Note 9 - Operating Leases

3 Months Ended

Mar. 31, 2020

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

Note

9.

Operating

Leases

We lease office and manufacturing space and certain office equipment under noncancelable operating leases. We determine whether an arrangement is or contains a lease at its inception. We recognize lease liabilities based on the present value of the minimum lease payments

not

yet paid, by using the lease term and discount rate determined at lease commencement. As our leases do

not

provide an implicit rate, we use our incremental borrowing rate of

9.5%

commensurate with the underlying lease terms to determine the present value of our lease payments. Rental payments are recognized as rent expense on a straight-line basis over the term of the lease and for the

three

months ended

March 31, 2020

and

2019,

we recognized rent expense in the amount of

$0.6

million and

$0.5

million, respectively. Our leases have remaining lease terms of

one

year to

10.5

years,

one

of which includes an option to extend the lease for

five

years. For both the

three

months ended

March 31, 2020

and

2019,

cash payments against operating lease liabilities totaled

$0.5

million.

The information related to our leases is as follows (in thousands):

	March 31,		December 31,
Operating leases	2020		2019
Operating ROU lease assets, noncurrent	$	13,279	$	13,493
Operating lease liabilities, current		616		599
Operating lease liabilities, noncurrent		14,832		15,005

At

March 31, 2020,

future lease payments for noncancelable operating leases are as follows (in thousands):

2020 (excluding the three months ending March 31, 2020)	$	1,524
2021		2,069
2022		2,213
2023		2,255
2024		2,297
Thereafter		14,510
Total future minimum lease payments		24,868
Less imputed interest		(9,420	)
Total lease liabilities	$	15,448