Leases

9 Months Ended

Jan. 31, 2021

Operating Leases - ROU assets related to operating leases are presented as “Operating lease right-of-use assets” on the unaudited condensed consolidated balance sheets. Lease liabilities related to operating leases with lease terms greater than twelve months are presented in “Short-term lease liability - operating” and “Long-term lease liability - operating” on the unaudited condensed consolidated balance sheets.

Operating lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of the future lease payments over the lease term. The discount rate used to determine the present value of the lease payments is the rate implicit in the lease unless that rate cannot be readily determined, in which case, the Company utilizes its incremental borrowing rate in determining the present value of the future lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Operating lease ROU assets may also include any cumulative prepaid or accrued rent when the lease payments are uneven throughout the lease term. The ROU assets and lease liabilities may also include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The ROU asset includes any lease payments made and lease incentives received prior to the commencement date. The Company has lease arrangements with lease and non-lease components which are accounted for separately. Non-lease components of the lease payments are expensed as incurred and are not included in determining the present value.

Finance Leases - ROU assets related to finance leases are presented in "Property, plant and equipment, net” on the unaudited condensed consolidated balance sheet. Lease liabilities related to finance leases are presented in “Current maturities of long-term debt” and “Long-term debt, less current maturities” on the unaudited condensed consolidated balance sheets.

Finance lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of the future lease payments over the lease term. The discount rate used to determine the present value of the lease payments is the rate implicit in the lease unless that rate cannot be readily determined, in which case, the Company utilizes its incremental borrowing rate in determining the present value of the future lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.

The components of lease costs were as follows:


	Nine Months Ended
	January 31,
(in thousands)	2021		2020
Finance lease cost:
Reduction in the carrying value of right-of-use assets	$	403	$	1,922
Interest on lease liabilities	50		157
Operating lease cost	20,252		19,462

Additional information related to leases was as follows:


	Nine Months Ended
	January 31,
(in thousands)	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for finance leases	$	50		$	157
Operating cash flows for operating leases	18,161			16,731
Financing cash flows for financing leases	384			1,883
Right-of-use assets obtained in exchange for new finance lease liabilities	1,531			1,399
Right-of-use assets obtained in exchange for new operating lease liabilities	6,886			29,622

Weighted average remaining lease term (years)
Weighted average remaining lease term - finance leases	3.06			3.44
Weighted average remaining lease term - operating leases	6.89			6.38

Weighted average discount rate
Weighted average discount rate - finance leases	3.00		%	3.20		%
Weighted average discount rate - operating leases	3.29		%	4.26		%

The following is a reconciliation of future undiscounted cash flows to the operating and finance lease liabilities, and the related ROU assets, presented on the unaudited condensed consolidated balance sheet as of January 31, 2021:


(in thousands)	Operating leases		Financing leases
Year ending April 30,
2021	$	6,036	$	639
2022	21,984		1,966
2023	21,009		1,500
2024	19,101		1,137
2025	16,902		325
Thereafter	57,709		95
Total lease payments	142,741		5,662
Less imputed interest	(15,367)		(240)
Total lease liability	127,374		5,422
Current maturities	(18,435)		(2,044)
Lease liability - long-term	$	108,939	$	3,378
Lease assets	$	121,600	$	9,915

Leases

The components of lease costs were as follows:


	Nine Months Ended
	January 31,
(in thousands)	2021		2020
Finance lease cost:
Reduction in the carrying value of right-of-use assets	$	403	$	1,922
Interest on lease liabilities	50		157
Operating lease cost	20,252		19,462

Additional information related to leases was as follows:


	Nine Months Ended
	January 31,
(in thousands)	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for finance leases	$	50		$	157
Operating cash flows for operating leases	18,161			16,731
Financing cash flows for financing leases	384			1,883
Right-of-use assets obtained in exchange for new finance lease liabilities	1,531			1,399
Right-of-use assets obtained in exchange for new operating lease liabilities	6,886			29,622

Weighted average remaining lease term (years)
Weighted average remaining lease term - finance leases	3.06			3.44
Weighted average remaining lease term - operating leases	6.89			6.38

Weighted average discount rate
Weighted average discount rate - finance leases	3.00		%	3.20		%
Weighted average discount rate - operating leases	3.29		%	4.26		%


(in thousands)	Operating leases		Financing leases
Year ending April 30,
2021	$	6,036	$	639
2022	21,984		1,966
2023	21,009		1,500
2024	19,101		1,137
2025	16,902		325
Thereafter	57,709		95
Total lease payments	142,741		5,662
Less imputed interest	(15,367)		(240)
Total lease liability	127,374		5,422
Current maturities	(18,435)		(2,044)
Lease liability - long-term	$	108,939	$	3,378
Lease assets	$	121,600	$	9,915