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Leases
12 Months Ended
Sep. 27, 2015
Leases  
Leases

10.         Leases

              We lease office and field equipment, vehicles and buildings under various operating leases. In fiscal 2015, 2014 and 2013, we recognized $66.4 million, $70.0 million and $80.8 million of expense associated with operating leases, respectively. The following are amounts payable under non-cancelable operating and capital lease commitments for the next five fiscal years and beyond:

                                                                                                                                                                                    

 

 

Operating

 

Capital

 

 

 

(in thousands)

 

2016

 

$

59,779 

 

$

394 

 

2017

 

 

48,212 

 

 

243 

 

2018

 

 

36,252 

 

 

50 

 

2019

 

 

26,055 

 

 

13 

 

2020

 

 

18,605 

 

 

 

Beyond

 

 

11,847 

 

 

 

 

 

 

 

 

 

Total

 

$

200,750 

 

 

700 

 

​  

​  

​  

​  

Less: Amounts representing interest

 

 

 

 

 

27 

 

​  

​  

Net present value

 

 

 

 

$

673 

 

​  

​  

​  

​  

              We vacated certain facilities under long-term non-cancelable leases and recorded contract termination costs of $2.2 million in fiscal 2014 and $4.5 million in fiscal 2013. These amounts were initially measured at the fair value of the portion of the lease payments associated with the vacated facilities, reduced by estimated sublease rentals, less the write off of a prorated portion of existing deferred items previously recognized on these leases. We expect the remaining lease payments to be paid through the various lease expiration dates that continue until 2021.

              We initially measured the lease contract termination liability at the fair value of the prorated portion of the lease payments associated with the vacated facilities, reduced by estimated sublease rentals and other costs. If the actual timing and potential termination costs or realization of sublease income differ from our estimates, the resulting liabilities could vary from recorded amounts. These liabilities are reviewed periodically and adjusted when necessary. The following is a reconciliation of the beginning and ending balances of these liabilities related to lease contract termination costs:

                                                                                                                                                                                    

 

 

WEI

 

RME

 

RCM

 

Total

 

 

 

(in thousands)

 

Balance at September 29, 2013

 

$

1,599

 

$

4,674

 

$

 

$

6,273

 

Costs incurred and charged to expense

 

 

 

 

2,035

 

 

423

 

 

2,458

 

Adjustments (1)

 

 

(699

)

 

(1,663

)

 

 

 

(2,362

)

 

 

 

 

 

 

 

 

 

 

Balance at September 28, 2014

 

$

900

 

$

5,046

 

$

423

 

$

6,369

 

 

 

 

 

 

 

 

 

 

 

Cost incurred and charged to expense

 

 

 

 

 

 

 

 

 

Adjustments (1)

 

 

(369

)

 

(2,585

)

 

(246

)

 

(3,200

)

 

 

 

 

 

 

 

 

 

 

Balance as September 27, 2015

 

$

531

 

$

2,461

 

$

177

 

$

3,169

 

 

 

 

 

 

 

 

 

 

 

​  

 

 

 

(1)          

Adjustments of the actual timing and potential termination costs or realization of sublease income.