CompUSA 2009 Annual Report Download - page 74

Download and view the complete annual report

Please find page 74 of the 2009 CompUSA 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 116

  • 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
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116

14
Item 2. Properties.
We operate our business from numerous facilities in North America and Europe. These facilities include our headquarters location,
administrative offices, telephone call centers, distribution centers, computer assembly and retail stores. Certain facilities handle
multiple functions. Most of our facilities are leased; certain are owned by the Company.
North America
As of December 31, 2009 we have 6 distribution centers in North America which aggregate approximately 1.2 million square feet, all
of which are leased. Our headquarters, administrative offices and call centers aggregate approximately 250,000 square feet, all of
which are leased. Our computer assembly facility is 297,000 square feet and is owned by the Company.
The following table summarizes the geographic location of our North America stores at the end of 2009:
Location Stores Open – 12/31/08 Store Openings Stores Open – 12/31/09
Delaware — 1 1
Florida 15 3 18
Illinois 3 — 3
North Carolina 2 — 2
Puerto Rico 1 — 1
Texas 3 1 4
Ontario, Canada 5 — 5
29 5 34
All of our retail stores are leased. The retail stores average 21,700 square feet.
Europe
As of December 31, 2009 we have 7 distribution centers in Europe which aggregate approximately 300,000 square feet. Six of these,
aggregating approximately 224,000 square feet, are leased; one distribution center of approximately 76,000 square feet is owned by
the Company. Our administrative offices and call centers aggregate approximately 254,000 square feet, of which 176,000 square feet
are leased and 78,000 square feet are owned by the Company.
Please refer to Note 10 to the Consolidated Financial Statements for additional information about leased properties.
Item 3. Legal Proceedings.
State of Florida, Office of the Attorney General
On September 4, 2009, the Office of the Attorney General, Department of Legal Affairs for the State of Florida filed a lawsuit against
OnRebate.com Inc, TigerDirect Inc. and Systemax Inc. in the Circuit Court of the Eleventh Judicial Court for Miami-Dade County,
Florida alleging deceptive and unfair trade practices under Florida law relating to the offering and processing of customer rebates.
The lawsuit seeks injunctive relief, damages, civil penalties and other equitable relief. The Company denies the allegations in the
lawsuit and intends to vigorously defend the case.
Other Matters
Systemax is a party to various pending legal proceedings and disputes arising in the normal course of business, including those
involving commercial, employment, tax and intellectual property related claims, none of which, in management’ s opinion, is
anticipated to have a material adverse effect on our consolidated financial statements.
Item 4. Submission of Matters to a Vote of Security Holders.
None.