Vistaprint 2015 Annual Report Download - page 52

Download and view the complete annual report

Please find page 52 of the 2015 Vistaprint 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 160

  • 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
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160

44
Contractual Obligations
Contractual obligations at June 30, 2015 are as follows:
In thousands Payments Due by Period
Total
Less
than 1
year
1-3
years
3-5
years
More
than 5
years
Operating leases, net of subleases . . . . . . $ 39,227 $ 7,697 $ 10,469 $ 8,120 $ 12,941
Build-to-suit lease . . . . . . . . . . . . . . . . . . . 131,769 10,475 25,138 25,138 71,018
Purchase commitments. . . . . . . . . . . . . . . 27,052 27,052 — — —
Senior unsecured notes and interest
payments . . . . . . . . . . . . . . . . . . . . . . . . . 410,178 19,678 38,500 38,500 313,500
Other debt and interest payments . . . . . . . 269,852 28,964 52,382 186,615 1,891
Capital leases . . . . . . . . . . . . . . . . . . . . . . 24,103 9,150 11,937 2,981 35
Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,195 11,102 9,694 3,399 —
Total (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 926,376 $ 114,118 $ 148,120 $ 264,753 $ 399,385
___________________
(1) We may be required to make cash outlays related to our uncertain tax positions. However, due to the uncertainty of the timing of future cash
flows associated with our uncertain tax positions, we are unable to make reasonably reliable estimates of the period of cash settlement, if
any, with the respective taxing authorities. Accordingly, uncertain tax positions of $5.7 million as of June 30, 2015 have been excluded from
the contractual obligations table above. For further information on uncertain tax positions, see Note 14 to the accompanying consolidated
financial statements.
Operating Leases. We rent office space under operating leases expiring on various dates through 2024.
Future minimum rental payments required under our leases are an aggregate of approximately $39.2 million. The
terms of certain lease agreements require security deposits in the form of bank guarantees and a letter of credit in
the amount of $1.7 million and $0.6 million, respectively.
Build-to-suit lease. In July 2013, we executed a lease for an eleven-year term to move our Lexington,
Massachusetts, USA operations to a new facility in Waltham, Massachusetts, USA, that will commence in the first
quarter of fiscal 2016. Please refer to Note 6 in the accompanying consolidated financial statements for additional
details.
Purchase Commitments. At June 30, 2015, we had unrecorded commitments under contract of $27.1
million, which were composed of inventory purchase commitments of approximately $1.9 million, production and
computer equipment purchases of approximately $14.5 million, and other unrecorded purchase commitments of
$10.6 million.
Senior unsecured notes and interest payments. Our 7.0% senior unsecured notes due 2022 bear interest at
a rate of 7.0% per annum and mature on April 1, 2022. Interest on the notes will be payable semi-annually on April 1
and October 1 of each year, commencing on October 1, 2015 and has been included in the table above.
Other debt and interest payments. The term loans of $154.0 million outstanding under our credit agreement
have repayments due on various dates through September 23, 2019, with the revolving loans outstanding of $77.5
million due on September 23, 2019. Interest payable included in this table is based on the interest rate as of
June 30, 2015 and assumes all revolving loan amounts outstanding will not be paid until maturity, but that the term
loan amortization payments will be made according to our defined schedule. Interest payable includes the estimated
impact of our interest rate swap agreements. In addition, we assumed term loan debt as part of certain of our fiscal
2015 acquisitions and as of June 30, 2015 we had $11.5 million outstanding for those obligations that have
repayments due on various dates through September 2024.
Capital leases. We lease certain machinery and plant equipment under capital lease agreements that
expire at various dates through 2020. The aggregate carrying value of the leased equipment under capital leases
included in property, plant and equipment, net in our consolidated balance sheet at June 30, 2015, is $27.7 million,
net of accumulated depreciation of $4.7 million. The present value of lease installments not yet due included in
other current liabilities and other liabilities in our consolidated balance sheet at June 30, 2015 amounts to $23.6
million.