LEASES

3 Months Ended

Jun. 30, 2023

(H) LEASES

We lease certain real estate, buildings, and equipment. Certain of these leases contain escalations of rent over the term of the lease, as well as options for us to extend the term of the lease at the end of the original term. These extensions range from periods of one to 20 years. Our lease agreements do not contain material residual value guarantees or material restrictive covenants. In calculating the present value of future minimum lease payments, we use the rate implicit in the lease if it can be determined. Otherwise, we use our incremental borrowing rate in effect at the commencement of the lease to determine the present value of the future minimum lease payments. Additionally, we lease certain equipment under short-term leases with initial terms of less than 12 months, which are not recorded on the balance sheet.

Lease expense for our operating and short-term leases is as follows:


	For the Three Months Ended June 30,
	2023		2022
	(dollars in thousands)
Operating Lease Cost	$	2,274	$	1,727
Short-term Lease Cost		223		149
Total Lease Cost	$	2,497	$	1,876

The Right-of-Use Assets and Lease Liabilities are reflected on our Balance Sheet as follows:


	June 30,		March 31,
	2023		2023
	(dollars in thousands)
Operating Leases
Operating Lease Right-of-Use Assets	$	25,155	$	20,759

Current Operating Lease Liabilities	$	8,181	$	6,009
Noncurrent Operating Lease Liabilities		26,549		24,940
Total Operating Lease Liabilities	$	34,730	$	30,949

Future payments for operating leases are as follows (dollars in thousands):


Fiscal Year	Amount
2023 (remaining nine months)	$	6,941
2024		8,708
2025		4,834
2026		3,712
2027		2,877
Thereafter		15,896
Total Lease Payments	$	42,968
Less: Imputed Interest		(8,238	)
Present Value of Lease Liabilities	$	34,730

Weighted-Average Remaining Lease Term (in years)		9.5
Weighted-Average Discount Rate		4.16	%