v3.19.1
LEASES
3 Months Ended
Mar. 31, 2019
Lessee Disclosure [Abstract]  
LEASES
NOTE 7:-
LEASES

The Company adopted ASU No. 2016-02, “Leases (Topic 842),” effective on January 1, 2019, which requires leases with durations greater than twelve months to be recognized on the balance sheet. The Company adopted the standard using the modified retrospective approach with an effective date as of the beginning of the fiscal year, January 1, 2019. Prior year financial statements were not recast under the new standard and, therefore, those amounts are not presented below.

The Company leases offices, plants and vehicles under operating and finance leases. For leases with terms greater than 12 months, the Company records the related asset and liability at the present value of lease payments according to their term. Several of the Company’s leases include renewal options and some have termination options that are factored into the Company’s determination of the lease payments when appropriate. The Company estimates the incremental borrowing rate in order to discount the lease payments based on the information available at the lease commencement date.

The following table summarizes the Company’s lease-related assets and liabilities recorded on the condensed consolidated balance sheet:

 
Classification on the condensed consolidated Balance Sheet
 
As of March 31, 2019
 
Assets
         
           
Operating lease assets, net of lease incentive obligation
 
Operating lease right-of-use assets
 
$
30,839
 
Finance lease assets
 
Property, plant and equipment, net
   
2,905
 
Total lease assets
     
$
33,744
 
             
Liabilities
           
             
Operating and finance leases short term
 
Accrued expenses and other current liabilities
 
$
8,808
 
Operating leases long term
 
Operating lease liabilities
   
24,790
 
Finance leases long term
 
Other non-current liabilities
   
2,045
 
Total lease liabilities
     
$
35,643
 
             
Weighted average remaining lease term in years
           
  Operating leases
       
5.08
 
Finance leases
       
8.67
 
             
Weighted average annual discount rate
           
Operating leases
       
1.56
%
Finance leases
       
2.87
%

The following table presents certain information related to the lease costs for operating and finance leases for the three months ended March 31, 2019:

   
Three months
ended March
31, 2019
 
Finance lease cost
     
Amortization of leased assets
 
$
27
 
Interest on lease liabilities
   
16
 
         
Operating lease cost
   
2,231
 
         
Total lease cost
 
$
2,274
 

The following table presents supplemental cash flow information related to the lease costs for operating and finance leases for the three months ended March 31, 2019:

   
Three months
ended March
31, 2019
 
Cash paid for amounts included in the measurement of lease liabilities
     
Operating cash flows for operating leases
 
$
2,231
 

The following table reconciles the undiscounted cash flows for each of the first five years and total of the remaining years of the operating and finance lease liabilities recorded on the condensed consolidated balance sheets:

   
Operating
Lease
   
Finance
Leases
 
2019
 
$
6,632
   
$
156
 
2020
   
7,444
     
208
 
2021
   
6,443
     
208
 
2022
   
5,470
     
194
 
2023
   
4,732
     
194
 
Thereafter
   
4,435
     
1,620
 
Total lease payments
   
35,156
     
2,580
 
Less: amount of lease payments representing interest
   
(1,737
)
   
(356
)
Present value of future lease payments
   
33,419
     
2,224
 
Less: current obligations under leases
   
(8,629
)
   
(179
)
Long-term lease obligations
 
$
24,790
   
$
2,045