Note 2. Other Assets Other assets at December 31, 2002 included $31,250 paid into escrow in anticipation of purchasing an office and warehouse facility near the San Francisco, California Interna- tional Airport. This transaction closed on January 7, 2003. During the fourth quarter of 2002, the Company evaluated the recoverability of certain other assets and determined that an impairment had occurred. Accordingly, a $3,502 loss was recorded as an operating expense. Note 3. Credit Arrangements The Company has a $50,000 United States bank line of credit extending through July 1, 2003. Borrowings under the line bear interest at LIBOR + .75% (2.25% at December 31, 2002) and are unsecured. As of December 31, 2002, the Company had no borrowings under this line. The majority of the Company’s foreign subsidiaries maintain bank lines of credit for short-term working capital purposes. These credit lines are supported by standby letters of credit issued by a United States bank, or guarantees issued by the Company to the foreign banks issuing the credit line. Lines of credit totaling $10,284 and $9,396 at December 31, 2002 and 2001, respectively, bear interest at rates up to 3% over the foreign banks’ equivalent prime rates. At December 31, 2002 and 2001, the Company was liable for $1,319 and $1,706, respectively, of borrowings under these lines, and at December 31, 2002 was contingently liable for approximately $39,138 under outstand- ing standby letters of credit and guarantees related to these lines of credit and other obligations. In addition, at December 31, 2002 the Company had an $8,052 credit facility with a United Kingdom bank (U.K. facility), secured by a corporate guarantee. The Company was contingently liable under the U.K. facility at December 31, 2002 for $8,052 used to secure customs bonds issued to foreign governments. At December 31, 2002, the Company was in compliance with all restrictive covenants of these credit lines and the associated credit facilities, including maintenance of certain minimum asset, working capital and equity balances and ratios. 53 expd 02 Note 2, 3