NOTE 7 - LEASES

Lease commitments:

Limco-Piedmont leases some of its operating and office facilities for various terms under long-term, non-cancelable operating lease agreements. The leases expire at various dates through 2029. Certain leases contain renewal options as defined in the agreements.

During 2019, Limco leased a new building (building #5) for its operation. The lease on building #5 expires on March 31, 2030. Building #5 has an early termination option effective after March 31, 2019 with six months advance written notice. The rent is $4,100 per month for building #5 plus the annual percentage increase in the CPI-W.

Lease expense totaled $510, $494 and $474 for the years ended December 31, 2019, 2018, and 2017 respectively.

TAT leases its factory from TAT Industries until the end of 2024. Lease expense totaled $787, $767 and $740 for the years ended December 31, 2019, 2018, and 2017 respectively.

The Company entered into several three-year leases for vehicles. The current monthly lease fees aggregate approximately $40.

The lease cost was as follows:

		Year ended December 31, 2019
Operating lease expenses			1,297

Supplemental cash flow information related to leases was as follows:

		Year ended December 31, 2019
Operating cash flows from operating leases			354

Supplemental information for amounts included in the measurement of lease liabilities are as follows:

	December 31, 2019
Operating Leases
Operating lease right-of-use assets		6,664

Current operating lease liabilities		1,330
Non-current operating lease liabilities		5,688
Total operating lease liabilities		7,018

Weighted Average Remaining Lease Term
Operating leases - Israel	5 years
Operating leases - United States	6 years

Operating leases - Israel		4.5	%
Operating leases - United States		4.84	%

As of December 31, 2019, the maturities of lease liabilities were as follows:

Year	Amount
2020	$	1,626
2021		1,461
2022		1,314
2023		1,250
2024 and after		1,827
Total lease payments		7,478
Less imputed interest		(460	)
Total	$	7,018

As of December 31, 2018, the minimum lease payments of the Company, were as follows:

Year	Amount
2019	$	1,551
2020		1,488
2021		1,330
2022		1,224
2023 and after		2,719
Total	$	8,312