Leases

3 Months Ended

Mar. 31, 2019

We lease certain machinery and equipment, office space, and manufacturing facilities. Leases with an initial term of 12 months or less are not recorded on the balance sheet and we recognize lease expense for these leases on a straight-line basis over the lease term. We account for lease components (e.g., fixed payments including rent, real estate taxes and insurance costs) combined with the non-lease components (e.g., common-area maintenance costs). We use our incremental borrowing rate based on the information available at the lease commencement date to determine the lease liability. Our leases have remaining lease terms ranging from less than one year to 87 years. For purposes of calculating our lease liabilities, our lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise those options. Certain leases also include options to purchase the leased property.

The components of lease expense were as follows:



	March 31, 2019
	(In thousands)
Operating lease cost	$	12,124
Finance lease cost
Amortization of leased assets	1,066
Interest on lease liabilities	214
Total Finance lease cost	1,280
Net lease cost	$	13,404

Rent expense was $12.8 million for three months ended March 31, 2018.

Other information related to leases was as follows:



	March 31, 2019
Supplemental Cash Flows Information (in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	6,577
Operating cash flows for finance leases	211
Financing cash flows for finance leases	1,229

Weighted Average Remaining Lease Term (Years)
Operating leases	5.20
Finance leases	4.56

Weighted Average Discount Rate
Operating leases	4.4		%
Finance leases	4.9		%

Future minimum lease payments under non-cancellable leases were as follows:



	March 31, 2019						December 31, 2018
	Operating Leases			Finance Leases			Operating Leases		Finance Leases
	(In thousands)
2019 - Remaining	$	24,576		$	5,268		$	32,461	$	6,430
2020	27,599			4,753			24,630		4,555
2021	19,321			4,830			17,676		4,748
2022	11,210			955			10,942		936
2023	9,147			950			9,008		936
Thereafter	26,098			3,868			26,070		3,807
Total future minimum lease payments	117,951			20,624			$	120,787	$	21,412
Less: Imputed interest	(14,240		)	(2,490		)
Total	$	103,711		$	18,134

Leases

The components of lease expense were as follows:



	March 31, 2019
	(In thousands)
Operating lease cost	$	12,124
Finance lease cost
Amortization of leased assets	1,066
Interest on lease liabilities	214
Total Finance lease cost	1,280
Net lease cost	$	13,404

Rent expense was $12.8 million for three months ended March 31, 2018.

Other information related to leases was as follows:



	March 31, 2019
Supplemental Cash Flows Information (in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	6,577
Operating cash flows for finance leases	211
Financing cash flows for finance leases	1,229

Weighted Average Remaining Lease Term (Years)
Operating leases	5.20
Finance leases	4.56

Weighted Average Discount Rate
Operating leases	4.4		%
Finance leases	4.9		%

Future minimum lease payments under non-cancellable leases were as follows:



	March 31, 2019						December 31, 2018
	Operating Leases			Finance Leases			Operating Leases		Finance Leases
	(In thousands)
2019 - Remaining	$	24,576		$	5,268		$	32,461	$	6,430
2020	27,599			4,753			24,630		4,555
2021	19,321			4,830			17,676		4,748
2022	11,210			955			10,942		936
2023	9,147			950			9,008		936
Thereafter	26,098			3,868			26,070		3,807
Total future minimum lease payments	117,951			20,624			$	120,787	$	21,412
Less: Imputed interest	(14,240		)	(2,490		)
Total	$	103,711		$	18,134