16. Commitments and Contingencies

Lease Commitments

The Company is obligated under certain capital leases covering equipment, its fleet of vehicles and one facility. The equipment leases have terms ranging from five to six years, the fleet vehicle leases have terms ranging from one to six years and the facility lease has a term of eleven years. The carrying value of property and equipment under capital leases was $107.3 million and $17.9 million as of April 30, 2019 and 2018, respectively, net of accumulated depreciation of $27.7 million and $10.3 million, respectively.

The Company also has certain noncancelable operating lease agreements, primarily office and warehouse facilities and equipment. The facility leases generally contain renewal options for periods ranging from one to five years. Rent expense for operating leases, which may have escalating rents over the terms of the leases, is recorded on a straight‑line basis over the minimum lease terms. Rent expense under operating leases, including amounts paid to affiliated partnerships, approximated $53.5 million, $63.9 million and $56.2 million during the years ended April 30, 2019, 2018 and 2017, respectively. As existing leases expire, the Company anticipates such leases will be renewed or replaced with other leases that are substantially similar in terms and rental amounts which are consistent with market rates at the time of renewal.

During the year ended April 30, 2019, the Company amended certain terms of its operating lease agreements for equipment. The amendments would have resulted in capital lease classification of the leases under lease classification criteria had the changed terms been in effect at lease inception. As such, the amended agreements were considered new agreements. The new lease agreements were classified as capital leases as of the date of the modifications based on the application of lease classification criteria. As a result, the Company recorded $73.6 million of capital lease assets and capital lease obligations in its Consolidated Balance Sheet during the year ended April 30, 2019. In addition, the Company began financing the purchase of new equipment under capital leases.

As of April 30, 2019, the approximate amounts of the annual future minimum lease payments under noncancelable operating leases, including amounts payable to affiliated partnerships, and future maturities of capital lease obligations are as follows (in thousands):


	Capital		Operating
Year Ended April 30,
2020	$	40,132	$	41,209
2021		35,591		33,460
2022		28,767		24,747
2023		20,134		18,335
2024		11,546		13,029
Thereafter		2,677		20,870
	$	138,847	$	151,650
Less: Interest		29,561
Capitalized lease obligations	$	109,286

Litigation, Claims and Assessment

The Company is a defendant in various lawsuits and administrative actions associated with personal injuries, claims of former employees, and other events arising in the normal course of business. As discussed in Note 1, “Business, Basis of Presentation and Summary of Significant Accounting Policies” under the heading “Insurance Liabilities,” the Company records liabilities for these claims, as well as assets for amounts recoverable from the insurer, for these claims covered by insurance.