HR Block 2012 Annual Report Download - page 29

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If SCC were to become insolvent, we could be subject to claims by the unpaid creditors of SCC.
As discussed above, SCC is subject to representation and warranty claims and other claims and litigation
related to its past sales and securitizations of mortgage loans. It is likely that additional claims and proceedings
will be made in the future. If the amount that SCC is ultimately required to pay with respect to these claims and
litigation exceeds its assets, the creditors of SCC, or a bankruptcy trustee if SCC were to file or be forced into
bankruptcy, may attempt to assert claims against us for payment of SCC’s obligations. We believe our legal
position is strong on any potential corporate veil-piercing arguments; however, if this position is challenged and
not upheld, it could have a material adverse effect on our financial position, results of operations or cash flows.
In addition, in certain limited instances, H&R Block guaranteed amounts as outlined in the above risk factor.
ITEM 1B. UNRESOLVED STAFF COMMENTS
None.
ITEM 2. PROPERTIES
Most of our tax offices are operated under leases or similar agreements throughout the U.S. Our Canadian
executive offices are located in a leased office in Calgary, Alberta. Our Canadian tax offices are operated under
leases throughout Canada. Our Australian executive offices are located in a leased office in Thornleigh, New
South Wales. Our Australian tax offices are operated under leases throughout Australia.
HRB Bank is headquartered and its single branch location is located in our corporate headquarters. We own
our corporate headquarters, which is located in Kansas City, Missouri. All current leased and owned facilities
are in good repair and adequate to meet our needs.
ITEM 3. LEGAL PROCEEDINGS
For a description of our material pending legal proceedings, see discussion in Item 8, note 19 to the
consolidated financial statements.
ITEM 4. MINE SAFETY DISCLOSURES
Not applicable.
PART II
ITEM 5. MARKET FOR THE REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS
AND ISSUER PURCHASES OF EQUITY SECURITIES
H&R Block’s common stock is traded on the New York Stock Exchange (NYSE) under the symbol HRB. On
May 31, 2012, there were 22,030 shareholders of record and the closing stock price on the NYSE was $15.27 per
share.
The quarterly information regarding H&R Block’s common stock prices and dividends appears in Item 8, note
23 to the consolidated financial statements.
A summary of our securities authorized for issuance under equity compensation plans as of April 30, 2012 is
as follows:
(in 000s, except per share amounts)
Number of securities
to be issued upon
exercise of options
warrants and rights
Weighted-average
exercise price of
outstanding options
warrants and rights
Number of securities remaining
available for future issuance under
equity compensation plans (excluding
securities reflected in the first column)
Equity compensation plans approved
by security holders 6,950 $18.15 10,169
Equity compensation plans not approved
by security holders –– –
Total 6,950 $18.15 10,169
The remaining information called for by this item relating to “Securities Authorized for Issuance under Equity
Compensation Plans” is reported in Item 8, note 14 to the consolidated financial statements.
H&R BLOCK 2012 Form 10K
15