Document_and_Entity_Informatio
Document and Entity Information Document | 6 Months Ended | |
Dec. 31, 2013 | Jan. 24, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Entity registrant name | 'VISTAPRINT N.V. | ' |
Entity central index key | '0001262976 | ' |
Document type | '10-Q | ' |
Document period end date | 31-Dec-13 | ' |
Amendment flag | 'false | ' |
Document fiscal year focus | '2014 | ' |
Document fiscal period focus | 'Q2 | ' |
Current fiscal year end date | '--06-30 | ' |
Entity filer category | 'Large Accelerated Filer | ' |
Entity common stock, shares outstanding | ' | 33,229,228 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $62,310 | $50,065 |
Accounts receivable, net of allowances of $126 and $104, respectively | 24,172 | 22,026 |
Inventory | 8,298 | 7,620 |
Prepaid expenses and other current assets | 40,681 | 20,520 |
Total current assets | 135,461 | 100,231 |
Property, plant and equipment, net | 308,301 | 280,022 |
Software and web site development costs, net | 11,318 | 9,071 |
Deferred tax assets | 4,151 | 581 |
Goodwill | 144,483 | 140,893 |
Intangible assets, net | 27,160 | 30,337 |
Other assets | 29,304 | 29,184 |
Investment in equity interests | 14,466 | 11,248 |
Total assets | 674,644 | 601,567 |
Current liabilities: | ' | ' |
Accounts payable | 28,677 | 22,597 |
Accrued expenses | 129,904 | 103,338 |
Deferred revenue | 18,272 | 18,668 |
Deferred tax liabilities | 1,435 | 1,466 |
Current portion of long-term debt | 15,250 | 8,750 |
Other current liabilities | 4,363 | 207 |
Total current liabilities | 197,901 | 155,026 |
Deferred tax liabilities | 8,543 | 12,246 |
Other liabilities | 18,662 | 14,734 |
Long-term debt | 189,250 | 230,000 |
Total liabilities | 414,356 | 412,006 |
Commitments and contingencies (Note 13) | ' | ' |
Shareholders’ equity: | ' | ' |
Preferred shares, par value €0.01 per share, 100,000,000 shares authorized; none issued and outstanding | 0 | 0 |
Ordinary shares, par value €0.01 per share, 100,000,000 shares authorized; 44,080,627 shares issued; and 33,136,153 and 32,791,338 shares outstanding, respectively | 615 | 615 |
Treasury shares, at cost, 10,944,474 and 11,289,289 shares, respectively | -387,533 | -398,301 |
Additional paid-in capital | 307,408 | 299,659 |
Retained earnings | 340,431 | 299,144 |
Accumulated other comprehensive loss | -633 | -11,556 |
Total shareholders’ equity | 260,288 | 189,561 |
Total liabilities and shareholders’ equity | $674,644 | $601,567 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) | Dec. 31, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Jun. 30, 2013 |
In Thousands, except Share data, unless otherwise specified | USD ($) | EUR (€) | USD ($) | EUR (€) |
Current Assets | ' | ' | ' | ' |
Allowance for doubtful accounts | $126 | ' | $104 | ' |
Stockholders' Equity [Abstract] | ' | ' | ' | ' |
Preferred shares, par value | ' | € 0.01 | ' | € 0.01 |
Preferred shares, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 |
Preferred shares, shares issued | 0 | 0 | 0 | 0 |
Preferred shares, shares outstanding | 0 | 0 | 0 | 0 |
Ordinary shares, par value | ' | € 0.01 | ' | € 0.01 |
Ordinary shares, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 |
Ordinary shares, shares issued | 44,080,627 | 44,080,627 | 44,080,627 | 44,080,627 |
Ordinary shares, shares outstanding | 33,136,153 | 33,136,153 | 32,791,338 | 32,791,338 |
Treasury shares | 10,944,474 | 10,944,474 | 11,289,289 | 11,289,289 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Revenue | $370,807 | $348,312 | $645,896 | $599,728 | ||
Cost of revenue (1) | 120,789 | 114,150 | 216,579 | [1] | 202,177 | [1] |
Technology and development expense (1) | 42,874 | 40,045 | 85,121 | [1] | 77,702 | [1] |
Marketing and selling expense (1) | 124,128 | 134,364 | 226,561 | [1] | 234,361 | [1] |
General and administrative expense (1) | 30,494 | 26,712 | 56,704 | [1] | 52,213 | [1] |
Income from operations | 52,522 | 33,041 | 60,931 | 33,275 | ||
Other expense, net | -3,209 | -310 | -8,035 | -819 | ||
Interest expense, net | -1,566 | -1,264 | -3,143 | -2,426 | ||
Income (loss) before income taxes and loss in equity interests | 47,747 | 31,467 | 49,753 | 30,030 | ||
Income tax provision | 6,005 | 8,189 | 6,820 | 8,323 | ||
Loss in equity interests | 867 | 318 | 1,646 | 443 | ||
Net income | 40,875 | 22,960 | 41,287 | 21,264 | ||
Basic net income per share | $1.24 | $0.69 | $1.26 | $0.63 | ||
Diluted net income per share | $1.18 | $0.66 | $1.20 | $0.61 | ||
Weighted average shares outstanding — basic | 32,861,393 | 33,377,045 | 32,760,384 | 33,525,669 | ||
Weighted average shares outstanding — diluted | 34,552,194 | 34,544,965 | 34,463,006 | 34,754,574 | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ||
Share-based compensation expense | 7,873 | 8,350 | 16,258 | 16,617 | ||
Cost of revenue | ' | ' | ' | ' | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ||
Share-based compensation expense | 72 | 107 | 138 | 205 | ||
Technology and development expense | ' | ' | ' | ' | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ||
Share-based compensation expense | 2,418 | 2,366 | 4,878 | 4,606 | ||
Marketing and selling expense | ' | ' | ' | ' | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ||
Share-based compensation expense | 1,588 | 1,590 | 3,277 | 3,139 | ||
General and administrative expense | ' | ' | ' | ' | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' | ||
Share-based compensation expense | $3,795 | $4,287 | $7,965 | $8,667 | ||
[1] | Share-based compensation is allocated as follows: |
Consolidated_Statement_of_Comp
Consolidated Statement of Comprehensive Income (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ' | ' | ' | ' |
Net income | $40,875 | $22,960 | $41,287 | $21,264 |
Other comprehensive income: | ' | ' | ' | ' |
Foreign currency translation | 4,865 | 4,138 | 10,991 | 8,226 |
Net unrealized gain (loss) on derivative instruments designated and qualifying as cash flow hedges | 33 | -227 | -68 | -515 |
Total comprehensive income | $45,773 | $26,871 | $52,210 | $28,975 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Operating activities | ' | ' |
Net income | $41,287 | $21,264 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ' | ' |
Depreciation and amortization | 32,465 | 30,824 |
Share-based compensation expense | 16,258 | 16,617 |
Excess tax (benefits) shortfalls derived from share-based compensation awards | -1,987 | 201 |
Deferred taxes | -7,594 | -3,859 |
Loss in equity interest | 1,646 | 443 |
Non-cash gain on equipment | 0 | -1,414 |
Unrealized loss on derivative instruments included in net income | 3,701 | 0 |
Effect of exchange rate changes on monetary assets and liabilities denominated in non-functional currency | 2,868 | -94 |
Other non-cash items | 323 | -158 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | -1,414 | -2,754 |
Inventory | -563 | -2,890 |
Prepaid expenses and other assets | -12,865 | -4,170 |
Accounts payable | 4,751 | 8,603 |
Accrued expenses and other liabilities | 16,028 | 32,570 |
Net cash provided by operating activities | 94,904 | 95,183 |
Investing activities | ' | ' |
Purchases of property, plant and equipment | -42,169 | -55,368 |
Proceeds from sale of assets | 137 | 1,750 |
Purchases of intangible assets | -119 | -370 |
Capitalization of software and website development costs | -4,419 | -3,140 |
Investment in equity interest | -4,994 | -12,753 |
Issuance of note receivable | 0 | -512 |
Net cash used in investing activities | -51,564 | -70,393 |
Financing activities | ' | ' |
Proceeds from borrowings of long-term debt | 67,000 | 55,212 |
Payments of long-term debt and debt issuance costs | -101,604 | -53,895 |
Payments of withholding taxes in connection with vesting of restricted share units | -3,941 | -1,790 |
Purchase of ordinary shares | 0 | -24,775 |
Excess tax benefits (shortfall) derived from share-based compensation awards | 1,987 | -201 |
Proceeds from issuance of shares | 4,163 | 1,758 |
Net cash provided by financing activities | -32,395 | -23,691 |
Effect of exchange rate changes on cash | 1,300 | 1,426 |
Net increase in cash and cash equivalents | 12,245 | 2,525 |
Cash and cash equivalents at beginning of period | 50,065 | 62,203 |
Cash and cash equivalents at end of period | $62,310 | $64,728 |
Description_of_the_Business_No
Description of the Business (Notes) | 6 Months Ended |
Dec. 31, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Description of the Business | ' |
Description of the Business | |
The Vistaprint group of companies offers micro businesses the ability to market their businesses with a broad range of brand identity and promotional products, marketing services and digital solutions. Through the use of proprietary Internet-based graphic design software, localized websites, proprietary order receiving and processing technologies and advanced computer integrated production facilities, we offer a broad spectrum of products, such as business cards, website hosting, apparel, signage, promotional gifts, brochures, online marketing and creative services. We focus on serving the marketing, graphic design and printing needs of the micro business market, generally businesses or organizations with fewer than 10 employees and usually 2 or fewer. We also provide personalized products for home and family use. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies (Notes) | 6 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||
Summary of Significant Accounting Policies | ' | |||||||||||
Summary of Significant Accounting Policies | ||||||||||||
Basis of Presentation | ||||||||||||
The consolidated financial statements include the accounts of Vistaprint N.V., its wholly owned subsidiaries, and those entities in which we have a variable interest and are the primary beneficiary. Intercompany balances and transactions have been eliminated. Investments in entities in which we can exercise significant influence, but do not own a majority equity interest or otherwise control, are accounted for using the equity method and are included as investments in equity interests on the consolidated balance sheets. | ||||||||||||
The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and, accordingly, do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments, consisting primarily of normal recurring accruals, considered necessary for a fair presentation of the results of operations for the interim periods reported and of our financial condition as of the date of the interim balance sheet have been included. Operating results for the three and six months ended December 31, 2013 are not necessarily indicative of the results that may be expected for the year ending June 30, 2014 or for any other period. The consolidated balance sheet at June 30, 2013 has been derived from our audited consolidated financial statements at that date but does not include all of the information and footnotes required by GAAP for complete financial statements. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended June 30, 2013 included in the our Annual Report on Form 10-K filed with the United States Securities and Exchange Commission (the “SEC”). | ||||||||||||
Use of Estimates | ||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. We believe our most significant estimates are associated with the ongoing evaluation of our long-lived assets and goodwill, advertising expense and related accruals, share-based compensation, accounting for business combinations, income taxes, and litigation and contingencies, among others. By their nature, estimates are subject to an inherent degree of uncertainty. Actual results could differ from those estimates. | ||||||||||||
Net Income Per Share | ||||||||||||
Basic net income per share is computed by dividing net income by the weighted-average number of ordinary shares outstanding for the respective period. Diluted net income per share gives effect to all potentially dilutive securities, including share options, restricted share units (“RSUs”) and restricted share awards ("RSAs"), if the effect of the securities is dilutive using the treasury stock method. Awards with performance or market conditions are included using the treasury stock method only if the conditions would have been met as of the end of the reporting period and their effect is dilutive. | ||||||||||||
The following table sets forth the reconciliation of the weighted-average number of ordinary shares: | ||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Weighted average shares outstanding, basic | 32,861,393 | 33,377,045 | 32,760,384 | 33,525,669 | ||||||||
Weighted average shares issuable upon exercise/vesting of outstanding share options/RSUs/RSAs | 1,690,801 | 1,167,920 | 1,702,622 | 1,228,905 | ||||||||
Shares used in computing diluted net income per share | 34,552,194 | 34,544,965 | 34,463,006 | 34,754,574 | ||||||||
Weighted average anti-dilutive shares excluded from diluted net income per share | 913,562 | 2,486,505 | 920,889 | 2,121,833 | ||||||||
Share-Based Compensation | ||||||||||||
During the three and six months ended December 31, 2013, we recorded share-based compensation expense of $7,873 and $16,258, respectively, and $8,350 and $16,617 during the three and six months ended December 31, 2012, respectively. As of December 31, 2013, there was $47,001 of total unrecognized compensation cost related to non-vested share-based compensation arrangements, net of estimated forfeitures. This cost is expected to be recognized over a weighted average period of 2.98 years. | ||||||||||||
