PREMISES AND EQUIPMENT

12 Months Ended

Dec. 31, 2015

PREMISES AND EQUIPMENT

PREMISES AND EQUIPMENT

NOTE 8 — PREMISES AND EQUIPMENT

December 31	2015		2014
Land	$	15,491	$	15,019
Buildings		58,175		55,312
Furniture and equipment		43,838		38,642
Total cost		117,504		108,973
Accumulated depreciation		(54,531)		(48,446)
Net	$	62,973	$	60,527

Depreciation expense was $6,410,  $5,886, and $5,783 in 2015, 2014 and 2013.

Operating Leases: The Company leases certain branch properties under operating leases. Rent expense less rental income was $1,712,  $1,376, and $1,056 for 2015, 2014, and 2013. Rent commitments, before considering renewal options that generally are present, were as follows:

2016	$	1,775
2017		1,552
2018		1,466
2019		1,329
2020		1,006
Thereafter		3,876
Total	$	11,004

Capital Leases:  The Company leases certain land and buildings under capital leases.  The lease arrangement requires monthly payments through 2037.

The Company has included these leases in premises and equipment as follows:

December 31,	2015		2014
Land and buildings	$	1,342	$	1,342
Accumulated depreciation		(68)		(10)
Net	$	1,274	$	1,332

The following is a schedule by year of future minimum lease payments under the capitalized lease, together with the present value of net minimum lease payments at year end 2015:

2016	$	96
2017		96
2018		96
2019		96
2020		96
Thereafter		1,663
Total minimum lease payments	$	2,143
Less amount representing interest		(781)
Present value of net minimum lease payments	$	1,362