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LEASES
6 Months Ended
Jun. 30, 2021
LEASES  
LEASES

NOTE E – LEASES

The Company leases, under finance and operating lease arrangements, certain facilities used primarily in the Asset-Based segment service center operations, certain revenue equipment used in the ArcBest segment operations, and certain other office equipment.

The components of operating lease expense were as follows:

Three Months Ended 

Six Months Ended 

June 30

June 30

    

2021

    

2020

    

2021

    

2020

 

(in thousands)

Operating lease expense

$

6,584

$

5,803

$

13,226

$

11,599

Variable lease expense

963

543

2,295

1,583

Sublease income

(156)

(42)

(311)

(134)

Total operating lease expense(1)

$

7,391

$

6,304

$

15,210

$

13,048

(1)Operating lease expense excludes short-term leases with a term of 12 months or less.

The operating cash flows from operating lease activity were as follows:

Six Months Ended 

June 30, 2021

June 30, 2020

 

(in thousands)

Noncash change in operating right-of-use assets

$

11,386

$

11,002

Change in operating lease liabilities

(10,625)

(11,232)

Operating right-of-use-assets and lease liabilities, net

$

761

$

(230)

Cash paid for amounts included in the measurement of operating lease liabilities

$

(12,446)

$

(11,826)

Maturities of operating lease liabilities at June 30, 2021 were as follows:

Equipment

Land and

and

    

Total

    

Structures(1)

    

Other

 

 

(in thousands)

Remainder of 2021

$

13,071

$

13,071

$

2022

 

22,759

 

22,723

 

36

2023

 

18,281

 

18,256

 

25

2024

 

16,020

 

16,020

 

2025

 

13,407

 

13,407

 

Thereafter

 

44,136

 

44,136

 

Total lease payments

127,674

127,613

61

Less imputed interest

(12,913)

(12,912)

(1)

Total

$

114,761

$

114,701

$

60

(1)Excludes future minimum lease payments for a lease which was executed but had not yet commenced as of June 30, 2021 of $37.3 million which will be paid over approximately 10 years. The Company plans to take possession of the leased space in third quarter 2022.