Commitments and Contingencies

12 Months Ended

Dec. 31, 2011

Commitments and Contingencies [Abstract]

Commitments and Contingencies Disclosure [Text Block]

Commitments and Contingencies

Purchase Commitments

We enter into purchase commitments in the ordinary course of business. As of December 31, 2011, we had $1.2 million in purchase obligations primarily related to delivery equipment.

Operating Leases

We lease most of our sales and warehouse facilities and a significant number of trucks, vans and certain equipment under operating lease agreements expiring at various dates through 2023, excluding renewal options. Rent expense is recorded on a straight-line basis over the term of the lease, including available renewal option terms, if it is reasonably assured that the renewal options will be exercised. The operating leases generally require us to pay taxes, maintenance and insurance. In most instances, we expect the operating leases that expire will be renewed or replaced in the normal course of business.

Future minimum rental payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year and excluding contracted vehicle maintenance costs) were as follows as of December 31, 2011 (dollars in millions):

Year Ending December 31,
2012	$	32.5
2013	27.5
2014	22.0
2015	19.0
2016	17.2
2017 and Thereafter	74.2
	$	192.4

For 2011, 2010 and 2009, rental expenses for operating and month-to-month leases, including contracted vehicle maintenance costs, were $38.7 million, $35.8 million and $34.7 million, respectively.

Capital Leases

As of December 31, 2011 and 2010, we had approximately $1.3 million and $1.0 million in capital lease obligations, respectively, related to refrigeration and other office and warehouse equipment leased under capital leases, including current maturities.

Contingencies

Litigation

The Company is a plaintiff in a successful lawsuit, currently on appeal, against Sonitrol Corporation. The case arose from the December 21, 2002 arson fire at the Denver warehouse in which Sonitrol failed to detect and respond to a four-hour burglary and subsequent arson. In 2010, a jury found in favor of the Company and our insurers. The Company's current share of the judgment,  with daily accruing pre-judgment interest, is approximately $15.5 million, less outstanding attorneys' fees and costs. Sonitrol is appealing the decision through the Colorado appellate court. While we are expecting oral arguments on the appeal to be heard in late 2012, no date has been set by the court. We are unable to predict when this litigation will be finally resolved and the ultimate outcome. Any monetary recovery from the lawsuit would be recognized in income only when and if it is finally paid to the Company.

We are subject to certain legal proceedings, claims, investigations and administrative proceedings in the ordinary course of our business. We make a provision for a liability when it is both probable that the liability has been incurred and the amount of the liability can be reasonably estimated. These provisions, if any, are reviewed at least quarterly and adjusted to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular case. At December 31, 2011, we were not involved in any other material litigation.