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SEC Filings

10-Q
ATHENEX, INC. filed this Form 10-Q on 05/09/2019
Entire Document
 

 

Lease Obligations

The Company has operating leases for office and manufacturing facilities in several locations in the U.S. and Asia and has three finance leases for manufacturing equipment used in its facilities near Buffalo, NY.  The components of lease expense are as follows (in thousands):

 

 

 

Three

Months Ended

March 31, 2019

 

Operating lease cost

 

$

781

 

Finance lease cost:

 

 

 

 

Amortization of assets

 

 

12

 

Interest on lease liabilities

 

 

9

 

Total net lease cost

 

$

802

 

 

The Company has elected to exclude short-term leases from its operating lease ROU assets and lease liabilities. Lease costs for short-term leases were not material to the financial statements for the three months ended March 31, 2019. Variable lease costs for the three months ended March 31, 2019 were not material to the financial statements.

Supplemental balance sheet information related to leases is as follows (in thousands, except lease term and discount rate):

 

 

 

March 31, 2019

 

Operating leases:

 

 

 

 

Operating lease ROU assets, net

 

$

9,428

 

 

 

 

 

 

Current operating lease liabilities

 

$

3,067

 

Long-term operating lease liabilities

 

 

8,362

 

Total operating lease liabilities

 

$

11,429

 

 

 

 

 

 

Finance leases:

 

 

 

 

Property and equipment, at cost

 

$

688

 

Accumulated amortization, net

 

 

(40

)

Property and equipment, net

 

$

648

 

 

 

 

 

 

Current obligations of finance leases

 

$

185

 

Long-term portion of finance leases

 

 

374

 

Total finance lease obligations

 

$

559

 

 

 

 

 

 

Weighted average remaining lease term (in years):

 

 

 

 

Operating leases

 

 

5.83

 

Finance leases

 

 

2.86

 

 

 

 

 

 

Weighted average discount rate:

 

 

 

 

Operating leases

 

 

13.0

%

Finance leases

 

 

5.9

%

 

12