Commitments and Contingencies

12 Months Ended

Nov. 30, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments And Contingencies

Commitments and Contingencies

Letters of Credit

As of November 30, 2013 we had a total of $1.6 million outstanding with respect to letters of credit in connection with sales and lease transactions. The letters of credit are collateralized by the $10.0 million revolving line of credit described above in Note 10. As of November 30, 2013, we were in compliance with all covenants under the revolving line of credit.

Prepaid Land Lease

In June 2003, we entered into a 51-year lease of the land upon which our corporate headquarters is located. The lease was paid in advance for a total of $28.0 million, but is subject to adjustments every ten years based upon changes in market condition. Currently, we are negotiating the first adjustment under the lease and expect a rent increase that will take effect in April 2014. We have the option to prepay any rent increases due as a result of a change in fair market value. This prepaid land lease is being amortized using the straight-line method over the life of the lease; the portion to be amortized over the next twelve months is included in Prepaid Expenses and Other Current Assets, and the remainder is included in Other Assets on our Consolidated Balance Sheets.

Operating Commitments

At various locations worldwide, we lease office space and equipment under non-cancelable operating leases with various expiration dates through September 2019. Rental expense was $17.8 million, $14.7 million and $14.2 million in fiscal years 2013, 2012 and 2011, respectively.

As of November 30, 2013, contractual commitments associated with indebtedness, lease obligations and restructuring are as follows (in thousands):

	Total		2014		2015		2016		2017		2018		Thereafter
Commitments:
Debt principal	$	600,000	$	—	$	—	$	—	$	600,000	$	—	$	—
Debt interest	47,250		13,500		13,500		13,500		6,750		—		—
Operating leases(1)	40,290		10,568		7,512		7,272		5,851		4,749		4,338
Total commitments	$	687,540	$	24,068	$	21,012	$	20,772	$	612,601	$	4,749	$	4,338

(1) Operating leases include future minimum rent payments, net of estimated sublease income of $5.6 million, for facilities that we have vacated pursuant to our restructuring activities, as discussed in Note 9.

Future minimum lease payments under restructured non-cancelable operating leases as of November 30, 2013, are included in Accrued Restructuring Costs on our Consolidated Balance Sheets; see Note 9 for further details.

The above commitment table does not include $55.7 million of long-term income tax liabilities recorded in accounting for uncertainty in income taxes due to the fact that we are unable to reasonably estimate the timing of these potential future payments.

Indemnifications

Our software license agreements typically provide for indemnification of customers for intellectual property infringement claims. To date, no such claims have been filed against us. We also warrant to customers that software products operate substantially in accordance with the software product’s specifications. Historically, we have incurred minimal costs related to product warranties, and, as such, no accruals for warranty costs have been made. In addition, we indemnify our officers and directors under the terms of indemnity agreements entered into with them, as well as pursuant to our certificate of incorporation, bylaws and applicable Delaware law.