Lease contracts

9 Months Ended

Sep. 30, 2022

Note 5 Lease contracts

Future minimum lease payments under the Company's operating leases’ right of use as of September 30, 2022 and December 31, 2021, are as follows:


	September 30, 2022									December 31, 2021
	Real estate			Other assets			Total			Real estate			Other assets			Total
Current portion		1,504			34			1,538			3,361			77			3,438
Year 2		1,874			18			1,891			3,124			23			3,147
Year 3		103			6			109			2,299			18			2,317
Year 4		—			—			—			771			1			773
Year 5		—			—			—			790			—			790
Thereafter		—			—			—			1,220			—			1,220

Total minimum lease payments		3,481			58			3,538			11,565			119			11,684
Less: Effects of discounting		(729	)		(5	)		(734	)		(1,526	)		(8	)		(1,534	)

Present value of operating lease		2,752			52			2,804			10,039			111			10,150
Less: current portion		(1,350	)		(31	)		(1,381	)		(2,929	)		(74	)		(3,003	)

Long-term operating lease		1,402			22			1,423			7,110			37			7,147

Weighted average remaining lease term (years)		1.80			—						4.14			2.01
Weighted average discount rate		3.50	%		0.9	%					4.84	%		3.32	%

The Company recognizes rent expense, calculated as the remaining cost of the lease allocated over the remaining lease term on a straight-line basis. Rent expense presented in the condensed consolidated statement of operations and comprehensive loss was:


	September 30,
	2022			2021
Operating lease expense		1,373			2,480
Net termination impact		(1,657	)		—

In January 2022, the company entered into a termination agreement for its U.S. office in Summit, NJ, following the resizing of its facility use. The Company recognized an income of $1.2 million as of June 30, 2022 due to the early termination of its Summit, NJ lease, offset by the payment of a

one-time

lump sum early termination fee of $1.5 million.

On March 28, 2022, the Company entered into a binding office lease agreement in New Jersey for a lease term of 3 years and 2 months.

The lease commencement was based upon delivery of possession of the premises by the Landlord and occurred on April 1, 2022. Right of use and related lease debt have been recorded starting April 1, 2022 for a gross amount

0.4 million.

Supplemental cash flow information related to operating leases is as follows for the period September 30, 2022 and

2021:


	September 30,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities		—		—
Operating cash flows from operating leases		1,533		2,845