Note 11. Commitments and Contingencies and Other Commitments and Contingencies The Company accrues for contingent obligations when the obligation is probable and the amount is reasonably estimable. As facts concerning contingencies become known, the Company reassesses its position and makes appropriate adjustments to the financial statements. Estimates that require judgment and are particularly sensitive to future changes include those related to taxes, legal matters, the imposition of international governmental monetary, fiscal or other controls, changes in the interpretation and enforcement of international laws (in particular related to items such as duty and taxation), and the impact of local economic conditions and practices, which are all subject to change as events evolve and as additional information becomes available. Legal Proceedings As part of the Company s normal course of business, the Company is involved in certain claims, regulatory and tax matters. In the opinion of the Company s management, the final disposition of such matters will not have a material adverse impact on the Company s results of operations and financial condition. Leases The Company leases office, warehouse facilities and warehouse equipment under non-cancelable operating leases that expire on various dates through 2021, including SBA s office and warehouse space in Miami, Florida. SBA s agreement for the lease of the Miami office, warehouse facilities and warehouse equipment is for 172,926 square feet at monthly base rent expense of $120 with an annual 2.2% escalation clause. The lease has a termination date of August 31, 2021.