XML 26 R15.htm IDEA: XBRL DOCUMENT
v3.19.2

Leases | 6 Months Ended
--- | ---
Jun. 30, 2019
Leases [Abstract] |
Leases | Leases On January 1, 2019, the Company adopted ASU 2016-02, “Leases (Topic 842)”, using the modified retrospective approach under ASC 842 (See footnote 2 “Basis of Presentation” for additional information regarding adoption of ASU 2016-02). The Company’s operating leases are real estate leases which are comprised of bank branches, loan production offices, and office spaces with remaining lease terms ranging from 1 to 11 years as of June 30, 2019. Certain lease arrangements contain extension options which are typically around 5 years. As these extension options are not generally considered reasonably certain of exercise, they are not included in the lease term. At June 30, 2019, operating lease right-of-use (“ROU”) assets and related liabilities were $60.1 million and $61.2 million, respectively. At June 30, 2019, the short term operating lease liability totaled $12.5 million and the long term operating lease liability totaled $48.7 million. The Company defines short term operating lease liabilities as liabilities due in twelve months or less and long term lease liabilities are defined as liabilities that are due in more than twelve months at the end of each reporting period. The Company did not have any finance leases at June 30, 2019. During the six months ended June 30, 2019, the Company extended seven leases and entered into two new leases ranging from one to five years and reassessed the ROU asset and lease liability related to these leases. Operating lease ROU assets represent the Company’s right to use the underlying asset during the lease term and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using the Company’s incremental borrowing rate at the lease commencement date. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term and is recorded in occupancy expense in the Consolidated Statements of Income. The Company’s occupancy expense also includes variable lease costs which is comprised of the Company's share of actual costs for utilities, common area maintenance, property taxes, and insurance that are not included in lease liabilities and are expensed as incurred. Variable lease costs can also include rent escalations based on changes to indices, such as the Consumer Price Index, where the Company estimates future rent increases and records the actual difference to variable costs. The Company uses its incremental borrowing rate to present value lease payments in order to recognize a ROU asset and the related lease liability. The Company calculates its incremental borrowing rate by adding a spread to the FHLB borrowing interest rate at a given period. The table below summarizes the Company’s net lease cost:
| Three Months Ended June 30, 2019 |  | Six Months Ended June 30, 2019
| (Dollars in thousands)
Operating lease cost | $ | 4,157 |  |  | $ | 8,280 |
Short term lease cost | — |  |  | 9 |
Variable lease cost | 833 |  |  | 1,536 |
Sublease income | (156 | ) |  | (313 | )
Net lease cost | $ | 4,834 |  |  | $ | 9,512 |
Rent expense for the three and six months ended June 30, 2019 and June 30, 2018 was $4.8 million and $4.5 million, respectively. Rent expense for the three and six months ended June 30, 2019 and June 30, 2018 was $9.5 million and $9.0 million, respectively. The table below summarizes other information related to the Company’s operating leases:
| At or for the Three Months Ended June 30, 2019 |  | At or for the Six Months Ended June 30, 2019
| (Dollars in thousands)
Cash paid for amounts included in the measurement of lease liabilities: |  |  |
Operating cash outflows for operating leases | $ | 3,709 |  |  | $ | 7,372 |
Right-of-use assets obtained in exchange for lease liabilities, net | 1,017 |  |  | 65,263 |
Weighted-average remaining lease term - operating leases | 6.16 years |  |  | 6.16 years |
Weighted-average discount rate - operating leases | 3.21 | % |  | 3.21 | %
The table below summarizes the maturity of remaining lease liabilities:
| June 30, 2019
| (Dollars in thousands)
2019 | $ | 7,357 |
2020 | 13,410 |
2021 | 12,558 |
2022 | 8,466 |
2023 | 6,383 |
2024 and thereafter | 19,760 |
Total lease payments | 67,934 |
Less: imputed interest | 6,720 |
Total lease obligations | $ | 61,214 |
As of June 30, 2019, the Company did not have any additional operating lease commitments that have not yet commenced.

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 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 http://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration