13.

LEASES

The Company has operating leases for its facilities used for manufacturing, research and development, sales and administration. There are also operating and finance leases related to manufacturing equipment, office equipment and vehicles. These leases have remaining lease terms ranging from

year to

years. Certain of the leases contain options to extend the term of the lease and certain of the leases contain options to terminate the lease within a specified period of time. These options to extend or terminate a lease are included in the lease term only when it is reasonably likely that the Company will elect that option. The Company is

not

a party to any material sublease arrangements.

The components of lease expense, which are included in cost of sales and selling, general and administrative expense, based on the underlying use of the ROU asset, were as follows:

	Three Months Ended		Nine Months Ended
	September 30, 2019		September 30, 2019
Amortization of ROU assets - finance leases	$	33	$	100
Interest on lease liabilities - finance leases		12		36
Operating lease cost (cost resulting from lease payments)		1,950		5,931
Short-term lease cost		1		101
Variable lease cost (cost excluded from lease payments)		64		194
Sublease income		-		-
Total lease cost	$	2,060	$	6,362

Supplemental cash flow information related to leases are as follows:

	Nine Months Ended
	September 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	5,958
Operating cash flows from finance leases		36
Finance cash flows from finance leases		86
Right-of-use assets obtained in exchange for lease obligations:
Operating leases		21,783
Finance leases		-

Supplemental balance sheet information related to leases was as follows:

	September 30, 2019
Operating Leases:
Operating lease right-of-use assets	$	16,296
Operating lease liability, current		6,039
Operating lease liability, long-term		10,713
Total operating lease liabilities		16,752

Finance Leases:
Property, plant and equipment, gross	$	860
Accumulated depreciation		(225	)
Property, plant and equipment, net		635
Other current liabilities		97
Other long-term liabilities		529
Total finance lease liabilities	$	626

	September 30, 2019
Weighted-Average Remaining Lease Term:
Operating leases (in years)	3.22
Finance leases (in years)	5.1

Weighted-Average Discount Rate:
Operating leases	6.0	%
Finance leases	6.5	%

Our discount rate is based on our incremental borrowing rate, as adjusted based on the geographic regions in which our leases assets are located.

Maturities of lease liabilities were as follows as of

September 30, 2019

Year Ending	Operating			Finance
September 30,	Leases			Leases
2020	$	6,712		$	160
2021		5,310			159
2022		3,681			159
2023		2,031			159
2024		326			159
Thereafter		438			26
Total undiscounted cash flows		18,498			822
Less imputed interest		(1,746	)		(196	)
Present value of lease liabilities	$	16,752		$	626

As of

September 30, 2019

, the Company did

not

have any additional operating or financing leases that have

not

yet commenced.