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LEASES | 12 Months Ended
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Dec. 31, 2021
Leases [Abstract] |
LEASES | LEASES The Company has operating leases for corporate offices and finance leases primarily for data center equipment. The operating and finance leases have remaining lease terms of one to two years. The operating and finance leases contain options to extend or terminate the lease. However, these were not included in the lease terms of the operating leases as the Company is not reasonably certain to exercise those options. The Company included options to extend the lease terms of the finance leases as the Company is reasonably certain to exercise those options. During 2019, the Company entered into additional finance lease agreements to finance the acquisition of property and equipment (primarily data center equipment) valued at $315,792. These agreements expire at various dates during 2022. The related assets secure these leases. During 2019, the Company also entered into a two-year operating lease agreement for office space in the U.K. and recorded an operating lease right-of-use asset of $893,936. In August 2020, the Company entered into a new finance lease agreement that combined several of the remaining data center equipment leases into one consolidated agreement with the same lessor. The new agreement updated the expiration date of the lease payments to July 31, 2023. All other terms and conditions of the finance lease agreements remained the same. During the year ended December 31, 2021, the Company did not enter into any additional finance lease agreements to finance the acquisition of new property and equipment. There were no new operating lease agreements entered into during the years ended December 31, 2021 and 2020. The components of lease cost were as follows (in thousands):
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Finance lease cost: |  |  |  |  |
Amortization of ROU assets | $ | 790 |  |  | $ | 827 |  |  | $ | 820 |
Interest on lease liabilities | 42 |  |  | 39 |  |  | 44 |
Total finance lease cost | 832 |  |  | 866 |  |  | 864 |
Operating lease cost | 821 |  |  | 898 |  |  | 1,462 |
Short-term lease cost | 128 |  |  | 549 |  |  | 358 |
Total lease cost | $ | 1,781 |  |  | $ | 2,313 |  |  | $ | 2,684 |
Other information related to leases is as follows (in thousands):
| As of December 31,
| 2021 |  | 2020
Finance lease ROU asset (included within Lease right-of-use assets) | $ | 1,251 |  |  | $ | 2,041 |
Operating lease ROU asset (included within Lease right-of-use assets) | $ | 951 |  |  | $ | 1,692 |
Weighted-average remaining lease term (in years): |  |  |
Finance leases | 1.58 |  | 2.58
Operating leases | 1.40 |  | 2.31
Weighted-average discount rate: |  |  |
Finance leases | 2.5 | % |  | 2.5 | %
Operating leases | 5.3 | % |  | 5.3 | %
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |
Operating cash flows from operating leases | $ | (880) |  |  | $ | (961) |  |  | $ | (1,509) |
Operating cash flows from finance leases | (42) |  |  | (39) |  |  | (44) |
Financing cash flows from finance leases | (774) |  |  | (808) |  |  | (793) |
ROU assets obtained in exchange for operating lease liabilities | — |  |  | — |  |  | 894 |
ROU assets obtained in exchange for finance lease liabilities | — |  |  | 1,260 |  |  | 316 |
To calculate the ROU assets and liabilities, the Company uses the discount rate implicit in lease agreements when available. When the implicit discount rates are not readily determinable, the Company uses the incremental borrowing rate. The Company determines the incremental borrowing rate using interest rates from the Company's secured borrowings after taking into consideration the nature of the debt, such as borrowings collateralized by the exact building in the lease, and payment structure, including frequency and number of payments in the agreement. Maturities of lease liabilities as of December 31, 2021 were as follows (in thousands):
| Finance leases |  | Operating leases
For the year ending: |  |  |
2022 | $ | 816 |  |  | $ | 795 |
2023 | 476 |  |  | 333 |
2024 | — |  |  | — |
2025 | — |  |  | — |
2026 | — |  |  | — |
Thereafter | — |  |  | — |
Total lease payments | 1,292 |  |  | 1,128 |
Less: imputed interest | (26) |  |  | (43) |
Less: lease liabilities, current | (793) |  |  | (756) |
Lease liabilities, non-current | $ | 473 |  |  | $ | 329 |
Maturities of lease liabilities as of December 31, 2020 were as follows (in thousands):
| Finance leases |  | Operating leases
For the year ending: |  |  |
2021 | $ | 816 |  |  | $ | 880 |
2022 | 816 |  |  | 795 |
2023 | 476 |  |  | 333 |
2024 | — |  |  | — |
2025 | — |  |  | — |
Thereafter | — |  |  | — |
Total lease payments | 2,108 |  |  | 2,008 |
Less: imputed interest | (68) |  |  | (123) |
Less: lease liabilities, current | (774) |  |  | (801) |
Lease liabilities, non-current | $ | 1,266 |  |  | $ | 1,084 |
