Vistaprint 2009 Annual Report Download - page 89

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VISTAPRINT LIMITED
(predecessor to Vistaprint N.V.)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Years Ended June 30, 2009, 2008 and 2007
(in thousands, except share and per share data)
of 2.50 to 1.00 and VistaPrint North American Services Corp. to maintain a minimum debt service
coverage ratio of 1.40 to 1.00 unless the Company maintains at least $30 million in unrestricted cash
and cash equivalents. Debt service coverage ratio is defined as the ratio of cash flow to the sum of
required principal payments plus cash interest paid. As of June 30, 2009, the minimum debt service
coverage covenant did not apply because the Company maintained at least $30.0 million in
unrestricted cash and cash equivalents. The Company and VistaPrint North American Services Corp.
were in compliance with all loan covenants at June 30, 2009.
Payments due on long-term debt, excluding interest related payments, during each of the five
fiscal years subsequent to June 30, 2009, are as follows:
2010................................................................ $ 8,349
2011................................................................ 5,787
2012................................................................ 353
2013................................................................ 353
2014................................................................ 353
Thereafter........................................................... 3,619
Total................................................................ $18,814
6. Accrued Liabilities
Accrued liabilities included the following:
June 30,
2009 2008
Accrued advertising costs.................................................... $14,726 $ 9,939
Accrued compensation costs................................................. 10,933 8,345
Accrued taxes .............................................................. 6,993 6,592
Accrued shipping costs ...................................................... 1,765 1,445
Other ...................................................................... 9,307 9,334
Total accrued liabilities ...................................................... $43,724 $35,655
7. Shareholders’ Equity
Share Options
The Company’s 2000-2002 Share Incentive Plan (the “2000-2002 Plan”) provided for employees,
officers, non-employee directors, consultants and advisors to receive restricted share awards or be
granted options to purchase the Company’s common shares. Under the 2000-2002 Plan, the Company
reserved an aggregate of 9,000,000 common shares for such awards. The Board of Directors of
Vistaprint Limited determined that no further grants of awards under the 2000-2002 Plan would be
made after the Company’s Initial Public Offering (“IPO”) in 2005. As of June 30, 2009, there were
options to purchase 1,555,988 common shares outstanding under the 2000-2002 Plan. Upon the IPO,
all shares reserved for issuance but not yet granted under the 2000- 2002 Plan were transferred to the
Company’s 2005 Equity Incentive Plan and 2005 Non-Employee Directors’ Share Option Plan (the
83
Form 10-K