Abercrombie & Fitch 2010 Annual Report Download - page 82

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Table of Contents
ABERCROMBIE & FITCH CO.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
10. LEASED FACILITIES
Annual store rent is comprised of a fixed minimum amount and/or contingent rent based on a percentage of sales. For scheduled
rent escalation clauses during the lease terms, the Company records minimum rental expenses on a straight-line basis over the terms of
the leases on the Consolidated Statements of Operations and Comprehensive Income. The term of the lease over which the Company
amortizes construction allowances and minimum rental expenses on a straight-line basis begins on the date of initial possession.
Certain leases provide for contingent rents, which are primarily determined as a percentage of sales in excess of a predetermined
level. The Company records a contingent rent liability in accrued expenses on the Consolidated Balance Sheets and the corresponding
rent expense on the Consolidated Statements of Operations and Comprehensive Income when the Company determines that it is
probable that the expense has been incurred and the amount can be reasonably estimated.
Store lease terms may also require additional payments covering taxes, common area costs and certain other expenses.
A summary of rent expense follows (in thousands):
2010 2009 2008
Store rent:
Fixed minimum $ 333,419 $ 301,138 $ 267,108
Contingent 9,306 6,136 14,289
Total store rent 342,725 307,274 281,397
Buildings, equipment and other 4,988 5,071 5,905
Total rent expense $ 347,713 $ 312,345 $ 287,302
At January 29, 2011, the Company was committed to non-cancelable leases with remaining terms of one to 17 years. A summary
of operating lease commitments under non-cancelable leases follows (thousands):
Fiscal 2011 $ 331,151
Fiscal 2012 $ 319,982
Fiscal 2013 $ 303,531
Fiscal 2014 $ 285,337
Fiscal 2015 $ 262,586
Thereafter $ 1,110,598
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