Bank Premises and Equipment

12 Months Ended

Dec. 31, 2011

Bank Premises and Equipment:

Bank Premises and Equipment

5.  BANK PREMISES AND EQUIPMENT

The major classes of bank premises and equipment and the total accumulated depreciation are as follows at December 31:

(In 000’s)	Estimated
	useful life	2011			2010
Buildings and leasehold improvements	10-15 years	$	1,328		$	1,256
Furniture and equipment	3- 7 years		746			726
		$	2,074			1,982
Less accumulated depreciation			(1,086	)		(839	)
		$	988		$	1,143

Depreciation expense on fixed assets totaled $246,272 and $274,151for the years ended December 31, 2011 and 2010, respectively.

The Bank leases other facilities and other equipment under non-cancelable operating lease agreements.  The amount of expense for operating leases for the years ended December 31, 2011 and 2010 $454,895 and $416,640, respectively. Future minimum lease payments under operating leases are as follows:

(In 000’s)

Year ending December 31,	Operating leases
2012	$	473
2013		483
2014		493
2015		489
2016		178
Thereafter		248
Total minimum lease payments	$	2,364