COMMITMENTS AND CONTINGENCIES

Executive Employment Agreements

The Company has entered into employment agreements and offer letters with certain of its key executives, providing for separation payments and benefits in certain circumstances, as defined in the agreements.

Legal Contingencies

The Company is not currently subject to any material legal proceedings and has recorded no legal contingencies.

Leases

On January 1, 2019, the Company adopted ASC 842 using the optional transition method. The Company's lease portfolio includes:

An operating lease for its 31,100 square foot facility in Winnipeg, Manitoba which consists of manufacturing, laboratory, warehouse and office space, under a five-year renewable lease through September 2020 with a right to renew the lease for one subsequent five-year term. The minimum monthly rent under this lease is $12,600 per month. In addition to rent expense, the Company expects to incur $12,300 per month in related operating expenses. Operating lease cost under this lease, including the related operating costs, was $0.3 million for the year ended December 31, 2019. Rent expense (under ASC 840), including the related operating costs, was $0.3 million for each of the years ended December 31, 2018 and 2017, respectively;

A short-term property lease for modular office space for its current corporate headquarters in Cambridge, MA under a lease that renews every four months and currently extends through August 2020. The minimum monthly rent for this office space is currently $7,900 per month, which is subject to change if and as the Company adds or deducts space to or from the lease. The Company recorded $0.1 million and $0.1 million in rent expense for the years ended December 31, 2019 and 2018, respectively, for this lease; and

A short-term property lease for modular office space in Philadelphia, PA under a lease that renews every six months and currently extends through October 2020. The minimum monthly rent for this office space is currently $13,500 per month, which is subject to change if and as the Company adds or deducts space to or from the lease. The Company recorded $0.1 million and $0.2 million in rent expense for the years ended December 31, 2019 and 2018, respectively, for this lease.

The components of lease cost for the year ended December 31, 2019 is as follows (in thousands):



	Year ended
Lease Cost:	December 31, 2019
Operating lease (including related operating costs)	$	298
Short-term property leases	263
Total Lease Costs	$	561



Supplemental Information:
Weighted-average remaining lease term - operating leases (in years)	0.75
Weighted-average discount rate - operating leases	12%

The following table sets forth the Company's future minimum lease payments under non-cancelable leases as of December 31, 2019 (in thousands):



Year ending December 31,	Minimum Lease Payments
2020	113
Total future minimum lease payments	113
Less: Amounts representing present value adjustment	(1		)
Operating lease current liabilities as of December 31, 2019	$	112