LifeLock 2013 Annual Report Download

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Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ¨ No x
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ¨ No x
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No ¨
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted
pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such
files). Yes x No ¨
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter) is not contained herein, and will not be contained, to the best
of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated
filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):
Large accelerated filer x Accelerated filer ¨
Non-accelerated filer ¨ (Do not check if a smaller reporting company) Smaller reporting company ¨
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No x
As of June 30, 2013, the last business day of the registrant’s most recently completed second fiscal quarter, the aggregate market value of the registrant’s voting common stock held by
non-affiliates of the registrant was approximately $851.5 million based on the closing price of such stock as reported on The New York Stock Exchange on such date.
As of February 14, 2014, there were outstanding 91,825,308 shares of the registrant’s common stock, $0.001 par value.
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Portions of the registrant’s definitive Proxy Statement for its 2014 Annual Meeting of Stockholders are incorporated by reference in Part III of this Annual Report on Form 10-K where
indicated. Such Proxy Statement will be filed with the Securities and Exchange Commission within 120 days of the registrant’s fiscal year ended December 31, 2013.

Table of contents

  • Page 1
    ... the fiscal year ended December 31, 2013 OR TRTNSITION REPORT PURSUTNT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHTNGE TCT OF 1934 For the transition period from to Commission file number: 001-35671 LifeLock, Inc. (Exact name of registrant as specified in its charter) Delaware (State or other...

  • Page 2
    ... Data Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure Item 9A. Controls and Procedures Item 9B. Other Information PTRT III Item 10. Directors, Executive Officers and Corporate Governance Item 11. Executive Compensation Item 12. Security Ownership...

  • Page 3
    ... and market position, market opportunity, and market size, is based on information from various sources, on assumptions that we have made that are based on those data and other similar sources, and on our knowledge of the markets for our services. These data involve a number of assumptions...

  • Page 4
    ... and fraud and risk solutions for enterprises. We protect our members by constantly monitoring identity-related events, such as new account openings and credit-related applications. If we detect that a member's personally identifiable information is being used, we offer notifications and alerts...

  • Page 5
    ... fraud. As a result, credit monitoring and credit reports do not assess a complete spectrum of fraud risk. Limited visibility . Traditional solutions lack the visibility into transaction data across multiple industries and a direct linkage to consumers in real time. While enterprises closely track...

  • Page 6
    ...data element that we acquire. In our consumer business, we protect our members by proactively monitoring identity-related events, such as new account openings and credit-related applications, that may present a risk of identity theft. If we detect that a member's personally identifiable information...

  • Page 7
    ... subscriptions by new members and adoption by enterprise customers. • • • Most comprehensive service offerings . The LifeLock ecosystem has enabled us to develop what we believe to be the most proactive and comprehensive identity theft protection services for consumers and fraud and risk...

  • Page 8
    ...adding new services. • • The LifeLock Ecosystem The core of our solution is the LifeLock ecosystem, which enables us to offer a proactive and comprehensive approach to identity theft protection and fraud and risk solutions. In addition to our extensive network of members, enterprise customers...

  • Page 9
    ... offer to our members. Feature Notification of credit and non-credit threats Monitoring of known criminal websites for illegal LifeLock LifeLock Command Center LifeLock Ultimate trading of personal information Scans of national databases for new address information Stolen or lost wallet...

  • Page 10
    ... enterprise customers to reduce fraud and credit losses, improve collection performance, increase revenue, reduce decision making time, protect customers, and minimize customer friction. Sales and Marketing Consumer Services We pursue a multi-channel member acquisition and brand marketing program...

  • Page 11
    ... own cost, create independent websites and marketing materials to drive prospective members to our consumer service offerings. Data breach. In this channel, enterprises that have experienced a data breach pay us to provide our services free of charge to the victims of the data breach. Enterprise...

  • Page 12
    ... to provide proactive protection against identity theft and identity fraud. The FTC investigation of our advertising and marketing activities occurred during the time that we relied significantly on the receipt of fraud alerts from the credit reporting agencies for our members. The FTC believed that...

  • Page 13
    ... to our previous reliance on credit report fraud alerts as reflected in our advertising and marketing claims. The FTC Order also imposes on us and Mr. Davis certain injunctive provisions relating to our data security for members' personally identifiable information. At the same time, we also entered...

  • Page 14
    .... Our principal executive offices are located at 60 East Rio Salado Parkway, Suite 400, Tempe, Arizona 85281, and our telephone number is (480) 682-5100. Our website address is www.lifelock.com. The information on our website is not incorporated by reference into this Annual Report on Form 10-K or...

