Lease Commitments

12 Months Ended

Dec. 31, 2023

7. LEASE COMMITMENTS

The Company enters into leases in the normal course of business. The Company leases its administration and operations facility and 17 solutions centers under lease agreements with remaining terms ranging from less than one year to 15 years. Certain leases include renewal options to extend for up to seventeen years.

Right-of-use assets and lease liabilities by lease type are as follows:


(In Thousands)	December 31, 2023		December 31, 2022
Right-of-Use Asset
Operating leases	$	14,628	$	10,219
Finance leases		970		-
Total Right-of-Use Asset	$	15,598	$	10,219

Lease Liabilities
Operating leases	$	15,109	$	10,219
Finance leases		1,355		-
Total lease liabilities	$	16,464	$	10,219

The components of total lease cost were as follows.


(In Thousands)	December 31, 2023		December 31, 2022
Finance lease cost
Right-of-Use amortization	$	7	$	-
Interest expense		3		-
Operating lease cost		1,358		805
Total lease cost	$	1,368	$	805

The following table presents information associated with our obligations under leases for the years ended December 31, 2023 and 2022:


	2023			2022
Finance lease weighted-average remaining term (years)		10.92			-
Finance lease weighted-average discount rate		2.59	%		-

Operating lease weighted-average remaining term (years)		9.72			11.0
Operating lease weighted-average discount rate		4.15	%		5.1	%

The following table presents the undiscounted cash flows due related to operating and finance leases as of December 31, 2023:


(In Thousands)	Operating Leases			Finance Leases
2024	$	2,073		$	127
2025		1,968			138
2026		1,873			138
2027		1,829			138
2028 and thereafter		10,876			1,023
Total Undiscounted Cash Flows	$	18,619		$	1,564
Discount on Cash Flows		(3,510	)		(209	)
Total lease liabilities	$	15,109		$	1,355