Derivative Financial Instruments | ||||||||||||
We record all derivatives on the consolidated balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether we have elected to designate a derivative as being a hedging relationship, and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability or firm commitment attributable to a particular risk are considered fair value hedges. Derivatives designated and qualifying as hedges of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transaction in a cash flow hedge. We also enter into derivative contracts that are intended to economically hedge certain of our risks, even though we may not elect to apply hedge accounting or the instrument may not qualify for hedge accounting. The changes in the fair value of derivatives not designated as being in hedging relationships are recorded directly in earnings as a component of other expense, net. In accordance with the fair value measurement guidance, our accounting policy is to measure the credit risk of our derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. We execute our derivative instruments with financial institutions that we judge to be credit-worthy, defined as institutions that hold an investment grade credit rating. | ||||||||||||
Restructuring | ||||||||||||
Restructuring costs are recorded in connection with initiatives designed to improve efficiency or enhance competitiveness. Restructuring initiatives require us to make estimates in several areas, including expenses for severance and other employee separation costs and the ability to generate sublease income to terminate lease obligations at the estimated amounts. One-time termination benefits are expensed at the date we notify the employee, unless the employee must provide future service beyond the statutory minimum retention period, in which case the benefits are expensed ratably over the future service period. Liabilities for costs associated with an exit or disposal activity are recognized when the liability is incurred, as opposed to when management commits to an exit plan, and are measured at fair value. Restructuring costs are included as a component of each related operating expense within our consolidated statement of operations. | ||||||||||||
Leases | ||||||||||||
We categorize leases at their inception as either operating or capital leases. Costs for operating leases that include incentives such as payment escalations or rent abatements are recognized on a straight-line basis over the term of the lease. Additionally, inducements received are treated as a reduction of our costs over the term of the agreement. Leasehold improvements are capitalized at cost and amortized over the shorter of their expected useful life or the life of the lease, excluding renewal periods. For lease arrangements where we are deemed to be involved in the construction of structural improvements prior to the commencement of the lease or take some level of construction risk, we are considered the owner of the assets during the construction period. Accordingly, as the lessor incurs the construction project costs, the assets and corresponding financial obligation are recorded in our consolidated balance sheet. Once the construction is completed, if the lease meets certain “sale-leaseback” criteria, we will remove the asset and related financial obligation from the balance sheet and treat the building lease as either an operating or capital lease based on our assessment of the guidance. If upon completion of construction, the project does not meet the “sale-leaseback” criteria, the lease will be treated as a financing obligation and we will depreciate the asset over its estimated useful life for financial reporting purposes. | ||||||||||||
Recently Issued or Adopted Accounting Pronouncements | ||||||||||||
None. |
Fair_Value_Measurements_Notes
Fair Value Measurements (Notes) | 6 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Measurements | ' | |||||||||||||||
Fair Value Measurements | ||||||||||||||||
The following tables summarize our assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy: | ||||||||||||||||
December 31, 2013 | ||||||||||||||||
Total | Quoted Prices in | Significant Other | Significant | |||||||||||||
Active | Observable Inputs | Unobservable | ||||||||||||||
Markets for | (Level 2) | Inputs | ||||||||||||||
Identical Assets | (Level 3) | |||||||||||||||
(Level 1) | ||||||||||||||||
Assets | ||||||||||||||||
Interest rate swap contracts | $ | 142 | $ | — | $ | 142 | $ | — | ||||||||
Currency forward contracts | 597 | — | 597 | — | ||||||||||||
Total assets recorded at fair value | $ | 739 | $ | — | $ | 739 | $ | — | ||||||||
Liabilities | ||||||||||||||||
Interest rate swap contracts | $ | (119 | ) | $ | — | $ | (119 | ) | $ | — | ||||||
Currency forward contracts | (4,298 | ) | — | (4,298 | ) | — | ||||||||||
Total liabilities recorded at fair value | $ | (4,417 | ) | $ | — | $ | (4,417 | ) | $ | — | ||||||
June 30, 2013 | ||||||||||||||||
Total | Quoted Prices in | Significant Other | Significant | |||||||||||||
Active | Observable Inputs | Unobservable | ||||||||||||||
Markets for | (Level 2) | Inputs | ||||||||||||||
Identical Assets | (Level 3) | |||||||||||||||
(Level 1) | ||||||||||||||||
Assets | ||||||||||||||||
Interest rate swap contracts | $ | 344 | $ | — | $ | 344 | $ | — | ||||||||
Currency forward contracts | 70 | — | 70 | — | ||||||||||||
Total assets recorded at fair value | $ | 414 | $ | — | $ | 414 | $ | — | ||||||||
Liabilities | ||||||||||||||||
Interest rate swap contracts | $ | (70 | ) | $ | — | $ | (70 | ) | $ | — | ||||||
Currency forward contracts | (203 | ) | — | (203 | ) | — | ||||||||||
Total liabilities recorded at fair value | $ | (273 | ) | $ | — | $ | (273 | ) | $ | — | ||||||
During the three and six months ended December 31, 2013 and December 31, 2012 there were no significant transfers in or out of Level 1, Level 2 and Level 3 classifications. | ||||||||||||||||
The valuations of the derivatives intended to mitigate our interest rate and currency risk are determined using widely accepted valuation techniques, including discounted cash flow analysis on the expected cash flows of each instrument. This analysis utilizes observable market-based inputs, including interest rate curves, interest rate volatility, or spot and forward exchange rates, and reflects the contractual terms of these instruments, including the period to maturity. We incorporate credit valuation adjustments to appropriately reflect both our own nonperformance risk and the respective counterparty's nonperformance risk in the fair value measurements. In adjusting the fair value of our derivative contracts for the effect of nonperformance risk, we have considered the impact of netting and any applicable credit enhancements. | ||||||||||||||||
Although we have determined that the majority of the inputs used to value our derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with our derivatives utilize Level 3 inputs, such as estimates of current credit spreads, to appropriately reflect both our own nonperformance risk and the respective counterparties' nonperformance risk in the fair value measurement. However, as of December 31, 2013, we have assessed the significance of the impact of the credit valuation adjustments on the overall valuation of our derivative positions and have determined that the credit valuation adjustments are not significant to the overall valuation of our derivatives. As a result, we have determined that our derivative valuations in their entirety are classified in Level 2 in the fair value hierarchy. | ||||||||||||||||
As of December 31, 2013 and June 30, 2013, the carrying amounts of cash and cash equivalents, receivables, accounts payable, and other current liabilities approximated their estimated fair values. We performed an evaluation of the estimated fair value of our debt and determined that the fair value approximates the carrying value of the liability as of June 30, 2013. As of December 31, 2013 the carrying value of our debt was $204,500 and the fair value was $208,099. Our debt is a variable rate debt instrument indexed to LIBOR that resets periodically. The estimated fair value of our debt was determined using available market information based on recent trades or activity of debt instruments with substantially similar risks, terms and maturities, which fall within Level 2 under the fair value hierarchy. This estimated fair value may not be representative of actual values that could have been or will be realized in the future. |
Derivative_Financial_Instrumen
Derivative Financial Instruments (Notes) | 6 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Text Block] | ' | |||||||||||||||||||||||||||
Derivative Financial Instruments | ||||||||||||||||||||||||||||
Hedges of Interest Rate Risk | ||||||||||||||||||||||||||||
We enter into interest rate swap contracts to manage differences in the amount of our known or expected cash payments related to our debt. Our objective in using interest rate derivatives is to add stability to interest expense and to manage our exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for us making fixed-rate payments over the life of the derivative agreements without exchange of the underlying notional amount. | ||||||||||||||||||||||||||||
The effective portion of changes in the fair value of derivatives designated and qualifying as cash flow hedges is recorded in accumulated other comprehensive loss and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. If a derivative is deemed to be ineffective, the ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. During the three and six months ended December 31, 2013, we did not hold any interest rate derivative instruments that were determined to be ineffective. | ||||||||||||||||||||||||||||
Amounts reported in accumulated other comprehensive loss related to interest rate swap contracts will be reclassified to interest expense as interest payments are accrued or made on our variable-rate debt. Assuming these derivative instruments continue to qualify for hedge accounting, as of December 31, 2013, we estimate that $197 will be reclassified from accumulated other comprehensive loss to interest expense during the twelve months ending December 31, 2014. As of December 31, 2013, we had 6 outstanding interest rate swap contracts indexed to one-month LIBOR. These instruments were designated as cash flow hedges of interest rate risk and have varying maturity dates from 2014 - 2017. As the start date of certain contracts has not yet commenced, the notional amount of our outstanding contracts is in excess of the variable-rate debt being hedged as of the balance sheet date. | ||||||||||||||||||||||||||||
Interest rate swap contracts outstanding: | Notional Amounts | |||||||||||||||||||||||||||
Contracts accruing interest as of December 31, 2013 | $ | 130,000 | ||||||||||||||||||||||||||
Contracts with a future start date | 40,000 | |||||||||||||||||||||||||||
Total | $ | 170,000 | ||||||||||||||||||||||||||
Hedges of Currency Risk | ||||||||||||||||||||||||||||
We execute currency forward contracts in order to mitigate our exposure to fluctuations in various currencies against our reporting currency, the U.S. dollar. We use currency derivatives, specifically currency forward contracts, to manage this exposure. During the six months ended December 31, 2013, we had both currency forward contract activity for which we elected hedge accounting and activity for which we did not elect hedge accounting. In evaluating our currency hedging program and ability to achieve hedge accounting in light of certain changes in our legal entity cash flows, we considered the benefits of hedge accounting relative to the additional economic cost of trade execution and administrative burden. Based on this analysis, we decided to not seek hedge accounting for our current currency forward contracts, but we may elect to apply hedge accounting in future scenarios. As a result, during the three and six months ended December 31, 2013, we have experienced increased volatility within other expense, net in our consolidated statements of operations from unrealized gains and losses on the mark-to-market of outstanding currency forward contracts. We expect this volatility to continue in future periods for contracts for which we do not apply hedge accounting. | ||||||||||||||||||||||||||||
The effective portion of changes in the fair value of derivatives designated and qualifying as cash flow hedges is recorded in accumulated other comprehensive loss and is subsequently reclassified into earnings in the period in which the hedged forecasted transaction affects earnings. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. As of December 31, 2013, we have no outstanding currency forward contracts that qualify for hedge accounting and, as such, there are no current balances to be reclassified into earnings over the next twelve months. | ||||||||||||||||||||||||||||
The changes in the fair value of derivatives not designated in hedging relationships are recorded directly in earnings as a component of other expense, net. | ||||||||||||||||||||||||||||
As of December 31, 2013, we had the following outstanding currency forward contracts that were not designated for hedge accounting and used to hedge fluctuations in the U.S. Dollar value of forecasted transactions denominated in Canadian Dollar, Danish Krone, The Euro, Great British Pound, Indian Rupee, Japanese Yen, New Zealand Dollar, Norwegian Krone, Singapore Dollar, Swedish Krona, and Swiss Franc: | ||||||||||||||||||||||||||||
