Dish Network 2004 Annual Report Download - page 111

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ECHOSTAR COMMUNICATIONS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – Continued
Future minimum lease payments under this capital lease obligation, together with the present value of the net
minimum lease payments as of December 31, 2004 are as follows:
For the Year Ending December 31,
2005.................................................................................................................................................................... 56,600$
2006.................................................................................................................................................................... 52,000
2007.................................................................................................................................................................... 52,000
2008.................................................................................................................................................................... 52,000
2009.................................................................................................................................................................... 52,000
Thereafter........................................................................................................................................................... 254,656
Total minimum lease payments.......................................................................................................................... 519,256
Less: Amount representing lease of the orbital location and estimated executory costs (primarily
insurance and maintenance) including profit thereon, included in total minimum lease payments................... (113,690)
Net minimum lease payments............................................................................................................................. 405,566
Less: Amount representing interest.................................................................................................................... (118,961)
Present value of net minimum lease payments.................................................................................................... 286,605
Less: Current portion......................................................................................................................................... (28,463)
Long-term portion of capital lease obligation..................................................................................................... 258,142$
Future maturities of our outstanding long-term debt, including the current portion, are summarized as follows:
Payments due by period
Total 2005 2006-2007 2008-2009 Thereafter
(In thousands)
Long-term debt obligations............................................................. 5,471,153$ -$ -$ 2,946,153$ 2,525,000$
Capital lease obligation, mortgages and other notes payable ......... 331,735 45,062 48,885 54,041 183,747
Total .............................................................................................. 5,802,888$ 45,062$ 48,885$ 3,000,194$ 2,708,747$
5. Income Taxes
As of December 31, 2004, we had net operating loss carryforwards (“NOL’s”) for federal income tax purposes of
approximately $3.346 billion and credit carryforwards of approximately $9.2 million. The NOL’s begin to expire in the
year 2011 and capital loss and credit carryforwards will begin to expire in the year 2006.
During 2004 and 2003, we decreased our valuation allowance by approximately $76.8 million and $83.0 million,
respectively, as a result of a decrease in net deferred tax assets each year. During 2002, we increased our valuation
allowance by approximately $277.9 million to fully offset all net deferred tax assets. Included in this increase is
$210.8 million relating to deferred tax assets generated during 2002 and $67.1 million relating to the balance of the
net deferred tax asset that was not offset by a valuation allowance at December 31, 2001.
The Federal NOL includes amounts related to tax deductions totaling approximately $270.0 million for exercised
stock options. The tax benefit of these deductions has been allocated directly to contributed capital and has been
offset by a valuation allowance.
F–31