Leases

3 Months Ended

Dec. 31, 2022

Leases

Leases

Note 6. Leases

The Company’s leases consist primarily of operating leases for buildings and land and have initial lease terms of up to 44 years. Certain of these leases contain an option to extend the lease term for additional periods or to terminate the lease after an initial non-cancelable term. Renewal options are considered in the measurement of the Company’s initial lease liability and corresponding right-of-use (“ROU”) assets only if it is reasonably certain that the Company will exercise such options. Leases with lease terms of twelve months or less are not recorded on the Company’s balance sheet.

ROU assets and lease liabilities recorded in the unaudited condensed consolidated balance sheet are as follows:

	As of
	December 31,			October 1,
	2022			2022
	(In thousands)
Other assets	$	88,924		$	79,495
Accrued liabilities	$	19,112		$	16,695
Other long-term liabilities		57,307			48,566
Total lease liabilities	$	76,419		$	65,261
Weighted average remaining lease term (in years)		11.86			15.74
Weighted average discount rate		3.02	%		2.40	%

Lease expense and supplemental cash flow information related to operating leases are as follows:

	Three Months Ended
	December 31,		January 1,
	2022		2022
	(In thousands)
Operating lease expense (1)	$	9,367	$	5,910

	Three Months Ended
	December 31,		January 1,
	2022		2022
	(In thousands)
Cash paid for operating lease liabilities	$	5,549	$	4,809

(1) Includes immaterial amounts of short term leases, variable lease costs and sublease income.

Future lease payments under non-cancelable operating leases as of December 31, 2022, by fiscal year, are as follows:

	Operating Leases
	(In thousands)
Remainder of 2023	$	16,307
2024		19,081
2025		16,160
2026		12,103
2027		8,864
2028		2,355
Thereafter		8,930
Total lease payments		83,800
Less: imputed interest		7,381
Total	$	76,419