Salem Media Group, Inc. Quarterly report pursuant to Section 13 or 15(d)

Operating and Finance Lease Right-of-Use Assets (Tables)

6 Months Ended

Jun. 30, 2021

Supplemental balance sheet information related to leases is as follows:


	June 30, 2021
	(Dollars in thousands)
Operating Leases	Related Party		Other		Total
Operating leases ROU assets	$	6,363	$	38,563	$	44,926
Operating lease liabilities (current)	$	954	$	7,814	$	8,768
Operating lease liabilities (non-current)		5,577		38,472		44,049

Total operating lease liabilities	$	6,531	$	46,286	$	52,817


Weighted Average Remaining Lease Term
Operating leases	7.9 years
Finance leases	2.8 years
Weighted Average Discount Rate
Operating leases	7.95	%
Finance leases	5.44	%

Lease Expense

The components of lease expense were as follows:


	Six Months Ended June 30, 2021
	(Dollars in thousands)
Amortization of finance lease ROU Assets	$	32
Interest on finance lease liabilities		4

Finance lease expense		36
Operating lease expense		6,438
Variable lease expense		310
Short-term lease expense		352

Total lease expense	$	7,136

Supplemental cash flow information related to leases was as follows:


	Six Months Ended June 30, 2021
	(Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	7,097
Operating cash flows from finance leases		2
Financing cash flows from finance leases		32
Leased assets obtained in exchange for new operating lease liabilities	$	1,957
Leased assets obtained in exchange for new finance lease liabilities		4

Future minimum lease payments under leases that had initial or remaining

non-cancelable

lease terms in excess of one year as of June 30, 2021, are as follows:


	Operating Leases
	Related Party			Other			Total			Finance Leases			Total
	(Dollars in thousands)
2021 (July-Dec)	$	1,461		$	11,009		$	12,470		$	65		$	12,535
2022		1,470			10,874			12,344			51			12,395
2023		1,017			8,817			9,834			25			9,859
2024		1,021			6,890			7,911			10			7,921
2025		1,037			5,937			6,974			1			6,975
Thereafter		3,545			22,222			25,767			—			25,767

Undiscounted Cash Flows	$	9,551		$	65,749		$	75,300		$	152		$	75,452

Less: imputed interest		(3,020	)		(19,463	)		(22,483	)		(11	)		(22,494	)

Total	$	6,531		$	46,286		$	52,817		$	141		$	52,958

Reconciliation to lease liabilities:
Lease liabilities—current	$	954		$	7,814		$	8,768		$	59		$	8,827
Lease liabilities—long-term		5,577			38,472			44,049			82			44,131

Total Lease Liabilities	$	6,531		$	46,286		$	52,817		$	141		$	52,958