LEASES:

Marina is considered to be the lessor of certain thermal energy generating property and equipment under an operating lease which expires in May 2027. As of December 31, 2015 and 2014 the carrying costs of this property and equipment under operating lease was $78.2 million and $79.9 million, respectively, (net of accumulated depreciation of $28.5 million and $25.4 million, respectively) and is included in Nonutility Property and Equipment in the consolidated balance sheets.

Minimum future rentals to be received on this operating lease of property and equipment as of December 31, 2015 for each of the next five years and in the aggregate are (in thousands):



Year ended December 31,
2016	$	5,396
2017	5,396
2018	5,396
2019	5,396
2020	5,396
Thereafter	34,626
Total minimum future rentals	61,606

Minimum future rentals do not include additional amounts to be received based on actual use of the leased property.

BCLE is considered to be the lessee of certain electric generating units and related facilities and equipment under a capital lease which expires in October 2027. The interest rate related to the obligation is 6.8%, and the related facilities and equipment are amortized over the useful life ranging from 7-39 years. As of December 31, 2015, the carrying costs of this property and equipment under capital lease is $4.1 million and is included in Nonutility Property and Equipment in the consolidated balance sheets. Since BCLE became a wholly-owned subsidiary of Marina on December 31, 2015 (see Note 3), there were no carrying costs on the consolidated balance sheets as of December 31, 2014, and no depreciation has been taken on this lease by Marina as of December 31, 2015.

Minimum future rentals to be paid on this capital lease of property and equipment as of December 31, 2015 for each of the next five years and in the aggregate are (in thousands):



Year ended December 31,
2016	$	1,282
2017	1,282
2018	1,282
2019	1,282
2020	1,282
Thereafter	8,657
Total minimum future rentals	15,067
Less: Interest portion	(4,710		)
Present value of future minimum lease payments	$	10,357