Leases

12 Months Ended

Dec. 31, 2022

5.Leases

The Company has operating and finance leases for corporate and project office spaces, vehicles, heavy machinery and office equipment. Our leases have remaining lease terms of one year to seven years, some of which may include options to extend the leases for up to five years, and some of which may include options to terminate the leases after the third year.

The components of lease costs for the years ended December 31, 2022 and December 31, 2021 are as follows (in thousands):

	2022			2021
Operating lease cost	$	67,033		$	61,800
Short-term lease cost		14,008			11,261
Amortization of right-of-use assets		2,322			2,128
Interest on lease liabilities		98			106
Sublease income		(5,045	)		(3,049	)
Total lease cost	$	78,416		$	72,246

Supplemental cash flow information related to leases for the years ended December 31, 2022 and December 31, 2021 is as follows (in thousands):

	2022		2021
Operating cash flows for operating leases	$	73,169	$	68,563
Operating cash flows for financing activities		98		107
Financing cash flows for finance leases		2,175		2,082
Right-of-use assets obtained in exchange for new operating lease liabilities		26,607		18,931
Right-of-use assets obtained in exchange for new finance lease liabilities	$	1,813	$	2,003

Supplemental balance sheet and other information related to leases as of December 31, 2022 and December 31, 2021 is as follows (in thousands):

	2022			2021
Operating Leases:
Right-of-use assets	$	155,090		$	182,672
Lease liabilities:
Current	$	59,144		$	55,902
Long-term		111,417			148,893
Total operating lease liabilities	$	170,561		$	204,795
Finance Leases:
Other noncurrent assets	$	3,965		$	4,389
Accrued expenses and other current liabilities	$	1,746		$	1,822
Other long-term liabilities	$	2,246		$	2,422

Weighted Average Remaining Lease Term:
Operating leases	3.6 Year			4.3 years
Finance leases	2.6 Years			2.9 years
Weighted Average Discount Rate:
Operating leases		3.4	%		3.5	%
Finance leases		2.8	%		2.1	%

As of December 31, 2022, the Company has no additional operating leases that have not yet commenced.

A maturity analysis of the future undiscounted cash flows associated with the Company’s operating and finance lease liabilities as of December 31, 2022 is as follows (in thousands):

	Operating Leases			Finance Leases
2023	$	64,271		$	1,884
2024		45,312			1,333
2025		34,232			859
2026		19,967			213
2027		8,386			-
Thereafter		9,410			-
Total lease payments		181,578			4,289
Less: imputed interest		(11,017	)		(297	)
Total present value of lease liabilities	$	170,561		$	3,992

Rental expense for the years ended December 31, 2022, December 31, 2021 and December 31, 2020 was $81.0 million, $73.1 million and $ 81.8 million, respectively, and is recorded in “Selling, general and administrative expenses” in the consolidated statements of income.