8. Premises And Equipment

12 Months Ended

Dec. 31, 2013

Property, Plant and Equipment [Abstract]

Premises And Equipment

Premises and equipment are stated at cost less accumulated depreciation.  Depreciation is computed primarily by the straight-line method for premises and equipment over the estimated useful lives of the assets.  The estimated useful lives employed are on average 30 years for premises and 3 to 10 years for furniture and equipment.  Repairs and maintenance expenditures are charged to operating expenses as incurred.  Major improvements and additions to premises and equipment, including construction period interest costs, are capitalized.  No interest was capitalized during 2013, 2012, or 2011.

The major categories of premises and equipment and accumulated depreciation at December 31, 2013 and 2012 are summarized as follows:

Dollars in thousands	2013		2012
Land	$	6,308	$	6,308
Buildings and improvements		20,165		20,110
Furniture and equipment		12,777		12,648
		39,250		39,066
Less accumulated depreciation		18,627		17,937
Total premises and equipment, net	$	20,623	$	21,129

Depreciation expense for the years ended December 31, 2013, 2012 and 2011 approximated $1.16 million, $1.29 million, and $1.39 million, respectively.