XML 29 R16.htm IDEA: XBRL DOCUMENT
v3.22.4

LEASES | 12 Months Ended
--- | ---
Dec. 31, 2022
Leases [Abstract] |
LEASES | LEASES We have operating leases for corporate offices, branches and loan production offices for which we are the lessee. Our leases have remaining lease terms of 2 months to 16 years, some of which include options to extend the leases generally for periods of 3 to 5 years. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. We also have subleases in place for certain office locations and the income from subleases is included in other income. The components of lease expense were as follows:
|  | Year Ended December 31,
($ in thousands) |  | 2022 |  | 2021 |  | 2020
Operating lease expense |  | $ | 9,168 |  |  | $ | 6,972 |  |  | $ | 6,024 |
Variable lease expense |  | 168 |  |  | 366 |  |  | 279 |
Total lease expense |  | $ | 9,336 |  |  | $ | 7,338 |  |  | $ | 6,303 |
Supplemental cash flow information related to leases was as follows:
|  | Year Ended December 31,
($ in thousands) |  | 2022 |  | 2021 |  | 2020
Cash paid for amounts included in the measurement of lease liabilities for operating leases: |  |  |  |  |  |
Operating cash flows |  | $ | 9,515 |  |  | $ | 7,229 |  |  | $ | 6,812 |
ROU assets obtained in the exchange for lease liabilities: |  |  |  |  |  |
ROU assets obtained in exchange for lease liabilities (1) |  | $ | 2,060 |  |  | $ | 26,413 |  |  | $ | 3,289 |
(1)Includes $9.2 million during the year ended December 31, 2021 related to the PMB Acquisition. Supplemental balance sheet information related to leases was as follows:
|  | December 31,
($ in thousands) |  | 2022 |  | 2021
Operating leases: |  |  |  |
Operating lease right-of-use assets |  | $ | 28,780 |  |  | $ | 35,442 |
Operating lease liabilities |  | 33,122 |  |  | 40,675 |
|  | December 31,
|  | 2022 |  | 2021
Weighted-average remaining lease term (in years): |  |  |  |
Operating leases |  | 4.90 years |  | 5.46 years
Weighted-average discount rate: |  |  |  |
Operating leases |  | 1.88 | % |  | 1.76 | %
Maturities of operating lease liabilities at December 31, 2022 were as follows:
($ in thousands) |  | Operating Leases |  |  |  |  |  |
Year Ending December 31, |  |  |  |  |  |  |  |
2023 |  | $ | 8,726 |  |  |  |  |  |  |
2024 |  | 8,415 |  |  |  |  |  |  |
2025 |  | 6,910 |  |  |  |  |  |  |
2026 |  | 4,992 |  |  |  |  |  |  |
2027 |  | 2,949 |  |  |  |  |  |  |
Thereafter |  | 3,083 |  |  |  |  |  |  |
Total lease payments |  | 35,075 |  |  |  |  |  |  |
Less: present value discount |  | (1,953) |  |  |  |  |  |  |
Total Lease Liability |  | $ | 33,122 |  |  |  |  |  |  |
During the year ended December 31, 2021, we recognized $3.8 million in impairment of ROU assets obtained in the PMB Acquisition. This impairment related to branch and office consolidation of PMB locations and is included in acquisition, integration and transaction costs in the accompanying consolidated statements of operations. Sublease income totaled $1.8 million, $1.3 million and $1.0 million during the years ended December 31, 2022, 2021 or 2020 and is included in other income in the accompanying consolidated statements of operations. We lease certain equipment under finance leases. Finance lease obligations totaled $122 thousand and $239 thousand at December 31, 2022 and 2021. The finance lease arrangements require monthly payments through 2025. Sale-leaseback Transactions In January 2022, we completed a sale-leaseback transaction for one of our branch locations. We sold the branch for $2.4 million and recognized a gain of $771 thousand. We also entered into a 18-month lease agreement for this branch and recognized a right-of-use asset and lease liability for $107 thousand. Gains related to sale-leaseback transactions are included in other income in the accompanying consolidated statements of operations. In September 2021, we completed a sale-leaseback transaction for one of its branch locations. We sold the branch for $4.2 million and recognized a gain of $841 thousand. We also entered into a 5-year lease agreement for this branch and recognized a right-of-use asset and lease liability for $811 thousand.
