• Filing Date: 2020-03-23
  • Form Type: 10-K
  • Description: Annual report
v3.20.1
Leases
12 Months Ended
Dec. 31, 2019
Leases [Abstract]  
Leases

We adopted ASU 2016-02, Leases on January 1, 2019, which resulted in the recognition of operating leases on the consolidated balance sheet in 2019 and forward. See Note 2 – Significant Accounting Policies for more information on the adoption of the ASU. Right-of-use assets and lease liabilities are disclosed as line items in the consolidated balance sheet. We determine if a contract contains a lease at inception and recognize operating lease right-of-use assets and operating lease liabilities based on the present value of the future minimum lease payments at the commencement date. As our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at the commencement date in determining the present value of future payments. Lease agreements that have lease and non-lease components, are accounted for as a single lease component. Lease expense is recognized on a straight-line basis over the lease term.

 

The Company’s operating lease obligations are for the Company’s office facilities. Our lease has a remaining lease term of approximately 50 months, and includes an option to extend the lease. Under the terms of the lease, the Company also has the right to terminate the lease after thirty-six (36) months upon giving appropriate notice in writing to the Lessor. The components of lease expense and other lease information as of and during the year ended December 31, 2019 are as follows:

 

(in thousands)

 

For the Three-Month Period

Ended 

December 31,

2019

   

For the Twelve-Month Period

Ended 

December 31,

2019

 
Operating Lease Cost (1)   $ 22     $ 85  
                 
Cash paid for amounts included in the measurement of lease liabilities                
Operating cash flows from operating leases   $ 22     $ 93  

 

(1) Includes short-term leases

 

(in thousands)

  At December 31, 2019  
Operating lease right-of-use assets   $ 133  
         
Operating lease liabilities   $ 133  
         
Weighted-average remaining lease term - operating leases     4.17 years  
         
Weighted-average discount rate - operating leases     6.5 %
         

 

 

Future minimum lease payments under non-cancellable leases as of December 31, 2019, reconciled to our discounted operating lease liability presented on the consolidated balance sheet are as follows:

 

(in thousands)

  At December 31, 2019  
Remainder of 2019   $ -  
2020     36  
2021     36  
2022     37  
2023     37  
Thereafter     6  
Total future minimum lease payments   $ 152  
         
Less imputed interest     (19 )
Total operating lease liability   $ 133