Cabela's 2005 Annual Report Download - page 66

Impact of Inflation
We do not believe that our operating results have been materially affected by inflation during the preceding
three fiscal years. We cannot assure, however, that our operating results will not be adversely affected by
inflation in the future.
Contractual Obligations and Commercial Commitments
The following tables provide summary information concerning our future contractual obligations and
commercial commitments, respectively, as of fiscal year end 2005.
Contractual Obligations
2006 2007 2008 2009 2010
There-
after Total
(Dollars in thousands)
Long-term debt .............. $ 28,886 $ 26,643 $26,583 $26,445 $ 544 $ 2,230 $ 111,331
Interest payments(1) ........... 5,654 4,188 2,833 1,471 150 326 14,622
Capital lease obligation(2) ...... 750 1,000 1,000 1,000 1,000 24,417 29,167
Operating leases(3) ............ 3,110 2,880 3,316 3,304 3,304 33,247 49,161
Time deposits by maturity ...... 62,683 13,805 8,700 5,900 17,900 500 109,488
Obligations under new store &
expansion arrangements(4) .... 138,913 125,650 2,796 961 1,430 2,765 272,515
Purchase obligations(5) ........ 387,931 23,929 19,044 306 310 — 431,520
Deferred compensation ........ 1,795 108 36 — — 5,236 7,175
Total .................. $629,722 $198,203 $64,308 $39,387 $24,638 $68,721 $1,024,979
(1) These amounts do not include estimated interest payments due under our revolving credit facility described
below in “—Other Commercial Commitments” because the amount that will be borrowed under this facility
in future years is uncertain at this time.
(2) The capital lease obligation is for the lease of our Wheeling, West Virginia distribution center. This lease
was amended during 2005 to provide for an increase in rent effective July 2006.
(3) Includes amounts due under operating leases for two of our destination retail stores scheduled to open in
fiscal 2006 and one of our destination retail stores scheduled to open in fiscal 2007.
(4) Obligations under new store and expansion arrangements include approximately $237.4 million of
contractual obligations, including the purchase of bonds, associated with eight of our destination retail stores
and $23.1 million of economic development bond funding in connection with our Wheeling, West Virginia
distribution center.
(5) Our purchase obligations relate primarily to purchases of inventory, shipping and other goods and services
in the ordinary course of business under binding purchase orders. The amount of purchase obligations
shown is based on assumptions regarding the legal enforceability against us of purchase orders we had
outstanding as of fiscal year end 2005. Under different assumptions regarding our rights to cancel our
purchase orders or different assumptions regarding the enforceability of the purchase orders under
applicable laws, the amount of purchase obligations shown in the table above would be less.
The foregoing table does not include any amounts for contractual obligations associated with our La Vista,
Nebraska and Hazelwood, Missouri destination retail stores, which are in the process of negotiations. If all conditions
are satisfied, we expect to incur contractual obligations in the range of $30 million to $50 million for each of these
destination retail stores expected to open in 2006. In addition, the foregoing table does not include any amounts for
contractual obligations associated with our Gonzales, Louisiana, Reno, Nevada, East Hartford, Connecticut, or
Hoffman Estates, Illinois destination retail stores. We expect to incur contractual obligations in the range of $30
million to $50 million for each of these destination retail stores expected to open in 2007. Subsequent to the end of
fiscal 2005, we also announced plans to construct a destination retail store in Montreal, Quebec, Canada.
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