Leases (Tables)

12 Months Ended

Dec. 31, 2020

Schedule of Right-of-Use Assets and Lease Liabilities

The following table represents the consolidated statements of condition classification of the Company’s ROU assets and lease liabilities. The Company elected not to include short-term leases (i.e., leases with initial terms of twelve months or less), or equipment leases (deemed immaterial) on the consolidated statements of condition.

(dollars in thousands)		December 31, 2020		December 31, 2019
Lease Right-of-Use Assets	Classification
Operating lease right-of-use assets	Operating Lease Right-of-Use Assets	$	99,542	$	100,838
Finance lease right-of-use assets	Premises and Equipment, Net		2,304		2,376
Total Lease Right-of-Use Assets		$	101,846	$	103,214

Lease Liabilities
Operating lease liabilities	Operating Lease Liabilities	$	107,412	$	108,210
Finance lease liabilities	Other Debt		10,481		10,565
Total Lease Liabilities		$	117,893	$	118,775

Schedule of Lease Cost and Other Information

For the Company’s only finance lease, the Company utilized its incremental borrowing rate at lease inception.

	December 31, 2020			December 31, 2019
Weighted-average remaining lease term
Operating leases	17.0 years			16.8 years
Finance leases	32.0 years			33.0 years
Weighted-average discount rate
Operating leases		3.61	%		3.67	%
Finance leases		7.04	%		7.04	%

The following table represents lease costs and other lease information. As the Company elected, for all classes of underlying assets, not to separate lease and non-lease components and instead to account for them as a single lease component, the variable lease cost primarily represents variable payments such as common area maintenance and utilities. Variable lease cost also includes payments for ATM location leases in which payments are based on a percentage of ATM transactions (i.e., ATM surcharge fees), rather than a fixed amount.

(dollars in thousands)	2020			2019
Lease Costs
Operating lease cost	$	12,281		$	12,616
Variable lease cost		5,549			3,504
Short-term lease cost		587			591
Finance lease cost
Interest on lease liabilities ¹		741			747
Amortization of right-of-use assets		72			72
Sublease income		(7,804	)		(8,281	)
Net lease cost	$	11,426		$	9,249

Other Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	12,349		$	12,779
Operating cash flows from finance leases		741			747
Financing cash flows from finance leases		84			78
Right-of-use assets obtained in exchange for new operating lease liabilities		11,185			4,101
Right-of-use assets obtained in exchange for new finance lease liabilities		—			—

¹	^{Included in other debt interest expense in the Company’s consolidated statements of income. All other lease costs in this table are included in net occupancy expense.}

Future Minimum Payments for Finance Leases and Operating Leases

Future minimum payments for finance leases and operating leases with initial or remaining terms of one year or more as of December 31, 2020, were as follows:

(dollars in thousands)	Finance Leases			Operating Leases
2021	$	825		$	11,124
2022		825			10,627
2023		825			9,904
2024		825			9,190
2025		825			8,843
Thereafter		22,280			100,371
Total Future Minimum Lease Payments		26,405			150,059
Amounts Representing Interest		(15,924	)		(42,647	)
Present Value of Net Future Minimum Lease Payments	$	10,481		$	107,412

Future Minimum Rental Income under Operating Leases Including Subleases

Future minimum rental income under operating leases, including subleases, as of December 31, 2020, were as follows:

(dollars in thousands)	Minimum Rental Income
2021	$	4,994
2022		4,019
2023		2,761
2024		1,361
2025		699
Thereafter		4,333
Total	$	18,167