Note 7 - Operating Leases

9 Months Ended

Dec. 31, 2021

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

7. OPERATING LEASES

The Company leases facilities, equipment and land under non-cancelable operating leases expiring through 2037. One of its facility leases contains price escalations and a renewal option for five years. Right-of-use assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Right-of-use assets and liabilities were recognized at April 1, 2019 based on the present value of lease payments over the lease term, using the Bank’s incremental borrowing rate based on the information available at recognition, and the Company has elected to exclude non-lease components. In the second quarter of fiscal 2021, the Company commenced a solar lease for one of its buildings which was added to the right-of-use assets and liabilities. At December 31, 2021, the weighted average remaining lease terms was 13.0 years, the weighted average discount rate was 7.4%, and for both nine months ended December 31, 2021 and 2020, the operating lease costs were $445,000.

Supplemental balance sheet information related to leases consist of the following as of:

Operating leases	Balance Sheet Classification	December 31, 2021			March 31, 2021
		(in thousands)
Right-of-use assets	Operating lease right-of-use assets	$	4,255		$	4,128
Accumulated lease amortization	Operating lease right-of-use assets		(843	)		(611	)
Total right-of-use assets		$	3,412		$	3,517
Current lease liabilities	Operating lease obligations	$	382		$	343
Non-current lease liabilities	Long-term operating lease obligations		3,027			3,175
Total lease liabilities		$	3,409		$	3,518

Maturities of lease liabilities at December 31, 2021 are as follows:

Payments	(in thousands)
Remainder of 2022	$	464
2023		396
2024		396
2025		374
2026		362
Thereafter		3,299
Total undiscounted lease payments		5,291
Less: present value discount		(1,882	)
Total lease liability balance	$	3,409