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Leases | 6 Months Ended
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Jun. 30, 2022
Leases [Abstract] |
Leases | Leases The Company leases administrative, manufacturing, research and distribution facilities through operating leases. Several leases include fixed payments including rent and non-lease components such as common-area or other maintenance costs. On January 27, 2022, the Company entered into a Commercial Lease Amendment ("Amendment") with JA-Cole L.P., with an effective date of February 1, 2022, pursuant to the original Commercial Lease dated April 21, 2015, as amended (the "Lease"). The lease is for the office and warehouse facility located in Burleson, Texas. The Amendment revised the commencement date to May 1, 2022, and the expiration date to April 30, 2027. The Company accounted for the Lease revisions as a lease modification in accordance with Accounting Standard Codification ("ASC") 842, Leases, as the modification effectively terminated the existing lease and created a new lease which commenced on February 1, 2022. The Lease and related modification entries are included in the operating lease line items on the condensed consolidated balance sheet. Total operating lease expense for the three months ended June 30, 2022, and 2021 was $1,355 and $1,211 respectively and $2,763 and $2,437 for the six months ended June 30, 2022, and 2021, respectively. Supplemental balance sheet information related to the operating and financing leases is as follows:
(In thousands, except lease term and discount rate ) | June 30, 2022 |  | December 31, 2021
Operating Leases |  |  |
Right-of-use operating assets | $ | 14,975 |  |  | $ | 15,193 |
Current maturities of long-term lease obligations | $ | 1,756 |  |  | $ | 1,825 |
Long-term lease obligations | $ | 20,653 |  |  | $ | 20,794 |
Financing Leases |  |  |
Right-of-use financing leases (1) | $ | 31 |  |  | $ | 42 |
Current maturities of long-term lease obligations | $ | 6 |  |  | $ | 9 |
Long-term lease obligations | $ | 2 |  |  | $ | 4 |
Weighted average operating lease term (in years): | 11.4 |  | 12.1
Weighted average operating financing term (in years): | 1.6 |  | 2.2
Weighted average discount rate operating leases | 10.31 | % |  | 10.32% |
Weighted average discount rate financing leases | 6.84% |  |  | 7.23% |
(1) Financing leases are included within property and equipment, net on the condensed consolidated balance sheets. Future minimum lease payments under operating and financing leases at June 30, 2022, were as follows:
(In thousands) |
2022 (excluding the six months ended June 30, 2022) | $ | 2,152 |
2023 | 3,415 |
2024 | 3,186 |
2025 | 3,268 |
2026 | 3,276 |
2027 | 61 |
Thereafter | 23,939 |
Total | $ | 39,296 |
Less: Imputed interest | (16,879) |
Total lease liability | $ | 22,417 |
Less: Current lease liability | (1,762) |
Long-term lease liability | $ | 20,655 |
Leases | Leases The Company leases administrative, manufacturing, research and distribution facilities through operating leases. Several leases include fixed payments including rent and non-lease components such as common-area or other maintenance costs. On January 27, 2022, the Company entered into a Commercial Lease Amendment ("Amendment") with JA-Cole L.P., with an effective date of February 1, 2022, pursuant to the original Commercial Lease dated April 21, 2015, as amended (the "Lease"). The lease is for the office and warehouse facility located in Burleson, Texas. The Amendment revised the commencement date to May 1, 2022, and the expiration date to April 30, 2027. The Company accounted for the Lease revisions as a lease modification in accordance with Accounting Standard Codification ("ASC") 842, Leases, as the modification effectively terminated the existing lease and created a new lease which commenced on February 1, 2022. The Lease and related modification entries are included in the operating lease line items on the condensed consolidated balance sheet. Total operating lease expense for the three months ended June 30, 2022, and 2021 was $1,355 and $1,211 respectively and $2,763 and $2,437 for the six months ended June 30, 2022, and 2021, respectively. Supplemental balance sheet information related to the operating and financing leases is as follows:
(In thousands, except lease term and discount rate ) | June 30, 2022 |  | December 31, 2021
Operating Leases |  |  |
Right-of-use operating assets | $ | 14,975 |  |  | $ | 15,193 |
Current maturities of long-term lease obligations | $ | 1,756 |  |  | $ | 1,825 |
Long-term lease obligations | $ | 20,653 |  |  | $ | 20,794 |
Financing Leases |  |  |
Right-of-use financing leases (1) | $ | 31 |  |  | $ | 42 |
Current maturities of long-term lease obligations | $ | 6 |  |  | $ | 9 |
Long-term lease obligations | $ | 2 |  |  | $ | 4 |
Weighted average operating lease term (in years): | 11.4 |  | 12.1
Weighted average operating financing term (in years): | 1.6 |  | 2.2
Weighted average discount rate operating leases | 10.31 | % |  | 10.32% |
Weighted average discount rate financing leases | 6.84% |  |  | 7.23% |
(1) Financing leases are included within property and equipment, net on the condensed consolidated balance sheets. Future minimum lease payments under operating and financing leases at June 30, 2022, were as follows:
(In thousands) |
2022 (excluding the six months ended June 30, 2022) | $ | 2,152 |
2023 | 3,415 |
2024 | 3,186 |
2025 | 3,268 |
2026 | 3,276 |
2027 | 61 |
Thereafter | 23,939 |
Total | $ | 39,296 |
Less: Imputed interest | (16,879) |
Total lease liability | $ | 22,417 |
Less: Current lease liability | (1,762) |
Long-term lease liability | $ | 20,655 |

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- Definition The entire disclosure for finance leases of lessee. Includes, but is not limited to, description of lessee's finance lease and maturity analysis of finance lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
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- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
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