Leases (Notes)

6 Months Ended

Jun. 30, 2019

Current Period Disclosures under ASC 842

Lessee

At June 30, 2019, the operating and financing components of the Company’s right-of-use assets and lease liabilities on the consolidated balance sheet are as follows:



	Balance Sheet Location	June 30, 2019
Right-of-use assets
Operating	Operating right-of-use assets	$	32,417
Financing	Property, plant and equipment, net	659
Total right-of use assets		$	33,076

Lease liabilities
Operating	Operating lease liabilities, current and long-term portions	$	33,041
Financing	Long-term debt, current and long-term portions	615
Total lease liabilities		$	33,656

Operating lease costs are recorded in a single expense on the income statement and allocated to the right-of-use assets and the related lease liabilities as depreciation expense and interest expense, respectively. Lease cost recognized in the consolidated income statement for the three and six months ended June 30, 2019 is as follows:



	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Finance lease cost
Amortization of right-of-use assets	$	34	$	64
Interest on lease liabilities	11		22
Operating lease cost	4,257		7,364
Short-term lease cost	120		134
Total lease cost	$	4,422	$	7,584

Other information related to the Company’s leasing activity for the six months ended June 30, 2019 is as follows:



	Six Months Ended
	June 30, 2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows used for finance leases	$	20
Operating cash flows used for operating leases	$	7,288
Financing cash flows used for finance leases	$	58

Right-of-use assets obtained in exchange for new finance lease liabilities	$	55
Right-of-use assets recorded upon adoption	$	35,939
Right-of-use assets obtained in exchange for new operating lease liabilities	$	4,100


Weighted average remaining lease term - finance leases	4.0 years
Weighted average discount rate - finance leases	6.69		%
Weighted average remaining lease term - operating leases	2.9 years
Weighted average discount rate - operating leases	5.50		%

Maturities of the Company’s lease liabilities as of June 30, 2019 are as follows:



Year	Operating Leases			Finance Leases			Total
Remainder of 2019	$	7,864		$	116		$	7,980
2020	12,762			165			12,927
2021	8,847			165			9,012
2022	3,979			151			4,130
2023	1,394			103			1,497
Thereafter	888			—			888
Total cash lease payments	35,734			700			36,434
Less: amounts representing interest	(2,693		)	(85		)	(2,778		)
Total lease liabilities	$	33,041		$	615		$	33,656

Prior period disclosures under ASC 840

Capital Leases

The Company entered into various lease arrangements to lease equipment. Equipment cost of $657 has been capitalized and included in the Company’s property, plant and equipment as of December 31, 2018. Depreciation expense under leased assets was approximately $54 and $109 for the three and six months ended June 30, 2018, respectively.

Operating Leases

Expense related to operating leases and other rental agreements was $3,363 and $6,693 for three and six months ended June 30, 2018, respectively. Lease expense related to railcars is included in cost of goods sold in the condensed consolidated income statements.

Leases