Kontoor Brands, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

LEASES (Tables)

LEASES (Tables)

3 Months Ended

Mar. 30, 2019

Schedule of Supplemental Balance Sheet Information

The following table presents the lease-related assets and liabilities recorded in the combined balance sheet:



(in thousands)	March 2019
Assets
Operating lease assets, noncurrent	$	77,305
Total lease assets	$	77,305

Liabilities
Operating lease liabilities, current	$	29,156
Operating lease liabilities, noncurrent	51,533
Total lease liabilities	$	80,689

Weighted-average remaining lease term (in years)
Operating leases	3.69
Weighted-average discount rate
Operating leases	3.27		%

Schedule of Lease Costs

The following table presents supplemental cash flow information related to leases:



(in thousands)	Three Months Ended March 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows impact - operating leases	$	10,641
Right-of-use assets obtained in exchange for new operating leases	$	7,837

The following table presents certain information related to the lease costs for operating leases:



(in thousands)	Three Months Ended March 2019
Operating lease cost	$	7,613
Short-term lease cost (excluding leases of one month or less)	491
Variable lease cost	2,816
Total lease costs	$	10,920

Schedule of Maturities of Operating Leases

The following table reconciles maturities of operating lease liabilities as of March 30, 2019 to the lease liabilities reflected in the combined balance sheet:



(in thousands)	Lease Obligations
2019 (excluding the three months ended March 2019)	$	25,618
2020	26,388
2021	17,031
2022	7,922
2023	4,805
Thereafter	5,679
Total future minimum lease payments	87,443
Less: amounts related to imputed interest	(6,754		)
Present value of future minimum lease payments	80,689
Less: operating lease liabilities, current	(29,156		)
Operating lease liabilities, noncurrent	$	51,533

Schedule of Future Minimum Rental Payments Under Previous Accounting Standard

As of March 30, 2019, the Company has entered into approximately $3.0 million of operating lease arrangements, on an undiscounted basis, that have not yet commenced. The Company continuously monitors and may negotiate contract amendments that include extensions or modifications to existing leases.

The following table presents the future minimum lease payments during the noncancelable lease terms as presented under ASC 840:



(in thousands)	December 2018
2019	$	33,562
2020	29,246
2021	17,810
2022	7,932
2023	4,353
Thereafter	4,582
Total future minimum lease payments	$	97,485