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LEASES
 6 Months Ended
Jun. 26, 2021
Leases [Abstract]  
LEASES LEASES
Operating and Finance Leases
Right-of-use lease assets and lease liabilities are reported in the Company’s unaudited condensed consolidated balance sheets as follows:
June 26, 2021December 26, 2020
(in thousands)
Operating leases
Operating lease right-of-use assets, net$276,820 $178,220 
Other current liabilities$31,741 $24,674 
Operating lease right-of-use liabilities239,484 155,595 
Total operating lease liabilities$271,225 $180,269 
Finance leases
Property, plant and equipment, net$31,684 $31,614 
Current portion of long-term debt and finance leases$2,913 $3,018 
Long-term debt, net and finance leases26,240 26,029 
Total finance lease liabilities$29,153 $29,047 
The components of operating and finance lease costs were as follows:
Three Months EndedSix Months Ended
June 26, 2021June 27, 2020June 26, 2021June 27, 2020
(in thousands)
Operating lease costs$11,025 $7,893 $20,376 $15,971 
Finance lease costs:
Amortization of right-of-use assets840 937 1,688 1,888 
Interest on lease liabilities327 323 655 663 
Short-term lease costs1,332 525 2,282 1,114 
Variable lease costs751 1,067 1,635 2,112 
Sublease income(580)(190)(954)(776)
Total lease costs$13,695 $10,555 $25,682 $20,972 
Other information related to leases was as follows:
Supplemental cash flow information
Six Months Ended
June 26, 2021June 27, 2020
(in thousands)
Cash flows included in the measurement of lease liabilities:
Operating cash flows from operating leases$18,578 $14,149 
Operating cash flows from finance leases656 663 
Finance cash flows from finance leases1,705 2,467 
Non-cash leases activity:
Right-of-use lease assets obtained in exchange for new operating lease liabilities$107,306 $46,493 
Right-of-use lease assets obtained in exchange for new finance lease liabilities842 735 
Lease term and discount rate
As ofAs of
June 26, 2021June 27, 2020
Weighted-average remaining lease term (in years)
Operating lease9.48.4
Finance lease12.112.6
Weighted-average discount rate
Operating lease3.7 %4.2 %
Finance lease4.4 %4.5 %
At the lease commencement date, the discount rate implicit in the lease is used to discount the lease liability if readily determinable. If not readily determinable or leases do not contain an implicit rate, the Company’s incremental borrowing rate is used as the discount rate, which is based on the information available at the lease commencement date and represents a rate that would be incurred to borrow, on a collateralized basis, over a similar term, an amount equal to the lease payments in a similar economic environment.
As of June 26, 2021, maturities of operating and finance lease liabilities for each of the following five years and a total thereafter were as follows:
Operating LeasesFinance Leases
(in thousands)
2021 (excluding the six months ended June 26, 2021)$20,787 $2,131 
202239,976 3,912 
202336,660 3,526 
202435,208 3,294 
202533,112 3,012 
Thereafter159,581 22,219 
Total minimum future lease payments325,324 38,094 
Less: Imputed interest54,099 8,941 
Total lease liabilities$271,225 $29,153 
Total minimum future lease payments (predominantly operating leases) of approximately $120 million for leases that have not commenced as of June 26, 2021, as the Company does not yet control the underlying assets, are not included in the unaudited condensed consolidated financial statements. These leases are expected to commence between fiscal years 2021 and 2024 with lease terms of approximately 8 to 15 years.
LEASES LEASES
Operating and Finance Leases
Right-of-use lease assets and lease liabilities are reported in the Company’s unaudited condensed consolidated balance sheets as follows:
June 26, 2021December 26, 2020
(in thousands)
Operating leases
Operating lease right-of-use assets, net$276,820 $178,220 
Other current liabilities$31,741 $24,674 
Operating lease right-of-use liabilities239,484 155,595 
Total operating lease liabilities$271,225 $180,269 
Finance leases
Property, plant and equipment, net$31,684 $31,614 
Current portion of long-term debt and finance leases$2,913 $3,018 
Long-term debt, net and finance leases26,240 26,029 
Total finance lease liabilities$29,153 $29,047 
The components of operating and finance lease costs were as follows:
Three Months EndedSix Months Ended
June 26, 2021June 27, 2020June 26, 2021June 27, 2020
(in thousands)
Operating lease costs$11,025 $7,893 $20,376 $15,971 
Finance lease costs:
Amortization of right-of-use assets840 937 1,688 1,888 
Interest on lease liabilities327 323 655 663 
Short-term lease costs1,332 525 2,282 1,114 
Variable lease costs751 1,067 1,635 2,112 
Sublease income(580)(190)(954)(776)
Total lease costs$13,695 $10,555 $25,682 $20,972 
Other information related to leases was as follows:
Supplemental cash flow information
Six Months Ended
June 26, 2021June 27, 2020
(in thousands)
Cash flows included in the measurement of lease liabilities:
Operating cash flows from operating leases$18,578 $14,149 
Operating cash flows from finance leases656 663 
Finance cash flows from finance leases1,705 2,467 
Non-cash leases activity:
Right-of-use lease assets obtained in exchange for new operating lease liabilities$107,306 $46,493 
Right-of-use lease assets obtained in exchange for new finance lease liabilities842 735 
Lease term and discount rate
As ofAs of
June 26, 2021June 27, 2020
Weighted-average remaining lease term (in years)
Operating lease9.48.4
Finance lease12.112.6
Weighted-average discount rate
Operating lease3.7 %4.2 %
Finance lease4.4 %4.5 %
At the lease commencement date, the discount rate implicit in the lease is used to discount the lease liability if readily determinable. If not readily determinable or leases do not contain an implicit rate, the Company’s incremental borrowing rate is used as the discount rate, which is based on the information available at the lease commencement date and represents a rate that would be incurred to borrow, on a collateralized basis, over a similar term, an amount equal to the lease payments in a similar economic environment.
As of June 26, 2021, maturities of operating and finance lease liabilities for each of the following five years and a total thereafter were as follows:
Operating LeasesFinance Leases
(in thousands)
2021 (excluding the six months ended June 26, 2021)$20,787 $2,131 
202239,976 3,912 
202336,660 3,526 
202435,208 3,294 
202533,112 3,012 
Thereafter159,581 22,219 
Total minimum future lease payments325,324 38,094 
Less: Imputed interest54,099 8,941 
Total lease liabilities$271,225 $29,153 
Total minimum future lease payments (predominantly operating leases) of approximately $120 million for leases that have not commenced as of June 26, 2021, as the Company does not yet control the underlying assets, are not included in the unaudited condensed consolidated financial statements. These leases are expected to commence between fiscal years 2021 and 2024 with lease terms of approximately 8 to 15 years.