FairPoint Communications 2002 Annual Report Download - page 503

2007 20,069 65,750
Thereafter - -
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Total minimum lease payments $ 142,992 $ 608,730
Less amount representing interest 25,085
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Present value of minimum lease
payments including current
maturities of $21,287 $ 117,907
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The cell site leases are renewable for four additional five-year
periods under similar terms at the end of the initial term. Lease
terms provide for certain adjustments of the payments in the renewal
periods.
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ILLINOIS VALLEY CELLULAR RSA 2-I PARTNERSHIP
NOTES TO FINANCIAL STATEMENTS
NOTE 9. LEASE COMMITMENTS (Continued)
The Partnership has an office building lease with an affiliate of MC
for an initial term of five years. The Partnership's portion of the
annual base rental, included in the future minimum rental payments
above, is $68,400. A contingent rental provision allows for increases
in base rent for real estate taxes and operating costs in excess of
base operating costs. The agreement includes an option to extend the
lease for an additional five years.
Rental expense for all cancelable and non-cancelable operating leases
totaled $199,503, $139,150, and $114,856 in 2002, 2001, and 2000,
respectively.
NOTE 10. ALLOWANCE FOR UNCOLLECTIBLES
The Company uses the reserve method to recognize uncollectible
customer accounts. The following activity has been recognized under
this method.
2002 2001 2000
--------------- --------------- ---------------
Balance, December 31 $ 110,000 $ 134,000 $ 142,000
Provision for uncollectibles 67,489 33,902 107,037
Accounts written off, net of recoveries 60,989 57,902 115,037
--------------- --------------- ---------------
Balance, December 31 $ 116,500 $ 110,000 $ 134,000
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NOTE 11. SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED)
The following table presents summarized quarterly results.
QUARTER
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1ST 2ND 3RD 4TH
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2002
Operating revenues $ 2,665,525 $ 2,732,486 $ 2,784,279 $ 2,713,388
Operating income $ 300,775 $ 181,779 $ 69,549 $ (189,682)
Net income $ 310,158 $ 175,016 $ 64,205 $ (208,098)