Leases (Tables)

6 Months Ended

Jun. 29, 2022

Leases [Abstract]

Schedule of lease cost

The following table presents the Company’s total lease cost, disaggregated by underlying asset (in thousands):

	Thirteen Weeks Ended
	June 29, 2022						June 30, 2021
	Property		Equipment				Property		Equipment
	Leases		Leases		Total		Leases		Leases		Total
Finance lease cost:
Amortization of right-of-use assets	$	18	$	1	$	19	$	22	$	1	$	23
Interest on lease liabilities		10		1		11		15		1		16
Operating lease cost		6,585		258		6,843		6,626		293		6,919
Short-term lease cost		—		4		4		—		5		5
Variable lease cost		171		149		320		153		83		236
Sublease income		(1,129)		—		(1,129)		(798)		—		(798)
Total lease cost	$	5,655	$	413	$	6,068	$	6,018	$	383	$	6,401

	Twenty-Six Weeks Ended
	June 29, 2022						June 30, 2021
	Property		Equipment				Property		Equipment
	Leases		Leases		Total		Leases		Leases		Total
Finance lease cost:
Amortization of right-of-use assets	$	37	$	1	$	38	$	42	$	1	$	43
Interest on lease liabilities		22		2		24		30		1		31
Operating lease cost		13,149		521		13,670		13,383		594		13,977
Short-term lease cost		—		8		8		—		10		10
Variable lease cost		307		267		574		275		190		465
Sublease income		(2,257)		—		(2,257)		(1,594)		—		(1,594)
Total lease cost	$	11,258	$	799	$	12,057	$	12,136	$	796	$	12,932

The following table presents the Company’s total lease cost on the condensed consolidated statements of income (in thousands):

	Thirteen Weeks Ended				Twenty-Six Weeks Ended
	June 29, 2022		June 30, 2021		June 29, 2022		June 30, 2021
Lease cost – Occupancy and other operating expenses	$	5,912	$	6,149	$	11,742	$	12,380
Lease cost – General & administrative		105		103		210		219
Lease cost – Depreciation and amortization		18		22		37		42
Lease cost – Interest expense		11		15		24		30
Lease cost – Closed-store reserve		22		112		44		261
Total lease cost	$	6,068	$	6,401	$	12,057	$	12,932

During the thirteen and twenty-six weeks ended June 29, 2022 and June 30, 2021, the Company had the following cash and non-cash activities associated with its leases (dollars in thousands):

	Twenty-Six Weeks Ended June 29, 2022								Twenty-Six Weeks Ended June 30, 2021
	Property			Equipment					Property			Equipment
	Leases			Leases			Total		Leases			Leases			Total
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows used for operating leases	$	13,543		$	495		$	14,038	$	12,357		$	575		$	12,932
Financing cash flows used for finance leases	$	58		$	28		$	86	$	33		$	20		$	53
Non-cash investing and financing activities:
Operating lease ROU assets obtained in exchange for lease liabilities:
Operating lease ROU assets	$	8,485		$	—		$	8,485	$	11,260		$	—		$	11,260
Finance lease ROU assets obtained in exchange for lease liabilities:
Finance lease ROU assets	$	—		$	28		$	28	$	—		$	196		$	196
Derecognition of ROU assets due to terminations, impairment or modifications	$	—		$	(24)		$	(24)	$	(4,513)		$	(39)		$	(4,552)
Other Information
Weighted-average remaining years in lease term—finance leases		18.37			3.68					17.61			4.44
Weighted-average remaining years in lease term—operating leases		11.01			1.19					11.51			1.87
Weighted-average discount rate—finance leases		2.57	%		1.53	%				2.75	%		1.57	%
Weighted-average discount rate—operating leases		4.47	%		3.82	%				4.42	%		3.92	%

Schedule of Financing Leases

Information regarding the Company’s minimum future lease obligations as of June 29, 2022 is as follows (in thousands):

	Finance		Operating Leases
	Minimum		Minimum		Minimum
	Lease		Lease		Sublease
For the Years Ending	Payments		Payments		Income
December 28, 2022	$	76	$	14,130	$	1,869
December 27, 2023		151		27,654		3,698
December 25, 2024		151		25,313		3,510
December 31, 2025		147		23,073		3,115
December 30, 2026		114		20,846		2,789
Thereafter		1,583		133,169		23,165
Total	$	2,222	$	244,185	$	38,146
Less: imputed interest (1.53% - 4.47%)		(432)		(53,677)
Present value of lease obligations		1,790		190,508
Less: current maturities		(109)		(20,154)
Noncurrent portion	$	1,681	$	170,354

Schedule of Operating Leases

Information regarding the Company’s minimum future lease obligations as of June 29, 2022 is as follows (in thousands):

	Finance		Operating Leases
	Minimum		Minimum		Minimum
	Lease		Lease		Sublease
For the Years Ending	Payments		Payments		Income
December 28, 2022	$	76	$	14,130	$	1,869
December 27, 2023		151		27,654		3,698
December 25, 2024		151		25,313		3,510
December 31, 2025		147		23,073		3,115
December 30, 2026		114		20,846		2,789
Thereafter		1,583		133,169		23,165
Total	$	2,222	$	244,185	$	38,146
Less: imputed interest (1.53% - 4.47%)		(432)		(53,677)
Present value of lease obligations		1,790		190,508
Less: current maturities		(109)		(20,154)
Noncurrent portion	$	1,681	$	170,354