The Company’s operating lease obligation at its corporate headquarters in California consists of leased office, laboratory, and manufacturing space under a non-cancellable operating lease that expires in October 2024. The lease agreement includes a renewal provision allowing the Company to extend this lease for an additional period of five years.

In May 2021, the Company entered into a new, non-cancelable operating lease for additional office, laboratory and manufacturing space in Minnesota that expires in November 2029. The lease agreement includes a renewal provision allowing the Company to extend this lease for two additional five year terms. In connection with the lease, the Company recognized a right-of-use asset and lease liability of $3,307,000. In June 2022, the Company leased the remaining right-of-first refusal space at its Minnesota facility and recognized a right-of-use asset and lease liability of $903,000 for the additional space.

Operating lease costs were $379,000 and $289,000 for the three months ended June 30, 2022 and 2021, respectively, and $744,000 and $506,000 for the six months ended June 30, 2022 and 2021, respectively. Cash paid (net of tenant improvement allowances received) for amounts included in the measurement of operating lease liabilities was $146,000 and $190,000 for the three months ended June 30, 2022 and 2021, respectively, and $(558,000) and $393,000 for the six months ended June 30, 2022 and 2021, respectively. As of June 30, 2022, the weighted average discount rate was approximately 6.56% and the weighted average remaining lease term was 5.98 years. Balance sheet information as of June 30, 2022 and December 31, 2021 consists of the following (in thousands):


	June 30,		December 31,
Operating Lease:	2022		2021
Operating lease right-of-use assets in other non-current assets	$	5,626	$	5,219
Operating lease liabilities in accrued liabilities	$	1,750	$	1,294
Operating lease liabilities in other liabilities		6,752		5,747
Total operating lease liabilities	$	8,502	$	7,041

The following table summarizes the Company’s operating lease maturities as of June 30, 2022 (in thousands):



Period Ending December 31:	Amount
2022	$	930
2023		1,967
2024		1,764
2025		1,079
2026		1,173
2027 and thereafter		3,593
Total lease payments	$	10,506
Less: interest		(2,004)
Total lease liabilities	$	8,502

Purchase obligations consist of agreements to purchase goods and services entered into in the ordinary course of business. As of June 30, 2022, the Company had non-cancellable purchase obligations to suppliers of $10,196,000.

In the normal course of business, the Company enters into contracts and agreements with suppliers and other parties that contain a variety of representations and warranties and may provide for indemnification of the counterparty. The Company’s exposure under these agreements is unknown because it involves claims that may be made against it in the future but have not yet been made. To date, the Company has not been subject to any claims or been required to defend any action related to its indemnification obligations.

The Company indemnifies each of its directors and officers for certain events or occurrences, subject to certain limits, while the director or officer is or was serving at the Company’s request in such capacity, as permitted under Delaware law and in accordance with its certificate of incorporation and bylaws. The term of the indemnification period lasts as long as a director or officer may be subject to any proceeding arising out of acts or omissions of such director or officer in such capacity. The maximum amount of potential future indemnification is unlimited; however, the Company currently holds director and officer liability insurance. The Company believes that the fair value of these indemnification obligations is minimal. Accordingly, the Company has not recognized any liabilities relating to these obligations as of June 30, 2022.