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LEASES | 3 Months Ended
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Sep. 30, 2019
LEASES |
LEASES | NOTE 11: LEASES Management determines if a contract contains a lease at inception. Adtalem has entered into operating leases for academic sites, housing facilities and office space which expire at various dates through February 2030, most of which include options to terminate for a fee or extend the leases for an additional five-year period. The lease term includes options to terminate or extend when it is reasonably certain that the option will be exercised. Management elected to account for lease and non-lease components (e.g., common-area maintenance costs) as a single lease component for all operating leases. Leases with an initial term of 12 months or less are not recorded on the balance sheet. Adtalem has not entered into any financing leases. Operating lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease assets represent our right to use an underlying asset during the lease term. Operating lease assets and liabilities are recognized at the lease commencement date based on the present value of future lease payments over the lease term. Operating lease assets are adjusted for any prepaid or accrued lease payments, lease incentives, initial direct costs and impairments. Adtalem’s incremental borrowing rate is utilized in determining the present value of the lease payments when the implicit rate is not readily determinable based upon the information available at the commencement date. Adtalem’s incremental borrowing rate is determined using a secured borrowing rate for the same currency and term as the associated lease. Operating lease expense is recognized on a straight-line basis over the lease term. As of September 30, 2019, an additional operating lease that has not yet commenced will result in an additional operating lease asset and lease liability of $10.0 million. This operating lease will commence during the third quarter of fiscal year 2020 and has an 11-year lease term. The components of lease cost were as follows (in thousands):
​ | ​ | ​ | ​
​ | ​ | ​ | Three Months Ended
​ |  | September 30,
​ | ​ | 2019
Operating Lease Cost | ​ | $ | 13,703
Sublease Income | ​ |  | (5,126)
Total Lease Cost | ​ | $ | 8,577
​ Maturities of lease liabilities by fiscal year were as follows as of September 30, 2019 (in thousands):
​ | ​ | ​ | ​
​ |  | Operating
Fiscal Year | ​ | Leases
2020 (Remaining) | ​ | $ | 50,344
2021 | ​ | ​ | 61,142
2022 | ​ | ​ | 56,349
2023 | ​ | ​ | 45,344
2024 | ​ | ​ | 28,880
Thereafter | ​ | ​ | 40,791
Total lease payments | ​ |  | 282,850
Less: imputed interest | ​ | ​ | (36,738)
Present value of lease liabilities | ​ | $ | 246,112
​ Lease term and discount rate were as follows:
​ | ​ | ​ | ​
​ |  | September 30,
​ | ​ | 2019
Weighted-average remaining operating lease term (years) | ​ | ​ | 5.1
Weighted-average operating lease discount rate | ​ | ​ | 5.4%
​ Supplemental disclosures of cash flow information related to leases were as follows (in thousands):
​ | ​ | ​ | ​
​ |  | September 30,
​ | ​ | 2019
Cash paid for amounts in the measurement of operating lease liabilities (net of sublease receipts) | ​ | $ | 11,963
Operating lease assets obtained in exchange for operating lease liabilities | ​ | $ | 4,868
​ Adtalem maintains agreements to lease four facilities owned by Adtalem to DeVry University with various expiration dates through December 2023. Adtalem entered into agreements to sublease either a portion or the full leased space at 25 of its operating lease locations. Most of these subleases are a result of Adtalem retaining leases associated with restructured lease activities at DeVry University and Carrington prior to their divestitures during fiscal year 2019. All sublease expirations with DeVry University and Carrington coincide with Adtalem’s original head lease expiration dates. At that time, Adtalem will be relieved of its obligations. In addition, Adtalem has entered into subleases with non-affiliated entities for vacated or partially vacated space from restructuring activities. Adtalem sublease agreements expire at various dates through December 2025. Adtalem records sublease income as an offset against its lease expense recorded on the head lease. For leases which Adtalem vacated or partially vacated space, Adtalem recorded estimated restructuring charges in prior periods. Actual results may differ from these estimates, which could result in additional restructuring charges or reversals. Future minimum lease and sublease rental income under these agreements at September 30, 2019, are as follows (in thousands): ​
​ | ​ | ​ | ​
Fiscal Year |  | Amount
2020 (Remaining) | ​ | $ | 18,608
2021 | ​ | ​ | 20,099
2022 | ​ |  | 17,103
2023 | ​ |  | 16,368
2024 | ​ |  | 10,523
Thereafter | ​ | ​ | 7,308
Total | ​ | $ | 90,009
​ As previously disclosed in our 2019 Annual Report on Form 10-K and under the previous lease accounting, future minimum rental commitments for all noncancelable operating leases, adjusted to exclude Adtalem Brazil, having a remaining term in excess of one year at June 30, 2019, were as follows (in thousands):
​ | ​ | ​ | ​
Fiscal Year | ​ | Amount
2020 | ​ | $ | 67,109
2021 | ​ | ​ | 60,781
2022 | ​ | ​ | 55,982
2023 | ​ | ​ | 44,970
2024 | ​ | ​ | 28,374
Thereafter | ​ | ​ | 36,120
Total minimum lease payments | ​ | $ | 293,336
​ Rent expense, adjusted to exclude Adtalem Brazil, for the years ended June 30, 2019 and 2018 was $35.8 million and $25.0 million, respectively.

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- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
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