XML 33 R13.htm IDEA: XBRL DOCUMENT
v3.20.1

Leases | 6 Months Ended
--- | ---
Mar. 31, 2020
Leases [Abstract] |
Leases | NOTE 5: LEASES As described in Note 1, we adopted ASC Topic 842 as of October 1, 2019. We lease our pawn locations and corporate offices under operating leases and determine if an arrangement is or contains a lease at inception. After an initial lease term of generally three to ten years, our real property lease agreements typically allow renewals in three to five-year increments. We generally account for the initial lease term of our pawn locations as up to ten years, including renewal options. Our corporate office is leased through March 2029 with annually escalating rent and includes two five-year extension options at the end of the initial lease term. Our pawn location lease agreements generally include rent escalations throughout the initial lease term, with certain future rental payments contingent on increases in a consumer price index, included in variable lease expense. Many leases include both lease and non-lease components, which we have elected not to account for separately. Lease components generally include rent, taxes and insurance, while non-lease components generally include common area or other maintenance. The weighted-average remaining lease term for operating leases as of March 31, 2020 was 5.72 years. As our leases generally do not include an implicit rate, we compute our incremental borrowing rate based on information available at the lease commencement date applying the portfolio approach to groups of leases with similar characteristics. We used incremental borrowing rates that match the duration of the remaining lease terms of our operating leases on a fully collateralized basis upon adoption as of October 1, 2019 to initially measure our lease liability. The weighted average incremental borrowing rate used to measure our lease liability as of March 31, 2020 was 8.25%. The details of our right-of-use asset and lease liability recognized upon adoption of ASC 842 computed based on the consumer price index and foreign currency exchange rate as applicable then in effect and excluding executory costs on October 1, 2019 are as follows (in thousands):
Right-of-use asset | $ | 246,028 |
Straight-line rent accrual | (8,479 | )
| $ | 237,549 |
Lease liability, current | $ | 45,272 |
Lease liability, non-current | 200,756 |
| $ | 246,028 |
Lease expense is recognized on a straight-line basis over the lease term with variable lease expense recognized in the period in which the costs are incurred. The components of lease expense included in "Operations" and "Administrative" expense, based on the underlying lease use, in our condensed consolidated statements of operations for the three and six months ended March 31, 2020 are as follows (in thousands):
| Three Months Ended March 31, |  | Six Months Ended March 31,
| 2020 |  | 2020
Operating lease expense | $ | 15,453 |  |  | $ | 31,978 |
Variable lease expense | 3,093 |  |  | 5,900 |
| $ | 18,546 |  |  | $ | 37,878 |
Maturity of our lease liabilities as of March 31, 2020 is as follows (in thousands):
Six months ending September 30, 2020 | $ | 30,794 |
Fiscal 2021 | 57,083 |
Fiscal 2022 | 48,059 |
Fiscal 2023 | 38,546 |
Fiscal 2024 | 29,287 |
Thereafter | 68,151 |
| $ | 271,920 |
Less: Portion representing interest | (56,838 | )
| $ | 215,082 |
Prior to our adoption of ASC 842, future minimum undiscounted rentals due under non-cancelable leases as of September 30, 2019 for each subsequent fiscal year were as follows (in thousands):
2020 | $ | 69,291 |
2021 | 60,588 |
2022 | 46,720 |
2023 | 32,062 |
2024 | 19,969 |
Thereafter | 39,256 |
| $ | 267,886 |
We present the changes in our lease right-of-use asset and lease liabilities gross in our condensed consolidated statements of cash flows. The supplemental cash flow information relating to our operating leases for the six months ended March 31, 2020 is as follows (in thousands):
Lease right-of-use assets obtained in exchange for operating lease liabilities subsequent to adoption of ASC 842 | $ | 866 |

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration