Leases

12 Months Ended

Dec. 31, 2019

Leases [Abstract]

Leases

23. Leases

The Company has operating leases primarily for branch locations as well as data processing centers. The Company’s operating leases have remaining lease terms of 1 year to 32 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within 1 year. The Company also has one sublease for part of a data processing center that the Company currently leases from a lessor. The sublease expires in 2022 with an option to terminate and no option to extend. Lease income, for the sublease, totaled approximately $39,000 for the year ended December 31, 2019. Variable lease costs include costs that are not included in the lease liability.

The components of lease expense were as follows:

Year Ended December 31,	2019
(in thousands)
Operating lease cost	$	2,216
Variable lease cost		528
Total lease cost	$	2,744

Supplemental cash flow information related to leases was as follows:

Year Ended December 31,	2019
(in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	2,130
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	1,745

Supplemental balance sheet information related to leases was as follows:

Year Ended December 31,	2019
(in thousands, except lease term and discount rate)
Operating Leases:
Operating lease right-of-use assets	$	12,521
Operating lease liabilities	$	12,690
Weighted Average Remaining Lease Term:
Operating Leases		11 Years
Weighted Average Discount Rate:
Operating Leases		3.5	%

The Company is obligated under a number of non-cancelable operating leases for premises and equipment expiring in various years through 2028. Total lease expense approximated $2,744,000, $2,601,000 and $2,608,000 for the years ended December 31, 2019, 2018 and 2017, respectively. Included in lease expense are amounts paid to a company affiliated with Barry R. Sloane, Chairman, President and CEO, and Linda Sloane Kay, Vice Chair, amounting to $458,000, $444,000 and $439,000, respectively. Rental income approximated $419,000, $373,000 and $321,000 in 2019, 2018 and 2017, respectively.

A summary of future payments of lease liabilities were as follows:

Year Ending December 31,	2019			2018
(in thousands)
2019	$	—		$	2,490
2020		2,030			2,170
2021		1,754			1,694
2022		1,603			1,331
2023		1,545			1,104
2024		1,277			—
Thereafter		7,312			1,074
Total lease payments	$	15,521		$	9,863
Less imputed interest		(2,831	)
Present value of lease liability	$	12,690