LEASES

9 Months Ended

Mar. 31, 2020

Leases [Abstract]

LEASES

Company as Lessor

Operating leases under which the Company is the lessor arise from the leasing of the Company’s commercial real estate investment property to third parties. Initial lease terms generally range from 12 to 60 months. Depreciation expense for assets subject to operating leases is taken into account primarily on the straight-line method over a period of twenty years in amounts necessary to reduce the carrying amount of the asset to its estimated residual value. Depreciation expenses relating to the property held as investments in operating leases were $17 and $52 for the three and nine months ended March 31, 2020, respectively, and $14 and $42 for the same periods in the last fiscal year.

Future minimum rental income in China and Thailand to be received from fiscal year 2020 to fiscal year 2021 on non-cancellable operating leases is contractually due as follows as of March 31, 2020:

Remainder of fiscal 2020	$	152
2021	$	549
	$	701

Future minimum rental income in China and Thailand to be received from fiscal year 2020 to fiscal year 2021 on non-cancellable operating leases is contractually due as follows as of June 30, 2019:

2020	$	93
2021	$	6
	$	99

Company as Lessee

The Company has operating leases for corporate offices and research and development facilities with remaining lease terms of 1 year to 3 years and finance leases for plant and equipment.

Supplemental balance sheet information related to leases is as follows (in thousands):

		March. 31,
		2020
Components of Lease Balances	Classification	(Unaudited)
Assets
Operating lease assets	Right-of-use asset-operating, net	$	1,073
Finance  lease assets	Property, plant & equipment		1,758
Accumulated amortization Right-of-use asset			(663	)
Assets	Property, plant & equipment	$	1,095
Total Leased Assets		$	2,168
Liabilities
Operating Lease Liabilities
Current portion	Current portion of lease liability-operating	$	541
Long-term portion	Lease liability- Operating, net of current portion		532
Total Operating Lease Liabilities		$	1,073
Finance Lease Liabilities
Current portion of finance leases	Current portion of lease liability-finance	$	246
Net of current portion of finance leases	Lease liability- Finance, net of current portion		486
Total Finance Lease Liabilities		$	732
Total Lease Liabilities		$	1,805

	3 Months Ended March 31, 2020		9 Months Ended March 31, 2020
Lease Cost
Finance lease cost:
Interest on lease liability	$	13	$	37
Amortization of Right-of-use asset		76		212
Total Finance Lease Cost		89		249
Operating Lease Costs	$	167	$	526

Other information related to leases were as follows (in thousands except lease term and discount rate):

	Mar. 31,
	2020
	(Unaudited)
Cash Paid for amounts included in the measurement of lease liabilities
Operating cash flows from finance leases	$	(43	)
Operating cash flows from operating leases	$	(398	)
Finance cash flows from finance leases	$	(251	)
Right-of-use assets obtained in exchange for new operating lease liabilities	$	780
Weighted-average remaining lease term:
Finance leases		3.55
Operating leases		1.89
Weighted-average discount rate:
Finance leases		3.40	%
Operating leases		4.59	%

As of March 31, 2020, the maturities of the Company's operating and finance lease liabilities were as follow:

	Operating Lease Liabilities			Finance Lease Liabilities
Fiscal Year
Remainder of 2020	$	244		$	83
2021		442			262
2022		293			209
2023		153			132
2024		-			106
Thereafter		-			21
Total future minimum lease payments	$	1,132		$	813
Less: amount representing interest		(59	)		(81	)
Present value of net minimum lease payments		1,073			732
Presentation on statement of financial position
Current	$	541		$	246
Non-Current	$	532		$	486

As of June 30, 2019, future minimum lease payments under finance leases and non-cancelable operating leases were as follows:

Fiscal Year	Operating Lease Liabilities		Finance Lease Liabilities
2020	$	620	$	283
2021		216		187
2022		47		143
2023		1		68
2024		-		44
Total future minimum lease payments	$	884	$	725