Notional Amount | Effective Date | Maturity Date | Number of Instruments | Index | Hedge Designation | |||||||||||||||||||||||
$123,034 | July 2013 through December 2013 | Various through December 2014 | 103 | Various | Non-designated | |||||||||||||||||||||||
Financial Instrument Presentation | ||||||||||||||||||||||||||||
The table below presents the fair value of our derivative financial instruments as well as their classification on the balance sheet as of December 31, 2013 and June 30, 2013: | ||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | |||||||||||||||||||||||||||
Derivatives designated as hedging instruments | Balance Sheet Line Item | Gross amounts of recognized assets | Gross amount offset in consolidated balance sheet | Net amount | Balance Sheet Line Item | Gross amounts of recognized liabilities | Gross amount offset in consolidated balance sheet | Net amount | ||||||||||||||||||||
Interest rate swaps | Other non-current assets | $ | 220 | $ | (78 | ) | $ | 142 | Other current liabilities/other liabilities | $ | (119 | ) | $ | — | $ | (119 | ) | |||||||||||
Currency forward contracts | Other current assets | — | — | — | Other current liabilities | — | — | — | ||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | 220 | $ | (78 | ) | $ | 142 | $ | (119 | ) | $ | — | $ | (119 | ) | |||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||||||||
Currency forward contracts | Other current assets | $ | 866 | $ | (269 | ) | $ | 597 | Other current liabilities | $ | (4,378 | ) | $ | 80 | $ | (4,298 | ) | |||||||||||
Total derivatives not designated as hedging instruments | $ | 866 | $ | (269 | ) | $ | 597 | $ | (4,378 | ) | $ | 80 | $ | (4,298 | ) | |||||||||||||
30-Jun-13 | ||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | |||||||||||||||||||||||||||
Derivatives designated as hedging instruments | Balance Sheet Line Item | Gross amounts of recognized assets | Gross amount offset in consolidated balance sheet | Net amount | Balance Sheet Line Item | Gross amounts of recognized liabilities | Gross amount offset in consolidated balance sheet | Net amount | ||||||||||||||||||||
Interest rate swaps | Other non-current assets | $ | 400 | $ | (56 | ) | $ | 344 | Other current liabilities/other liabilities | $ | (81 | ) | $ | 11 | $ | (70 | ) | |||||||||||
Currency forward contracts | Other current assets | 83 | (13 | ) | 70 | Other current liabilities | (208 | ) | 5 | (203 | ) | |||||||||||||||||
Total derivatives designated as hedging instruments | $ | 483 | $ | (69 | ) | $ | 414 | $ | (289 | ) | $ | 16 | $ | (273 | ) | |||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||||||||
Currency forward contracts | Other current assets | $ | — | $ | — | $ | — | Other current liabilities | $ | — | $ | — | $ | — | ||||||||||||||
Total derivatives not designated as hedging instruments | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
The following table presents the effect of our derivative financial instruments designated as hedging instruments and their classification within comprehensive income for the three and six months ended December 31, 2013 and 2012: | ||||||||||||||||||||||||||||
Derivatives in Hedging Relationships | Amount of Gain (Loss) Recognized in Comprehensive Income on Derivatives (Effective Portion) | |||||||||||||||||||||||||||
Three Months Ended December 31, | Six months ended December 31, | |||||||||||||||||||||||||||
In thousands | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
Currency contracts that hedge revenue | $ | — | $ | (651 | ) | $ | (107 | ) | $ | (651 | ) | |||||||||||||||||
Currency contracts that hedge cost of revenue | — | 82 | 59 | 82 | ||||||||||||||||||||||||
Currency contracts that hedge technology and development expense | — | 210 | 70 | 210 | ||||||||||||||||||||||||
Currency contracts that hedge general and administrative expense | — | 15 | 12 | 15 | ||||||||||||||||||||||||
Interest Rate Swaps | (30 | ) | 44 | (324 | ) | (277 | ) | |||||||||||||||||||||
Total loss recognized in comprehensive income during the period | $ | (30 | ) | $ | (300 | ) | $ | (290 | ) | $ | (621 | ) | ||||||||||||||||
The following table presents reclassifications out of accumulated other comprehensive loss for the three and six months ended December 31, 2013 and 2012: | ||||||||||||||||||||||||||||
Details about Accumulated Other | Amount Reclassified from Accumulated Other Comprehensive Loss to Net Income Gain/(Loss) | Affected line item in the | ||||||||||||||||||||||||||
Comprehensive Loss Components | Statement of Operations | |||||||||||||||||||||||||||
Three Months Ended December 31, | Six months ended December 31, | |||||||||||||||||||||||||||
In thousands | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
Currency contracts that hedge revenue | $ | — | $ | (47 | ) | $ | (120 | ) | $ | (47 | ) | Revenue | ||||||||||||||||
Currency contracts that hedge cost of revenue | — | 11 | (112 | ) | 11 | Cost of revenue | ||||||||||||||||||||||
Currency contracts that hedge technology and development expense | — | 9 | 122 | 9 | Technology and development expense | |||||||||||||||||||||||
Currency contracts that hedge general and administrative expense | — | 2 | 11 | 2 | General and administrative expense | |||||||||||||||||||||||
Interest Rate Swaps | (79 | ) | (48 | ) | (154 | ) | (81 | ) | Interest expense | |||||||||||||||||||
Total before income tax | (79 | ) | (73 | ) | (253 | ) | (106 | ) | Income (loss) before income taxes and loss in equity interests | |||||||||||||||||||
Income tax benefit | 16 | — | 31 | — | Income tax provision | |||||||||||||||||||||||
Total | $ | (63 | ) | $ | (73 | ) | $ | (222 | ) | $ | (106 | ) | ||||||||||||||||
The following table presents the mark-to-market and settlement effect of our derivative financial instruments for contracts that we did not designate as hedging instruments, as well as those which have been de-designated and no longer qualify as hedging instruments, recorded within the statement of operations: | ||||||||||||||||||||||||||||
Derivatives not classified as hedging instruments under ASC 815 | Amount of Gain (Loss) Recognized in Income | Location of Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||
In thousands | Three months ended December 31, | Six months ended December 31, | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Currency forward contracts | $ | (1,229 | ) | $ | — | $ | (6,438 | ) | $ | — | Other expense, net | |||||||||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Notes) | 6 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Accumulated Other Comprehensive Loss [Abstract] | ' | |||||||||||
Comprehensive Income (Loss) Note [Text Block] | ' | |||||||||||
Accumulated Other Comprehensive Loss | ||||||||||||
The following table presents a roll forward of amounts recognized in accumulated other comprehensive loss by component, net of tax of $4, for the six months ended December 31, 2013: | ||||||||||||
In thousands | Gains (Losses) on Cash Flow Hedges | Currency translation adjustments | Total | |||||||||
Balance as of June 30, 2013 | $ | 86 | $ | (11,642 | ) | $ | (11,556 | ) | ||||
Other comprehensive income (loss) before reclassifications | (290 | ) | 10,991 | 10,701 | ||||||||
Amounts reclassified from accumulated other comprehensive loss to net income | 222 | — | 222 | |||||||||
Net current period other comprehensive income (loss) | (68 | ) | 10,991 | 10,923 | ||||||||
Balance as of December 31, 2013 | $ | 18 | $ | (651 | ) | $ | (633 | ) | ||||
Waltham_and_Lexington_Lease_Ar
Waltham and Lexington Lease Arrangements (Notes) | 6 Months Ended |
Dec. 31, 2013 | |
Waltham and Lexington Lease Arrangements [Abstract] | ' |
Waltham and Lexington Lease Arrangements Disclosure [Text Block] | ' |
Waltham and Lexington Lease Arrangements | |
In July 2013, we executed a lease agreement to move our Lexington, Massachusetts ("Lexington") operations to a yet to be constructed facility in Waltham, Massachusetts ("Waltham"). The Waltham lease will commence upon completion of the building, scheduled for the first quarter of fiscal 2016, and will extend eleven years from the commencement date. The cash expected to be paid ratably over the initial eleven year term of the lease is approximately $119,600 starting in September 2015. | |
Concurrent with the Waltham negotiations, we amended our current Lexington lease, as both leases are held with the same landlord. The amendment to the Lexington lease has a contingent feature to shorten the current term of the lease to coincide with the rent commencement date of the Waltham lease, and a second contingent feature to adjust the remaining annual rental amounts. Both of the arrangements are contingent upon the lessor obtaining certain building permits for the Waltham lease by March 2014. If the lessor does not fulfill this obligation, we have the option to cancel the Waltham lease, without penalty, and return to the terms our original Lexington lease. As of December 31, 2013, the lessor has yet to obtain all of the requisite building permits for the Waltham building construction. | |
For accounting purposes, we are deemed to be the owner of the Waltham building during the construction period and, accordingly, as of December 31, 2013 we have recorded $2,711 of construction project costs incurred by the landlord as an asset with a corresponding financing obligation. The asset is included as construction in progress in property, plant and equipment, net and the liability is included in other liabilities on our consolidated balance sheet. Once the construction is completed, we will evaluate the Waltham lease in order to determine whether or not the lease meets the criteria for "sale-leaseback" treatment. | |
Although we will not begin making cash lease payments until the lease commencement date, a portion of the lease obligation attributable to the land is treated for accounting purposes as an operating lease that commenced during the second quarter of fiscal 2014. We bifurcate our future lease payments pursuant to the lease into (i) a portion that is allocated to the building and (ii) a portion that is allocated to the land on which the building is being constructed, which will be recorded as rental expense during the construction period. Although this is not currently a cash outlay for us, we recognized rent expense of $125 in our consolidated statement of operations for the land operating lease during the three months ended December 31, 2013. |
Goodwill_and_Acquired_Intangib
Goodwill and Acquired Intangible Assets (Notes) | 6 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Goodwill and Acquired Intangible Assets | ' | |||||||||||||||
Goodwill and Acquired Intangible Assets | ||||||||||||||||
Goodwill | ||||||||||||||||
The carrying amount of goodwill by segment as of June 30, 2013 and December 31, 2013 is as follows: | ||||||||||||||||
North America | Europe | Most of World | Total | |||||||||||||
Balance as of June 30, 2013 | $ | 95,790 | $ | 44,895 | $ | 208 | $ | 140,893 | ||||||||
Effect of currency translation adjustments (1) | (743 | ) | 4,333 | — | 3,590 | |||||||||||
Balance as of December 31, 2013 | $ | 95,047 | $ | 49,228 | $ | 208 | $ | 144,483 | ||||||||
_________________ | ||||||||||||||||
(1) Relates to goodwill on non-U.S. Dollar functional currency legal entities. | ||||||||||||||||
Acquired Intangible Assets | ||||||||||||||||
Acquired intangible assets amortization expense was $2,353 and $4,657 for the three and six months ended December 31, 2013, respectively, and $2,347 and $4,630 for the three and six months ended December 31, 2012, respectively. |
Accrued_Expenses_Notes
Accrued Expenses (Notes) | 6 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Accrued Expenses | ' | |||||||
Accrued Expenses | ||||||||
Accrued expenses included the following: | ||||||||
December 31, | June 30, | |||||||
2013 | 2013 | |||||||
Advertising costs (1) | $ | 34,686 | $ | 24,824 | ||||
Compensation costs (2) | 31,147 | 43,879 | ||||||
Income and indirect taxes (3) | 29,879 | 12,463 | ||||||
Shipping costs | 8,905 | 4,632 | ||||||
Purchases of property, plant and equipment | 4,251 | 1,582 | ||||||
Professional costs | 2,444 | 2,470 | ||||||
Other | 18,592 | 13,488 | ||||||
Total accrued expenses | $ | 129,904 | $ | 103,338 | ||||
_____________________ | ||||||||
(1) The increase in accrued advertising costs is principally a result of increased holiday promotion costs during the quarter ended December 31, 2013. | ||||||||
(2) The decrease in accrued compensation costs is principally a result of the payment of our fiscal 2013 annual incentive compensation plans in the three months ended September 30, 2013 offset by compensation costs accrued during fiscal 2014. | ||||||||
(3) The increase in accrued income taxes and indirect taxes is principally a result of the timing of payment of indirect taxes and the seasonality of related revenue. |
Debt_Notes
Debt (Notes) | 6 Months Ended | |
Dec. 31, 2013 | ||
Debt Disclosure [Abstract] | ' | |
Long-Term Debt | ' | |
Debt | ||
On January 17, 2014, we entered into an amendment to our credit agreement resulting in an increase to aggregate loan commitments under the credit agreement of $303,750, to a total of $800,000 by adding new lenders and increasing the commitments of several existing lenders. The new loan commitments include revolving loans of $640,000 and term loans of $160,000. The amendment did not result in any material changes to our debt covenants. | ||
As of December 31, 2013, we had aggregate borrowings of $496,250 available to us under our secured credit facility as follows: | ||
• | Revolving loans of $400,000 with a maturity date of February 8, 2018; | |
• | Term loan of $96,250 amortizing over the loan period, with a final maturity date of February 8, 2018. | |
As of December 31, 2013 and June 30, 2013, our debt outstanding was $204,500 and $238,750, respectively. | ||
Under the terms of our credit agreement, borrowings bear interest at a variable rate of interest based on LIBOR plus 1.50% to 2.00% depending on our leverage ratio, which is the ratio of our consolidated total indebtedness to our consolidated earnings before interest, taxes, depreciation and amortization (EBITDA), as defined by the credit agreement. As of December 31, 2013, the weighted-average interest rate on outstanding borrowings was 2.03%, inclusive of interest rate swap activity. We must also pay a commitment fee on unused balances of 0.225% to 0.350% depending on our leverage ratio. We have pledged the assets and/or share capital of several of our subsidiaries as collateral for our outstanding debt as of December 31, 2013. | ||
Our credit agreement contains financial and other covenants, including but not limited to limitations on (1) our incurrence of additional indebtedness and liens, (2) the consummation of certain fundamental organizational changes or intercompany activities, for example acquisitions, (3) investments and restricted payments including the amount of purchases of our ordinary shares or payments of dividends, and (4) the amount of consolidated capital expenditures that we may make in each of our fiscal years through June 30, 2018. The credit agreement also contains financial covenants calculated on a trailing twelve month, or TTM, basis that: | ||
• | our consolidated leverage ratio, which is the ratio of our consolidated indebtedness (*) to our TTM consolidated EBITDA (*), will not exceed (i) 3.5 during the period from December 31, 2012 through December 31, 2013; (ii) 3.25 during the period from March 31, 2014 through December 31, 2014; and 3.0 after March 31, 2015; and | |
• | our interest coverage ratio, which is the ratio of our consolidated EBITDA to our consolidated interest expense, will be at least 3.0. | |
(*) The definitions of EBITDA and consolidated indebtedness are maintained in our credit agreement included as an exhibit to Form 8-K filed on February 13, 2013 and January 22, 2014. | ||
Our agreement also contains customary representations, warranties and events of default. As of December 31, 2013, we were in compliance with all financial and other covenants under the credit agreement. |
Income_Taxes_Notes
Income Taxes (Notes) | 6 Months Ended |
Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes | |
Income tax expense was $6,005 and $6,820 for the three and six months ended December 31, 2013, as compared to $8,189 and $8,323 for the same prior year periods. The decrease is primarily attributable to tax benefits resulting from changes to our corporate entity operating structure that became effective on October 1, 2013 and a lower annual effective tax rate relative to fiscal 2013. We made the changes to our corporate entity operating structure, which included transferring our intellectual property among certain of our subsidiaries, primarily to align our corporate entities with our evolving operations and business model. Additionally, income tax expense for the same periods in fiscal 2013 was reduced by a one-time currency exchange related tax benefit of $1,918 recognized by one of our Canadian subsidiaries. | |
On an annual basis, our income tax expense for the majority of our subsidiaries is a function of our operating expenses and cost-based transfer pricing methodologies and not a function of consolidated pre-tax income. As a result, our consolidated annual effective tax rate will typically vary inversely to changes in our consolidated pre-tax income. For fiscal 2014 we are forecasting a lower consolidated annual effective tax rate as compared to 2013, primarily as a result of higher consolidated pre-tax earnings as compared to 2013 and changes to our geographic mix of earnings. Additionally, our fiscal 2014 consolidated annual effective tax rate will be further reduced by tax benefits recognized as a result of the changes to our corporate entity operating structure. | |
As of December 31, 2013, we had a net liability for unrecognized tax benefits included in the balance sheet of approximately $6,140, including accrued interest of $511. There have been no significant changes to these amounts during the three and six months ended December 31, 2013. Of the total amount of unrecognized tax benefits, approximately, $2,664 will reduce the effective tax rate if recognized. We recognize interest and, if applicable, penalties related to unrecognized tax benefits in the provision for income taxes. | |
It is reasonably possible that a further change in unrecognized tax benefits may occur within the next twelve months related to the settlement of one or more audits or the lapse of applicable statutes of limitations. However, an estimated range of the impact on the unrecognized tax benefits cannot be quantified at this time. We believe we have appropriately provided for all tax uncertainties. | |
We conduct business in a number of tax jurisdictions and, as such, are required to file income tax returns in multiple jurisdictions globally. The years 2007 through 2013 remain open for examination by the United States Internal Revenue Service (“IRS”) and the years 2006 through 2013 remain open for examination in the various states and non-US tax jurisdictions in which we file tax returns. | |
One of our subsidiaries Vistaprint Limited (domiciled in Bermuda) is currently under income tax audit by the IRS. In August 2012, we received a Revenue Agent's Report (“RAR”) from the IRS proposing tax assessments for the 2007 to 2009 tax years. The issue in dispute is the imposition of U.S. federal income tax on effectively connected income associated with the IRS' assertion that Vistaprint Limited has a U.S. Trade or Business. In September 2012, we submitted to the IRS Examination team a written protest stating our formal disagreement with the facts and technical conclusions presented in the RAR and requesting the case be heard by the IRS Office of Appeals. In August 2013, the case was officially transferred to the IRS Office of Appeals. We anticipate our hearing in Appeals to commence sometime during fiscal year 2014. | |
One of our Canadian subsidiaries, Vistaprint North American Services Corp., was previously under income tax examination by the Canada Revenue Agency ("CRA") for the 2006 tax year. In October 2013, we had a formal hearing before the Appeals Division of the CRA. We were subsequently notified that the case has been concluded and the audit assessments have been overturned resulting in our owing no additional tax. As a result of this finding, there are no adjustments to our income tax reserves required for the three months ended December 31, 2013. | |
Vistaprint USA, Incorporated is currently under review by the Office of Appeals of the Massachusetts Department of Revenue ("DOR"). The tax years under examination are 2006 to 2008. In June 2013, Vistaprint USA, Incorporated received Notices of Assessment from the DOR containing proposed adjustments to taxable income for the years 2006 to 2008. The issue in dispute is whether there was appropriate value received with respect to intangible property rights owned by Vistaprint USA, Incorporated and licensed to Vistaprint Limited during these years. In August 2013, we submitted a written protest stating our formal disagreement with the technical analysis and conclusion by the DOR and requesting our case be heard by the Office of Appeals. The hearing process with the Appeals Division officially began in October 2013 and continues to progress at the Appeals stage. | |
We believe that our income tax reserves associated with these matters are adequate as the positions reported on our tax returns will be sustained on their technical merits. However, final resolution is uncertain and there is a possibility that the final resolution could have a material impact on our financial condition, results of operations or cash flows. |
Investment_in_Equity_Interests
Investment in Equity Interests (Notes) | 6 Months Ended |
Dec. 31, 2013 | |
Investments in Equity Interests [Abstract] | ' |
Investment in Equity Interests | ' |
Investment in Equity Interests | |
In December 2013, pursuant to our shareholders agreement with Namex Limited and its related companies, we increased our equity interest in Namex Limited by contributing $4,894 in cash. This contribution is in addition to our initial investment of $12,653 in cash and $500 to be paid on an installment basis through December 31, 2016. Namex includes an established Chinese printing business, and the investment provides us with access to this new market and an opportunity to participate in longer-term growth in China. Our proportionate ownership share in Namex Limited as of December 31, 2013 is 45%, with additional call options to increase ownership incrementally over the coming seven years. | |
This investment is accounted for using the equity method. We record in net income a proportionate share of the earnings or losses of Namex, as well as amortization related to our proportionate share of the fair value of certain assets at each investment date, with a corresponding increase or decrease in the carrying value of the investment. For the three and six months ended December 31, 2013, we recorded losses of $867 and $1,646, respectively, attributable to Namex in our consolidated statement of operations. As of December 31, 2013, the carrying value of our Namex investment, inclusive of our share of net assets and goodwill, was $14,466 in our consolidated balance sheet and we have a contractual loan arrangement with the majority shareholder of Namex, resulting in a loan receivable of $512 that is due with 6.5% per annum interest on or before December 31, 2016. We do not have any other material commercial arrangements with Namex as of December 31, 2013. | |
We have determined that the level of equity investment at risk is not sufficient for the entity to finance its activities without additional financial support and, as a result, Namex represents a variable interest entity. However, through consideration of the most significant activities of the entity in conjunction with the collective shareholders' rights of Namex, we have concluded that we do not have the power to direct the activities that most significantly impact the entity's economic performance, and therefore we do not qualify as the primary beneficiary. Our exposure to loss is limited to our contributed capital and the standard risks of proportionate equity ownership associated with the entity's operating performance. | |
In January 2014, we agreed to loan approximately $11,000 to Namex in the form of a convertible debt instrument. We may lend additional amounts at our sole discretion over the next two years, in amounts not to exceed $11,000. We have the option to convert any outstanding borrowings into additional share capital in fiscal 2017. If we do not exercise our conversion option, Namex is required to repay the borrowings with 7.2% per annum compounded interest on or before December 31, 2016. |
Segment_Information_Notes
Segment Information (Notes) | 6 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment Information | ' | |||||||||||||||
Segment Information | ||||||||||||||||
Operating segments are based upon our internal organization structure, the manner in which our operations are managed and the availability of separate financial information reported internally to the Chief Executive Officer, who constitutes our Chief Operating Decision Maker (“CODM”) for purposes of making decision about how to allocate resources and assess performance. We have three geographically based operating segments: North America, Europe, and Most of World, which includes our historical Asia Pacific business and global emerging markets. The CODM measures and evaluates the performance of our operating segments based on revenue and income or loss from operations. | ||||||||||||||||
Consistent with our historical reporting, the costs associated with shared central functions are not allocated to the reporting segments and instead are reported and disclosed under the caption “Corporate and global functions,” which includes expenses related to corporate support functions, software and manufacturing engineering, and the global component of our IT operations and customer service, sales and design support. We do not allocate non-operating income to our segment results. There are no internal revenue transactions between our reporting segments and all intersegment transfers are recorded at cost for presentation to the CODM, for example, products manufactured by our Venlo, the Netherlands facility for the Most of World segment; therefore, there is no intercompany profit or loss recognized on these transactions. At this time, we do not allocate support costs across operating segments or corporate and global functions, which may limit the comparability of income from operations by segment. Our balance sheet information is not presented to the CODM on an allocated basis and therefore we do not present asset information by segment. | ||||||||||||||||
