GameStop 2008 Annual Report Download - page 91

Download and view the complete annual report

Please find page 91 of the 2008 GameStop annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 114

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114

9. Comprehensive Income
Comprehensive income is net earnings, plus certain other items that are recorded directly to stockholders’
equity, and consisted of the following:
52 Weeks
Ended
January 31,
2009
52 Weeks
Ended
February 2,
2008
53 Weeks
Ended
February 3,
2007
(In thousands)
Net earnings ..................................... $398,282 $288,291 $158,250
Other comprehensive income:
Foreign currency translation adjustments ................ (60,029) 28,376 2,341
Total comprehensive income ......................... $338,253 $316,667 $160,591
10. Leases
The Company leases retail stores, warehouse facilities, office 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 classified as operating leases, generally provide for minimum
and, in some cases, 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. Percentage rentals are based on sales
performance in excess of specified minimums at various stores.
Approximate rental expenses under operating leases were as follows:
52 Weeks
Ended
January 31,
2009
52 Weeks
Ended
February 2,
2008
53 Weeks
Ended
February 3,
2007
(In thousands)
Minimum ....................................... $303,727 $255,259 $226,974
Percentage rentals. ................................ 22,927 19,968 13,819
$326,654 $275,227 $240,793
Future minimum annual rentals, excluding percentage rentals, required under leases that had initial, non-
cancelable lease terms greater than one year, as of January 31, 2009 are approximately:
Year Ended Amount
(In thousands)
January 2010 ....................................................... $295,081
January 2011 ....................................................... 218,667
January 2012 ....................................................... 168,419
January 2013 ....................................................... 111,530
January 2014 ....................................................... 67,976
Thereafter ......................................................... 111,083
$972,756
F-24
GAMESTOP CORP.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)