Quarterly report pursuant to Section 13 or 15(d)

Lease Accounting (Tables)

v3.21.2
Lease Accounting (Tables)
9 Months Ended
Sep. 30, 2021
Leases [Abstract]  
Schedule of Aggregate Lease Costs by Lease Classification

The following table represents the Company’s aggregate lease costs, by lease classification, for the periods presented.

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

 

September 30

 

 

September 30

 

Lease Cost

Classification

2021

 

 

2020

 

 

2021

 

 

2020

 

Operating lease costs

 

 

 

 

 

 

 

 

 

 

 

 

Equipment (1)

Utilities and other

$

699

 

 

$

823

 

 

$

1,567

 

 

$

2,495

 

Real Estate (2)(3)

Facility lease expense

 

69,492

 

 

 

65,970

 

 

 

200,930

 

 

 

211,088

 

Total operating lease costs

 

$

70,191

 

 

$

66,793

 

 

$

202,497

 

 

$

213,583

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Finance lease costs

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of leased assets

Depreciation and amortization

$

3,142

 

 

$

3,665

 

 

$

9,533

 

 

$

11,052

 

Interest on lease liabilities

Interest expense

 

1,449

 

 

 

1,725

 

 

 

4,510

 

 

 

5,333

 

Total finance lease costs

 

$

4,591

 

 

$

5,390

 

 

$

14,043

 

 

$

16,385

 

(1)
Includes approximately $566 and $(267) of short-term lease payments for the three months ended September 30, 2021 and 2020, respectively. Includes approximately $1,194 and $(839) of short-term lease payments for the nine months ended September 30, 2021 and 2020, respectively.
(2)
Includes approximately $1,862 and $(191) of variable lease payments based on a change in index, such as CPI or inflation, variable payments based on revenues or attendance and variable common area maintenance costs for the three months ended September 30, 2021 and 2020, respectively. Includes approximately $(81) and $9,146 of variable lease payments based on a change in index, such as CPI or inflation, variable payments based on revenues or attendance and variable common area maintenance costs for the nine months ended September 30, 2021 and 2020, respectively.
(3)
Approximately $318 and $335 of lease payments are included in general and administrative expenses primarily related to office leases for the three months ended September 30, 2021 and 2020, respectively. Approximately $967 and $1,122 of lease payments are included in general and administrative expenses primarily related to office leases for the nine months ended September 30, 2021 and 2020, respectively.
Schedule of Minimum Cash Lease Payments

The following table represents the minimum cash lease payments recorded as lease expense, interest expense and a reduction of lease liabilities, as well as the non-cash addition of lease assets for the periods indicated.

 

 

Nine Months Ended

 

 

 

September 30,

 

Other Information

 

2021

 

 

2020

 

Contractual cash payments included in the measurement of lease liabilities(1)

 

 

 

 

 

 

Cash outflows for operating leases

 

$

201,384

 

 

$

205,276

 

Cash outflows for finance leases - operating activities

 

$

4,504

 

 

$

5,304

 

Cash outflows for finance leases - financing activities

 

$

11,045

 

 

$

11,497

 

Non-cash amount of leased assets obtained in exchange for:

 

 

 

 

 

 

Operating lease liability additions, net

 

$

109,088

 

 

$

84,241

 

As discussed above at Lease Deferrals and Abatements, the Company negotiated certain lease amendments to defer and/or abate contractual payments as a result of the COVID-19 pandemic and temporary closure of theatres. In accordance with FASB Staff guidance, the Company did not recalculate lease liabilities and right of use assets for amendments that did not result in a substantial increase in the rights of the lessor or the obligations of the lessee. Contractual payment amounts for the nine months ended September 30, 2021 above are prior to the impact of deferred or abated rent amounts.