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, 2019

Supplemental balance sheet information related to leases was as follows:


	June 30, 2019
	(Dollars in thousands)
	Related Party		Other		Total
Operating Leases
Operating leases ROU assets	$	10,085	$	51,496	$	61,581
Operating lease liabilities (current)		993		8,658		9,651
Operating lease liabilities (non-current)		9,523		50,468		59,991

Total operating lease liabilities	$	10,516	$	59,126	$	69,642


Weighted Average Remaining Lease Term
Operating leases	9.1 years
Finance leases	3.8 years
Weighted Average Discount Rate
Operating leases	8.14	%
Finance leases	4.31	%

The components of lease expense were as follows:


	Six Months Ended June 30, 2019
	(Dollars in thousands)
Amortization of finance lease ROU Assets	$	55
Interest on finance lease liabilities		5

Finance lease expense		60
Operating lease expense		6,969
Variable lease expense		472
Short-term lease expense		483

Total lease expense	$	7,984

Supplemental cash flow information related to leases was as follows:


	Six Months Ended June 30, 2019
	(Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	7,038
Operating cash flows from finance leases		8
Financing cash flows from finance leases		43
Leased assets obtained in exchange for new operating lease liabilities	$	1,064
Leased assets obtained in exchange for new finance lease liabilities		2

Future minimum lease payments required under leases that have initial or remaining

non-cancelable

lease terms in excess of one year as of June 30, 2019, are as follows:


	Operating Leases
	Related Party			Other			Total			Finance Leases			Total

	(Dollars in thousands)
2019 (July-Dec)	$	835		$	6,342		$	7,177		$	41		$	7,218
2020		1,696			12,930			14,626			66			14,692
2021		1,701			11,910			13,611			51			13,662
2022		1,680			10,323			12,003			43			12,046
2023		1,240			9,160			10,400			22			10,422
Thereafter		7,519			39,164			46,683			3			46,686

Undiscounted Cash Flows	$	14,671		$	89,829		$	104,500		$	226		$	104,726

Less: imputed interest		(4,155	)		(30,703	)		(34,858	)		(16	)		(34,874	)

Total	$	10,516		$	59,126		$	69,642		$	210		$	69,852

Reconciliation to lease liabilities:
Lease liabilities - current	$	993		$	8,658		$	9,651		$	69		$	9,720
Lease liabilities - long-term		9,523			50,468			59,991			141			60,132

Total Lease Liabilities	$	10,516		$	59,126		$	69,642		$	210		$	69,852

Future minimum lease payments under leases that had initial or remaining

non-cancelable

lease terms in excess of one year as of December 31, 2018, based on the former accounting guidance for leases, were as follows: