the entire capitalized value of the vehicle has been paid to the lessor. As such, the capitalized value is the delivered price of the vehicle. Our vehicle leases are classified as financing leases.

Supplemental balance sheet information related to the Company's operating and finance leases is as follows:

Leases	Classification	December 28, 2019
Assets
Operating lease assets	Right-of-use lease asset, net (1)	$	46,313
Finance lease assets	Property and equipment, net (1)	2,371
Total leased assets		$	48,685
Liabilities
Current
Operating	Accrued liabilities	$	(13,108	)
Finance	Current portion of notes payable and other obligations	(1,022		)
Noncurrent
Operating	Long-term lease liability	(34,573		)
Finance	Notes payable and other obligations, less current portion	(1,685		)
Total lease liabilities		$	(50,388	)

⁽¹⁾At December 28, 2019, operating right of-use lease assets and finance lease assets are recorded net of accumulated amortization of $9,657 and $1,592, respectively.

Supplemental balance sheet information related to the Company's operating and finance leases is as follows:

Weighted - Average Remaining Lease Term (Years)	December 28, 2019
Operating leases	5.0
Finance leases	2.8
Weighted - Average Discount Rate
Operating leases	4%
Finance leases	7%

Supplemental cash flow information related to the Company's operating and finance lease liabilities is as follows:

	Fiscal Year Ended
	December 28, 2019
Operating cash flows from operating leases	$	10,988
Financing cash flows from finance leases	$	796
Right-of-use assets obtained in exchange for lease obligations
Operating leases	$	20,731

The following table summarizes the components of lease cost recognized in the consolidated statements of net income and comprehensive income:

		Fiscal Year Ended
Lease Cost	Classification	December 28, 2019
Operating lease cost	Facilities and facilities related	$	11,538
Finance lease cost
Amortization of right of use assets	Depreciation and amortization	1,245
Interest on lease liabilities	Interest expense	98
Total lease cost		12,881

As of December 28, 2019, maturities of the Company's lease liabilities under its long-term operating leases and finance leases for the next five fiscal years and thereafter are as follows:

Fiscal Year	Operating Leases			Finance Leases
2020	$	14,620		$	990
2021	12,492			875
2022	8,693			708
2023	6,205			438
2024	3,890			199
Thereafter	6,776			11
Total lease payments	52,676			3,221
Less: Interest	(4,995		)	(514		)
Present value of lease liabilities	$	47,681		$	2,707

As of December 29, 2018, future minimum payments by fiscal year for the Company's non-cancelable operating leases was as follows:

Fiscal Year	Amount
2019	$	9,506
2020	8,054
2021	7,224
2022	5,364
2023	4,504
Thereafter	7,704
Total minimum lease payments	$	42,356