v3.20.4
Leases
 12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Leases
NOTE 8. LEASES

We have operating and finance leases for certain facilities and equipment used in our operations. Our leases generally have remaining lease terms of up to 15 years. Some of our real estate operating leases contain renewal options that may be exercised, and some of our leases include options to terminate the leases within one year.

We have recognized a right-of-use asset for both operating and finance leases, and a corresponding lease liability that represents the present value of our obligation to make payments over the lease term. The present value of the lease payments is calculated using the incremental borrowing rate for operating and finance leases, which was determined using a portfolio approach based on the rate of interest that we would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use the unsecured borrowing rate and risk-adjust that rate to approximate a collateralized rate in the currency of the lease, which will be updated on a quarterly basis for measurement of new lease liabilities.

The components of lease expense were as follows:
20202019
Operating lease cost$5,896 $5,684 
Finance lease cost:
Amortization of right-of-use assets$287 $271 
Interest on lease obligation156 169 
Total finance lease cost$443 $440 

The following table provides supplemental cash flows information related to leases:
20202019
Cash Flows from Operating Activities
Cash paid for amounts included in lease obligations:
Operating cash flows from operating leases$4,852 $4,583 
Supplemental Lease Cash Flow Disclosures
Operating lease right-of-use assets obtained in exchange for new operating lease obligations$5,270 $7,818 
The following tables set forth supplemental balance sheet information related to leases at December 31:
20202019
Operating Leases
Operating lease right-of-use assets$24,714$24,039
Accounts payable and accrued liabilities$3,5373,451
Operating lease obligation22,20221,804
Total operating lease obligation$25,739$25,255
Finance Leases
Property, plant and equipment, at cost$3,586$3,534
Accumulated depreciation and amortization(1,361)(1,296)
Property, plant and equipment, net$2,225$2,238
Current portion of long-term debt$189$162
Long-term debt1,8471,872
Total finance lease obligation$2,036$2,034
20202019
Weighted-Average Remaining Lease Term (years)
Operating leases8.58.4
Finance leases9.910.3
Weighted-Average Discount Rate
Operating leases4.1 %4.2  %
Finance leases8.1 %8.4  %

The following table provides the expected future minimum maturities of lease obligations:
Operating LeasesFinance
Leases
2021$4,808 $350 
20224,527 333 
20234,094 300 
20243,560 276 
20252,904 272 
Thereafter11,230 1,609 
Total lease payments31,123 3,140 
Less: imputed interest(5,384)(1,104)
Total$25,739 $2,036 
Leases
NOTE 8. LEASES

We have operating and finance leases for certain facilities and equipment used in our operations. Our leases generally have remaining lease terms of up to 15 years. Some of our real estate operating leases contain renewal options that may be exercised, and some of our leases include options to terminate the leases within one year.

We have recognized a right-of-use asset for both operating and finance leases, and a corresponding lease liability that represents the present value of our obligation to make payments over the lease term. The present value of the lease payments is calculated using the incremental borrowing rate for operating and finance leases, which was determined using a portfolio approach based on the rate of interest that we would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use the unsecured borrowing rate and risk-adjust that rate to approximate a collateralized rate in the currency of the lease, which will be updated on a quarterly basis for measurement of new lease liabilities.

The components of lease expense were as follows:
20202019
Operating lease cost$5,896 $5,684 
Finance lease cost:
Amortization of right-of-use assets$287 $271 
Interest on lease obligation156 169 
Total finance lease cost$443 $440 

The following table provides supplemental cash flows information related to leases:
20202019
Cash Flows from Operating Activities
Cash paid for amounts included in lease obligations:
Operating cash flows from operating leases$4,852 $4,583 
Supplemental Lease Cash Flow Disclosures
Operating lease right-of-use assets obtained in exchange for new operating lease obligations$5,270 $7,818 
The following tables set forth supplemental balance sheet information related to leases at December 31:
20202019
Operating Leases
Operating lease right-of-use assets$24,714$24,039
Accounts payable and accrued liabilities$3,5373,451
Operating lease obligation22,20221,804
Total operating lease obligation$25,739$25,255
Finance Leases
Property, plant and equipment, at cost$3,586$3,534
Accumulated depreciation and amortization(1,361)(1,296)
Property, plant and equipment, net$2,225$2,238
Current portion of long-term debt$189$162
Long-term debt1,8471,872
Total finance lease obligation$2,036$2,034
20202019
Weighted-Average Remaining Lease Term (years)
Operating leases8.58.4
Finance leases9.910.3
Weighted-Average Discount Rate
Operating leases4.1 %4.2  %
Finance leases8.1 %8.4  %

The following table provides the expected future minimum maturities of lease obligations:
Operating LeasesFinance
Leases
2021$4,808 $350 
20224,527 333 
20234,094 300 
20243,560 276 
20252,904 272 
Thereafter11,230 1,609 
Total lease payments31,123 3,140 
Less: imputed interest(5,384)(1,104)
Total$25,739 $2,036