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Leases
 12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Leases Leases    In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This accounting guidance is intended to improve financial reporting about leasing transactions. The ASU requires organizations that lease assets referred to as “Lessees” to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. An organization
is to provide disclosures designed to enable users of financial statements to understand the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative requirements concerning additional information about the amounts recorded in the financial statements. Under the new guidance, a lessee is required to recognize assets and liabilities for leases with lease terms of more than twelve months. Consistent with current GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike former GAAP, which requires only financing leases to be recognized on the balance sheet, the new ASU requires both types of leases (i.e., operating and financing) to be recognized on the balance sheet. The financing lease will be accounted for in substantially the same manner as capital leases were accounted for under the previous guidance. For operating leases, there is now the recognition of a lease liability and a lease asset for all such leases greater than one year in term.

    The Company adopted Topic 842 effective January 1, 2019, using a modified retrospective method and did not restate comparative periods. The Company elected to adopt the package of practical expedients; accordingly, the Company retained the lease classification and initial direct costs for any leases that existed prior to adoption and we did not revisit whether any existing or expired contracts contain leases. The Company has operating and finance leases for office space, retail, data centers and certain office equipment with expiration dates ranging through 2029, with various renewal options. Only renewal options that were reasonably assured to be exercised are included in the lease liability. As of December 31, 2020, the maturity of lease liabilities under Topic 842 are as follows:
YearOperating LeasesFinancing LeasesTotal
 (In thousands)
2021$4,667 $190 $4,857 
20223,462 160 3,622 
20232,993 99 3,092 
20241,605 77 1,682 
20251,001 — 1,001 
Thereafter519 — 519 
Total14,247 526 14,773 
Less: present value discount*(1,802)(49)(1,851)
              Present value of lease liabilities12,445 477 12,922 
Less: current portion of lease liabilities(3,905)(164)(4,069)
     Total long-term lease liabilities$8,540 $313 $8,853 
* The discount rate used was the relevant incremental borrowing rate in each of the jurisdictions
wherein the leased properties are located

    The company's net assets recorded under operating and finance leases were $12.9 million as of December 31, 2020. The lease cost recognized in our Condensed Consolidated Statement of Income in the category of General and Administrative, is summarized as follows:

December 31
(In thousands)20202019
Operating Lease Cost $7,051 $8,613 
Finance Lease Cost:
                   Amortization of Lease Assets161121
                   Interest on Lease liabilities3936
Finance Lease Cost200157
Sublease Income(476)(654)
Total Net Lease Cost$6,775 $8,116 
    
    Other information about lease amounts recognized in our Condensed Consolidated Statement of Income is summarized as follows:
December 31, 2020
Weighted Average Lease Term - Operating Leases3.63 years
Weighted Average Lease Term - Finance Leases3.18 years
Weighted Average Discount Rate - Operating Leases8.09 %
Weighted Average Discount Rate - Finance Leases7.13 %

    Commitments for minimum rentals under non-cancellable leases, under the legacy guidance in ASC 840 as of December 31, 2020 were as follows:

YearOperating LeasesFinancing Leases
 (In thousands)
2021$4,667 $190 
20223,462 160 
20232,993 99 
20241,605 77 
20251,001 — 
Thereafter519 — 
Total$14,247 $526 
Less: sublease income(476)
Net lease payments$13,771 
Less: amount representing interest (39)
Present value of obligations under financing leases $487 
Less: current portion (164)
Long-term obligations $323 


    As of December 31, 2020, our lease liability of $12.9 million does not include certain arrangements, which are primarily airport leases that do not meet the definition of a lease under Topic 842. Such arrangements represent further commitments of approximately $56.3 million as follows:
YearCommitments
 (In thousands)
2021$20,251 
202218,271 
202317,756 
Thereafter— 
Total$56,278 
    
