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Lease Accounting (Tables)
 3 Months Ended
May 01, 2021
Leases [Abstract]  
Assets and liabilities, lessee he components of leases are as follows (in thousands):
May 1, 2021Jan 30, 2021
AssetsBalance Sheet Location
OperatingOperating lease right-of-use assets$738,544 $764,804 
FinanceProperty and equipment, net21,405 20,595 
Total lease assets$759,949 $785,399 
LiabilitiesBalance Sheet Location
Current:
OperatingCurrent portion of operating lease liabilities$224,676 $222,800 
FinanceCurrent portion of borrowings and finance lease obligations4,551 4,698 
Noncurrent:
OperatingLong-term operating lease liabilities632,574 662,657 
FinanceLong-term debt and finance lease obligations17,870 17,365 
Total lease liabilities$879,671 $907,520 
Lease cost
Three Months Ended
Income Statement LocationMay 1, 2021May 2, 2020
Operating lease costsCost of product sales$46,684 $55,369 
Operating lease costsSelling, general and administrative expenses6,357 5,176 
Operating lease costs1, 2
Net (gains) losses on lease modifications(2,145)456 
Finance lease costs
Amortization of leased assets1, 3
Cost of product sales11 12 
Amortization of leased assets1, 3
Selling, general and administrative expenses1,361 864 
Interest on lease liabilitiesInterest expense366 282 
Variable lease costs4
Cost of product sales15,739 14,348 
Variable lease costs4
Selling, general and administrative expenses574 579 
Short-term lease costsCost of product sales105 239 
Short-term lease costsSelling, general and administrative expenses1,171 1,789 
Total lease costs1
$70,223 $79,114 
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Notes:
1The Company has made certain reclassifications to prior period amounts to conform to the current period presentation.
2During the three months ended May 1, 2021 and May 2, 2020, net (gains) losses on lease modifications related primarily to the early termination of lease agreements for certain of the Company’s retail locations. Operating lease costs for these retail locations prior to the early termination were included in cost of product sales.
3Amortization of leased assets related to finance leases are included in depreciation expense within cost of product sales or selling, general and administrative expenses depending on the nature of the asset in the Company’s condensed consolidated statements of income (loss).
4During the three months ended May 1, 2021 and May 2, 2020, variable lease costs included certain rent concessions of approximately $6.1 million and $2.7 million, respectively, received by the Company, primarily in Europe, related to the COVID-19 pandemic.
Operating lease liabilities maturity schedule
Maturities of the Company’s operating and finance lease liabilities as of May 1, 2021 are as follows (in thousands):
Operating Leases
Maturity of Lease Liabilities Non-Related PartiesRelated PartiesFinance LeasesTotal
20221
$193,515 $5,965 $4,294 $203,774 
2023181,879 7,260 5,974 195,113 
2024146,015 7,678 5,887 159,580 
2025103,560 7,321 3,946 114,827 
202673,458 6,928 3,034 83,420 
After 2026170,672 36,410 3,158 210,240 
Total lease payments869,099 71,562 26,293 966,954 
Less: Interest71,415 11,996 3,872 87,283 
Present value of lease liabilities$797,684 $59,566 $22,421 $879,671 
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Notes:
1Represents the maturity of lease liabilities for the remainder of fiscal 2022 and also includes rent payments that have been deferred due to the COVID-19 pandemic. This amount does not include payments made during the three months ended May 1, 2021.
Finance lease liabilities maturity schedule
Maturities of the Company’s operating and finance lease liabilities as of May 1, 2021 are as follows (in thousands):
Operating Leases
Maturity of Lease Liabilities Non-Related PartiesRelated PartiesFinance LeasesTotal
20221
$193,515 $5,965 $4,294 $203,774 
2023181,879 7,260 5,974 195,113 
2024146,015 7,678 5,887 159,580 
2025103,560 7,321 3,946 114,827 
202673,458 6,928 3,034 83,420 
After 2026170,672 36,410 3,158 210,240 
Total lease payments869,099 71,562 26,293 966,954 
Less: Interest71,415 11,996 3,872 87,283 
Present value of lease liabilities$797,684 $59,566 $22,421 $879,671 
______________________________________________________________________
Notes:
1Represents the maturity of lease liabilities for the remainder of fiscal 2022 and also includes rent payments that have been deferred due to the COVID-19 pandemic. This amount does not include payments made during the three months ended May 1, 2021.
Other supplemental information
Other supplemental information is as follows (dollars in thousands):
Lease Term and Discount RateMay 1, 2021
Weighted-average remaining lease term
Operating leases6.1 Years
Finance leases4.8 Years
Weighted-average discount rate
Operating leases3.5%
Finance leases6.8%
Three Months Ended
Supplemental Cash Flow InformationMay 1, 2021May 2, 2020
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases$53,428 $32,618 
New operating ROU assets obtained in exchange for lease liabilities$22,596 $16,332