CHS INC | 2013 | FY | 3


Property, Plant and Equipment

A summary of property, plant and equipment as of August 31, 2013 and 2012 is as follows:

 
2013
 
2012
 
(Dollars in thousands)
Land and land improvements
$
169,022

 
$
145,831

Buildings
574,834

 
598,269

Machinery and equipment
4,195,523

 
3,786,488

Office and other
118,442

 
109,136

Construction in progress
480,703

 
405,755

 
5,538,524

 
5,045,479

Less accumulated depreciation and amortization
2,367,120

 
2,259,155

 
$
3,171,404

 
$
2,786,324



Depreciation expense for the years ended August 31, 2013, 2012 and 2011, was $224.5 million, $199.8 million and $205.2 million, respectively.

We are leasing certain of our wheat milling facilities and related equipment to Horizon Milling under an operating lease agreement. The net book value of the leased milling assets at August 31, 2013 was $46.9 million. As a result of the pending Ardent Mills transaction described in Note 4, Investments, these assets are classified as held for sale in other current assets on our Consolidated Balance Sheet as of August 31, 2013.

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