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Leases
 3 Months Ended
Mar. 31, 2024
Leases [Abstract]  
Leases LEASES
Old National has operating and finance leases for land, office space, banking centers, and equipment. These leases are generally for periods of 5 to 20 years with various renewal options. We include certain renewal options in the measurement of our right-of-use assets and lease liabilities if they are reasonably certain to be exercised. Variable lease payments that are dependent on an index or a rate are initially measured using the index or rate at the commencement date and are included in the measurement of the lease liability. Variable lease payments that are not dependent on an index or a rate are excluded from the measurement of the lease liability and are recognized in profit and loss when incurred. Variable lease payments are defined as payments made for the right to use an asset that vary because of changes in facts or circumstances occurring after the commencement date, other than the passage of time.
Old National has lease agreements with lease and non-lease components, which are generally accounted for separately. For real estate leases, non-lease components and other non-components, such as common area maintenance charges, real estate taxes, and insurance are not included in the measurement of the lease liability since they are generally able to be segregated. For certain equipment leases, Old National accounts for the lease and non-lease components as a single lease component using the practical expedient available for that class of assets. Old National does not have any material sub-lease agreements.
The components of lease expense were as follows:
Affected Line
Item in the
Statement of Income		Three Months Ended
March 31,
(dollars in thousands)20242023
Operating lease costOccupancy/Equipment expense$7,826 $8,638 
Finance lease cost: 
Amortization of right-of-use assetsOccupancy expense751 691 
Interest on lease liabilitiesInterest expense181 169 
Sub-lease incomeOccupancy expense(125)(60)
Total $8,633 $9,438 
Supplemental balance sheet information related to leases was as follows:
(dollars in thousands)March 31,
2024		December 31,
2023
Operating Leases 
Operating lease right-of-use assets$189,593 $185,506 
Operating lease liabilities208,868 204,960 
Finance Leases
Premises and equipment, net18,877 19,820 
Other borrowings20,108 20,955 
Weighted-Average Remaining Lease Term (in Years)
Operating leases8.48.5
Finance leases10.310.5
Weighted-Average Discount Rate
Operating leases3.05 %3.04 %
Finance leases3.91 %3.90 %
Supplemental cash flow information related to leases was as follows:
Three Months Ended
March 31,
(dollars in thousands)20242023
Cash paid for amounts included in the measurement of lease liabilities: 
Operating cash flows from operating leases$8,005 $7,932 
Operating cash flows from finance leases181 169 
Financing cash flows from finance leases655 628 
The following table presents a maturity analysis of the Company’s lease liability by lease classification at March 31, 2024:
(dollars in thousands)Operating
Leases		Finance
Leases
2024$23,964 $2,520 
202532,022 3,377 
202631,257 2,151 
202730,266 2,152 
202826,608 2,050 
Thereafter94,333 12,451 
Total undiscounted lease payments238,450 24,701 
Amounts representing interest(29,582)(4,593)
Lease liability$208,868 $20,108 
Leases LEASES
Old National has operating and finance leases for land, office space, banking centers, and equipment. These leases are generally for periods of 5 to 20 years with various renewal options. We include certain renewal options in the measurement of our right-of-use assets and lease liabilities if they are reasonably certain to be exercised. Variable lease payments that are dependent on an index or a rate are initially measured using the index or rate at the commencement date and are included in the measurement of the lease liability. Variable lease payments that are not dependent on an index or a rate are excluded from the measurement of the lease liability and are recognized in profit and loss when incurred. Variable lease payments are defined as payments made for the right to use an asset that vary because of changes in facts or circumstances occurring after the commencement date, other than the passage of time.
Old National has lease agreements with lease and non-lease components, which are generally accounted for separately. For real estate leases, non-lease components and other non-components, such as common area maintenance charges, real estate taxes, and insurance are not included in the measurement of the lease liability since they are generally able to be segregated. For certain equipment leases, Old National accounts for the lease and non-lease components as a single lease component using the practical expedient available for that class of assets. Old National does not have any material sub-lease agreements.
The components of lease expense were as follows:
Affected Line
Item in the
Statement of Income		Three Months Ended
March 31,
(dollars in thousands)20242023
Operating lease costOccupancy/Equipment expense$7,826 $8,638 
Finance lease cost: 
Amortization of right-of-use assetsOccupancy expense751 691 
Interest on lease liabilitiesInterest expense181 169 
Sub-lease incomeOccupancy expense(125)(60)
Total $8,633 $9,438 
Supplemental balance sheet information related to leases was as follows:
(dollars in thousands)March 31,
2024		December 31,
2023
Operating Leases 
Operating lease right-of-use assets$189,593 $185,506 
Operating lease liabilities208,868 204,960 
Finance Leases
Premises and equipment, net18,877 19,820 
Other borrowings20,108 20,955 
Weighted-Average Remaining Lease Term (in Years)
Operating leases8.48.5
Finance leases10.310.5
Weighted-Average Discount Rate
Operating leases3.05 %3.04 %
Finance leases3.91 %3.90 %
Supplemental cash flow information related to leases was as follows:
Three Months Ended
March 31,
(dollars in thousands)20242023
Cash paid for amounts included in the measurement of lease liabilities: 
Operating cash flows from operating leases$8,005 $7,932 
Operating cash flows from finance leases181 169 
Financing cash flows from finance leases655 628 
The following table presents a maturity analysis of the Company’s lease liability by lease classification at March 31, 2024:
(dollars in thousands)Operating
Leases		Finance
Leases
2024$23,964 $2,520 
202532,022 3,377 
202631,257 2,151 
202730,266 2,152 
202826,608 2,050 
Thereafter94,333 12,451 
Total undiscounted lease payments238,450 24,701 
Amounts representing interest(29,582)(4,593)
Lease liability$208,868 $20,108