Leases
9 Months Ended
Oct. 01, 2021
Leases [Abstract]  
Leases
LEASES
We determine whether an arrangement contains a lease at inception. We have operating leases for office space, apartments, vehicles, and machinery and equipment. Our operating leases have lease terms of less than one year to ten years.
We do not separate lease components from non-lease components (e.g., common area maintenance, property taxes and insurance) but account for both components in a contract as a single lease component.
The components of lease expense are as follows:
Three Months EndedNine Months Ended
(In thousands)October 1, 2021October 2, 2020October 1, 2021October 2, 2020
Operating lease expense$3,307 $1,349 $7,372 $5,621 
Variable lease expense184 191 599 546 
Short-term lease expense16,630 14,323 47,367 40,483 
Total lease expense$20,121 $15,863 $55,338 $46,650 
Supplemental balance sheet information related to our operating leases is as follows:
(In thousands)October 1, 2021December 31, 2020
Right-of-use assets$43,111 $18,718 
Current lease liabilities (recorded in other accrued liabilities)$11,280 $6,245 
Long-term lease liabilities (recorded in other non-current liabilities)34,308 13,970 
Total operating lease liabilities$45,588 $20,215 
Additional right-of-use assets of $31.4 million were recognized as non-cash asset additions that resulted from new operating lease liabilities during the first nine months of 2021.
The weighted average remaining lease term and discount rate for our operating leases at October 1, 2021 was 5.3 years and 3.7%, respectively.
Maturities of lease liabilities at October 1, 2021 were as follows:
(In thousands)Payments due
2021 (excluding the nine months ended October 1, 2021)$3,300 
202212,020 
202311,825 
20247,435 
20253,488 
After 202513,139 
Total minimum lease payments51,207 
Less: Imputed interest(5,619)
Total operating lease liabilities$45,588 
On September 30, 2021, the Company signed a forward-starting lease agreement in support of its contractual obligations under a task order issued under the Logistics Civil Augmentation Program (LOGCAP) V support services contract in support of the U.S. Military. The lease commencement date, which is anticipated in early 2022, is subject to the completion of certain documents and the receipt of related government regulatory and other third-party approvals. The lease term consists of eight one-year extension options and one additional six month option period. The annual rent obligations are $20 million per year, subject to a market adjustment beginning in the sixth year, and additional rent obligations for certain operating expenses.