LEASES

6 Months Ended

Jun. 30, 2023

NOTE 7. LEASES

Expense


	Three Months Ended June 30,				Six Months Ended June 30,
(in thousands)	2023		2022		2023		2022
Fixed lease costs	$	4,495	$	4,965	$	10,261	$	10,059
Short-term lease costs	696		787		1,477		1,594
Variable lease costs	2,186		727		4,160		1,491
	$	7,377	$	6,479	$	15,898	$	13,144

Right of use assets and lease liabilities


(in thousands)	June 30, 2023		December 31, 2022
Right of use assets (1)	$	69,839	$	76,114
Operating lease liabilities (2)	$	14,773	$	14,976
Long-term operating lease liabilities	$	72,886	$	79,152

(1) Included in other long-term assets.

(2) Included in other current liabilities.

Weighted-average remaining lease term and discount rate for the Company’s leases were:


	June 30, 2023		December 31, 2022
Weighted-average remaining lease term	7.1 years		7.5 years
Weighted-average discount rate (1)	4.0	%	4.1	%

(1) The rates implicit in most of the Company’s leases are not readily determinable. Therefore, the Company uses its incremental borrowing rate as the discount rate when measuring operating lease liabilities. The incremental borrowing rate represents an estimate of the interest rate the Company would incur to borrow an amount equal to the lease payments on a collateralized basis over the lease term in a similar economic environment.

Maturities of lease liabilities:


(in thousands)	June 30, 2023
Remainder of 2023	$	8,596
2024	18,024
2025	14,869
2026	10,940
2027	9,882
2028	9,312
Thereafter	30,149
Total lease payments	101,772
Less: imputed interest (1)	(14,113)
	$	87,659

(1) Lease liabilities are measured at the present value of the remaining lease payments using a discount rate determined at lease commencement unless the discount rate is updated due to a lease reassessment event.

Cash flow information


	Six Months Ended June 30,
(in thousands)	2023		2022
Cash paid for operating leases, net of tenant improvement allowances	$	10,540	$	7,296
Right of use assets recognized for new leases and amendments (non-cash)	$	1,465	$	2,223