Leases

We lease office and field equipment, vehicles and buildings under various operating leases. In fiscal 2017, 2016 and 2015, we recognized $71.3 million, $75.0 million and $66.4 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)
2018	$	77,854	$	158
2019	62,634		211
2020	45,906		—
2021	28,740		—
2022	17,261		—
Beyond	21,770		—
Total	$	254,165	$	369
Less: Amounts representing interest			2
Net present value			$	367

We vacated certain facilities under long-term non-cancelable leases and recorded contract termination costs of $2.9 million in fiscal 2016. 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 2025.

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 27, 2015	$	531		$	2,461		$	177		$	3,169
Cost transfer between groups	637			(637)			—			—
Cost incurred and charged to expense	1,418			749			—			2,167
Adjustments ⁽¹⁾	(1,034		)	(1,060)			(138		)	(2,232		)
Balance at October 2, 2016	1,552			1,513			39			$	3,104
Adjustments ⁽¹⁾	(1,009		)	(365		)	(36		)	(1,410		)
Balance at October 1, 2017	$	543		$	1,148		$	3		$	1,694


⁽¹⁾	Adjustments of the actual timing and potential termination costs or realization of sublease income.