Leases

12 Months Ended

Dec. 31, 2024

NOTE 4 — Leases

We lease certain real estate, vehicles, and equipment. Our leases have remaining lease terms of one to 12 years, some of

which may include options to extend the leases, and some of which may include options to terminate the leases. The exercise of

lease renewal options is at our sole discretion. The depreciable lives of assets and leasehold improvements are limited by the

expected lease term unless there is a transfer of title or purchase option reasonably certain of exercise.

The components of lease expense are as follows:

(a) Includes sublease income of $8.3 million, $9.1 million, and $7.7 million for the years ended December 31, 2024, 2023, and 2022, respectively.

(b) Excludes expenses relating to leases with a lease term of one month or less.

In 2023, the Company sold two properties in Michigan and Arizona for a total of $60.5 million, which resulted in a net gain

of $39.3 million. Contemporaneously with the closing of the sales, the Company entered into leases pursuant to which we

leased back the properties for cumulative annual rent of $39.9 million, subject to annual escalations. The leases are accounted

for as operating leases.

Supplemental information related to leases are as follows:


	Year ended December 31,
In thousands, except lease term and discount rate	2024	2023	2022
Cash paid for amounts included in the measurement of operating lease liabilities	$71,985	$76,338	$79,659
Right-of-use assets obtained in exchange for operating lease obligations	6,071	31,501	15,272
Gain on sale and leaseback transactions, net	(105)	(40,221)	(12,249)

Weighted-average remaining lease term (in years)	6.0	6.4	6.8
Weighted-average discount rate	13.2%	13.0%	12.6%

Future minimum lease payments under non-cancellable leases are as follows:


In thousands	Year ended December 31,
2025	$61,987
2026	50,461
2027	42,486
2028	38,113
2029	37,293
Thereafter	74,223
Total future minimum lease payments	304,563
Less: Imputed interest	97,071
Total	$207,492

As of December 31, 2024, we have entered into leases that have not yet commenced with future lease payments of $0.9

million, which are not yet recorded on the Consolidated balance sheet.