Leases (Tables)

6 Months Ended

Jul. 01, 2023

Leases

Schedule of components of lease expenses

		13 Weeks Ended				26 Weeks Ended
(In thousands)	Statement of Operations Caption	July 1, 2023		June 25, 2022		July 1, 2023		June 25, 2022
Operating lease cost:
Lease cost	Cost of sales and Selling, general and administrative	$	810	$	839	$	1,621	$	1,679
Variable lease cost (1)	Cost of sales and Selling, general and administrative		5,331		357		5,758		720
Total operating lease cost			6,141		1,196		7,379		2,399
Short term lease cost	Cost of sales and Selling, general and administrative		74		50		109		96
Finance lease cost:
Amortization of right-of-use assets	Cost of sales and Selling, general and administrative		65		65		130		130
Interest on lease liabilities	Interest expense, net		132		132		264		265
Total finance lease cost			197		197		394		395
Total lease cost		$	6,412	$	1,443	$	7,882	$	2,890

(1) Variable lease cost primarily consists of the cost of inventory sold under a manufacturing and supply agreement, as well as common area maintenance, utilities, taxes and insurance.

Schedule of assets and liabilities related to both operating and finance leases

(In thousands)	Balance Sheet Caption	July 1, 2023		December 31, 2022
Assets
Operating lease right-of-use assets	Operating lease right-of-use assets	$	12,107	$	13,332
Finance lease right-of-use assets	Property and equipment, net		5,908		6,038
Total lease assets		$	18,015	$	19,370
Liabilities
Current:
Operating lease liabilities	Current portion of long-term operating lease liabilities	$	3,205	$	3,308
Finance lease liabilities	Current portion of long-term debt		80		99
Long-term:
Operating lease liabilities	Long-term operating lease liabilities		12,545		14,063
Finance lease liabilities	Long-term debt, net of debt issuance costs		6,896		6,918
Total lease liabilities		$	22,726	$	24,388

Schedule of weighted-average remaining lease term and weighted-average discount rate for operating and finance leases

	July 1, 2023		December 31, 2022
Weighted-average remaining lease term (in years):
Operating leases	6.1		6.4
Finance leases	33.9		34.2
Weighted-average discount rate
Operating leases	5.0	%	4.9	%
Finance leases	7.9	%	7.8	%

Schedule of Future minimum lease payments of operating leases

Future maturities of lease liabilities as of July 1, 2023, were as follows:

(In thousands)	Operating Leases		Finance Leases
Fiscal year ending:
Remainder of 2023	$	2,045	$	305
2024		3,493		557
2025		2,982		549
2026		3,005		520
2027		3,064		525
Thereafter		3,856		18,445
Total lease payments		18,445		20,901
Less: Interest		(2,695)		(13,925)
Present value of lease liabilities	$	15,750	$	6,976

Schedule of Future minimum lease payments of finance leases

(In thousands)	Operating Leases		Finance Leases
Fiscal year ending:
Remainder of 2023	$	2,045	$	305
2024		3,493		557
2025		2,982		549
2026		3,005		520
2027		3,064		525
Thereafter		3,856		18,445
Total lease payments		18,445		20,901
Less: Interest		(2,695)		(13,925)
Present value of lease liabilities	$	15,750	$	6,976

Schedule of supplemental cash flow and other information related to leases

	26 Weeks Ended
(In thousands)	July 1, 2023		June 25, 2022
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	2,016	$	2,030
Operating cash flows from finance leases		264		265
Financing cash flows from finance leases		41		47
Right-of-use assets obtained in exchange for new lease liabilities
Finance leases		—		—
Operating leases		—		41