Nautilus 2002 Annual Report Download - page 56

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if businesses or portions thereof are either acquired or disposed, or if changes in events or circumstances warrant the revision of estimated
useful lives.
7. ACCRUED LIABILITIES
Accrued liabilities consisted of the following at December 31:
2002 2001
Accrued payroll $ 5,436 $
4,852
Accrued warranty expense 5,358
2,413
Sales return reserve 2,550
2,100
Accrued other 2,483
1,523
---------
---------
Accrued liabilities $ 15,827 $
10,888
=========
=========
8. COMMITMENTS AND CONTINGENCIES
LINES OF CREDIT - The Company has a line of credit for $10 million with U.S. Bank National Association. The line of credit is secured by
certain assets and contains several financial covenants. Interest is payable on outstanding borrowings under the line at the bank's prime rate
(4.25% at December 31, 2002). The Company is in compliance with the financial covenants applicable to the line of credit. There were no
outstanding borrowings on the line of credit at December 31, 2002 or 2001.
OPERATING LEASES - The Company has operating leases for various domestic and international properties with functional uses
predominantly ranging from, but not limited to, warehousing and distribution, product development, administration, and product sales. The
Company also has operating leases for certain equipment mainly consisting of product delivery trucks used in our commercial fitness equipment
business. Rent expense under all leases was $4,216, $937, and $474 in 2002, 2001 and 2000, respectively.
OBLIGATIONS - Operating leases under which the Company is presently obligated expire over various terms through June 2014. Future
minimum lease payments under the noncancellable operating leases are as follows:
2003 $
2,179
2004
955
2005
819
2006
774
2007
774
Thereafter
2,622
--------
Minimum lease payments $
8,123
========
2003. EDGAR Online, Inc.