LEASES

Some of the Bank's branches, telephone equipment, and other equipment are leased under agreements expiring at various dates through 2050. These leases are accounted for as operating leases. The leases generally provide for renewal options and most require periodic changes in rental amounts based on various indices. Minimum annual rentals for each of the years 2016 through 2020 and thereafter for non-cancelable leases having terms in excess of one year were as follows (in thousands):



2016	$	479
2017	370
2018	264
2019	221
2020	38
Thereafter	3,834
Total	$	5,206

Rental expense for all leased branches and equipment was approximately $542,000 in 2015, $537,000 in 2014, and $484,000 in 2013.