Goldman Sachs 2009 Annual Report Download - page 68

Contractual Obligations
Goldman Sachs has contractual obligations to make future payments related to our unsecured long-term borrowings, secured
long-term  nancings, time deposits, long-term noncancelable lease agreements and purchase obligations and has commitments
under a variety of commercial arrangements.
The following table sets forth our contractual obligations by maturity date as of December2009:
Contractual Obligations
(inmillions) 2010 2011–2012 2013–2014 2015–Thereafter Total
Unsecured long-term borrowings
(1) (2) (3)
$ – $50,950 $41,674 $92,461 $185,085
Secured long-term  nancings
(1) (2) (4) – 5,558 3,135 2,510 11,203
Time deposits (long-term)
(5)
– 2,474 2,251 2,058 6,783
Contractual interest payments
(6)
7,228 12,628 9,588 29,780 59,224
Insurance liabilities
(7)
692 1,253 1,084 9,082 12,111
Minimum rental payments 494 664 455 1,555 3,168
Purchase obligations 251 58 38 33 380
(1) Obligations maturing within one year of our  nancial statement date or redeemable within one year of our  nancial statement date at the option of the holder
are excluded from this table and are treated as short-term obligations. See Note3 to the consolidated  nancial statements for further information regarding our
secured  nancings.
(2) Obligations that are repayable prior to maturity at the option of Goldman Sachs are re ected at their contractual maturity dates. Obligations that are redeemable
prior to maturity at the option of the holder are re ected at the dates such options become exercisable.
(3) Includes $21.39billion accounted for at fair value under the fair value option, primarily consisting of hybrid  nancial instruments and prepaid physical
commodity transactions.
(4) These obligations are reported in “Other secured  nancings” in the consolidated statements of  nancial condition and include $8.00billion accounted for at fair
value under the fair value option, primarily consisting of transfers accounted for as  nancings rather than sales and debt raised through our William Street credit
extension program.
(5) Excludes $2.51billion of time deposits maturing within one year of our  nancial statement date.
(6) Represents estimated future interest payments related to unsecured long-term borrowings, secured long-term  nancings and time deposits based on
applicable interest rates as of December2009. Includes stated coupons, if any, on structured notes.
(7) Represents estimated undiscounted payments related to future bene ts and unpaid claims arising from policies associated with our insurance activities,
excluding separate accounts and estimated recoveries under reinsurance contracts.
occupied space that we may exit in the future. We regularly
evaluate our current and future space capacity in relation to
current and projected staf ng levels. In 2009, we incurred
exit costs of $61million related to our of ce space (included
in “Occupancy” and “Depreciation and Amortization” in the
consolidated statements of earnings). We may incur exit costs
in the future to the extent we (i)reduce our space capacity or
(ii)commit to, or occupy, new properties in the locations in
which we operate and, consequently, dispose of existing space
that had been held for potential growth. These exit costs may
be material to our results of operations in a givenperiod.
As of December2009, included in purchase obligations
was $142million of construction-related obligations. As of
December2009, our construction-related obligations include
commitments of $104million related to our new headquarters
in NewYork City. Initial occupancy of our new headquarters
occurred during the fourth quarter of 2009.
As of December2009, our unsecured long-term borrowings
were $185.09billion, with maturities extending to 2043, and
consisted principally of senior borrowings. See Note7 to the
consolidated  nancial statements for further information
regarding our unsecured long-term borrowings.
As of December2009, our future minimum rental payments, net
of minimum sublease rentals, under noncancelable leases were
$3.17billion. These lease commitments, principally for of ce
space, expire on various dates through 2069. Certain agreements
are subject toperiodic escalation provisions for increases in real
estate taxes and other charges. See Note8 to the consolidated
 nancial statements for further information regarding our leases.
Our occupancy expenses include costs associated with of ce
space held in excess of our current requirements. This excess
space, the cost of which is charged to earnings as incurred,
is being held for potential growth or to replace currently
Goldman Sachs 2009 Annual Report
66
Management’s Discussion and Analysis