Leases

12 Months Ended

Mar. 27, 2021

The following table summarizes ROU assets and lease liabilities recorded on the Company's consolidated balance sheet:


	March 27, 2021		March 28, 2020		Location Recorded on Balance Sheet
	(millions)
Assets:
Operating leases	$	1,239.5	$	1,511.6	Operating lease right-of-use assets
Finance leases	331.6		166.4		Property and equipment, net
Total lease assets	$	1,571.1	$	1,678.0
Liabilities:
Operating leases:
Current portion	$	302.9	$	288.4	Current operating lease liabilities
Non-current portion	1,294.5		1,568.3		Long-term operating lease liabilities
Total operating lease liabilities	1,597.4		1,856.7
Finance leases:
Current portion	19.7		9.8		Accrued expenses and other current liabilities
Non-current portion	370.5		189.4		Other non-current liabilities
Total finance lease liabilities	390.2		199.2
Total lease liabilities	$	1,987.6	$	2,055.9

The following table summarizes the composition of total lease cost during Fiscal 2021 and Fiscal 2020:


	Fiscal Years Ended
	March 27, 2021		March 28, 2020		Location Recorded in Earnings
	(millions)
Operating lease cost	$	323.5	$	322.0	(a)
Finance lease costs:
Depreciation of leased assets	20.5		18.1		SG&A expenses
Accretion of lease liabilities	9.7		8.1		Interest expense
Variable lease cost	224.7		298.0		(b)
Short-term lease cost	4.9		5.5		SG&A expenses
Sublease income	(1.8)		(2.9)		Restructuring and other charges
Total lease cost	$	581.5	$	648.8

(a)During Fiscal 2021, $3.4 million was included within cost of goods sold, $307.0 million was included within SG&A expenses, and $13.1 million was included within restructuring and other charges. During Fiscal 2020, $4.4 million was included within cost of goods sold, $307.3 million was included within SG&A expenses, and $10.3 million was included within restructuring and other charges.

(b)During Fiscal 2021, $4.5 million was included within cost of goods sold and $220.2 million was included within SG&A expenses. During Fiscal 2020, $4.7 million was included within cost of goods sold, $290.3 million was included within SG&A expenses, and $3.0 million was included within restructuring and other charges.

During Fiscal 2019, in accordance with lease accounting guidance then in effect (prior to adoption of ASU 2016-02), the Company recognized rent expense of approximately $449.3 million, net of insignificant sublease income, related to its operating leases, which included contingent rental charges of approximately $192.0 million and does not include costs related to non-lease components.

The following table summarizes certain cash flow information related to the Company's leases:


	Fiscal Year Ended
	March 27, 2021		March 28, 2020
	(millions)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	360.6	$	383.9
Operating cash flows from finance leases	6.7		8.0
Financing cash flows from finance leases	13.9		13.6

See Note 21 for supplemental non-cash information related to ROU assets recorded in connection with the recognition of new lease liabilities.

The following table presents a maturity analysis summary of contractual cash payments for the Company's lease liabilities recorded on the consolidated balance sheet as of March 27, 2021:


	March 27, 2021
	Operating Leases		Finance Leases
	(millions)
Fiscal 2022	$	332.7	$	33.7
Fiscal 2023	303.5		35.2
Fiscal 2024	267.0		35.5
Fiscal 2025	212.2		35.9
Fiscal 2026	150.3		36.2
Fiscal 2027 and thereafter	458.4		312.7
Total lease payments	1,724.1		489.2
Less: interest	(126.7)		(99.0)
Total lease liabilities	$	1,597.4	$	390.2

Additionally, the Company has $107.4 million of future payment obligations relating to executed lease agreements for which the related lease terms had not yet commenced as of the end of Fiscal 2021, and, therefore, are not recorded on the consolidated balance sheet as of March 27, 2021.

The following table summarizes the weighted-average remaining lease terms and weighted-average discount rates related to the Company's operating and finance leases recorded on the consolidated balance sheet as of March 27, 2021:


	March 27, 2021				March 28, 2020
	Operating Leases		Finance Leases		Operating Leases		Finance Leases
Weighted-average remaining lease term (years)	6.9		14.2		7.6		12.7
Weighted-average discount rate	2.0	%	3.3	%	2.1	%	4.1	%

See Note 3 for discussion of the Company's accounting policies related to leases.