(9) NOTES PAYABLE AND OTHER OBLIGATIONS

The Company has commitments under various operating and capital leases that are payable in monthly installments. On June 18, 2013, the Company renegotiated its existing building lease and entered into a new lease agreement for its existing building in Lone Tree, Colorado, effective May 1, 2013. The lease, which expires in November 2023, provides for two five-year renewal options at the then market rental rate. Under the lease, no rental payments are due for the first twelve months. For the remaining months of the lease, base monthly rent begins at $129 per month and escalates at $3 per month (or $0.50 per square foot) every twelve months, resulting in a monthly rent of $157 by January 2023. The Company anticipates that for accounting purposes, it will have an annual rental expense of $1,420 throughout the term of the lease. $. The lease also includes a tenant allowance of $1,065, of which $500 is to be used for leasehold improvements and $565 may be used to apply to rent in December 2013 and beyond. Such allowances are included in the Company’s deferred rent liability and deposit accounts. The lease contains customary events of default, termination, maintenance, indemnification and other lease terms.

The Company also leases certain equipment under capital leases which expire on various dates through 2018. Imputed interest rates on the leases range from approximately 6% to 18%. At December 31, 2013, the total recorded cost of assets under capital leases was approximately $508. Accumulated depreciation related to these assets totals approximately $310.

In July 2012, 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 2012. As of December 31, 2013, the balance of this note was $15.

(9) NOTES PAYABLE AND OTHER OBLIGATIONS (continued)

As of December 31, 2013, future minimum lease payments under non-cancelable notes payable, operating and capital leases are as follows:

	Notes and Capital Leases			Operating Leases
2014	$	107		$	1,114
2015		66			1,588
2016		45			1,626
2017		45			1,663
Thereafter		13			10,609
Total future minimum lease payments		276		$	16,600
Less amount representing interest		(34	)
Present value of net minimum lease payments		242
Less current portion		(92	)
Notes payable and other obligations	$	150

Rent expense under all operating leases for 2013 and 2012 was approximately $1,716 and $1,687, respectively.