As described in Note 1 “Recently Issued Accounting Standards”, effective December 29, 2018, the Company adopted the new lease accounting standard. The Company has operating leases for office space and, to a much lesser extent, operating leases for equipment. The Company’s office leases are between terms of 1 and 10 years. Rents usually increase annually in accordance with defined rent steps or are based on current year consumer price index adjustments. Some of the lease agreements contain one or more of the following provisions or clauses: tenant allowances, rent holidays, lease premiums, and rent escalation clauses. There are typically no purchase options, residual value guarantees or restrictive covenants. When renewal options exist, the Company generally does not deem them to be reasonably certain to be exercised, and therefore the amounts are not recognized as part of our lease liability nor our right of use asset.

The components of lease expense during the three and six months ended June 28, 2019, were as follows (in thousands):

	Three Months		Six Months
Operating lease cost	$	708	$	1,398

Total net lease costs	$	708	$	1,398

The weighted average remaining lease term is 5.3 years. Assuming the Company exercises its opt-out option in year 5 for the London office lease, the weighted average remaining lease term would be 3.2 years. The weighted average discount rate utilized is 4%. The discount rates applied to each lease, reflects the Company’s estimated incremental borrowing rate. This includes an assessment of the Company’s credit rating to determine the rate that the Company would have to pay to borrow, on a collateralized basis for a similar term, an amount equal to our lease payments in a similar economic environment. For the quarter and six months ended June 28, 2019, the Company paid $0.7 million and $1.4 million, respectively, from operating cash flows for operating leases.

Future minimum lease payments under non-cancellable operating leases as of June 28, 2019, were as follows (in thousands):

2019 (excluding the six months ended June 28, 2019	$	1,259
2020		2,057
2021		1,613
2022		1,371
2023		492
2024 and thereafter		1,705
Total lease payments		8,497
Less imputed interest		(884	)
Total	$	7,613

As of June 28, 2019, the Company does not have any additional operating leases that have not yet commenced that create significant rights and obligations for the Company.