| Summary of Operating Lease Cost and Other Information |
Operating lease cost and other information (in thousands):
|
|
|
Three Months Ended March 31,
|
|
|
|
|
2020
|
|
|
2019
|
|
|
Fixed lease cost
|
|
$
|
65,202
|
|
|
$
|
54,502
|
|
|
Variable lease cost
|
|
|
1,011
|
|
|
|
6,632
|
|
|
Operating cash flows used for leases
|
|
|
63,983
|
|
|
|
56,924
|
|
|
Noncash right-of-use assets recorded for lease liabilities:
|
|
|
|
|
|
|
|
|
|
For January 1 adoption of Topic 842
|
|
|
-
|
|
|
|
1,035,062
|
|
|
In exchange for new lease liabilities during the period
|
|
|
9,581
|
|
|
|
11,473
|
|
|
Weighted-average remaining lease term
|
|
4.61 years
|
|
|
5.19 years
|
|
|
Weighted-average discount rate
|
|
|
4.19
|
%
|
|
|
4.24
|
%
|
The following VIEs are consolidated into the Company’s condensed consolidated financial statements and the carrying amounts and classification of assets and liabilities were as follows (in thousands):
|
HF Logistics (1)
|
|
March 31, 2020
|
|
|
December 31, 2019
|
|
|
Current assets
|
|
$
|
62,302
|
|
|
$
|
5,297
|
|
|
Non-current assets
|
|
|
104,474
|
|
|
|
104,527
|
|
|
Total assets
|
|
$
|
166,776
|
|
|
$
|
109,824
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities
|
|
$
|
922
|
|
|
$
|
64,600
|
|
|
Non-current liabilities
|
|
|
130,514
|
|
|
|
1,009
|
|
|
Total liabilities
|
|
$
|
131,436
|
|
|
$
|
65,609
|
|
|
|
|
|
|
|
|
|
|
|
|
Product distribution joint ventures (2)
|
|
March 31, 2020
|
|
|
December 31, 2019
|
|
|
Current assets
|
|
$
|
691,277
|
|
|
$
|
747,668
|
|
|
Non-current assets
|
|
|
490,857
|
|
|
|
325,283
|
|
|
Total assets
|
|
$
|
1,182,134
|
|
|
$
|
1,072,951
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities
|
|
$
|
436,941
|
|
|
$
|
430,282
|
|
|
Non-current liabilities
|
|
|
151,909
|
|
|
|
135,903
|
|
|
Total liabilities
|
|
$
|
588,850
|
|
|
$
|
566,185
|
|
|
(1)
|
Includes HF Logistics-SKX, LLC and HF Logistics-SKX, T2, LLC.
|
|
(2)
|
Distribution joint ventures include Skechers Footwear Ltd. (Israel), Skechers China Limited, Skechers Korea Limited, Skechers Southeast Asia Limited, Skechers (Thailand) Limited, and Manhattan SKMX, S. de R.L. de C.V. (Mexico).
|
|
| Summary of Maturities of Lease Liabilities |
The maturities of lease liabilities were as follows (in thousands):
|
|
|
March 31, 2020
|
|
|
2020 remaining months
|
|
$
|
177,292
|
|
|
2021
|
|
|
213,036
|
|
|
2022
|
|
|
184,287
|
|
|
2023
|
|
|
164,704
|
|
|
2024
|
|
|
153,096
|
|
|
Thereafter
|
|
|
449,388
|
|
|
Total lease payments
|
|
|
1,341,803
|
|
|
Less: Imputed interest
|
|
|
(175,082
|
)
|
|
|
|
$
|
1,166,721
|
|
|
|
|
|
|
|
The following is a summary of net earnings (loss) attributable to, distributions to and contributions from non-controlling interests (in thousands):
|
|
|
Three Months Ended March 31,
|
|
|
|
|
2020
|
|
|
2019
|
|
|
Net earnings (loss) attributable to non-controlling interests
|
|
$
|
(7,941
|
)
|
|
$
|
22,261
|
|
|
Distributions to:
|
|
|
|
|
|
|
|
|
|
HF Logistics-SKX, LLC
|
|
|
10,683
|
|
|
|
1,014
|
|
|
Skechers China Limited
|
|
|
4,182
|
|
|
|
—
|
|
|
Skechers South Asia Private Limited
|
|
|
—
|
|
|
|
11,629
|
|
|
Non-cash contributions from:
|
|
|
|
|
|
|
|
|
|
HF Logistics-SKX, LLC
|
|
|
—
|
|
|
|
7,565
|
|
|
Manhattan SKMX, S. de R.L. de C.V.
|
|
|
49,045
|
|
|
|
—
|
|
|