Revenue by segment and geography is based on the country-specific website through which the customer’s order was transacted. The following tables set forth revenue and income from operations by operating segment. | ||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenue: | ||||||||||||||||
North America | $ | 189,447 | $ | 167,511 | $ | 354,221 | $ | 311,749 | ||||||||
Europe | 161,031 | 159,339 | 255,735 | 249,052 | ||||||||||||
Most of World | 20,329 | 21,462 | 35,940 | 38,927 | ||||||||||||
Total revenue | $ | 370,807 | $ | 348,312 | $ | 645,896 | $ | 599,728 | ||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Income (loss) from operations: | ||||||||||||||||
North America | $ | 67,020 | $ | 55,361 | $ | 121,270 | $ | 97,101 | ||||||||
Europe | 54,789 | 39,440 | 73,187 | 56,429 | ||||||||||||
Most of World | (3,770 | ) | (88 | ) | (5,772 | ) | (1,872 | ) | ||||||||
Corporate and global functions | (65,517 | ) | (61,672 | ) | (127,754 | ) | (118,383 | ) | ||||||||
Total income from operations | $ | 52,522 | $ | 33,041 | $ | 60,931 | $ | 33,275 | ||||||||
Enterprise Wide Disclosures: | ||||||||||||||||
The following tables set forth revenues by geographic area and groups of similar products and services: | ||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
United States | $ | 175,809 | $ | 156,703 | $ | 330,709 | $ | 293,418 | ||||||||
Non-United States (1) | 194,998 | 191,609 | 315,187 | 306,310 | ||||||||||||
Total revenue | $ | 370,807 | $ | 348,312 | $ | 645,896 | $ | 599,728 | ||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Physical printed products and other (2) | $ | 350,471 | $ | 327,926 | $ | 604,771 | $ | 559,514 | ||||||||
Digital products/services | 20,336 | 20,386 | 41,125 | 40,214 | ||||||||||||
Total revenue | $ | 370,807 | $ | 348,312 | $ | 645,896 | $ | 599,728 | ||||||||
___________________ | ||||||||||||||||
(1) Our non-United States revenue includes the Netherlands, our country of domicile. Revenue earned in any individual country outside the United States was not greater than 10% of consolidated revenue for the years presented. | ||||||||||||||||
(2) Other revenue includes miscellaneous items which account for less than 1% of revenue. | ||||||||||||||||
The following tables set forth long-lived assets by geographic area: | ||||||||||||||||
December 31, | June 30, | |||||||||||||||
2013 | 2013 | |||||||||||||||
Long-lived assets (3): | ||||||||||||||||
Netherlands | $ | 106,128 | $ | 99,521 | ||||||||||||
Canada | 99,924 | 90,807 | ||||||||||||||
Australia | 35,246 | 36,774 | ||||||||||||||
United States | 34,940 | 35,943 | ||||||||||||||
Switzerland | 28,743 | 4,522 | ||||||||||||||
Jamaica | 26,340 | 26,730 | ||||||||||||||
Bermuda | 7,685 | 14,667 | ||||||||||||||
India | 5,506 | 4,429 | ||||||||||||||
Other | 4,411 | 4,884 | ||||||||||||||
Total | $ | 348,923 | $ | 318,277 | ||||||||||||
___________________ | ||||||||||||||||
(3) Excludes goodwill of $144,483 and $140,893, intangible assets, net of $27,160 and $30,337, deferred tax assets of $4,151 and $581 and the investment in equity interests of $14,466 and $11,248 as of December 31, 2013 and June 30, 2013, respectively. |
Commitments_and_Contingencies_
Commitments and Contingencies (Notes) | 6 Months Ended |
Dec. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
Purchase Obligations | |
At December 31, 2013, we had unrecorded commitments under contract of $16,163, which were principally composed of inventory purchase commitments of approximately $7,742, production and computer equipment purchases of approximately $5,552, and other unrecorded purchase commitments of $2,869. | |
Other Obligations | |
We have an outstanding installment obligation of $18,153 related to the fiscal 2012 intra-entity transfer of Webs' intellectual property, which results in tax being paid over a 7.5 year term and has been classified as a deferred tax liability in our consolidated balance sheet as of December 31, 2013. In addition, in November 2013 we announced our intent to create a joint venture in Japan with Plaza Create Co. Ltd. ("Plaza Create"), an established retailer in that country, during the second half of fiscal 2014. We have a contingent arrangement in which we may contribute approximately $5,100 in cash and certain intangible assets, in exchange for share capital in the new entity. In conjunction with that agreement, we also have a contingent obligation to purchase 800,000 common shares of Plaza Create, a publicly traded company, for approximately $4,900. | |
Legal Proceedings | |
We are not currently party to any material legal proceedings. Although we cannot predict with certainty the results of litigation and claims to which we may be subject from time to time, we do not expect the resolution of any of our current matters to have a material adverse impact on our consolidated results of operations, cash flows or financial position. In all cases, at each reporting period, we evaluate whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under the provisions of the authoritative guidance that addresses accounting for contingencies. We expense the costs relating to our legal proceedings as those costs are incurred. |
Restructuring_Notes
Restructuring (Notes) | 6 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Restructuring [Abstract] | ' | |||||||
Restructuring | ' | |||||||
Restructuring | ||||||||
During the three months ended December 31, 2013, we closed our Singapore location which provided strategic and administrative support services as part of our Most of World Segment. The following table summarizes the total restructuring costs incurred during the three and six months ended December 31, 2013. There were no such charges during the three and six months ended December 31, 2012. | ||||||||
Three months ended December 31, | Six months ended December 31, | |||||||
2013 | 2013 | |||||||
Employee termination benefits | $ | 2,372 | $ | 2,372 | ||||
Facility termination costs (1) | 614 | 614 | ||||||
Total restructuring expense | $ | 2,986 | $ | 2,986 | ||||
_____________________ | ||||||||
(1) Inclusive of $472 of accelerated depreciation related to property, plant and equipment. | ||||||||
The following table summarizes the restructuring activity for the period ended December 31, 2013: | ||||||||
Employee Termination Benefits | Facility Termination Costs | |||||||
Accrued restructuring balance as of June 30, 2013 | $ | — | $ | — | ||||
Restructuring additions | 2,372 | 142 | ||||||
Cash payments | (2,171 | ) | (29 | ) | ||||
Accrued restructuring balance as of December 31, 2013 | $ | 201 | $ | 113 | ||||
During the three months ended December 31, 2013, we recognized restructuring expense of $2,663 in general and administrative expense, $257 in technology and development expense and $66 in marketing and selling expense. We do not expect to incur any additional costs related to this restructuring activity in future periods, however estimates may change which could result in additional expense. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The consolidated financial statements include the accounts of Vistaprint N.V., its wholly owned subsidiaries, and those entities in which we have a variable interest and are the primary beneficiary. Intercompany balances and transactions have been eliminated. Investments in entities in which we can exercise significant influence, but do not own a majority equity interest or otherwise control, are accounted for using the equity method and are included as investments in equity interests on the consolidated balance sheets. | |
The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and, accordingly, do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments, consisting primarily of normal recurring accruals, considered necessary for a fair presentation of the results of operations for the interim periods reported and of our financial condition as of the date of the interim balance sheet have been included. Operating results for the three and six months ended December 31, 2013 are not necessarily indicative of the results that may be expected for the year ending June 30, 2014 or for any other period. The consolidated balance sheet at June 30, 2013 has been derived from our audited consolidated financial statements at that date but does not include all of the information and footnotes required by GAAP for complete financial statements. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended June 30, 2013 included in the our Annual Report on Form 10-K filed with the United States Securities and Exchange Commission (the “SEC”). | |
Use of Estimates, Policy | ' |
Use of Estimates | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. We believe our most significant estimates are associated with the ongoing evaluation of our long-lived assets and goodwill, advertising expense and related accruals, share-based compensation, accounting for business combinations, income taxes, and litigation and contingencies, among others. By their nature, estimates are subject to an inherent degree of uncertainty. Actual results could differ from those estimates. | |
Net income per share | ' |
Net Income Per Share | |
Basic net income per share is computed by dividing net income by the weighted-average number of ordinary shares outstanding for the respective period. Diluted net income per share gives effect to all potentially dilutive securities, including share options, restricted share units (“RSUs”) and restricted share awards ("RSAs"), if the effect of the securities is dilutive using the treasury stock method. Awards with performance or market conditions are included using the treasury stock method only if the conditions would have been met as of the end of the reporting period and their effect is dilutive. | |
Share-based Compensation | ' |
Share-Based Compensation | |
During the three and six months ended December 31, 2013, we recorded share-based compensation expense of $7,873 and $16,258, respectively, and $8,350 and $16,617 during the three and six months ended December 31, 2012, respectively. As of December 31, 2013, there was $47,001 of total unrecognized compensation cost related to non-vested share-based compensation arrangements, net of estimated forfeitures. This cost is expected to be recognized over a weighted average period of 2.98 years. | |
Derivative Financial Instruments | ' |
Derivative Financial Instruments | |
We record all derivatives on the consolidated balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether we have elected to designate a derivative as being a hedging relationship, and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability or firm commitment attributable to a particular risk are considered fair value hedges. Derivatives designated and qualifying as hedges of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transaction in a cash flow hedge. We also enter into derivative contracts that are intended to economically hedge certain of our risks, even though we may not elect to apply hedge accounting or the instrument may not qualify for hedge accounting. The changes in the fair value of derivatives not designated as being in hedging relationships are recorded directly in earnings as a component of other expense, net. In accordance with the fair value measurement guidance, our accounting policy is to measure the credit risk of our derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. We execute our derivative instruments with financial institutions that we judge to be credit-worthy, defined as institutions that hold an investment grade credit rating. | |
Restructuring | ' |
Restructuring | |
Restructuring costs are recorded in connection with initiatives designed to improve efficiency or enhance competitiveness. Restructuring initiatives require us to make estimates in several areas, including expenses for severance and other employee separation costs and the ability to generate sublease income to terminate lease obligations at the estimated amounts. One-time termination benefits are expensed at the date we notify the employee, unless the employee must provide future service beyond the statutory minimum retention period, in which case the benefits are expensed ratably over the future service period. Liabilities for costs associated with an exit or disposal activity are recognized when the liability is incurred, as opposed to when management commits to an exit plan, and are measured at fair value. Restructuring costs are included as a component of each related operating expense within our consolidated statement of operations. | |
Leases | ' |
Leases | |
