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LEASES
 3 Months Ended
Mar. 31, 2021
Leases [Abstract]  
LEASES LEASES
We determine if an arrangement is a lease at inception. Operating leases are included in “Operating lease right-of-use (‘ROU’) assets”, “operating lease liabilities” and “current portion of operating lease obligations” on our consolidated balance sheets. Finance leases are included in “property, plant and equipment, net”, “current portion of long-term debt and finance lease obligations” and “long-term debt and finance lease obligations” on our consolidated balance sheets.  

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Operating lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Variable lease payments and short-term lease payments (leases with initial terms less than 12 months) are expensed as incurred.

We have lease agreements with lease and non-lease components for certain equipment, office, and vehicle leases. We have elected the practical expedient to not separate lease and non-lease components and account for both as a single lease component. We have operating and finance leases primarily for equipment, real estate, and vehicles. Our leases have remaining lease terms of 1 year to 15 years, some of which may include options to extend the leases for up to 10 years, and some of which may include options to terminate the leases within 1 year.

The components of lease expense are as follows (in thousands):
Three Months Ended March 31,
20212020
(unaudited)(unaudited)
Operating lease costs$7,239 $7,518 
Variable lease costs1,276 1,493 
Finance lease costs:
Amortization of right-of-use assets117 108 
Interest on lease liabilities78 81 
Total lease cost$8,710 $9,200 
Other information related to leases are as follows (in thousands):
Three Months Ended March 31,
20212020
Supplemental cash flow information:(unaudited)(unaudited)
Cash paid for amounts included in measurement of lease liabilities
Operating cash flows from operating leases5,356 5,865 
Operating cash flows from finance leases80 83 
Financing cash flows from finance leases78 65 
Right-of-use assets obtained in exchange for lease obligations
Operating leases8,172 1,092 
Finance leases22 — 

Amounts recognized in the condensed consolidated balance sheet are as follows (in thousands):
March 31, 2021December 31, 2020
Operating Leases:(unaudited)
Operating lease right-of-use assets$68,183 $63,869 
Current portion of operating lease obligations17,044 17,375 
Operating lease obligations (non-current)56,701 52,207 
Weighted average remaining lease term6.0 years6.0 years
Weighted average discount rate6.8 %6.7 %

March 31, 2021December 31, 2020
Finance Leases:(unaudited)
Property, plant and equipment, net$4,679 $4,779 
Current portion of long-term debt and finance lease obligations352 337 
Long-term debt and finance lease obligations4,741 4,816 
Weighted average remaining lease term12.0 years12.0 years
Weighted average discount rate6.2 %6.2 %

As of March 31, 2021, we have no material additional operating and finance leases that have not yet commenced.

As of March 31, 2021, future minimum lease payments under non-cancellable leases (excluding short-term leases) are as follows (in thousands):
Operating LeasesFinance Lease
(unaudited)(unaudited)
2021 (Remainder of the year)26,571 629 
202216,553 629 
202313,074 564 
202410,718 547 
20258,358 556 
Thereafter22,780 4,553 
Total future minimum lease payments98,054 7,478 
Less: Interest(24,309)(2,385)
Present value of lease liabilities$73,745 $5,093 
LEASES LEASES
We determine if an arrangement is a lease at inception. Operating leases are included in “Operating lease right-of-use (‘ROU’) assets”, “operating lease liabilities” and “current portion of operating lease obligations” on our consolidated balance sheets. Finance leases are included in “property, plant and equipment, net”, “current portion of long-term debt and finance lease obligations” and “long-term debt and finance lease obligations” on our consolidated balance sheets.  

Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Operating lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Variable lease payments and short-term lease payments (leases with initial terms less than 12 months) are expensed as incurred.

We have lease agreements with lease and non-lease components for certain equipment, office, and vehicle leases. We have elected the practical expedient to not separate lease and non-lease components and account for both as a single lease component. We have operating and finance leases primarily for equipment, real estate, and vehicles. Our leases have remaining lease terms of 1 year to 15 years, some of which may include options to extend the leases for up to 10 years, and some of which may include options to terminate the leases within 1 year.

The components of lease expense are as follows (in thousands):
Three Months Ended March 31,
20212020
(unaudited)(unaudited)
Operating lease costs$7,239 $7,518 
Variable lease costs1,276 1,493 
Finance lease costs:
Amortization of right-of-use assets117 108 
Interest on lease liabilities78 81 
Total lease cost$8,710 $9,200 
Other information related to leases are as follows (in thousands):
Three Months Ended March 31,
20212020
Supplemental cash flow information:(unaudited)(unaudited)
Cash paid for amounts included in measurement of lease liabilities
Operating cash flows from operating leases5,356 5,865 
Operating cash flows from finance leases80 83 
Financing cash flows from finance leases78 65 
Right-of-use assets obtained in exchange for lease obligations
Operating leases8,172 1,092 
Finance leases22 — 

Amounts recognized in the condensed consolidated balance sheet are as follows (in thousands):
March 31, 2021December 31, 2020
Operating Leases:(unaudited)
Operating lease right-of-use assets$68,183 $63,869 
Current portion of operating lease obligations17,044 17,375 
Operating lease obligations (non-current)56,701 52,207 
Weighted average remaining lease term6.0 years6.0 years
Weighted average discount rate6.8 %6.7 %

March 31, 2021December 31, 2020
Finance Leases:(unaudited)
Property, plant and equipment, net$4,679 $4,779 
Current portion of long-term debt and finance lease obligations352 337 
Long-term debt and finance lease obligations4,741 4,816 
Weighted average remaining lease term12.0 years12.0 years
Weighted average discount rate6.2 %6.2 %

As of March 31, 2021, we have no material additional operating and finance leases that have not yet commenced.

As of March 31, 2021, future minimum lease payments under non-cancellable leases (excluding short-term leases) are as follows (in thousands):
Operating LeasesFinance Lease
(unaudited)(unaudited)
2021 (Remainder of the year)26,571 629 
202216,553 629 
202313,074 564 
202410,718 547 
20258,358 556 
Thereafter22,780 4,553 
Total future minimum lease payments98,054 7,478 
Less: Interest(24,309)(2,385)
Present value of lease liabilities$73,745 $5,093