Finance leases range from three to five years and are primarily for office equipment. Rental expense for office and airport facilities and certain equipment subject to operating leases for the period ended December 31, 2020 and 2019 was $4.5 million and $37.8 million, respectively. The year over year decline in this rent expense is a result of COVID-19, in which airport leases were subject to force majeure provisions and the cessation of the Company's airport operations during 2020. Monthly rent payments were temporarily waived until the Company restarted its airport operations.
Leases Leases    In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This accounting guidance is intended to improve financial reporting about leasing transactions. The ASU requires organizations that lease assets referred to as “Lessees” to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. An organization
is to provide disclosures designed to enable users of financial statements to understand the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative requirements concerning additional information about the amounts recorded in the financial statements. Under the new guidance, a lessee is required to recognize assets and liabilities for leases with lease terms of more than twelve months. Consistent with current GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike former GAAP, which requires only financing leases to be recognized on the balance sheet, the new ASU requires both types of leases (i.e., operating and financing) to be recognized on the balance sheet. The financing lease will be accounted for in substantially the same manner as capital leases were accounted for under the previous guidance. For operating leases, there is now the recognition of a lease liability and a lease asset for all such leases greater than one year in term.

    The Company adopted Topic 842 effective January 1, 2019, using a modified retrospective method and did not restate comparative periods. The Company elected to adopt the package of practical expedients; accordingly, the Company retained the lease classification and initial direct costs for any leases that existed prior to adoption and we did not revisit whether any existing or expired contracts contain leases. The Company has operating and finance leases for office space, retail, data centers and certain office equipment with expiration dates ranging through 2029, with various renewal options. Only renewal options that were reasonably assured to be exercised are included in the lease liability. As of December 31, 2020, the maturity of lease liabilities under Topic 842 are as follows:
YearOperating LeasesFinancing LeasesTotal
 (In thousands)
2021$4,667 $190 $4,857 
20223,462 160 3,622 
20232,993 99 3,092 
20241,605 77 1,682 
20251,001 — 1,001 
Thereafter519 — 519 
Total14,247 526 14,773 
Less: present value discount*(1,802)(49)(1,851)
              Present value of lease liabilities12,445 477 12,922 
Less: current portion of lease liabilities(3,905)(164)(4,069)
     Total long-term lease liabilities$8,540 $313 $8,853 
* The discount rate used was the relevant incremental borrowing rate in each of the jurisdictions
wherein the leased properties are located

    The company's net assets recorded under operating and finance leases were $12.9 million as of December 31, 2020. The lease cost recognized in our Condensed Consolidated Statement of Income in the category of General and Administrative, is summarized as follows:

December 31
(In thousands)20202019
Operating Lease Cost $7,051 $8,613 
Finance Lease Cost:
                   Amortization of Lease Assets161121
                   Interest on Lease liabilities3936
Finance Lease Cost200157
Sublease Income(476)(654)
Total Net Lease Cost$6,775 $8,116 
    
    Other information about lease amounts recognized in our Condensed Consolidated Statement of Income is summarized as follows:
December 31, 2020
Weighted Average Lease Term - Operating Leases3.63 years
Weighted Average Lease Term - Finance Leases3.18 years
Weighted Average Discount Rate - Operating Leases8.09 %
Weighted Average Discount Rate - Finance Leases7.13 %

    Commitments for minimum rentals under non-cancellable leases, under the legacy guidance in ASC 840 as of December 31, 2020 were as follows:

YearOperating LeasesFinancing Leases
 (In thousands)
2021$4,667 $190 
20223,462 160 
20232,993 99 
20241,605 77 
20251,001 — 
Thereafter519 — 
Total$14,247 $526 
Less: sublease income(476)
Net lease payments$13,771 
Less: amount representing interest (39)
Present value of obligations under financing leases $487 
Less: current portion (164)
Long-term obligations $323 


    As of December 31, 2020, our lease liability of $12.9 million does not include certain arrangements, which are primarily airport leases that do not meet the definition of a lease under Topic 842. Such arrangements represent further commitments of approximately $56.3 million as follows:
YearCommitments
 (In thousands)
2021$20,251 
202218,271 
202317,756 
Thereafter— 
Total$56,278 
    
Finance leases range from three to five years and are primarily for office equipment. Rental expense for office and airport facilities and certain equipment subject to operating leases for the period ended December 31, 2020 and 2019 was $4.5 million and $37.8 million, respectively. The year over year decline in this rent expense is a result of COVID-19, in which airport leases were subject to force majeure provisions and the cessation of the Company's airport operations during 2020. Monthly rent payments were temporarily waived until the Company restarted its airport operations.