As of August 31, 2011, our purchase commitments under various contracts for the remainder of 2012 and annually thereafter were as follows (in millions):

		Aircraft and
		Aircraft-Related		Other⁽¹⁾		Total

2012 (remainder)		$	874	$	839	$	1,713
2013			1,162		121		1,283
2014			781		55		836
2015			555		31		586
2016			580		15		595
Thereafter			1,464		132		1,596

⁽¹⁾	Primarily vehicles, facilities, advertising and promotions contracts, and for the remainder of 2012, a total of $418 million of quarterly contributions to our U.S. Pension Plans.

The amounts reflected in the table above for purchase commitments represent noncancelable agreements to purchase goods or services. Our obligation to purchase 15 of these Boeing 777 Freighters (“B777F”) is conditioned upon there being no event that causes FedEx Express or its employees not to be covered by the Railway Labor Act of 1926, as amended. Commitments to purchase aircraft in passenger configuration do not include the attendant costs to modify these aircraft for cargo transport unless we have entered into noncancelable commitments to modify such aircraft. Open purchase orders that are cancelable are not considered unconditional purchase obligations for financial reporting purposes and are not included in the table above.

We had $1 billion in deposits and progress payments as of August 31, 2011 on aircraft purchases and other planned aircraft-related transactions. These deposits are classified in the “Other assets” caption of our condensed consolidated balance sheets. In addition to our commitment to purchase B777Fs, our aircraft purchase commitments include the Boeing 757 (“B757”) in passenger configuration, which will require additional costs to modify for cargo transport. Aircraft and aircraft-related contracts are subject to price escalations. The following table is a summary of the key aircraft we are committed to purchase as of August 31, 2011, with the year of expected delivery:

	B777F	B757	Total

2012 (remainder)	6	15	21
2013	6	5	11
2014	7	-	7
2015	3	-	3
2016	3	-	3
Thereafter	7	-	7
Total	32	20	52

A summary of future minimum lease payments under capital leases and noncancelable operating leases with an initial or remaining term in excess of one year at August 31, 2011 is as follows (in millions):

				Operating Leases
				Aircraft				Total
		Capital		and Related		Facilities		Operating
		Leases		Equipment		and Other		Leases

2012 (remainder)		$	6	$	418	$	1,010	$	1,428
2013			119		499		1,227		1,726
2014			2		473		1,064		1,537
2015			2		455		936		1,391
2016			1		458		766		1,224
Thereafter			13		1,545		4,940		6,485
Total			143	$	3,848	$	9,943	$	13,791

Less amount representing interest			14
Present value of net minimum lease
	payments	$	129

While certain of our lease agreements contain covenants governing the use of the leased assets or require us to maintain certain levels of insurance, none of our lease agreements include material financial covenants or limitations.