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8. Commitments and Contingencies
Lease commitments
Autodesk leases office space and computer equipment under non-cancellable operating lease agreements that expire at
various dates through September 2021. The leases generally provide that Autodesk pay taxes, insurance and maintenance
expenses related to the leased assets. Certain of these lease arrangements contain escalation clauses whereby monthly rent
increases over time. At January 31, 2013, the aggregate future minimum lease payments required were as follows:
2014 $ 58.9
2015 53.6
2016 44.8
2017 36.1
2018 32.7
Thereafter 63.2
289.3
Less: Sublease income 1.8
$ 287.5
Rent expense related to these operating leases recognized on a straight-line basis over the lease period, was as follows:
Fiscal Year Ended January 31,
2013 2012 2011
Rent expense $ 56.1 $ 53.0 $ 52.1
Purchase commitments
In the normal course of business, Autodesk enters into various purchase commitments for goods or services. Total non-
cancellable purchase commitments as of January 31, 2013 were approximately $48.7 million for periods through fiscal 2015
These purchase commitments primarily result from contracts for the acquisition of IT infrastructure, marketing and software
development services.
Autodesk has certain royalty commitments associated with the shipment and licensing of certain products. Royalty
expense is generally based on a dollar amount per unit shipped or a percentage of the underlying revenue. Royalty expense,
which was recorded under cost of license and other revenue on Autodesk’s Consolidated Statements of Operations, was $16.4
million in fiscal 2013, $16.5 million in fiscal 2012 and $12.8 million in fiscal 2011.
Indemnifications
In the normal course of business, Autodesk provides indemnifications of varying scopes, including limited product
warranties and indemnification of customers against claims of intellectual property infringement made by third parties arising
from the use of its products or services. Autodesk accrues for known indemnification issues if a loss is probable and can be
reasonably estimated. Historically, costs related to these indemnifications have not been significant, and because potential
future costs are highly variable, Autodesk is unable to estimate the maximum potential impact of these indemnifications on its
future results of operations.
In connection with the purchase, sale or license of assets or businesses with third parties, Autodesk has entered into or
assumed customary indemnification agreements related to the assets or businesses purchased, sold or licensed. Historically,
costs related to these indemnifications have not been significant, and because potential future costs are highly variable,
Autodesk is unable to estimate the maximum potential impact of these indemnifications on its future results of operations.
As permitted under Delaware law, Autodesk has agreements whereby it indemnifies its officers and directors for certain
events or occurrences while the officer or director is, or was, serving at Autodesk’s request in such capacity. The maximum
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2013 Annual Report