EVA example 1 Chapter 16

Hi

1.
sorry, I feel a bit silly asking this question. I thought I did know how to adjust EVA re leases but I could not understand why we add $16 to CE but do not add them back to profits.
The information given on leases:
Value Co had non-capitalised leases valued at $16m in each of the years 2005 to 2007. The leases are not subject to amortisation.
What was already reflected in accounts? My understanding is leases were not on BS but were written off as expense. Then I should add it back to CE at the end of each year and add back to profit of the relevant year.
What does ‘not subject to amortisation’ mean? that they were not written off as expense in the relevant year? or $16m should not be written off?
why we do not add back $16m back to the profits?

Could you please explain this treatment of leases step by step?

2. Non cash expenses are $20m in 2006 &2007. why don’t we add $20m to CE at the beginning of 2007?

Thank you