XML 24 R12.htm IDEA: XBRL DOCUMENT
v3.21.2

Lease Commitments | 9 Months Ended
--- | ---
Oct. 03, 2021
Leases [Abstract] |
Lease Commitments | (5) Lease Commitments The Company has operating and finance leases for the Company’s retail store facilities, distribution center, corporate offices, information technology hardware and distribution center delivery tractors and equipment, and accounts for these leases in accordance with ASC 842. Certain of the leases for the Company’s retail store facilities provide for variable payments for property taxes, insurance, common area maintenance payments related to triple net leases, rental payments based on future sales volumes at the leased location, as well as certain equipment sales taxes, licenses, fees and repairs, which are not measurable at the inception of the lease, or rental payments that are adjusted periodically for inflation. The Company recognizes variable lease expense for these leases in the period incurred which, for contingent rent, begins in the period in which it becomes probable that the specified target that triggers the variable lease payments will be achieved. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. In accordance with ASC 842, the components of lease expense were as follows:
|  | 13 Weeks Ended |  |  | 39 Weeks Ended |
|  | October 3, 2021 |  |  | September 27, 2020 |  |  | October 3, 2021 |  |  | September 27, 2020 |
|  | (In thousands) |
Lease expense: |  |  |  |  |  |  |  |  |  |  |  |
Amortization of right-of-use assets |  | $ | 742 |  |  | $ | 660 |  |  | $ | 2,112 |  |  | $ | 2,070 |
Interest on lease liabilities |  |  | 66 |  |  |  | 67 |  |  |  | 186 |  |  |  | 234 |
Finance lease expense |  |  | 808 |  |  |  | 727 |  |  |  | 2,298 |  |  |  | 2,304 |
Operating lease expense |  |  | 20,535 |  |  |  | 20,382 |  |  |  | 61,255 |  |  |  | 60,986 |
Variable lease expense |  |  | 4,572 |  |  |  | 4,595 |  |  |  | 13,775 |  |  |  | 10,577 |
Sublease income |  |  | (13 | ) |  |  | (293 | ) |  |  | (90 | ) |  |  | (879 | )
Total lease expense |  | $ | 25,902 |  |  | $ | 25,411 |  |  | $ | 77,238 |  |  | $ | 72,988 |
In accordance with ASC 842, other information related to leases was as follows:
|  | 39 Weeks Ended |
|  | October 3, 2021 |  |  | September 27, 2020 |
|  | (In thousands) |
Operating cash flows from operating leases |  | $ | 64,226 |  |  | $ | 57,243 |
Financing cash flows from finance leases |  |  | 2,141 |  |  |  | 2,067 |
Operating cash flows from finance leases |  |  | 198 |  |  |  | 234 |
Cash paid for amounts included in the measurement of lease liabilities |  | $ | 66,565 |  |  | $ | 59,544 |
Right-of-use assets obtained in exchange for new finance lease liabilities |  | $ | 7,661 |  |  | $ | — |
Right-of-use assets obtained in exchange for new operating lease liabilities |  | $ | 47,325 |  |  | $ | 75,025 |
Weighted-average remaining lease term—finance leases |  | 3.9 years |  |  | 2.6 years |
Weighted-average remaining lease term—operating leases |  | 4.9 years |  |  | 5.2 years |
Weighted-average discount rate—finance leases |  |  | 3.2 | % |  |  | 4.7 | %
Weighted-average discount rate—operating leases |  |  | 5.4 | % |  |  | 6.2 | %
In accordance with ASC 842, maturities of finance and operating lease liabilities as of October 3, 2021 were as follows:
Year Ending: |  | Finance Leases |  |  | Operating Leases |
|  | (In thousands) |
2021 (remaining three months) |  | $ | 998 |  |  | $ | 22,913 |
2022 |  |  | 3,283 |  |  |  | 83,566 |
2023 |  |  | 2,361 |  |  |  | 66,935 |
2024 |  |  | 1,543 |  |  |  | 58,016 |
2025 |  |  | 1,060 |  |  |  | 41,385 |
Thereafter |  |  | 1,064 |  |  |  | 55,618 |
Undiscounted cash flows |  | $ | 10,309 |  |  | $ | 328,433 |
Reconciliation of lease liabilities: |  |  |  |  |  |
Weighted-average remaining lease term |  | 3.9 years |  |  | 4.9 years |
Weighted-average discount rate |  |  | 3.2 | % |  |  | 5.4 | %
Present values |  | $ | 9,770 |  |  | $ | 288,578 |
Lease liabilities - current |  |  | 3,379 |  |  |  | 76,113 |
Lease liabilities - long-term |  |  | 6,391 |  |  |  | 212,465 |
Lease liabilities - total |  | $ | 9,770 |  |  | $ | 288,578 |
Difference between undiscounted and discounted cash flows |  | $ | 539 |  |  | $ | 39,855 |

X
- Definition The entire disclosure for significant arrangements with third parties, which includes operating lease arrangements and arrangements in which the entity has agreed to expend funds to procure goods or services, or has agreed to commit resources to supply goods or services, and operating lease arrangements. Descriptions may include identification of the specific goods and services, period of time covered, minimum quantities and amounts, and cancellation rights. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 440 -URI http://asc.fasb.org/topic&trid=2144648 + Details
Name: | us-gaap_CommitmentsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration