GameStop 2004 Annual Report Download - page 75

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GAMESTOP CORP.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Ì (Continued)
payments of $12,173 due on October 15, 2005, October 15, 2006 and October 15, 2007. The note is unsecured
and bears interest at 5.5% per annum, payable when principal installments are due.
9. Comprehensive Income
Comprehensive income is net earnings, plus certain other items that are recorded directly to stockholders'
equity and consists of the following:
52 Weeks 52 Weeks 52 Weeks
Ended Ended Ended
January 29, January 31, February 1,
2005 2004 2003
(In thousands)
Net earnings ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $60,926 $63,467 $52,404
Other comprehensive income:
Foreign currency translation adjustmentsÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 271 296 Ì
Total comprehensive income ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $61,197 $63,763 $52,404
10. Leases
The Company leases retail stores, warehouse facilities, oÇce space and equipment. These are generally
leased under noncancelable agreements that expire at various dates through 2034 with various renewal options
for additional periods. The agreements, which have been classiÑed as operating leases, generally provide for
both minimum and percentage rentals and require the Company to pay all insurance, taxes and other
maintenance costs. Leases with step rent provisions, escalation clauses or other lease concessions are
accounted for on a straight-line basis over the lease term, which includes renewal option periods when the
Company is reasonably assured of exercising the renewal options and includes ""rent holidays'' (periods in
which the Company is not obligated to pay rent). The Company does not have leases with capital
improvement funding or leases with payments dependent upon indexes or rates. Percentage rentals are based
on sales performance in excess of speciÑed minimums at various stores.
Approximate rental expenses under operating leases are as follows:
52 Weeks 52 Weeks 52 Weeks
Ended Ended Ended
January 29, January 31, February 1,
2005 2004 2003
(In thousands)
MinimumÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $77,058 $58,016 $47,316
Percentage rentalsÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 4,471 7,418 10,704
$81,529 $65,434 $58,020
F-19