Leases

6 Months Ended

Jun. 30, 2021

13. Leases

The Company has entered into operating leases for its corporate headquarters and other office facilities, financial data terminals and equipment. The Company has no finance leases.

The following table provides additional information regarding the Company’s leases:


	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Lease cost:
Operating lease cost	$	643		$	790		$	1,340		$	1,588
Short-term lease cost		259			300			554			642

Total lease cost	$	902		$	1,090		$	1,894		$	2,230


Other information:
Cash paid for amounts included in the measurement of operating liabilities (operating leases)	$	740		$	919		$	1,658		$	1,845

Right-of-use assets obtained in exchange for new operating lease liabilities		n/a			n/a			n/a			n/a

Weighted-average remaining lease term (in years) – operating leases		8.4			9.0			8.4			9.0

Weighted-average discount rate – operating leases		6.3	%		6.3	%		6.3	%		6.3	%

None of the Company’s leases include variable payments, residual value guarantees or any restrictions or covenants relating to the Company’s ability to pay dividends or incur additional financing obligations.

The Company’s lease of its headquarters, which expires in August 2029, includes an option to extend for an additional five years. Rent payable under the option is equal to the fair market rent of the premises as determined by the landlord approximately six months prior to the commencement of the extension term. The lease also includes a cancellation option which is effective on August 21, 2024 and requires notice to be provided to the landlord at least 12 months prior. Triggering this option requires a cancellation payment of $4,236. The cancellation and extension options were not reasonably certain of being exercised and were therefore not recognized as part of the

right-of-use

asset and lease liability.

Other leases also include extension, automatic renewal and termination provisions. These provisions were also not reasonably certain of being exercised and were therefore not recognized as part of the

right-of-use

asset and lease liability.

During the six months ended June 30, 2021, the Company recognized an impairment charge of $303 resulting from the derecognition of a

right-of-use

asset upon exiting its London office in February 2021, as well as costs incurred to restore the office space to its original condition.

The following table discloses future minimum lease payments at June 30, 2021 with respect to the Company’s operating lease liabilities:


Remainder of 2021	$	1,646
2022		3,326
2023		3,158
2024		3,037
2025		3,148
2026 and thereafter		11,457

Total future minimum lease payments (undiscounted)	$	25,772

The following table reconciles the future minimum lease payments (disclosed above) at June 30, 2021 to the operating lease liabilities recognized in the Company’s Consolidated Balance Sheet:


Amounts recognized in the Company’s Consolidated Balance Sheet
Lease liability – short term	$	3,326
Lease liability – long term		16,920

Subtotal		20,246
Difference between undiscounted and discounted cash flows		5,526

Total future minimum lease payments (undiscounted)	$	25,772