| Leases |
4. Leases
At October 29, 2022, we had operating leases for our retail stores, certain distribution and fulfillment facilities, vehicles and equipment. Our remaining lease terms vary from one month to ten years, with varying renewal and termination options.
The following table presents components of lease expense (in thousands):
|
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
|
|
|
October 29, 2022 |
|
|
October 30, 2021 |
|
|
October 29, 2022 |
|
|
October 30, 2021 |
|
|
Operating lease expense |
|
$ |
18,591 |
|
|
$ |
17,727 |
|
|
$ |
55,349 |
|
|
$ |
55,114 |
|
|
Variable lease expense |
|
|
1,905 |
|
|
|
2,467 |
|
|
|
5,680 |
|
|
|
6,235 |
|
|
Total lease expense (1) |
|
$ |
20,496 |
|
|
$ |
20,194 |
|
|
$ |
61,029 |
|
|
$ |
61,349 |
|
|
|
(1) |
Total lease expense includes short-term lease expense and sublease income which is immaterial to the Company. Total lease expense does not include right-of-use asset impairment charges, common area maintenance charges and other non-lease components. |
Supplemental cash flow information related to leases is as follows (in thousands):
|
|
|
Nine Months Ended |
|
|
|
|
October 29, 2022 |
|
|
October 30, 2021 |
|
|
Cash paid for amounts included in the measurement of lease liabilities: |
|
|
|
|
|
|
|
|
|
Operating cash flows from operating leases |
|
$ |
(56,796 |
) |
|
$ |
(59,099 |
) |
|
Right-of-use assets obtained in exchange for new operating lease liabilities |
|
|
49,331 |
|
|
|
31,458 |
|
Weighted-average remaining lease term and discount rate were as follows:
|
|
|
October 29, 2022 |
|
|
October 30, 2021 |
|
|
Weighted-average remaining lease term |
|
|
5.0 |
|
|
|
5.2 |
|
|
Weighted-average discount rate |
|
|
2.5 |
% |
|
|
2.7 |
% |
At October 29, 2022, the maturities of our operating leases liabilities are as follows (in thousands):
|
Fiscal 2022 |
|
$ |
15,927 |
|
|
Fiscal 2023 |
|
|
72,231 |
|
|
Fiscal 2024 |
|
|
56,910 |
|
|
Fiscal 2025 |
|
|
40,265 |
|
|
Fiscal 2026 |
|
|
28,145 |
|
|
Thereafter |
|
|
55,366 |
|
|
Total minimum lease payments |
|
|
268,844 |
|
|
Less: interest |
|
|
(14,790 |
) |
|
Present value of lease obligations |
|
|
254,054 |
|
|
Less: current portion |
|
|
(65,236 |
) |
|
Long-term lease obligations (1) |
|
$ |
188,818 |
|
|
|
(1) |
Amounts in the table do not include contingent rent, common area maintenance charges and other non-lease components. |
At October 29, 2022, we have excluded from the table above $4.6 million of operating leases that were contractually executed, but had not yet commenced. These operating leases are expected to commence by the end of fiscal 2023.
|