7. Leases

Operating leases in which the Company is the lessee are recorded as operating lease right-of-use (“ROU”) assets and operating lease liabilities, included in other assets and payables and other liabilities, respectively, on the consolidated balance sheets as of March 31, 2020. The Company does not currently have any significant finance leases in which it is the lessee. Operating lease ROU assets represent the Company’s right to use an underlying asset during the lease term and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using a discount rate that represents the Company’s incremental borrowing rate at the lease commencement date. ROU assets are further adjusted for lease incentives. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term, and is recorded in general and administrative expenses in the consolidated statements of operations. The Company’s leases relate primarily to office space and equipment, with remaining lease terms of generally 1 to 9 years. Certain lease arrangements contain extension options, which typically range from 3 to 5 years, at the then fair market rental rates. As these extension options are not generally considered reasonably certain of exercise, they are not included in the lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. As of March 31, 2020, operating lease ROU assets and liabilities were $111 and $125, respectively.

The table below summarizes the Company’s net lease cost:



Net lease cost	Three Months Ended March 31, 2020			Three Months Ended March 31, 2019
Operating lease cost	$	10		$	8
Short-term lease cost	—			1
Sublease income	(1		)	—
Net lease cost	$	9		$	9

The table below summarizes other information related to the Company’s operating leases:



Operating leases	Three Months Ended March 31, 2020			Three Months Ended March 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10		$	6
Leased assets obtained in exchange for new operating lease liabilities	$	—		$	127
Weighted average remaining lease term	5.6 years			5.5 years
Weighted average discount rate	5.0		%	5.0		%

Maturities of operating lease liabilities as of March 31, 2020 are as follows:



Year Ending December 31,	Operating Leases
2020⁽¹⁾	$	37
2021	29
2022	20
2023	16
2024	11
2025 and thereafter	30
Total future minimum lease payments	143
Less: imputed interest	18
Total operating lease liabilities	$	125


⁽¹⁾	Excluding the three months ended March 31, 2020.