Leases

12 Months Ended

Dec. 29, 2012

Leases of Lessee Disclosure [Text Block]

(12)       Leases

                A substantial portion of our store and warehouse properties are leased.  The following table summarizes assets under capitalized leases:

(in thousands)		2012		2011
Building and improvements	$	$ 23,349	$	$ 31,276
Less accumulated amortization		(12,606)		(13,146)
Net assets under capitalized leases	$	$ 10,743	$	$ 18,130

Total future minimum sublease rents receivable related to operating and capital lease obligations as of December 29, 2012, are $14.8 million and $4.8 million, respectively.  Future minimum payments for operating and capital leases have not been reduced by minimum sublease rentals receivable under non‑cancelable subleases.  At December 29, 2012, our future minimumrental payments under non‑cancelable leases (including properties that have been subleased) are as follows:

(in thousands)		Operating Leases		Capital Leases
2013	$	25,195	$	3,700
2014		21,723		3,519
2015		16,904		3,333
2016		13,028		3,224
2017		8,869		3,024
Thereafter		56,453		8,889
Total minimum lease payments	$	142,172	$	25,689
Less imputed interest (rates ranging from 7.7% to 24.6%)				9,097
Present value of net minimum lease payments				16,592
Less current maturities				(1,785)
Capitalized lease obligations			$	14,807

Total rental expense under operating leases for fiscal 2012, 2011, and 2010 was as follows:

(in thousands)		2012		2011		2010
Total rentals	$	39,215	$	34,518	$	38,859
Less: real estate taxes, insurance and other occupancy costs		(3,408)		(2,352)		(2,716)
Minimum rentals		35,807		32,166		36,143
Contingent rentals		240		(40)		(78)
Sublease rentals		(6,450)		(6,195)		(6,881)
Total	$	29,597	$	25,931	$	29,184

Most of our leases provide that we must pay real estate taxes, insurance and other occupancy costs applicable to the leased premises.  Contingent rentals are determined on the basis of a percentage of sales in excess of stipulated minimums for certain store facilities.  Operating leases often contain renewal options.  In those locations in which it makes economic sense to continue to operate, management expects that, in the normal course of business, leases that expire will be renewed or replaced by other leases.