BANK PREMISES AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2012

Property, Plant and Equipment [Abstract]

Bank premises and equipment, net of accumulated depreciation and amortization, were comprised of the following at December 31, 2012 and 2011:



	2012			2011
	(dollars expressed in thousands)
Land	$	33,324		34,211
Buildings and improvements	134,428			136,728
Furniture, fixtures and equipment	99,116			102,776
Leasehold improvements	12,014			12,012
Construction in progress	1,878			672
Total	280,760			286,399
Accumulated depreciation and amortization	(153,240		)	(149,200	)
Bank premises and equipment, net	$	127,520		137,199

The Company capitalized interest cost of $31,000, $23,000 and $42,000 during the years ended December 31, 2012, 2011 and 2010, respectively.

Depreciation and amortization expense for the years ended December 31, 2012, 2011 and 2010 was $12.1 million, $13.4 million and $16.5 million, respectively.

The Company leases land, office properties and equipment under operating leases. Certain of the leases contain renewal options and escalation clauses. Total rent expense was $11.5 million, $13.0 million and $14.5 million for the years ended December 31, 2012, 2011 and 2010, respectively. Future minimum lease payments under non-cancellable operating leases extend through 2027 as follows:



	(dollars expressed in thousands)
Year ending December 31 ⁽¹⁾:
2013	$	8,979
2014	7,330
2015	5,550
2016	4,766
2017	2,913
Thereafter	12,765
Total future minimum lease payments	$	42,303


(1)	Amounts exclude future minimum lease payments under non-cancellable operating leases associated with assets and liabilities of discontinued operations of $1.0 million, $1.1 million, $1.0 million, $900,000 and $900,000 for the years ended December 31, 2013, 2014, 2015, 2016 and 2017, respectively, and $2.9 million thereafter, or a total of $7.8 million.

The Company also leases to unrelated parties a portion of its banking facilities. Rental income associated with these leases was $4.1 million, $4.4 million and $5.3 million for the years ended December 31, 2012, 2011 and 2010, respectively.

- 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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