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Notes payable and Other Obligations

12 Months Ended

Dec. 31, 2011

Notes payable and Other Obligations [Abstract]

NOTES PAYABLE AND OTHER OBLIGATIONS

(7) NOTES PAYABLE AND OTHER OBLIGATIONS

In July 2011, the Company entered into a financing agreement for an automobile for use by the Chief Executive Officer for $73. The term of the financing is for 36 months, with a 2% annual interest rate and monthly installments of $2 beginning in August 2011. As of December 31, 2011, the balance of this note was $65.

The Company also has commitments for various operating and capital leases that are payable in monthly installments, as follows:

In November 2009, the Company entered into a lease of office, plant and warehouse space in Lone Tree, Colorado. The term of the lease is 69 months (through September 2015); provided, however, that the lease may be terminated after 42 months upon payment of a termination fee. The lease provides for a five-year renewal option at the then market rental rate. For 2011 and 2010, the annual rental payments were $1,659 and $300, respectively. The Company anticipates that for accounting purposes, Zynex will record annual rental expense of approximately $1,440 throughout the term of the lease.

The Company also leases certain equipment under capital leases which expire on various dates through 2015. Total monthly capital lease payments are $12, and imputed interest rates on the leases range from approximately 6% to 18%. At December 31, 2011, the total recorded cost of assets under capital leases was approximately $476. Accumulated depreciation related to these assets totals approximately $186.

As of December 31, 2011, future minimum lease payments under non-cancelable notes payable, operating and capital leases are as follows:


		Notes and Capital Leases				Operating Leases
2012		$	169			$	1,725
2013			165				1,800
2014			89				1,875
2015			33				1,406

Total future minimum lease payments			456			$	6,806

Less amount representing interest			(67	)

Present value of net minimum lease payments			389
Less current portion			(131	)

Notes payable and other obligations		$	258

Rent expense under all operating leases for 2011 and 2010, was approximately $1,685 and $1,709, respectively.