2. LEASES: ADOPTION OF ASC 842, LEASES (Tables)

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Operating lease right to use

	June 30, 2019		January 1, 2019
Assets:
Right-of-use operating lease assets	$	5,094	$	5,707
Liabilities:
Current lease liabilities		1,254		1,215
Non-current lease liabilities		3,857		4,492
Total lease liabilities	$	5,111	$	5,707

Components of lease expense

The components of our lease expense were as follows:

	Three Months Ended		Six Months Ended
	June 30, 2019		June 30, 2019
Operating lease expense included in Cost of sales	$	308	$	614
Operating lease expense included in SG&A		64		130
Short term lease expense		172		237
Total lease expense	$	544	$	981

As of June 30, 2019, we do not have any finance lease assets or liabilities , nor do we have any subleases.

Other information related to operating leases were as follows:
Operating cash flows from operating leases	$	741

Lease Term and Discount Rate:	June 30, 2019		January 1, 2019
Weighted-average remaining lease terms (years) on operating leases		3.8		4.5
Weighted-average discount rates on operating leases		5.374%		5.374%

Future minimum lease payments

Future minimum lease payments under non cancellable operating leases were as follows:	Twelve Months ending
	June 30,
2020	$	1,494
2021		1,464
2022		1,399
2023		1,296
Thereafter		–
Total lease payments		5,653
Less: Interest		(542	)
Present value of lease liabilities	$	5,111