XML 38 R23.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Leasing | 12 Months Ended
--- | ---
Dec. 31, 2023
Leases [Abstract] |
Lessee, Operating Leases and Finance Leases | 14. LEASING When an agreement grants us the right to substantially all of the economic benefits associated with an identified asset, and we are able to direct the use of that asset throughout the term of the agreement, we have a lease. We lease certain facilities, manufacturing machinery and equipment under finance leases, and we also lease certain commercial office and production facilities, manufacturing machinery and equipment, vehicles and other assets under operating leases. Some of our leases include options to extend or terminate the leases and these options have been included in the relevant lease term to the extent that they are reasonably certain to be exercised. The lease consideration for some of our facilities and machinery and equipment is variable, as it is based on various indices or usage of the underlying assets, respectively. Variable lease payments based on indices have been included in the related right-of-use assets and lease liabilities on our Consolidated Balance Sheets, while variable lease payments based on usage of the underlying asset have been excluded as they do not represent present rights or obligations. Lease cost consists of the following:
|  | Twelve Months Ended |  |  |  |
|  | December 31, |  |  |  |
|  | 2023 |  | 2022 |  | 2021 |  |  |  |
|  | (in millions) |  |  |  |
Finance lease cost |  |  |  |  |  |  |  |  |  |
Amortization of right-of-use assets |  | $ | 12.3 |  |  | $ | 9.9 |  |  | $ | 4.2 |  |  |  |  |
Interest on lease liabilities |  | 5.1 |  |  | 4.7 |  |  | 2.0 |  |  |  |  |
Total finance lease cost |  | 17.4 |  |  | 14.6 |  |  | 6.2 |  |  |  |  |
Operating lease cost |  | 30.9 |  |  | 32.6 |  |  | 33.3 |  |  |  |  |
Short-term lease cost |  | 2.1 |  |  | 1.4 |  |  | 1.6 |  |  |  |  |
Variable lease cost |  | 5.8 |  |  | 5.6 |  |  | 3.2 |  |  |  |  |
Total lease cost |  | $ | 56.2 |  |  | $ | 54.2 |  |  | $ | 44.3 |  |  |  |  |
For the year ended December 31, 2023, $33.4 million and $5.4 million were recorded to Cost of goods sold (COGS) and Selling, general and administrative expenses (SG&A), respectively, related to our operating leases, on our Consolidated Statements of Operations, as compared to $31.8 million and $7.8 million, respectively, for the year ended December 31, 2022 and $29.1 million and $9.0 million, respectively, for the year ended December 31, 2021. The following table summarizes additional information related to our lease agreements.
|  | Twelve Months Ended |  |
|  | December 31, |  |
|  | 2023 |  | 2022 |  | 2021 |  |  |  |
|  | (in millions, except lease term and rate) |  |  |  |
Cash paid for amounts included in measurement of lease liabilities |  |  |  |  |  |  |  |  |  |
Operating cash flows from finance leases |  | $ | 5.1 |  | $ | 4.7 |  | $ | 2.0 |  |  |  |
Operating cash flows from operating leases |  | 36.1 |  | 37.6 |  | 35.9 |  |  |  |
Financing cash flows from finance leases |  | 13.7 |  | 11.2 |  | 5.0 |  |  |  |
Weighted-average remaining lease term - finance leases |  | 12.7 years |  | 13.1 years |  | 16.4 years |  |  |  |
Weighted-average remaining lease term - operating leases |  | 7.9 years |  | 8.4 years |  | 8.6 years |  |  |  |
Weighted-average discount rate - finance leases |  | 5.0 | % |  | 4.9 | % |  | 4.8 | % |  |  |  |
Weighted-average discount rate - operating leases |  | 6.4 | % |  | 5.4 | % |  | 5.2 | % |  |  |  |
As the rate implicit in the lease is typically unknown, the discount rate used to determine the lease liability for the majority of our leases is the collateralized incremental borrowing rate in the applicable geographic area for a similar term and amount as the lease agreement. Future undiscounted minimum payments under non-cancelable leases are as follows:
|  | Finance Leases |  | Operating Leases
|  | (in millions)
2024 |  | $ | 15.8 |  |  | $ | 28.7 |
2025 |  | 12.9 |  |  | 24.1 |
2026 |  | 11.5 |  |  | 17.7 |
2027 |  | 9.6 |  |  | 13.6 |
2028 |  | 8.3 |  |  | 10.6 |
Thereafter |  | 73.2 |  |  | 54.4 |
Total future undiscounted minimum lease payments |  | 131.3 |  |  | 149.1 |
Less: Impact of discounting |  | (32.8) |  |  | (31.7) |
Total |  | $ | 98.5 |  |  | $ | 117.4 |
The right-of-use assets and lease liabilities recorded on our Consolidated Balance Sheets are as follows:
| December 31, 2023 |  | December 31, 2022
| Finance Leases |  | Operating Leases |  | Finance Leases |  | Operating Leases
| (in millions) |  | (in millions)
Property, plant and equipment, net | $ | 102.4 |  |  | $ | — |  |  | $ | 106.2 |  |  | $ | — |
Operating lease right-of-use assets | — |  |  | 115.6 |  |  | — |  |  | 107.2 |
Total | $ | 102.4 |  |  | $ | 115.6 |  |  | $ | 106.2 |  |  | $ | 107.2 |
Current portion of operating lease liabilities | $ | — |  |  | $ | 21.9 |  |  | $ | — |  |  | $ | 21.1 |
Accrued expenses and other | 11.2 |  |  | — |  |  | 13.0 |  |  | — |
Long-term portion of operating lease liabilities | — |  |  | 95.5 |  |  | — |  |  | 87.2 |
Postretirement benefits and other long-term liabilities | 87.3 |  |  | — |  |  | 92.4 |  |  | — |
Total | $ | 98.5 |  |  | $ | 117.4 |  |  | $ | 105.4 |  |  | $ | 108.3 |
Leases Not Yet Commenced As of December 31, 2023, we have not entered into any additional leases that have not yet commenced that we consider material.

X
- Definition Lessee, Operating Leases and Finance Leases + References No definition available. + Details
Name: | axl_LesseeOperatingLeasesAndFinanceLeasesTextBlock
Namespace Prefix: | axl_
Data Type: | dtr-types1:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration