Vistaprint 2012 Annual Report Download - page 35

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The risk of being subject to increased taxation as a CFC may deter our current shareholders from acquiring
additional ordinary shares or new shareholders from establishing a position in our ordinary shares. Either of these
scenarios could impact the demand for, and value of, our ordinary shares.
Our tax rate may increase during periods when our profitability declines. Additionally, we will pay taxes
even if we are not profitable on a consolidated basis, which would harm our results of operations.
The intercompany service and related agreements among Vistaprint N.V. and our direct and indirect
subsidiaries ensure that most of the subsidiaries realize profits based on their operating expenses. As a result, if the
Vistaprint group is less profitable, or even not profitable on a consolidated basis, the majority of our subsidiaries will
be profitable and incur income taxes in their respective jurisdictions. In periods of declining operating profitability or
losses on a consolidated basis this structure will increase our effective tax rate or our consolidated losses and
further harm our results of operations.
Item 1B. Unresolved Staff Comments
None.
Item 2. Properties
We own real property associated with the three manufacturing facilities we have constructed for the
production of our products. Our 512,000 square foot facility located near Windsor, Ontario, Canada primarily
services our North American market, our 195,800 square foot facility located in Venlo, the Netherlands primarily
services our European market, and our 124,000 square foot facility located in Deer Park, Australia primarily services
our Asia-Pacific markets. We are in the process of expanding our Venlo facility by 183,000 square feet to align with
our long-term manufacturing growth strategy and are establishing a leased manufacturing facility in India in
anticipation of a website launch in calendar 2012. Our web servers are located in a data center space at a Cable &
Wireless co-location and hosting facility in Devonshire, Bermuda. We own a 12 acre site in Montego Bay, Jamaica
on which we are currently constructing a new 92,000 square foot building for a customer service, sales and design
support center that will replace the leased spaces in Jamaica with occupancy expected to be available in the fall of
2012.
We lease a 202,000 square foot facility in Lexington, MA which contains technology development,
marketing and administrative employees and is included in the North America business segment below. As of June
30, 2012, a summary of our leased spaces is as follows:
Business Segment Square Feet Type Lease Expirations
North America 244,492 Technology development, marketing, customer service
and administrative November 2012 - April 2017
Europe 159,182 Corporate strategy, technology development, marketing
customer service, manufacturing and administrative December 2012 - August 2017
Asia Pacific 56,417 Marketing, customer service, manufacturing and
administrative March 2014 - September 2017
Other (1) 28,370 Corporate strategy, technology development and
prototyping laboratory June 2014 - January 2018
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(1) Includes locations that are exclusively corporate or global functions.
We believe that the total space available to us in the facilities we own and under our current leases and co-
location arrangements or obtainable by us on commercially reasonable terms, will meet our needs for the
foreseeable future.
Form 10-K