Leases

As lessor, as of March 31, 2019, all of our leases were operating leases with the exception of two leases entered into during the first quarter of 2019 which are classified as notes receivables under the failed sale leaseback guidance provided by ASC 842.

The significant majority of leases the Company enters as lessee are for real estate (office and warehouse space for our operations as well as automobiles). These lease agreements do not contain any material residual value guarantees or material restrictive covenants. The Company does not have any significant leases that have not yet commenced but that create significant rights and obligations. Leases with terms of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. Some of the Company's leases include variable non-lease components (e.g., taxes) which are not separated from associated lease components (e.g. fixed rent, common-area maintenance costs, vehicle protection plans and other service fees) as elected under the practical expedient package provided by ASC 842.

The Company's leases have remaining lease terms of one to eight years, some of which include options to renew or extend the lease term from one to five years. Our automobile leases include an option to purchase the vehicle at lease termination. The depreciable life of assets are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise.

The exercise of lease renewal options or purchase at lease termination is at the Company's sole discretion. If it is reasonably certain that we will exercise such options, the periods covered by such options are included in the lease term and are recognized as part of our ROU assets and lease liabilities.

Supplemental balance sheet information related to leases was as follows:



Leases	Classification	March 31, 2019
		(in thousands, except lease term and discount rate)
Assets
Operating lease right-of-use assets	Other assets	$	4,309
Total leased assets		$	4,309

Liabilities
Operating lease right-of-use liabilities	Accounts payable and accrued expenses	$	4,092
Total lease liabilities		$	4,092

Weighted average remaining lease term (years)
Operating leases		6
Weighted average discount rate
Operating leases		4.5		%

Future maturities of the Company's operating lease liabilities at March 31, 2019 are as follows:



Year	(in thousands)
Remaining for year ending December 31, 2019	$	639
2020	852
2021	752
2022	705
2023	510
Thereafter	1,276
Total lease payments	4,734
Less: interest	(642		)
Total lease liabilities	$	4,092

The following table represents future minimum lease payments under noncancelable operating leases at December 31, 2018 as presented in the Company’s Annual Report on Form 10-K filed March 14, 2019:



Year	(in thousands)
2019	$	1,172
2020	676
2021	638
2022	645
2023	483
Thereafter	1,183
	$	4,797

The components of lease expense for the three months ended March 31, 2019 were as follows:

Supplemental cash flow information related to leases for the three months ended March 31, 2019 was as follows:



	(in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	199

Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	—

Lease expense

Classification

(in thousands)

Operating lease cost

General and administrative

Net lease cost