Macatawa Bank Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

PREMISES AND EQUIPMENT - NET

PREMISES AND EQUIPMENT - NET

12 Months Ended

Dec. 31, 2016

PREMISES AND EQUIPMENT - NET [Abstract]

PREMISES AND EQUIPMENT - NET

NOTE 6 – PREMISES AND EQUIPMENT – NET

Year-end premises and equipment were as follows (dollars in thousands):

	2016			2015
Land	$	18,227		$	18,227
Building		43,600			43,449
Leasehold improvements		779			779
Furniture and equipment		20,576			19,353
Construction in progress		358			575
		83,540			82,383
Less accumulated depreciation		(33,514	)		(30,927	)
	$	50,026		$	51,456

Depreciation expense was $2,618,000, $2,608,000 and $2,513,000 for 2016, 2015 and 2014, respectively.

The Bank leases certain office and branch premises and equipment under operating lease agreements. Total rental expense for all operating leases aggregated to $398,000, $417,000 and $436,000 for 2016, 2015 and 2014, respectively. Future minimum rental expense under noncancelable operating leases as of December 31, 2016 is as follows (dollars in thousands):


2017	$	237
2018		234
2019		234
2020		129
2021		---
Thereafter		---
	$	834