VSE Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Commitments and Contingencies (Tables)

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2012

Commitments and Contingencies [Abstract]

We have various non-cancelable operating leases for facilities, equipment, and software with terms between two and fifteen years. The terms of the facilities leases typically provide for certain minimum payments as well as increases in lease payments based upon the operating cost of the facility and the consumer price index. Rent expense is recognized on a straight-line basis for rent agreements having escalating rent terms. Lease expense for the years ended December 31, 2012, 2011 and 2010 were as follows (in thousands):

	Operating Lease Expense		Sublease Income		Net Expense

2012	$	11,544	$	671	$	10,873
2011	$	11,787	$	770	$	11,017
2010	$	13,209	$	808	$	12,401

Future Minimum Annual Non-cancelable Commitments - Operating Leases

Future minimum annual non-cancelable commitments as of December 31, 2012 are as follows (in thousands):

	Operating Leases
	Lease Commitments		Sublease Income		Net Commitments

2013	$	7,960	$	461	$	7,499
2014		6,108		286		5,822
2015		2,087		48		2,039
2016		1,194		-		1,194
2017		1,051		-		1,051
Thereafter		-		-		-
Total	$	18,400	$	795	$	17,605

Future minimum annual non-cancelable commitments under our new headquarters lease as of December 31, 2012, which are not included in the table above, are as follows (in thousands):

	Lease Commitments
2013	$	3,755
2014		3,868
2015		3,985
2016		4,104
2017		4,221
Thereafter		45,240
Total	$	65,173