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

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

9 Months Ended

Sep. 30, 2020

Supplemental balance sheet information related to leases is as follows:


	September 30, 2020
	(Dollars in thousands)
Operating Leases	Related Party		Other		Total
Operating leases ROU assets	$	7,186	$	41,816	$	49,002
Operating lease liabilities (current)	$	1,054	$	7,904	$	8,958
Operating lease liabilities (non-current)		6,408		42,644		49,052

Total operating lease liabilities	$	7,462	$	50,548	$	58,010


Weighted Average Remaining Lease Term
Operating leases	8.4 years
Finance leases	2.8 years
Weighted Average Discount Rate
Operating leases	7.89	%
Finance leases	4.57	%

The components of lease expense were as follows:


	Nine Months Ended September 30, 2020
	Nine Months Ended September 30, 2020
	(Dollars in thousands)
Amortization of finance lease ROU Assets	$	54
Interest on finance lease liabilities		6

Finance lease expense		60
Operating lease expense		10,720
Variable lease expense		558
Short-term lease expense		460

Total lease expense	$	11,798

Supplemental cash flow information related to leases was as follows:


	Nine Months Ended September 30, 2020
	(Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10,533
Operating cash flows from finance leases		4
Financing cash flows from finance leases		52
Leased assets obtained in exchange for new operating lease liabilities		2,715
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 September 30, 2020, are as follows:


	Related Parties			Other Operating Leases			Total Operating Leases			Finance Leases			Total
	(Dollars in thousands)
2021	$	1,624		$	11,409		$	13,033		$	60		$	13,093
2022		1,606			10,876			12,482			47			12,529
2023		1,319			9,828			11,147			32			11,179
2024		1,016			7,492			8,508			11			8,519
2025		1,028			5,971			6,999			1			7,000
Thereafter		4,323			27,187			31,510			0			31,510

Undiscounted Cash Flows	$	10,916		$	72,763		$	83,679		$	151		$	83,830

Less: imputed interest		(3,454	)		(22,215	)		(25,669	)		(9	)		(25,678	)

Total	$	7,462		$	50,548		$	58,010		$	142		$	58,152

Reconciliation to lease liabilities:
Lease liabilities - current	$	1,054		$	7,904		$	8,958		$	56		$	9,014
Lease liabilities - long-term		6,408			42,644			49,052			86			49,138

Total Lease Liabilities	$	7,462		$	50,548		$	58,010		$	142		$	58,152