Leases

9 Months Ended

Sep. 30, 2021

LEASES

Operating Leases as a Lessee

Our lease expense is a component of "Occupancy expense" on our condensed consolidated statements of earnings (loss). The following table presents the components of lease expense for the periods indicated:


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2021		2020		2021		2020
	(In thousands)
Operating lease expense:
Fixed costs	$	8,678	$	8,950	$	25,950	$	26,027
Variable costs	18		15		42		40
Short-term lease costs	357		117		1,042		312
Sublease income	(1,114)		(1,081)		(3,297)		(3,100)
Net lease expense	$	7,939	$	8,001	$	23,737	$	23,279

The following table presents supplemental cash flow information related to leases for the periods indicated:


	Nine Months Ended
	September 30,
	2021		2020
	(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	27,386	$	25,198
ROU assets obtained in exchange for lease obligations:
Operating leases	$	29,840	$	19,027

The following table presents supplemental balance sheet and other information related to operating leases as of the dates indicated:


	September 30,			December 31,
	2021			2020
	(Dollars in thousands)
Operating leases:
Operating lease right-of-use assets, net	$	124,926		$	119,787
Operating lease liabilities	$	144,259		$	139,501

Weighted average remaining lease term (in years)	5.7			5.8
Weighted average discount rate	2.27		%	2.54		%

The following table presents the maturities of operating lease liabilities as of the date indicated:


	September 30, 2021
	(In thousands)
Period ending December 31,
2021	$	8,840
2022	34,415
2023	31,900
2024	24,810
2025	18,100
Thereafter	36,547
Total operating lease liabilities	154,612
Less: Imputed interest	(10,353)
Present value of operating lease liabilities	$	144,259

Operating Leases as a Lessor

We provide equipment financing to our customers through operating leases where we facilitate the purchase of equipment leased to our customers. The equipment is shown on the condensed consolidated balance sheets as "Equipment leased to others under operating leases" and is depreciated to its estimated residual value at the end of the lease term, shown as "Leased equipment depreciation" in the condensed consolidated statements of earnings (loss), according to our fixed asset accounting policy. We receive periodic rental income payments under the leases, which are recorded as "Noninterest Income" in the condensed consolidated statements of earnings (loss). The equipment is tested periodically for impairment. No impairment was recorded on "Equipment leased to others under operating leases" in the three or nine months ended September 30, 2021 and 2020.

The following table presents the rental payments to be received on operating leases as of the date indicated:


	September 30, 2021
	(In thousands)
Period ending December 31,
2021	$	10,678
2022	45,363
2023	36,169
2024	30,483
2025	23,114
Thereafter	47,870
Total undiscounted cash flows	$	193,677

Leases