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Leases Leases | 12 Months Ended
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Dec. 31, 2023
Leases [Abstract] |
Leases | LEASES We have operating leases for office space, facilities, equipment, employee housing and certain rig berthing facilities. For all asset classes, except office space, we account for the lease component and the non-lease component as a single lease component. Short-term leases with a term of one year or less are not recorded on the Consolidated Balance Sheet. Our leases have remaining lease terms of less than one month to eight years, some of which include options to extend. The lease term used for calculating our right-of-use assets and lease liabilities is determined by considering the non-cancelable lease term, as well as any extension options that we are reasonably certain to exercise. We evaluate the carrying value of our right-of-use assets on a periodic basis to identify events or changes in circumstances, such as lease abandonment, which indicate that the carrying value of such right-of-use assets may be impaired. The components of lease expense are as follows (in millions):
| Successor |  |  | Predecessor
| Year Ended December 31, 2023 |  | Year Ended December 31, 2022 |  | Eight Months Ended December 31, 2021 |  |  | Four Months Ended April 30, 2021
Long-term operating lease cost | $ | 24.6 |  |  | $ | 13.4 |  |  | $ | 12.9 |  |  |  | $ | 9.1 |
Short-term operating lease cost | 13.2 |  |  | 15.2 |  |  | 14.3 |  |  |  | 6.3 |
Variable lease cost (1) | 11.3 |  |  | 1.0 |  |  | 1.0 |  |  |  | 0.7 |
Total operating lease cost | $ | 49.1 |  |  | $ | 29.6 |  |  | $ | 28.2 |  |  |  | $ | 16.1 |
(1)Variable lease costs are excluded from the measurement of right-of-use assets and lease liabilities and consist primarily of variable fees related to offshore equipment rentals. Supplemental balance sheet information related to our operating leases is as follows (in millions, except lease term and discount rate):
| December 31, 2023 |  | December 31, 2022
Operating lease right-of-use assets | $ | 74.6 |  | $ | 21.0
Current lease liability | $ | 27.2 |  | $ | 9.4
Long-term lease liability | 48.9 |  | 13.8
Total operating lease liabilities | $ | 76.1 |  | $ | 23.2
Weighted-average remaining lease term (in years) | 3.6 |  | 5.0
Weighted-average discount rate (1) | 8.21 | % |  | 7.48 | %
(1)Represents our estimated incremental borrowing cost on a secured basis for similar terms as the underlying leases. Supplemental cash flow information related to our operating leases is as follows (in millions):
| Successor |  |  | Predecessor
| Year Ended December 31, 2023 |  | Year Ended December 31, 2022 |  | Eight Months Ended December 31, 2021 |  |  | Four Months Ended April 30, 2021
ROU assets obtained in exchange for operating lease liabilities | $ | 80.3 |  |  | $ | 14.7 |  |  | $ | 0.9 |  |  |  | $ | 5.5 |
Cash paid for amounts included in the measurement of our operating lease liabilities | $ | 26.2 |  |  | $ | 14.0 |  |  | $ | 11.7 |  |  |  | $ | 7.1 |
Maturities of lease liabilities as of December 31, 2023 were as follows (in millions):
2024 | $ | 32.4 |
2025 | 20.5 |
2026 | 19.1 |
2027 | 10.0 |
2028 | 2.4 |
Thereafter | 3.7 |
Total lease payments | $ | 88.1 |
Less imputed interest | (12.0) |
Total | $ | 76.1 |

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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 -Topic 842 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//842-20/tableOfContent + Details
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