Leases

3 Months Ended

Mar. 31, 2020

LeasesThe Company primarily leases office space, data centers, vehicles, and equipment. Some of our leases contain variable lease payments, typically payments based on an index. The Company’s leases have remaining lease terms of one year to thirty years, some of which include options to extend from one to five years or more. The exercise of lease renewal options is typically at the Company's sole discretion; therefore, the majority of renewals to extend the lease terms are not reasonably certain to exercise and are not included in Right-of-Use (ROU) assets and lease liabilities. Variable lease payments based on an index or rate are initially measured using the index or rate in effect at lease commencement. Additional payments based on the change in an

index or rate are recorded as a period expense when incurred. Lease modifications result in remeasurement of the lease liability as of the modification date.

Other assets include ROU assets, other current liabilities include short-term operating lease liabilities, and other non-current liabilities include long term lease liabilities at March 31, 2020 and 2019 as follows (in million):


	March 31, 2020		December 31, 2019
ROU Assets	$	82.1	$	84.3
Short term lease liabilities	16.3		16.9
Long term lease liabilities	80.3		81.7

Under ASC 842, a Company discounts future lease obligations by the rate implicit in the contract, unless the rate cannot be readily determined. As most of our leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. In determining the borrowing rate, the Company considered the applicable lease terms, the Company's cost of borrowing, and for leases denominated in a foreign currency, the collateralized borrowing rate that the Company would obtain to borrow in the same currency in which the lease is denominated.

Total lease costs for the three months ended March 31 2020 and 2019 were $5.5 million and $4.4 million, respectively.

The supplementary cash and non-cash disclosures for the three months ended March 31 are as follows (in thousands):


	March 31,
	2020	2019
Cash paid for operating lease liabilities	$5,130	$4,607
Right-of-use assets obtained in exchange for new operating lease obligations ¹	$1,494	$69,744
Weighted-average remaining lease term (years)	7.6	7.5
Weighted-average discount rate	4.33%	3.73%
¹Includes $55.9 million for operating leases existing on January 1, 2019

Maturities of lease liabilities as of March 31, 2020 were as follows (in thousands):


2020	$	19,754
2021	17,048
2022	14,899
2023	13,927
2024	13,588
Thereafter	37,246
Total lease payments	116,462
Less imputed interest	(19,862)
Present value of lease liabilities	$	96,600