The Company leases certain office facilities, warehouses, manufacturing plants, equipment (which includes both office and plant equipment) and vehicles under operating leases. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term.

Certain leases include one or more options to renew. The exercise of lease renewal options is at the Company’s sole discretion. There are currently no renewal periods included in any of the leases’ respective lease terms as they are not reasonably certain of being exercised. The Company does not have any material purchase options.

Certain of our lease agreements have rental payments that are adjusted periodically for inflation or that are based on usage. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.



	Balance Sheet Caption	June 30, 2019
Operating leases:
Building right-of-use assets - net	Other noncurrent assets	$	59,226
Equipment right-of-use assets - net	Other noncurrent assets	6,636
Total right-of-use assets - net		$	65,862
Operating leases:
Current lease liabilities	Accrued expenses	$	12,973
Noncurrent lease liabilities	Other noncurrent liabilities	54,619
Total lease liabilities		$	67,592

As part of the adoption of the new lease standard, the Company derecognized its liability for the construction of a new leased facility that was recorded in Other noncurrent liabilities on the Condensed Consolidated Balance Sheets and recorded it as a right of use asset in Other noncurrent assets on the Condensed Consolidated Balance Sheets with a corresponding lease liability in Accrued expenses and Other noncurrent liabilities on the Condensed Consolidated Balance Sheets.



	Three Months Ended June 30, 2019		Six Months Ended June 30, 2019
Operating lease cost ⁽¹⁾	$	6,195	$	11,570
Variable lease cost	625		1,218
Total lease expense	$	6,820	$	12,788

Supplemental cash flow information related to leases for the six months ended June 30, 2019 was as follows:



	Six Months Ended June 30, 2019
Cash paid for amounts included in the measurement of operating lease liabilities	$	6,071
Right-of-use assets obtained in exchange for new operating lease liabilities	4,180



Lease Term and Discount Rate	June 30, 2019
Weighted-average remaining lease term (years):
Operating leases - building and equipment	8.32
Operating leases - vehicles	2.18
Weighted-average discount rate:
Operating leases - building and equipment	4.06	%
Operating leases - vehicles	3.28	%

The Company uses the implicit rate to determine the present value of the lease payments. If the implicit rate is not defined in the lease, the Company uses its incremental borrowing rate to determine the present value of the lease payments. The Company used either the implicit rate or the incremental borrowing rate based on the information available at the transition date to determine the present value of the lease payments as of January 1, 2019.



Maturity of Lease Liabilities	Operating Leases ⁽¹⁾
2019 (excluding the six months ended June 30, 2019)	$	7,620
2020	13,609
2021	11,609
2022	8,820
2023	6,857
Thereafter	30,837
Total lease payments	79,352
Less: Imputed interest	(11,760		)
Present value of lease liabilities	$	67,592

⁽¹⁾ Excludes $25.2 million of legally binding minimum lease payments for leases signed but not yet commenced.



Maturity of Lease Liabilities	Operating Leases
2019	$	17,509
2020	13,162
2021	10,516
2022	7,979
2023	6,535
Thereafter	29,658
Total lease payments	$	85,359