Polar Power, Inc. Quarterly report pursuant to Section 13 or 15(d)

OPERATING LEASES (Tables)

6 Months Ended

Jun. 30, 2022

The components of rent expense and supplemental cash flow information related to leases for the period are as follows:

	Six Months Ended June 30, 2022			Six Months Ended June 30, 2021
Lease Cost
Operating lease cost (of which $49 is included in general and administration and $301 is included in cost of sales in the Company’s statement of operations for the six months ended June 30, 2022, and for the same period in 2021, respectively)	$	350		$	350

Other Information
Weighted average remaining lease term – operating leases (in years)		0.9			1.9
Average discount rate – operating leases		3.75	%		3.75	%

The supplemental balance sheet information related to leases for the period is as follows:

		At June 30, 2022		At June 30, 2021
Operating leases
Long-term right-of-use assets, net of accumulated amortization of $2,237 and $1,586, respectively	$	580	$	1,242

Short-term operating lease liabilities	$	588	$	695
Long-term operating lease liabilities		47		635
Total operating lease liabilities	$	635	$	1,330

Maturities of the Company’s lease liabilities are as follows (in thousands):

Year Ending	Operating Leases
2022 (remaining 6 months)		376
2023		280
Total lease payments		656
Less: Imputed interest/present value discount		(21	)
Present value of lease liabilities	$	635