Leases

9 Months Ended

Sep. 30, 2026

As of September 30, 2026, the Company was the lessee in 48 operating leases and 1 finance lease of certain branch, mortgage and operations locations with original terms greater than one year.

Many leases include options to renew, with terms that can extend the lease up to an additional 20 years or more. Certain lease agreements contain provisions to periodically adjust rental payments for inflation. Renewal options that management is reasonably certain to renew and fixed rent escalations are included in the right-of-use asset and lease liability.

Information related to the Company’s leases is presented below as of September 30, 2026 and December 31, 2025:


		September 30,			December 31,

	Classification	2026			2025
Right-of-use assets:
Operating leases	Operating lease right-of-use assets	$	46,118		$	49,249
Finance leases	Premises and equipment, net	952			1,035
Total right-of-use assets		$	47,070		$	50,284
Lease liabilities:
Operating leases	Operating lease liabilities	$	56,215		$	60,556
Finance leases	Borrowings	1,050			1,127
Total lease liabilities		$	57,265		$	61,683
Weighted average remaining lease term (in years) - operating		10.5			10.9
Weighted average remaining lease term (in years) - finance		8.61			9.35
Weighted average discount rate - operating		3.74		%	3.68		%
Weighted average discount rate - finance		1.76		%	1.76		%

The components of total lease expense included in the consolidated statements of income were as follows:


		Three Months Ended				Nine Months Ended
		September 30,				September 30,
	Classification	2026		2025		2026		2025
Operating lease costs:
Amortization of right-of-use asset	Occupancy and equipment	$	1,942	$	2,023	$	5,740	$	5,846
Short-term lease cost	Occupancy and equipment	85		70		224		229
Variable lease cost	Occupancy and equipment	317		333		1,179		1,302
Loss (gain) on lease terminations	Occupancy and equipment	—		265		(42)		265
Finance lease costs:
Interest on lease liabilities	Interest expense on borrowings	4		6		14		16
Amortization of right-of-use asset	Occupancy and equipment	28		28		83		83

Sublease income	Occupancy and equipment	(205)		(214)		(622)		(634)
Total lease cost		$	2,171	$	2,511	$	6,576	$	7,107

The Company does not separate lease and non-lease components and instead elects to account for them as a single lease component. Variable lease cost primarily represents variable payments such as common area maintenance, utilities, and property taxes.

A maturity analysis of operating and finance lease liabilities and a reconciliation of cash flows to lease liabilities as of September 30, 2026 is as follows:


	Operating		Finance
	Leases		Lease

September 30, 2027	$	8,870	$	125
September 30, 2028	8,077		127
September 30, 2029	7,042		128
September 30, 2030	6,431		130
September 30, 2031	6,416		132
Thereafter	32,161		490
Total undiscounted future minimum lease payments	68,997		1,132
Less: imputed interest	(12,782)		(82)
Lease liabilities	$	56,215	$	1,050

Leases

As of September 30, 2026, the Company was the lessee in 48 operating leases and 1 finance lease of certain branch, mortgage and operations locations with original terms greater than one year.

Information related to the Company’s leases is presented below as of September 30, 2026 and December 31, 2025:


		September 30,			December 31,

	Classification	2026			2025
Right-of-use assets:
Operating leases	Operating lease right-of-use assets	$	46,118		$	49,249
Finance leases	Premises and equipment, net	952			1,035
Total right-of-use assets		$	47,070		$	50,284
Lease liabilities:
Operating leases	Operating lease liabilities	$	56,215		$	60,556
Finance leases	Borrowings	1,050			1,127
Total lease liabilities		$	57,265		$	61,683
Weighted average remaining lease term (in years) - operating		10.5			10.9
Weighted average remaining lease term (in years) - finance		8.61			9.35
Weighted average discount rate - operating		3.74		%	3.68		%
Weighted average discount rate - finance		1.76		%	1.76		%

The components of total lease expense included in the consolidated statements of income were as follows:


		Three Months Ended				Nine Months Ended
		September 30,				September 30,
	Classification	2026		2025		2026		2025
Operating lease costs:
Amortization of right-of-use asset	Occupancy and equipment	$	1,942	$	2,023	$	5,740	$	5,846
Short-term lease cost	Occupancy and equipment	85		70		224		229
Variable lease cost	Occupancy and equipment	317		333		1,179		1,302
Loss (gain) on lease terminations	Occupancy and equipment	—		265		(42)		265
Finance lease costs:
Interest on lease liabilities	Interest expense on borrowings	4		6		14		16
Amortization of right-of-use asset	Occupancy and equipment	28		28		83		83

Sublease income	Occupancy and equipment	(205)		(214)		(622)		(634)
Total lease cost		$	2,171	$	2,511	$	6,576	$	7,107

A maturity analysis of operating and finance lease liabilities and a reconciliation of cash flows to lease liabilities as of September 30, 2026 is as follows:


	Operating		Finance
	Leases		Lease

September 30, 2027	$	8,870	$	125
September 30, 2028	8,077		127
September 30, 2029	7,042		128
September 30, 2030	6,431		130
September 30, 2031	6,416		132
Thereafter	32,161		490
Total undiscounted future minimum lease payments	68,997		1,132
Less: imputed interest	(12,782)		(82)
Lease liabilities	$	56,215	$	1,050