LEASES

Under Topic 842, operating lease expense is generally recognized evenly over the term of the lease. The Company has operating leases primarily consisting of facilities with remaining lease terms of one year to ten years. The lease term represents the non-cancelable period of the lease. For certain leases, the Company has an option to extend the lease term. These renewal options are not considered in the remaining lease term unless it is reasonably certain that the Company will exercise such options.

Leases with an initial term of twelve months or less are not recorded on the balance sheet. The Company combines the lease and non-lease components in determining the lease liabilities and right-of-use assets. The Company also elected to carry forward prior conclusions about lease identification and classification.

The Company’s lease contracts do not provide an implicit borrowing rate, hence the Company determined the incremental borrowing rate based on information available at lease commencement to determine the present value of lease liability. The Company uses the parent entity’s incremental borrowing rates as the treasury operations are managed centrally by the parent entity and, consequently, the pricing of leases at a subsidiary level is typically significantly influenced by the credit risk evaluated at the parent or consolidated group level on the basis of guarantees or other payment mechanisms that allow the lessor to look beyond just the subsidiary for payment.

The components of lease expense are as follows:



	Three months ended
	March 29, 2019
Operating lease cost	$	1,996
Variable lease cost	779
Total lease cost	$	2,775

Other information related to leases are as follows:



	Three months ended
	March 29, 2019
Supplemental cash flow information
Operating cash flows from operating leases	$	2,130
Operating leases
Weighted-average remaining lease term (years)	6.9 years
Weighted-average discount rate	5.5		%

Future minimum lease payments under non-cancelable operating leases as of March 29, 2019 are as follows (in thousands):



Years ending December 31,
2019 (remaining nine months)	$	8,329
2020	8,494
2021	3,914
2022	2,487
2023	2,189
Thereafter	6,614
Total future minimum lease payments	$	32,027
Less: imputed interest	(5,044		)
Total	$	26,983

Future minimum lease payments under non-cancelable operating leases as of December 31, 2018, as disclosed in our 2018 Annual Report on Form 10-K filed with SEC, were as follows (in thousands):



Years ending December 31,
2019	$	13,515
2020	10,139
2021	4,088
2022	2,523
2023	2,220
Thereafter	6,694
Total future minimum lease payments	$	39,179