The Company determines if an arrangement is a lease at inception. The right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. The Company uses its incremental borrowing rate in each of the jurisdictions in which its subsidiaries operate to calculate the present value of lease payments. Lease terms may include options to extend or terminate the lease. These options are included in the lease term when it is reasonably certain that the Company will exercise those options. Operating lease expense is recorded on a straight-line basis over the lease term.

The Company accounts for lease agreements with lease and non-lease components as a single lease component for all asset classes. The Company does not establish ROU assets or lease liabilities for operating leases with terms of 12 months or less.

The Company’s operating and finance leases include land, casino space, corporate offices, and gaming and other equipment. The leases have remaining lease terms of one month to 16 years.

The components of lease expense were as follows:


	For the three months ended				For the six months ended
	June 30,				June 30,
Amounts in thousands	2021		2020		2021		2020
Operating lease expense	$	1,519	$	1,260	$	2,982	$	2,651

Finance lease expense:
Amortization of right-of-use assets	$	31	$	38	$	67	$	79
Interest on lease liabilities		2		4		4		8
Total finance lease expense	$	33	$	42	$	71	$	87

Short-term lease expense	$	35	$	68	$	70	$	147

Variable lease expense	$	211	$	(151)	$	388	$	568

Variable lease expense relates primarily to rates based on a percentage of gaming revenue, changes in indexes that are excluded from the lease liability and fluctuations in foreign currency related to leases in Poland.

Supplemental cash flow information related to leases was as follows:


	For the six months ended
	June 30,
Amounts in thousands	2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from finance leases	$	4	$	—
Operating cash flows from operating leases		2,862		3,430
Financing cash flows from finance leases		64		79

Supplemental balance sheet information related to leases was as follows:


	As of		As of
Amounts in thousands	June 30, 2021		December 31, 2020
Operating leases
Leased right-of-use assets, net	$	32,188	$	34,074

Current portion of operating lease liabilities		4,390		4,327
Operating lease liabilities, net of current portion		30,561		32,277
Total operating lease liabilities		34,951		36,604

Finance leases
Finance lease right-of-use assets, gross		438		552
Accumulated depreciation		(289)		(338)
Property and equipment, net		149		214

Current portion of finance lease liabilities		81		131
Finance lease liabilities, net of current portion		65		83
Total finance lease liabilities		146		214

Weighted-average remaining lease term
Operating leases		11.2 years		11.3 years
Finance leases		2.0 years		2.1 years

Weighted-average discount rate
Operating leases		4.6%		4.5%
Finance leases		4.5%		4.7%