Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.20.2
Leases
 9 Months Ended
Sep. 26, 2020
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, we have 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 2 years, respectively. The weighted-average discount rates for the Company's operating and financing leases are approximately 3.3% and 5.3%, respectively.
The following is a summary of the Company's ROU assets and liabilities:
(In thousands) September 26, 2020 December 31, 2019
Operating Leases:
Operating Right-of-Use Assets, Gross $ 28,549  $ 28,788 
Less Accumulated Right-of-Use Asset Impairment 1,710  1,019 
Less Accumulated Amortization 7,037  4,167 
Operating Right-of-Use Assets, Net $ 19,802  $ 23,602 
Short-term Operating Lease Liabilities $ 4,969  $ 4,517 
Long-term Operating Lease Liabilities 17,582  21,039 
Operating Lease Liabilities $ 22,551  $ 25,556 
Finance Leases:
Finance Right-of-Use Assets, Gross $ 3,484  $ 3,484 
Less Accumulated Amortization 1,784  1,020 
Finance Right-of-Use Assets, Net — Included in Other Assets $ 1,700  $ 2,464 
Short-term Finance Lease Liabilities — Included in Accrued Expenses and Other Current Liabilities
 $ 2,041  $ 1,922 
Long-term Finance Lease Liabilities — Included in Other Liabilities
 1,272  2,815 
Finance Lease Liabilities $ 3,313  $ 4,737 
The following is a summary of the Company's total lease costs:
Nine Months Ended Three Months Ended
(In thousands) September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019
Finance Lease Cost:
Amortization of Right-of-Use Assets $ 765  $ 765  $ 255  $ 255 
Interest on Lease Liabilities 170  243  50 76
Total Finance Lease Cost 935  1,008  305  331 
Operating Lease Cost 3,957  3,622  1,314 1,216 
Right-of-Use Asset Impairment 691  —  —  — 
Variable Lease Cost 1,010  958  377 279
Short-term Lease Cost (excluding month-to-month) 155  118  41 33
Less Sublease and Rental (Income) Expense (1,085) (301) (348) 216 
Total Operating Lease Cost 4,728  4,397  1,384  1,744 
Total Net Lease Cost $ 5,663  $ 5,405  $ 1,689  $ 2,075 

The following is a summary of the Company's maturity of lease liabilities:
(In thousands) Operating Leases Finance Leases
2020 $ 1,490  $ 537 
2021 5,373  2,181 
2022 5,062  743 
2023 3,692  — 
2024 2,844  — 
Thereafter 6,297  — 
Total Lease Payments 24,758  3,461 
Less: Interest 2,207  148 
Total Lease Liability $ 22,551  $ 3,313 
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, we have 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 2 years, respectively. The weighted-average discount rates for the Company's operating and financing leases are approximately 3.3% and 5.3%, respectively.
The following is a summary of the Company's ROU assets and liabilities:
(In thousands) September 26, 2020 December 31, 2019
Operating Leases:
Operating Right-of-Use Assets, Gross $ 28,549  $ 28,788 
Less Accumulated Right-of-Use Asset Impairment 1,710  1,019 
Less Accumulated Amortization 7,037  4,167 
Operating Right-of-Use Assets, Net $ 19,802  $ 23,602 
Short-term Operating Lease Liabilities $ 4,969  $ 4,517 
Long-term Operating Lease Liabilities 17,582  21,039 
Operating Lease Liabilities $ 22,551  $ 25,556 
Finance Leases:
Finance Right-of-Use Assets, Gross $ 3,484  $ 3,484 
Less Accumulated Amortization 1,784  1,020 
Finance Right-of-Use Assets, Net — Included in Other Assets $ 1,700  $ 2,464 
Short-term Finance Lease Liabilities — Included in Accrued Expenses and Other Current Liabilities
 $ 2,041  $ 1,922 
Long-term Finance Lease Liabilities — Included in Other Liabilities
 1,272  2,815 
Finance Lease Liabilities $ 3,313  $ 4,737 
The following is a summary of the Company's total lease costs:
Nine Months Ended Three Months Ended
(In thousands) September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019
Finance Lease Cost:
Amortization of Right-of-Use Assets $ 765  $ 765  $ 255  $ 255 
Interest on Lease Liabilities 170  243  50 76
Total Finance Lease Cost 935  1,008  305  331 
Operating Lease Cost 3,957  3,622  1,314 1,216 
Right-of-Use Asset Impairment 691  —  —  — 
Variable Lease Cost 1,010  958  377 279
Short-term Lease Cost (excluding month-to-month) 155  118  41 33
Less Sublease and Rental (Income) Expense (1,085) (301) (348) 216 
Total Operating Lease Cost 4,728  4,397  1,384  1,744 
Total Net Lease Cost $ 5,663  $ 5,405  $ 1,689  $ 2,075 

The following is a summary of the Company's maturity of lease liabilities:
(In thousands) Operating Leases Finance Leases
2020 $ 1,490  $ 537 
2021 5,373  2,181 
2022 5,062  743 
2023 3,692  — 
2024 2,844  — 
Thereafter 6,297  — 
Total Lease Payments 24,758  3,461 
Less: Interest 2,207  148 
Total Lease Liability $ 22,551  $ 3,313