Staples, Inc., reports the following footnote relating to its capital and operating leases in its \(200710-\mathrm{K} \quad\) Staples, Inc. (SPLS) report ( \(\$\) thousands).

Future minimum lease commitments due for retail and support facilities (including lease commitments for 127 retail stores not yet opened at February 2, 2008) and equipment leases under non-cancelable operating leases are as follows (in thousands):

a. What dollar adjustment(s) might we consider to Staples' balance sheet and income statement given this information and assuming that Staples intermediate-term borrowing rate is \(8 \%\) ? Explain.

b. Would the adjustment from part a make a substantial difference to Staples ' total liabilities? (Staples reported total assets of \(\$ 9\) billion and total liabilities of \(\$ 3.3\) billion for 2008.)

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Year Total 2008.... $ 756,963 2009.... 746,244 2010.. 700,751 2011.. 647,771 2012... 586.167 Thereafter. 2,787,403 $6,225,299