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Leases
3 Months Ended
Mar. 31, 2020
Leases [Abstract]  
Leases

13.

Leases

Operating leases and finance leases are included in the Condensed Consolidated Balance Sheets as follows:

 

 

 

 

 

March 31, 2020

 

 

December 31, 2019

 

 

 

Classification

 

(in thousands)

 

Lease assets

 

 

 

 

 

 

 

 

 

 

Operating right-of-use assets, net

 

Assets

 

$

152,633

 

 

$

158,489

 

Finance right-of-use assets, net

 

Property, plant, and equipment, net

 

 

7,725

 

 

 

11,083

 

Total lease assets

 

 

 

$

160,358

 

 

$

169,572

 

Lease liabilities

 

 

 

 

 

 

 

 

 

 

Operating lease liabilities, current

 

Current liabilities

 

$

62,438

 

 

$

63,773

 

Operating lease liabilities, non-current

 

Liabilities

 

 

257,448

 

 

 

272,378

 

Finance lease liabilities, current

 

Current portion of long-term debt

 

 

2,777

 

 

 

3,496

 

Finance lease liabilities, non-current

 

Long-term debt

 

 

2,825

 

 

 

3,379

 

Total lease liabilities

 

 

 

$

325,488

 

 

$

343,026

 

Operating lease costs are recorded on a straight-line basis over the lease term.  The change in operating lease costs for the three months ended March 31, 2020 when compared to the three months ended March 31, 2019 is due to the impairment on operating right-of-use assets recognized during the three months ended December 31, 2019. For operating leases that have been impaired, the lease liability continues to amortize using the same effective interest method as before the impairment charge and the operating right-of-use asset is amortized on a straight-line basis. Finance lease costs include amortization of the right-of-use assets and interest on lease liabilities. The components of lease costs, which were included in loss from operations in our Condensed Consolidated Statements of Loss, were as follows:

 

 

 

Three Months Ended March 31,

 

 

 

2020

 

 

2019

 

 

 

(in thousands)

 

Operating leases

 

 

 

 

 

 

 

 

Operating lease costs

 

$

10,853

 

 

$

27,259

 

Variable lease costs

 

 

228

 

 

 

151

 

Short-term lease costs

 

 

3,922

 

 

 

4,791

 

Total operating lease costs

 

$

15,003

 

 

$

32,201

 

Financing leases

 

 

 

 

 

 

 

 

Amortization of right-of-use asset

 

$

873

 

 

$

619

 

Interest on finance lease liabilities

 

 

69

 

 

 

37

 

Total finance lease costs

 

$

942

 

 

$

656

 

 

Additional information related to leases is presented as follows:

 

 

 

 

Three Months Ended March 31,

 

 

 

2020

 

 

2019

 

 

 

(in thousands)

 

Cash paid for amounts included in the measurement of lease liabilities

 

 

 

 

 

 

 

 

Operating cash flows from operating leases

 

$

21,015

 

 

$

25,618

 

Financing cash flows from finance leases

 

 

1,373

 

 

 

1,120

 

Total cash paid

 

$

22,388

 

 

$

26,738