Big Lots 2011 Annual Report Download - page 171

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BIG LOTS, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements (Continued)
Note 4 — Fair Value Measurements (Continued)
Variable rate demand notes are issued by various corporate, non-profit and governmental entities that are of
high credit quality with many being secured by direct-pay letters of credit from a major financial institution. In
addition, variable rate demand notes can be tendered for sale upon notice (generally no longer than seven days)
to the original issuer, at par plus accrued interest.
Note 5 — Leases
Leased property consisted primarily of 1,479 of our retail stores, 0.4 million square feet of warehouse space,
and certain transportation equipment, and information technology and other office equipment. Many of the
store leases obligate us to pay for our applicable portion of real estate taxes, CAM, and property insurance.
Certain store leases provide for contingent rents, have rent escalations, and have tenant allowances or other lease
incentives. Many of our leases contain provisions for options to renew or extend the original term for additional
periods.
Total rent expense, including real estate taxes, CAM, and property insurance, charged to continuing operations
for operating leases consisted of the following:
2011 2010 2009
(In thousands)
Minimum leases.............................................. $285,081 $261,197 $254,054
Contingent leases ............................................. 637 587 313
Total rent expense.......................................... $285,718 $261,784 $254,367
Future minimum rental commitments for leases, excluding closed store leases, real estate taxes, CAM, and
property insurance, at January 28, 2012, were as follows:
Fiscal Year
(In thousands)
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $238,087
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 207,276
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 162,867
2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117,745
2016 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80,548
Thereafter.................................. 120,861
Total leases.............................. $927,384
We have obligations for capital leases for office equipment, included in accrued operating expenses and other
liabilities on our consolidated balance sheet. Scheduled payments for all capital leases at January 28, 2012, were
as follows:
Fiscal Year
(In thousands)
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,340
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 998
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 793
2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
2016 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Thereafter................................... —
Total lease payments ....................... $3,162
Less amount to discount to present value........ (125)
Capital lease obligation per balance sheet ....... $3,037