9. LEASES

A reconciliation of lease obligations for the three months ended March 31, 2023, is as follows:

All extension options that are reasonably certain to be exercised have been included in the measurement of lease obligations. The Company reassesses the likelihood of extension option exercise if there is a significant event or change in circumstances within its control.

Current and long-term portions of lease obligations at March 31, 2023 and December 31, 2022, are as follows:

The key assumptions used in accounting for leases as of March 31, 2023 were a weighted average remaining lease term of 14.9 years and a weighted average discount rate of 6.0%.

The key assumptions used in accounting for leases as of December 31, 2022 were a weighted average remaining lease term of 14.6 years and a weighted average discount rate of 6.0%.

The components of lease expense for the three months ended March 31, 2023 and 2022, are as follows:

1) Included in cost of goods sold, general and administrative and other income/expense in the Condensed Consolidated Statements of Income (Loss).

2) Included in interest expense in the Condensed Consolidated Statements of Income (Loss).

The future lease payments with initial remaining terms in excess of one year as of March 31, 2023 were as follows: