LEASES (Tables)
|
12 Months Ended |
Dec. 31, 2023 |
|---|
| LEASES |
|
| Components of Lease Expense |
|
|
|
|
|
|
|
|
|
(In thousands) |
|
|
|
Year Ended |
|
|
Classification within |
|
December 31, |
Lease Costs |
|
Statement of Operations |
|
2023 |
|
2022 |
Operating leases: |
|
|
|
|
|
|
|
|
Fixed/base rent |
|
Selling, General and Administrative Expenses |
|
$ |
7,933 |
|
$ |
4,833 |
Short-term payments |
|
Selling, General and Administrative Expenses |
|
|
22 |
|
|
136 |
Variable payments |
|
Selling, General and Administrative Expenses |
|
|
1,213 |
|
|
1,366 |
Finance leases: |
|
|
|
|
|
|
|
|
Amortization of leased assets |
|
Depreciation and Amortization |
|
|
1,496 |
|
|
266 |
Interest on lease liabilities |
|
Interest Expense, Net |
|
|
371 |
|
|
138 |
Total lease costs |
|
|
|
$ |
11,035 |
|
$ |
6,739 |
|
| Balance Sheet Information For Leases |
|
|
|
|
|
|
|
|
|
(In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
December 31, |
Leases |
|
Balance Sheet Classification |
|
2023 |
|
2022 |
Assets |
|
|
|
|
|
|
|
|
Operating lease assets |
|
Operating Lease Right-of-Use Assets, Net(1) |
|
$ |
44,704 |
|
$ |
15,771 |
Finance lease assets |
|
Property and Equipment, Net(2) |
|
|
4,409 |
|
|
4,566 |
Finance lease assets |
|
Finance Lease Right-of-Use Assets, Net(3) |
|
|
2,318 |
|
|
3,808 |
Total lease assets |
|
|
|
$ |
51,431 |
|
$ |
24,145 |
|
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
|
|
Current |
|
|
|
|
|
|
|
|
Operating |
|
Current Portion of Operating Lease Obligations(1) |
|
$ |
4,784 |
|
$ |
2,485 |
Finance |
|
Current Portion of Finance Lease Obligations |
|
|
1,694 |
|
|
1,581 |
Noncurrent |
|
|
|
|
|
|
|
|
Operating |
|
Operating Lease Obligations, Net of Current Portion(1) |
|
|
40,248 |
|
|
13,418 |
Finance |
|
Finance Lease Obligations, Net of Current Portion |
|
|
2,705 |
|
|
4,727 |
Total lease liabilities |
|
|
|
$ |
49,431 |
|
$ |
22,211 |
__________
| (1) |
The increases in operating lease assets and operating lease obligations are primarily due to the land lease for a portion of the American Place site. |
| (2) |
Finance lease assets are recorded net of accumulated depreciation of $2.7 million (after the effects of $0.6 million in disposals) and $3.2 million as of December 31, 2023 and 2022, respectively.
|
| (3) |
These finance lease assets are recorded separately from Property and Equipment due to meeting qualifying classification criteria under ASC 842, but ownership of such assets is not expected to transfer to the Company upon term expiration. Additionally, amortization of these assets are expensed over the duration of the lease term or the assets’ estimated useful lives, whichever is earlier. |
|
| Operating Lease, Liability, Maturity |
|
|
|
|
|
|
|
(In thousands) |
|
|
|
|
|
|
|
|
Operating |
|
Finance |
Years Ending December 31, |
|
Leases |
|
Leases |
2024 |
|
$ |
7,735 |
|
$ |
1,957 |
2025 |
|
|
5,722 |
|
|
1,721 |
2026 |
|
|
4,864 |
|
|
652 |
2027 |
|
|
4,515 |
|
|
489 |
2028 |
|
|
4,515 |
|
|
— |
Thereafter |
|
|
312,066 |
|
|
— |
Total future minimum lease payments |
|
|
339,417 |
|
|
4,819 |
Less: Amount representing interest |
|
|
(294,385) |
|
|
(420) |
Present value of lease liabilities |
|
|
45,032 |
|
|
4,399 |
Less: Current lease obligations |
|
|
(4,784) |
|
|
(1,694) |
Long-term lease obligations |
|
$ |
40,248 |
|
$ |
2,705 |
|
| Finance Lease, Liability, Maturity |
Maturities of lease liabilities are summarized as follows:
|
|
|
|
|
|
|
(In thousands) |
|
|
|
|
|
|
|
|
Operating |
|
Finance |
Years Ending December 31, |
|
Leases |
|
Leases |
2024 |
|
$ |
7,735 |
|
$ |
1,957 |
2025 |
|
|
5,722 |
|
|
1,721 |
2026 |
|
|
4,864 |
|
|
652 |
2027 |
|
|
4,515 |
|
|
489 |
2028 |
|
|
4,515 |
|
|
— |
Thereafter |
|
|
312,066 |
|
|
— |
Total future minimum lease payments |
|
|
339,417 |
|
|
4,819 |
Less: Amount representing interest |
|
|
(294,385) |
|
|
(420) |
Present value of lease liabilities |
|
|
45,032 |
|
|
4,399 |
Less: Current lease obligations |
|
|
(4,784) |
|
|
(1,694) |
Long-term lease obligations |
|
$ |
40,248 |
|
$ |
2,705 |
|
| Other Information Related To Lease Term And Discount Rate |
Other information related to lease term and discount rate is as follows:
|
|
|
|
|
|
|
|
|
December 31, |
Lease Term and Discount Rate |
|
2023 |
|
2022 |
Weighted-average remaining lease term |
|
|
|
|
|
|
Operating leases |
|
67.9 |
years |
|
23.2 |
years |
Finance leases |
|
2.8 |
years |
|
3.7 |
years |
Weighted-average discount rate |
|
|
|
|
|
|
Operating leases |
|
10.91 |
% |
|
9.73 |
% |
Finance leases |
|
7.46 |
% |
|
7.08 |
% |
|
| Supplemental Cash Flow Information Related To Leases |
|
|
|
|
|
|
|
(In thousands) |
|
Year Ended |
|
|
December 31, |
Cash paid for amounts included in the measurement of lease liabilities: |
|
2023 |
|
2022 |
Operating cash flows for operating leases |
|
$ |
7,737 |
|
$ |
4,944 |
Operating cash flows for finance leases |
|
$ |
371 |
|
$ |
138 |
Financing cash flows for finance leases |
|
$ |
1,477 |
|
$ |
514 |
|