Premises And Equipment

12 Months Ended

Dec. 31, 2011

NOTE 5. PREMISES AND EQUIPMENT

Premises and equipment are summarized as follows:


	December 31,
	2011			2010
	(Dollars in Thousands)
Land	$	24,885		$	22,737
Buildings		53,315			50,927
Furniture and equipment		32,072			31,790
Construction in progress		235			722

		110,507			106,176
Accumulated depreciation		(37,383	)		(39,587	)

	$	73,124		$	66,589

Estimated costs to complete construction projects in progress were less than $1 million at December 31, 2011 and 2010. Depreciation expense was approximately $4.5 million, $3.3 million and $3.6 million for the years ended December 31, 2011, 2010 and 2009, respectively.

Leases

The Company has a non-cancellable operating lease on its operations center with a former Chairman of the Board. The lease has an initial term of three years with one two-year renewal option.

The Company has various operating leases with unrelated parties on 14 banking offices and five mortgage offices. Generally, these leases are on smaller locations with initial lease terms under ten years with up to two renewal options.

Rental expense amounted to approximately $1,697,000, $880,000 and $752,000 for the years ended December 31, 2011, 2010 and 2009, respectively. Future minimum lease commitments under the Company's operating leases, excluding any renewal options, are summarized as follows:


2012	$	1,100,974
2013		719,113
2014		565,356
2015		327,182
2016		123,121
Thereafter		128,000

	$	2,963,746

- 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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