Premises and Equipment

12 Months Ended

Dec. 31, 2013

Property, Plant and Equipment [Abstract]

Note 5. Premises and Equipment

Premises and equipment, net of accumulated depreciation, consist of the following at:



(Dollars in thousands)	December 31, 2013			December 31, 2012
Land	$	27,260		25,027
Office buildings and construction in progress	159,391			153,340
Furniture, fixtures and equipment	66,375			63,467
Leasehold improvements	7,589			7,393
Accumulated depreciation	(92,944		)	(90,238	)
Net premises and equipment	$	167,671		158,989

Depreciation expense for the years ended December 31, 2013, 2012, and 2011 was $10,485,000, $10,615,000, and $10,443,000, respectively.

The Company leases certain land, premises and equipment from third parties under operating and capital leases. Total rent expense for the years ended December 31, 2013, 2012, and 2011 was $2,912,000, $2,868,000, and $3,239,000, respectively. Amortization of building capital lease assets is included in depreciation. The Company has entered into lease transactions with related parties. Rent expense with such related parties for the years ended December 31, 2013, 2012, and 2011 was $142,000, $410,000, and $937,000. The decrease in the related party rent expense from the prior years was due to combining the bank subsidiaries in 2012, which resulted in a decrease in the number of related parties.

The total future minimum rental commitments required under operating and capital leases that have initial or remaining noncancelable lease terms in excess of one year at December 31, 2013 are as follows:



(Dollars in thousands)	Capital Leases		Operating Leases	Total
Years ending December 31,
2014	$	828	2,297	3,125
2015	195		2,120	2,315
2016	197		1,879	2,076
2017	200		1,577	1,777
2018	203		1,375	1,578
Thereafter	546		2,900	3,446
Total minimum lease payments	2,169		12,148	14,317
Less: Amount representing interest	479
Present value of minimum lease payments	1,690
Less: Current portion of obligations under capital leases	708
Long-term portion of obligations under capital leases	$	982

- Definition

The entire disclosure for long-lived, physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, accounting policies and methodology, roll forwards, depreciation, depletion and amortization expense, including composite depreciation, accumulated depreciation, depletion and amortization expense, useful lives and method used, income statement disclosures, assets held for sale and public utility disclosures.

+ References+ Details