We categorize leases at their inception as either operating or capital leases. Costs for operating leases that include incentives such as payment escalations or rent abatements are recognized on a straight-line basis over the term of the lease. Additionally, inducements received are treated as a reduction of our costs over the term of the agreement. Leasehold improvements are capitalized at cost and amortized over the shorter of their expected useful life or the life of the lease, excluding renewal periods. For lease arrangements where we are deemed to be involved in the construction of structural improvements prior to the commencement of the lease or take some level of construction risk, we are considered the owner of the assets during the construction period. Accordingly, as the lessor incurs the construction project costs, the assets and corresponding financial obligation are recorded in our consolidated balance sheet. Once the construction is completed, if the lease meets certain “sale-leaseback” criteria, we will remove the asset and related financial obligation from the balance sheet and treat the building lease as either an operating or capital lease based on our assessment of the guidance. If upon completion of construction, the project does not meet the “sale-leaseback” criteria, the lease will be treated as a financing obligation and we will depreciate the asset over its estimated useful life for financial reporting purposes. | |
Recently Issued or Adopted Accounting Pronouncements | ' |
Recently Issued or Adopted Accounting Pronouncements | |
None. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 6 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||
Schedule of weighted-average number of shares | ' | |||||||||||
The following table sets forth the reconciliation of the weighted-average number of ordinary shares: | ||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Weighted average shares outstanding, basic | 32,861,393 | 33,377,045 | 32,760,384 | 33,525,669 | ||||||||
Weighted average shares issuable upon exercise/vesting of outstanding share options/RSUs/RSAs | 1,690,801 | 1,167,920 | 1,702,622 | 1,228,905 | ||||||||
Shares used in computing diluted net income per share | 34,552,194 | 34,544,965 | 34,463,006 | 34,754,574 | ||||||||
Weighted average anti-dilutive shares excluded from diluted net income per share | 913,562 | 2,486,505 | 920,889 | 2,121,833 | ||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair value of financial assets | ' | |||||||||||||||
The following tables summarize our assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy: | ||||||||||||||||
December 31, 2013 | ||||||||||||||||
Total | Quoted Prices in | Significant Other | Significant | |||||||||||||
Active | Observable Inputs | Unobservable | ||||||||||||||
Markets for | (Level 2) | Inputs | ||||||||||||||
Identical Assets | (Level 3) | |||||||||||||||
(Level 1) | ||||||||||||||||
Assets | ||||||||||||||||
Interest rate swap contracts | $ | 142 | $ | — | $ | 142 | $ | — | ||||||||
Currency forward contracts | 597 | — | 597 | — | ||||||||||||
Total assets recorded at fair value | $ | 739 | $ | — | $ | 739 | $ | — | ||||||||
Liabilities | ||||||||||||||||
Interest rate swap contracts | $ | (119 | ) | $ | — | $ | (119 | ) | $ | — | ||||||
Currency forward contracts | (4,298 | ) | — | (4,298 | ) | — | ||||||||||
Total liabilities recorded at fair value | $ | (4,417 | ) | $ | — | $ | (4,417 | ) | $ | — | ||||||
June 30, 2013 | ||||||||||||||||
Total | Quoted Prices in | Significant Other | Significant | |||||||||||||
Active | Observable Inputs | Unobservable | ||||||||||||||
Markets for | (Level 2) | Inputs | ||||||||||||||
Identical Assets | (Level 3) | |||||||||||||||
(Level 1) | ||||||||||||||||
Assets | ||||||||||||||||
Interest rate swap contracts | $ | 344 | $ | — | $ | 344 | $ | — | ||||||||
Currency forward contracts | 70 | — | 70 | — | ||||||||||||
Total assets recorded at fair value | $ | 414 | $ | — | $ | 414 | $ | — | ||||||||
Liabilities | ||||||||||||||||
Interest rate swap contracts | $ | (70 | ) | $ | — | $ | (70 | ) | $ | — | ||||||
Currency forward contracts | (203 | ) | — | (203 | ) | — | ||||||||||
Total liabilities recorded at fair value | $ | (273 | ) | $ | — | $ | (273 | ) | $ | — | ||||||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 6 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Derivative Instruments [Table Text Block] | ' | |||||||||||||||||||||||||||
As of December 31, 2013, we had 6 outstanding interest rate swap contracts indexed to one-month LIBOR. These instruments were designated as cash flow hedges of interest rate risk and have varying maturity dates from 2014 - 2017. As the start date of certain contracts has not yet commenced, the notional amount of our outstanding contracts is in excess of the variable-rate debt being hedged as of the balance sheet date. | ||||||||||||||||||||||||||||
Interest rate swap contracts outstanding: | Notional Amounts | |||||||||||||||||||||||||||
Contracts accruing interest as of December 31, 2013 | $ | 130,000 | ||||||||||||||||||||||||||
Contracts with a future start date | 40,000 | |||||||||||||||||||||||||||
Total | $ | 170,000 | ||||||||||||||||||||||||||
As of December 31, 2013, we had the following outstanding currency forward contracts that were not designated for hedge accounting and used to hedge fluctuations in the U.S. Dollar value of forecasted transactions denominated in Canadian Dollar, Danish Krone, The Euro, Great British Pound, Indian Rupee, Japanese Yen, New Zealand Dollar, Norwegian Krone, Singapore Dollar, Swedish Krona, and Swiss Franc: | ||||||||||||||||||||||||||||
Notional Amount | Effective Date | Maturity Date | Number of Instruments | Index | Hedge Designation | |||||||||||||||||||||||
$123,034 | July 2013 through December 2013 | Various through December 2014 | 103 | Various | Non-designated | |||||||||||||||||||||||
Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | ' | |||||||||||||||||||||||||||
The table below presents the fair value of our derivative financial instruments as well as their classification on the balance sheet as of December 31, 2013 and June 30, 2013: | ||||||||||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | |||||||||||||||||||||||||||
Derivatives designated as hedging instruments | Balance Sheet Line Item | Gross amounts of recognized assets | Gross amount offset in consolidated balance sheet | Net amount | Balance Sheet Line Item | Gross amounts of recognized liabilities | Gross amount offset in consolidated balance sheet | Net amount | ||||||||||||||||||||
Interest rate swaps | Other non-current assets | $ | 220 | $ | (78 | ) | $ | 142 | Other current liabilities/other liabilities | $ | (119 | ) | $ | — | $ | (119 | ) | |||||||||||
Currency forward contracts | Other current assets | — | — | — | Other current liabilities | — | — | — | ||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | 220 | $ | (78 | ) | $ | 142 | $ | (119 | ) | $ | — | $ | (119 | ) | |||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||||||||
Currency forward contracts | Other current assets | $ | 866 | $ | (269 | ) | $ | 597 | Other current liabilities | $ | (4,378 | ) | $ | 80 | $ | (4,298 | ) | |||||||||||
Total derivatives not designated as hedging instruments | $ | 866 | $ | (269 | ) | $ | 597 | $ | (4,378 | ) | $ | 80 | $ | (4,298 | ) | |||||||||||||
30-Jun-13 | ||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | |||||||||||||||||||||||||||
Derivatives designated as hedging instruments | Balance Sheet Line Item | Gross amounts of recognized assets | Gross amount offset in consolidated balance sheet | Net amount | Balance Sheet Line Item | Gross amounts of recognized liabilities | Gross amount offset in consolidated balance sheet | Net amount | ||||||||||||||||||||
Interest rate swaps | Other non-current assets | $ | 400 | $ | (56 | ) | $ | 344 | Other current liabilities/other liabilities | $ | (81 | ) | $ | 11 | $ | (70 | ) | |||||||||||
Currency forward contracts | Other current assets | 83 | (13 | ) | 70 | Other current liabilities | (208 | ) | 5 | (203 | ) | |||||||||||||||||
Total derivatives designated as hedging instruments | $ | 483 | $ | (69 | ) | $ | 414 | $ | (289 | ) | $ | 16 | $ | (273 | ) | |||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||||||||
Currency forward contracts | Other current assets | $ | — | $ | — | $ | — | Other current liabilities | $ | — | $ | — | $ | — | ||||||||||||||
Total derivatives not designated as hedging instruments | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | ' | |||||||||||||||||||||||||||
The following table presents the effect of our derivative financial instruments designated as hedging instruments and their classification within comprehensive income for the three and six months ended December 31, 2013 and 2012: | ||||||||||||||||||||||||||||
Derivatives in Hedging Relationships | Amount of Gain (Loss) Recognized in Comprehensive Income on Derivatives (Effective Portion) | |||||||||||||||||||||||||||
Three Months Ended December 31, | Six months ended December 31, | |||||||||||||||||||||||||||
In thousands | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
Currency contracts that hedge revenue | $ | — | $ | (651 | ) | $ | (107 | ) | $ | (651 | ) | |||||||||||||||||
Currency contracts that hedge cost of revenue | — | 82 | 59 | 82 | ||||||||||||||||||||||||
Currency contracts that hedge technology and development expense | — | 210 | 70 | 210 | ||||||||||||||||||||||||
Currency contracts that hedge general and administrative expense | — | 15 | 12 | 15 | ||||||||||||||||||||||||
Interest Rate Swaps | (30 | ) | 44 | (324 | ) | (277 | ) | |||||||||||||||||||||
Total loss recognized in comprehensive income during the period | $ | (30 | ) | $ | (300 | ) | $ | (290 | ) | $ | (621 | ) | ||||||||||||||||
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | ' | |||||||||||||||||||||||||||
The following table presents reclassifications out of accumulated other comprehensive loss for the three and six months ended December 31, 2013 and 2012: | ||||||||||||||||||||||||||||
Details about Accumulated Other | Amount Reclassified from Accumulated Other Comprehensive Loss to Net Income Gain/(Loss) | Affected line item in the | ||||||||||||||||||||||||||
Comprehensive Loss Components | Statement of Operations | |||||||||||||||||||||||||||
Three Months Ended December 31, | Six months ended December 31, | |||||||||||||||||||||||||||
In thousands | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||||||
Currency contracts that hedge revenue | $ | — | $ | (47 | ) | $ | (120 | ) | $ | (47 | ) | Revenue | ||||||||||||||||
Currency contracts that hedge cost of revenue | — | 11 | (112 | ) | 11 | Cost of revenue | ||||||||||||||||||||||
Currency contracts that hedge technology and development expense | — | 9 | 122 | 9 | Technology and development expense | |||||||||||||||||||||||
Currency contracts that hedge general and administrative expense | — | 2 | 11 | 2 | General and administrative expense | |||||||||||||||||||||||
Interest Rate Swaps | (79 | ) | (48 | ) | (154 | ) | (81 | ) | Interest expense | |||||||||||||||||||
Total before income tax | (79 | ) | (73 | ) | (253 | ) | (106 | ) | Income (loss) before income taxes and loss in equity interests | |||||||||||||||||||
Income tax benefit | 16 | — | 31 | — | Income tax provision | |||||||||||||||||||||||
Total | $ | (63 | ) | $ | (73 | ) | $ | (222 | ) | $ | (106 | ) | ||||||||||||||||
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | ' | |||||||||||||||||||||||||||
The following table presents the mark-to-market and settlement effect of our derivative financial instruments for contracts that we did not designate as hedging instruments, as well as those which have been de-designated and no longer qualify as hedging instruments, recorded within the statement of operations: | ||||||||||||||||||||||||||||
Derivatives not classified as hedging instruments under ASC 815 | Amount of Gain (Loss) Recognized in Income | Location of Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||
In thousands | Three months ended December 31, | Six months ended December 31, | ||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Currency forward contracts | $ | (1,229 | ) | $ | — | $ | (6,438 | ) | $ | — | Other expense, net | |||||||||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Equity [Abstract] | ' | |||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | ' | |||||||||||
The following table presents a roll forward of amounts recognized in accumulated other comprehensive loss by component, net of tax of $4, for the six months ended December 31, 2013: | ||||||||||||
In thousands | Gains (Losses) on Cash Flow Hedges | Currency translation adjustments | Total | |||||||||
Balance as of June 30, 2013 | $ | 86 | $ | (11,642 | ) | $ | (11,556 | ) | ||||
Other comprehensive income (loss) before reclassifications | (290 | ) | 10,991 | 10,701 | ||||||||
Amounts reclassified from accumulated other comprehensive loss to net income | 222 | — | 222 | |||||||||
Net current period other comprehensive income (loss) | (68 | ) | 10,991 | 10,923 | ||||||||
Balance as of December 31, 2013 | $ | 18 | $ | (651 | ) | $ | (633 | ) | ||||
Goodwill_and_Acquired_Intangib1
Goodwill and Acquired Intangible Assets Goodwill and Acquired Intangible Assets (Tables) | 6 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Schedule of goodwill | ' | |||||||||||||||
he carrying amount of goodwill by segment as of June 30, 2013 and December 31, 2013 is as follows: | ||||||||||||||||
North America | Europe | Most of World | Total | |||||||||||||
Balance as of June 30, 2013 | $ | 95,790 | $ | 44,895 | $ | 208 | $ | 140,893 | ||||||||
Effect of currency translation adjustments (1) | (743 | ) | 4,333 | — | 3,590 | |||||||||||
Balance as of December 31, 2013 | $ | 95,047 | $ | 49,228 | $ | 208 | $ | 144,483 | ||||||||
_________________ | ||||||||||||||||
(1) Relates to goodwill on non-U.S. Dollar functional currency legal entities. |
