FairPoint Communications 2004 Annual Report Download - page 121

the various sharing arrangements are initially recorded based on the Company's estimates. The Company recognized $3.1 million,
$3.0 million, and $3.1 million of revenue for settlements and adjustments related to prior years during 2004, 2003, and 2002,
respectively.
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(a) Operating Leases
Future minimum lease payments under noncancelable operating leases as of December 31, 2004 are as follows (dollars
in thousands):
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Year ending December 31:
2005 $845 2,446
2006 825 1,835
2007 746 1,529
2008 688 —
2009 534 —
Thereafter 589 —
Total minimum lease payments $4,227 5,810
Less estimated rentals to be received under
subleases (3,240)
Estimated minimum lease payments included
in liabilities of discontinued operations $2,570
Total rent expense from continuing operations was $3.2 million, $3.1 million, and $3.1 million in 2004, 2003, and 2002,
respectively.
The Company does not have any leases with contingent rental payments or any leases with contingency renewal,
purchase options, or escalation clauses.
(b) Legal Proceedings
From time to time, the Company is involved in litigation and regulatory proceedings arising out of its operations. The
Company is not currently a party to any legal proceedings, the adverse outcome of which, individually or in the aggregate, that
management believes would have a material adverse effect on the Company's financial position or results of operations.
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