Operating Leases

12 Months Ended

Dec. 31, 2020

Note 6. Operating Leases

The Company has operating leases on a number of its branches, certain regional headquarters and other properties to limit its exposure to ownership risks such as fluctuations in real estate prices and obsolescence. The Company leases real estate with lease terms generally from five to 20 years, some of which have renewal options from one to 20 years. As these extension options are not generally considered reasonably certain of renewal, they are not included in the lease term. The Company is not a lessee in any contracts classified as finance leases.

The following tables present supplemental information pertaining to operating leases at and for the years ended December 31, 2020 and 2019.

	Years ended December 31,
(dollars in thousands)	2020			2019
Cash paid for amounts included in the measurement of lease liabilities for operating leases	$	16,617		$	16,027
Right of use assets obtained in exchange for lease liabilities		4,799			121,066

	December 31,
	2020			2019
Weighted average remaining lease term (in years)		12.90			12.95
Weighted average discount rate		3.44	%		3.53	%

The following table sets forth the maturities of the Company’s lease liabilities and the present value discount at December 31, 2020.

(dollars in thousands)
2021	$	17,608
2022		17,227
2023		15,643
2024		13,368
2025		11,121
Thereafter		91,398
Total	$	166,365
Present value discount		(35,738)
Lease liability	$	130,627

The following table sets forth the components of the Company’s lease expense for the years ended December 31, 2020 and 2019.

		Years ended December 31,
(in thousands)		2020		2019
Operating lease expense	$	18,994	$	18,075
Short-term lease expense		165		462
Variable lease expense		97		46
Sublease income		(138)		(322)
Total	$	19,118	$	18,261

At December 31, 2020, the Company had not entered into any material leases that had not yet commenced.