8.	PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment consist of the following at

December 31, 2018

and

2017:

	2018			2017			Useful Lives
Land, buildings and support assets*	$	197,381		$	195,063			5	-	42
Central office switching and transmission		387,008			380,954			5	-	12
Outside plant, cable and wire facilities		750,492			739,547			10	-	50
Other		17,126			12,016			2	-	5
Construction work in progress		38,615			30,349
		1,390,622			1,357,929
Less: accumulated depreciation and amortization		(1,017,442	)		(991,816	)
Property, plant and equipment, net	$	373,180		$	366,113

* Depreciation charges are

not

recorded for land.

Capitalized interest associated with construction in progress for the years ended

December 31, 2018

and

2017

was

$2,001

and

$1,140,

respectively. The capitalization rate used was based on a weighted average of the Company’s long term debt outstanding, and for the years ended

December 31, 2018

and

2017

was

7.29%

and

6.71%,

respectively.

The following is a summary of property, including leasehold improvements, held under capital leases included in the above property, plant and equipment at

December 31, 2018

and

2017:

	2018			2017
Land, buildings and support assets	$	13,289		$	13,722
Outside plant, cable and wire facilities		-			1,078
Total		13,289			14,800
Less: accumulated depreciation and amortization		(7,471	)		(7,052	)
Property held under capital leases, net	$	5,818		$	7,748

Amortization of assets under capital leases included in depreciation expense for the years ended

December 31, 2018

and

2017

was

$676

and

$846,

respectively. Future minimum lease payments, including interest, under these leases for the next

five

years and thereafter are as follows:

2019	$	310
2020		318
2021		327
2022		336
2023		345
Thereafter		3,828
Gross payments		5,464
Interest		(2,696	)
Net payments	$	2,768

The Company leases various land, buildings, right-of-ways and personal property under operating lease agreements. Rental expense under operating leases for the years ended

December 31, 2018

and

2017

was

$8,173

and

$7,763,

respectively.

Future minimum payments under these leases, including month to month rentals which are probable of renewal, for the next

five

years and thereafter are as follows:

2019	$	7,856
2020		6,726
2021		6,450
2022		5,841
2023		4,493
Thereafter		20,833
Total payments	$	52,199