Premises and Equipment

12 Months Ended

Dec. 31, 2012

Note 9. Premises and Equipment

The following is a summary of the major categories of premises and equipment:

(in thousands)	Cost		Accumulated Depreciation And Amortization		Carrying Value		Range of Lives

December 31, 2012
Premises, including land of $3,511	$	158,389	$	105,933	$	52,456	Up to 39 years
Furniture, fixtures and equipment		155,311		118,796		36,515	3 to 10 years
Software		131,075		70,613		60,462	5 years

Total	$	444,775	$	295,342	$	149,433

December 31, 2011
Premises, including land of $3,511	$	153,578	$	97,906	$	55,672	Up to 39 years
Furniture, fixtures and equipment		183,186		146,762		36,424	3 to 10 years
Software		119,767		68,222		51,545	5 years

Total	$	456,531	$	312,890	$	143,641

Depreciation and amortization expense was $32.5 million, $27.6 million and $25.8 million in 2012, 2011 and 2010, respectively. Net rental payments on operating leases included in Net occupancy of premises in the consolidated statements of income were $52.5 million, $45.4 million and $46.5 million in 2012, 2011 and 2010, respectively.

The future net minimum rental commitments were as follows at December 31, 2012:

(in thousands)	Net Minimum Rental Commitments

2013	$	41,667
2014		44,007
2015		43,287
2016		39,313
2017		35,388
Thereafter		132,146

	$	335,808

The rental commitment amounts in the table above reflect the contractual obligations of the Company under all leases. Lease obligations related to acquisitions have been adjusted to current market values through acquisition accounting adjustments. The allowance thus created is being accreted over the terms of the leases and will increase or reduce the total expense recognized by the Company in its operating expenses. At December 31, 2012, the Company is contractually entitled to receive minimum future rentals of $5.4 million under non-cancelable sub-leases with terms through 2038.

A majority of the leases provide for the payment of taxes, maintenance, insurance, and certain other expenses applicable to the leased premises. Many of the leases contain extension provisions and escalation clauses.

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures.

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