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Leases
12 Months Ended
Dec. 31, 2022
Leases  
Leases

(3) Leases

The Company has operating leases for the use of equipment, corporate office space, and some of its terminal and distribution facilities. The leases have remaining lease terms of 0 to 6 years, with a weighted-average remaining lease term of 3 years at December 31, 2022. Some operating leases include options to extend the leases for up to 5 years. The Company’s lease calculations include the impact of options to extend when it is reasonably certain the Company will exercise the option. The Company used a weighted-average discount rate of 3.0% and 1.1% for leases entered into during 2022 and 2021, respectively. The components of net operating lease costs for 2022, 2021 and 2020 were as follows (in thousands):

Year Ended December 31,

     

Classification

     

2022

     

2021

2020

Operating lease costs(1)

Cost of revenues

$

2,374

$

1,706

$

1,552

Operating lease costs(1)

Selling, general and administrative expenses

 

275

 

259

 

243

Rental revenues

Interest and other income, net

 

(70)

 

(98)

 

(89)

Net operating lease costs

$

2,579

$

1,867

$

1,706

(1)

Includes the costs of leases with a term of one year or less.

As of December 31, 2022, future minimum payments under operating leases that were either non-cancelable or subject to significant penalty upon cancellation, including future minimum payments under renewal options that the Company is reasonably certain to exercise, were as follows (in thousands):

2023

$

1,408

2024

1,354

2025

1,082

2026

1,054

2027

694

Thereafter

250

Total future minimum lease payments

5,842

Less imputed interest

(302)

Present value of lease liabilities

$

5,540

Supplemental cash flow information pertaining to the Company’s leasing activity for the years ended December 31, 2022, 2021 and 2020 was as follows (in thousands):

Year Ended December 31,

2022

2021

2020

Cash payments for operating lease liabilities

$

1,660

$

1,420

$

1,486

Right-of-use assets obtained in exchange for operating lease obligations

$

3,456

$

2,377

$

314