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Leases
 12 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Capital Leases in Financial Statements of Lessee Disclosure
Note 7 Leases
The Corporation has operating leases for retail and corporate offices, land, and equipment. The Corporation also has finance leases for land and retail and corporate offices.
These leases have original terms of 1 year or longer with remaining maturities up to 41 years, some of which include options to extend the lease term. An analysis of the lease options has been completed and any purchase options or optional periods that the Corporation is reasonably likely to extend have been included in the capitalization.
The discount rate used to capitalize the operating leases is the Corporation's FHLB borrowing rate on the date of lease commencement. When determining the rate to discount specific lease obligations, the repayment period and term are considered.
Operating and finance lease costs and cash flows resulting from these leases are presented below:
Twelve Months Ended December 31,
($ in Thousands)20212020
Operating Lease Costs$8,712 $11,450 
Finance Lease Costs107 154 
Operating Lease Cash Flows11,183 11,276 
Finance Lease Cash Flows137 122 
The lease classifications on the consolidated balance sheets were as follows:
Consolidated Balance Sheets CategoryDecember 31, 2021December 31, 2020
($ in Thousands)Amount
Operating lease right-of-use assetPremises and equipment$28,299 $31,994 
Finance lease right-of-use assetOther assets143 962 
Operating lease liabilityAccrued expenses and other liabilities31,345 36,425 
Finance lease liabilityOther long-term funding163 1,128 
The lease payment obligations, weighted-average remaining lease term, and weighted-average original discount rate were as follows:
December 31, 2021December 31, 2020
($ in Thousands)Lease paymentsWeighted-average lease term (in years)Weighted-average discount rateLease paymentsWeighted-average lease term (in years)Weighted-average discount rate
Operating leases
Equipment$192 1.500.45 %$386 2.490.46 %
Retail and corporate offices29,008 5.563.26 %34,036 6.043.33 %
Land5,551 8.293.12 %6,385 8.993.09 %
Total operating leases$34,751 5.943.22 %$40,806 6.453.27 %
Finance leases
Retail and corporate offices$112 1.251.32 %$— 0.00— %
Land51 0.671.07 %1,145 1.651.05 %
Total finance leases$164 1.071.24 %$1,145 1.651.05 %
Contractual lease payment obligations for each of the next five years and thereafter, in addition to a reconciliation to the Corporation’s lease liability, were as follows:
($ in Thousands)Operating LeasesFinance LeasesTotal Leases
Twelve Months Ending December 31, 2022$8,056 $141 $8,197 
20236,170 22 6,193 
20245,383 — 5,383 
20254,084 — 4,084 
20263,518 — 3,518 
Beyond 20267,541 — 7,541 
Total lease payments$34,751 $164 $34,915 
Less: interest3,406 1 3,407 
Present value of lease payments$31,345 $163 $31,508 
As of December 31, 2021 and 2020, additional operating leases, primarily retail and corporate offices, that had not yet commenced totaled $13 million and $17 million, respectively. The leases that had not yet commenced as of December 31, 2021, will commence between January 2022 and October 2023 with lease terms of 3 years to 10 years.
The Corporation conducts a portion of its business through certain facilities and equipment under noncancelable operating leases. The Corporation also leases a subdivision of some of its facilities and receives rental income from such lease agreements. The approximate minimum annual rental payments and rental receipts under noncancelable agreements and leases with remaining terms in excess of one year are as follows:
($ in Thousands)PaymentsReceipts
2022$8,467 $3,099 
20235,842 2,980 
20245,238 2,715 
20254,067 2,427 
20263,506 2,184 
Thereafter6,420 7,113 
Total$33,540 $20,519 
Total rental expense under leases, net of lease income, totaled $5 million in 2021, 2020, and 2019.