  • Page 15
    ... recent, highly publicized data security breaches at other companies have heightened consumer awareness of this issue and may embolden individuals or groups to target our systems or those of our strategic partners or enterprise customers. Security technologies and information, including encryption...

  • Page 16
    ... the development, promotion, and sale of services, to deliver competitive services at lower prices or for free, and to introduce new solutions and respond to market developments and customer requirements more quickly than we can. In addition, some of our competitors may have data that we do not have...

  • Page 17
    ... services for users of these alternative devices, and versions of our services developed for these devices may not be attractive to customers. In Dec ember 2013, in connection with our acquisition of Lemon, we launched LifeLock Wallet, our mobile wallet application. The success of our mobile wallet...

  • Page 18
    ... customers. In our consumer business from which we derive a significant majority of our revenue, we sell our services to our members on a monthly or annual subscription basis. Our members may cancel their membership with us at any time without penalty. In our enterprise business, our customers...

  • Page 19
    ... outages and may not be able to deliver certain service offerings and develop new service offerings and enhancements that we need to remain competitive. Such improvements and upgrades often are complex, costly, and time consuming. In addition, such improvements can be challenging to integrate with...

  • Page 20
    ... on or near earthquake fault lines. Our primary data center for our enterprise business is located in Nevada. In our consumer business, we have data centers in Northern California and Arizona. Any of our or our strategic partners' or service providers' facilities may be harmed or rendered inopera...

  • Page 21
    ... on December 31, 2013. In addition, our acquisitions of ID Analytics in March 2012 and Lemon in December 2013 increased our revenue, facilities, and number of employees, and we will likely hire additional employees in the future. We must successfully manage our growth to achieve our objectives...

  • Page 22
    ... of acquired businesses, including our acquisitions of ID Analytics and Lemon, involves numerous risks, including the following: integrating the different businesses, operations, locations, and technologies; communicating to customers our perceived benefits of the acquisition and addressing any...

  • Page 23
    ..., among other things, advertising, automatic subscription renewal, broadband residential Internet access, consumer protection, content, copyrights, credit card processing procedures, data protection, distribution, electronic contracts, member privacy, pricing, sales and other procedures, tariffs...

  • Page 24
    ... FTC for documents and information regarding our policies, procedures, and practices for our services and business activities. Given the heightened public awareness of data breaches and well as attention to identity theft protection services like ours, it is also possible that the FTC, at any time...

  • Page 25
    ... with our existing data management practices or the features of our services. If this is the case, in addition to the possibility of fines, lawsuits, and other claims, we could be required to fundamentally change our business activities and practices or modify our service offerings, which could have...

  • Page 26
    ... to our previous reliance on credit report fraud alerts as reflected in our advertising and marketing claims. The FTC Order also imposes on us and Mr. Davis certain injunctive provisions relating to our data security for members' personally identifiable information. At the same time, we also entered...

  • Page 27
    ... in our stock price that are beyond our control and may at any time be insufficient to counteract offers from other companies. Our success also depends on our ability to attract, retain, and motivate additional skilled management personnel. We plan to continue to expand our work force to continue...

  • Page 28
    ... increased costs or delays or reductions in our service offerings, which in turn may harm our financial condition, damage our brand, and result in the loss of customers. We are building our intellectual property portfolio internally and through acquisitions, such as our acquisitions of ID Analytics...

  • Page 29
    ... proprietary software to the public. This would allow our competitors to create similar services and platforms with lower development effort and time and ultimately could reduce or eliminate our ability to commercialize or profit from our services. Although we have established internal review and...

  • Page 30
    ... of our members pay for our services using credit cards. From time to time, the major credit card companies or the issuing banks may increase the fees that they charge for each transaction using their cards. An increase in those fees would require us to either increase the prices we charge for our...

  • Page 31
    ... Revenue Code. However, we determined that none of our federal and state net operating loss carry-forwards will expire solely as a result of our prior ownership changes. Additionally, with our initial public offering, or IPO, and other transactions that have occurred over the past three years...

  • Page 32
    ...against us, we could incur substantial costs defending the lawsuit or paying for settlements or damages. Such a lawsuit could also divert the time and attention of our management from our business. Future sales of our common stock in the public market by our existing stockholders, or the perception...

  • Page 33
    ... to receive a premium for their shares of our common stock and could also affect the price that some investors are willing to pay for our common stock. If securities or industry analysts do not publish or cease publishing research or reports about us, our business, or our market, or if they...

  • Page 34
    ... feet in Tempe, Arizona, Irvine, California, Sunnyvale, California, Mountain View, California, and San Francisco, California. We also have data centers for our consumer business in Arizona and Northern California. Our enterprise business headquarters is located in San Diego, California, where we...

  • Page 35
    ...2012. Prior to that time, there was no public market for our common stock. The following table sets forth, for the periods indicated, the high and low sales price of our common stock as quoted on The New York Stock Exchange. High Low Fiscal Year Ended December 31 2013: First Quarter Second Quarter...

  • Page 36
    ...October 3, 2012 was the closing sale price on that day of $8.36 per share and not the initial offering price to the public of $9.00 per share. The performance shown on the graph below is based on historical results and is not intended to suggest future performance. Purchases of Equity Securities by...

  • Page 37
    ...Lemon and ID Analytics since the respective dates of acquisition. 2013 Consolidated Statements of Operations Data: Revenue: Year Ended December 31, 2012 2011 2010 (in thousands, except per share data) 2009 Consumer revenue Enterprise revenue Total revenue Cost of services (1) Gross profit Costs...

  • Page 38
    ...Average cost of acquisition per member (4) Monthly average revenue per member (5) Enterprise transactions (6) Adjusted net income (loss) (7) Adjusted EBITDA (8) Free cash flow (9) (1) $ $ $ $ $ Year Ended December 31, 2012 2011 2010 (in thousands, except percentages and per member data) (Unaudited...

  • Page 39
    ...-Key Metrics-Key Operating Metrics-Monthly average revenue per member." We calculate enterprise transactions as the total number of transactions processed for either an identity risk or credit risk score during the relevant period. For more information, see "Management's Discussion and Analysis of...

  • Page 40
    ... a reduction in cash available to us; adjusted EBITDA does not reflect the expenses incurred for new acquisitions; and other companies, including companies in our industry, may calculate adjusted EBITDA or similarly titled measures differently, limiting their usefulness as a comparative measure. 37

  • Page 41
    ... of other companies; and in communications with our board of directors concerning our financial performance. We use free cash flow to evaluate our business because, although it is similar to net cash provided by (used in) operating activities, we believe it typically presents a more conservative...

  • Page 42
    ... and fraud and risk solutions for enterprises. We protect our members by constantly monitoring identity-related events, such as new account openings and credit-related applications. If we detect that a mem ber's personally identifiable information is being used, we offer notifications and alerts...

  • Page 43
    ...Enterprise Services In our enterprise business, the majority of our costs relate to personnel primarily responsible for data analytics, data management, software development, sales and operations, and various support functions. We incur minimal third-party data expenses, as our enterprise customers...

  • Page 44
    ... 31, 2012. This increase was driven by the success of our marketing campaigns, the continued success of our LifeLock Ultimate service, which accounted for more than 40% our gross new members during the year ended December 31, 2013, and increased awareness of data breaches and identity theft. 41

  • Page 45
    ... of members that enroll in our consumer services in a relatively short period of time. We monitor average cost of acquisition per member to evaluate the efficiency of our marketing programs in acquiring new members. For the year ended December 31, 2013, our average cost of acquisition per member was...

  • Page 46
    ... through which we acquire the member, as we offer wholesale pricing in our embedded product, employee benefit, and breach channels; and whether a new member subscribes on a monthly or annual basis, as members enrolling on an annual subscription receive a discount for paying for a year in advance...

  • Page 47
    ... Financial Data of this Annual Report on Form 10-K. Factors Tffecting Our Performance Customer acquisition costs. We expect to continue to make significant expenditures to grow our member and enterprise customer bases. Our average cost of acquisition per member and the number of new members we...

  • Page 48
    ... subscribe to our consumer services on a monthly or annual, automatically renewing basis and pay us the full subscription fee at the beginning of each subscription period, in most cases by authorizing us to directly charge the ir credit or debit cards. In some cases, we offer members a free trial...

  • Page 49
    ... privacy and security systems, third-party development, and other internal-use software systems. Our development costs are primarily incurred in the United States and directed at enhancing our existing service offerings and developing new service offerings. In order to continue to grow our business...

  • Page 50
    ... in members and monthly average revenue per member resulted from the continued success of our LifeLock Ultimate service offering and our advertising and marketing campaigns designed to increase the overall awareness of our services and identity theft. Revenue from our consumer segment for the year...

