Citrix 2000 Annual Report Download - page 12

Download and view the complete annual report

Please find page 12 of the 2000 Citrix 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 84

  • 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

10
ITEM 2. PROPERTIES
The Company's corporate offices are located in Fort Lauderdale, Florida.
The corporate offices consist of leased and subleased office space in various
buildings totaling approximately 257,000 square feet. To consolidate certain of
the Company's corporate offices and to accommodate the Company's projected
growth, the Company entered into a lease agreement for approximately 140,000
square feet of space in Fort Lauderdale beginning in the second quarter of 2001.
Upon occupancy of this new facility, the Company plans to sublease certain of
the space in the various buildings for the remainder of their respective lease
terms. In addition, the Company leases approximately 68,000 square feet of
office space in other locations in the United States and Canada.
The Company leases and subleases a total of approximately 154,000 square
feet of office space in various other facilities in Europe, Latin America and
the Asia Pacific region. The Company has entered into an agreement to lease
approximately 43,000 square feet of office space in the United Kingdom beginning
in the second quarter of 2001. In addition, the Company has entered into an
agreement to purchase land and buildings in the United Kingdom with
approximately 41,000 square feet of office space for a total purchase
consideration of approximately $22 million.
ITEM 3. LEGAL PROCEEDINGS
In June 2000, the Company and certain of its officers and directors were
named as defendants in several securities class action lawsuits filed in the
United States District Court for the Southern District of Florida on behalf of
purchasers of the Company's Common Stock during the period October 20, 1999 to
June 9, 2000 ("class period"). These actions have been consolidated as In Re
Citrix Systems, Inc. Securities Litigation. These lawsuits generally allege
that, during the class period, the defendants made misstatements to the
investing public about the Company's financial condition and prospects. The
complaint seeks unspecified damages and other relief. Although the Company
believes that the plaintiffs' claims lack merit and intends to vigorously defend
the lawsuits, there can be no assurance that the outcome of this matter will not
have a material adverse effect on the financial condition of the Company.
In September 2000, a shareholder filed a claim in the Court of Chancery of
the State of Delaware against the Company and nine of its officers and directors
alleging breach of fiduciary duty by failing to disclose all material
information concerning the Company's financial condition at the time of the
proxy solicitation. The complaint seeks unspecified damages. By order of the
court in January 2001, the action was conditionally stayed. The Company believes
the plaintiff's claim lacks merit and should the action ultimately proceed in
Delaware court or elsewhere, the Company intends to vigorously defend the
lawsuit. In February 2001, the plaintiff filed a motion with the court for award
of attorney's fees and litigation costs in the amount of $2,000,000 and $60,000,
respectively. While the Company is unable to determine the ultimate outcome of
these matters, the Company believes the plaintiff's motion lacks merit and
intends to vigorously defend it.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None.
10