LEASES | LEASES We have operating leases for corporate offices, branches and loan production offices for which we are the lessee. Our leases have remaining lease terms of 2 months to 16 years, some of which include options to extend the leases generally for periods of 3 to 5 years. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. We also have subleases in place for certain office locations and the income from subleases is included in other income. The components of lease expense were as follows:
|  | Year Ended December 31,
($ in thousands) |  | 2022 |  | 2021 |  | 2020
Operating lease expense |  | $ | 9,168 |  |  | $ | 6,972 |  |  | $ | 6,024 |
Variable lease expense |  | 168 |  |  | 366 |  |  | 279 |
Total lease expense |  | $ | 9,336 |  |  | $ | 7,338 |  |  | $ | 6,303 |
Supplemental cash flow information related to leases was as follows:
|  | Year Ended December 31,
($ in thousands) |  | 2022 |  | 2021 |  | 2020
Cash paid for amounts included in the measurement of lease liabilities for operating leases: |  |  |  |  |  |
Operating cash flows |  | $ | 9,515 |  |  | $ | 7,229 |  |  | $ | 6,812 |
ROU assets obtained in the exchange for lease liabilities: |  |  |  |  |  |
ROU assets obtained in exchange for lease liabilities (1) |  | $ | 2,060 |  |  | $ | 26,413 |  |  | $ | 3,289 |
(1)Includes $9.2 million during the year ended December 31, 2021 related to the PMB Acquisition. Supplemental balance sheet information related to leases was as follows:
|  | December 31,
($ in thousands) |  | 2022 |  | 2021
Operating leases: |  |  |  |
Operating lease right-of-use assets |  | $ | 28,780 |  |  | $ | 35,442 |
Operating lease liabilities |  | 33,122 |  |  | 40,675 |
|  | December 31,
|  | 2022 |  | 2021
Weighted-average remaining lease term (in years): |  |  |  |
Operating leases |  | 4.90 years |  | 5.46 years
Weighted-average discount rate: |  |  |  |
Operating leases |  | 1.88 | % |  | 1.76 | %
Maturities of operating lease liabilities at December 31, 2022 were as follows:
($ in thousands) |  | Operating Leases |  |  |  |  |  |
Year Ending December 31, |  |  |  |  |  |  |  |
2023 |  | $ | 8,726 |  |  |  |  |  |  |
2024 |  | 8,415 |  |  |  |  |  |  |
2025 |  | 6,910 |  |  |  |  |  |  |
2026 |  | 4,992 |  |  |  |  |  |  |
2027 |  | 2,949 |  |  |  |  |  |  |
Thereafter |  | 3,083 |  |  |  |  |  |  |
Total lease payments |  | 35,075 |  |  |  |  |  |  |
Less: present value discount |  | (1,953) |  |  |  |  |  |  |
Total Lease Liability |  | $ | 33,122 |  |  |  |  |  |  |
During the year ended December 31, 2021, we recognized $3.8 million in impairment of ROU assets obtained in the PMB Acquisition. This impairment related to branch and office consolidation of PMB locations and is included in acquisition, integration and transaction costs in the accompanying consolidated statements of operations. Sublease income totaled $1.8 million, $1.3 million and $1.0 million during the years ended December 31, 2022, 2021 or 2020 and is included in other income in the accompanying consolidated statements of operations. We lease certain equipment under finance leases. Finance lease obligations totaled $122 thousand and $239 thousand at December 31, 2022 and 2021. The finance lease arrangements require monthly payments through 2025. Sale-leaseback Transactions In January 2022, we completed a sale-leaseback transaction for one of our branch locations. We sold the branch for $2.4 million and recognized a gain of $771 thousand. We also entered into a 18-month lease agreement for this branch and recognized a right-of-use asset and lease liability for $107 thousand. Gains related to sale-leaseback transactions are included in other income in the accompanying consolidated statements of operations. In September 2021, we completed a sale-leaseback transaction for one of its branch locations. We sold the branch for $4.2 million and recognized a gain of $841 thousand. We also entered into a 5-year lease agreement for this branch and recognized a right-of-use asset and lease liability for $811 thousand.

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 finance leases of lessee. Includes, but is not limited to, description of lessee's finance lease and maturity analysis of finance lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeFinanceLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration