ServiceMagic 2011 Annual Report Download - page 95

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IAC/INTERACTIVECORP AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
NOTE 10—FINANCIAL INSTRUMENTS (Continued)
represents the amount the Company expects to pay to settle this obligation. The fair value of the letters of credit and surety bond are based on the
present value of the costs associated with maintaining these instruments over their expected term. See Note 2 for discussion of the fair value of
marketable securities and long-term marketable equity securities, Note 9 for discussion of the fair value of the auction rate securities and Note 5
for discussion of the fair value of the contingent consideration arrangement related to the OkCupid acquisition.
NOTE 11—LONG-TERM DEBT
The balance of long-term debt is comprised of:
In connection with the financing of the construction of IAC's corporate headquarters, on August 31, 2005, the New York City Industrial
Development Agency (the "Agency") issued $80 million in aggregate principal amount of New York City Industrial Development Agency
Liberty Bonds (IAC/InterActiveCorp Project), Series 2005 (the "Liberty Bonds"). IAC is obligated to make all principal, interest and other
payments in respect of the Liberty Bonds pursuant to certain security and payment arrangements between IAC and the Agency, which
arrangements were entered into in connection with the closing of the Liberty Bond issuance. IAC's payment obligation under the Liberty Bonds
is collateralized by a mortgage interest in the corporate headquarters building.
Aggregate contractual maturities of long-term debt are as follows:
NOTE 12—SHAREHOLDERS' EQUITY
Description of Common Stock and Class B Convertible Common Stock
With respect to matters that may be submitted to a vote or for the consent of IAC's shareholders generally, including the election of
directors, each holder of shares of IAC common stock and IAC Class B common stock vote together as a single class. In connection with any
such vote, each holder of IAC common stock is entitled to one vote for each share of IAC common stock held and each holder of IAC Class B
common stock is entitled to ten votes for each share of IAC Class B common stock
89
December 31,
2011
2010
(In thousands)
7.00% Senior Notes due January 15, 2013; interest payable each January 15
and July 15 which commenced July 15, 2003
$
15,844
$
15,844
5% New York City Industrial Development Agency Liberty Bonds due
September 1, 2035; interest payable each March 1 and September 1 which
commenced March 1, 2006
80,000
80,000
Long
-
term debt
$
95,844
$
95,844
Years Ending December 31,
(In thousands)
2013
$
15,844
2035
80,000
$
95,844