WeightWatchers 2009 Annual Report Download - page 97

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WEIGHT WATCHERS INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
disagrees with the allegations that it has violated federal and North Carolina wage and hour laws and the
Company believes it has valid defenses with respect to this matter, litigation is inherently unpredictable. At this
time, it is not possible to determine the outcome of, or estimate the liability related to, this action and the
Company has not made any provision for losses in connection with it.
Other Litigation Matters
Due to the nature of the Company’s activities, it is also, at times, subject to pending and threatened legal
actions that arise out of the ordinary course of business. In the opinion of management, based in part upon advice
of legal counsel, the disposition of any such matters is not expected to have a material effect on the Company’s
results of operations, financial condition or cash flows. However, the results of legal actions cannot be predicted
with certainty. Therefore, it is possible that the Company’s results of operations, financial condition or cash
flows could be materially adversely affected in any particular period by the unfavorable resolutions of one or
more legal actions.
Lease Commitments:
Minimum rental commitments under non-cancelable operating leases, primarily for office and rental
facilities, at January 2, 2010, consist of the following:
2010 ............................................................. $27,228
2011 ............................................................. 18,762
2012 ............................................................. 11,942
2013 ............................................................. 7,335
2014 ............................................................. 5,032
2015 and thereafter .................................................. 11,791
Total ......................................................... $82,090
Total rent expense charged to operations under these leases for the fiscal years ended January 2, 2010,
January 3, 2009 and December 29, 2007 was $34,772, $33,801 and $33,016 respectively.
15. Segment and Geographic Data
The Company has two reportable segments: WWI and WW.com. WWI has multiple operating segments
which have been aggregated into one reportable segment. WWI and WW.com are two separate and distinct
businesses for which discrete financial information is available. This discrete financial information is maintained
and managed separately and is reviewed regularly by the chief operating decision maker. All intercompany
activity is eliminated in consolidation.
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