Leases

9 Months Ended

Sep. 30, 2025

Leases

Leases

7.     Leases

The Company has 32 operating leases for branches (including headquarters) and office spaces, two operating leases for vehicles, and one operating lease for equipment. Our leases have remaining lease terms ranging from four months to approximately 11 years, none of which has a renewal option reasonably certain of exercise, which has been reflected in the Company’s calculation of the lease term. During the nine months ended September 30, 2025, the Company entered into an agreement to extend the term of its corporate headquarters operating lease by 3 years. During the nine months ended September 30, 2024, the Company entered into agreements to extend the term of five of its operating leases by 10 years each.

The Company has elected the short-term lease recognition exemption such that the Company will not recognize Right of Use (“ROU”) assets or lease liabilities for leases with a term of less than 12 months from the commencement date. The Company has two agreements in 2025 and 2024 that qualified as short-term leases, respectively.

Certain leases have escalation clauses for operating expenses and real estate taxes, which are recorded as variable lease cost. The Company’s non-cancelable operating lease agreements expire through 2036.

Supplemental balance sheet information related to leases are as follows:

(Dollars in thousands)	September 30, 2025		December 31, 2024
Operating lease ROU assets	$	47,761	$	45,800
Operating lease liabilities	$	48,253	$	46,443
Weighted-average remaining lease term-operating leases		6.8 years		7.3 years
Weighted average discount rate-operating leases		4.2%		4.0%

The components of lease expense and cash flow information related to leases were as follows:

		For the three months ended September 30,
(In thousands)	Line Item Presented	2025		2024
Lease Cost
Operating lease cost	Occupancy and equipment	$	2,508	$	2,235
Operating lease cost	Other operating expenses		5		16
Short-term lease cost	Professional services and other operating expenses		52		40
Variable lease cost	Occupancy and equipment		321		325
Total lease cost		$	2,886	$	2,616
Other information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases		$	2,221	$	2,461
Right-of-use assets obtained in exchange for new operating lease liabilities		$	60	$	—

		For the nine months ended September 30,
(In thousands)	Line Item Presented	2025		2024
Lease Cost
Operating lease cost	Occupancy and equipment	$	7,149	$	6,693
Operating lease cost	Other operating expenses		11		53
Short-term lease cost	Professional services and other operating expenses		152		121
Variable lease cost	Occupancy and equipment		948		918
Total lease cost		$	8,260	$	7,785
Other information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases		$	7,316	$	7,370
Supplemental disclosure of non-cash activities:
Right-of-use assets obtained in exchange for new operating lease liabilities		$	7,893	$	10,894

The Company’s minimum annual rental payments for Bank facilities due under non-cancelable leases are as follows as of September 30, 2025:

	Minimum Rental
	(In thousands)
Years ended December 31:
2025	$	1,414
2026		9,828
2027		9,061
2028		8,910
2029		7,688
Thereafter		19,488
Total minimum payments required		56,389
Less: implied interest		(8,136)
Total lease obligations	$	48,253