REC Silicon Annual Report 2019

49 Notes to the consolidated financial statements, REC Silicon Group REC Silicon Annual Report 2019 LEASES Right of use Assets (USD INMILLION) MACHINERY GAS PLANTS COMPUTER HW/SW MOTOR VEHICLES TOTAL Balance at January 1, 2019 0.0 28.8 0.1 0.0 28.9 Depreciations -0.2 -6.9 0.0 0.0 -7.1 Additions 3.2 0.2 0.0 0.0 3.4 Impairment 1) -2.9 -14.0 0.0 0.0 -17.0 Adjustments 0.0 25.6 0.0 0.0 25.6 Termination 0.0 0.0 0.0 0.0 0.0 Balance at December 31, 2019 0.1 33.7 0.0 0.0 33.8 1) See note 8 for details of impairments Lease liabilities (USD INMILLION) 2019 Maturity analysis - contractual undiscounted cash flows Less than 1 year 12.6 1 - 2 years 8.6 2 - 3 year 7.8 3 - 4 years 7.8 4 - 5 years 5.6 More than 5 years 50.9 Total undiscounted lease liabilities at December 31 93.2 Lease liabilities included in the statement of financial position at December 31 48.6 Current 7.0 Non-current 41.6 Adjustments include USD 25.3million associated with a 15-year extension of a long-term lease on the existing plant gas facility in Butte, Montana in addition to USD 0.3million for semi-annual and annual CPI index adjustments related to plant gas facility leases. The Company includes rights to extend or terminate leases in the lease termwhen the Company intends to exercise a right to extend or terminate a lease. The Company is not a party to any lease that includes material rights to extend or terminate the term of a lease. The weighted average incremental borrowing rate applied to lease liabilities at December 31, 2019 is 13.1 percent. Leases recognized in profit or loss (USD INMILLION) 2019 Interest on lease liabilities 5.0 Expenses relating to short-term leases 1.4 Expenses relating to leases of low-value assets, excluding short-term leases 0.0 Right-of-use assets associated with contracts which expire in 2019 are expensed in accordance with the low-value assets and short-term lease exemptions available upon implementation of IFRS 16. In 2019, the Group made lease payments totaling USD 12.8million, comprised of USD 7.8million of lease liability payments and USD 5.0 million imputed interest. See note 25 below. In addition, payments of USD 1.4million related to leases for low-value-assets and short-term durations which are exempt under IFRS 16 have been expensed in 2019. See note 22 below. 7