COMMITMENTS

The Company leases land, office space, data center facilities and equipment used in connection with its operations under various operating leases, many of which contain escalation clauses. The Company is also committed to pay a portion of the related operating expenses under a data center lease agreement. These operating expenses are not included in the table below.

Future minimum payments under operating lease agreements are as follows:



Years Ending December 31,	(In thousands)
2015	$	32,255
2016	31,105
2017	26,723
2018	23,338
2019	17,775
Thereafter	191,108
Total	$	322,304

Expenses charged to operations under these agreements are $41.2 million, $36.7 million and $30.6 million for the years ended December 31, 2014, 2013 and 2012, respectively.

The Company's most significant operating lease is a seventy-seven year land lease for IAC's headquarters building in New York City and approximates 55% of the future minimum payments due under all operating lease agreements in the table above.

The Company also has funding commitments that could potentially require its performance in the event of demands by third parties or contingent events as follows:



	Amount of Commitment Expiration Per Period
	Less Than 1 Year		1-3 Years		3-5 Years		More Than 5 Years		Total Amounts Committed
	(In thousands)
Purchase obligations	$	10,710	$	521	$	—	$	—	$	11,231
Letters of credit and surety bonds	1,276		—		73		1,437		2,786
Total commercial commitments	$	11,986	$	521	$	73	$	1,437	$	14,017

The purchase obligations primarily include advertising commitments, which commitments are reducible or terminable such that these commitments can never exceed associated revenue by a meaningful amount. The letters of credit support the Company's casualty insurance program.