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Supplementary Balance Sheet Information
3 Months Ended
Mar. 31, 2020
Inventory Disclosure [Abstract]  
Supplementary Balance Sheet Information Supplementary Balance Sheet Information
The components of inventories are as follows (in thousands):
March 31,
2020
December 31,
2019
Raw materials$3,855  $4,309  
Work-in-process2,723  2,710  
Finished goods352  461  
Total inventories6,930  7,480  
Less reserve for excess and obsolete inventories(313) (383) 
Total inventories, net$6,617  $7,097  
Property and equipment consist of the following (in thousands):
March 31,
2020
December 31, 2019
Land$995  $995  
Buildings and leasehold improvements5,451  5,451  
Machinery and equipment57,388  57,417  
Total property and equipment63,834  63,863  
Less accumulated depreciation(43,072) (41,725) 
Total property and equipment, net$20,762  $22,138  
In April 2019, Digirad purchased three manufacturing facilities, including land, in Maine that manufacture modular buildings (two of which were purchased from KBS Builders, Inc., a wholly-owned subsidiary of ATRM (“KBS”)) for $5.2 million and leased those three properties to KBS. KBS subleased the manufacturing building located in Waterford, Maine to North Country Steel Inc., a Maine corporation with an initial 5 year term rental agreement, commenced on September 6, 2019. The rental agreement is structured with a monthly payment arrangement and is accounted for as operating lease. Refer to lease income discussed in Note 2, Revenue.