BANK PREMISES AND EQUIPMENT

12 Months Ended

Dec. 31, 2019

Property, Plant and Equipment [Abstract]

BANK PREMISES AND EQUIPMENT

NOTE 9 BANK PREMISES AND EQUIPMENT 

Depreciation expense for 2019 and 2018 was $2.3 million and $2.6 million, respectively. Bank premises and equipment at December 31, 2019 and 2018 are summarized as follows:

(Dollars are in thousands)	2019			2018
Land	$	7,485		$	7,904
Buildings and improvements		16,227			17,642
Furniture and equipment		16,253			16,418
Construction in progress		1,003			—
		40,968			41,964
Less accumulated depreciation		(18,726	)		(17,769	)
Bank Premises and Equipment	$	22,242		$	24,195

As presented in Note 17 Leasing Activities, in September 2019, the Bank entered into a sale and leaseback transaction for its branch office located in Lebanon, Virginia. 

In December 2019, the former branch office located in Norton, Virginia, with a recorded balance of $683 thousand, was transferred to Other Real Estate Owned.