NOTES TO CONSOL I D ATED FINANCIAL STATEMENTS December 31, 2011, 2010 and 2009 (currencies in millions) In April 2011, PACCAR Financial Mexico registered a 10,000.0 peso medium-term note and commercial paper  program with the Comision Nacional Bancaria y de Valores. The registration expires in 2016 and limits the amount  of commercial paper (up to one year) to 5,000.0 pesos. At December 31, 2011, 8,820.0 pesos remained available for  issuance. In August 2011, PACCAR Mexico’s 7,000.0 peso medium-term note program with the Comision Nacional  Bancaria y de Valores, registered in June 2008, expired. The Company has line of credit arrangements of $3,550.0, of which $3,313.7 was unused at the end of  December 2011. Included in these arrangements is $3,000.0 of syndicated bank facilities. Of the $3,000.0 bank  facilities, $1,000.0 matures in June 2012, $1,000.0 matures in June 2013 and $1,000.0 matures in June 2016. The  Company intends to replace these credit facilities as they expire with facilities of similar amounts and duration.  These credit facilities are maintained primarily to provide backup liquidity for commercial paper borrowings and  maturing medium-term notes. There were no borrowings under the syndicated bank facilities for the year ended  December 31, 2011. The Company leases certain facilities and computer equipment under operating leases. Leases expire at various  dates through the year 2019. At January 1, 2012, annual minimum rent payments under non-cancelable operating  leases having initial or remaining terms in excess of one year are $23.5, $14.7, $8.8, $6.0, $3.6 and $1.6 thereafter.  For the years ended December 31, 2011, 2010 and 2009, total rental expenses under all leases amounted to $29.0,  $29.7 and $40.6, respectively. The Company is involved in various stages of investigations and cleanup actions in different countries related to  environmental matters. In certain of these matters, the Company has been designated as a “potentially responsible party”  by domestic and foreign environmental agencies. The Company has an accrual to provide for the estimated costs to  investigate and complete cleanup actions where it is probable that the Company will incur such costs in the future.  Expenditures related to environmental activities in the years ended December 31, 2011, 2010 and 2009 were $1.2, $1.3  and $1.3, respectively.  While the timing and amount of the ultimate costs associated with future environmental cleanup cannot be determined,  management expects that these matters will not have a significant effect on the Company’s consolidated financial  position. At December 31, 2011, PACCAR had standby letters of credit of $17.5, which guarantee various insurance and financing  activities. At December 31, 2011, PACCAR’s financial services companies, in the normal course of business, had  outstanding commitments to fund new loan and lease transactions amounting to $378.1. The commitments generally  expire in 90 days. The Company had other commitments, primarily to purchase production inventory and related  equipment, amounting to $154.0 in 2012 and $373.3 thereafter. PACCAR is a defendant in various legal proceedings and, in addition, there are various other contingent liabilities arising  in the normal course of business. After consultation with legal counsel, management does not anticipate that disposition  of these proceedings and contingent liabilities will have a material effect on the consolidated financial statements. Defined Benefit Pension Plans:  PACCAR has several defined benefit pension plans, which cover a majority of its  employees. The Company evaluates its actuarial assumptions on an annual basis and considers changes based upon  market conditions and other factors. Severance Costs:  The Company did not incur significant severance expense in 2011 or 2010. During the year ended  December 31, 2009, the Company incurred severance costs of $25.9. L. EMPLOYEE BENEFITS K. COMMITMENTS AND CONTINGENCIES J. LEASES 