Note 5 Leases

9 Months Ended

Jul. 03, 2021

Leases of Lessee Disclosure [Text Block]

LeasesThe Company's leases consist primarily of operating leases for buildings and land and have initial lease terms of up to 44 years. Certain of these leases contain an option to extend the lease term for additional periods or to terminate the lease after an initial non-cancelable term. Renewal options are considered in the measurement of the Company's initial lease liability and

corresponding ROU asset only if it is reasonably certain that the Company will exercise such options. Leases with lease terms of twelve months or less are not recorded on the Company's balance sheet.

ROU assets and lease liabilities recorded in the condensed consolidated balance sheet are as follows:


	As of
	July 3, 2021			October 3, 2020
	(In thousands)
Other assets (1)	$	54,881		$	52,552

Accrued liabilities	17,344			16,659
Other long-term liabilities	39,700			37,015
Total lease liabilities	$	57,044		$	53,674

Weighted average remaining lease term (in years)	6.51			6.88
Weighted average discount rate	2.8		%	3.1		%

(1) Net of accumulated amortization of $22 million and $16 million as of July 3, 2021 and October 3, 2020, respectively.

Cash paid for operating lease liabilities was $15 million and $14 million for the nine months ended July 3, 2021 and June 27, 2020, respectively. Operating lease expense, which includes an immaterial amount for short-term leases, variable lease costs and sublease income, was $5 million and $16 million for the three and nine months ended July 3, 2021, respectively, and $5 million and $13 million for the three and nine months ended June 27, 2020, respectively.

Future lease payments under non-cancelable operating leases as of July 3, 2021, by fiscal year, are as follows:


	Operating Leases
	(In thousands)
Remainder of 2021	$	4,832
2022	17,956
2023	11,632
2024	7,396
2025	5,642
2026	3,957
Thereafter	11,418
Total lease payments	62,833
Less: imputed interest	5,789
Total	$	57,044