The Company is obligated under various non-cancelable operating leases primarily for office space. The initial terms of the leases expire on various dates through 2030. We determine if an arrangement is a lease at inception.

The components of the Company’s operating lease expenses are reflected in the condensed consolidated statements of income as follows:

⁽¹⁾ Short-term lease expenses include rent expenses from leases of 12 months or less on the transition date or lease commencement.

⁽²⁾ Variable lease cost includes common area maintenance, property taxes, and fluctuations in rent due to a change in an index or rate.

Our lease agreements generally contain lease and non-lease components. Non-lease components primarily include payments for maintenance and utilities. We elected to combine fixed payments for non-lease components, for all classes of underlying assets, with our lease payments and account for them together as a single lease component which increases the amount of our lease assets and liabilities.

During the nine months ended September 30, 2024 and 2023, right-of-use assets obtained in exchange for new operating lease liabilities amounted to $5.2 million and $3.7 million, respectively.

Other information related to operating leases is as follows:

	*Three Months Ended September 30,*				*Nine Months Ended September 30,*
	*2024*		*2023*		*2024*		*2023*
	(in thousands)
Cash paid for amounts included in the measurement of the lease liability:
Operating cash flows from operating leases	$	1,828	$	1,659	$	5,576	$	5,324

As of September 30, 2024, our operating leases had a weighted average remaining lease term of 3.6 years and a weighted average discount rate of 5.4%.

As of December 31, 2023, our operating leases had a weighted average remaining lease term of 3.8 years and a weighted average discount rate of 5.6%.

The maturity schedule of the operating lease liabilities as of September 30, 2024 is as follows:

Year Ending December 31:
	(in thousands)
2024 (three months)	$	1,642
2025		6,123
2026		3,472
2027		2,274
2028		1,395
Thereafter		1,427
Total future lease payments	$	16,333
Less: Present value adjustment		(1,471	)
Present value of future lease payments ⁽¹⁾	$	14,862

⁽¹⁾ Includes the current portion of operating lease liabilities of $5.9 million, which is reflected in accrued expenses and other liabilities in the condensed consolidated balance sheets.

As of September 30, 2024, letters of credit have been issued in the amount of $0.8 million as security for operating leases. The letters of credit are secured by certificates of deposit and a line of credit. The certificates of deposit are included in short-term investments within the condensed consolidated balance sheets.