Operating Leases

12 Months Ended

Oct. 31, 2016

The Company leases buildings, material handling, manufacturing and office equipment under operating leases with terms that range from one to fifteen years at inception. The leases do not include step rent provisions, escalation clauses, capital improvement funding or other lease concessions that qualify the leases as a contingent rental. Also, the leases do not include a variable related to a published index. The Company's operating leases are charged to expense over the lease term, on a straight-line basis.

The longest lease term of the Company's current leases extends to May 2029. Rent expense under operating leases for fiscal years 2016, 2015, and 2014 was $9,544, $8,449 and $4,613, respectively. Beginning in fiscal 2016, lease expense reflects certain sale-leaseback transactions entered into during the third quarter of fiscal 2015. The assets under the sale-leaseback were for new machinery and equipment which are being leased over a six to seven year period.

Future minimum lease payments under operating leases are as follows at October 31, 2016:




2017	$	9,682
2018	8,677
2019	7,781
2020	6,501
2021	4,975
Thereafter	2,585
Total commitments under non-cancelable operating leases	$	40,201