The Company leases certain equipment, vehicles, office and storage facilities via various operating and financing lease agreements. Our leases have initial lease terms ranging from one year to seventeen years. Certain lease agreements require the Company to pay taxes, insurance, and maintenance, and provide for options to extend the term beyond the initial lease termination date. We use judgment to determine whether it is reasonably possible that we will extend the lease beyond the initial term and the length of the possible extension. Leases that have terms of less than 12 months are treated as short-term and we do not recognize right-of-use assets or lease liabilities for such leases. We generally estimate discount rates using our incremental borrowing rate, and based on other information available, at commencement date of a lease when determining the present value of future payments as most of our leases do not provide an implicit rate.

The Company includes financing lease right-of-use assets in other assets, short-term financing lease liabilities in accrued expenses, and long-term financing lease liabilities in other liabilities on the condensed consolidated balance sheet. Operating lease

expense is recognized, on a straight-line basis over the term of the lease, as a component of operating income on the condensed consolidated statement of operations and comprehensive income. Finance leases amortize the right-of-use assets and amortize the interest on the lease liability over the term of the lease.

Amounts reported in the condensed consolidated balance sheet were as follows:


	June 30,		December 31,
(In thousands)	2024		2023
Asset:
Operating lease right-of-use asset	$	53,881	$	59,931
Finance lease right-of-use asset		1,660		797
Total leased assets	$	55,542	$	60,728

Liabilities:
Current:
Operating lease liability		11,118		11,967
Finance lease liability		1,038		475
Long-term:
Operating lease liability		87,702		91,037
Finance lease liability		684		337
Total lease liabilities	$	100,542	$	103,816

The table below summarizes the Company’s lease costs arising from the operating and financing lease obligations:


	Three Months Ended				Six Months Ended
	June 30,				June 30,
(In thousands)	2024		2023		2024		2023
Lease expense:
Operating lease expense	$	6,593	$	982	$	12,200	$	1,930
Finance lease expense
Depreciation of right-of-use asset		165		—		348		—
Interest expense on lease liabilities		27		—		56		—
Total lease expense	$	6,785	$	982	$	12,604	$	1,930

Future minimum lease payments under non-cancellable leases as of June 30, 2024 are as follows:


(In thousands)		Finance ‎Leases		Operating ‎Leases
Remaining 2024	$	632	$	8,916
2025		849		15,505
2026		314		14,128
2027		18		12,942
2028		4		11,820
Thereafter		—		74,150
Total minimum lease payments	$	1,818	$	137,461
Less: amount representing interest		(97)		(38,641)
Present value of obligations under leases		1,722		98,820
Less: current portion		(1,038)		(11,118)
Long-term lease obligations	$	684	$	87,702

The table below summarizes the Company’s supplemental cash flow information and assumptions used:


	Six Months Ended
	June 30,		June 30,
(In thousands, except weighted average lease term and discount rate)	2024		2023
Other supplemental cash flow information:
Cash paid for amounts included in measurement of lease liabilities
Operating cash flows from operating leases	$	9,785	$	1,248
Operating cash flows for finance leases		668		—
Financing cash flows for finance leases		611		—
Total cash paid for amounts included in the measurement of lease liabilities	$	11,064	$	1,248

Right-of-use assets obtained in exchange for lease obligations
Operating leases	$	1,507	$	2,527
Financing leases	$	—	$	—
Weighted-average remaining lease term
Operating leases		9.1		2.8
Financing leases		2.4		—
Weighted-average discount rate
Operating leases		5.3%		3.6%
Financing leases		5.0%		—