Obligations Under Finance Leases

12 Months Ended

Dec. 31, 2021

Obligations Under Finance Leases [Abstract]

Note F - Obligations Under Finance Leases

In 2009, the Company installed a PERFEXION model gamma knife at the NYU center with a seven-year lease from Elekta Capital. The amount financed, covering the cost of the new gamma knife equipment and certain space improvements, was approximately $3,742,000 in total. This lease became payable as a result of damage sustained at the NYU facility in October 2012, due to flooding from Hurricane Sandy, and the remainder of the balance due was paid in January 2013. In 2013, the Company entered into a modification of the above capital lease agreement to finance the new gamma knife installation, the related construction costs and the removal costs of the old equipment for approximately $4.7 million at an interest rate of 4.49% to be repaid beginning in May 2014 over 72 months with no payments for the first three months and $78,000 monthly payments thereafter through May 2020. The Company entered into another capital lease in 2014 to finance a further $250,000 of installation and construction costs, which was repaid over 24 months. In 2016, the Company entered into a capital lease in the amount of $879,000 at an interest rate of 4.45% to finance the installation of the ICON technology for the NYU Gamma Knife equipment to be repaid over 48 months with $20,000 monthly payments beginning October 2016 through September 2020. In October 2018, the Company entered into a capital lease in the amount of $833,000 at an interest rate of 5.85% to partially finance the reload of the cobalt to be repaid over 30 months with $30,000 monthly payments from October 2018 through March 2021.

As discussed in Note B, the Company adopted Topic 842 on January 1, 2019. Upon adoption of Topic 842, the capital lease obligations are accounted for as finance lease obligations with no significant change to how the obligations were accounted for.

The obligations under the finance leases are as follows:

	December 31,
	2021		2020

Finance leases - Gamma Knife	$	-	$	89,000

Less current portion		-		(89,000	)

	$	-	$	-