INTL FCStone 2005 Annual Report Download - page 81

Download and view the complete annual report

Please find page 81 of the 2005 INTL FCStone annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 85

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85

INTERNATIONAL ASSETS HOLDING CORPORATION AND SUBSIDIARIES
Notes to the Consolidated Financial Statements—(Continued)
September 30, 2005 and 2004
(27) Subsequent Events
On November 24, 2005 INTL Global Currencies entered into a new office lease for approximately 3,900
square feet for its London operations and administration. The occupation of the premises is expected to occur
during January 2006 and expire December 20, 2012. The lease includes 18 months free rent. Future minimum
lease payments for the fiscal years are as follows: $60,500 for 2006, $128,000 for 2007, $238,600 per year for
2008 through 2012 and $59,600 thereafter. INTL Global Currencies will receive a refurbishment allowance of
approximately $95,000 and the Company expects to spend an additional $80,000 for leasehold improvements.
The lease also requires a deposit of approximately $83,000 that was paid in November 2005.
On December 1, 2005, the Company changed its securities clearing organization to the Broadcort division of
Merrill Lynch, Pierce, Fenner & Smith, Inc. The Company executed a clearing agreement that includes a
$100,000 deposit and an initial term of two years. Thereafter there will be automatic one year renewal terms,
unless the Company or Broadcort gives 90 days’ notice of its intention not to renew either at the end of the initial
term or any succeeding one year renewal period. In the event the Company does not use this 90 day notice
provision and terminates the agreement effective before the conclusion of the initial two year term or any
automatic extension period, the Company will immediately owe the greater of 1) the sum of all continuing
minimum payments ($25,000 per month) through the end of the initial term or extension period or 2) the total
value of the clearing deposit at the time of termination.
F-41