Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.21.1
Leases
 3 Months Ended
Apr. 03, 2021
Leases [Abstract]  
Leases Leases
The Company has operating and finance leases for leased office and manufacturing facilities and equipment leases. We have concluded that when an agreement grants us the right to substantially all of the economic benefits associated with an identified asset, and we are able to direct the use of that asset throughout the term of the agreement, the agreement contains a lease. We lease certain facilities and office equipment under finance leases, and we lease certain production facilities, office equipment and vehicles under operating leases. Some of our leases include options to extend or terminate the leases and these options have been included in the relevant lease term to the extent that they are reasonably certain to be exercised.
The weighted-average remaining term for the Company's operating and financing leases are approximately 6 and 1, respectively. The weighted-average discount rates for the Company's operating and financing leases are approximately 3.3% and 5.1%, respectively.
The following is a summary of the Company's ROU assets and liabilities:
(In thousands) April 3, 2021 December 31, 2020
Operating Leases:
Operating Right-of-Use Assets, Gross $ 28,458  $ 28,678 
Less Accumulated Right-of-Use Asset Impairment 1,710  1,710 
Less Accumulated Amortization 8,998  8,015 
Operating Right-of-Use Assets, Net $ 17,750  $ 18,953 
Short-term Operating Lease Liabilities $ 4,856  $ 4,998 
Long-term Operating Lease Liabilities 15,415  16,637 
Operating Lease Liabilities $ 20,271  $ 21,635 
Finance Leases:
Finance Right-of-Use Assets, Gross $ 3,585  $ 3,484 
Less Accumulated Amortization 2,282  2,039 
Finance Right-of-Use Assets, Net — Included in Other Assets $ 1,303  $ 1,445 
Short-term Finance Lease Liabilities — Included in Accrued Expenses and Other Current Liabilities
 $ 2,196  $ 2,081 
Long-term Finance Lease Liabilities — Included in Other Liabilities
 232  734 
Finance Lease Liabilities $ 2,428  $ 2,815 
The following is a summary of the Company's total lease costs:
Three Months Ended
(In thousands) April 3, 2021 March 28, 2020
Finance Lease Cost:
Amortization of Right-of-Use Assets $ 254  $ 255 
Interest on Lease Liabilities 35  63 
Total Finance Lease Cost 289  318 
Operating Lease Cost 1,359  1,448 
Right-of-Use Asset Impairment —  691 
Variable Lease Cost 391  272 
Short-term Lease Cost (excluding month-to-month) 47  67 
Less Sublease and Rental (Income) Expense (309) (331)
Total Operating Lease Cost 1,488  2,147 
Total Net Lease Cost $ 1,777  $ 2,465 
The following is a summary of the Company's maturity of lease liabilities:
(In thousands) Operating Leases Finance Leases
Remainder of 2021
 $ 4,120  $ 1,701 
2022
 5,171  800 
2023
 3,800  — 
2024
 2,858  — 
2025
 2,809  — 
Thereafter 3,361  — 
Total Lease Payments 22,119  2,501 
Less: Interest 1,848  73 
Total Lease Liability $ 20,271  $ 2,428 
Leases Leases
The Company has operating and finance leases for leased office and manufacturing facilities and equipment leases. We have concluded that when an agreement grants us the right to substantially all of the economic benefits associated with an identified asset, and we are able to direct the use of that asset throughout the term of the agreement, the agreement contains a lease. We lease certain facilities and office equipment under finance leases, and we lease certain production facilities, office equipment and vehicles under operating leases. Some of our leases include options to extend or terminate the leases and these options have been included in the relevant lease term to the extent that they are reasonably certain to be exercised.
The weighted-average remaining term for the Company's operating and financing leases are approximately 6 and 1, respectively. The weighted-average discount rates for the Company's operating and financing leases are approximately 3.3% and 5.1%, respectively.
The following is a summary of the Company's ROU assets and liabilities:
(In thousands) April 3, 2021 December 31, 2020
Operating Leases:
Operating Right-of-Use Assets, Gross $ 28,458  $ 28,678 
Less Accumulated Right-of-Use Asset Impairment 1,710  1,710 
Less Accumulated Amortization 8,998  8,015 
Operating Right-of-Use Assets, Net $ 17,750  $ 18,953 
Short-term Operating Lease Liabilities $ 4,856  $ 4,998 
Long-term Operating Lease Liabilities 15,415  16,637 
Operating Lease Liabilities $ 20,271  $ 21,635 
Finance Leases:
Finance Right-of-Use Assets, Gross $ 3,585  $ 3,484 
Less Accumulated Amortization 2,282  2,039 
Finance Right-of-Use Assets, Net — Included in Other Assets $ 1,303  $ 1,445 
Short-term Finance Lease Liabilities — Included in Accrued Expenses and Other Current Liabilities
 $ 2,196  $ 2,081 
Long-term Finance Lease Liabilities — Included in Other Liabilities
 232  734 
Finance Lease Liabilities $ 2,428  $ 2,815 
The following is a summary of the Company's total lease costs:
Three Months Ended
(In thousands) April 3, 2021 March 28, 2020
Finance Lease Cost:
Amortization of Right-of-Use Assets $ 254  $ 255 
Interest on Lease Liabilities 35  63 
Total Finance Lease Cost 289  318 
Operating Lease Cost 1,359  1,448 
Right-of-Use Asset Impairment —  691 
Variable Lease Cost 391  272 
Short-term Lease Cost (excluding month-to-month) 47  67 
Less Sublease and Rental (Income) Expense (309) (331)
Total Operating Lease Cost 1,488  2,147 
Total Net Lease Cost $ 1,777  $ 2,465 
The following is a summary of the Company's maturity of lease liabilities:
(In thousands) Operating Leases Finance Leases
Remainder of 2021
 $ 4,120  $ 1,701 
2022
 5,171  800 
2023
 3,800  — 
2024
 2,858  — 
2025
 2,809  — 
Thereafter 3,361  — 
Total Lease Payments 22,119  2,501 
Less: Interest 1,848  73 
Total Lease Liability $ 20,271  $ 2,428