ASSEMBLY BIOSCIENCES, INC.ASMB

ASSEMBLY BIOSCIENCES, INC. Commitments Disclosure

10-KFiled Feb 28, 20191 min read
Note 11 - Commitments and Contingencies
  
Operating Leases
 
The Company leases office space for corporate and administrative functions in Carmel, Indiana under a lease agreement that expires in August 2023. The Company leases office and laboratory space in South San Francisco, California under a sub-sublease that expires in December 2023. Prior to moving into the South San Francisco office and laboratory space in February 2019, the Company leased office and laboratory space in San Francisco, California, under a sublease that expired on February 28, 2019. The Company also leases office and laboratory space in Groton, Connecticut under a lease that expires in March 2020. 
The Company ceased leasing laboratory space from Indiana University at Bloomington, Indiana in May 2017. 
The Company ceased leasing office and laboratory space from the University of Florida Research Foundation in Alachua, Florida in May 2017.
 
The Company also leases certain laboratory equipment accounted for as operating leases. These equipment leases began to expire in 2017, with the final lease expiring in 2021.
 
Future minimum lease payments under noncancelable operating leases are as follows: 
 
2019
 
$
5,032
 
2020
 
 
4,537
 
2021
 
 
4,055
 
2022
 
 
4,075
 
2023
 
 
4,095
 
Total
 
$
21,794
 
 
Rent expense for the years ended December 31, 2018, 2017 and 2016 were approximately
$4.2
 million, $2.1 million and $1.9 million, respectively.

Historical Timeline

Fiscal YearFiled
2018Feb 28, 2019Showing above
2017Mar 8, 2018
2016Mar 2, 2017
2015Mar 11, 2016

About Commitments Disclosures

Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.

Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.

Other Available Disclosures

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