benefits. In November 1993, the Company amended this agreement to include a provision under which the officer has the right to termi- nate the agreement and receive payment equal to approximately three times annual compensation upon a change in control, as defined. The Company and the President of Miami Subs, pursuant to the merger agreement, entered into an employment agreement on September 30, 1999 for a period commencing on September 30, 1999 and ending on September 30, 2002. The agreement provides for annual compensation of $200 plus certain other benefits and automatically renews annually unless 180 days prior written notice is given to the employee. No nonrenewal notice has been given as of May 25, 2004. The agreement includes a provision under which the officer has the right to terminate the agreement and receive payment equal to approximately three times his annual compensation upon a change in control, as defined. In the event a nonrenewal notice is delivered, the Company must pay the officer an amount equal to the employee’s base salary as then in effect.  The Company and one executive of Miami Subs entered into a change of control agreement effective November 1, 2001 for annual compensation of $130 per year. The agreement additionally includes a provision under which the executive has the right to terminate the agreement and receive payment equal to approximately three times his annual compensation upon a change in control, as defined. The Company and another executive of Miami Subs entered into an employment agreement effective August 1, 2001 for a period commencing on the date of the agreement and ended on September 30, 2003 and for compensation at $90 per year. The agreement also provided for certain other benefits. The agreement additionally included a provision under which the executive had the right to ter- minate the agreement and receive payment equal to the employee’s annual compensation upon a change in control, as defined. Upon termination of the employment agreement, this employee remained an employee of the Company. Each employment agreement terminates upon death or volun- tary termination by the respective employee or may be terminated by the Company upon 30-days’ prior written notice by the Company in the event of disability or “cause,” as defined in each agreement. The Company has a defined contribution retirement plan under Section 401(k) of the Internal Revenue Code covering all nonunion employees over age 21 who have been employed by the Company for at least one year. Employees may contribute to the plan, on a tax- deferred basis, up to 15% of their total annual salary. Company con- tributions are discretionary. Beginning with the plan year ending  6. 401(k) Plan Aggregate rental expense, net of sublease income, under all  current leases amounted to $1,584, $2,340 and $2,734 for the fiscal years ended March 28, 2004, March 30, 2003 and March 31, 2002, respectively. The Company also owns or leases sites, which it in turn sub- leases to franchisees which expire on various dates through 2016 exclusive of renewal options. The Company remains liable for all lease costs when properties are subleased to franchisees.  The Company also subleases locations to third parties. Such subleases provide for minimum annual rental payments by the Company aggregating approximately $2,081 and expire on various dates through 2010 exclusive of renewal options. The Company’s operations are principally conducted in leased premises. The leases generally have initial terms ranging from 5 to 20 years and usually provide for renewal options ranging from 5 to 20 years. Most of the leases contain escalation clauses and common area maintenance charges (including taxes and insurance). Certain of the leases require additional (contingent) rental payments if sales volumes at the related restaurants exceed specified limits. As of March 28, 2004, the Company has noncancelable operating lease commitments, net of certain sublease rental income, as follows: Lease Sublease Net Lease Commitments Income Commitments 2005 $ 3,871 $ 2,075 $1,796 2006 3,682 1,990 1,692 2007 3,485 1,895 1,590 2008 2,855 1,593 1,262 2009 1,904 1,089 815 Thereafter 3,643 2,512 1,131 $19,440 $11,154 $8,286 February 28, 1994, the Company elected to match contributions at a rate of $.25 per dollar contributed by the employee on up to a max- imum of 3% of the employee’s total annual salary. Employer contri- butions for the fiscal years ended March 28, 2004, March 30, 2003 and March 31, 2002 were $21, $25 and $36, respectively. The Company provides, on a contributory basis, medical bene- fits to active employees. The Company does not provide medical benefits to retirees. 7. Other Benefits Note L—Commitments and Contingencies 1. Commitments 2004 Annual Report  Nathan’s Famous, Inc. & Subsidiaries page thirty-three