XML 53 R38.htm IDEA: XBRL DOCUMENT
v3.20.2

Leases | 9 Months Ended
--- | ---
Sep. 30, 2020
Leases [Abstract] |
Leases | Note 28 – Leases The Corporation enters in the ordinary course of business into operating and finance leases for land, buildings and equipment. These contracts generally do not include purchase options or residual value guarantees. The remaining lease terms of 0.1 to 33.3years considers options to extend the leases for up to 20.0 years. The Corporation identifies leases when it has both the right to obtain substantially all of the economic benefits from the use of the asset and the right to direct the use of the asset. The Corporation recognizes right-of-use assets (“ROU assets”) and lease liabilities related to operating and finance leases in its Consolidated Statements of Financial Condition under the caption of other assets and other liabilities, respectively. Refer to Note 13 and Note 17, respectively, for information on the balances of these lease assets and liabilities. The Corporation uses the incremental borrowing rate for purposes of discounting lease payments for operating and finance leases, since it does not have enough information to determine the rates implicit in the leases. The discount rates are based on fixed-rate and fully amortizing borrowing facilities of its banking subsidiaries that are collateralized. For leases held by non-banking subsidiaries, a credit spread is added to this rate based on financing transactions with a similar credit risk profile. The following table presents the undiscounted cash flows of operating and finance leases for each of the following periods:
September 30, 2020
(In thousands) |  | Remaining 2020 |  | 2021 |  | 2022 |  | 2023 |  | 2024 |  | Later Years |  | Total Lease Payments |  | Less: Imputed Interest |  | Total
Operating Leases | $ | 7,334 | $ | 31,544 | $ | 27,430 | $ | 25,095 | $ | 23,986 | $ | 74,358 | $ | 189,747 | $ | (24,789) | $ | 164,958
Finance Leases |  | 872 |  | 3,535 |  | 3,629 |  | 3,725 |  | 3,830 |  | 13,163 |  | 28,754 |  | (4,785) |  | 23,969
December 31, 2019
(In thousands) |  | 2020 |  | 2021 |  | 2022 |  | 2023 |  | 2024 |  | Later Years |  | Total Lease Payments |  | Less: Imputed Interest |  | Total
Operating Leases | $ | 29,872 | $ | 27,445 | $ | 23,540 | $ | 21,257 | $ | 20,176 | $ | 70,842 | $ | 193,132 | $ | (27,993) | $ | 165,139
Finance Leases |  | 3,068 |  | 3,159 |  | 3,252 |  | 3,349 |  | 3,448 |  | 8,220 |  | 24,496 |  | (4,686) |  | 19,810
The following table presents the lease cost recognized by the Corporation in the Consolidated Statements of Operations as follows:
|  |  | Quarters ended September 30, | Nine months ended September 30,
(In thousands) | 2020 | 2019 | 2020 | 2019
Finance lease cost: |  |  |  |  |  |  |  |
| Amortization of ROU assets | $ | 525 | $ | 422 | $ | 1,512 | $ | 1,265
| Interest on lease liabilities |  | 299 |  | 296 |  | 900 |  | 901
Operating lease cost |  | 8,361 |  | 7,233 |  | 24,189 |  | 23,156
Short-term lease cost |  | 38 |  | 97 |  | 172 |  | 172
Variable lease cost |  | 12 |  | 3 |  | 37 |  | 5
Sublease income |  | (23) |  | (29) |  | (83) |  | (84)
Net gain recognized from sale and leaseback transaction[1] |  | - |  | - |  | (5,550) |  | -
Total lease cost[2] | $ | 9,212 | $ | 8,022 | $ | 21,177 | $ | 25,415
[1] | During the quarter ended June 30, 2020, the Corporation recognized the transfer of the Caparra Center as a sale. Since the sale and partial leaseback was considered to be at fair value, no portion of the gain on sale was deferred.
[2] | Total lease cost is recognized as part of net occupancy expense, except for the net gain recognized from the sale and leaseback transaction which was included as part of other operating income.
The following table presents supplemental cash flow information and other related information related to operating and finance leases.
|  |  |  | Nine months ended
(Dollars in thousands) |  | September 30, 2020 |  | September 30, 2019
Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |  |
| Operating cash flows from operating leases | $ | 24,115 | $ | 22,527
| Operating cash flows from finance leases |  | 900 |  | 906
| Financing cash flows from finance leases |  | 1,608 |  | 1,269
ROU assets obtained in exchange for new lease obligations: |  |  |  |
| Operating leases[1] | $ | 13,085 | $ | 7,882
| Finance leases |  | 4,510 |  | -
Weighted-average remaining lease term: |  |  |  |  |  |
| Operating leases |  | 8.1 | years |  | 8.6 | years
| Finance leases |  | 9.2 | years |  | 7.5 | years
Weighted-average discount rate: |  |  |  |  |  |
| Operating leases |  | 3.2 | % |  | 3.6 | %
| Finance leases |  | 5.0 | % |  | 6.0 | %
[1] | During the quarter ended June 30, 2020, the Corporation recognized a lease liability of $11.1 million and a corresponding ROU asset for the same amount as a result of the partial leaseback of the Caparra Center.
As of September 30, 2020, the Corporation has additional operating leases contracts that have not yet commenced with an undiscounted contract amount of $4.5 million, which will have lease terms ranging from 10 to 20 years.

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for lessee entity's leasing arrangements including, but not limited to, all of the following: (a.) The basis on which contingent rental payments are determined, (b.) The existence and terms of renewal or purchase options and escalation clauses, (c.) Restrictions imposed by lease agreements, such as those concerning dividends, additional debt, and further leasing. + References Reference 1: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Publisher FASB -Name Accounting Standards Codification -Topic 840 -URI http://asc.fasb.org/topic&trid=2208923 + Details
Name: | us-gaap_LeasesOfLesseeDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration