Leases

6 Months Ended

Jun. 30, 2020

Note11—Leases

The Company entered into operating lease agreements primarily for offices in domestic and foreign locations where it has operations with lease periods expiring between 2020 and 2030. The Company has no finance leases.

The Company determine if a contract is a lease at inception. Operating lease assets and liabilities are included on our consolidated balance sheet beginning January 1, 2019. Right-of-Use ("ROU") assets were included under other assets in the consolidated balance sheet. The current portion of the operating lease liabilities were included in other current liabilities and the noncurrent portion is included in other liabilities in the consolidated balance sheet.

ROU assets and operating lease liabilities are recognized at the present value of the future lease payments at the lease commencement date. The interest rate used to determine the present value of the future lease payments is the incremental borrowing rate, because the interest rate implicit in most of our leases is not readily determinable. The incremental borrowing rate is estimated to approximate the interest rate on a collateralized borrowing rate based on information available at the lease commencement date. ROU assets also include any prepaid lease payments and lease incentives. The lease terms include periods under options to extend or terminate the lease when it is reasonably certain that we will exercise that option. The Company use the base, non-cancelable, lease term when determining the lease assets and liabilities. Operating lease expense is recognized on a straight-line basis over the lease term.

	June 30, 2020		December 31, 2019
	(in thousands)
ROU Assets	$	2,114	$	2,357

Current portion of operating lease liabilities		476		479
Noncurrent portion of operating lease liabilities		1,684		1,917
Total	$	2,160	$	2,396

At June 30, 2020, the weighted average remaining lease term is 7.7 years and the weighted average discount rate is 6.9%.

Supplemental cash flow information for ROU assets and operating lease liabilities are as follows:

	Six Months Ended June 30,
	2020		2019
Cash paid for amounts included in the measurement of lease liabilities:	(in thousands)
Operating cash flows from operating activities	$	431	$	438

ROU assets obtained in the exchange for lease liabilities
Operating leases	$	—	$	168

Future lease payments under operating leases as of June 30, 2020 were as follows:

(in thousands)
Remainder of 2020	$	316
2021		557
2022		242
2023		221
2024		225
Thereafter		1,305
Total future lease payments		2,866
Less imputed interest		706
Total operating lease liabilities	$	2,160

Rental expenses under operating leases were $0.2 million and $0.4 million in the three and six months ended June 30, 2020 and 2019, respectively.