DIRECTV 2009 Annual Report Download - page 131

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DIRECTV
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(continued)
The following table presents revenues earned from subscribers located in different geographic
areas. Property is grouped by its physical location.
Years Ended and As of December 31,
2009 2008 2007
Net Property Net Property Net Property
Revenues & Satellites Revenues & Satellites Revenues & Satellites
(Dollars in Millions)
United States ............... $18,844 $5,247 $17,454 $5,728 $15,687 $5,330
Latin America and the Caribbean 2,721 1,229 2,239 919 1,559 503
Total .................... $21,565 $6,476 $19,693 $6,647 $17,246 $5,833
Note 19: Commitments and Contingencies
Commitments
At December 31, 2009, minimum future commitments under noncancelable operating leases having
lease terms in excess of one year were primarily for satellite transponder leases and real property and
aggregated $402 million, payable as follows: $65 million in 2010, $60 million in 2011, $58 million in
2012, $45 million in 2013, $29 million in 2014 and $145 million thereafter. Certain of these leases
contain escalation clauses and renewal or purchase options, which we have not considered in the
amounts disclosed. Rental expenses under operating leases were $72 million in 2009, $95 million in
2008 and $114 million in 2007.
At December 31, 2009, our minimum payments under agreements to purchase broadcast
programming, regional professional team rights and the purchase of services that we have outsourced
to third parties, such as billing services, and satellite telemetry, tracking and control, satellite launch
contracts and broadcast center services aggregated $9,696 million, payable as follows: $1,805 million in
2010, $1,796 million in 2011, $1,909 million in 2012, $1,497 million in 2013, $1,248 million in 2014 and
$1,441 million thereafter.
As of December 31, 2009, other long-term obligations totaling $132 million are payable
approximately as follows: $85 million in 2010 and $47 million in 2011. These amounts are recorded in
‘‘Accounts payable and accrued liabilities’’ and ‘‘Other liabilities and deferred credits’’ in the
Consolidated Balance Sheets.
Contingencies
Puerto Rico Condition
In connection with approval by the Federal Communications Commission, or FCC, of the sale of
News Corporation’s interest in DIRECTV Group to Liberty Media in 2008, the FCC imposed certain
conditions related to attributable interests in two pay television operations: DIRECTV Puerto Rico and
Liberty Cablevision of Puerto Rico Ltd. We refer to the FCC’s requirements as the ‘‘Puerto Rico
Condition’’. Because neither News Corporation nor Liberty Media could satisfy the Puerto Rico
Condition, in connection with the close of that transaction a Special Committee of independent
directors of our Board of Directors approved an agreement with News Corporation and Liberty Media
in which we assumed responsibility for the satisfaction, modification or waiver of the Puerto Rico
Condition within the one year period specified by the FCC. As part of this agreement, during the first
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