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, 2020

Supplemental balance sheet information related to leases is as follows:


	June 30, 2020
	(Dollars in thousands)
Operating Leases	Related Party		Other		Total
Operating leases ROU assets	$	7,449	$	44,450	$	51,899
Operating lease liabilities (current)	$	1,026	$	8,562	$	9,588
Operating lease liabilities (non-current)		6,680		44,676		51,356

Total operating lease liabilities	$	7,706	$	53,238	$	60,944


Weighted Average Remaining Lease Term
Operating leases	8.5 years
Finance leases	3.0 years
Weighted Average Discount Rate
Operating leases	7.74	%
Finance leases	4.59	%

The components of lease expense were as follows:


	Six Months Ended June 30, 2020
	Six Months Ended June 30, 2020
	(Dollars in thousands)
Amortization of finance lease ROU Assets	$	36
Interest on finance lease liabilities		4

Finance lease expense		40
Operating lease expense		7,402
Variable lease expense		400
Short-term lease expense		309

Total lease expense	$	8,151

Supplemental cash flow information related to leases was as follows:


	Six Months Ended June 30, 2020
	(Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	7,354
Operating cash flows from finance leases		3
Financing cash flows from finance leases		35
Leased assets obtained in exchange for new operating lease liabilities		2,080
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 June 30, 2020, are as follows:


	Related Parties			Other Operating Leases			Total Operating Leases			Finance Leases			Total
	(Dollars in thousands)
2021	$	1,617		$	11,998		$	13,615		$	65		$	13,680
2022		1,610			11,194			12,804			49			12,853
2023		1,470			10,107			11,577			39			11,616
2024		1,017			8,036			9,053			14			9,067
2025		1,021			6,149			7,170			2			7,172
Thereafter		4,582			28,477			33,059			0			33,059

Undiscounted Cash Flows	$	11,317		$	75,961		$	87,278		$	169		$	87,447

Less: imputed interest		(3,611	)		(22,723	)		(26,334	)		(10	)		(26,344	)

Total	$	7,706		$	53,238		$	60,944		$	159		$	61,103

Reconciliation to lease liabilities:
Lease liabilities - current	$	1,026		$	8,562		$	9,588		$	61		$	9,649
Lease liabilities - long-term		6,680			44,676			51,356			98			51,454

Total Lease Liabilities	$	7,706		$	53,238		$	60,944		$	159		$	61,103