XML 39 R29.htm IDEA: XBRL DOCUMENT v3.23.3
Leases (Tables)
 9 Months Ended
Sep. 30, 2023
Leases [Abstract]  
Sales-Type Lease, Revenue
Revenue from sales-type leases is included in service revenues within the condensed consolidated statements of operations and consists of the selling price and interest income as follows (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2023202220232022
Sales-type lease selling price(1)
$7.4 $6.1 $23.8 $24.6 
Cost of underlying assets(3.0)(3.2)(10.9)(11.9)
Operating profit$4.4 $2.9 $12.9 $12.7 
Interest income$2.1 $1.1 $4.8 $2.9 
Total revenue attributable to sales-type leases$9.5 $7.2 $28.6 $27.5 
(1) Selling price is equal to the present value of lease payments over the non-cancellable term of the licensing agreement.
Supplemental Balance Sheet Information Related to Leases
Leasing receivables related to our net investment in sales-type leases are as follows (in millions):
Balance Sheet LocationSeptember 30, 2023December 31, 2022
Leasing receivables, net—short-termOther current assets$25.1 $17.5 
Leasing receivables, net—long-termOther assets63.7 57.5 
Total leasing receivables$88.8 $75.0 
Supplemental balance sheet information related to our operating and financing right-of-use (“ROU”) assets and lease liabilities and DLF assets and obligations is as follows (in millions):
Balance Sheet LocationSeptember 30, 2023December 31, 2022
Assets
Operating lease ROU assets, netOperating lease ROU assets, net$1,414.6 $1,419.1 
Financing lease ROU assets, netOther assets$227.5 $215.7 
DLF assets, net
Property, plant & equipment, net
$916.2 $813.2 
Liabilities
Current
Operating lease liabilities, short-termOperating lease liabilities, short-term$82.8 $76.4 
Financing lease liabilities, short-termAccounts payable and accrued expenses$1.4 $1.7 
DLF obligations, short-termAccounts payable and accrued expenses$0.5 $2.4 
Non-current
Operating lease liabilities, long-termOperating lease liabilities, long-term$1,443.2 $1,437.5 
Financing lease liabilities, long-termOther long-term liabilities $246.7 $225.9 
DLF obligations, long-termDeemed landlord financing obligations$809.2 $658.0 
Schedule of Maturities of Sales-Type Lease Receivables
Net maturities of sales-type lease receivables for the next five years and thereafter as of September 30, 2023 are as follows (in millions):
Remainder of 2023$7.5 
202431.4 
202526.9 
202619.0 
202710.7 
Thereafter6.7 
Total future lease proceeds102.2 
Less: imputed interest13.4 
Total$88.8 
Components of Lease Expense and Other Information Related to Leases
The components of lease expense included in our condensed consolidated statement of operations for the periods presented below are as follows (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2023202220232022
Operating lease costs:
Amortization of ROU assets$45.9 $42.3 $131.2 $128.1 
Total operating lease costs45.9 42.3 131.2 128.1 
Financing lease costs:
Amortization of ROU assets1.9 1.0 5.8 4.6 
Interest on lease liabilities3.7 2.3 11.0 6.5 
Total financing lease costs5.6 3.3 16.8 11.1 
DLF obligation costs:
Depreciation of DLF assets7.8 3.7 18.2 10.1 
Interest on DLF obligations17.5 11.7 48.9 32.5 
Total DLF obligation costs25.3 15.4 67.1 42.6 
Variable lease costs3.7 2.3 8.4 7.1 
Total lease costs$80.5 $63.3 $223.5 $188.9 

Other information related to leases (in millions):
Nine Months Ended September 30,
Supplemental Cash Flows Information20232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$116.1 $119.8 
Operating cash flows from finance leases$5.6 $5.4 
Operating cash flows from DLF obligations$37.1 $29.3 
Financing cash flows from finance leases$2.2 $0.3 
Financing cash flows from DLF obligations$5.9 $— 
Lease liabilities arising from new ROU assets:
Operating leases$53.3 $37.2 
Financing leases$17.4 $40.7 
DLF obligations (1)
$143.4 $113.2 
(1) During the course of the construction of our venues, certain financing partners remit funds directly to our construction vendors on our behalf rather than providing the construction advances directly to us. These funds are presented as non-cash investing and financing activities within our condensed consolidated statement of cash flows. During the nine months ended September 30, 2023, the amount contributed by these financing partners, in addition to accrued capitalized interest was $43.3 million. During the nine months ended September 30, 2022, the amount contributed by these financing partners, in addition to accrued capitalized interest, was $28.3 million, which was corrected from $85.0 million, as previously reported.
September 30, 2023December 31, 2022
Weighted average remaining lease term (years):
Operating leases16.316.6
Financing leases36.336.5
DLF obligations38.138.5
Weighted average discount rate:
Operating leases5.7 %5.6 %
Financing leases6.2 %6.1 %
DLF obligations9.0 %8.8 %
Future Minimum Operating Lease Obligations
As of September 30, 2023, our future minimum lease obligations were as follows (in millions):
Operating LeasesFinancing LeasesDLF ObligationsTotal
Remainder of 2023$30.9 $2.1 $10.6 $43.6 
2024161.1 14.1 63.7 238.9 
2025158.7 14.8 64.2 237.7 
2026153.5 14.9 65.3 233.7 
2027151.1 15.1 66.5 232.7 
Thereafter1,833.1 638.7 3,090.2 5,562.0 
Total future lease payments2,488.4 699.7 3,360.5 6,548.6 
Less: imputed interest962.4 451.6 2,550.8 3,964.8 
Total$1,526.0 $248.1 $809.7 $2,583.8 
Future Minimum Financing Lease Obligations
As of September 30, 2023, our future minimum lease obligations were as follows (in millions):
Operating LeasesFinancing LeasesDLF ObligationsTotal
Remainder of 2023$30.9 $2.1 $10.6 $43.6 
2024161.1 14.1 63.7 238.9 
2025158.7 14.8 64.2 237.7 
2026153.5 14.9 65.3 233.7 
2027151.1 15.1 66.5 232.7 
Thereafter1,833.1 638.7 3,090.2 5,562.0 
Total future lease payments2,488.4 699.7 3,360.5 6,548.6 
Less: imputed interest962.4 451.6 2,550.8 3,964.8 
Total$1,526.0 $248.1 $809.7 $2,583.8