Hasbro (HAS)

(13) Leases

        Hasbro occupies certain offices and uses certain equipment under various operating lease arrangements. The rent expense under such arrangements, net of sublease income which is not material, for 2004, 2003 and 2002 amounted to $36,576, $48,015 and $59,601, respectively.

        Minimum rentals, net of minimum sublease income, which is not material, under long-term operating leases for the five years subsequent to 2004 and in the aggregate are as follows:

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        All leases expire prior to the end of 2018. Real estate taxes, insurance and maintenance expenses are generally obligations of the Company. It is expected that in the normal course of business, leases that expire will be renewed or replaced by leases on other properties; thus, it is anticipated that future minimum lease commitments will not be less than the amounts shown for 2004.

        In addition, Hasbro leases certain facilities which, as a result of restructurings, are no longer in use. Future costs relating to such facilities were accrued as a component of the original restructuring charge and are not included in the table above.