Leases (Notes)

6 Months Ended

Jul. 25, 2020

We lease the majority of our office facilities as well as certain equipment, all of which are accounted for as operating leases. These leases have remaining terms ranging from less than 1 year to approximately 10 years. Some leases include options to extend the lease for up to 5 years and others include options to terminate.

The following table summarizes the components of lease cost recognized in the condensed consolidated statements of operations for the three and six months ended July 25, 2020 and July 27, 2019 (dollars in thousands):


	For the Three Months Ended		For the Three Months Ended		For the Six Months Ended		For the Six Months Ended
	July 25, 2020		July 27, 2019		July 25, 2020		July 27, 2019
Lease cost under long-term operating leases	$	8,763	$	8,292	$	17,615	$	16,712
Lease cost under short-term operating leases	7,153		8,608		15,984		16,994
Variable lease cost under short-term and long-term operating leases⁽¹⁾	1,066		1,131		2,160		2,272
Total lease cost	$	16,982	$	18,031	$	35,759	$	35,978

⁽¹⁾Variable lease cost primarily includes insurance, maintenance, and other operating expenses related to our leased office facilities.

Our operating lease liabilities related to long-term operating leases were $70.6 million as of July 25, 2020 and $70.2 million as of January 25, 2020. Supplemental balance sheet information related to these liabilities is as follows:


	July 25, 2020	January 25, 2020
Weighted average remaining lease term	3.4 years	3.3 years
Weighted average discount rate	5.0 %	5.2	%

Supplemental cash flow information related to our long-term operating lease liabilities as of July 25, 2020 and July 27, 2019 is as follows (dollars in thousands):


	For the Three Months Ended		For the Three Months Ended		For the Six Months Ended		For the Six Months Ended
	July 25, 2020		July 27, 2019		July 25, 2020		July 27, 2019
Cash paid for amounts included in the measurement of lease liabilities	$	8,508	$	8,022	$	16,472	$	15,473
Operating lease right-of-use assets obtained in exchange for operating lease liabilities	$	6,516	$	7,777	$	17,756	$	13,291

As of July 25, 2020, maturities of our lease liabilities under our long-term operating leases for the next five fiscal years and thereafter are as follows (dollars in thousands):


Fiscal Year	Amount
Remainder of 2021	$	15,947
2022	26,485
2023	16,724
2024	9,735
2025	6,111
Thereafter	4,032
Total lease payments	79,034
Less: imputed interest	(8,445)
Total	$	70,589

As of July 25, 2020, the Company had additional operating leases that have not yet commenced of $0.1 million. These leases will commence during the third quarter of fiscal 2021.

As of January 25, 2020, the future minimum obligation by fiscal year for our operating leases with original noncancelable terms in excess of one year was as follows (dollars in thousands):


Fiscal Year	Amount
2021	$	30,138
2022	22,274
2023	13,236
2024	7,916
2025	4,607
Thereafter	1,495
Total lease payments	79,666
Less: imputed interest	(9,479)
Total	$	70,187