Leases

12 Months Ended

Oct. 02, 2011

Leases

Leases

9.     Leases

        We lease office and field equipment, vehicles and buildings under various operating leases. In fiscal 2011, 2010 and 2009, we recognized $71.9 million, $60.9 million and $58.9 million of expense associated with operating leases, respectively. Amounts payable under non-cancelable operating and capital lease commitments are as follows during the following fiscal years:

		Operating		Capital
		(in thousands)
2012		$	63,062	$	1,032
2013			54,880		491
2014			39,876		163
2015			27,373		–
2016			13,719		–
Beyond			13,629		–
	Total	$	212,539		1,686
	Less: Amounts representing interest				118
	Net present value			$	1,568

        In the fourth quarter of fiscal 2011, we vacated certain facilities under long-term non-cancelable leases and recorded $1.3 million of contract termination costs in the RCM segment. This amount was initially measured at the fair value of the prorated portion of the lease payments associated with the vacated facilities, reduced by estimated sublease rentals, less the write off of a prorated portion of existing deferred items previously recognized on these leases. We expect the remaining lease payments to be paid through the various lease expiration dates which continue until 2017. The contract termination costs are recorded in "Other costs of revenue" on the consolidated statements of income.