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9. COMMITMENTS AND CONTINGENCIES
 12 Months Ended
Dec. 31, 2014
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES

 

Leases  – We lease various operating facilities and certain medical equipment under operating leases with renewal options expiring through 2046. Certain leases contain renewal options from two to ten years and escalation based either on the consumer price index or fixed rent escalators. Leases with fixed rent escalators are recorded on a straight-line basis. We record deferred rent for tenant leasehold improvement allowances received from certain lessors and amortize the deferred rent expense over the term of the lease agreement. Minimum annual payments under operating leases for future years ending December 31 are as follows (in thousands):

 

  Facilities  Equipment  Total 
2015 $49,817  $10,163  $59,980 
2016  43,928   10,041   53,969 
2017  37,677   8,546   46,223 
2018  30,778   4,572   35,350 
2019  25,240   1,087   26,327 
Thereafter  81,968   8   81,976 
  $269,408  $34,417  $303,825 

 

Total rent expense, including equipment rentals, for the years ended December 31, 2014, 2013 and 2012 was $64.5 million, $65.0 million and $60.6 million, respectively.

 

Litigation  – We are engaged from time to time in the defense of lawsuits arising out of the ordinary course and conduct of our business. We believe that the outcome of our current litigation will not have a material adverse impact on our business, financial condition and results of operations. However, we could be subsequently named as a defendant in other lawsuits that could adversely affect us.