Finance Obligation |
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| Finance Obligation | 18. Finance Obligation The Company has sold future services to be performed associated with certain sale/leaseback transactions and recorded the balance as a finance obligation. The outstanding balance of this obligation as of June 30, 2024 was $314.8 million, $76.7 million and $238.1 million of which was classified as short-term and long-term, respectively, on the unaudited interim condensed consolidated balance sheet. The outstanding balance of this obligation at December 31, 2023 was $350.8 million, $74.0 million and $276.8 million of which was classified as short-term and long-term, respectively, on the unaudited interim condensed consolidated balance sheet. The amount is amortized using the effective interest method. Interest expense recorded related to finance obligations for the three months ended June 30, 2024 and 2023 was $9.4 million and $9.8 million, respectively. Interest expense recorded related to finance obligations for the six months ended June 30, 2024 and 2023 was $19.4 million and $19.0 million, respectively. In prior periods, the Company entered into sale/leaseback transactions that were accounted for as financing transactions and reported as part of finance obligations. The outstanding balance of finance obligations related to sale/leaseback transactions as of June 30, 2024 was $15.9 million, $8.9 million and $7.0 million of which was classified as short-term and long-term, respectively, on the unaudited interim condensed consolidated balance sheet. The outstanding balance of this obligation at December 31, 2023 was $17.6 million, $10.0 million and $7.6 million of which was classified as short-term and long-term, respectively, on the unaudited interim condensed consolidated balance sheet. Future minimum payments under finance obligations notes above as of June 30, 2024 were as follows (in thousands):
Other information related to the above finance obligations are presented in the following table:
The fair value of the Company’s total finance obligations approximated their carrying value as of June 30, 2024 and December 31, 2023. |
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