Pitney Bowes 2009 Annual Report Download - page 93

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PITNEY BOWES INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Tabular dollars in thousands, except per share data)
75
16. Leases
In addition to factory and office facilities owned, we lease similar properties, as well as sales and service offices, equipment and other
properties, generally under long-term operating lease agreements extending from 3 to 25 years.
Future minimum lease payments under non-cancelable operating leases at December 31, 2009 are as follows:
Years ending December 31, Operating leases
2010 $ 109,603
2011 79,739
2012 56,388
2013 33,118
2014 19,623
Thereafter 23,453
Total minimum lease payments $ 321,924
Rental expense was $124.5 million, $129.1 million and $146.9 million in 2009, 2008 and 2007, respectively.
17. Finance Assets
Finance Receivables
Finance receivables are comprised of sales-type leases and customer loan receivables. Sales-type leases are generally due in monthly,
quarterly or semi-annual installments over periods ranging from 3 to 5 years. Customer loan receivables arise primarily from
financing services offered to our customers for postage, supplies and shipping payments.
The components of finance receivables were as follows:
December 31,
2009 2008
Gross finance receivables $ 3,117,741 $ 3,338,799
Unguaranteed residual values 282,208 273,529
Unearned income (601,431) (664,828)
Allowance for credit losses (72,158) (71,790)
Net investment in finance receivables $ 2,726,360 $ 2,875,710
Net investment in finance receivables include net customer loan receivables at December 31, 2009 and 2008 of $478.2 million and
$528.8 million, respectively. Customer loan receivables are generally due each month, however, customers may rollover outstanding
balances. See discussion on Pitney Bowes Bank below.
Maturities of gross finance receivables are as follows:
Years ending December 31,
2010 $ 1,516,802
2011 701,201
2012 478,911
2013 286,755
2014 113,598
Thereafter 20,474
Total $ 3,117,741