  • Page 51
    ... drive new membership growth, our continued advertising of our LifeLock Ultimate service, and our efforts to highlight the growing identity theft issue and to educate consumers. Sales and marketing expenses for the year ended December 31, 2012 were $123.0 million, or 44.5% of revenue, compared with...

  • Page 52
    ...11.9% of revenue, compared with $24.6 million, or 8.9% of revenue, for the year ended December 31, 2012. The increase in general and administrative expenses from 2012 to 2013 resulted primarily from additional costs associated with our public company compliance, additional personnel costs, primarily...

  • Page 53
    ...2013 compared with income tax benefit of $13.7 million for the year ended December 31, 2012. Income tax benefit for the year ended December 31, 2012 was $13.7 million compared with income tax expense of $0.2 million for the year ended December 31, 2011. As a result of our acquisition of ID Analytics...

  • Page 54
    ... December 31, 2012, we used $157.4 million of cash to acquire ID Analytics and $7.5 million of cash to acquire property and equipment, primarily related to the establishment of an additional data center for ID Analytics and other investments in our network infrastructure to support our growth. These...

  • Page 55
    ... a new credit agreement. Borrowings under the prior senior credit facility carried a per annum interest rate equal to, at our option, either (a) a base rate equal to the highest of (i) the Federal Funds Rate, plus .50%, (ii) the rate of interest in effect for such day as publicly announced from time...

  • Page 56
    ... assured. Our consumer services are primarily offered to consumers on an annual or monthly subscription basis, which may include free trial periods. Fees for these subscriptions are typically billed to the member's credit or debit card. We recognize revenue for member subscriptions ratably on...

  • Page 57
    ... related employee reports. Our share-based compensation is comprised principally from expenses from stock options and restricted stock unit awards and our employee stock purchase plan. Goodwill and Other Intangible Assets Goodwill represents the excess of the purchase price of acquired businesses...

  • Page 58
    ... of the segments. In our consumer segment, we offer identity theft protection services to consumers on a monthly or annual subscription basis. In our enterprise segment, we offer fraud and risk solutions to enterprise customers who pay us based on their monthly volume of transactions with us...

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    ... that inflation has had a material effect on our business, operating results, or financial condition. If our costs were to become subject to significant inflationary pressures, we might not be able to offset these higher costs fully through price increases. Our inability or failure to do so could...

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    ITEM 8. FINTNCITL STTTEMENTS TND SUPPLEMENTTRY DTTT LifeLock, Inc. Consolidated Financial Statements Ts of December 31, 2013 and 2012 and for the Years Ended December 31, 2013, 2012, and 2011 Table of Contents Report of Independent Registered Public Accounting Firm Consolidated Balance Sheets 58...

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    ... a whole, presents fairly in all material respects the information set forth therein. We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), LifeLock, Inc.'s internal control over financial reporting as of December 31, 2013, based on...

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    ... internal control over financial reporting as of December 31, 2013, based on the COSO criteria. We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheets of LifeLock, Inc. as of December 31, 2013 and 2012...

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    LIFELOCK, INC. CONSOLIDTTED BTLTNCE SHEETS (in thousands, except share and per share amounts) December 31, 2013 2012 Tssets Current assets: Cash and cash equivalents Marketable securities Trade and other receivables, net Deferred tax...and other liabilities Deferred revenue Total current liabilities ...

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    LIFELOCK, INC. CONSOLIDTTED STTTEMENTS OF OPERTTIONS (in thousands, except per share amounts) Year Ended December 31, 2012 2011 2013 Revenue: Consumer revenue Enterprise revenue Total revenue Cost of services $ 340,121 $ 29,537 369,658 100,249 269,409 162,891 40,947 44,070 254,678 21,750 276,...

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    LifeLock, Inc. Consolidated Statements of Comprehensive Income (Loss) (in thousands) Net income (loss) Other comprehensive loss, net of tax Unrealized loss on marketable securities $ Year Ended December 31, 2013 2012 2011 52,451 $ 23,503 $ (4,257) (18) - Comprehensive income (loss) $ 52,433 $...

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    LIFELOCK, INC. CONSOLIDTTED STTTEMENTS OF CONVERTIBLE REDEEMTBLE PREFERRED STOCK... redeemable preferred stock Balance, December 31, 2011 Issuance of stock, net of offering costs Accretion on ...stock to 2,045 407 common stock (6,428,571 ) Balance, December 31, 2012 - Balance, December 31, 2013...

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    ... (2,452 ) 268,293 Balance, December 31, 2012 Stock option and warrant exercises Shares purchased under ESPP Share-based compensation Vesting of restricted stock units Restricted stock units surrendered in lieu of withholding taxes Restricted stock issued Other comprehensive loss Net income - - 86...

