Snapple 2011 Annual Report Download - page 117

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DR PEPPER SNAPPLE GROUP, INC.
NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS - (Continued)
97
18. Commitments and Contingencies
Lease Commitments
The Company has leases for certain facilities and equipment which expire at various dates through 2020. Operating lease
expense was $80 million, $82 million, and $79 million for the years ended December 31, 2011, 2010 and 2009, respectively. Future
minimum lease payments under capital and operating leases with initial or remaining noncancellable lease terms in excess of one
year as of December 31, 2011 are as follows (in millions):
2012
2013
2014
2015
2016
Thereafter
Total minimum lease payments
Less imputed interest at rates ranging from 9.89% to 15.42%
Present value of minimum lease payments
Operating
Leases
$ 58
53
44
36
28
73
$ 292
Capital
Leases
$ 4
4
3
1
—
—
12
(1)
$ 11
Of the $11 million in capital lease obligations above, $7 million is included in long-term debt payable to third parties and $4
million is included in other current liabilities on the Consolidated Balance Sheet as of December 31, 2011.
Legal Matters
The Company is occasionally subject to litigation or other legal proceedings as set forth below. The Company does not believe
that the outcome of these, or any other, pending legal matters, individually or collectively, will have a material adverse effect on
the business or financial condition of the Company.
Robert M. Ward, et al. v. The American Bottling Company
In March 2009, Robert M. Ward, et al., as plaintiffs, commenced litigation in the United States District Court, Central District
of California, Western Division alleging age discrimination against Cadbury Schweppes Bottling Group, Inc. (now The American
Bottling Company), et al., as defendants. The defendants are subsidiaries of the Company. The complaint related to activities
which principally occurred before the Company's spin off from Cadbury plc in 2008. On December 7, 2011, the jury returned a
verdict in favor of the six plaintiffs and awarded damages of approximately $18 million, which amount was accrued as of December
31, 2011. The Company plans to appeal this decision.
Robert Jones v. Seven Up/RC Bottling Company of Southern California, Inc.
In 2007, one of the Company's subsidiaries, Seven Up/RC Bottling Company Inc., was sued by Robert Jones in the Superior
Court in the State of California (Orange County), alleging that its subsidiary failed to provide meal and rest periods and itemized
wage statements in accordance with applicable California wage and hour law. The case was filed as a class action. The parties
have reached a settlement in the case, pursuant to which the Company denied any liability or wrongdoing and reserved all rights,
but agreed to a compromise to end litigation and to pay approximately $4 million, which amount was accrued as of June 30, 2010.
The termination of the case is subject to the satisfaction of the terms and conditions of the settlement agreement.