Leases

9 Months Ended

Dec. 28, 2019

The Company has operating leases for corporate offices and certain office equipment. Our leases have remaining lease terms of 1 year to 29 years, some of which include options to extend the leases that are considered reasonably certain to be exercised. Our leases generally contain fixed rental payments, with additional variable payments linked to actual common area maintenance costs incurred by the landlord. These variable payments are therefore not included within the lease liability and ROU asset, but are recognized as an expense when incurred. As our leases typically do not provide an implicit rate, the Company determined the Incremental Borrowing Rate ("IBR") for each lease based on the information available at the commencement date, taking into consideration necessary adjustments for collateral, currency, and lease term. There are no residual value guarantees in any of our leases. No restrictions or covenants have been imposed on the Company as a result of the lease agreements in place.

The Company also leases a small portion of our office space to tenants under operating leases, receiving monthly rental payments. Payments are generally fixed, with variable payments linked to actual common area maintenance costs incurred. Total fixed lease payments to be received over the life of the lease are recognized on a straight-line basis over the lease term.

All of the Company’s leases have been classified as operating leases. Operating leases in excess of 12 months are recognized on the balance sheet, with future lease payments recognized as a liability, measured at present value, and the right-of-use asset recognized for the lease term. A single lease cost is recognized in the income statement over the lease term.

The components of operating lease expense were as follows (in thousands):


	Three Months Ended		Nine Months Ended
	December 28,		December 28,
	2019		2019
Operating lease - in excess of 12 months	$	3,360	$	10,157
Variable lease	1,200		3,462
Short-term lease	40		54
Total operating lease expense	$	4,600	$	13,673

Other information related to operating leases was as follows:


	Nine Months Ended
	December 28,
	2019
Cash paid for amounts included in the measurement of lease liabilities (in thousands)
Operating cash flows from operating leases	$	10,882
Right-of-use assets obtained in exchange for new operating lease liabilities (in thousands)	1,113
Weighted-average remaining lease term - operating leases (in years)	20.0
Weighted-average discount rate - operating leases	4		%

As of December 28, 2019, there are no leases that have not yet commenced that would create significant rights and obligations on the Company.

Future lease commitments under non-cancellable leases, including extension options reasonably anticipated to be exercised as of December 28, 2019, are as follows (in thousands):


Fiscal Year	Operating Lease Expense		Operating Lease Income
2020	$	3,718	$	324
2021	14,029		1,322
2022	13,646		1,356
2023	13,149		535
2024	12,835		264
Thereafter	162,834		338
Total	$	220,211	$	4,139
Less imputed interest	(72,355)		—
Total	$	147,856	$	4,139

Operating lease liabilities consisted of the following (in thousands):


	December 28,
	2019
Current lease liabilities	$	13,863
Non-current lease liabilities	133,993
Total operating lease liabilities	$	147,856

Leases

The components of operating lease expense were as follows (in thousands):


	Three Months Ended		Nine Months Ended
	December 28,		December 28,
	2019		2019
Operating lease - in excess of 12 months	$	3,360	$	10,157
Variable lease	1,200		3,462
Short-term lease	40		54
Total operating lease expense	$	4,600	$	13,673

Other information related to operating leases was as follows:


	Nine Months Ended
	December 28,
	2019
Cash paid for amounts included in the measurement of lease liabilities (in thousands)
Operating cash flows from operating leases	$	10,882
Right-of-use assets obtained in exchange for new operating lease liabilities (in thousands)	1,113
Weighted-average remaining lease term - operating leases (in years)	20.0
Weighted-average discount rate - operating leases	4		%

As of December 28, 2019, there are no leases that have not yet commenced that would create significant rights and obligations on the Company.

Future lease commitments under non-cancellable leases, including extension options reasonably anticipated to be exercised as of December 28, 2019, are as follows (in thousands):


Fiscal Year	Operating Lease Expense		Operating Lease Income
2020	$	3,718	$	324
2021	14,029		1,322
2022	13,646		1,356
2023	13,149		535
2024	12,835		264
Thereafter	162,834		338
Total	$	220,211	$	4,139
Less imputed interest	(72,355)		—
Total	$	147,856	$	4,139

Operating lease liabilities consisted of the following (in thousands):


	December 28,
	2019
Current lease liabilities	$	13,863
Non-current lease liabilities	133,993
Total operating lease liabilities	$	147,856