XML 32 R18.htm IDEA: XBRL DOCUMENT v3.20.2
Leases
 9 Months Ended
Sep. 30, 2020
Leases [Abstract]  
Leases Leases
We have operating leases for our corporate and division offices, production facilities, model homes, and certain office and production equipment. Additionally, we have entered into finance leases for one of our production facilities and certain plant equipment, which are recorded in homebuilding "Property, plant and equipment, net" and "Accrued expenses and other liabilities" on the accompanying condensed consolidated balance sheets. Our leases have remaining lease terms of up to 19.9 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the lease.
We recognize operating lease expense on a straight-line basis over the lease term. We have elected to use the portfolio approach for certain equipment leases which have similar lease terms and payment schedules. Additionally, for certain equipment we account for the lease and non-lease components as a single lease component. Our sublease income is de minimis.
We have certain leases, primarily the leases of model homes, which have initial lease terms of twelve months or less ("Short-term leases"). We elected to exclude these leases from the recognition requirements under Topic 842, and these leases have not been included in our recognized ROU assets and lease liabilities.
The components of lease expense were as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Lease expense
Operating lease expense$7,689 $8,829 $23,542 $24,776 
Finance lease expense:
Amortization of ROU assets327 125 874 146 
Interest on lease liabilities70 25 170 30 
Short-term lease expense5,625 5,530 18,236 16,775 
Total lease expense$13,711 $14,509 $42,822 $41,727 
Other information related to leases was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Supplemental cash flows information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$7,339 $5,757 $20,733 $19,515 
Operating cash flows from finance leases70 46 170 30 
Financing cash flows from finance leases253 190 665 116 
ROU assets obtained in exchange for lease obligations:
Operating leases$1,806 $5,532 $7,491 $11,546 
Finance leases$9,056 $1,065 $9,496 $6,369 
September 30, 2020December 31, 2019
Weighted-average remaining lease term (in years):
Operating leases4.85.1
Finance leases12.96.7
Weighted-average discount rate:
Operating leases3.4 %3.6 %
Finance leases2.8 %2.8 %
Leases Leases
We have operating leases for our corporate and division offices, production facilities, model homes, and certain office and production equipment. Additionally, we have entered into finance leases for one of our production facilities and certain plant equipment, which are recorded in homebuilding "Property, plant and equipment, net" and "Accrued expenses and other liabilities" on the accompanying condensed consolidated balance sheets. Our leases have remaining lease terms of up to 19.9 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the lease.
We recognize operating lease expense on a straight-line basis over the lease term. We have elected to use the portfolio approach for certain equipment leases which have similar lease terms and payment schedules. Additionally, for certain equipment we account for the lease and non-lease components as a single lease component. Our sublease income is de minimis.
We have certain leases, primarily the leases of model homes, which have initial lease terms of twelve months or less ("Short-term leases"). We elected to exclude these leases from the recognition requirements under Topic 842, and these leases have not been included in our recognized ROU assets and lease liabilities.
The components of lease expense were as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Lease expense
Operating lease expense$7,689 $8,829 $23,542 $24,776 
Finance lease expense:
Amortization of ROU assets327 125 874 146 
Interest on lease liabilities70 25 170 30 
Short-term lease expense5,625 5,530 18,236 16,775 
Total lease expense$13,711 $14,509 $42,822 $41,727 
Other information related to leases was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Supplemental cash flows information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$7,339 $5,757 $20,733 $19,515 
Operating cash flows from finance leases70 46 170 30 
Financing cash flows from finance leases253 190 665 116 
ROU assets obtained in exchange for lease obligations:
Operating leases$1,806 $5,532 $7,491 $11,546 
Finance leases$9,056 $1,065 $9,496 $6,369 
September 30, 2020December 31, 2019
Weighted-average remaining lease term (in years):
Operating leases4.85.1
Finance leases12.96.7
Weighted-average discount rate:
Operating leases3.4 %3.6 %
Finance leases2.8 %2.8 %