Leases

3 Months Ended

Mar. 31, 2022

(6) Leases

The Company currently leases various facilities and equipment under cancelable and noncancelable operating leases. The accounting for the Company’s leases may require judgments, which include determining whether a contract contains a lease, allocating the consideration between lease and non-lease components, and determining the incremental borrowing rates. Leases with an initial noncancelable term of 12 months or less are not recorded on the balance sheet and related lease expense is recognized on a straight-line basis over the lease term. The Company has also elected to combine lease and non-lease components on all classes of leased assets, except for leased towing vessels, for which the Company estimates approximately 70% of the costs relate to service costs and other non-lease components. Variable lease costs relate primarily to real estate executory costs (i.e. taxes, insurance and maintenance).

Future minimum lease payments under operating leases that have initial noncancelable lease terms in excess of one year were as follows (in thousands):


	March 31, 2022			December 31, 2021
2022	$	31,063		$	41,685
2023		36,235			35,833
2024		29,270			28,837
2025		24,265			23,794
2026		18,888			18,361
Thereafter		91,621			91,237
Total lease payments		231,342			239,747
Less: imputed interest		(40,617	)		(46,173	)
Operating lease liabilities	$	190,725		$	193,574

The following table summarizes lease costs (in thousands):


	Three Months Ended March 31,
	2022			2021
Operating lease cost	$	10,850		$	10,392
Variable lease cost		419			709
Short-term lease cost		5,481			3,053
Sublease income		(69	)		(274	)
	$	16,681		$	13,880

The following table summarizes other supplemental information about the Company’s operating leases:


	March 31, 2022			December 31, 2021
Weighted average discount rate		3.8	%		3.8	%
Weighted average remaining lease term	9 years			9 years