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Leases | 12 Months Ended
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Feb. 28, 2021
Leases [Abstract] |
Leases of Lessee Disclosure | LEASE COMMITMENTS Our leases primarily consist of operating and finance leases related to retail stores, office space, land and equipment. We also have stores subject to sale-leaseback transactions that did not qualify for sale accounting and are accounted for as financing obligations. For more information on these financing obligations see Note 11. The initial term for real property leases is typically 5 to 20 years. For equipment leases, the initial term generally ranges from 3 to 8 years. Most leases include one or more options to renew, with renewal terms that can extend the lease term from 1 to 20 years or more. We include options to renew (or terminate) in our lease term, and as part of our right-of-use ("ROU") assets and lease liabilities, when it is reasonably certain that we will exercise that option. ROU assets and the related lease liabilities are initially measured at the present value of future lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our collateralized incremental borrowing rate based on the information available at the commencement date in determining the present value of future payments. We include variable lease payments in the initial measurement of ROU assets and lease liabilities only to the extent they depend on an index or rate. Changes in such indices or rates are accounted for in the period the change occurs, and do not result in the remeasurement of the ROU asset or liability. We are also responsible for payment of certain real estate taxes, insurance and other expenses on our leases. These amounts are generally considered to be variable and are not included in the measurement of the ROU asset and lease liability. We generally account for non-lease components, such as maintenance, separately from lease components. For certain equipment leases, we apply a portfolio approach to account for the lease assets and liabilities. Our lease agreements do not contain any material residual value guarantees or material restricted covenants. Leases with a term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. The components of lease expense were as follows:
| Years Ended February 28 or 29
(In thousands) | 2021 |  | 2020
Operating lease cost (1) | $ | 57,325 |  |  | $ | 57,656 |
Finance lease cost: |  |  |
Depreciation of lease assets | 8,362 |  |  | 5,769 |
Interest on lease liabilities | 10,724 |  |  | 7,678 |
Total finance lease cost | 19,086 |  |  | 13,447 |
Total lease cost | $ | 76,411 |  |  | $ | 71,103 |
(1) Includes short-term leases and variable lease costs, which are immaterial. Supplemental balance sheet information related to leases was as follows:
|  | As of February 28 or 29
(In thousands) | Classification | 2021 |  | 2020
Assets: |  |  |  |
Operating lease assets | Operating lease assets | $ | 431,652 |  |  | $ | 449,094 |
Finance lease assets | Property and equipment, net (1) | 109,665 |  |  | 75,320 |
Total lease assets |  | $ | 541,317 |  |  | $ | 524,414 |
Liabilities: |  |  |  |
Current: |  |  |  |
Operating leases | Current portion of operating lease liabilities | $ | 30,953 |  |  | $ | 30,980 |
Finance leases | Accrued expenses and other current liabilities | 9,422 |  |  | 5,066 |
Long-term: |  |  |  |
Operating leases | Operating lease liabilities, excluding current portion | 423,618 |  |  | 440,671 |
Finance leases | Other liabilities | 120,094 |  |  | 79,327 |
Total lease liabilities |  | $ | 584,087 |  |  | $ | 556,044 |
(1) Finance lease assets are recorded net of accumulated depreciation of $17.5 million as of February 28, 2021 and $9.1 million as of February 29, 2020. Lease term and discount rate information related to leases was as follows:
| As of February 28 or 29
Lease Term and Discount Rate | 2021 |  | 2020
Weighted Average Remaining Lease Term (in years) |  |  |
Operating leases | 19.37 |  | 19.98
Finance leases | 13.56 |  | 13.55
Weighted Average Discount Rate |  |  |
Operating leases | 5.36 | % |  | 5.40 | %
Finance leases | 15.09 | % |  | 10.32 | %
Supplemental cash flow information related to leases was as follows:
| Years Ended February 28 or 29
(In thousands) | 2021 |  | 2020
Cash paid for amounts included in the measurement of lease liabilities: |  |  |
Operating cash flows from operating leases | $ | 56,762 |  |  | $ | 57,145 |
Operating cash flows from finance leases | $ | 8,517 |  |  | $ | 4,027 |
Financing cash flows from finance leases | $ | 7,424 |  |  | $ | 4,151 |
Lease assets obtained in exchange for lease obligations: |  |  |
Operating leases | $ | 14,010 |  |  | $ | 27,136 |
Finance leases | $ | 45,857 |  |  | $ | 53,111 |
Maturities of lease liabilities were as follows:
| As of February 28, 2021
(In thousands) | Operating Leases (1) |  | Finance Leases (1)
Fiscal 2022 | $ | 53,378 |  |  | $ | 21,974 |
Fiscal 2023 | 51,167 |  |  | 23,776 |
Fiscal 2024 | 50,293 |  |  | 26,599 |
Fiscal 2025 | 49,197 |  |  | 23,310 |
Fiscal 2026 | 43,359 |  |  | 23,881 |
Thereafter | 529,331 |  |  | 190,869 |
Total lease payments | 776,725 |  |  | 310,409 |
Less: interest | (322,154) |  |  | (180,893) |
Present value of lease liabilities | $ | 454,571 |  |  | $ | 129,516 |
(1) Lease payments exclude $36.9 million of legally binding minimum lease payments for leases signed but not yet commenced.

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- Definition The entire disclosure for lessee entity's leasing arrangements including, but not limited to, all of the following: (a.) The basis on which contingent rental payments are determined, (b.) The existence and terms of renewal or purchase options and escalation clauses, (c.) Restrictions imposed by lease agreements, such as those concerning dividends, additional debt, and further leasing. + References Reference 1: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Publisher FASB -Name Accounting Standards Codification -Topic 840 -URI http://asc.fasb.org/topic&trid=2208923 + Details
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