ARKO Corp. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Leases (Tables)

Leases (Tables)

6 Months Ended

Jun. 30, 2021

Summary of components of lease cost recorded on the consolidated statements of operations

Under ASC 842, the components of lease cost recorded on the condensed consolidated statements of operations were as follows:


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2021		2020		2021		2020
	(in thousands)
Finance lease cost:
Depreciation of right-of-use assets	$	3,410	$	3,156	$	6,727	$	6,348
Interest on lease liabilities		4,374		4,359		8,820		8,685
Operating lease costs included in store operating expenses		32,491		27,138		64,825		54,382
Operating lease costs included in general and administrative expenses		458		320		854		647
Lease cost related to variable lease payments, short-term leases and leases of low value assets		458		170		833		320
Right-of-use asset impairment charges		412		290		523		929
Total lease costs	$	41,603	$	35,433	$	82,582	$	71,311

Summary of supplemental data related to leases

Supplemental data related to leases was as follows:


	June 30, 2021			December 31, 2020
	(in thousands)
Operating leases
Weighted average remaining lease term (in years)		13.2			13.4
Weighted average discount rate		7.7	%		7.7	%
Financing leases
Weighted average remaining lease term (in years)		23.9			23.7
Weighted average discount rate		7.3	%		7.7	%

Operating & Finance Leases, Liability, Maturity

The minimum lease payments presented below include periods where an option is reasonably certain to be exercised and do not take into consideration any future consumer price index adjustments for these agreements.


	Operating			Financing
	(in thousands)
2021	$	63,498		$	12,719
2022		125,538			23,331
2023		126,011			21,777
2024		126,682			20,722
2025		126,874			20,840
Thereafter		1,100,536			468,299
Gross lease payments	$	1,669,139		$	567,688
Less: imputed interest		(638,136	)		(328,257	)
Total lease liabilities	$	1,031,003		$	239,431