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

Quarterly report pursuant to Section 13 or 15(d)

Leases (Tables)

Leases (Tables)

9 Months Ended

Nov. 30, 2019

Summary of lease right-of-use assets and liabilities

A summary of lease right-of-use assets and liabilities are as follows:



	Balance Sheet Classification	November 30, 2019
(in millions)
Assets
Operating lease	Other assets	$	502.9
Finance lease	Property, plant, and equipment	27.4
Total right-of-use assets		$	530.3

Liabilities
Current:
Operating lease	Other accrued expenses and liabilities	$	78.0
Finance lease	Current maturities of long-term debt	12.0
Non-current:
Operating lease	Deferred income taxes and other liabilities	503.3
Finance lease	Long-term debt, less current maturities	14.3
Total lease liabilities		$	607.6

Lease cost components

The components of total lease cost are as follows:



	For the Nine Months Ended November 30, 2019		For the Three Months Ended November 30, 2019
(in millions)
Operating lease cost	$	77.0	$	30.5
Finance lease cost:
Amortization of right-of-use assets	8.8		3.2
Interest on lease liabilities	0.5		0.2
Short-term lease cost	6.6		2.4
Variable lease cost	368.3		272.9
Total lease cost	$	461.2	$	309.2

Operating lease maturities

As of November 30, 2019, minimum payments due for lease liabilities for the remaining three months of fiscal 2020 and for each of the five succeeding fiscal years and thereafter are as follows:



	Operating Leases			Finance Leases
(in millions)
2020	$	22.5		$	3.3
2021	96.5			11.6
2022	84.2			7.3
2023	72.7			3.8
2024	64.2			1.2
2025	54.0			—
Thereafter	312.1			—
Total lease payments	706.2			27.2
Less: Interest	(124.9		)	(0.9		)
Total lease liabilities	$	581.3		$	26.3

Finance lease maturities

As of November 30, 2019, minimum payments due for lease liabilities for the remaining three months of fiscal 2020 and for each of the five succeeding fiscal years and thereafter are as follows:



	Operating Leases			Finance Leases
(in millions)
2020	$	22.5		$	3.3
2021	96.5			11.6
2022	84.2			7.3
2023	72.7			3.8
2024	64.2			1.2
2025	54.0			—
Thereafter	312.1			—
Total lease payments	706.2			27.2
Less: Interest	(124.9		)	(0.9		)
Total lease liabilities	$	581.3		$	26.3

Future payments of noncancelable operating lease

As of February 28, 2019, future payments were expected to be as follows:



	Operating Leases
(in millions)
2020	$	59.0
2021	58.2
2022	51.1
2023	47.9
2024	41.2
Thereafter	302.1
Total lease payments	$	559.5

⁽¹⁾

For leases with terms in excess of 12 months at inception

Supplemental cash flow information



Supplemental information	For the Nine Months Ended November 30, 2019
(in millions)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	77.3
Operating cash flows from finance leases	$	0.5
Financing cash flows from finance leases	$	10.6

Right-of-use assets obtained in exchange for new lease liabilities:
Operating leases	$	34.7
Finance leases	$	8.5



	November 30, 2019
(in millions)
Weighted-average remaining lease term:
Operating leases	11.4 years
Finance leases	3.6 years

Weighted-average discount rate:
Operating leases	3.5	%
Finance leases	2.6	%