Leases

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Leases

Leases    The Company has operating and finance leases for office space, retail, data centers, and certain office equipment with expiration dates ranging through 2028 with various renewal options. Only renewal options that were reasonably assured to be exercised are included in the lease liability. At March 31, 2022, the maturity of lease liabilities under Topic 842 "Leases" are as follows:

Year	Operating Leases		Financing Leases		Total
	(in thousands)
2022 (Remaining nine months)	$	2,864	$	150	$	3,014
2023	3,371		158		3,529
2024	2,002		133		2,135
2025	1,356		19		1,375
2026	583		—		583
Thereafter	1,083		—		1,083
Total	11,259		460		11,719
Less: present value discount*	(1,049)		(32)		(1,081)
Present value of lease liabilities	10,210		428		10,638
Less: current portion of lease liabilities	(3,366)		(178)		(3,544)
Total long-term lease liabilities	$	6,844	$	250	$	7,094
* The discount rate used was the incremental borrowing rates respective to the country where the assets are located.

    The Company's net assets recorded under operating and finance leases were $9.9 million and $10.1 million as of March 31, 2022, and December 31, 2021, respectively. The lease cost is recognized in our condensed consolidated statements of income in the category of general and administrative and is summarized as follows:

	Three Months Ended
	March 31,
	2022		2021
	(in thousands)
Operating Lease Cost	$	991	$	1,439
Finance Lease Cost:
Amortization of Lease Assets	48		39
Interest on Lease Liabilities	7		7
Finance Lease Cost	55		46
Sublease Income	(23)		(38)
Total Net Lease Cost	$	1,023	$	1,447

    Other information about lease amounts recognized in our condensed consolidated statement of income is summarized as follows:

	March 31, 2022
Weighted Average Lease Term - Operating Leases	4.1 years
Weighted Average Lease Term - Finance Leases	2.6 years
Weighted Average Discount Rate - Operating Leases	7.0	%
Weighted Average Discount Rate - Finance Leases	6.3	%

    At March 31, 2022, our lease liability of $10.6 million does not include certain arrangements, which are primarily airport leases, that do not meet the definition of a lease under Topic 842. Such arrangements represent further commitments of approximately $29.4 million as follows:

Year	Commitments
	(in thousands)
2022 (Remaining nine months)	$	12,704
2023	16,723
Thereafter	—
Total	$	29,427

    Finance leases range from three to five years and are primarily for office equipment. Rental expense for office and airport facilities and certain equipment subject to operating leases for the three months ended March 31, 2022 and 2021 was $2.7 million and $2.8 million, respectively. During the first quarter of 2022, the airport leases remain subject to concessional rent abatements/reductions until the Company fully restarts its airport operations. The concessional rent abatements/reductions has been granted on the basis of low passenger traffic counts, which is due to various restrictions resulting from COVID-19. It remains uncertain when and under what conditions each payment abatement/reduction will end.

Leases

Leases    The Company has operating and finance leases for office space, retail, data centers, and certain office equipment with expiration dates ranging through 2028 with various renewal options. Only renewal options that were reasonably assured to be exercised are included in the lease liability. At March 31, 2022, the maturity of lease liabilities under Topic 842 "Leases" are as follows:

Year	Operating Leases		Financing Leases		Total
	(in thousands)
2022 (Remaining nine months)	$	2,864	$	150	$	3,014
2023	3,371		158		3,529
2024	2,002		133		2,135
2025	1,356		19		1,375
2026	583		—		583
Thereafter	1,083		—		1,083
Total	11,259		460		11,719
Less: present value discount*	(1,049)		(32)		(1,081)
Present value of lease liabilities	10,210		428		10,638
Less: current portion of lease liabilities	(3,366)		(178)		(3,544)
Total long-term lease liabilities	$	6,844	$	250	$	7,094
* The discount rate used was the incremental borrowing rates respective to the country where the assets are located.

    The Company's net assets recorded under operating and finance leases were $9.9 million and $10.1 million as of March 31, 2022, and December 31, 2021, respectively. The lease cost is recognized in our condensed consolidated statements of income in the category of general and administrative and is summarized as follows:

	Three Months Ended
	March 31,
	2022		2021
	(in thousands)
Operating Lease Cost	$	991	$	1,439
Finance Lease Cost:
Amortization of Lease Assets	48		39
Interest on Lease Liabilities	7		7
Finance Lease Cost	55		46
Sublease Income	(23)		(38)
Total Net Lease Cost	$	1,023	$	1,447

    Other information about lease amounts recognized in our condensed consolidated statement of income is summarized as follows:

	March 31, 2022
Weighted Average Lease Term - Operating Leases	4.1 years
Weighted Average Lease Term - Finance Leases	2.6 years
Weighted Average Discount Rate - Operating Leases	7.0	%
Weighted Average Discount Rate - Finance Leases	6.3	%

    At March 31, 2022, our lease liability of $10.6 million does not include certain arrangements, which are primarily airport leases, that do not meet the definition of a lease under Topic 842. Such arrangements represent further commitments of approximately $29.4 million as follows:

Year	Commitments
	(in thousands)
2022 (Remaining nine months)	$	12,704
2023	16,723
Thereafter	—
Total	$	29,427

    Finance leases range from three to five years and are primarily for office equipment. Rental expense for office and airport facilities and certain equipment subject to operating leases for the three months ended March 31, 2022 and 2021 was $2.7 million and $2.8 million, respectively. During the first quarter of 2022, the airport leases remain subject to concessional rent abatements/reductions until the Company fully restarts its airport operations. The concessional rent abatements/reductions has been granted on the basis of low passenger traffic counts, which is due to various restrictions resulting from COVID-19. It remains uncertain when and under what conditions each payment abatement/reduction will end.