Leases

3 Months Ended

Mar. 31, 2020

Notes

Leases

(7)  Leases

UTMD has operating leases for a portion of its parking lot at its Midvale facility and an automobile at its Ireland facility.  The remaining lease term on the parking lot is 12 years and on the automobile it is 3 years.  There are no options to extend or terminate the leases.  UTMD has no other leases yet to commence.  As neither lease contains implicit rates, UTMD’s incremental borrowing rate, based on information available at adoption date, was used to determine the present value of the leases.

The components of lease cost were as follows:	Three Months Ended March 31, 2020
Operating Lease Cost (in thousands)	$15
Right-of-Use Assets in exchange for new operating lease obligations	0
Other Information	Three Months Ended March 31, 2020
Weighted Average Remaining Lease Term  - Operating Leases	11 years
Weighted Average Discount Rate – Operating Leases	5.4%

Operating lease liabilities/ payments (in thousands)
Operating lease payments, 2020	$60
Operating lease payments, 2021	60
Operating lease payments, 2022	45
Operating lease payments, 2023	45
Operating lease payments, 2024	45
Thereafter	299

Reconciliation of operating lease liabilities/ payments to operating lease liabilities	(in thousands)
Total operating lease liabilities/ payments	$536
Operating lease liabilities	404
Present value adjustment	$132

Maturities of lease liabilities were as follows:	(in thousands)
Year ending December 31,
2020	$38
2021	40
2022	27
2023	29
2024	30
Thereafter	248