Annual report pursuant to Section 13 and 15(d)

LEASES

v3.22.4
LEASES
 12 Months Ended
Dec. 31, 2022
Leases [Abstract]  
LEASES
NOTE 17 — LEASES
Our land leases are classified as finance leases and include one or more options to extend the lease term for up to 40 years, as well as to terminate the lease within five years, at our sole discretion. We are reasonably certain that those options will be exercised, and that our termination rights will not be exercised, and we have, therefore, included those assumptions within our right of use assets and corresponding lease liabilities. Our office space leases are classified as operating leases and include one or more options to extend the lease term up to 10 years, at our sole discretion. As we are not reasonably certain that those options will be exercised, none are recognized as part of our right of use assets and lease liabilities. As none of our leases provide an implicit rate, we have determined our own discount rate.
The following table shows the classification and location of our right-of-use assets and lease liabilities on our Consolidated Balance Sheets (in thousands):
December 31,
Leases Consolidated Balance Sheets Classification 2022 2021
Right of use asset
Operating Other Non-Current Assets $ 13,303  $ 10,166 
Finance Property, plant and equipment, net 56,708  57,883 
Total Leased Assets $ 70,011  $ 68,049 
Liabilities
Current
Operating Accrued and other liabilities $ 2,734  $ 2,147 
Finance Accrued and other liabilities 140  132 
Non-Current
Operating Other non-current liabilities 12,148  9,563 
Finance Finance lease liabilities 49,963  50,103 
Total leased liabilities $ 64,985  $ 61,945 
Lease costs recognized in our Consolidated Statements of Operations is summarized as follows (in thousands):
Year Ended December 31,
Lease Costs 2022 2021 2020
Operating lease cost $ 3,149  $ 2,519  $ 2,741 
Finance lease cost
Amortization of lease assets 1,174  788  367 
Interest on lease liabilities 3,978  2,904  1,694 
Finance lease cost $ 5,152  $ 3,692  $ 2,061 
Total lease cost $ 8,301  $ 6,211  $ 4,802 
Other information about lease amounts recognized in our Consolidated Financial Statements is as follows:
December 31,
Lease term and discount rate 2022 2021
Weighted average remaining lease term (years)
Operating lease 4.5 4.7
Finance lease 48.4 49.4
Weighted average discount rate
Operating lease 6.2  % 8.0  %
Finance lease 9.4  % 9.4  %
The following shows other quantitative information for our operating and finance leases (in thousands):
Year Ended December 31,
. 2022 2021 2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 3,423  $ 2,953  $ 2,847 
Operating cash flows from finance leases $ 3,674  $ 1,813  $ 1,056 
Financing cash flows from finance leases $ 132  $ 1,926  $ 1,777 
The table below presents an analysis of the maturity of our lease liability on an undiscounted basis and reconciles those amounts to the present value of the lease liability as of December 31, 2022 (in thousands):
Operating Finance
2023 $ 3,581  $ 4,111 
2024 3,848  4,111 
2025 3,891  4,111 
2026 3,913  4,111 
2027 1,665  4,111 
After 2027 275  178,111 
Total lease payments $ 17,173  $ 198,666 
Less: discount 2,291  148,563 
Present value of lease liability $ 14,882  $ 50,103 
LEASES
NOTE 17 — LEASES
Our land leases are classified as finance leases and include one or more options to extend the lease term for up to 40 years, as well as to terminate the lease within five years, at our sole discretion. We are reasonably certain that those options will be exercised, and that our termination rights will not be exercised, and we have, therefore, included those assumptions within our right of use assets and corresponding lease liabilities. Our office space leases are classified as operating leases and include one or more options to extend the lease term up to 10 years, at our sole discretion. As we are not reasonably certain that those options will be exercised, none are recognized as part of our right of use assets and lease liabilities. As none of our leases provide an implicit rate, we have determined our own discount rate.
The following table shows the classification and location of our right-of-use assets and lease liabilities on our Consolidated Balance Sheets (in thousands):
December 31,
Leases Consolidated Balance Sheets Classification 2022 2021
Right of use asset
Operating Other Non-Current Assets $ 13,303  $ 10,166 
Finance Property, plant and equipment, net 56,708  57,883 
Total Leased Assets $ 70,011  $ 68,049 
Liabilities
Current
Operating Accrued and other liabilities $ 2,734  $ 2,147 
Finance Accrued and other liabilities 140  132 
Non-Current
Operating Other non-current liabilities 12,148  9,563 
Finance Finance lease liabilities 49,963  50,103 
Total leased liabilities $ 64,985  $ 61,945 
Lease costs recognized in our Consolidated Statements of Operations is summarized as follows (in thousands):
Year Ended December 31,
Lease Costs 2022 2021 2020
Operating lease cost $ 3,149  $ 2,519  $ 2,741 
Finance lease cost
Amortization of lease assets 1,174  788  367 
Interest on lease liabilities 3,978  2,904  1,694 
Finance lease cost $ 5,152  $ 3,692  $ 2,061 
Total lease cost $ 8,301  $ 6,211  $ 4,802 
Other information about lease amounts recognized in our Consolidated Financial Statements is as follows:
December 31,
Lease term and discount rate 2022 2021
Weighted average remaining lease term (years)
Operating lease 4.5 4.7
Finance lease 48.4 49.4
Weighted average discount rate
Operating lease 6.2  % 8.0  %
Finance lease 9.4  % 9.4  %
The following shows other quantitative information for our operating and finance leases (in thousands):
Year Ended December 31,
. 2022 2021 2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 3,423  $ 2,953  $ 2,847 
Operating cash flows from finance leases $ 3,674  $ 1,813  $ 1,056 
Financing cash flows from finance leases $ 132  $ 1,926  $ 1,777 
The table below presents an analysis of the maturity of our lease liability on an undiscounted basis and reconciles those amounts to the present value of the lease liability as of December 31, 2022 (in thousands):
Operating Finance
2023 $ 3,581  $ 4,111 
2024 3,848  4,111 
2025 3,891  4,111 
2026 3,913  4,111 
2027 1,665  4,111 
After 2027 275  178,111 
Total lease payments $ 17,173  $ 198,666 
Less: discount 2,291  148,563 
Present value of lease liability $ 14,882  $ 50,103