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LEASES | 6 Months Ended
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Jun. 30, 2022
LEASES |
LEASES | NOTE 7.LEASES The Company leases certain buildings, vehicles, and equipment. The Company elected the practical expedient approach permitted under Accounting Standards Codification Topic 842 “Leases”, not to include short-term leases with a duration of 12 months or less on the balance sheet. As of June 30, 2022, and December 31, 2021, all leases were classified as operating leases. Building leases generally carry terms of 5 to 15 years with annual rent escalations at fixed amounts per the lease. Vehicle leases generally carry a fixed term of one year with renewal options to extend the lease on a monthly basis resulting in lease terms up to 7 years depending on the class of vehicle. The exercise of renewal options is at the Company’s sole discretion. It is reasonably certain that the Company will exercise the renewal options on its vehicle leases. The measurement of right-of-use assets and liabilities for vehicle leases includes the fixed payments associated with such renewal periods. We separate lease and non-lease components of contracts. Our lease agreements do not contain any material variable payments, residual value guarantees, early termination penalties or restrictive covenants. During the six months ended June 30, 2021, the Company completed multiple sale-leaseback transactions where it sold 16 of its properties related to the Clark Pest Control acquisition for gross proceeds of $67.0 million and a pre-tax gain of $31.5 million, which is included as Other income, net on the income statement. These leases are classified as operating leases with terms of 7 to 15 years. The Company uses the rate implicit in the lease when available; however, most of our leases do not provide a readily determinable implicit rate. Accordingly, we estimate our incremental borrowing rate based on information available at lease commencement. ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | Three Months Ended June 30, | ​ | Six Months Ended June 30, | ​
(in thousands, except Other Information) | ​ | ​ | ​ | ​ | ​ | ​ | ​
Lease Classification |  | Financial Statement Classification |  | 2022 |  | 2021 |  | 2022 |  | 2021 | ​
Short-term lease cost |  | Cost of services provided, Sales, general, and administrative expenses | ​ | $ | 36 | ​ | $ | 60 | ​ | $ | 62 | ​ | $ | 125 | ​
Operating lease cost |  | Cost of services provided, Sales, general, and administrative expenses | ​ |  | 23,615 | ​ |  | 22,634 | ​ |  | 47,638 | ​ |  | 46,025 | ​
Total lease expense | ​ | ​ | ​ | $ | 23,651 | ​ | $ | 22,694 | ​ | $ | 47,700 | ​ | $ | 46,150 | ​
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Other Information: |  |  | ​ |  |  | ​ |  |  | ​ |  |  | ​ |  |  | ​
Weighted-average remaining lease term - operating leases | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ |  | 5.4 years | ​ |  | 5.6 years | ​
Weighted-average discount rate - operating leases | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ |  | 3.34 | % |  | 3.75 | %
Cash paid for amounts included in the measurement of lease liabilities: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Operating cash flows for operating leases | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | $ | 47,099 | ​ | $ | 45,498 | ​
​ Lease Commitments Future minimum lease payments, including assumed exercise of renewal options as of June 30, 2022 were as follows: ​
​ | ​ | ​ | ​
​ |  | Operating
(in thousands) | ​ | ​
2022 (excluding the six months ended June 30, 2022) | ​ | $ | 44,553
2023 | ​ | ​ | 75,775
2024 |  | ​ | 52,084
2025 |  | ​ | 34,191
2026 |  | ​ | 20,004
2027 |  | ​ | 13,034
Thereafter |  | ​ | 45,755
Total Future Minimum Lease Payments |  | ​ | 285,396
Less: Amount representing interest |  | ​ | 29,508
Total future minimum lease payments, net of interest | ​ | $ | 255,888
​ Future commitments presented in the table above include lease payments in renewal periods for which it is reasonably certain that the Company will exercise the renewal option. Total future minimum lease payments for operating leases, including the amount representing interest, are comprised of $161.8 million for building leases and $123.6 million for vehicle leases. As of June 30, 2022, the Company had additional future obligations of $16.0 million for leases that had not yet commenced.

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- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
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