The Aeropostale, Inc. 10-K report contains the following footnote relating to leasing activities. This is the only information it discloses relating to its leasing activity.

We are committed under noncancelable leases for our entire store, distribution centers and ofce space locations . . . Certain leases also require contingent rent based on sales. The aggregate minimum annual real estate rent commitments as of February 2, 2013, are as follows

(in thousands):

Due in Fiscal Year (in thousands)	Total
2013	$143,978
2014	133,456
2015	120,403
2016	105,480
2017	94,011
Thereafter	351,452
Total	948,780

Question:

1. Using a 6% discount rate and rounding the remaining lease life to the nearest whole year, estimate the assets and liabilities that Aeropostale fails to report as a result of its off-balance-sheet lease nancing.

2. What adjustments would we consider to Aeropostales income statement corresponding to the adjustments we would make to its balance sheet in the previous question?