26. Off-balance sheet arrangements

26. Off-balance sheet arrangements

Contractual obligations and commitments

We entered into lease agreements for our offices and laboratories which qualify as operating leases. We also have certain purchase commitments with CRO subcontractors and with collaboration partners principally.

On 31 December 2017, we had outstanding obligations for future minimum rent payments and purchase commitments, which become due as follows:

(thousands of €)

Total

Less than 1 year

1–3 years

3–5 years

More than 5 years

Operating lease obligations

26,346

4,150

7,820

6,010

8,366

Purchase commitments

65,246

53,010

11,233

1,002

Total contractual obligations & commitments

91,592

57,160

19,053

7,012

8,366

On 31 December 2016, we had outstanding obligations for future minimum rent payments and purchase commitments, which become due as follows:

(thousands of €)

Total

Less than 1 year

1–3 years

3–5 years

More than 5 years

Operating lease obligations

27,263

4,114

6,494

5,504

11,151

Purchase commitments

27,579

27,084

495

Total contractual obligations & commitments

54,842

31,198

6,989

5,504

11,151

In addition to the tables above, we have a contractual cost sharing obligation related to our collaboration agreement with Gilead for filgotinib. This is disclosed in the Corporate Governance chapter of this report, under “Agreements with major Galapagos NV shareholders”. The contractual cost sharing commitment amounted to €129.0 million at 31 December 2017 (€199.0 million at 31 December 2016), for which we have direct purchase commitments of €10.1 million at 31 December 2017 (€2.0 million at 31 December 2016) reflected in the tables above.