Leases (Tables)

3 Months Ended

Mar. 31, 2026

Schedule of Quantitative Information and Other Information Related to Leases

Quantitative information related to leases for the quarters ended March 31, 2026 and 2025 is presented in the following table (dollars in thousands):


	For the Quarter Ended March 31, 2026			For the Quarter Ended March 31, 2025
Lease expenses (1)
Operating fixed lease expenses	$	2,555		$	2,613
Finance lease amortization expense		1,279			1,279
Finance lease interest expense		156			230
Variable lease expenses		1,216			1,118
Sublease income (2)		(108	)		(77	)
Total lease expenses	$	5,098		$	5,163

Supplemental cash flow information (3)
Gross operating cash flows for operating leases	$	(3,710	)	$	(3,446	)
Gross operating cash flows for finance leases		(197	)		(230	)
Gross financing cash flows for finance leases		(1,324	)		(1,207	)
Operating cash flows from subleases		108			77

	As of March 31, 2026			As of March 31, 2025
Weighted average remaining lease term (in months) – operating leases		84			90
Weighted average remaining lease term (in months) – finance leases		22			34

Weighted average discount rate – operating leases		6.3	%		6.2	%
Weighted average discount rate– finance leases		5.9	%		5.9	%

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(1)

Lease expense and sublease income represent the amount recorded within our consolidated statements of income. Variable lease amounts represent expenses recognized as incurred which are not included in the lease liability.

(2)

For certain of our leased locations, we have vacated the facility and have fully or partially subleased the space.

(3)

Cash flows are presented on a consolidated basis and represent cash payments for fixed and variable lease costs.

Schedule of Future Minimum Lease Payments for Sale Leaseback Transactions

Future minimum lease payments for the failed sale-leaseback financing transaction as of March 31, 2026 are as follows:


	Sale Leaseback Payments


2026 (1)	$	3,782
2027		5,143
2028		5,246
2029		5,351
2030		5,458
2031 and thereafter		127,827
Total minimum lease payments	$	152,807

Less – Amount representing interest		(109,505	)
Present value of minimum lease payments		43,302
Plus - liability remaining at term end representing residual value of asset		13,782
Failed sale leaseback liability		57,084

__________________

(1)

Liabilities remaining for the year ending December 31, 2026.