Zynga 2015 Annual Report Download - page 109

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Table of Contents
12. Commitments and Contingencies
LeaseCommitments
We have entered into operating leases for facilities. As of December 31, 2015, future minimum lease payments related to these leases are as follows (in
thousands):
Year ending December 31:
2016 $ 4,348
2017 3,154
2018 1,693
2019 1,458
2020 174
2021 and thereafter 44
$10,871
Rent expense on operating leases for facilities, excluding data center hosting expense, for the years ended December 31, 2015, 2014 and 2013 totaled $4.5
million, $4.5 million, and $7.3 million, respectively.
CreditFacility
In June 2013, we amended our existing revolving credit agreement which we originally executed in July 2011, reducing our maximum available credit from
$1.0 billion to $200 million, and extending the term through June 2018. Per the terms of our amended agreement, we paid additional up-front fees of $0.3 million to
be amortized over the remaining extended term of the loan. The interest rate for the amended credit facility is determined based on a formula using certain market
rates, as described in the amended credit agreement. Additionally, our minimum quarterly commitment fee was reduced from $0.6 million per quarter to $0.1
million per quarter based on the portion of the credit facility that is not drawn down. The agreement requires us to comply with certain covenants, including
maintaining a minimum capitalization ratio, and maintaining a minimum cash balance. As of December 31, 2015, we had not drawn down any amounts under the
credit facility and were in compliance with these covenants.
OtherPurchaseCommitments
We have entered into several contracts for hosting of data systems and licensed intellectual property. Future minimum purchase commitments that have
initial or remaining non-cancelable terms as of December 31, 2015, are as follows (in thousands):
Year ending December 31:
2016 $19,749
2017 13,441
2018 722
2019 and thereafter 270
$34,182
LegalMatters
On July 30, 2012, a purported securities class action captioned DeStefano v. Zynga Inc. et al., Case No. 3: 12-cv-04007-JSW, was filed in the United States
District Court for the Northern District of California against the Company, and certain of our current and former directors, officers, and executives. Additional
purported securities class actions containing similar allegations were filed in the Northern District. On September 26, 2012,
106