Quarterly report pursuant to Section 13 or 15(d)

Right-of-Use Asset and Operating Lease Liability

Right-of-Use Asset and Operating Lease Liability
3 Months Ended
Mar. 31, 2022
Leases [Abstract]  
Right-of-Use Asset and Operating Lease Liability Right-of-Use Asset and Operating Lease Liability
The Company has entered into operating leases consisting principally of its airport and heliport terminals.
At the inception of a contract, the Company will assess whether the contract is, or contains, a lease. The Company's assessment is based on: (i) whether the contract involves the use of a distinct identified asset, (ii) whether the Company obtained the right to substantially all the economic benefit from the use of the asset throughout the period, and (iii) whether the Company has the right to direct the use of the asset.
The Company generally uses its incremental borrowing rate as the discount rate for leases, unless an interest rate is implicitly stated in the lease. The Company’s incremental borrowing rate used for all leases under ASC 842 was 5.00%, the rate of interest that the Company would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. The lease term for the Company’s leases include the noncancellable period of the lease plus any additional periods covered by either a Company option to extend the lease that the Company is reasonably certain to exercise, or an option to extend the lease controlled by the lessor. ROU assets, once recorded, are reviewed for impairment.
Lease expense for operating leases consists of the lease payments plus any initial direct costs and is recognized on a straight-line basis over the lease term.
Balance sheet information related to the Company’s leases is presented below:
Operating leases: March 31, 2022 December 31, 2021
Operating right-of-use asset $ 958  $ 713 
Operating lease liability, current 496  438 
Operating lease liability, long term 466  278 
The following provides details of the Company’s lease expense:
Three Months Ended March 31,
Lease cost: 2022 2021
Short-term lease cost
$ 38  $ 12 
Operating lease cost
183  115 
Total $ 221  $ 127 
Other information related to leases is presented below:
March 31, 2022
Weighted-average discount rate – operating lease
5.00 %
Weighted-average remaining lease term – operating lease (in months)
As of March 31, 2022, the expected annual minimum lease payments of the Company’s operating lease liabilities and other short-term leases were as follows:
For the Year Ended December 31,
Remainder of 2022 $ 413 
2023 468 
2024 103 
2025 28 
Total future minimum lease payments, undiscounted
Less: Imputed interest for leases in excess of one year
Present value of future minimum lease payments
$ 962