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Lease Commitments (Tables)
 6 Months Ended
Jun. 30, 2022
Leases [Abstract]  
Assets and Liabilities, Lessee
Information related to the Company’s operating leases recorded on the Condensed Consolidated Balance Sheets is presented below:
June 30, 2022December 31, 2021
PNMTNMPPNMR ConsolidatedPNMTNMPPNMR Consolidated
(In thousands)
Operating leases:
Operating lease assets, net of amortization$62,995 $4,324 $67,623 $73,903 $5,264 $79,511 
Current portion of operating lease liabilities24,731 1,849 26,612 25,278 1,882 27,218 
Long-term portion of operating lease liabilities38,922 2,270 41,464 52,552 3,155 55,993 
Information related to the Company’s financing leases recorded on the Condensed Consolidated Balance Sheets is presented below:
June 30, 2022December 31, 2021
PNMTNMPPNMR ConsolidatedPNMTNMPPNMR Consolidated
(In thousands)
Financing leases:
Non-utility property$17,305 $17,776 $35,417 $15,171 $16,181 $31,695 
Accumulated depreciation(6,051)(6,478)(12,755)(4,550)(4,923)(9,660)
Non-utility property, net11,254 11,298 22,662 10,621 11,258 22,035 
Other current liabilities$3,070 $3,308 $6,459 $2,731 $2,994 $5,813 
Other deferred credits8,066 7,999 16,100 7,732 8,273 16,075 

Information concerning the weighted average remaining lease terms and the weighted average discount rates used to determine the Company’s lease liabilities as of June 30, 2022 is presented below:

PNMTNMPPNMR Consolidated
Weighted average remaining lease term (years):
Operating leases5.812.615.63
Financing leases4.223.773.98
Weighted average discount rate:
Operating leases4.01 %4.01 %4.01 %
Financing leases2.91 %2.98 %2.94 %
Lease, Cost
Information for the components of lease expense is as follows:

Three Months Ended June 30, 2022Six Months Ended June 30, 2022
PNMTNMPPNMR ConsolidatedPNMTNMPPNMR Consolidated
(In thousands)
Operating lease cost:$6,665 $495 $7,181 $13,349 $1,023 $14,418 
Amounts capitalized(173)(457)(630)(358)(926)(1,283)
Total operating lease expense6,492 38 6,551 12,991 97 13,135 
Financing lease cost:
Amortization of right-of-use assets769 799 1,583 1,501 1,555 3,095 
Interest on lease liabilities79 80 160 147 153 301 
Amounts capitalized(563)(764)(1,327)(1,060)(1,480)(2,540)
Total financing lease expense285 115 416 588 228 856 
Variable lease expense262 — 262 367 — 367 
Short-term lease expense (1)
1,137 3 1,147 2,269 3 2,317 
Total lease expense for the period$8,176 $156 $8,376 $16,215 $328 $16,675 

(1) Includes expense of $1.1 million and $2.3 million for the three and six months ended June 30, 2022 for rental of temporary cooling towers associated with the SJGS Unit 1 outage. These amounts are offset with insurance reimbursements of $1.1 million and $2.3 million for the three and six months ended June 30, 2022. For additional information on the SJGS Unit 1 outage see Note 12.

Three Months Ended June 30, 2021Six Months Ended June 30, 2021
PNMTNMPPNMR ConsolidatedPNMTNMPPNMR Consolidated
(In thousands)
Operating lease cost:$6,715 $633 $7,385 $13,450 $1,286 $14,814 
Amounts capitalized(220)(543)(763)(446)(1,102)(1,548)
Total operating lease expense6,495 90 6,622 13,004 184 13,266 
Financing lease cost:
Amortization of right-of-use assets604 637 1,262 1,136 1,251 2,430 
Interest on lease liabilities65 76 141 127 152 281 
Amounts capitalized(417)(632)(1,048)(783)(1,258)(2,041)
Total financing lease expense252 81 355 480 145 670 
Variable lease expense106 — 106 168 — 168 
Short-term lease expense125 2 147 249 4 280 
Total lease expense for the period$6,978 $173 $7,230 $13,901 $333 $14,384 
Schedule of Leases, Supplemental Cash Flows
Supplemental cash flow information related to the Company’s leases is as follows:

Six Months EndedSix Months Ended
June 30, 2022June 30, 2021
PNMTNMPPNMR ConsolidatedPNMTNMPPNMR Consolidated
(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$16,260 $75 $16,381 $16,291 $188 $16,572 
Operating cash flows from financing leases45 21 68 43 17 63 
Finance cash flows from financing leases528 236 809 392 156 592 
Non-cash information related to right-of-use assets obtained in exchange for lease obligations:
Operating leases$1,079 $— $1,079 $— $317 $317 
Financing leases2,151 1,625 3,776 1,512 1,254 2,793 
Lessee, Operating Lease, Liability, Maturity
Future expected lease payments are shown below:

As of June 30, 2022
PNMTNMPPNMR Consolidated
FinancingOperatingFinancingOperatingFinancingOperating
(In thousands)
Remainder of 2022$1,686 $9,698 $1,833 $908 $3,564 $10,700 
20233,285 17,778 3,455 1,546 6,794 19,503 
20242,588 7,953 2,967 943 5,568 8,944 
20251,759 6,992 2,041 770 3,802 7,800 
20261,344 6,928 1,025 76 2,370 7,042 
Later years1,189 22,132 617 — 1,806 22,315 
Total minimum lease payments11,851 71,481 11,938 4,243 23,904 76,304 
Less: Imputed interest715 7,828 631 124 1,345 8,228 
Lease liabilities as of June 30, 2022$11,136 $63,653 $11,307 $4,119 $22,559 $68,076 
Finance Lease, Liability, Maturity
Future expected lease payments are shown below:

As of June 30, 2022
PNMTNMPPNMR Consolidated
FinancingOperatingFinancingOperatingFinancingOperating
(In thousands)
Remainder of 2022$1,686 $9,698 $1,833 $908 $3,564 $10,700 
20233,285 17,778 3,455 1,546 6,794 19,503 
20242,588 7,953 2,967 943 5,568 8,944 
20251,759 6,992 2,041 770 3,802 7,800 
20261,344 6,928 1,025 76 2,370 7,042 
Later years1,189 22,132 617 — 1,806 22,315 
Total minimum lease payments11,851 71,481 11,938 4,243 23,904 76,304 
Less: Imputed interest715 7,828 631 124 1,345 8,228 
Lease liabilities as of June 30, 2022$11,136 $63,653 $11,307 $4,119 $22,559 $68,076