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    ...Acquisition of businesses, net of cash acquired Acquisition of property and equipment Purchase of marketable securities Sale and maturities of marketable securities Decrease in restricted cash Net cash used in investing activities Financing activities Proceeds from: Term loan Initial public offering...

  • Page 69
    ...: Accrued capital expenditures Supplemental information for non-cash financing activities: Convertible redeemable preferred stock issued as part of purchase price for ID Analytics Preferred stock embedded derivative issued as part of purchase price for ID Analytics See accompanying notes to...

  • Page 70
    ... we refer to as our members, on an annual or monthly subscription basis. We also provide fraud and risk solutions to our enterprise customers. We were incorporated in Delaware on April 12, 2005 and are headquartered in Tempe, Arizona. On March 14, 2012, we acquired ID Analytics and its wholly owned...

  • Page 71
    .... We offer services to consumers primarily on an annual or monthly subscription basis that may include free trial periods. We typically bill subscription fees to our members' credit card. We recognize revenue for subscriptions ratably from the last of cash receipt, activation of a member's account...

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    ... maturities of three months or less when acquired. Cash and cash equivalents are deposited in or managed by major financial institutions and at times exceed Federal Deposit Insurance Corporation insurance limits. Cash and cash equivalents also include credit card and debit card receivables. The...

  • Page 73
    ... for service-based options granted to employees. We estimate volatility by utilizing our historical share price and the historical volatility of comparable companies with publicly available share prices. We include share-based compensation expense in cost of services, sales and marketing, technology...

  • Page 74
    ...In July 2013, the FASB issued ASU 2013-11, which requires a reporting entity to present an unrecognized tax benefit as a liability in the financial statements separate from deferred tax assets if a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available as...

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    3. Business Combinations Acquisition of ID Analytics In the first quarter of 2012, we acquired ID Analytics, a provider of fraud and risk solutions and a strategic technology partner of ours since 2009. The aggregate purchase price consisted of approximately $166,474 of cash paid at the closing (...

  • Page 76
    ...workforce and expanded market opportunity when integrating Lemon's mobile applicati on with our existing identity theft protection services. In determining the preliminary purchase price allocation, we considered, among other factors, how a market participant would likely use the acquired assets and...

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    ... The following is a summary of marketable securities designated as available-for-sale as of December 31, 2013: Tmortized Cost Corporate bonds Municipal bonds Certificates of deposit Total marketable securities Gross Unrealized Gains Gross Unrealized Losses $ $ 37,399 10,820 498 48,717...

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    ... consisted of the following as of December 31: 2013 Marketing, commissions and other services Employee salaries, wages, and benefits Sales, property and income taxes Consulting, contract labor and professional fees Other 2012 $ $ 9. Financing Trrangements 9,678 $ 15,619 928 7,496 1,205...

  • Page 79
    ...used to fully collateralize the standby letters of credit were released in July 2012. In August 2013, a letter of credit in the amount of $1,200 was released by the counterparty in connection with the execution of the amendment to our office lease with respect to our headquarters. As such, we had an...

  • Page 80
    ... able to elect all of the directors. We issue stock-based awards to our employees in the form of stock options, restricted stock units, and restricted stock. We also have an employee stock purchase plan. Convertible Redeemable Preferred Stock On October 9, 2012, in connection with the closing of...

  • Page 81
    .... Employee Stock Purchase Plan In October 2012, we adopted an employee stock purchase plan (the "ESPP"). The ESPP allows substantially all full-time and part-time employees to acquire shares of our common stock through payroll deductions over six month offering periods. The per share purchase price...

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    ... 31, 2013 and 2012, respectively. Stock Options The following table summarizes information on the activity of stock options, including performance-based options, under the 2006 and 2012 Plans for the years ended December 31: 2013 Weighted 2012 Weighted 2011 Weighted Tverage Exercise Price Per...

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    ... stock units granted prior to the year ended December 31, 2012. 578,243 $ 12.65 13. Employee Benefits In 2008, we initiated a 401(k) retirement plan, which is a defined contribution retirement plan, for eligible employees. Employees are eligible to participate on the first day of service...

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    ... of convertible redeemable preferred stock redemption premium for shares assumed issued in exercise of warrants Plus: Net income allocable to convertible redeemable preferred stockholders Diluted net income available (loss attributable) to common stockholders $ 2013 52,451 $ 2012 23,503 $ 2011...

