XML 34 R22.htm IDEA: XBRL DOCUMENT
v3.22.4

Leases | 12 Months Ended
--- | ---
Dec. 31, 2022
Leases [Abstract] |
LEASES | LEASES Our lease obligations consist of operating and finance leases related to real estate and equipment. The components of lease cost are as follows (in thousands):
|  |  | Years Ended December 31,
| Income Statement Classification |  | 2020 |  |  |  |  | 2021 |  | 2022
Operating lease cost | Facilities and grounds expense(1) |  | $ | 3,795 |  |  |  |  |  | $ | 3,762 |  |  | $ | 3,375 |
Short-term lease cost | Facilities and grounds expense(1) |  | 185 |  |  |  |  |  | 193 |  |  | 329 |
Variable lease cost | Facilities and grounds expense(1) |  | 39 |  |  |  |  |  | 160 |  |  | 324 |
Finance lease cost: |  |  |  |  |  |  |  |  |  |
Depreciation of leased assets | Depreciation and amortization(2) |  | $ | 439 |  |  |  |  |  | $ | 438 |  |  | $ | 438 |
Interest on lease liabilities | Interest expense |  | 496 |  |  |  |  |  | 471 |  |  | 442 |
Total finance lease cost |  |  | 935 |  |  |  |  |  | 909 |  |  | 880 |
Total lease cost |  |  | $ | 4,954 |  |  |  |  |  | $ | 5,024 |  |  | $ | 4,908 |
(1) | Facilities and grounds expense is included within Cost of service and General, administrative and other on our Consolidated Statements of Operations.
(2) | Depreciation and amortization expense is included within Field depreciation expense and General, administrative and other on our Consolidated Statements of Operations.
Supplemental cash flow information related to our leases is as follows (in thousands):
| Years Ended December 31,
| 2020 |  | 2021 |  | 2022
Cash paid for operating leases included in operating activities | $ | 3,383 |  |  | $ | 3,822 |  |  | $ | 3,671 |
Cash paid for finance leases included in financing activities | 828 |  |  | 835 |  |  | 868 |
Right-of-use assets obtained in exchange for new leases are as follows (in thousands):
| Years Ended December 31,
| 2021 |  | 2022
Right-of-use assets obtained in exchange for new operating lease liabilities | $ | (1,313) |  |  | $ | 674 |
Right-of-use assets obtained in exchange for new finance lease liabilities | — |  |  | — |
During the year ended December 31, 2021, we received a leasehold improvement allowance of $1.4 million for the renovation of our home office space in Houston, Texas from our lessor. We recorded a leasehold improvement asset as property, plant and equipment and reduced our right-of-use asset by $1.4 million. The leasehold improvement allowance will be recognized prospectively by ratably reducing the lease expense over the remaining lease term. Supplemental balance sheet information related to leases is as follows (in thousands):
Lease Type |  | Balance Sheet Classification |  | December 31, 2021 |  | December 31, 2022
Operating lease right-of-use assets |  | Operating lease right-of-use assets |  | $ | 17,881 |  |  | $ | 17,060 |
Finance lease right-of-use assets |  | Property, plant and equipment, net |  | 6,770 |  |  | 6,770 |
Accumulated depreciation |  | Property, plant and equipment, net |  | (2,443) |  |  | (2,881) |
Finance lease right-of-use assets, net |  |  |  | $ | 4,327 |  |  | $ | 3,889 |
Operating lease current liabilities |  | Current portion of operating lease obligations |  | $ | 1,913 |  |  | $ | 2,203 |
Finance lease current liabilities |  | Current portion of finance lease obligations |  | 375 |  |  | 414 |
Total current lease liabilities |  |  |  | $ | 2,288 |  |  | $ | 2,617 |
Operating lease non-current liabilities |  | Obligations under operating leases, net of current portion |  | $ | 18,520 |  |  | $ | 17,315 |
Finance lease non-current liabilities |  | Obligations under finance leases, net of current portion |  | 5,157 |  |  | 4,743 |
Total non-current lease liabilities |  |  |  | $ | 23,677 |  |  | $ | 22,058 |
Total lease liabilities |  |  |  | $ | 25,965 |  |  | $ | 24,675 |
The average lease terms and discount rates at December 31, 2022 are as follows:
| Weighted-average remaining lease term (years) |  | Weighted-average discount rate
Operating leases | 8.8 |  | 8.1 | %
Finance leases | 11.4 |  | 8.2 | %
The aggregate future lease payments for non-cancelable operating and finance leases at December 31, 2022 are as follows (in thousands):
| Operating |  | Finance
Lease payments due: |  |  |
2023 | $ | 3,687 |  |  | $ | 870 |
2024 | 3,660 |  |  | 791 |
2025 | 3,379 |  |  | 736 |
2026 | 3,274 |  |  | 746 |
2027 | 3,201 |  |  | 746 |
Thereafter | 9,916 |  |  | 4,063 |
Total lease payments | $ | 27,117 |  |  | $ | 7,952 |
Less: Interest | (7,599) |  |  | (2,795) |
Present value of lease liabilities | $ | 19,518 |  |  | $ | 5,157 |
At December 31, 2022, we had no significant operating or finance leases that had not yet commenced
LEASES | LEASES Our lease obligations consist of operating and finance leases related to real estate and equipment. The components of lease cost are as follows (in thousands):
|  |  | Years Ended December 31,
| Income Statement Classification |  | 2020 |  |  |  |  | 2021 |  | 2022
Operating lease cost | Facilities and grounds expense(1) |  | $ | 3,795 |  |  |  |  |  | $ | 3,762 |  |  | $ | 3,375 |
Short-term lease cost | Facilities and grounds expense(1) |  | 185 |  |  |  |  |  | 193 |  |  | 329 |
Variable lease cost | Facilities and grounds expense(1) |  | 39 |  |  |  |  |  | 160 |  |  | 324 |
Finance lease cost: |  |  |  |  |  |  |  |  |  |
Depreciation of leased assets | Depreciation and amortization(2) |  | $ | 439 |  |  |  |  |  | $ | 438 |  |  | $ | 438 |
Interest on lease liabilities | Interest expense |  | 496 |  |  |  |  |  | 471 |  |  | 442 |
Total finance lease cost |  |  | 935 |  |  |  |  |  | 909 |  |  | 880 |
Total lease cost |  |  | $ | 4,954 |  |  |  |  |  | $ | 5,024 |  |  | $ | 4,908 |
(1) | Facilities and grounds expense is included within Cost of service and General, administrative and other on our Consolidated Statements of Operations.
