Quarterly report pursuant to Section 13 or 15(d)

Leases (Tables)

v3.19.2
Leases (Tables)
6 Months Ended
Jun. 30, 2019
Leases [Abstract]  
Components of operating lease costs
Components of operating lease costs are as follows for the thirteen weeks ended June 30, 2019:
Lease cost
 
Classification
 
Unrelated Parties
 
Related Party
 
Total
Operating lease cost (a)
 
Occupancy, General and administrative expenses and Property and equipment, net
 
$
5,571

 
$
576

 
$
6,147

Variable lease cost
 
Occupancy
 
121

 
177

 
298

 
 
 
 
$
5,692

 
$
753

 
$
6,445

(a) Includes short-term operating lease costs which are immaterial.
Components of operating lease costs are as follows for the twenty-six weeks ended June 30, 2019:
Lease cost
 
Classification
 
Unrelated Parties
 
Related Party
 
Total
Operating lease cost (a)
 
Occupancy, General and administrative expenses and Property and equipment, net
 
$
11,007

 
$
1,152

 
$
12,159

Variable lease cost
 
Occupancy
 
222

 
328

 
550

 
 
 
 
$
11,229

 
$
1,480

 
$
12,709

(a) Includes short-term operating lease costs which are immaterial.
Weighted average lease term and discount rate are as follows:
 
June 30, 2019
Weighted average remaining lease term (in years)
15.4

Weighted average discount rate
7.8
%
Supplemental cash flow disclosures for the twenty-six weeks ended June 30, 2019:
 
June 30, 2019
Cash paid for operating lease liabilities
$
12,683

Operating lease assets obtained in exchange for operating lease liabilities (a)
173,949

(a) Includes the transition adjustment for the adoption of Leases (Topic 842) as discussed in Note 3, Recent Accounting Pronouncements in the notes to our unaudited condensed consolidated financial statements. As a result of the store closures, the Company also shortened the remaining life of the related leases and recorded a $1.3 million reduction to the operating lease assets and liabilities during the first quarter of 2019.
Supplemental balance sheet information
Supplemental balance sheet disclosures:
Operating leases
 
Classification
 
June 30, 2019
Right-of-use assets
 
Operating lease assets
 
$
170,094

 
 
 
 
 
Current lease liabilities
 
Operating lease liability
 
$
9,412

Non-current lease liabilities
 
Operating lease liability, less current portion
 
215,899

Total lease liabilities
 
 
 
$
225,311

Schedule of Future Minimum Rent Payments for Operating Leases
Future minimum rent payments for our operating leases for each of the next five years as of June 30, 2019 are as follows:
 
Unrelated Parties
 
Related Party
 
Total
Fiscal year ending:
 
 
 
 
 
Remainder of 2019
$
11,953

 
$
1,140

 
$
13,093

2020
24,423

 
2,286

 
26,709

2021
24,707

 
2,292

 
26,999

2022
24,550

 
1,439

 
25,989

2023
24,918

 
1,446

 
26,364

Thereafter
269,948

 
1,205

 
271,153

Total minimum lease payments
380,499

 
9,808

 
390,307

Less: imputed interest
163,365

 
1,631

 
164,996

Present value of lease liabilities
$
217,134

 
$
8,177

 
$
225,311

Fiscal Year 2018 Schedule of Future Minimum Rental Payments for Operating Leases
As previously disclosed in our 2018 Annual Report on Form 10-K and under the previous lease accounting, future minimum rent payments for our operating leases for each of the next five years and in total are as follows as of December 30, 2018:
 
Unrelated Parties
 
Related Party
 
Total
Fiscal year ending:
 
 
 
 
 
2019
$
23,638

 
$
2,279

 
$
25,917

2020
25,184

 
2,286

 
27,470

2021
25,620

 
2,292

 
27,912

2022
25,463

 
1,439

 
26,902

2023
25,832

 
1,446

 
27,278

Thereafter
294,112

 
1,205

 
295,317

Total minimum lease payments
$
419,849

 
$
10,947

 
$
430,796