Net Investment in Sales-Type Leases

3 Months Ended

Mar. 31, 2017

On a recurring basis, we enter into sales-type lease transactions which vary in length from one to five years. The receivables as a result of these types of transactions are collateralized by the underlying equipment leased and consist of the following components at March 31, 2017 and December 31, 2016:



	March 31, 2017			December 31, 2016
	(In thousands)
Net minimum lease payments to be received	$	32,214		$	33,591
Less: Unearned interest income portion	(2,506		)	(2,763		)
Net investment in sales-type leases	29,708			30,828
Less: Short-term portion⁽¹⁾	(10,534		)	(10,243		)
Long-term net investment in sales-type leases	$	19,174		$	20,585

⁽¹⁾The short-term portion of the net investments in sales-type leases is included in other current assets in the Condensed Consolidated Balance Sheets.

The Company evaluates its sales-type leases individually and collectively for impairment. The allowance for credit losses were $0.2 million and $0.3 million as of March 31, 2017 and of December 31, 2016, respectively.

At March 31, 2017, the future minimum lease payments under sales-type leases are as follows:



	March 31, 2017
	(In thousands)
Remaining nine months of 2017	$	9,397
2018	7,988
2019	6,264
2020	4,139
2021	2,304
Thereafter	2,122
Total	$	32,214