Salesforce.com 2015 Annual Report Download - page 115

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The weighted-average number of shares outstanding used in the computation of basic and diluted earnings/
loss per share does not include the effect of the following potential outstanding common stock. The effects of
these potentially outstanding shares were not included in the calculation of diluted earnings/loss per share
because the effect would have been anti-dilutive (in thousands):
Fiscal Year Ended January 31,
2015 2014 2013
Stock awards ...................................... 22,157 19,664 30,068
Convertible senior notes .............................. 25,953 43,965 26,940
Warrants .......................................... 37,517 44,253 26,944
10. Commitments
Letters of Credit
As of January 31, 2015, the Company had a total of $63.8 million in letters of credit outstanding
substantially in favor of certain landlords for office space. These letters of credit renew annually and expire at
various dates through December 2030.
Leases
The Company leases facilities space and certain fixed assets under non-cancelable operating and capital
leases with various expiration dates.
As of January 31, 2015, the future minimum lease payments under non-cancelable operating and capital
leases are as follows (in thousands):
Capital
Leases
Operating
Leases
Financing
Obligation,
Building in
Progress-Leased
Facility(1)
Fiscal Period:
Fiscal 2016 ..................... $104,825 $ 289,547 $ 1,777
Fiscal 2017 ..................... 113,982 267,377 16,877
Fiscal 2018 ..................... 118,259 224,359 21,107
Fiscal 2019 ..................... 112,807 186,936 21,551
Fiscal 2020 ..................... 201,471 186,385 21,995
Thereafter ...................... 0 1,124,370 252,517
Total minimum lease payments ..... 651,344 $2,278,974 $335,824
Less: amount representing interest . . (84,477)
Present value of capital lease
obligations ................... $566,867
(1) Total Financing Obligation, Building in Progress-Leased Facility noted above represents the total obligation
on the lease agreement noted in Note 3 “Property and Equipment” and includes $125.3 million that was
recorded to Financing obligation, building in progress-leased facility, which is included in Other noncurrent
liabilities on the balance sheet.
The Company’s agreements for the facilities and certain services provide the Company with the option to
renew. The Company’s future contractual obligations would change if the Company exercised these options.
The terms of the lease agreements provide for rental payments on a graduated basis. The Company
recognizes rent expense on a straight-line basis over the lease period and has accrued for rent expense incurred
109