Quarterly report pursuant to Section 13 or 15(d)

Commitments and Contingencies (Tables)

v3.22.2.2
Commitments and Contingencies (Tables)
9 Months Ended
Sep. 29, 2022
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Components of Lease Expense
The table below presents components of lease expense for operating leases.
Thirteen Weeks Ended Thirty-nine Weeks Ended
in thousands Classification September 29, 2022 September 30, 2021 September 29, 2022 September 30, 2021
Fixed operating lease cost: Selling and store operating $ 33,991  $ 31,940  $ 103,035  $ 91,528 
Cost of sales 6,354  5,668  19,178  16,984 
Pre-opening 2,558  3,272  7,542  7,927 
General and administrative 1,136  1,029  3,407  3,088 
Total fixed operating lease cost $ 44,039  $ 41,909  $ 133,162  $ 119,527 
Variable lease cost (1): Selling and store operating $ 13,524  $ 10,605  $ 38,450  $ 30,356 
Cost of sales 1,231  1,101  3,886  3,693 
Pre-opening 114  13  354  83 
General and administrative 194  78  598  (10)
Total variable lease cost $ 15,063  $ 11,797  $ 43,288  $ 34,122 
Sublease income Cost of sales (681) (597) (2,041) (1,791)
Total operating lease cost (2) $ 58,421  $ 53,109  $ 174,409  $ 151,858 
(1) Includes variable costs for common area maintenance, property taxes, and insurance on leased real estate.
(2) Excludes short-term lease costs, which were immaterial for the thirty-nine weeks ended September 29, 2022 and September 30, 2021.
Schedule of Future Minimum Lease Payments under Non-Cancelable Operating Leases
Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) as of September 29, 2022 were as follows:
in thousands Amount
Thirteen weeks ending December 29, 2022 $ 32,202 
2023 183,545 
2024 180,086 
2025 167,940 
2026 157,889 
Thereafter 1,039,871 
Total minimum lease payments (1) (2) 1,761,533 
Less: amount of lease payments representing interest 476,862 
Present value of future minimum lease payments 1,284,671 
Less: current obligations under leases 107,258 
Long-term lease obligations $ 1,177,413 
(1) Future lease payments exclude approximately $237.4 million of legally binding minimum lease payments for operating leases signed but not yet commenced.
(2) Operating lease payments include $146.8 million related to options to extend lease terms that are reasonably certain of being exercised.