XML 306 R15.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Leases | 12 Months Ended
--- | ---
Dec. 31, 2023
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. The components of total lease expense for the years ended were as follows:
| December 31,
(in thousands) | 2023 |  | 2022 |  | 2021
Finance lease costs |  |  |  |  |
Amortization of right-of-use assets | $ | 4 |  |  | $ | 20 |  |  | $ | 22 |
Interest on lease obligations | 3 |  |  | 2 |  |  | 2 |
Operating lease costs |  |  |  |  |
Operating lease costs | 3,316 |  |  | 4,077 |  |  | 4,326 |
Short-term lease costs | 520 |  |  | 72 |  |  | 10 |
Variable lease costs | 1,438 |  |  | 1,241 |  |  | 744 |
Total lease expense | $ | 5,282 |  |  | $ | 5,412 |  |  | $ | 5,104 |
Supplemental balance sheet information related to the operating and financing leases is as follows:
(In thousands, except lease term and discount rate) | December 31, 2023 |  | December 31, 2022
Operating Leases |  |  |
Right-of-use operating assets | $ | 15,562 |  |  | $ | 14,369 |
Current maturities of long-term lease obligations | $ | 1,541 |  |  | $ | 1,303 |
Long-term lease obligations | $ | 21,123 |  |  | $ | 20,387 |
Financing Leases |  |  |
Right-of-use financing leases (1) | $ | 28 |  |  | $ | 41 |
Current maturities of long-term lease obligations | $ | 6 |  |  | $ | 7 |
Long-term lease obligations | $ | 19 |  |  | $ | 18 |
Weighted average operating lease term (in years): | 9.6 |  | 11
Weighted average financing term (in years): | 6.5 |  | 4
Weighted average discount rate operating leases | 10.99 | % |  | 10.58 | %
Weighted average discount rate financing leases | 13.22 | % |  | 11.91 | %
(1) Financing leases are included in property and equipment, net on the consolidated balance sheets. Future minimum lease payments under operating and financing leases as of December 31, 2023, were as follows:
(In thousands) |
Year ending December 31, |
2024 | $ | 3,925 |
2025 | 4,134 |
2026 | 4,269 |
2027 | 3,106 |
2028 | 3,104 |
Thereafter | 18,566 |
Total | $ | 37,104 |
Less: Imputed interest | (14,415) |
Total lease liability | 22,689 |
Less: Current lease liability | (1,547) |
Long-term lease liability | $ | 21,142 |
New leases The Company accounts for new leases in accordance with ASC 842, Leases. On May 9, 2023, the Company entered into a Commercial Lease with JA-Cole L.P., with an effective date of May 9, 2023 (the "2023 JA-Cole Lease"). The 2023 JA-Cole Lease is for an additional 2,500 square feet of office and warehouse facility located in Burleson, Texas. The Commercial Lease has a commencement date of September 1, 2023, and an expiration date of September 30, 2027. The Company valued the 2023 JA-Cole Lease using a 13.9% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $98 o n the commencement date. On October 6, 2023, the Company entered into a Commercial Lease with JA-Cole L.P., with an effective date of September 27, 2023 (the "2023 JA-Cole Lease No. 2"). The 2023 JA-Cole Lease No. 2 is for an additional 2,500 square feet of office and warehouse facility located in Burleson, Texas. The Commercial Lease has a commencement date of October 6, 2023, and an expiration date of April 30, 20230. The Company valued the 2023 JA-Cole Lease No. 2 using a 14.2% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $138 on the commencement date. On December 27, 2023, the Company entered into the Ninth Amendment to License and Service Agreement ("Ninth Amendment") with Community Blood Center (d/b/a Community Tissue Services) with an effective date of December 21, 2023, pursuant to the original License and Services Agreement dated August 6, 2015. The Ninth Amendment has a commencement date of December 21, 2023, and an expiration date of December 31, 2026. The Company valued the Ninth Amendment using a 13.6% incremental borrowing rate and recorded a right-of-use asset and lease liability of $1,787 on the commencement date. Lease modifications The Company accounts for lease revisions as a lease modification in accordance with ASC 842, Leases, when the modification effectively terminates the existing lease and creates a new lease. 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 "2015 JA-Cole Lease"). The 2015 JA-Cole 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 valued the 2015 JA-Cole Lease using a 11.3% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $641 as a result of this amendment. On August 22, 2022, the Company entered into the First Amendment to Lease Agreement (the “First Amendment”) with JA-Cole, L.P. with an effective date of October 1, 2022, pursuant to the original Commercial Lease dated October 1, 2020, as amended (the "2020 JA-Cole Lease"). The 2020 JA-Cole Lease is for the office and warehouse facility located in Burleson, Texas. The First Amendment adds an additional 2,500 square feet to the Leased Premises, for a total of 5,000 square feet and revises the expiration date of the 2020 JA-Cole Lease to mean September 30, 2027. The Company valued the 2020 JA Cole Lease using a 12.8% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $221 as a result of this amendment.
