Annual report pursuant to Section 13 and 15(d)

COMMITMENTS AND CONTINGENT LIABILITIES

v3.19.3
COMMITMENTS AND CONTINGENT LIABILITIES
 12 Months Ended
Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENT LIABILITIES COMMITMENTS AND CONTINGENT LIABILITIES:

The Company operates various production, warehouse and office facilities and equipment under operating lease agreements.  Annual rentals under these and other operating leases were $38,015, $38,934 and $36,400 in fiscal 2019, 2018 and 2017, respectively.  Future minimum rental commitments under non-cancelable operating lease arrangements for fiscal years 2020 through 2024 are $28,557, $21,567, $14,755, $9,394 and $6,694, respectively.

The Company is party to various legal proceedings, the eventual outcome of which are not predictable.  Although the ultimate disposition of these proceedings is not presently determinable, management is of the opinion that they should not result in liabilities in an amount which would materially affect the Company's consolidated financial position, results of operations or cash flows.

The Company has employment agreements with certain employees, the terms of which expire at various dates between fiscal 2020 and 2023.  The agreements generally provide for base salary and bonus levels and include non-compete provisions.  The aggregate commitment for salaries under these agreements at September 30, 2019 was $2,349.

The Company is involved in a dispute with a customer related to a project in Saudi Arabia. It is possible the resolution of this matter could have an unfavorable financial impact on Matthews’ results of operations. See further discussion in Note 9.