LEASES | LEASES The Company has operating leases for corporate offices and finance leases primarily for data center equipment. The operating and finance leases have remaining lease terms of one to two years. The operating and finance leases contain options to extend or terminate the lease. However, these were not included in the lease terms of the operating leases as the Company is not reasonably certain to exercise those options. The Company included options to extend the lease terms of the finance leases as the Company is reasonably certain to exercise those options. During 2019, the Company entered into additional finance lease agreements to finance the acquisition of property and equipment (primarily data center equipment) valued at $315,792. These agreements expire at various dates during 2022. The related assets secure these leases. During 2019, the Company also entered into a two-year operating lease agreement for office space in the U.K. and recorded an operating lease right-of-use asset of $893,936. In August 2020, the Company entered into a new finance lease agreement that combined several of the remaining data center equipment leases into one consolidated agreement with the same lessor. The new agreement updated the expiration date of the lease payments to July 31, 2023. All other terms and conditions of the finance lease agreements remained the same. During the year ended December 31, 2021, the Company did not enter into any additional finance lease agreements to finance the acquisition of new property and equipment. There were no new operating lease agreements entered into during the years ended December 31, 2021 and 2020. The components of lease cost were as follows (in thousands):
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Finance lease cost: |  |  |  |  |
Amortization of ROU assets | $ | 790 |  |  | $ | 827 |  |  | $ | 820 |
Interest on lease liabilities | 42 |  |  | 39 |  |  | 44 |
Total finance lease cost | 832 |  |  | 866 |  |  | 864 |
Operating lease cost | 821 |  |  | 898 |  |  | 1,462 |
Short-term lease cost | 128 |  |  | 549 |  |  | 358 |
Total lease cost | $ | 1,781 |  |  | $ | 2,313 |  |  | $ | 2,684 |
Other information related to leases is as follows (in thousands):
| As of December 31,
| 2021 |  | 2020
Finance lease ROU asset (included within Lease right-of-use assets) | $ | 1,251 |  |  | $ | 2,041 |
Operating lease ROU asset (included within Lease right-of-use assets) | $ | 951 |  |  | $ | 1,692 |
Weighted-average remaining lease term (in years): |  |  |
Finance leases | 1.58 |  | 2.58
Operating leases | 1.40 |  | 2.31
Weighted-average discount rate: |  |  |
Finance leases | 2.5 | % |  | 2.5 | %
Operating leases | 5.3 | % |  | 5.3 | %
| Year ended December 31,
| 2021 |  | 2020 |  | 2019
Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |
Operating cash flows from operating leases | $ | (880) |  |  | $ | (961) |  |  | $ | (1,509) |
Operating cash flows from finance leases | (42) |  |  | (39) |  |  | (44) |
Financing cash flows from finance leases | (774) |  |  | (808) |  |  | (793) |
ROU assets obtained in exchange for operating lease liabilities | — |  |  | — |  |  | 894 |
ROU assets obtained in exchange for finance lease liabilities | — |  |  | 1,260 |  |  | 316 |
To calculate the ROU assets and liabilities, the Company uses the discount rate implicit in lease agreements when available. When the implicit discount rates are not readily determinable, the Company uses the incremental borrowing rate. The Company determines the incremental borrowing rate using interest rates from the Company's secured borrowings after taking into consideration the nature of the debt, such as borrowings collateralized by the exact building in the lease, and payment structure, including frequency and number of payments in the agreement. Maturities of lease liabilities as of December 31, 2021 were as follows (in thousands):
| Finance leases |  | Operating leases
For the year ending: |  |  |
2022 | $ | 816 |  |  | $ | 795 |
2023 | 476 |  |  | 333 |
2024 | — |  |  | — |
2025 | — |  |  | — |
2026 | — |  |  | — |
Thereafter | — |  |  | — |
Total lease payments | 1,292 |  |  | 1,128 |
Less: imputed interest | (26) |  |  | (43) |
Less: lease liabilities, current | (793) |  |  | (756) |
Lease liabilities, non-current | $ | 473 |  |  | $ | 329 |
Maturities of lease liabilities as of December 31, 2020 were as follows (in thousands):
| Finance leases |  | Operating leases
For the year ending: |  |  |
2021 | $ | 816 |  |  | $ | 880 |
2022 | 816 |  |  | 795 |
2023 | 476 |  |  | 333 |
2024 | — |  |  | — |
2025 | — |  |  | — |
Thereafter | — |  |  | — |
Total lease payments | 2,108 |  |  | 2,008 |
Less: imputed interest | (68) |  |  | (123) |
Less: lease liabilities, current | (774) |  |  | (801) |
Lease liabilities, non-current | $ | 1,266 |  |  | $ | 1,084 |

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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 http://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 http://asc.fasb.org/subtopic&trid=77888251 + Details
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