Vistaprint 2009 Annual Report Download - page 34

we may be unable to operate the acquired businesses profitably or otherwise implement our strategy
successfully. If we are unable to integrate any newly acquired businesses, technologies or services
effectively, our business and results of operations could suffer. The time and expense associated with
finding suitable and compatible businesses, technologies or services to acquire could also disrupt our
ongoing business and divert our management’s attention. Future acquisitions by us could also result in
large and immediate write-offs or assumptions of debt and contingent liabilities, any of which could
substantially harm our business and results of operations.
The loss of key personnel or an inability to attract and retain additional personnel could affect
our ability to successfully grow our business.
We are highly dependent upon the continued service and performance of our senior management
team and key technical, marketing and production personnel including, in particular, Robert S. Keane, our
President and Chief Executive Officer, Janet Holian, our President of Vistaprint Europe, Wendy Cebula, our
President of Vistaprint North America and Michael Giannetto, our Chief Financial Officer. None of these
executives are a party to an employment agreement with Vistaprint, and therefore may cease their
employment with us at any time with no advance notice. The loss of one or more of these or other key
employees may significantly delay or prevent the achievement of our business objectives. We face intense
competition for qualified individuals from numerous technology, marketing, financial services, manufacturing
and e-commerce companies. We may be unable to attract and retain suitably qualified individuals, and our
failure to do so could have an adverse effect on our ability to implement our business plan.
If we are unable to manage our expected growth and expand our operations successfully, our
reputation would be damaged and our business and results of operations would be harmed.
We have rapidly grown to over 1,700 full-time employees and approximately 100 temporary
employees as of June 30, 2009. As of June 30, 2009, we have facilities and offices in Bermuda, the
United States, the Netherlands, Spain, Jamaica, Switzerland, and Canada. Our growth, combined with
the geographical separation of our operations, has placed, and will continue to place, a strain on our
administrative and operational infrastructure. Our ability to manage our operations and anticipated
growth will require us to continue to refine our operational, financial and management controls, human
resource policies, reporting systems and procedures in the locations in which we operate. We expect
the number of countries and facilities from which we operate to continue to increase in the future.
We may not be able to implement improvements to our management information and control
systems in an efficient or timely manner and may discover deficiencies in existing systems and
controls. If we are unable to manage expected future expansion, our ability to provide a high-quality
customer experience could be harmed, which would damage our reputation and brand and
substantially harm our business and results of operations.
If we are unable to manage the challenges associated with our international operations, the
growth of our business could be negatively impacted.
We operate production facilities in Venlo, the Netherlands and Windsor, Ontario, Canada, a
customer support, sales and service, and graphic design center in Montego Bay, Jamaica, website
operations in Devonshire, Bermuda, our European headquarters and marketing office in Barcelona,
Spain, a technology development facility in Winterthur, Switzerland, technology development,
marketing, finance and administrative operations in Lexington, Massachusetts, United States, and,
effective as of July 2009, our headquarters in Paris, France, which includes the office of our President
and CEO and our corporate strategy group. We have localized websites to serve many markets
internationally. For the fiscal year ended June 30, 2009, we derived 39% of our revenue from our
non-United States websites. We are subject to a number of risks and challenges that specifically relate
to our international operations. These risks and challenges include, among others:
‰fluctuations in currency exchange rates that may increase the United States dollar cost of, or
reduce United States dollar revenue from, operations outside of the USA;
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