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. The components of total lease expense for the years ended were as follows:
| December 31,
(in thousands) | 2023 |  | 2022 |  | 2021
Finance lease costs |  |  |  |  |
Amortization of right-of-use assets | $ | 4 |  |  | $ | 20 |  |  | $ | 22 |
Interest on lease obligations | 3 |  |  | 2 |  |  | 2 |
Operating lease costs |  |  |  |  |
Operating lease costs | 3,316 |  |  | 4,077 |  |  | 4,326 |
Short-term lease costs | 520 |  |  | 72 |  |  | 10 |
Variable lease costs | 1,438 |  |  | 1,241 |  |  | 744 |
Total lease expense | $ | 5,282 |  |  | $ | 5,412 |  |  | $ | 5,104 |
Supplemental balance sheet information related to the operating and financing leases is as follows:
(In thousands, except lease term and discount rate) | December 31, 2023 |  | December 31, 2022
Operating Leases |  |  |
Right-of-use operating assets | $ | 15,562 |  |  | $ | 14,369 |
Current maturities of long-term lease obligations | $ | 1,541 |  |  | $ | 1,303 |
Long-term lease obligations | $ | 21,123 |  |  | $ | 20,387 |
Financing Leases |  |  |
Right-of-use financing leases (1) | $ | 28 |  |  | $ | 41 |
Current maturities of long-term lease obligations | $ | 6 |  |  | $ | 7 |
Long-term lease obligations | $ | 19 |  |  | $ | 18 |
Weighted average operating lease term (in years): | 9.6 |  | 11
Weighted average financing term (in years): | 6.5 |  | 4
Weighted average discount rate operating leases | 10.99 | % |  | 10.58 | %
Weighted average discount rate financing leases | 13.22 | % |  | 11.91 | %
(1) Financing leases are included in property and equipment, net on the consolidated balance sheets. Future minimum lease payments under operating and financing leases as of December 31, 2023, were as follows:
(In thousands) |
Year ending December 31, |
2024 | $ | 3,925 |
2025 | 4,134 |
2026 | 4,269 |
2027 | 3,106 |
2028 | 3,104 |
Thereafter | 18,566 |
Total | $ | 37,104 |
Less: Imputed interest | (14,415) |
Total lease liability | 22,689 |
Less: Current lease liability | (1,547) |
Long-term lease liability | $ | 21,142 |
New leases The Company accounts for new leases in accordance with ASC 842, Leases. On May 9, 2023, the Company entered into a Commercial Lease with JA-Cole L.P., with an effective date of May 9, 2023 (the "2023 JA-Cole Lease"). The 2023 JA-Cole Lease is for an additional 2,500 square feet of office and warehouse facility located in Burleson, Texas. The Commercial Lease has a commencement date of September 1, 2023, and an expiration date of September 30, 2027. The Company valued the 2023 JA-Cole Lease using a 13.9% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $98 o n the commencement date. On October 6, 2023, the Company entered into a Commercial Lease with JA-Cole L.P., with an effective date of September 27, 2023 (the "2023 JA-Cole Lease No. 2"). The 2023 JA-Cole Lease No. 2 is for an additional 2,500 square feet of office and warehouse facility located in Burleson, Texas. The Commercial Lease has a commencement date of October 6, 2023, and an expiration date of April 30, 20230. The Company valued the 2023 JA-Cole Lease No. 2 using a 14.2% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $138 on the commencement date. On December 27, 2023, the Company entered into the Ninth Amendment to License and Service Agreement ("Ninth Amendment") with Community Blood Center (d/b/a Community Tissue Services) with an effective date of December 21, 2023, pursuant to the original License and Services Agreement dated August 6, 2015. The Ninth Amendment has a commencement date of December 21, 2023, and an expiration date of December 31, 2026. The Company valued the Ninth Amendment using a 13.6% incremental borrowing rate and recorded a right-of-use asset and lease liability of $1,787 on the commencement date. Lease modifications The Company accounts for lease revisions as a lease modification in accordance with ASC 842, Leases, when the modification effectively terminates the existing lease and creates a new lease. 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 "2015 JA-Cole Lease"). The 2015 JA-Cole 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 valued the 2015 JA-Cole Lease using a 11.3% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $641 as a result of this amendment. On August 22, 2022, the Company entered into the First Amendment to Lease Agreement (the “First Amendment”) with JA-Cole, L.P. with an effective date of October 1, 2022, pursuant to the original Commercial Lease dated October 1, 2020, as amended (the "2020 JA-Cole Lease"). The 2020 JA-Cole Lease is for the office and warehouse facility located in Burleson, Texas. The First Amendment adds an additional 2,500 square feet to the Leased Premises, for a total of 5,000 square feet and revises the expiration date of the 2020 JA-Cole Lease to mean September 30, 2027. The Company valued the 2020 JA Cole Lease using a 12.8% incremental borrowing rate and recorded a right-of-use asset and a lease liability of $221 as a result of this amendment.

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 -Topic 842 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//842-20/tableOfContent + Details
Name: | us-gaap_LesseeFinanceLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- 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 -Topic 842 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//842-20/tableOfContent + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration