Lease Obligations

3 Months Ended

Mar. 31, 2020

Note 12 – Lease Obligations

The Company leases 28 of our offices under various operating lease agreements. The leases have remaining terms of one year to 13 years. The leases contain provisions for the payment by the Company of its pro-rata share of real estate taxes, insurance, common area maintenance and other variable expenses. The Company will allocate payments made under such leases between lease and non-lease components. Some leases contain renewal options and options to purchase the assets.

The Company has elected not to recognize a lease liability and a right of use asset for leases with a lease term of 12 or fewer months.

The following tables present certain information related to the Company’s adoption of ASU 2016-02, Leases, (in thousands):


		Three Months Ended March 31, 2020		Three Months Ended March 31, 2019
Operating lease cost	$	854	$	750
Variable lease cost-operating leases	$	202	$	132

		At March 31, 2020		At December 31, 2019
Supplemental balance sheet information related to leases:
Operating Leases
Operating lease right-of-use assets	$	14,084	$	13,246

Current liabilities	$	2,816	$	2,590
Operating lease liabilities (noncurrent portion)		11,430		10,790
Total operating lease liabilities	$	14,246	$	13,380

The following tables summarize the Company’s weighted average remaining lease terms and weighted average discount rates:


Weighted Average Remaining Lease Term	Operating Leases		Operating Leases
Operating leases	6.81	years	6.69	years

Weighted Average Discount Rate
Operating leases	3.08	%	3.16	%

The following table summarizes the Company’s maturity of lease obligations for operating and finance leases at March 31, 2020 and December 31, 2019. (in thousands):


Maturities of lease liabilities:
		At March 31, 2020		At December 31, 2019
		Operating Leases		Operating Leases
One year or less	$	2,816	$	2,590
Over one year through three years		4,746		4,713
Over three years through five years		2,800		2,736
Over five years		3,884		3,341
Total	$	14,246	$	13,380