7. Commitments and Contingencies

Leases

We conduct the majority of our operations in leased facilities, which are accounted for as operating leases. Certain leases include renewal options. In addition, we lease automobiles and equipment under operating leases. There were no assets held under capital leases at December 31, 2015 and 2014. Rent expense was as follows:

 

		Year ended December 31,
		2015				2014				2013
						(in thousands)
Rent expense		$	1,506			$	1,435			$	1,264

At December 31, 2015, the minimum rental commitments under all non-cancelable operating leases with initial or remaining terms of more than one year, for each of the following fiscal years, are as follows:

 

		Year ended December 31,
		2016				2017				2018				2019				2020				Thereafter
		(in thousands)
Operating leases		$	1,258			$	973			$	996			$	901			$	868			$	2,608

Purchase Commitments

As part of our normal course of business, we have purchase commitments to purchase $2.8 million of inventory through 2017. The purchase commitments for inventory are to be used in operations over the normal course of business and do not represent excess commitments or loss contracts.