Leases

6 Months Ended

Jul. 12, 2020

Leases are included in right-of-use assets, net, current portion of lease obligations, and long-term portion of lease liabilities on our condensed consolidated balance sheet as of July 12, 2020 and December 29, 2019 as follows (in thousands):


July 12, 2020	Finance		Operating		Total
Right of use assets, net	$	11,340	$	404,560	$	415,900

Current portion of lease obligations	1,070		60,998		62,068
Long-term portion of lease obligations	12,532		442,756		455,288
Total	$	13,602	$	503,754	$	517,356

December 29, 2019	Finance		Operating		Total
Right of use assets, net	$	7,552	$	418,696	$	426,248

Current portion of lease obligations	725		41,974		42,699
Long-term portion of lease obligations	8,822		456,613		465,435
Total	$	9,547	$	498,587	$	508,134

The components of lease expense, including variable lease costs primarily consisting of common area maintenance charges and real estate taxes, are included in Occupancy on our condensed consolidated statement of operations as follows (in thousands):


	Twelve Weeks Ended						Twenty-Eight Weeks Ended
	July 12, 2020		July 14, 2019		July 12, 2020		July 14, 2019
Operating lease cost	$	14,949	$	17,442	$	36,939	$	41,114
Finance lease cost:
Amortization of right of use assets	185		193		388		441
Interest on lease liabilities	124		125		262		294
Total finance lease cost	$	309	$	318	$	650	$	735
Variable lease cost	4,988		6,647		13,305		15,532
Total	$	20,246	$	24,407	$	50,894	$	57,381

Maturities of our lease liabilities as of July 12, 2020 were as follows (in thousands):


	Finance Leases		Operating Leases		Total
Remainder of 2020	$	889	$	49,486	$	50,375
2021	1,393		75,225		76,618
2022	1,527		73,836		75,363
2023	1,406		71,959		73,365
2024	1,422		69,497		70,919
Thereafter	11,464		384,928		396,392
Total future lease liability	$	18,101	$	724,931	$	743,032
Less imputed interest	4,499		221,177		225,676
Fair value of lease liability	$	13,602	$	503,754	$	517,356

Supplemental cash flow information related to leases is as follows (in thousands, except other information):


	Twenty-Eight Weeks Ended
	July 12, 2020			July 14, 2019
Cash flows from operating activities
Cash paid related to lease liabilities
Operating leases	$	17,188		$	39,407
Finance leases	262			261
Cash flows from financing activities
Cash paid related to lease liabilities
Finance leases	—			461
Cash paid for amounts included in the measurement of lease liabilities:	$	17,450		$	40,129

Right of use assets obtained in exchange for operating lease obligations	$	19,781		$	7,022
Right of use assets obtained in exchange for finance lease obligations	$	4,224		$	1,669

Other information related to operating leases as follows:
Weighted average remaining lease term	10.44 years			11.17 years
Weighted average discount rate	7.25		%	7.35		%

Other information related to financing leases as follows:
Weighted average remaining lease term	12.22 years			11.79 years
Weighted average discount rate	4.96		%	4.74		%