Leases

9 Months Ended

Oct. 02, 2021

Leases [Abstract]

Leases

LEASES

The balance sheet locations of our lease assets and liabilities were as follows (in millions):

Assets	Balance Sheet Location	October 2, 2021		December 31, 2020
Operating	Operating lease assets	$	170.6	$	154.7
Finance	Other non-current assets	29.5		29.8
Total		$	200.1	$	184.5

Liabilities	Balance Sheet Location	October 2, 2021		December 31, 2020
Current
Operating	Other accrued liabilities	$	27.2	$	28.3
Finance	Current indebtedness	5.1		6.7
Non-Current
Operating	Other non-current liabilities	148.9		132.5
Finance	Long-term debt, less current portion	22.1		20.2
Total		$	203.3	$	187.7

The below tables show our lease assets and liabilities by reporting segment (in millions):

	Assets
	Operating				Financing
	October 2, 2021		December 31, 2020		October 2, 2021		December 31, 2020
CSCA	$	100.8	$	75.9	$	15.7	$	16.7
CSCI	30.4		34.4		8.3		5.9
Unallocated	39.4		44.4		5.5		7.2
Total	$	170.6	$	154.7	$	29.5	$	29.8

	Liabilities
	Operating				Financing
	October 2, 2021		December 31, 2020		October 2, 2021		December 31, 2020
CSCA	$	101.3	$	75.8	$	16.4	$	17.0
CSCI	31.4		35.2		5.2		2.5
Unallocated	43.4		49.8		5.6		7.4
Total	$	176.1	$	160.8	$	27.2	$	26.9

Lease expense was as follows (in millions):

	Three Months Ended				Nine Months Ended
	October 2, 2021		September 26, 2020		October 2, 2021		September 26, 2020
Operating leases(1)	$	10.0	$	8.5	$	29.9	$	26.6
Finance leases
Amortization	$	1.5	$	1.1	$	4.4	$	3.2
Interest	0.2		0.2		0.6		0.6
Total finance leases	$	1.7	$	1.3	$	5.0	$	3.8

            (1) Includes short-term leases and variable lease costs, which are immaterial.

The annual future maturities of our leases as of October 2, 2021 are as follows (in millions):

	Operating Leases		Finance Leases		Total
2021	$	8.2	$	1.5	$	9.7
2022	29.2		5.6		34.8
2023	21.8		3.9		25.7
2024	18.6		2.4		21.0
2025	16.5		2.2		18.7
After 2025	109.0		15.8		124.8
Total lease payments	203.3		31.4		234.7
Less: Interest	27.2		4.2		31.4
Present value of lease liabilities	$	176.1	$	27.2	$	203.3

Our weighted average lease terms and discount rates are as follows:

	October 2, 2021		September 26, 2020
Weighted-average remaining lease term (in years)
Operating leases	11.39		6.26
Finance leases	8.78		9.20
Weighted-average discount rate
Operating leases	2.60	%	3.64	%
Finance leases	2.64	%	3.20	%

Our lease cash flow classifications are as follows (in millions):

	Nine Months Ended
	October 2, 2021		September 26, 2020
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows for operating leases	$	26.3	$	25.4
Operating cash flows for finance leases	$	0.6	$	0.6
Financing cash flows for finance leases	$	3.9	$	2.9
Leased assets obtained in exchange for new finance lease liabilities	$	4.5	$	4.6
Leased assets obtained in exchange for new operating lease liabilities	$	42.5	$	24.5

Leases

LEASES

The balance sheet locations of our lease assets and liabilities were as follows (in millions):

Assets	Balance Sheet Location	October 2, 2021		December 31, 2020
Operating	Operating lease assets	$	170.6	$	154.7
Finance	Other non-current assets	29.5		29.8
Total		$	200.1	$	184.5

Liabilities	Balance Sheet Location	October 2, 2021		December 31, 2020
Current
Operating	Other accrued liabilities	$	27.2	$	28.3
Finance	Current indebtedness	5.1		6.7
Non-Current
Operating	Other non-current liabilities	148.9		132.5
Finance	Long-term debt, less current portion	22.1		20.2
Total		$	203.3	$	187.7

The below tables show our lease assets and liabilities by reporting segment (in millions):

	Assets
	Operating				Financing
	October 2, 2021		December 31, 2020		October 2, 2021		December 31, 2020
CSCA	$	100.8	$	75.9	$	15.7	$	16.7
CSCI	30.4		34.4		8.3		5.9
Unallocated	39.4		44.4		5.5		7.2
Total	$	170.6	$	154.7	$	29.5	$	29.8

	Liabilities
	Operating				Financing
	October 2, 2021		December 31, 2020		October 2, 2021		December 31, 2020
CSCA	$	101.3	$	75.8	$	16.4	$	17.0
CSCI	31.4		35.2		5.2		2.5
Unallocated	43.4		49.8		5.6		7.4
Total	$	176.1	$	160.8	$	27.2	$	26.9

Lease expense was as follows (in millions):

	Three Months Ended				Nine Months Ended
	October 2, 2021		September 26, 2020		October 2, 2021		September 26, 2020
Operating leases(1)	$	10.0	$	8.5	$	29.9	$	26.6
Finance leases
Amortization	$	1.5	$	1.1	$	4.4	$	3.2
Interest	0.2		0.2		0.6		0.6
Total finance leases	$	1.7	$	1.3	$	5.0	$	3.8

            (1) Includes short-term leases and variable lease costs, which are immaterial.

The annual future maturities of our leases as of October 2, 2021 are as follows (in millions):

	Operating Leases		Finance Leases		Total
2021	$	8.2	$	1.5	$	9.7
2022	29.2		5.6		34.8
2023	21.8		3.9		25.7
2024	18.6		2.4		21.0
2025	16.5		2.2		18.7
After 2025	109.0		15.8		124.8
Total lease payments	203.3		31.4		234.7
Less: Interest	27.2		4.2		31.4
Present value of lease liabilities	$	176.1	$	27.2	$	203.3

Our weighted average lease terms and discount rates are as follows:

	October 2, 2021		September 26, 2020
Weighted-average remaining lease term (in years)
Operating leases	11.39		6.26
Finance leases	8.78		9.20
Weighted-average discount rate
Operating leases	2.60	%	3.64	%
Finance leases	2.64	%	3.20	%

Our lease cash flow classifications are as follows (in millions):

	Nine Months Ended
	October 2, 2021		September 26, 2020
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows for operating leases	$	26.3	$	25.4
Operating cash flows for finance leases	$	0.6	$	0.6
Financing cash flows for finance leases	$	3.9	$	2.9
Leased assets obtained in exchange for new finance lease liabilities	$	4.5	$	4.6
Leased assets obtained in exchange for new operating lease liabilities	$	42.5	$	24.5