Stamps.com 2011 Annual Report Download - page 39

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Liquidity and Capital Resources
As of December 31, 2011 and 2010, we had $69 million and $35 million in cash, restricted cash and short-term and long-
term investments,
respectively. We invest available funds in short-term and long-term money market funds, commercial paper, asset-
backed securities, corporate
notes and bonds and municipal securities and do not engage in hedging or speculative activities.
Our facility lease agreement as amended extends through May 2012. The total remaining aggregate lease payments as of December 31, 2011
under the amended lease agreement is approximately $419,000.
The following table is a schedule of our significant contractual obligations and commercial commitments, which consists only of the future
minimum lease payments under operating leases at December 31, 2011 (in thousands):
On January 23, 2012, we completed the previously announced purchase of two adjacent buildings in El Segundo, California for an aggregate
purchase price of $13.4 million that will serve as the Company’
s future headquarters. We are currently engaged in a renovation and construction
project on the property at a cost of approximately $10.0 million and expect to move in after substantial completion of the project in 2012. The
Company will occupy a portion of the space, with the remaining portion of the space leased to the existing tenants. The purchase of the property
and renovations are being funded out of the Company's existing cash and investments.
During 2011, we repurchased 426,000 shares of our common stock for $5.3 million. During 2012, subject to limitations that may be imposed by
applicable securities laws and regulations and the rules of The NASDAQ Stock Market, we may consider repurchasing stock by evaluating such
factors as the price of the stock, the daily trading volume and the availability of large blocks of stock and any additional constraints related to
material inside information we may possess. We have no commitments to make any such purchases.
Net cash provided by operating activities was $15.3 million and $4.8 million for 2011 and 2010, respectively. The increase in net cash provided
by operating activities was primarily attributable to increased net income.
Net cash provided by investing activities was $10.5 million in 2011. Net cash used in investing activities was $1.4 million in 2010. The increase
in net cash provided by investing activities was due to the maturation of certain corporate bonds.
Net cash provided by financing activities was $20.2 million in 2011. Net cash used in financing activities was $40.4 million in 2010. The
increase in net cash provided by financing activities is mainly due to an increase in proceeds in 2011 from the exercise of options under our stock
option plan, offset by cash used for our stock repurchase program.
We believe our available cash and marketable securities, together with the cash flow from operations, will be sufficient to fund our business for
at least the next twelve months.
Table of Contents
Operating
Lease
Obligations
Years ended:
2012
419
Thereafter
—
$
419
35