Journey Medical Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

OPERATING LEASE OBLIGATIONS

For the Years Ended December 31,

Operating lease cost

Variable lease cost

Total lease cost

OPERATING LEASE OBLIGATIONS

12 Months Ended

Dec. 31, 2021

NOTE 10. OPERATING LEASE OBLIGATIONS

The Company leases 3,681 square feet of office space in Scottsdale, Arizona. In August 2020, the Company amended its office lease and extended the lease term for an additional 25 months at an annual rate of approximately $0.1 million. The term of the amended lease commenced on December 1, 2020 and will expire on December 31, 2022.

The Company recorded rent expense as follows (dollars in thousands):

The following table summarizes quantitative information about the Company’s operating leases (dollars in thousands):


	For the Years Ended December 31,
	2021			2020
Operating cash flows from operating leases	$	91		$	86
Right-of-use assets exchanged for new operating lease liabilities		—			182
Weighted-average remaining lease term – operating leases		1.0			1.5
Weighted-average discount rate – operating leases		4.0	%		5.0	%

As of December 31, 2021, future minimum lease payments under lease agreements associated with the Company’s operations were as follows:



	Future Lease
($in thousands)	Liability
Year Ended December 31, 2022	$	100
Total		100
Less: present value discount		(2)
Operating lease liabilities	$	98