The Company leases manufacturing, warehouse and office space in the United States, Ireland, China, Hong Kong, Spain and Australia under non-cancelable operating leases with expiration dates through 2028, as well as various equipment leases. The leases have remaining lease terms of 1 year to 6 years, some of which contain options to extend the leases for up to 3 additional years and some which include options to terminate the leases within 1 year. The lease agreements contain lease and non-lease components, which are generally accounted for together.

After the adoption of ASC 842, the Company determines if an arrangement is a lease at inception. Operating leases are included in the operating lease right-of-use, (“ROU”), assets and the short-term and long-term lease liabilities on the consolidated balance sheets. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company's obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the leases do not provide an implicit rate, the Company used its incremental borrowing rate based on information available at commencement date in determining the present value of lease payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term.

Pursuant to the terms of the lease agreement for the Company’s Australia office, the Company obtained six standby letters of credit in the amount of approximately $625 and $2,100 as security on the lease obligation, as of June 30, 2023 and December 31, 2022, respectively. The letters of credit are classified as restricted cash in the accompanying condensed consolidated balance sheets as of June 30, 2023 and December 31, 2022.

The components of lease expense were as follows:


	Three Months Ended		Six Months Ended
	June 30, 2023		June 30, 2023
Financing lease cost	$	—	$	—
Operating lease cost		551		1,106
Short-term lease cost		1		2
Variable lease cost		73		128
Total lease cost	$	625	$	1,236

Supplemental cash flow information related to leases was as follows:


	Six Months Ended
	June 30, 2023
Cash paid for operating leases included in cash flows from operating activities	$	1,055
Right-of-use assets obtained in exchange for new operating leases		55

Supplemental balance sheet information related to leases was as follows:


	Six Months Ended	Year Ended
	June 30, 2023	December 31, 2022
Weighted average remaining lease term for operating leases	3.32 years	3.58 years
Weighted average discount rate for operating leases	4.1%	4.0%

Maturities of operating lease liabilities were as follows:


Year Ending December 31,
2023	$	1,110
2024		1,319
2025		948
2026		841
2027		565
Thereafter		2
Total future minimum lease payments	$	4,785
Less: amounts representing interest		(329	)
Total lease liabilities		4,456
Less: current operating lease liability		(1,715	)
Long term operating lease liability		2,741