(2) | Depreciation and amortization expense is included within Field depreciation expense and General, administrative and other on our Consolidated Statements of Operations.
Supplemental cash flow information related to our leases is as follows (in thousands):
| Years Ended December 31,
| 2020 |  | 2021 |  | 2022
Cash paid for operating leases included in operating activities | $ | 3,383 |  |  | $ | 3,822 |  |  | $ | 3,671 |
Cash paid for finance leases included in financing activities | 828 |  |  | 835 |  |  | 868 |
Right-of-use assets obtained in exchange for new leases are as follows (in thousands):
| Years Ended December 31,
| 2021 |  | 2022
Right-of-use assets obtained in exchange for new operating lease liabilities | $ | (1,313) |  |  | $ | 674 |
Right-of-use assets obtained in exchange for new finance lease liabilities | — |  |  | — |
During the year ended December 31, 2021, we received a leasehold improvement allowance of $1.4 million for the renovation of our home office space in Houston, Texas from our lessor. We recorded a leasehold improvement asset as property, plant and equipment and reduced our right-of-use asset by $1.4 million. The leasehold improvement allowance will be recognized prospectively by ratably reducing the lease expense over the remaining lease term. Supplemental balance sheet information related to leases is as follows (in thousands):
Lease Type |  | Balance Sheet Classification |  | December 31, 2021 |  | December 31, 2022
Operating lease right-of-use assets |  | Operating lease right-of-use assets |  | $ | 17,881 |  |  | $ | 17,060 |
Finance lease right-of-use assets |  | Property, plant and equipment, net |  | 6,770 |  |  | 6,770 |
Accumulated depreciation |  | Property, plant and equipment, net |  | (2,443) |  |  | (2,881) |
Finance lease right-of-use assets, net |  |  |  | $ | 4,327 |  |  | $ | 3,889 |
Operating lease current liabilities |  | Current portion of operating lease obligations |  | $ | 1,913 |  |  | $ | 2,203 |
Finance lease current liabilities |  | Current portion of finance lease obligations |  | 375 |  |  | 414 |
Total current lease liabilities |  |  |  | $ | 2,288 |  |  | $ | 2,617 |
Operating lease non-current liabilities |  | Obligations under operating leases, net of current portion |  | $ | 18,520 |  |  | $ | 17,315 |
Finance lease non-current liabilities |  | Obligations under finance leases, net of current portion |  | 5,157 |  |  | 4,743 |
Total non-current lease liabilities |  |  |  | $ | 23,677 |  |  | $ | 22,058 |
Total lease liabilities |  |  |  | $ | 25,965 |  |  | $ | 24,675 |
The average lease terms and discount rates at December 31, 2022 are as follows:
| Weighted-average remaining lease term (years) |  | Weighted-average discount rate
Operating leases | 8.8 |  | 8.1 | %
Finance leases | 11.4 |  | 8.2 | %
The aggregate future lease payments for non-cancelable operating and finance leases at December 31, 2022 are as follows (in thousands):
| Operating |  | Finance
Lease payments due: |  |  |
2023 | $ | 3,687 |  |  | $ | 870 |
2024 | 3,660 |  |  | 791 |
2025 | 3,379 |  |  | 736 |
2026 | 3,274 |  |  | 746 |
2027 | 3,201 |  |  | 746 |
Thereafter | 9,916 |  |  | 4,063 |
Total lease payments | $ | 27,117 |  |  | $ | 7,952 |
Less: Interest | (7,599) |  |  | (2,795) |
Present value of lease liabilities | $ | 19,518 |  |  | $ | 5,157 |
At December 31, 2022, we had no significant operating or finance leases that had not yet commenced.

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 finance leases of lessee. Includes, but is not limited to, description of lessee's finance lease and maturity analysis of finance lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeFinanceLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
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 https://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration