LEASES

6 Months Ended

Jun. 30, 2019

The Company has commitments under operating leases for certain machinery and equipment as well as manufacturing, warehousing, showroom and other facilities used in its operations. The Company does not have finance leases. Excluding short-term leases, the Company’s leases have initial terms ranging from 1 to 16 years, most of which include options the Company may elect to extend or renew the lease for 0.1 to 6 years, and some of which may include options to terminate the leases with notice periods of up to 1 year. Certain lease agreements contain provisions for future rent increases. Payments due under lease contracts are fixed.

The components of lease cost for the three and six months ended June 30, 2019 are as follows (in millions):



	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Lease cost:
Operating lease cost	$	6.8	$	13.7
Short-term lease cost	0.5		0.6
Sublease income	—		(0.1		)
Total lease cost	$	7.3	$	14.2

As of December 31, 2018, minimum rental payments under operating leases were recognized on a straight-line basis over the term of the lease including any periods of free rent.

Other lease information as of and for the period ended June 30, 2019 includes:



	June 30, 2019
Weighted-average remaining lease term (in years)
Operating leases	6.2
Weighted-average discount rate
Operating leases	4.8	%



(dollars in millions)	Six Months Ended
	June 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	13.9
Right-of-use assets obtained in exchange for lease liabilities:
Operating leases	$	5.0

As of June 30, 2019, the Company has an additional operating lease that has not yet commenced for which it will record a right of use asset and lease liability of approximately $3.3 million. The lease will commence in January 2020 with a lease term of approximately 10 years.

Future minimum lease payments under non-cancellable leases, net of sublease income, as of June 30, 2019 is as follows (in millions):



	June 30, 2019
2019 (remaining six months)	$	12.5
2020	26.0
2021	20.0
2022	17.4
2023	14.8
Thereafter	40.4
Total undiscounted lease payments	131.1
Less: imputed interest	(22.9		)
Total lease liability	$	108.2