Finance Obligations

12 Months Ended

Dec. 31, 2020

Finance Obligations

Finance Obligations

13.  Finance Obligation, as restated  

The Company has sold future services to be performed associated with certain sale/leaseback transactions and recorded the balance as a finance obligation.  The outstanding balance of this obligation at December 31, 2020 was $157.7 million, $24.7 million and $132.9 million of which was classified as short-term and long-term, respectively, on the accompanying consolidated balance sheet. The outstanding balance of this obligation at December 31, 2019 was $112.4 million, $16.8 million and $95.6 million of which was classified as short-term and long-term, respectively. The amount is amortized using the effective interest method. The fair value of this finance obligation approximated the carrying value as of December 31, 2020.

In prior periods, the Company entered into sale/leaseback transactions that were accounted for as financing transactions and reported as part of finance obligations. The outstanding balance of finance obligations related to sale/leaseback transactions at December 31, 2020 was $23.9 million, $8.0 million and $15.9 million of which was classified as short-term and long-term, respectively on the accompanying consolidated balance sheet.  The outstanding balance of this obligation at December 31, 2019 was $31.7 million, $7.9 million and $23.8 million of which was classified as short-term and long-term, respectively on the accompanying consolidated balance sheet.  The fair value of this finance obligation approximated the carrying value as of both December 31, 2020 and December 31, 2019.

Future minimum payments under finance obligations notes above as of December 31, 2020 were as follows (in thousands):

					Total
		Sale of Future		Sale/leaseback	Finance
		revenue - debt		financings	Obligations
2021	$	41,670	$	9,327	$	50,997
2022		39,268		4,975		44,243
2023		39,268		3,149		42,417
2024		39,268		16,154		55,422
2025 and thereafter		53,385		—		53,385
Total future minimum payments		212,859		33,605		246,464
Less imputed interest		(55,158)		(9,753)		(64,911)
Total	$	157,701	$	23,852	$	181,553

Other information related to the above finance obligations are presented in the following table:

		Year ended		Year ended
		December 31, 2020		December 31, 2019
Cash payments (in thousands)	$	44,245	$	76,244
Weighted average remaining term (years)		5.0		5.3
Weighted average discount rate		11.3%		11.2%