LEASES

6 Months Ended

Jun. 30, 2023

Leases

Leases

Note 4–Leases

The Company leases certain facilities from a related party, which is a company affiliated with us through common ownership. Included in the right-of-use, or ROU, asset as of June 30, 2023 was $519 and a corresponding lease liability of $519 associated with related party leases.

As of June 30, 2023, there were no additional operating leases that have not yet commenced. Refer to the following table for quantitative information related to the Company’s leases for the three and six months ended June 30, 2023 and 2022 (dollars in thousands):

	Three Months Ended June 30, 2023						Six Months Ended June 30, 2023
	Related Parties		Others		Total		Related Parties		Others		Total
Lease Cost
Capitalized operating lease cost	$	314	$	590	$	904	$	627	$	1,299	$	1,926
Short-term lease cost		107		115		222		214		136		350
Total lease cost	$	421	$	705	$	1,126	$	841	$	1,435	$	2,276
Other Information
Cash paid for amounts included in the measurement of lease liabilities and capitalized operating leases:
Operating cash flows	$	314	$	602	$	916	$	627	$	1,245	$	1,872
Weighted-average remaining lease term (in years):
Capitalized operating leases								0.42		3.59		3.33
Weighted-average discount rate:
Capitalized operating leases								3.92%		4.06%		4.04%
	Three Months Ended June 30, 2022						Six Months Ended June 30, 2022
	Related Parties		Others		Total		Related Parties		Others		Total
Lease Cost
Capitalized operating lease cost	$	313	$	711	$	1,024	$	627	$	1,419	$	2,046
Short-term lease cost		107		21		128		214		42		256
Total lease cost	$	420	$	732	$	1,152	$	841	$	1,461	$	2,302
Other Information
Cash paid for amounts included in the measurement of lease liabilities and capitalized operating leases:
Operating cash flows	$	313	$	747	$	1,060	$	627	$	1,434	$	2,061
Weighted-average remaining lease term (in years):
Capitalized operating leases								1.42		4.10		3.58
Weighted-average discount rate:
Capitalized operating leases								3.92%		3.91%		3.92%

As of June 30, 2023, future lease payments over the remaining term of capitalized operating leases were as follows (in thousands):

For the Years Ended December 31,		Related Parties		Others		Total
2023, excluding the six months ended June 30, 2023	$	735	$	802	$	1,537
2024		163		1,697		1,860
2025		163		1,635		1,798
2026		163		952		1,115
2027		1		232		233
Thereafter		—		340		340
	$	1,225	$	5,658	$	6,883
Imputed interest						(448)
Lease liability balance at June 30, 2023					$	6,435

As of June 30, 2023, the ROU asset had a balance of $5,775. The long-term lease liability was $4,196 and the short-term lease liability, which is included in accrued expenses and other liabilities in the consolidated balance sheets, was $2,239. As of June 30, 2022, the ROU asset had a balance of $8,267. The long-term lease liability was $5,242 and the short-term lease liability, which is included in accrued expenses and other liabilities in the consolidated balance sheets, was $3,641.