| LEASES |
LEASES The following table presents lease-related assets and liabilities recorded in the Company's balance sheets:
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| (In thousands) |
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December 2025 |
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December 2024 |
| Assets |
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Operating lease assets, noncurrent (a)
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|
$ |
141,579 |
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|
|
$ |
47,171 |
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| Total lease assets |
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$ |
141,579
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|
$ |
47,171
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| Liabilities |
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Operating lease liabilities, current (b)
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$ |
33,663 |
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|
|
$ |
20,890 |
|
Operating lease liabilities, noncurrent (c)
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|
116,877 |
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|
|
29,955 |
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| Total lease liabilities |
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$ |
150,540
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|
|
|
$ |
50,845
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| Weighted-average remaining lease term (in years) |
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| Operating leases |
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5.42 |
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|
4.00 |
| Weighted-average discount rate |
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| Operating leases |
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5.80 |
% |
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|
5.76 |
% |
(a) "Operating lease assets, noncurrent" at December 2025 includes $85.8 million related to Helly Hansen.
(b) "Operating lease liabilities, current" at December 2025 includes $14.2 million related to Helly Hansen.
(c) "Operating lease liabilities, noncurrent" at December 2025 includes $77.2 million related to Helly Hansen.
Lease costs
The following table presents certain information related to lease costs for operating leases:
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Year Ended December |
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| (In thousands) |
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2025 |
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|
2024 |
|
2023 |
Operating lease costs (a)
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|
$ |
44,326 |
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|
|
$ |
29,163 |
|
|
$ |
31,543 |
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| Short-term lease costs (excluding leases of one month or less) |
|
733 |
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|
558 |
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|
603 |
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| Variable lease costs |
|
5,898 |
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|
4,929 |
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|
4,070 |
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| Total lease costs |
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$ |
50,957
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|
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$ |
34,650
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|
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$ |
36,216
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(a) "Operating lease costs" for the year ended December 2025 include $13.9 million related to Helly Hansen.
Other information
The following table presents supplemental cash flow and non-cash information related to operating leases:
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Year Ended December |
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| (In thousands) |
|
2025 |
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|
2024 |
|
2023 |
| Cash paid for amounts included in the measurement of lease liabilities - operating cash flows |
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$ |
43,276
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$ |
33,037
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$ |
31,457
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Right-of-use operating lease assets obtained in exchange for new operating lease liabilities - non-cash activity (a)
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$ |
114,426
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$ |
7,891
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$ |
14,964
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(a) Includes $96.6 million related to the right-of-use operating lease assets obtained in the Acquisition on May 31, 2025
The following table presents future maturities of operating lease liabilities as of December 2025:
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| (In thousands) |
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Lease Obligations |
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| 2026 |
|
$ |
43,665 |
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| 2027 |
|
35,693 |
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| 2028 |
|
26,871 |
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| 2029 |
|
24,165 |
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| 2030 |
|
21,014 |
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| Thereafter |
|
31,124 |
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| Total future minimum lease payments |
|
182,532
|
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| Less: amounts related to imputed interest |
|
(31,992) |
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| Present value of future minimum lease payments |
|
150,540
|
|
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| Less: operating lease liabilities, current |
|
(33,663) |
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| Operating lease liabilities, noncurrent |
|
$ |
116,877
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As of December 2025, the Company had not entered into any operating lease arrangements that had not yet commenced. The Company continuously monitors lease contracts and may negotiate amendments that include extensions or modifications to existing leases.
Refer to Note 15 to the Company's financial statements in this Form 10-K for additional information on the related fair value measurements.
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