Lessee, Operating Leases

6 Months Ended

Jun. 30, 2019

Notes

Lessee, Operating Leases

Note 10. Leases 

Certain subsidiaries of the Company are obligated under operating lease agreements for office space and office equipment.

The Company had right-of-use assets amounting to $6,791,000 and corresponding lease liabilities of $7,417,000 related to its operating leases, which are included in other assets and other liabilities, respectively, in the Condensed Consolidated Balance Sheet on June 30, 2019. The weighted average discount rate used to measure lease liabilities was 6.78%. The leases have remaining lease terms of 1 to 8 years, some of which include options to extend the leases for up to 5 years. The weighted average remaining lease term is 5 years. Variable lease costs consist primarily of the Company’s proportionate share of real estate taxes and operating expenses related to leased premises. The following table summarizes information pertaining to our lease obligations for the periods indicated (in thousands): 

		Three Months		Six Months
		Ended		Ended
		June 30, 2019		June 30, 2019
Operating lease costs	$	575	$	1,111
Short-term lease costs		50		74
Variable lease costs		132		206
Total lease costs	$	757	$	1,391
Other information:
Operating cash flows from operating leases	$	(568)	$	(1,173)
Right-of-use assets obtained for operating leases	$	583	$	639

The Company assumed $435,000 of right-of-use assets in connection with acquisitions in 2019, as discussed in Note 7. 

Maturities of operating lease liabilities at June 30, 2019 were as follows: 

Due in the next year	$	2,339
Due in two years		1,845
Due in three years		1,608
Due in four years		1,113
Due in five years		486
Due in remaining years		1,321
Total payments due		8,712
Present value discount		(1,295)
Operating lease liability	$	7,417