  • Page 85
    ... with the acquisition of ID Analytics. The components of income tax provision were as follows at December 31: 2013 Current: U.S. federal U.S. state and local taxes Total current Deferred: 2012 30 2011 $ $ 388 $ 58 88 67 455 36 178 214 U.S. federal U.S. state and local taxes Foreign Total...

  • Page 86
    ...2012, we began operating our business and reviewing and assessing our operating performance using two reportable segments: our consumer segment and our enterprise segment. In our consumer segment, we offer proactive identity theft protection services to consumers on an annual or monthly subscription...

  • Page 87
    ...all of our revenue from sales in the United States, and substantially all of our long-lived assets are located in the United States. 18. Contingencies As part of our consumer services, we offer 24x7x365 member service support. If a member's identity has been compromised, our member service team and...

  • Page 88
    19. Selected Quarterly Financial Data (unaudited) The following table sets forth certain unaudited quarterly results of operations of the Company for the years ended December 31, 2013 and 2012. In the opinion of management, this information has been prepared on the same basis as the audited ...

  • Page 89
    ... an independent registered public accounting firm, as stated in its report which is included in this Annual Report on Form 10-K. Changes in Internal Control Over Financial Reporting There were no changes in our internal control over financial reporting identified in management's evaluation pursuant...

  • Page 90
    ... 120 days after the end of our fiscal year ended December 31, 2013, and is incorporated in this Annual Report on Form 10-K by reference. We have adopted a Code of Business Conduct and Ethics that applies to all of our directors, officers, and employees, including our principal executive officer and...

  • Page 91
    ...of this Annual Report on Form 10-K and should be read in conjunction with the consolidated financial statements or notes thereto. SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS Additions (recoveries) - charged to Year ended December 31, Allowance for doubtful accounts 2013 2012 Beginning Balance...

  • Page 92
    ... Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. Signature Title Date /s/ Todd Davis Todd Davis /s/ Chris Power Chris Power Chairman of the Board and Chief Executive Officer...

  • Page 93
    ... 15, 2013, between LifeLock, Inc. and Chris Power (9) 10.4†Second Amended and Restated Employment Agreement, dated as of September 14, 2012, between LifeLock, Inc. and Clarissa Cerda (10) 10.7 Credit Agreement, dated as of January 9, 2013, among LifeLock, Inc., the Guarantors named therein...

  • Page 94
    ...of Exhibit Form of Stock Option Agreement and Restricted Stock Unit Agreement under 2012 Incentive Compensation Plan (26) 10.17†10.18†2012 Employee Stock Purchase Plan (27) 2012 Performance Bonus Plan (28) Employment Agreement, dated July 29, 2013, between LifeLock, Inc. and Velislav Iltchev...

  • Page 95
    ...1 to the Registrant's Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on October 31, 2013, and incorporated herein by reference. Indicates management contract or compensatory plan or arrangement. Confidential treatment has been granted by the SEC for portions of this...

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    Exhibit 21.1 SUBSIDIARIES OF LIFELOCK, INC. Jurisdiction of Incorporation/Formation Name ID Analytics, Inc. IDA, Inc. Lemon, Inc. Lemon Argentina, S.R.L. Lavender Holding, LLC Delaware Delaware Delaware Argentina Delaware

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    ... to the consolidated financial statements and schedule of LifeLock, Inc., and the effectiveness of internal control over financial reporting of LifeLock, Inc., included in this Annual Report (Form 10-K) for the year ended December 31, 2013. /s/ Ernst & Young LLP Phoenix, Arizona February 19, 2014

  • Page 98
    ...CHIEF EXECUTIVE OFFICER PURSUANT TO EXCHANGE ACT RULES 13a-14(a) AND 15d-14(a), AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 I, Todd Davis, cdrtify that: 1. 2. I havd rdvidwdd this Annual...thd rdgistrant's board of dirdctors (...financial information; and (b) Any fraud, ...

  • Page 99
    ... and report financial information; and (b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: February 19, 2014 /s/ Chris Power Chris Power Chief Financial Officer...

  • Page 100
    ...In connection with the Annual Report on Form 10-K of LifeLock, Inc. (the "Company") for the year ended December 31, 2013 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Todd Davis, Chief Executive Officer of the Company, certify, to the best of my knowledge...

  • Page 101
    ... connection with the Annual Report on Form 10-K of LifeLock, Inc. (the "Company") for the year ended December 31, 2013 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Chris Power, Chief Financial Officer of the Company, certify, to the best of my knowledge...

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