The Company leases office space and equipment, and certain office space is subleased. Management determines if a contract is a lease at the inception of the arrangement and reviews all options to extend, terminate, or purchase its right-of-use assets at the inception of the lease and accounts for these options when they are reasonably certain of being exercised.

Leases with an initial term of greater than twelve months are recorded on the consolidated balance sheet. Lease expense is recognized on a straight-line basis over the lease term.

The Company’s lease contracts generally do not provide a readily determinable implicit rate. For these contracts, the estimated incremental borrowing rate is based on information available at the inception of the lease.

During the second quarter of 2019, the Company extended the lease term on its Pittsburgh, PA headquarters, which resulted in a net increase in right-of-use assets and lease liabilities of approximately $3.0 million. Additionally, an office lease in Aliso Viejo, CA commenced during the second quarter, which increased right-of-use assets and lease liabilities by approximately $1.5 million.

During the fourth quarter of 2019, the company extended the lease term on its Belgrade, Serbia office space, which resulted in a net increase in right-to-use assets and lease liabilities of approximately $0.2 million.

	For the Year Ended December 31, 2019
Lease cost, gross	$	2,076
Sublease income		(603	)
Total lease cost, net	$	1,473

Operating lease assets and liabilities are summarized as follows (in thousands):

	As of December 31, 2019
Right-of-use assets	$	6,464

Current lease liabilities	$	1,221
Long-term lease liabilities		5,774
Total lease liabilities	$	6,995

The maturity of operating lease liabilities is presented in the following table (in thousands):

	As of December 31, 2019
2020	$	1,656
2021		1,633
2022		1,376
2023		1,388
2024		1,182
Thereafter		1,159
Total lease payments		8,394
Less imputed interest		(1,399	)
Present value of lease liabilities	$	6,995