CompUSA 2015 Annual Report Download - page 38

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Table of Contents
Followingisasummaryofourcontractualobligationsforfutureprincipalpaymentsonourdebt,minimumrentalpaymentsonournon-cancelableoperatingleases
andminimumpaymentsonourotherpurchaseobligationsasofDecember31,2015(inmillions):
Total  
Less than
1 year   1-3 years   3-5 years  
More than
5 years
Contractual Obligations:    
           
Capitalleaseobligations $ 1.0   0.6   0.4   -   -
            
Non-cancelableoperatingleases,netofsubleases 170.3   23.0   63.0   35.6   48.7
            
Purchase&otherobligations 57.8   42.7   7.6   7.5   -
            
Totalcontractualobligations $ 229.1   66.3   71.0   43.1   48.7
Ourpurchaseandotherobligationsconsistprimarilyofproductpurchasecommitments,certainemploymentagreementsandserviceagreements.
Inadditiontothecontractualobligationsnotedabove,wehad$4.9millionofstandbylettersofcreditoutstandingasofDecember2015.
We are party to certain litigation, the outcome of which we believe, based on discussions with legal counsel, will not have a material adverse effect on our
consolidatedfinancialstatements.
Taxcontingenciesarerelatedtouncertaintaxpositionstakenonincometaxreturnsthatmayresultinadditionaltax,interestandpenaltiesbeingpaidtotaxing
authorities.AsofDecember31,2015,theCompanyhadnomaterialuncertaintaxpositions.
Off-Balance Sheet Arrangements
We have not created, and are not party to, any special-purpose or off-balance sheet entities for the purpose of raising capital, incurring debt or operating our
business. We do not have any arrangements or relationships with entities that are not consolidated into the financial statements that are reasonably likely to
materiallyaffectourliquidityortheavailabilityofcapitalresources.
Item 7A. Quantitative and Qualitative Disclosures About Market Risk.
Weareexposedtomarketrisks,whichincludechangesinU.S.andinternationalinterestratesaswellaschangesincurrencyexchangerates(principallyBritish
PoundsSterling,EuropeanUnionEurosandCanadianDollars)asmeasuredagainsttheU.S.Dollarandeachother.
Thetranslationofthefinancialstatementsofouroperationslocated outsideoftheUnitedStatesisimpactedbymovementsinforeigncurrencyexchangerates.
Changesin currency exchangeratesasmeasuredagainsttheU.S. dollar maypositivelyornegativelyaffectincomestatement, balance sheet and cashflowsas
expressedinU.S.dollars.Saleswouldhavefluctuatedbyapproximately$134.5millionandpretaxlosswouldhavefluctuatedbyapproximately$3.4millionif
average foreign exchange rates changed by 10% in 2015. We have limited involvement with derivative financial instruments and do not use them for trading
purposes.Wemayenterintoforeigncurrencyoptionsorforwardexchangecontractsaimedatlimitinginparttheimpactofcertaincurrencyfluctuations,butasof
December31,2015wehadnooutstandingforwardexchangecontracts.
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