Lease Liability

12 Months Ended

Dec. 31, 2023

Lease Liability

Lease Liability

13. Lease Liability

The Company has operating leases predominantly for operating facilities. As of December 31, 2023, the remaining lease terms on our operating leases range from less than one to twelve years. Renewal options to extend our leases have not been exercised due to uncertainty. Termination options are not reasonably certain of exercise by the Company. There is no transfer of title or option to purchase the leased assets upon expiration. There are no residual value guarantees or material restrictive covenants. There are no significant finance leases as of December 31, 2023.

Future minimum lease payments as of December 31, 2023, are as follows:

Maturity of Lease Liability:

	Totals
2024		956,000
2025		861,000
2026		839,000
2027		808,000
2028		824,000
After		4,913,000
Total lease payments		9,201,000
Less: Imputed Interest		(1,598,000	)
Present value of remaining lease payments	$	7,603,000
Current	$	686,000
Noncurrent	$	6,917,000
Weighted-average remaining lease term (years)		14.3
Weighted-average discount rate		4.1	%

In March of 2022, Premier Packaging began leasing its relocated manufacturing facilities to West Henrietta, New York. This lease contains an escalating payment clause, ranging from $61,000 per month to $78,000 per month, over the twelve-year term of the lease. Total lease expense during the years ended December 31, 2023 and 2022 approximated $790,000 and $975,000, respectively.