MoneyGram 2007 Annual Report Download - page 25

Table of Contents
Form S-3 to register securities for sale by us or for resale by other security holders, in capital raising transactions, until we have timely
filed all periodic reports under the Securities Exchange Act of 1934 for at least 12 calendar months. In the meantime, for capital raising
transactions, we would need to use Form S-1 to register securities with the SEC, or issue such securities in a private placement, which
could increase the time and resources required to raise capital during this period.
Item 1B. UNRESOLVED SEC COMMENTS
None.
Item 2. PROPERTIES
Location Use Segment(s) Using Space
Square Feet Lease Expiration
Minneapolis, MN Corporate Headquarters Both 173,662 12/31/2015
Brooklyn Center, MN Global Operations Center Both 75,000 1/31/2012
Brooklyn Center, MN Global Operations Center Payment Systems 44,000 1/31/2012
Lakewood, CO Call Center Global Funds Transfer 113,849 3/31/2012
Information concerning our material properties, all of which are leased, including location, use, approximate area in square feet and lease
terms, is set forth above. We also have a number of other smaller office locations in California, Florida, New York, Tennessee and in
France, Germany, Italy and the United Kingdom, as well as small sales and marketing offices in Australia, China, Greece, Hong Kong,
India, Netherlands, Nigeria, Russia, South Africa, Spain, Ukraine and United Arab Emirates. We believe that our properties are sufficient
to meet our current and projected needs.
Item 3. LEGAL PROCEEDINGS
We are party to a variety of legal proceedings that arise in the normal course of our business. We accrue for legal proceedings as losses
become probable and can be reasonably estimated. While the results of these legal proceedings cannot be predicted with certainty,
management believes that the final outcome of these proceedings will not have a material adverse effect on our consolidated results of
operations or financial position.
The Company and its officers and directors are parties to two stockholder lawsuits making various claims, including breach of fiduciary
duty and unfair business practices relating to its disclosure of investments, the events leading to the Capital Transaction and the
completion of the Capital Transaction without stockholder approval. In these actions, plaintiffs may request punitive or other damages
that may not be covered by insurance.
SEC Inquiry — By letter dated February 4, 2008, we received a notice from the SEC that it is conducting an informal, non-public inquiry
relating to the Company's financial statements, reporting and disclosures related to the Company's investment portfolio and offers and
negotiations to sell the Company or its assets. The SEC's notice states that it has not determined that any violations of the securities laws
have occurred. On February 11, 2008, we received an additional letter from the SEC requesting certain information. We are cooperating
with the SEC on a voluntary basis.
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
Not applicable.
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