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

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

3 Months Ended

Mar. 31, 2020

Supplemental balance sheet information related to leases is as follows:


	March 31, 2020
	(Dollars in thousands)
Operating Leases	Related Party		Other		Total
Operating leases ROU assets	$	7,708	$	44,717	$	52,425

Operating lease liabilities (current)	$	999	$	7,698	$	8,697
Operating lease liabilities (non-current)		6,948		44,609		51,557

Total operating lease liabilities	$	7,947	$	52,307	$	60,254


Weighted Average Remaining Lease Term
Operating leases	8.6 years
Finance leases	3.2 years
Weighted Average Discount Rate
Operating leases	8.22	%
Finance leases	4.60	%

Lease Expense

The components of lease expense were as follows:


	Three Months Ended March 31, 2020
	(Dollars in thousands)
Amortization of finance lease ROU Assets	$	18
Interest on finance lease liabilities		2

Finance lease expense		20
Operating lease expense		3,473
Variable lease expense		205
Short-term lease expense		155

Total lease expense	$	3,853

Supplemental Cash Flow

Supplemental cash flow information related to leases was as follows:


	Three Months Ended March 31, 2020
	(Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,636
Operating cash flows from finance leases		2
Financing cash flows from finance leases		18
Leased assets obtained in exchange for new operating lease liabilities	$	575
Leased assets obtained in exchange for new finance lease liabilities		—

Future minimum lease payments under leases that had initial or remaining

non-cancelable

lease terms in excess of one year as of March 31, 2020, are as follows:


	Operating Leases
Future minimum lease	Related Party			Other			Total			Finance Leases			Total
	(Dollars in thousands)
2020 (Apr-Dec)	$	1,203		$	9,476		$	10,679		$	55		$	10,734
2021		1,619			11,616			13,235			55			13,290
2022		1,613			10,067			11,680			46			11,726
2023		1,169			8,996			10,165			25			10,190
2024		1,015			6,641			7,656			7			7,663
Thereafter		5,097			30,888			35,985			0			35,985

Undiscounted Cash Flows	$	11,716		$	77,684		$	89,400		$	188		$	89,588

Less: imputed interest		(3,769	)		(25,377	)		(29,146	)		(12	)		(29,158	)

Total	$	7,947		$	52,307		$	60,254		$	176		$	60,430

Reconciliation to lease liabilities:
Lease liabilities - current	$	999		$	7,698		$	8,697		$	65		$	8,762
Lease liabilities - long-term		6,948			44,609			51,557			111			51,668

Total Lease Liabilities	$	7,947		$	52,307		$	60,254		$	176		$	60,430