XML 62 R37.htm IDEA: XBRL DOCUMENT v3.23.3
Leases (Tables)
 12 Months Ended
Sep. 29, 2023
Leases [Abstract]  
Assets and Liabilities Lessee
The following table summarizes the location of the operating and finance leases in the Company’s Consolidated Balance Sheets (in thousands), as well as the weighted average remaining lease term and weighted average discount rate:
LeasesBalance Sheet LocationSeptember 29, 2023September 30, 2022
Assets:
Operating(1)(2)
Operating Lease Right-of-use Assets$630,158 $592,145 
FinanceProperty and Equipment, net152,551 137,550 
Total lease assets$782,709 $729,695 
Liabilities:
Current
OperatingCurrent operating lease liabilities$71,206 $68,858 
FinanceCurrent maturities of long-term borrowings31,412 27,430 
Noncurrent
OperatingNoncurrent Operating Lease Liabilities291,955 305,623 
FinanceLong-term borrowings133,398 119,943 
Total lease liabilities$527,971 $521,854 
Weighted average remaining lease term (in years)
Operating leases7.17.7
Finance leases7.47.7
Weighted average discount rate
Operating leases4.3 %3.7 %
Finance leases4.4 %4.0 %
(1)
Includes $320.1 million and $260.2 million of long-term prepaid rent as of September 29, 2023 and September 30, 2022, respectively.
(2)During fiscal 2023, the Company recorded impairment charges to its Operating Lease Right-of-use Assets (see Note 1).
Lease, Cost
The following table summarizes the location of lease related costs on the Consolidated Statements of Income (Loss) (in thousands):
Fiscal Year Ended
Lease CostIncome Statement LocationSeptember 29, 2023September 30, 2022October 1, 2021
Operating lease cost(1):
Fixed lease costsCost of services provided (exclusive of depreciation and amortization)$133,510 $122,607 $116,934 
Variable lease costs(2)
Cost of services provided (exclusive of depreciation and amortization)932,225 774,437 344,130 
Short-term lease costsCost of services provided (exclusive of depreciation and amortization)87,962 71,726 48,288 
Finance lease cost(3):
Amortization of right-of-use-assetsDepreciation and amortization34,745 32,702 31,243 
Interest on lease liabilitiesInterest and Other Financing Costs, net5,666 4,499 4,794 
Net lease cost$1,194,108 $1,005,971 $545,389 
(1)
Excludes sublease income, which is immaterial.
(2)
Includes $903.4 million, $745.6 million and $325.3 million of costs related to leases associated with revenue contracts with customers for fiscal 2023, 2022 and 2021, respectively. These costs represent the rent the Company pays its clients to operate at their locations, typically based on a percentage of sales. Variable lease costs during fiscal 2021 was impacted by COVID-19.
(3)
Excludes variable lease costs, which are immaterial.
Lease, Supplemental Cash Flow Information
Supplemental cash flow information related to leases for the periods reported is as follows (in thousands):
Fiscal Year Ended
September 29, 2023September 30, 2022October 1, 2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases(1)
$194,663 $135,936 $189,061 
Operating cash flows from finance leases5,666 4,499 4,794 
Financing cash flows from finance leases31,808 31,289 32,496 
Lease assets obtained in exchange for lease obligations:
Operating leases$64,857 $82,635 $61,345 
Finance leases47,488 35,839 36,046 
(1)
For fiscal 2023, excludes cash paid for variable and short-term lease costs of $919.0 million and $88.0 million, respectively, that are not included within the measurement of lease liabilities. For fiscal 2022, excludes cash paid for variable and short-term lease costs of $734.2 million and $71.7 million, respectively, that are not included within the measurement of lease liabilities. For fiscal 2021, excludes cash paid for variable and short-term lease costs of $304.5 million and $48.3 million, respectively, that are not included within the measurement of lease liabilities.
Finance Lease, Liability, Maturity
Future minimum lease payments under non-cancelable leases as of September 29, 2023 are as follows (in thousands):
Operating leasesFinance leasesTotal
2024$85,073 $37,366 $122,439 
202571,165 33,906 105,071 
202658,165 29,310 87,475 
202745,612 24,039 69,651 
202837,319 19,300 56,619 
Thereafter125,028 49,400 174,428 
Total future minimum lease payments$422,362 $193,321 $615,683 
Less: Interest(59,201)(28,511)(87,712)
Present value of lease liabilities$363,161 $164,810 $527,971 
Lessee, Operating Lease, Liability, Maturity
Future minimum lease payments under non-cancelable leases as of September 29, 2023 are as follows (in thousands):
Operating leasesFinance leasesTotal
2024$85,073 $37,366 $122,439 
202571,165 33,906 105,071 
202658,165 29,310 87,475 
202745,612 24,039 69,651 
202837,319 19,300 56,619 
Thereafter125,028 49,400 174,428 
Total future minimum lease payments$422,362 $193,321 $615,683 
Less: Interest(59,201)(28,511)(87,712)
Present value of lease liabilities$363,161 $164,810 $527,971