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Commitments and Contingencies
 12 Months Ended
Jun. 30, 2012
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
Commitments and Contingencies
Leases
The Company leases office and warehouse space under non-cancelable operating leases that expire through November 2020. Lease expense and future minimum lease payments under operating leases are as follows:
 
Fiscal Year Ended June 30,
 
2012
 
2011
 
2010
 
(in thousands)
Lease expense
$
5,025

 
$
4,989

 
$
4,430


 
Payments
 
(in thousands)
Fiscal Year Ended June 30,
 
2013
$
4,671

2014
3,999

2015
3,295

2016
3,125

2017
2,605

Thereafter
2,018

Total future minimum lease payments
$
19,713


On April 27, 2007, the Company entered into an agreement to lease approximately 600,000 square feet for distribution, warehousing and storage purposes in a building located in Southaven, Mississippi. The lease also provides for a right of first refusal on an additional 147,000 square feet of expansion space. The term of the lease is 120 months with 2 consecutive 5-year extension options.
Commitments and Contingencies
A majority of the Company’s net revenues in 2012, 2011 and 2010 were received from the sale of products purchased from the Company’s ten largest vendors. The Company has entered into written distribution agreements with substantially all of its major vendors. While the Company’s agreements with most of its vendors contain standard provisions for periodic renewals, these agreements generally permit termination by either party without cause upon 30 to 120 days notice.
The Company or its subsidiaries are, from time to time, parties to lawsuits arising out of operations. Although there can be no assurance, based upon information known to the Company, the Company believes that any liability resulting from an adverse determination of such lawsuits would not have a material adverse effect on the Company’s financial condition or results of operations.
The Company is in the process of designing and developing a new ERP system. The Company has spent approximately $33.5 million on the project from inception through June 30, 2012. Of the total amount spent, $26.8 million has been in the form of capital expenditures. The Company received a project assessment from a third party service provider, which indicates that the project will take longer to implement and exceed previously disclosed cost estimates, which at the high end was $38.5 million. The Company has revised its projections for the project and believes the total spend could range from $58 million to $72 million and will extend past fiscal year 2013. Capital expenditures for fiscal 2013 could range from $9 million to $15 million for a total capital expenditure of up to $42 million.