The Company has operating leases for branch office locations, vehicles and certain office equipment such as printers, copiers and faxes. The leases have remaining lease terms of up to 17.3 years, some of which include options to extend the lease for up to 15 years and some of which include options to terminate the lease in April of 2023.

The right of use asset and lease liability were $8.4 million and $8.8 million as of December 31, 2022, respectively, and $6.4 million and $6.6 million as of December 31, 2021, respectively.

Lease payments made for the year ended December 31, 2022 and 2021 were $985 thousand and $845 thousand. Interest expense and amortization expense on finance leases for the year ended December 31, 2022 were $187 thousand and $763 thousand. Interest expense and amortization expense on finance leases for the year ended December 31, 2021 were $154 thousand and $521 thousand. The weighted-average remaining lease term for all financing leases was 12.58 years and 5.05 years for all operating leases as of December 31, 2022. The weighted-average discount rate for financing leases was 2.87% and 1.98% for operating leases as of December 31, 2022.

On November 1, 2021, the Company performed a valuation on Cortland’s leases to determine an initial right of use asset (ROU asset) and lease liability in connection with the Merger. The Company recorded and initial ROU asset and lease liability of $1.6 million for these leases.

Maturities of lease liabilities are as follows as of December 31, 2022:


2023	$	1,074
2024		905
2025		865
2026		831
2027		821
Thereafter		5,992
Total Payments		10,488
Less: Imputed Interest		(1,723	)
Total	$	8,765