FairPoint Communications 2013 Annual Report Download - page 100

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98
Future minimum lease payments under capital leases and non-cancelable operating leases as of December 31, 2013 are as
follows (in thousands):
Capital Leases Operating Leases
Year ending December 31:
2014 $ 1,625 $ 9,144
2015 237 6,516
2016 132 4,832
2017 132 3,546
2018 44 1,968
Thereafter — 610
Total minimum lease payments $ 2,170 $ 26,616
Less: interest and executory cost (278)
Present value of minimum lease payments 1,892
Less: current installments (1,445)
Long-term obligations at December 31, 2013 $ 447
Total rent expense was $12.5 million, $12.5 million, $14.5 million and $1.0 million for the year ended December 31, 2013,
the year ended December 31, 2012, the 341 days ended December 31, 2011 and the 24 days ended January 24, 2011, respectively.
The Company does not have any leases with contingent rental payments or any leases with contingency renewal, purchase
options, or escalation clauses.
(b) Legal Proceedings
From time to time, the Company is involved in litigation and regulatory proceedings arising out of its operations. The
Company's management believes that it is not currently a party to any legal or regulatory proceedings, the adverse outcome of
which, individually or in the aggregate, would have a material adverse effect on the Company's financial position or results of
operations. Notwithstanding that the Company emerged from Chapter 11 protection on the Effective Date, one of the Chapter 11
Cases is still being resolved.
On the Petition Date, FairPoint Communications and substantially all of its direct and indirect subsidiaries filed voluntary
petitions for relief under the Chapter 11 Cases. On January 13, 2011, the Bankruptcy Court entered the Confirmation Order, which
confirmed the Plan. On the Effective Date, the Company substantially consummated the reorganization through a series of
transactions contemplated by the Plan and the Plan became effective pursuant to its terms.
On June 30, 2011 and on November 7, 2012, the Bankruptcy Court entered final decrees closing certain of the Company's
bankruptcy cases due to such cases being fully administered. Of the 80 original bankruptcy cases, only the Chapter 11 Case of
Northern New England Telephone Operations LLC (Case No. 09-16365) remains open.
(c) Restricted Cash
As of December 31, 2013, the Company had $1.2 million of restricted cash, of which $0.1 million is reserved for the Cash
Claims Reserve, $0.4 million is reserved for broadband build-out in New Hampshire and $0.7 million is restricted for other
purposes. During 2013, $0.6 million of the Cash Claims Reserve was released due to favorable resolution of claims, $2.8 million
of restricted cash reserved for broadband build-out in Vermont was utilized and $2.9 million of restricted cash reserved for broadband
build-out in New Hampshire was utilized.
(21) Quarterly Financial Information (Unaudited)
The quarterly information presented below represents selected quarterly financial results for the quarters ended March 31,
June 30, September 30 and December 31, 2013 and 2012 (in thousands, except per share data).