The Company has operating leases for certain of its full service and back-up early education and child care centers, corporate offices, call centers, and to a lesser extent, various office equipment, in the United States, the United Kingdom, the Netherlands, and Australia. Most of the leases expire within 10 to 15 years and many contain renewal options and/or termination provisions. As of September 30, 2026 and December 31, 2025, there were no material finance leases.


	Three months ended September 30,				Nine months ended September 30,
	2026		2025		2026		2025

	(In thousands)
Operating lease expense (1)	$	36,006	$	37,064	$	121,139	$	111,122
Variable lease expense (1)	10,965		11,204		33,148		34,558
Total lease expense	$	46,971	$	48,268	$	154,287	$	145,680

(1) Excludes short-term lease expense and sublease income, which were immaterial for the periods presented.

Operating lease expense for the nine months ended September 30, 2026 includes impairment losses on operating lease right-of-use assets of $11.1 million. Refer to Note 9, Fair Value Measurements, and Note 11, Segment Information, for additional information.

The weighted average remaining lease term and the weighted average discount rate were as follows:


	September 30, 2026	December 31, 2025

Weighted average remaining lease term (in years)	9	9
Weighted average discount rate	7.1%	7.0%


	Operating Leases

	(In thousands)
Remainder of 2026	$	30,237
2027	156,744
2028	144,676
2029	129,066
2030	107,556
Thereafter	451,592
Total lease payments	1,019,871
Less imputed interest	(272,845)
Present value of lease liabilities	747,026
Less current portion of operating lease liabilities	(111,291)
Long-term operating lease liabilities	$	635,735