Leases

12 Months Ended

Dec. 31, 2021

The Company has operating leases with fixed and variable payment terms primarily associated with buildings and warehouses. The Company's leases have remaining lease terms of less than one year to five years, some of which include options to extend the lease for five years. Operating leases are included in right-of-use ("ROU") assets, other accrued liabilities and Other non-current liabilities on the Consolidated Balance Sheets. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease.

The Company used the applicable incremental borrowing rate at implementation date to measure lease liabilities and ROU assets. The incremental borrowing rate used by the Company was based on baseline rates and adjusted by the credit spreads

commensurate with the Company’s secured borrowing rate. At each reporting period when there is a new lease initiated, the Company will utilize its incremental borrowing rate to perform lease classification tests on lease components and to measure ROU assets and lease liabilities.

The following table provides information related to the components of lease expense as of December 31 (in thousands):


	2021		2020
Operating lease cost	$	1,533	$	1,430
Total net lease cost	$	1,533	$	1,430

The following table provides information related to other supplemental balance sheet information related to operating leases as of December 31, (in thousands):


	2021		2020
Operating lease:
Operating lease right of use assets	$	5,577	$	2,754
Total operating lease right of use assets	$	5,577	$	2,754

Current operating lease liabilities (A)	$	1,489	$	1,023
Noncurrent operating lease liabilities (B)	4,024		1,670
Total operating lease liabilities	$	5,513	$	2,693

(A) Current operating lease liability included in "Other Current Accrued Liabilities" on the Consolidated Balance Sheets.

(B) Noncurrent operating lease liability included in "Other Non-Current Liabilities" on the Consolidated Balance Sheets.


	2021		2020
Weighted average remaining lease term (in years):	4.2		3.5

Weighted average discount rate:	4.1	%	5.9	%

Other information related to leases as of December 31 (in thousands):


	2021		2020
Cash Paid for amounts included in the measurement of lease liabilities
Operating cash flow from operating leases (C)	$	1,525	$	1,455

As of December 31, 2021, maturities of lease liabilities were as follows (in thousands):


	Operating Leases
2022	$	1,567
2023	1,468
2024	1,473
2025	783
2026	698
Total lease payments	5,989
Less: imputed interest	(476)
Total lease obligations	5,513
Less: current obligations	(1,489)
Long-term lease obligations	$	4,024

As of December 31, 2020, maturities of lease liabilities were as follows (in thousands):


	Operating Leases
2021	$	1,215
2022	811
2023	706
2024	705
2025	—
Total lease payments	3,437
Less: imputed interest	(744)
Total lease obligations	2,693
Less: current obligations	(1,023)
Long-term lease obligation	$	1,670