We are the lessee in contracts for our office space tenancies and leased vehicles. These arrangements account for the significant portion of our lease liabilities and right-of-use assets. We continually monitor our service arrangements to evaluate whether they meet the definition of a lease.

The base terms for our lease arrangements typically do not extend beyond 10 years. We commonly have renewal options in our leases, but most of these options do not create a significant economic incentive for us to extend the lease term. Therefore, payments during periods covered by these renewal options are typically not included in our lease liabilities and right-of-use assets. Specific to our vehicle leases, early termination options are common and economic penalties associated with early termination of these contracts are typically significant enough to make it reasonably certain that we will not exercise such options. Therefore, payments during periods covered by these early termination options in vehicle leases are typically included in our lease liabilities and right-of-use assets. As an accounting policy election, our short-term leases with an initial term of 12 months or less are not recognized as lease liabilities and right-of-use assets in the consolidated balance sheets. The rent expense associated with short term leases is recognized on a straight-line basis over the lease term.

Most of our office space leases include variable payments based on our share of actual common area maintenance and operating costs of the leased property. Many of our vehicle leases include variable payments based on actual service and fuel costs. For both office space and vehicle leases, we have elected the practical expedient to not separate lease components from non-lease components. Therefore, these costs are classified as variable lease payments.

Lease payments are typically discounted at our incremental borrowing rate because the interest rate implicit in the lease cannot be readily determined in the absence of key inputs which are typically not reported by our lessors. Because we do not generally borrow on a collateralized basis, judgement was used to estimate the secured borrowing rate associated with our leases based on relevant market data and our inputs applied to accepted valuation methodologies. The incremental borrowing rate calculated for each lease also reflects the lease term, currency, and geography specific to each lease.

Supplemental balance sheet information related to our leases is as follows (dollars in thousands):

Category	Classification	June 30, 2019
Assets
Operating lease assets	Operating lease assets	$	949,216
Financing lease assets	Other assets, net		68,193
Total leased assets		$	1,017,409

Liabilities
Current:
Operating	Operating lease liabilities	$	173,496
Financing	Other current liabilities		27,192
Non-current:
Operating	Non-current operating lease liabilities		996,228
Financing	Other liabilities		41,001
Total lease liabilities		$	1,237,917

Component	Classification	Three Months Ended June 30, 2019			Six Months Ended June 30, 2019
Operating lease cost	Operating, administrative and other	$	46,098		$	92,825
Finance lease cost:
Amortization of right-to-use assets	(1)		7,118			14,287
Interest on lease liabilities	Interest expense		243			448
Variable lease cost	(2)		16,106			33,053
Sublease income	Revenue		(1,033	)		(1,274	)
Total lease cost		$	68,532		$	139,339

Weighted average remaining lease term and discount rate for our operating leases are as follows:

		June 30, 2019
Weighted-average remaining lease term:
Operating leases		9 years
Finance leases		3 years
Weighted-average discount rate:
Operating leases		3.4%
Finance leases		2.2%

Maturities of lease liabilities by fiscal year as of June 30, 2019 are as follows (dollars in thousands):

	Operating Leases		Financing Leases
2019	$	85,879	$	14,546
2020		188,651		24,902
2021		183,905		17,185
2022		159,028		9,750
2023		141,397		3,750
Thereafter		604,770		674
Total remaining lease payments at June 30, 2019	$	1,363,630	$	70,807
Less: Interest		193,906		2,614
Present value of lease liabilities at June 30, 2019	$	1,169,724	$	68,193

As previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2018 and under the previous lease accounting standard, the following is a schedule by year of future minimum lease payments for noncancelable operating leases as of December 31, 2018 (dollars in thousands):

2019	$	238,954
2020		219,351
2021		202,205
2022		172,267
2023		145,705
Thereafter		510,741
Total minimum payment required	$	1,489,223

Supplemental cash flow information and non-cash activity related to our operating leases are as follows (dollars in thousands):

	Six Months Ended June 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	78,630
Operating cash flows from financing leases		621
Financing cash flows from financing leases		14,902
Right-of-use assets obtained in exchange for new operating lease liabilities		75,116
Right-of-use assets obtained in exchange for new financing lease liabilities		18,607
Other non-cash increases in operating lease right-of-use assets (1)		25,598
Other non-cash decreases in finance lease right-of-use assets (1)		(226	)