Staples 2007 Annual Report Download - page 40

Download and view the complete annual report

Please find page 40 of the 2007 Staples 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 142

  • 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
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142

Committees), as amended. The independent registered public accounting firm also provided the Audit Committee
with the written disclosures and the letter required by Independence Standards Board Standard No. 1 (Independence
Discussions with Audit Committees). The Audit Committee discussed with the independent registered public
accounting firm the independent registered public accounting firm’s independence from management and Staples,
including the matters in the written disclosures required by the Independence Standards Board, and considered the
compatibility of non-audit related services provided to Staples by the independent registered public accounting firm
with the independent registered public accounting firm’s independence.
The Audit Committee discussed with Staples’ internal auditors and independent registered public accounting
firm the overall scope and plans for their respective audits. The Audit Committee meets with the internal auditors and
independent registered public accounting firm, with and without management present, to discuss the results of their
examinations, their evaluations of Staples’ internal controls, and the overall quality of Staples’ financial reporting.
In reliance on the reviews and discussions referred to above, the Audit Committee recommended to Staples’
Board of Directors, and the Board approved, that Staples’ audited financial statements be included in Staples’ Annual
Report on Form 10-K for the year ended February 2, 2008 for filing with the Securities and Exchange Commission.
Audit Committee:
Paul F. Walsh, Chairperson
Justin King
Robert Sulentic
Independent Registered Public Accounting Firm’s Fees
In the interest of ensuring our independent registered public accounting firm’s independence, we consider it
important to maintain a low ratio of their non-audit fees to their audit fees. In our 2007 fiscal year, this ratio was
approximately 0.27:1.
Audit Fees
Ernst & Young LLP billed us an aggregate of approximately $4.1 million and $3.4 million in fiscal years 2007 and
2006, respectively, for professional services rendered in connection with our annual audit, the audit of our internal
controls over financial reporting, the review of our interim financial statements included in our Form 10-Q, statutory
filings, registration statements, accounting consultation and compliance with regulatory requirements.
Audit-Related Fees
Ernst & Young LLP billed us an aggregate of approximately $64,000 and $20,000 in fiscal years 2007 and 2006,
respectively, for services related to assistance with internal control reporting, acquisition due diligence and employee
benefit plan audits.
Tax Fees
Ernst & Young LLP billed us an aggregate of approximately $1.0 million and $834,000 in fiscal years 2007 and
2006, respectively, for services related to tax compliance, tax planning and tax advice. For fiscal years 2007 and 2006,
approximately $362,000 and $333,000, respectively, of these fees related to tax compliance.
All Other Fees
Ernst & Young LLP billed us approximately $5,000 in our 2007 fiscal year for other services related to
non-technical training and education courses. Ernst & Young LLP did not bill us in our 2006 fiscal year for services
other than those described above.
30