Leases

12 Months Ended

Dec. 31, 2019

Leases [Abstract]

Leases

Leases

We enter into lease arrangements for the use of offices, operational facilities, vehicles, vessels, storage tanks and other assets for our operations around the world. Some of these leases are embedded within other arrangements. Some of these arrangements are for periods of twelve months or less, while others are for longer periods, and may include optional renewals, terminations or purchase options, which are considered in our assessments when they are reasonably certain to occur. In addition, certain of these arrangements contain payments based on an index, market-based escalation or volume which may impact future payments. Most of our leases typically contain general covenants, restrictions or requirements such as maintaining minimum insurance coverage.

For the twelve months ended December 31, 2019, we recognized the following total lease cost related to our lease arrangements (in millions):

	For the Twelve months ended
	December 31, 2019
Finance lease cost:
Amortization of right-of-use assets	$	4.2
Interest on lease liabilities	0.5
Operating lease cost	53.2
Short-term lease cost	18.3
Variable lease cost	5.0
Sublease income	(11.4		)
Total lease cost	$	69.6

We incurred rental expense for all properties and equipment of $48.7 million and $40.3 million for 2018 and 2017, respectively.

As of December 31, 2019, our remaining lease payments were as follows (in millions):

	Operating Leases		Finance Leases
2020	$	43.7	$	4.8
2021	35.6		3.8
2022	29.0		3.5
2023	22.9		2.8
2024	16.3		1.8
Thereafter	50.1		3.8
Total remaining lease payments (undiscounted)	197.6		20.4
Less: imputed interest	37.2		1.7
Present value of lease liabilities	$	160.3	$	18.7

As of December 31, 2018, our future minimum lease payments under noncancelable operating leases were as follows (in millions):

Year Ended December 31,
2019	$	50.7
2020	37.1
2021	30.7
2022	23.7
2023	17.8
Thereafter	48.5
Total future minimum lease payments under noncancelable operating leases	$	208.6

The assets and accumulated amortization recorded under finance leases are as follows (in millions):

	As of December 31,
	2019		2018
Finance leases	$	32.6	$	30.9
Accumulated amortization	14.8		18.4
Finance leases, net	$	17.8	$	12.4

Supplemental balance sheet information related to leases (in millions):

	Classification	As of December 31, 2019
Assets
Operating Lease Assets	Identifiable intangible and other non-current assets	$	153.7
Finance Lease Assets	Property and equipment, net	17.8
Liabilities
Operating Lease Liability - Current	Accrued expenses and other current liabilities	35.6
Operating Lease Liability - Long Term	Other long-term liabilities	124.7
Finance Lease Liability - Current	Current maturities of long-term debt	4.3
Finance Lease Liability - Long Term	Long-term debt	14.4

Other information related to leases as of December 31, 2019:

	Operating Leases			Finance Leases
Weighted-average remaining lease term (years)	6.5			5.6
Weighted-average discount rate	5.9		%	3.2		%
Cash paid for amounts included in the measurement of lease liabilities (in millions):
Operating cash flows from finance leases	$	—		$	0.5
Operating cash flows from operating leases	52.9			—
Financing cash flows from finance leases	—			4.0
Right of use assets obtained in exchange for new operating lease liability (noncash in millions)	30.2			—
Right of use assets obtained in exchange for new financing lease liability (noncash in millions)	—			8.2

Leases

Leases

We enter into lease arrangements for the use of offices, operational facilities, vehicles, vessels, storage tanks and other assets for our operations around the world. Some of these leases are embedded within other arrangements. Some of these arrangements are for periods of twelve months or less, while others are for longer periods, and may include optional renewals, terminations or purchase options, which are considered in our assessments when they are reasonably certain to occur. In addition, certain of these arrangements contain payments based on an index, market-based escalation or volume which may impact future payments. Most of our leases typically contain general covenants, restrictions or requirements such as maintaining minimum insurance coverage.

For the twelve months ended December 31, 2019, we recognized the following total lease cost related to our lease arrangements (in millions):

	For the Twelve months ended
	December 31, 2019
Finance lease cost:
Amortization of right-of-use assets	$	4.2
Interest on lease liabilities	0.5
Operating lease cost	53.2
Short-term lease cost	18.3
Variable lease cost	5.0
Sublease income	(11.4		)
Total lease cost	$	69.6

We incurred rental expense for all properties and equipment of $48.7 million and $40.3 million for 2018 and 2017, respectively.

As of December 31, 2019, our remaining lease payments were as follows (in millions):

	Operating Leases		Finance Leases
2020	$	43.7	$	4.8
2021	35.6		3.8
2022	29.0		3.5
2023	22.9		2.8
2024	16.3		1.8
Thereafter	50.1		3.8
Total remaining lease payments (undiscounted)	197.6		20.4
Less: imputed interest	37.2		1.7
Present value of lease liabilities	$	160.3	$	18.7

As of December 31, 2018, our future minimum lease payments under noncancelable operating leases were as follows (in millions):

Year Ended December 31,
2019	$	50.7
2020	37.1
2021	30.7
2022	23.7
2023	17.8
Thereafter	48.5
Total future minimum lease payments under noncancelable operating leases	$	208.6

The assets and accumulated amortization recorded under finance leases are as follows (in millions):

	As of December 31,
	2019		2018
Finance leases	$	32.6	$	30.9
Accumulated amortization	14.8		18.4
Finance leases, net	$	17.8	$	12.4

Supplemental balance sheet information related to leases (in millions):

	Classification	As of December 31, 2019
Assets
Operating Lease Assets	Identifiable intangible and other non-current assets	$	153.7
Finance Lease Assets	Property and equipment, net	17.8
Liabilities
Operating Lease Liability - Current	Accrued expenses and other current liabilities	35.6
Operating Lease Liability - Long Term	Other long-term liabilities	124.7
Finance Lease Liability - Current	Current maturities of long-term debt	4.3
Finance Lease Liability - Long Term	Long-term debt	14.4

Other information related to leases as of December 31, 2019:

	Operating Leases			Finance Leases
Weighted-average remaining lease term (years)	6.5			5.6
Weighted-average discount rate	5.9		%	3.2		%
Cash paid for amounts included in the measurement of lease liabilities (in millions):
Operating cash flows from finance leases	$	—		$	0.5
Operating cash flows from operating leases	52.9			—
Financing cash flows from finance leases	—			4.0
Right of use assets obtained in exchange for new operating lease liability (noncash in millions)	30.2			—
Right of use assets obtained in exchange for new financing lease liability (noncash in millions)	—			8.2