Commitments and Contingencies

Transportation and Gathering Agreements

The Company has entered into certain natural gas and oil transportation and gathering agreements with various pipeline carriers. Under certain of these agreements, the Company is obligated to ship minimum daily quantities, or pay for any deficiencies at a specified rate. The Company's forecasted production to be shipped on these pipelines is expected to exceed minimum daily quantities provided in the agreements. The Company is also obligated under certain of these arrangements to pay a demand charge for firm capacity rights on pipeline systems regardless of the amount of pipeline capacity utilized by the Company. If the Company does not utilize the capacity, it can release it to others, thus reducing its potential liability.

As of December 31, 2016, the Company's future minimum obligations under transportation and gathering agreements are as follows:



(In thousands)
2017	$	148,061
2018	167,749
2019	155,904
2020	150,522
2021	150,110
Thereafter	1,071,827
	$	1,844,173

Drilling Rig Commitments

As of December 31, 2016, the Company has a remaining commitment for one drilling rig for its capital program in the Marcellus Shale, expiring in December 2017, with an initial term of three years. As of December 31, 2016, the future minimum commitment under this agreement is $4.2 million in 2017.

Hydraulic Fracturing Services Commitments

During the year ended December 31, 2016, the Company entered into a fifteen month agreement, which ends in December 2017, for hydraulic fracturing services in the Marcellus Shale. As of December 31, 2016, the future minimum commitment under this agreement is $4.0 million in 2017.

Lease Commitments

The Company leases certain office space, warehouse facilities, vehicles, machinery and equipment under cancelable and non-cancelable leases. Rent expense under these arrangements totaled $10.7 million, $13.9 million and $10.8 million for the years ended December 31, 2016, 2015 and 2014, respectively.

Future minimum rental commitments under non-cancelable leases in effect at December 31, 2016 are as follows:



(In thousands)
2017	$	7,244
2018	6,727
2019	6,363
2020	5,889
2021	4,783
Thereafter	6,203
	$	37,209

Legal Matters

The Company is a defendant in various legal proceedings arising in the normal course of business. All known liabilities are accrued when management determines they are probable based on its best estimate of the potential loss. While the outcome and impact of these legal proceedings on the Company cannot be predicted with certainty, management believes that the resolution of these proceedings will not have a material effect on the Company's financial position, results of operations or cash flows.

Contingency Reserves

When deemed necessary, the Company establishes reserves for certain legal proceedings. The establishment of a reserve is based on an estimation process that includes the advice of legal counsel and subjective judgment of management. While management believes these reserves to be adequate, it is reasonably possible that the Company could incur additional losses with respect to those matters in which reserves have been established. The Company believes that any such amount above the amounts accrued would not be material to the Consolidated Financial Statements. Future changes in facts and circumstances not currently foreseeable could result in the actual liability exceeding the estimated ranges of loss and amounts accrued.