Premises and equipment, less accumulated depreciation and amortization, is summarized as follows.
(in thousands)December 31, 2025December 31, 2024
Land$18,636 $18,522 
Land improvements7,278 7,453 
Building and improvements109,757 109,977 
Leasehold improvements7,810 7,952 
Furniture and equipment42,480 41,115 
 185,961 185,019 
Less accumulated depreciation and amortization65,499 58,040 
Premises and equipment, net$120,462 $126,979 
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About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.