Accrued_Expenses_Tables
Accrued Expenses (Tables) | 6 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Accrued expenses | ' | |||||||
Accrued expenses included the following: | ||||||||
December 31, | June 30, | |||||||
2013 | 2013 | |||||||
Advertising costs (1) | $ | 34,686 | $ | 24,824 | ||||
Compensation costs (2) | 31,147 | 43,879 | ||||||
Income and indirect taxes (3) | 29,879 | 12,463 | ||||||
Shipping costs | 8,905 | 4,632 | ||||||
Purchases of property, plant and equipment | 4,251 | 1,582 | ||||||
Professional costs | 2,444 | 2,470 | ||||||
Other | 18,592 | 13,488 | ||||||
Total accrued expenses | $ | 129,904 | $ | 103,338 | ||||
_____________________ | ||||||||
(1) The increase in accrued advertising costs is principally a result of increased holiday promotion costs during the quarter ended December 31, 2013. | ||||||||
(2) The decrease in accrued compensation costs is principally a result of the payment of our fiscal 2013 annual incentive compensation plans in the three months ended September 30, 2013 offset by compensation costs accrued during fiscal 2014. | ||||||||
(3) The increase in accrued income taxes and indirect taxes is principally a result of the timing of payment of indirect taxes and the seasonality of related revenue. |
Segment_Information_Tables
Segment Information (Tables) | 6 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Revenue and income from operations by operating segment | ' | |||||||||||||||
Revenue by segment and geography is based on the country-specific website through which the customer’s order was transacted. The following tables set forth revenue and income from operations by operating segment. | ||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenue: | ||||||||||||||||
North America | $ | 189,447 | $ | 167,511 | $ | 354,221 | $ | 311,749 | ||||||||
Europe | 161,031 | 159,339 | 255,735 | 249,052 | ||||||||||||
Most of World | 20,329 | 21,462 | 35,940 | 38,927 | ||||||||||||
Total revenue | $ | 370,807 | $ | 348,312 | $ | 645,896 | $ | 599,728 | ||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Income (loss) from operations: | ||||||||||||||||
North America | $ | 67,020 | $ | 55,361 | $ | 121,270 | $ | 97,101 | ||||||||
Europe | 54,789 | 39,440 | 73,187 | 56,429 | ||||||||||||
Most of World | (3,770 | ) | (88 | ) | (5,772 | ) | (1,872 | ) | ||||||||
Corporate and global functions | (65,517 | ) | (61,672 | ) | (127,754 | ) | (118,383 | ) | ||||||||
Total income from operations | $ | 52,522 | $ | 33,041 | $ | 60,931 | $ | 33,275 | ||||||||
Revenue from External Customers by Products and Services [Table Text Block] | ' | |||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Physical printed products and other (2) | $ | 350,471 | $ | 327,926 | $ | 604,771 | $ | 559,514 | ||||||||
Digital products/services | 20,336 | 20,386 | 41,125 | 40,214 | ||||||||||||
Total revenue | $ | 370,807 | $ | 348,312 | $ | 645,896 | $ | 599,728 | ||||||||
Revenues and long-lived assets by geographic area | ' | |||||||||||||||
The following tables set forth revenues by geographic area and groups of similar products and services: | ||||||||||||||||
Three Months Ended December 31, | Six Months Ended December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
United States | $ | 175,809 | $ | 156,703 | $ | 330,709 | $ | 293,418 | ||||||||
Non-United States (1) | 194,998 | 191,609 | 315,187 | 306,310 | ||||||||||||
Total revenue | $ | 370,807 | $ | 348,312 | $ | 645,896 | $ | 599,728 | ||||||||
The following tables set forth long-lived assets by geographic area: | ||||||||||||||||
December 31, | June 30, | |||||||||||||||
2013 | 2013 | |||||||||||||||
Long-lived assets (3): | ||||||||||||||||
Netherlands | $ | 106,128 | $ | 99,521 | ||||||||||||
Canada | 99,924 | 90,807 | ||||||||||||||
Australia | 35,246 | 36,774 | ||||||||||||||
United States | 34,940 | 35,943 | ||||||||||||||
Switzerland | 28,743 | 4,522 | ||||||||||||||
Jamaica | 26,340 | 26,730 | ||||||||||||||
Bermuda | 7,685 | 14,667 | ||||||||||||||
India | 5,506 | 4,429 | ||||||||||||||
Other | 4,411 | 4,884 | ||||||||||||||
Total | $ | 348,923 | $ | 318,277 | ||||||||||||
___________________ | ||||||||||||||||
(3) Excludes goodwill of $144,483 and $140,893, intangible assets, net of $27,160 and $30,337, deferred tax assets of $4,151 and $581 and the investment in equity interests of $14,466 and $11,248 as of December 31, 2013 and June 30, 2013, respectively. |
Restructuring_Tables
Restructuring (Tables) | 6 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Restructuring [Abstract] | ' | |||||||
Schedule of Restructuring Reserve by Type of Cost [Table Text Block] | ' | |||||||
The following table summarizes the restructuring activity for the period ended December 31, 2013: | ||||||||
Employee Termination Benefits | Facility Termination Costs | |||||||
Accrued restructuring balance as of June 30, 2013 | $ | — | $ | — | ||||
Restructuring additions | 2,372 | 142 | ||||||
Cash payments | (2,171 | ) | (29 | ) | ||||
Accrued restructuring balance as of December 31, 2013 | $ | 201 | $ | 113 | ||||
Restructuring and Related Costs [Table Text Block] | ' | |||||||
The following table summarizes the total restructuring costs incurred during the three and six months ended December 31, 2013. There were no such charges during the three and six months ended December 31, 2012. | ||||||||
Three months ended December 31, | Six months ended December 31, | |||||||
2013 | 2013 | |||||||
Employee termination benefits | $ | 2,372 | $ | 2,372 | ||||
Facility termination costs (1) | 614 | 614 | ||||||
Total restructuring expense | $ | 2,986 | $ | 2,986 | ||||
_____________________ | ||||||||
(1) Inclusive of $472 of accelerated depreciation related to property, plant and equipment. |
Description_of_the_Business_De
Description of the Business (Details) (Maximum [Member]) | 6 Months Ended |
Dec. 31, 2013 | |
Employees | |
Maximum [Member] | ' |
Description of the Business [Line Items] | ' |
Size of businesses served (number of employees) | 10 |
Size of businesses generally served (number of employees) | 2 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Reconciliation of weighted-average number of ordinary shares | ' | ' | ' | ' |
Weighted average shares outstanding, basic | 32,861,393 | 33,377,045 | 32,760,384 | 33,525,669 |
Weighted average shares issuable upon exercise/vesting of outstanding share options/RSUs/RSAs | 1,690,801 | 1,167,920 | 1,702,622 | 1,228,905 |
Shares used in computing diluted net income per share | 34,552,194 | 34,544,965 | 34,463,006 | 34,754,574 |
Weighted average anti-dilutive shares excluded from diluted net income per share | 913,562 | 2,486,505 | 920,889 | 2,121,833 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Details Textuals) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Accounting Policies [Abstract] | ' | ' | ' | ' |
Unrecognized share based compensation | $47,001 | ' | $47,001 | ' |
Period for recognition | ' | ' | '2 years 11 months 22 days | ' |
Share-based compensation expense | $7,873 | $8,350 | $16,258 | $16,617 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Fair value of financial assets | ' | ' |
Long-term Debt | $204,500 | $238,750 |
Long-term Debt, Fair Value | 208,099 | ' |
Total [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Assets, Fair Value Disclosure, Recurring | 739 | 414 |
Liabilities, Fair Value Disclosure, Recurring | -4,417 | -273 |
Quoted prices in active markets for identical assets (Level 1) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Liabilities, Fair Value Disclosure, Recurring | 0 | 0 |
Significant other observable inputs (Level 2) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Assets, Fair Value Disclosure, Recurring | 739 | 414 |
Liabilities, Fair Value Disclosure, Recurring | -4,417 | -273 |
Significant unobservable inputs (Level 3) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Liabilities, Fair Value Disclosure, Recurring | 0 | 0 |
Foreign Exchange Forward [Member] | Total [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Foreign Currency Contract, Asset, Fair Value Disclosure | 597 | 70 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | -4,298 | -203 |
Foreign Exchange Forward [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 0 |
Foreign Exchange Forward [Member] | Significant unobservable inputs (Level 3) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 0 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | 0 | 0 |
Interest Rate Swap [Member] | Total [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Interest Rate Derivative Assets, at Fair Value | 142 | 344 |
Interest Rate Derivative Liabilities, at Fair Value | -119 | -70 |
Interest Rate Swap [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Interest Rate Derivative Assets, at Fair Value | 0 | 0 |
Interest Rate Derivative Liabilities, at Fair Value | 0 | 0 |
Interest Rate Swap [Member] | Significant unobservable inputs (Level 3) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Interest Rate Derivative Assets, at Fair Value | 0 | 0 |
Interest Rate Derivative Liabilities, at Fair Value | 0 | 0 |
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Interest Rate Cash Flow Hedge Asset at Fair Value | ' | 344 |
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | Significant other observable inputs (Level 2) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Interest Rate Derivative Assets, at Fair Value | ' | 344 |
Interest Rate Cash Flow Hedge Asset at Fair Value | 142 | ' |
Interest Rate Derivative Liabilities, at Fair Value | ' | -70 |
Interest Rate Derivative Liabilities, at Fair Value | -119 | -70 |
Foreign Exchange Forward [Member] | Designated as Hedging Instrument [Member] | Significant other observable inputs (Level 2) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | 70 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | ' | -203 |
Foreign Currency Derivative Liabilities at Fair Value | 0 | -203 |
Foreign Exchange Forward [Member] | Not Designated as Hedging Instrument [Member] | Significant other observable inputs (Level 2) [Member] | Fair value, recurring measurements [Member] | ' | ' |
Fair value of financial assets | ' | ' |
Foreign Currency Contract, Asset, Fair Value Disclosure | 597 | 0 |
Foreign Currency Derivative Liabilities at Fair Value | ($4,298) | $0 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments (Details) (USD $) | 6 Months Ended | 3 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 |
Interest Rate Swap [Member] | Foreign Exchange Forward [Member] | |
Derivative [Line Items] | ' | ' |
Derivative, Notional Amount | $130,000 | $123,034 |
Notional value of contracts with future start date | 40,000 | ' |
Total current and future notional amount | $170,000 | ' |
Derivative, Number of Instruments Held | 6 | 103 |
Derivative, Underlying Basis | 'one-month LIBOR | 'Various |
Hedge Designations Used for Foreign Currency Derivatives | ' | 'Non-designated |
Derivative_Financial_Instrumen3
Derivative Financial Instruments (Details 1) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Fair value, recurring measurements [Member] | Fair value, recurring measurements [Member] | Fair value, recurring measurements [Member] | Fair value, recurring measurements [Member] | Fair value, recurring measurements [Member] | Fair value, recurring measurements [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] |
Interest Rate Swap [Member] | Interest Rate Swap [Member] | Significant other observable inputs (Level 2) [Member] | Significant other observable inputs (Level 2) [Member] | Significant other observable inputs (Level 2) [Member] | Significant other observable inputs (Level 2) [Member] | Significant other observable inputs (Level 2) [Member] | Significant other observable inputs (Level 2) [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | |||||
Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Foreign Exchange Forward [Member] | Interest Rate Swap [Member] | Foreign Exchange Forward [Member] | |||||||
Interest Rate Swap [Member] | Interest Rate Swap [Member] | Foreign Exchange Forward [Member] | Foreign Exchange Forward [Member] | Foreign Exchange Forward [Member] | Foreign Exchange Forward [Member] | |||||||||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative, Maturity Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-Jul-14 | 15-Jan-14 | 31-Mar-17 | 16-Dec-14 |
Interest Rate Cash Flow Hedge Asset at Fair Value | ' | ' | ' | $344 | ' | ' | $142 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative Liability | -119 | -273 | ' | ' | -4,298 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Rate Derivative Liabilities, at Fair Value | ' | ' | ' | ' | ' | ' | -119 | -70 | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign Currency Contract, Asset, Fair Value Disclosure | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 70 | 597 | 0 | ' | ' | ' | ' |
Foreign Currency Derivative Liabilities at Fair Value | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -203 | -4,298 | 0 | ' | ' | ' | ' |
Derivative Asset, Fair Value, Gross Asset | 220 | 483 | 220 | 400 | 866 | 0 | ' | ' | 0 | 83 | 866 | 0 | ' | ' | ' | ' |
Derivative Asset, Fair Value, Gross Liability | -78 | -69 | -78 | -56 | -269 | 0 | ' | ' | 0 | -13 | -269 | 0 | ' | ' | ' | ' |
Derivative Assets | 142 | 414 | ' | ' | 597 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative Liability, Fair Value, Gross Liability | -119 | -289 | ' | ' | -4,378 | 0 | -119 | -81 | 0 | -208 | -4,378 | 0 | ' | ' | ' | ' |
