Leases

9 Months Ended

Sep. 30, 2021

9. Leases

The Company leases retail shoe stores, as well as several offices and distribution facilities worldwide. The leases have original lease periods expiring between the remainder of 2021 and 2027. Many leases include one or more options to renew. The Company does not assume renewals in its determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The components of the Company’s operating lease costs were as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020

	(Dollars in thousands)
Operating lease costs	$	1,151	$	1,652	$	3,717	$	5,237
Variable lease costs ⁽¹⁾		67		—		124		12
Total lease costs	$	1,218	$	1,652	$	3,841	$	5,249

⁽¹⁾Variable lease costs primarily include percentage rentals based upon sales in excess of specified amounts.

Short-term lease costs, which were excluded from the above table, are not material to the Company’s financial statements.

The following is a schedule of maturities of operating lease liabilities as of September 30, 2021:


	Operating Leases
	(Dollars in thousands)
2021, excluding the nine months ended September 30, 2021	$	978
2022		3,462
2023		2,617
2024		1,865
2025		1,215
Thereafter		1,442
Total lease payments		11,579
Less imputed interest		(2,459)
Present value of lease liabilities	$	9,120

The operating lease liabilities are classified in the consolidated condensed balance sheets (unaudited) as follows:


	September 30, 2021		December 31, 2020

	(Dollars in thousands)
Operating lease liabilities - current	$	2,018	$	4,245
Operating lease liabilities - non-current		7,102		7,734
Total	$	9,120	$	11,979

The Company determined the present value of its lease liabilities using a weighted-average discount rate of 4.25%. As of September 30, 2021, the Company’s leases have a weighted-average remaining lease term of 2.92 years.

Supplemental cash flow information related to the Company’s operating leases is as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020

		(Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities	$	1,024	$	2,174	$	3,629	$	5,424
Right-of-use assets obtained in exchange for new lease liabilities (noncash)	$	244	$	72	$	2,266	$	216