Leases

12 Months Ended

Dec. 28, 2024

G. Leases

The Company has various lease agreements in place for facilities and equipment. Terms of these leases include, in some instances, scheduled rent increases, renewals, purchase options, and maintenance costs, and vary by lease. These lease obligations expire at various dates through 2034. As the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate based on information available at lease commencement to determine the present value of the lease payments. Leases with an initial term of 12 months or less (“short-term leases”) are not recorded on the balance sheet and are recognized on a straight-line basis over the lease term. Total right-of-use ("ROU") assets and lease liabilities were as follows at:


	Classification	Leases
		December 28, 2024		December 30, 2023
		(in thousands)
Right-of-use assets
Operating lease assets	Operating right-of-use assets	$	27,837	$	35,559
Finance lease assets	Property, plant, and equipment, net		2,818		2,680
Lease Liabilities
Current
Operating lease liabilities	Current operating lease liabilities		5,735		9,113
Finance lease liabilities	Accrued expenses and other current liabilities		1,904		1,257
Non-current
Operating lease liabilities	Non-current operating lease liabilities		30,205		36,161
Finance lease liabilities	Other liabilities		936		1,451

The gross value and accumulated depreciation of ROU assets related to finance leases were as follows at:


	Finance Leases
	December 28, 2024			December 30, 2023
	(in thousands)
Gross value	$	5,316		$	6,134
Accumulated amortization		(2,498	)		(3,454	)
Carrying value	$	2,818		$	2,680

Components of lease cost for the fiscal year-ended are as follows at:



	Fiscal years ended
	December 28, 2024		December 30, 2023		December 31, 2022
	(in thousands)
Operating lease cost:
Amortization of right-of-use assets	$	9,420	$	8,339	$	9,978
Variable lease costs not included in liability		561		606		702
Total operating lease cost	$	9,981	$	8,945	$	10,680
Finance lease cost:
Amortization of right-of-use assets	$	1,624	$	1,568	$	1,590
Interest on lease liabilities		222		138		71
Total finance lease cost	$	1,846	$	1,706	$	1,661

Additionally, during 2024, 2023 and 2022, the Company recorded losses on disposals of right-of use assets of $0.2 million in 2024 and impairment charges of $0.4 million and $0.2 million in 2023 and 2022, respectively, included within other expenses, net within the Company's consolidated statements of comprehensive income.

Maturities of lease liabilities as of December 28, 2024 are as follows:


	Operating			Finance			Weighted- Average Remaining Term in Years
	Leases			Leases			Operating Leases		Finance Leases
	(in thousands)
2025	$	6,885		$	1,852
2026		6,670			1,132
2027		6,122			8
2028		6,039			—
2029		4,522			—
Thereafter		10,224			—
Total lease payments		40,462			2,992
Less imputed interest (based on 3.5% weighted-average discount rate)		(4,522	)		(152	)
Present value of lease liabilities	$	35,940		$	2,840			6.6		1.7