13. Leases

The Company leases office space in two locations: (i) Duluth, Georgia, and (ii) New York, New York. The Duluth, Georgia lease expires in 2025, and the New York, New York lease expires in 2023. For leases with a term of 12 months or less, we made an accounting policy election not to recognize lease assets and lease liabilities. The following information represents the amounts included in the financial statements related to leases (amounts in thousands):


	Three Months Ended September 30,
	2020		2019


Operating lease cost	$	60	$	54

Gross sublease income		4		52
Operating cash flows from operating leases		(56)		(2)

Operating lease cost is reported as part of selling, general, and administrative expenses on the consolidated statements of operations. Sublease income is reported as a reduction of selling, general, and administrative expenses on the consolidated statements of operations. Operating cash flows from leases are reported as part of net income (loss) on the consolidated statements of cash flows. Right-of-use assets obtained in exchange for new operating lease liabilities are reported as part of other long-term assets on the consolidated balance sheets. The short-term portions of the operating lease liabilities are reported as part of accounts payable and accrued expenses on the consolidated balance sheets. The long-term portions of the operating lease liabilities are reported as part of other long-term liabilities on the consolidated balance sheets. The weighted-average remaining lease term for operating leases as of September 30, 2020 is 42 months. The weighted-average annual discount rate used for operating leases as of September 30, 2020 is 7.4%.

At September 30, 2020, lease payments for operating leases for the next five years are as follows (amounts in thousands):


Fiscal Year Ending June 30	Amount

2021	$	192
2022		257
2023		123
2024		79
2025		81

The total lease liability on the consolidated balance sheets as of September 30, 2020 is $727,000. Total unrecognized expected interest expense related to leases is $73,000.