Leases

9 Months Ended

Sep. 30, 2021

Leases

Leases

Note 4 — Leases

The Company has operating leases for office space and finance leases for certain equipment under non-cancelable agreements with various expiration dates through May 2030. Certain office leases include the option to extend the term between one to seven years and certain office leases include the option to terminate the lease upon written notice within one year after lease commencement. Leases with an initial term of 12 months or less are not recorded on the balance sheet.

During 2021, the Company extended its agreement to sublease one floor of office space at one of its locations in Manila, Philippines to a third-party through the end of the original lease term in September 2023, entered into an agreement to sublease two floors of office space at a second location in Manila, Philippines to a third-party through the end of the original lease term in December 2021, and extended its lease for reduced office space at its location in Yokohama, Japan through May 2024.

Supplemental income statement information related to leases was as follows:

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2021		2020		2021		2020
	(in thousands)
Operating lease cost	$	2,780	$	3,090	$	8,574	$	9,121
Finance lease cost:
Amortization of leased assets		98		213		364		564
Interest on lease liabilities		4		19		22		75
Total finance lease cost		102		232		386		639
Sublease income		(1,259)		(905)		(3,644)		(2,692)
Net lease cost	$	1,623	$	2,417	$	5,316	$	7,068

Supplemental balance sheet information related to leases was as follows:

	September 30, 2021		December 31, 2020
	(in thousands)
Operating leases:
ROU assets	$	22,706	$	29,798
Operating lease liabilities	$	9,503	$	10,797
Operating lease liabilities, net of current portion		18,931		25,975
Total operating lease liabilities	$	28,434	$	36,772
Finance leases:
Property and equipment	$	2,861	$	2,880
Accumulated depreciation		(2,318)		(1,963)
Property and equipment, net	$	543	$	917
Other current liabilities	$	186	$	608
Other long-term liabilities		—		63
Total finance lease liabilities	$	186	$	671

Lease term and discount rate information was as follows:

	For the Nine Months Ended September 30,
	2021			2020
Weighted-average remaining lease term (in years):
Operating lease		5.7		5.7
Finance lease		0.3		1.2
Weighted-average discount rate:
Operating lease		6.2	%	6.2	%
Finance lease		6.5	%	7.0	%

Maturities of lease liabilities were as follows as of September 30, 2021:

	Operating Leases		Operating Sublease		Finance Leases		Total
	(in thousands)
Remainder of 2021	$	3,119	$	(1,292)	$	125	$	1,952
2022		9,329		(3,588)		64		5,805
2023		4,390		(1,410)		—		2,980
2024		3,000		—		—		3,000
2025		2,950		—		—		2,950
Thereafter		11,222		—		—		11,222
Total lease payments		34,010		(6,290)		189		27,909
Less: interest		(5,576)		—		(3)		(5,579)
Total	$	28,434	$	(6,290)	$	186	$	22,330