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:


	September 30,		December 31,
(In thousands)	2024		2023
Asset:
Operating lease right-of-use asset	$	52,824	$	59,931
Finance lease right-of-use asset		1,682		797
Total leased assets	$	54,506	$	60,728

Liabilities:
Current:
Operating lease liability		11,040		11,967
Finance lease liability		1,035		475
Long-term:
Operating lease liability		86,376		91,037
Finance lease liability		709		337
Total lease liabilities	$	99,160	$	103,816

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


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(In thousands)	2024		2023		2024		2023
Lease expense:
Operating lease expense	$	6,554	$	2,357	$	18,754	$	4,287
Finance lease expense
Depreciation of right-of-use asset		191		85		542		85
Interest expense on lease liabilities		28		6		85		6
Total lease expense	$	6,773	$	2,448	$	19,381	$	4,378

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


(In thousands)		Finance ‎Leases		Operating ‎Leases
Remaining 2024	$	335	$	12,569
2025		968		16,567
2026		433		14,705
2027		83		13,387
2028		15		11,501
Thereafter		5		74,005
Total minimum lease payments	$	1,841	$	142,733
Less: amount representing interest		(97)		(45,317)
Present value of obligations under leases		1,744		97,416
Less: current portion		(1,035)		(11,040)
Long-term lease obligations	$	709	$	86,376

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


	Nine Months Ended
	September 30,		September 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	$	12,463	$	3,567
Operating cash flows for finance leases		85		6
Financing cash flows for finance leases		945		55
Total cash paid for amounts included in the measurement of lease liabilities	$	13,493	$	3,628

Right-of-use assets obtained in exchange for lease obligations
Operating leases	$	1,643	$	3,146
Financing leases	$	—	$	—
Weighted-average remaining lease term
Operating leases		7.5		9.9
Financing leases		0.2		2.8
Weighted-average discount rate
Operating leases		0.7%		5.2%
Financing leases		0.7%		4.3%