Leases

The Company leases office, manufacturing, and research facilities and warehouses, as well as transportation, data processing, and other equipment under capital and operating leases. A substantial number of these leases contain options that allow the Company to renew at the fair rental value on the date of renewal.

Future minimum payments under capitalized leases and non-cancelable operating leases at April 26, 2013 are:



(in millions) Fiscal Year	Capitalized Leases			Operating Leases
2014	$	18		$	104
2015	18			74
2016	17			48
2017	34			27
2018	22			14
Thereafter	85			27
Total minimum lease payments	$	194		$	294
Less amounts representing interest	(30		)	N/A
Present value of net minimum lease payments	$	164		N/A

Rent expense for all operating leases, including discontinued operations in prior years, was $140 million, $153 million, and $148 million in fiscal years 2013, 2012, and 2011, respectively.

In April 2012, the Company entered into a $165 million sale-leaseback agreement with a financial institution whereby certain manufacturing equipment was sold to the financial institution and is being leased by the Company over a ten-year period. The transaction was recorded as a capital lease and is included in the table above. Payments for the remaining balance of the sale-leaseback agreement are due monthly for the first five years, and then annually, for the remaining five years. The lease provides for an early buyout option whereby the Company, at its option, could repurchase the equipment at a pre-determined fair market value in calendar year 2017.