Leases

3 Months Ended

Mar. 31, 2021

Note 6 – Leases

The Company determines if a contract is or contains a lease at inception. The Company has entered into leases for certain facilities, vehicles and other equipment. The Company’s leases consist mainly of operating leases which expire at various dates through 2036. Variable lease payments are generally expensed as incurred and include certain index-based changes in rent, certain nonlease components, such as maintenance and other services provided by the lessor, and other charges included in the lease.

The components of lease expense were as follows:

	Three Months Ended March 31,
(in thousands)	2021		2020
Finance lease cost:
Amortization of right-of-use assets (included in depreciation expense)	$	194	$	178
Interest on lease liabilities		92		118
Operating lease cost		3,794		4,141
Short-term lease cost		90		241
Variable lease cost		467		510
Total lease cost	$	4,636	$	5,188

Other information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used for finance lease	$	103	$	127
Operating cash flows used for operating leases	$	4,285	$	3,988
Financing cash flows used for finance lease	$	380	$	312
Right-of-use assets obtained in exchange for new operating lease liabilities	$	12,124	$	4,183

The lease assets and liabilities as of March 31, 2021 and December 31, 2020 were as follows (in thousands):

	March 31,			December 31,
	2021			2020
Finance lease right-of-use assets (included in other assets)	$	2,254		$	2,448
Operating lease right-of-use assets	$	88,915		$	79,966
Finance lease liability, current (included in current installments of long-term debt)	$	1,709		$	1,661
Finance lease liability, noncurrent (included in long-term debt)	$	2,403		$	2,832
Operating lease liabilities, current (included in accrued liabilities)	$	12,318		$	11,516
Operating lease liabilities, noncurrent	$	79,659		$	72,120
Weighted average remaining lease term – finance leases	2.8 years			3.0 years
Weighted average remaining lease term – operating leases	10.1 years			10.0 years
Weighted average discount rate – finance leases		9.0	%		9.0	%
Weighted average discount rate – operating leases		4.2	%		4.4	%

Future annual minimum lease payments and finance lease commitments as of March 31, 2021 were as follows (in thousands):

Year ending December 31,	Operating Leases			Finance Leases
2021 (remaining nine months)	$	11,278		$	1,514
2022		13,898			2,046
2023		12,483			659
2024		11,152			194
2025		10,136			178
2026 and thereafter		55,544			—
Total minimum lease payments	$	114,491		$	4,591
Less: imputed interest		(22,514	)		(479	)
Present value of lease liabilities	$	91,977		$	4,112

As of March 31, 2021, the Company’s future operating leases that have not yet commenced are immaterial.