The Company primarily leases real estate for offices, retail stores and central offices, as well as equipment, cell towers and fleet vehicles. The Company leases its real estate for terms between 1 and 55 years, its equipment for terms between 3 and 5 years, its cell towers for terms between 4 and 21 years and its vehicles for terms of 5 years. Our leases have various expiration dates through 2066, some of which include options to extend the leases for up to 15 years.

Upon adoption of ASC 842 on January 1, 2019, the Company elected not to recognize leases with terms of one-year or less on the balance sheet. The Company's leases generally do not provide an implicit rate, and therefore the Company uses its incremental borrowing rate as the discount rate when measuring operating lease liabilities. The incremental borrowing rate represents an estimate of the interest rate the Company would incur at lease commencement to borrow an amount equal to the lease payments on a collateralized basis over the term of the lease.

Supplemental balance sheet information related to the Company's leases was as follows:

		Successor		Predecessor
		December 31,		December 31,
(dollars in millions)	Balance Sheet Location	2021		2020
Operating lease assets, net of amortization	Operating lease right-of-use assets	$	44.3	$	37.4
Finance lease assets, net of amortization	Property, plant and equipment, net		10.7		28.0
Operating lease liabilities:
Current operating lease liabilities	Other current liabilities		9.6		9.6
Noncurrent operating lease liabilities	Operating lease liabilities		40.2		33.6
Total operating lease liabilities			49.8		43.2
Finance lease liabilities:
Current finance lease liabilities	Current portion of long-term debt		7.2		13.9
Noncurrent finance lease liabilities	Long-term debt, less current portion		42.3		52.1
Total finance lease liabilities		$	49.5	$	66.0

	Successor		Predecessor		Predecessor		Predecessor
(dollars in millions)	September 8, 2021 to December 31, 2021		January 1, 2021 to September 7, 2021		Year Ended December 31, 2020		Year Ended December 31, 2019
Operating lease cost	$	4.3	$	8.1	$	13.0	$	13.2
Short-term lease cost		0.1		0.2		0.3		0.3
Variable lease cost		1.1		2.3		2.6		2.1
Finance lease cost:
Depreciation on leased assets		2.0		4.5		7.0		8.3
Interest on lease liabilities		1.2		2.9		4.5		5.1
Total lease cost	$	8.7	$	18.0	$	27.4	$	29.0

	Successor		Predecessor		Predecessor		Predecessor
(dollars in millions)	September 8, 2021 to December 31, 2021		January 1, 2021 to September 7, 2021		Year Ended December 31, 2020		Year Ended December 31, 2019
Supplemental Cash Flows Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from finance leases	$	1.2	$	2.9	$	4.4	$	5.1
Operating cash flows from operating leases	$	3.4	$	7.2	$	12.1	$	11.0
Financing cash flows from finance leases	$	3.9	$	9.9	$	16.6	$	14.4
Right-of-use assets obtained in exchange for lease obligations:
New operating leases	$	5.4	$	11.5	$	12.6	$	7.5
New finance leases	$	2.0	$	3.8	$	7.7	$	14.5

	Successor			Predecessor
	December 31,			December 31,
Weighted Average Remaining Lease Term	2021			2020
Operating leases	7.30 years			7.35 years
Finance leases	6.96 years			6.88 years
Weighted Average Discount Rate
Operating leases		5.27	%		5.42	%
Finance leases		6.99	%		7.08	%

Future minimum lease payments under non-cancellable leases as of December 31, 2021 are as follows:

(dollars in millions)	Operating Leases			Finance Leases
Year ended December 31,
2022	$	12.5		$	10.4
2023		11.1			9.0
2024		9.0			7.9
2025		7.4			6.9
2026		6.3			7.0
Thereafter		22.4			22.7
Total future minimum lease payments		68.7			63.9
Less imputed interest		(12.5	)		(14.4	)
Total	$	56.2		$	49.5

As of December 31, 2021, we have additional future payments on operating leases that have not yet commenced for $6.4 million. These leases will commence in 2022 and have lease terms of five to ten years.

On August 31, 2021, the Company simultaneously exercised its bargain purchase option on real property located in Cincinnati, Ohio, previously classified as a finance lease, and sold it to a third party for $9.1 million. Net proceeds from the transactions were approximately $6.6 million after transactional costs. Concurrently with the sale, the Company entered into an operating lease arrangement with the third party purchaser of the property for a portion of the building to maintain use of the location as an office space. The transaction qualified for sale-leaseback accounting in accordance with ASC 842, and the Company recognized a gain on the sale of $2.8 million in August, 2021. The Company recorded an operating lease right-of-use asset and liability of $7.7 million related to the leaseback agreement on September 1, 2021.

On December 31, 2020, the Company, through its subsidiary Hawaiian Telcom, sold its real property in Wailuku, Hawaii to the County of Maui for $3.7 million. Net proceeds received from the transaction were approximately $3.5 million after transactional costs. Concurrently with the sale, the Company entered into an operating lease arrangement with the County of Maui for a portion of the building to maintain use of the location as a central office switching station. The transaction qualified for sale-leaseback accounting in accordance with ASC 842, and the Company recognized a nominal loss associated with the sale in 2020. The Company recorded an operating lease right-of-use asset and liability of $1.1 million related to the leaseback agreement on January 1, 2021.

The Company has operating leases related to its dark fiber arrangements for terms between 1 and 30 years. Our leases have various expiration dates through 2048, some of which include options to extend the lease. The Company recorded lease income related to operating lease payments of $0.9 million and $2.0 million in the Successor and Predecessor periods of 2021, respectively, and $2.9 million and $3.1 million in 2020 and 2019, respectively.

The Company owns the underlying assets associated with its operating leases and records them in "Property, plant and equipment, net" on the Consolidated Balance Sheets.

Future minimum lease payments to be received under non-cancellable leases as of December 31, 2021 are as follows:

(dollars in millions)	Operating Leases
Year ended December 31,
2022	$	2.5
2023		2.1
2024		1.8
2025		1.7
2026		1.7
Thereafter		13.7
Total future minimum lease payments		23.5
Less imputed interest		(7.8	)
Total	$	15.7