Lessee, Operating Leases

9 Months Ended

Sep. 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 $7,251,000 and corresponding lease liabilities of $7,871,000 related to its operating leases, which are included in other assets and other liabilities, respectively, in the Condensed Consolidated Balance Sheet on September 30, 2019. The weighted average discount rate used to measure lease liabilities was 6.70%. 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		Nine Months
		Ended		Ended
		September 30, 2019		September 30, 2019
Operating lease costs	$	599	$	1,710
Short-term lease costs		65		139
Variable lease costs		127		333
Total lease costs	$	791	$	2,182
Other information:
Operating cash flows from operating leases	$	(603)	$	(1,776)
Right-of-use assets obtained for operating leases	$	1,049	$	1,688

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 September 30, 2019 were as follows: 

Due in the next year	$	2,490
Due in two years		1,893
Due in three years		1,786
Due in four years		1,136
Due in five years		699
Due in remaining years		1,200
Total payments due		9,204
Present value discount		(1,333)
Operating lease liability	$	7,871