The Company adopted the new accounting guidance for leases on January 1, 2019 using the modified retrospective method of applying the new guidance at the adoption date. Beginning with January 1, 2019, the Company’s financial position is presented under the new guidance, while the prior period financial statements were not adjusted and continue to be reported in accordance with the previous guidance.

The Company primarily leases property under operating leases and has one material equipment operating lease for an aircraft. The Company’s property leases are primarily for its regional, medical and business offices, storage space and temporary housing for medical staff.

For leases with terms greater than 12 months, the Company records the related asset and obligation at the present value of the lease payment using a discount rate that reflects the Company’s estimated incremental borrowing rate. Certain of the Company’s leases include rental escalation clauses and renewal options that are factored into the determination of lease payments when appropriate. Operating leases for office equipment are not material, and therefore are excluded from the Company’s

Consolidated Balance Sheet.

The

table below presents the operating lease-related right-of-use assets and related liabilities recorded on the Company’s balance sheet and the weighted average remaining lease term and discount rate as of December 31, 2020 and 2019 (dollars in thousands):


	December 31,
	2020			2019
Assets:
Operating lease right-of-use assets	$	44,926		$	56,413
Liabilities:
Current portion of operating lease liabilities		18,933			18,254
Long-term portion of operating lease liabilities		40,970			44,643
Other Information:
Weighted-average remaining lease term		4.0 years			4.2 years
Weighted average discount rate		5.0	%		5.0	%

The table below presents certain information related to the lease costs for operating leases during the years ended December 31, 2020 and 2019 (in thousands):


	December 31,
	2020		2019
Operating lease costs	$	20,972	$	23,085
Variable lease costs		4,519		3,102
Other equipment rent		4,128		3,931
Other operating lease costs		684		933

Total operating lease costs	$	30,303	$	31,051

The table below presents supplemental cash flow information related to operating leases during the years ended December 31, 2020 and 2019 (in thousands):


	December 31, 2020		December 31, 2019
Operating cash flows for operating leases	$	27,933	$	28,722

The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities recorded on the balance sheet as of December 31, 2020 (in thousands):


	December 31, 2020
2021	$	19,681
2022		16,584
2023		12,397
2024		8,125


2025		4,063
Thereafter		3,877

Total minimum lease payments		64,727
Less: Amount of payments representing interest		(4,824	)

Present value of future minimum lease payments		59,903
Less: Current obligations		(18,933	)

Long-term portion of operating leases	$	40,970