LEASES

6 Months Ended

Dec. 26, 2020

Leases

The Company has several commitments under operating leases for warehouses, manufacturing facilities, office buildings, and equipment with initial terms that expire at various dates during the next 1 year to 10 years.

The components of lease cost for the three and six months ended December 26, 2020 were (in thousands):


Lease cost	Classification	Three Months Ended		Six Months Ended
Operating lease cost	Cost of sales	$	1,137	$	2,301
Operating lease cost	Selling, general and administrative expenses	333		671
Total lease cost		$	1,470	$	2,972

Amounts reported in the Consolidated Balance Sheet as of December 26, 2020 were (in thousands, except weighted average lease term and discount rate):


	December 26, 2020
Operating Leases:
Operating lease right of use assets	$	17,672
Operating lease liabilities (1)	17,428

Weighted-average remaining lease term (in years)
Operating leases	6.30

Weighted-average discount rate
Operating leases	4.06		%

(1) The current portion of the total operating lease liabilities of $4.4 million is classified under Other Current Liabilities, resulting in $13.0 million classified under Operating Lease Liabilities in the Long-term Liabilities section of the condensed consolidated balance sheet.

Other information related to leases was as follows (in thousands):


	Three Months Ended		Six Months Ended
	December 26, 2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	1,186	$	2,384

Future lease payments under non-cancellable leases as of December 26, 2020 are as follows (in thousands):


Fiscal Years Ending	Operating Leases
2021 (1)	$	2,142
2022	3,875
2023	3,111
2024	2,526
2025	2,427
Thereafter	5,990
Total undiscounted lease payments	20,071
Less: present value discount	(2,643)
Total lease liabilities	$	17,428

(1) Represents estimated lease payments for the remaining six-month period ending July 3, 2021.