DEBT, COMMITMENTS, CONTINGENCIES AND GUARANTEES

We lease facilities under operating leases that include renewal and escalation clauses. Rent expense is recorded on a straight-line basis over the lease term. Total rent expense was $58.5 million, $56.4 million, and $59.4 million for Fiscal Years 2016, 2015, and 2014, respectively. Future minimum debt obligations, lease payments under non-cancelable leases, and purchase commitments due as of June 30, 2016 are as follows (excluding future potential payments in connection with acquisitions - see Note 3):



(dollars in millions)	FY 2017		FY 2018		FY 2019		FY 2020		FY 2021		Thereafter		Total
Debt obligations (principal)	$	16.6	$	22.8	$	22.5	$	32.5	$	410.0	$	—	$	504.4
Operating leases	57.2		44.8		35.7		27.4		21.3		99.3		285.7
Purchase commitments*	129.4		31.6		9.6		1.2		0.5		0.2		172.5
Total	$	203.2	$	99.2	$	67.8	$	61.1	$	431.8	$	99.5	$	962.6

*includes commitments to purchase software, hardware and services

We have letter-of-credit agreements with banks, totaling approximately $10.8 million, guaranteeing performance under various operating leases and vendor agreements. Additionally, the borrowings under the 2016 Credit Agreement and the Notes are guaranteed by certain of our U.S. subsidiaries.

We periodically become involved in various claims and lawsuits that are incidental to our business. We are also regularly subject to, and are currently undergoing, audits by tax authorities in the United States and foreign jurisdictions for prior tax years. Although we believe our tax estimates are reasonable, and we intend to defend our positions through litigation if necessary, the final outcome of tax audits and related litigation is inherently uncertain and could be materially different than that reflected in our historical income tax provisions and accruals. Adverse outcomes of tax audits could also result in assessments of substantial additional taxes and/or fines or penalties relating to ongoing or future audits.

The above table does not include asset retirement obligations due to the uncertainty of the timing of the future cash outflows related to the restoration costs associated with returning certain facilities to their original condition upon termination of our long-term leases. As of June 30, 2016, the obligation expected to be incurred is $13.1 million.

The above table does not include contingent consideration due to the uncertainty regarding the amounts and timing of the future cash outflows related to the potential payments. As of June 30, 2016, we recorded contingent consideration liabilities of $5.2 million. See Note 13 to our consolidated financial statements included in this annual report for more information.

We believe, after consultation with counsel or other experts, that no matters currently pending would, in the event of an adverse outcome, either individually or in the aggregate, have a material impact on our consolidated financial position, results of operations, or liquidity.