Leases (Tables)

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Maturity Analysis, Operating Leases

The following is a maturity analysis of our operating leases, finance leases and financing obligations as of June 30, 2022:

(in millions)	Operating Leases		Finance Leases		Financing Obligations
Year ended December 31,
2022 (excluding the six months ended June 30, 2022)	$	68.0	$	193.2	$	186.3
2023	125.2		375.2		369.8
2024	119.9		347.9		355.3
2025	116.6		346.9		355.4
2026	112.2		346.9		355.4
Thereafter	1,341.4		7,873.5		8,285.7
Total lease payments	1,883.3		9,483.6		9,907.9
Less: Imputed interest	(814.0)		(4,421.5)		(5,842.8)
Present value of future lease payments	1,069.3		5,062.1		4,065.1
Less: Current portion of lease obligations	(74.2)		(115.5)		(63.8)
Long-term portion of lease obligations	$	995.1	$	4,946.6	$	4,001.3

Maturity Analysis, Finance Leases

The following is a maturity analysis of our operating leases, finance leases and financing obligations as of June 30, 2022:

(in millions)	Operating Leases		Finance Leases		Financing Obligations
Year ended December 31,
2022 (excluding the six months ended June 30, 2022)	$	68.0	$	193.2	$	186.3
2023	125.2		375.2		369.8
2024	119.9		347.9		355.3
2025	116.6		346.9		355.4
2026	112.2		346.9		355.4
Thereafter	1,341.4		7,873.5		8,285.7
Total lease payments	1,883.3		9,483.6		9,907.9
Less: Imputed interest	(814.0)		(4,421.5)		(5,842.8)
Present value of future lease payments	1,069.3		5,062.1		4,065.1
Less: Current portion of lease obligations	(74.2)		(115.5)		(63.8)
Long-term portion of lease obligations	$	995.1	$	4,946.6	$	4,001.3

Maturity Analysis, Financing Obligations

The following is a maturity analysis of our operating leases, finance leases and financing obligations as of June 30, 2022:

(in millions)	Operating Leases		Finance Leases		Financing Obligations
Year ended December 31,
2022 (excluding the six months ended June 30, 2022)	$	68.0	$	193.2	$	186.3
2023	125.2		375.2		369.8
2024	119.9		347.9		355.3
2025	116.6		346.9		355.4
2026	112.2		346.9		355.4
Thereafter	1,341.4		7,873.5		8,285.7
Total lease payments	1,883.3		9,483.6		9,907.9
Less: Imputed interest	(814.0)		(4,421.5)		(5,842.8)
Present value of future lease payments	1,069.3		5,062.1		4,065.1
Less: Current portion of lease obligations	(74.2)		(115.5)		(63.8)
Long-term portion of lease obligations	$	995.1	$	4,946.6	$	4,001.3

Schedule of Other Information and Supplemental Cash Flow Information Related to Leases

Total payments made under the Triple Net Leases were as follows:

	For the three months ended June 30,				For the six months ended June 30,
(in millions)	2022		2021		2022		2021
PENN Master Lease	$	120.6	$	120.7	$	239.8	$	238.7
Pinnacle Master Lease	83.4		82.1		165.9		163.4
Perryville Lease	2.0		—		3.9		—
Meadows Lease	6.2		6.2		12.4		12.4
Margaritaville Lease	6.0		5.9		11.9		11.7
Greektown Lease	12.9		13.5		25.7		27.4
Morgantown Lease	0.7		0.7		1.5		1.5
Total (1)	$	231.8	$	229.1	$	461.1	$	455.1

(1)Rent payable under the Tropicana Lease is nominal. Therefore, it has been excluded from the table above.

The components of lease expense were as follows:

	Location on unaudited Consolidated Statements of Operations	For the three months ended June 30,				For the six months ended June 30,
(in millions)		2022		2021		2022		2021
Operating Lease Costs
Rent expense associated with triple net operating leases (1)	General and administrative	$	28.0	$	116.5	$	88.1	$	226.9
Operating lease cost (2)	Primarily General and administrative	4.9		3.9		9.9		7.8
Short-term lease cost	Primarily Gaming expense	18.5		15.5		36.6		28.8
Variable lease cost (2)	Primarily Gaming expense	1.2		1.0		2.3		2.1
Total		$	52.6	$	136.9	$	136.9	$	265.6
Finance Lease Costs
Interest on lease liabilities (3)	Interest expense, net	$	75.7	$	3.7	$	115.2	$	7.4
Amortization of ROU assets (3)	Depreciation and amortization	48.8		2.1		80.9		4.0
Total		$	124.5	$	5.8	$	196.1	$	11.4
Financing Obligation Costs
Interest on financing obligations (4)	Interest expense, net	$	85.2	$	105.3	$	174.8	$	207.9

(1)Pertains to the operating lease components contained within the Master Leases, inclusive of the variable expense associated with Columbus and Toledo for the operating lease components, the Meadows Lease, the Margaritaville Lease, the Greektown Lease, and the Tropicana Lease.

Prior to the Lease Modification, the operating lease components contained within the Master Leases primarily consisted of the land, inclusive of the variable expense associated with Columbus and Toledo.

Subsequent to the Lease Modification, the operating lease components contained within the Master Leases consist of the land and building components associated with the operations of Dayton and Mahoning Valley.

(2)Excludes the operating lease costs and variable lease costs pertaining to our triple net leases with our REIT landlords classified as operating leases, discussed in footnote (1) above.

(3)Pertains to the finance lease components contained within the Master Leases, and the Perryville Lease (effective July 1, 2021) which results in interest expense and amortization expense (as opposed to rent expense).

Prior to the Lease Modification, the finance lease components contained within the Master Leases consisted of the land and building components associated with the operations of Dayton and Mahoning Valley.

Subsequent to the Lease Modification, the finance lease components contained within the Master Leases consist of the land, inclusive of the variable expense associated with Columbus and Toledo.

(4)     Pertains to the components contained within the Master Leases (primarily buildings) and the Morgantown Lease determined to be a financing obligation, inclusive of the variable expense associated with Columbus and Toledo for the financing obligation components (the buildings).