An analysis of premises and equipment, including assets under capital leases, follows:
| in € m. | Dec 31, 2003 | Dec 31, 2002 |
| Land | 1,014 | 1,483 |
| Buildings | 4,058 | 5,842 |
| Leasehold improvements | 1,214 | 1,510 |
| Furniture and equipment | 2,495 | 3,270 |
| Purchased software | 440 | 502 |
| Self-developed software | 322 | 796 |
| Construction-in-progress | 151 | 346 |
| Total | 9,694 | 13,749 |
| Less: Accumulated depreciation | 3,908 | 4,866 |
| Premises and equipment, net1 | 5,786 | 8,883 |
| 1 | Amounts at December 31, 2003 and 2002 included € 1.9 billion and € 2.4 billion, respectively, of net book value of premises and equipment held for investment purposes. |
The Group is lessee under lease agreements covering real property and equipment. The future minimum lease payments, excluding executory costs, required under the Group's capital leases at December 31, 2003, were as follows:
| in € m. | |
| 2004 | 150 |
| 2005 | 145 |
| 2006 | 175 |
| 2007 | 189 |
| 2008 | 266 |
| 2009 and later | 1,238 |
| Total future minimum lease payments | 2,163 |
| Less: Amount representing interest | 771 |
| Present value of minimum lease payments | 1,392 |
At December 31, 2003, the total minimum sublease rentals to be received in the future under subleases are € 697 million. Contingent rental income incurred during the year ended December 31, 2003, was € 2 million.
The future minimum lease payments, excluding executory costs, required under the Group's operating leases at December 31, 2003, were as follows:
| in € m. | |
| 2004 | 481 |
| 2005 | 393 |
| 2006 | 332 |
| 2007 | 295 |
| 2008 | 264 |
| 2009 and later | 1,074 |
| Total future minimum lease payments | 2,839 |
| Less: Minimum sublease rentals | 302 |
| Net minimum lease payments | 2,537 |
The following shows the net rental expense for all operating leases:
| in € m. | 2003 | 2002 | 2001 |
| Gross rental expense | 760 | 869 | 970 |
| Less: Sublease rental income | 61 | 97 | 79 |
| Net rental expense | 699 | 772 | 891 |