Note 20 - Leases

6 Months Ended

Jun. 30, 2020

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

(20) Leases

Bancorp has operating leases for various branch locations with terms ranging from one month to 13 years, some of which include options to extend the leases in five-year increments. Options reasonably expected to be exercised are included in determination of the right-of-use asset. Bancorp elected the practical expedient to expense short-term lease obligations associated with leases with original terms of 12 months or less. Bancorp elected not to separate non-lease components from lease components for its operating leases. The right-of-use lease asset and operating lease liability are recorded in premises and equipment and other liabilities on the consolidated balance sheet.

Balance sheet, income statement and cash flow detail regarding operating leases follows:

(in thousands)
Balance Sheet	June 30, 2020			December 31, 2019
Operating lease right-of-use assets	$	11,547		$	12,737
Operating lease liabilities		12,992			14,369
Weighted average remaining lease term		9.0			9.4
Weighted average discount rate		3.50	%		2.46	%
Maturities of lease liabilities:
One year or less	$	986		$	1,964
Year 2		1,916			1,915
Year 3		1,930			1,930
Year 4		1,972			1,972
Year 5		1,781			1,781
Greater than 5 years		6,619			6,619
Total lease payments	$	15,204		$	16,181
Less imputed interest		2,212			1,812
Total lease liabilities	$	12,992		$	14,369

(in thousands)	Three months ended		Three months ended
Income Statement	June 30, 2020		June 30, 2019
Components of lease expense:
Operating lease cost	$	473	$	489
Variable lease cost		45		24
Less sublease income		25		13
Total lease cost	$	493	$	500

(in thousands)	Six months ended		Six months ended
Income Statement	June 30, 2020		June 30, 2019
Components of lease expense:
Operating lease cost	$	943	$	997
Variable lease cost		87		63
Less sublease income		38		27
Total lease cost	$	992	$	1,033

(in thousands)	Six months ended		Six months ended
Cash flow Statement	June 30, 2020		June 30, 2019
Supplemental cash flow information:
Operating cash flows from operating leases	$	790	$	694

As of June 30, 2020, Bancorp had not entered into any lease agreements that had yet to commence.