The Company has operating leases for branch office locations, vehicles and certain office equipment such as printers, copiers and faxes. The leases have remaining lease terms of up to 18.3 years, some of which include options to extend the lease for up to 15 years and some of which include options to terminate the lease in December of 2023.

The right of use asset and lease liability were $9.4 million and $9.8 million as of March 31, 2023, respectively, and $8.4 million and $8.8 million at December 31, 2022, respectively. The right of use asset is included in premises and equipment, net and the lease liability is presented in other liabilities on the balance sheet.

Lease payments made for the three month periods ended March 31, 2023 and 2022, were $381 thousand and $237 thousand, respectively. Interest expense and amortization expense on finance leases for the three month period ended March 31, 2023, was $70 thousand and $270 thousand, respectively. Interest expense and amortization expense on finance leases for the three month period ended March 31, 2022, was $38 thousand and $166 thousand, respectively. The weighted average remaining lease term for all financing leases was 12.04 years and 5.13 years for all operating leases as of March 31, 2023. The weighted-average discount rate for financing leases was 3.11% and 3.02% for operating leases as of March 31, 2023.

On January 1, 2023, the Company performed a valuation of Emlenton's leases to determine an initial right of use asset (ROU asset) and lease liability in connection with the Merger. The Company recorded an initial ROU asset and lease liability of $1.3 million for these leases.

Maturities of lease liabilities are as follows as of March 31, 2023:


2023 (9 months)	$	1,028
2024		1,176
2025		1,092
2026		975
2027		898
Thereafter		6,575
Total Payments		11,744
Less: Imputed Interest		(1,952	)
Total	$	9,792