Pitney Bowes 2013 Annual Report Download - page 83

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PITNEY BOWES INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Tabular dollars in thousands, except per share amounts)
72
15. Commitments and Contingencies
In the ordinary course of business, we are routinely defendants in, or party to, a number of pending and threatened legal actions. These
may involve litigation by or against us relating to, among other things, contractual rights under vendor, insurance or other contracts;
intellectual property or patent rights; equipment, service, payment or other disputes with clients; or disputes with employees. Some of
these actions may be brought as a purported class action on behalf of a purported class of employees, clients or others.
In December 2013, we received a Civil Investigative Demand (CID) from the Department of Justice (DOJ) pursuant to the False Claims
Act requesting documents and information relating to compliance with certain postal regulatory requirements in our Presort Services
business. We had previously provided information to the DOJ in response to letter requests and continue to provide information in response
to the CID and other requests from the DOJ. Given the current stage of this inquiry, we cannot provide an estimate of any possible losses
or range of loss and we cannot yet predict the ultimate outcome of this matter or its impact, if any, on our business, financial condition
or results of operations.
16. Leases
We lease office facilities, sales and service offices, equipment and other properties under operating lease agreements extending from
three to eight years. Certain leases require us to pay property taxes, insurance and routine maintenance and include renewal options and
escalation clauses. Rental expense was $67 million, $68 million and $78 million in 2013, 2012 and 2011, respectively. Future minimum
lease payments under non-cancelable operating leases at December 31, 2013 were as follows:
Years ending December 31,
2014 $ 55,908
2015 43,089
2016 30,246
2017 21,234
2018 15,660
Thereafter 35,115
Total minimum lease payments $ 201,252