The Company maintains certain property and equipment under direct financing and operating leases. As of June 30, 2024, the Company's operating lease ROU asset and operating lease liability totaled $38.7 million and $41.3 million, respectively. As of December 31, 2023, the Company's operating lease ROU asset and operating lease liability totaled $12.1 million and $12.9 million, respectively. The increase in the Company’s operating lease liability and ROU asset was primarily due to the modification of the existing lease on the main office which had an operating lease liability balance of $19.3 million and an ROU asset balance of $18.4 million as of June 30, 2024. Additionally, the Company executed a lease for our New York City location, which resulted in an operating lease liability of $10.8 million and an ROU asset of $9.7 million as of June 30, 2024. A weighted average discount rate of 4.33 percent and 2.72 percent was used in the measurement of the ROU asset and lease liability as of June 30, 2024 and December 31, 2023, respectively.

The Company's leases have remaining lease terms between two months to 13 years, with a weighted average lease term of 9.74 years at June 30, 2024. The Company's leases had remaining lease terms between four months to 13 years, with a weighted average lease term of 6.75 years at December 31, 2023. The Company’s lease agreements may include options to extend or terminate the lease. The Company’s decision to exercise renewal options is based on an assessment of its current business needs and market factors at the time of the renewal.

Total operating lease costs were $1.4 million and $822,000 for the three months ended June 30, 2024 and 2023, respectively. The variable lease costs were $93,000 and $70,000 for the three months ended June 30, 2024 and 2023, respectively.

Total operating lease costs were $2.3 million and $1.6 million for the six months ended June 30, 2024 and 2023, respectively. The variable lease costs were $159,000 and $142,000 for the six months ended June 30, 2024 and 2023, respectively.

The following is a schedule of the Company's operating lease liabilities by contractual maturity as of June 30, 2024:


(In thousands)
2024		2,463
2025		5,727
2026		5,556
2027		5,222
2028		5,042
Thereafter		27,293
Total lease payments		51,303
Less: imputed interest		9,956
Total present value of lease payments	$	41,347

The following table shows the supplemental cash flow information related to the Company’s direct finance and operating leases for the periods indicated:


	For the Six Months Ended June 30,
(In thousands)	2024		2023
Right-of-use asset obtained in exchange for lease obligation	$	28,321	$	1,926
Operating cash flows from operating leases		1,887		1,471
Operating cash flows from direct finance leases		60		103
Financing cash flows from direct finance leases		273		374