(

)

Leases

Bancorp has operating leases for various branch locations with terms remaining from

three

months to

years, some of which include options to extend the leases in

five

year increments. Options reasonably expected to be exercised are included in determination of the right of use asset. Bancorp elected the practical expedient to expense short-term lease expense associated with leases with original terms

months or less. Bancorp elected

not

to separate non-lease components from lease components for its operating leases. The right-of-use lease asset and operating lease liability are recorded in others assets and other liabilities, respectively, on the consolidated balance sheet.

Balance sheet, income statement, and cash flow detail regarding operating leases follows:

(In thousands)	As of and for the
	three months ended
Balance Sheet	March 31, 2019

Operating lease right-of-use assets	$	16,392		included in other assets
Operating lease liabilities		17,713		included in other liabilities

Weighted average remaining lease term (years)		12.28
Weighted average discount rate		3.61	%

Maturities of lease liabilities:
Year 1	$	1,953
Year 2		1,940
Year 3		1,918
Year 4		1,942
Year 5		1,974
Thereafter		12,323
Total lease payments	$	22,050
Less imputed interest		4,337
Total	$	17,713

(In thousands)	Three months ended
Income Statement	March 31, 2019

Components of lease expense
Operating lease cost	$	508
Variable lease cost		39
Less sublease income		14
Total lease cost	$	533

(In thousands)	Three months ended
Cash flow Statement	March 31, 2019

Supplemental cash flow information:
Operating cash flows from operating leases	$	354

As of

March 31, 2019

Bancorp had

not

entered into any lease agreements that had yet to commence.