Quarterly report pursuant to Section 13 or 15(d)

Leases and Transponder Service Agreements

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Leases and Transponder Service Agreements
 3 Months Ended
Mar. 31, 2014
Leases and Transponder Service Agreements [Abstract]  
Leases of Lessee Disclosure
Leases and Transponder Service Arrangements
Future minimum payments under noncancelable operating leases and capital transponder leases with initial terms of one year or more at March 31, 2014 consisted of the following:
(in millions)
Capital transponders

Operating leases

Remainder of 2014
$
11

14

2015
11

14

2016
11

12

2017
11

10

2018
12

9

Thereafter
29

104

Total
$
85

163


The Company has entered into ten separate agreements with transponder suppliers to transmit its signals in the U.S., Germany and the U.K. at an aggregate monthly cost of $1 million. Depreciation expense related to the transponders was $3 million and $4 million for the three months ended March 31, 2014 and 2013, respectively. Total future minimum capital lease payments of $85 million include $9 million of imputed interest. The transponder service agreements for our U.S. transponders expire in 2019 through 2020. The transponder service agreements for our international transponders expire in December 2014 through 2022.
Expenses for operating leases, principally for data processing equipment and facilities and for satellite uplink service agreements, amounted to $7 million and $8 million for the three months ended March 31, 2014 and 2013, respectively.