Derivative Liability, Fair Value, Gross Asset | $0 | $16 | ' | ' | $80 | $0 | $0 | $11 | $0 | $5 | $80 | $0 | ' | ' | ' | ' |
Derivative_Financial_Instrumen4
Derivative Financial Instruments (Details 2) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | ($30) | ($300) | ($290) | ($621) |
Sales Revenue, Goods, Net [Member] | Foreign Exchange Forward [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 0 | -651 | -107 | -651 |
Cost of revenue | Foreign Exchange Forward [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 0 | 82 | 59 | 82 |
Technology and development expense | Foreign Exchange Forward [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 0 | 210 | 70 | 210 |
General and administrative expense | Foreign Exchange Forward [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 0 | 15 | 12 | 15 |
Interest Expense [Member] | Interest Rate Swap [Member] | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | ($30) | $44 | ($324) | ($277) |
Derivative_Financial_Instrumen5
Derivative Financial Instruments (Details 3) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Derivative [Line Items] | ' | ' | ' | ' | ||
Revenue | $370,807 | $348,312 | $645,896 | $599,728 | ||
Cost of revenue | 120,789 | 114,150 | 216,579 | [1] | 202,177 | [1] |
Technology and development expense | 42,874 | 40,045 | 85,121 | [1] | 77,702 | [1] |
General and Administrative Expense | 30,494 | 26,712 | 56,704 | [1] | 52,213 | [1] |
Interest expense, net | -1,566 | -1,264 | -3,143 | -2,426 | ||
Income (loss) before income taxes and loss in equity interests | 47,747 | 31,467 | 49,753 | 30,030 | ||
Income tax provision | 6,005 | 8,189 | 6,820 | 8,323 | ||
Net income | 40,875 | 22,960 | 41,287 | 21,264 | ||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Derivative [Line Items] | ' | ' | ' | ' | ||
Income (loss) before income taxes and loss in equity interests | -79 | -73 | -253 | -106 | ||
Income tax provision | 16 | 0 | 31 | 0 | ||
Net income | -63 | -73 | -222 | -106 | ||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | Foreign Exchange Forward [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Derivative [Line Items] | ' | ' | ' | ' | ||
Revenue | 0 | -47 | -120 | -47 | ||
Cost of revenue | 0 | 11 | -112 | 11 | ||
Technology and development expense | 0 | 9 | 122 | 9 | ||
General and Administrative Expense | 0 | 2 | 11 | 2 | ||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | Interest Rate Swap [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Derivative [Line Items] | ' | ' | ' | ' | ||
Interest expense, net | ($79) | ($48) | ($154) | ($81) | ||
[1] | Share-based compensation is allocated as follows: |
Derivative_Financial_Instrumen6
Derivative Financial Instruments (Details 4) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ' | ' | ' |
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | ($1,229) | $0 | ($6,438) | $0 |
Derivative_Financial_Instrumen7
Derivative Financial Instruments (Details Textual) (Interest Rate Swap [Member], USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Derivative [Line Items] | ' |
Derivative, Number of Instruments Held | 6 |
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $197 |
Derivative, Underlying Basis | 'one-month LIBOR |
Minimum [Member] | Designated as Hedging Instrument [Member] | ' |
Derivative [Line Items] | ' |
Derivative, Maturity Date | 31-Jul-14 |
Maximum [Member] | Designated as Hedging Instrument [Member] | ' |
Derivative [Line Items] | ' |
Derivative, Maturity Date | 31-Mar-17 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Details) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Accumulated other comprehensive income (loss), tax | $4 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss | -11,556 |
Other comprehensive income (loss) before reclassifications | 10,701 |
Amounts reclassified from accumulated other comprehensive loss to net income | 222 |
Net current period other comprehensive income (loss) | 10,923 |
Accumulated other comprehensive loss | -633 |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss | 86 |
Other comprehensive income (loss) before reclassifications | -290 |
Amounts reclassified from accumulated other comprehensive loss to net income | 222 |
Net current period other comprehensive income (loss) | -68 |
Accumulated other comprehensive loss | 18 |
Accumulated Translation Adjustment [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss | -11,642 |
Other comprehensive income (loss) before reclassifications | 10,991 |
Amounts reclassified from accumulated other comprehensive loss to net income | 0 |
Net current period other comprehensive income (loss) | 10,991 |
Accumulated other comprehensive loss | ($651) |
Waltham_and_Lexington_Lease_Ar1
Waltham and Lexington Lease Arrangements (Details) (USD $) | 6 Months Ended |
Dec. 31, 2013 | |
Waltham and Lexington Lease Arrangements [Abstract] | ' |
Construction in Progress | $2,711 |
Land rent expense | 125 |
Waltham lease future minimum rentals | $119,600 |
Goodwill_and_Acquired_Intangib2
Goodwill and Acquired Intangible Assets (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Goodwill [Roll Forward] | ' | ' | ' | ' | |
Beginning Balance | ' | ' | $140,893 | ' | |
Effect of currency translation adjustments | ' | ' | 3,590 | [1] | ' |
Ending Balance | 144,483 | ' | 144,483 | ' | |
Intangible assets amortization expense | 2,353 | 2,347 | 4,657 | 4,630 | |
North America [Member] | ' | ' | ' | ' | |
Goodwill [Roll Forward] | ' | ' | ' | ' | |
Beginning Balance | ' | ' | 95,790 | ' | |
Effect of currency translation adjustments | ' | ' | -743 | [1] | ' |
Ending Balance | 95,047 | ' | 95,047 | ' | |
Europe [Member] | ' | ' | ' | ' | |
Goodwill [Roll Forward] | ' | ' | ' | ' | |
Beginning Balance | ' | ' | 44,895 | ' | |
Effect of currency translation adjustments | ' | ' | 4,333 | [1] | ' |
Ending Balance | 49,228 | ' | 49,228 | ' | |
Most of World [Member] | ' | ' | ' | ' | |
Goodwill [Roll Forward] | ' | ' | ' | ' | |
Beginning Balance | ' | ' | 208 | ' | |
Effect of currency translation adjustments | ' | ' | 0 | [1] | ' |
Ending Balance | $208 | ' | $208 | ' | |
[1] | Relates to goodwill on non-U.S. Dollar functional currency legal entities. |
Accrued_Expenses_Details
Accrued Expenses (Details) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 | ||
In Thousands, unless otherwise specified | ||||
Payables and Accruals [Abstract] | ' | ' | ||
Accrued Advertising | $34,686 | [1] | $24,824 | [1] |
Compensation costs | 31,147 | [2] | 43,879 | [2] |
Income and indirect taxes | 29,879 | [3] | 12,463 | [3] |
Shipping costs | 8,905 | 4,632 | ||
Purchases of property, plant and equipment | 4,251 | 1,582 | ||
Professional costs | 2,444 | 2,470 | ||
Other | 18,592 | 13,488 | ||
Accrued Liabilities | $129,904 | $103,338 | ||
[1] | The increase in accrued advertising costs is principally a result of increased holiday promotion costs during the quarter ended December 31, 2013. | |||
[2] | The decrease in accrued compensation costs is principally a result of the payment of our fiscal 2013 annual incentive compensation plans in the three months ended September 30, 2013 offset by compensation costs accrued during fiscal 2014. | |||
[3] | The increase in accrued income taxes and indirect taxes is principally a result of the timing of payment of indirect taxes and the seasonality of related revenue. |
Debt_Details
Debt (Details) (USD $) | 6 Months Ended | 6 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Jan. 17, 2014 | Jun. 30, 2013 | Jan. 17, 2014 | Dec. 31, 2013 | Jan. 17, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Feb. 08, 2013 |
Term Loan [Domain] | Term Loan [Domain] | Line of Credit [Member] | Line of Credit [Member] | Senior unsecured revolving credit facility [Member] | Senior unsecured revolving credit facility [Member] | Senior unsecured revolving credit facility [Member] | Revolving Loan, Maturity Date of February 8, 2018 [Member] | ||||
Minimum [Member] | Maximum [Member] | Line of Credit [Member] | |||||||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Debt | $204,500 | ' | $238,750 | ' | ' | ' | ' | ' | ' | ' | ' |
Current borrowing capacity | ' | ' | ' | ' | ' | ' | 496,250 | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000 |
Long-term Debt, Gross | ' | ' | ' | ' | 96,250 | ' | ' | ' | ' | ' | ' |
Long-term debt | 189,250 | ' | 230,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Description of variable rate basis | 'LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basis spread on LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | 1.50% | 2.00% | ' |
Weighted average interest rate | ' | ' | ' | ' | ' | ' | ' | 2.03% | ' | ' | ' |
Commitment fee (percentage) | ' | ' | ' | ' | ' | ' | ' | ' | 0.23% | 0.35% | ' |
Senior leverage ratio, current year | ' | ' | ' | ' | ' | ' | ' | '3.5 | ' | ' | ' |
Senior leverage ratio, next calendar year | ' | ' | ' | ' | ' | ' | ' | '3.25 | ' | ' | ' |
Senior leverage ratio, year three | ' | ' | ' | ' | ' | ' | ' | '3.0 | ' | ' | ' |
Ratio of earnings before interest, taxes, depreciation and amortization to interest expense | ' | ' | ' | ' | ' | ' | ' | '3.0 | ' | ' | ' |
Line Of Credit Facility, Increase To Borrowing Capacity In Future Periods | ' | 303,750 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowing Capacity, Future Periods | ' | $800,000 | ' | $160,000 | ' | $640,000 | ' | ' | ' | ' | ' |
Income_Taxes_Details_Textuals
Income Taxes (Details Textuals) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Income tax expense | $6,005 | $8,189 | $6,820 | $8,323 |
Unrecognized tax benefits | 6,140 | ' | 6,140 | ' |
Interest accrued in unrecognized tax benefits | 511 | ' | 511 | ' |
Unrecognized tax benefits that will impact effective tax rate | 2,664 | ' | 2,664 | ' |
One time tax benefit | ' | ' | ' | $1,918 |
Investment_in_Equity_Interests1
Investment in Equity Interests (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2013 | Jan. 27, 2014 |
Equity Interest, majority shareholder loan receivable [Member] | Equity Interest, convertible loan receivable [Member] | ||||||
Subsequent Event [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Payment to acquire investment | ' | ' | $12,653 | ' | ' | ' | ' |
Installment payment amount | ' | ' | 500 | ' | ' | ' | ' |
Payment to acquire additional ownership in equity method investment | ' | ' | 4,894 | ' | ' | ' | ' |
Loss in equity interest | -867 | -318 | -1,646 | -443 | ' | ' | ' |
Ownership percentage | 45.00% | ' | 45.00% | ' | ' | ' | ' |
Equity method investments | 14,466 | ' | 14,466 | ' | 11,248 | ' | ' |
Loan receivable | ' | ' | ' | ' | ' | 512 | 11,000 |
Maximum increase to equity interest convertible loan receivable | ' | ' | ' | ' | ' | ' | $11,000 |
Stated Interest rate (percentage) | ' | ' | ' | ' | ' | 6.50% | 7.20% |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenue: | ' | ' | ' | ' |
Revenue | $370,807 | $348,312 | $645,896 | $599,728 |
Income from Operations: | ' | ' | ' | ' |
Income (loss) from operations | 52,522 | 33,041 | 60,931 | 33,275 |
North America [Member] | ' | ' | ' | ' |
Revenue: | ' | ' | ' | ' |
Revenue | 189,447 | 167,511 | 354,221 | 311,749 |
Income from Operations: | ' | ' | ' | ' |
Income (loss) from operations | 67,020 | 55,361 | 121,270 | 97,101 |
Europe [Member] | ' | ' | ' | ' |
Revenue: | ' | ' | ' | ' |
Revenue | 161,031 | 159,339 | 255,735 | 249,052 |
Income from Operations: | ' | ' | ' | ' |
Income (loss) from operations | 54,789 | 39,440 | 73,187 | 56,429 |
Most of World [Member] | ' | ' | ' | ' |
Revenue: | ' | ' | ' | ' |
Revenue | 20,329 | 21,462 | 35,940 | 38,927 |
Income from Operations: | ' | ' | ' | ' |
Income (loss) from operations | -3,770 | -88 | -5,772 | -1,872 |
Corporate and global functions [Member] | ' | ' | ' | ' |
Income from Operations: | ' | ' | ' | ' |
Income (loss) from operations | ($65,517) | ($61,672) | ($127,754) | ($118,383) |
Segment_Information_Details_1
Segment Information (Details 1) (USD $) | 3 Months Ended | 6 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | |||||
Revenue | $370,807 | $348,312 | $645,896 | $599,728 | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 348,923 | [1] | ' | 348,923 | [1] | ' | 318,277 | [1] | ||
Segment Information (Textuals) [Abstract] | ' | ' | ' | ' | ' | |||||
Goodwill | 144,483 | ' | 144,483 | ' | 140,893 | |||||
Intangible assets, net | 27,160 | ' | 27,160 | ' | 30,337 | |||||
Deferred tax assets | 4,151 | ' | 4,151 | ' | 581 | |||||
Equity method investments | 14,466 | ' | 14,466 | ' | 11,248 | |||||
Digital products/services [Member] | ' | ' | ' | ' | ' | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | |||||
Revenue | 20,336 | 20,386 | 41,125 | 40,214 | ' | |||||
Physical printed products and other [Member] | ' | ' | ' | ' | ' | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | |||||
Revenue | 350,471 | [2] | 327,926 | [2] | 604,771 | [2] | 559,514 | [2] | ' | |
Netherlands [Member] | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 106,128 | ' | 106,128 | ' | 99,521 | |||||
Canada [Member] | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 99,924 | ' | 99,924 | ' | 90,807 | |||||
Australia [Member] | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 35,246 | ' | 35,246 | ' | 36,774 | |||||
United States [Member] | ' | ' | ' | ' | ' | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | |||||
Revenue | 175,809 | 156,703 | 330,709 | 293,418 | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 34,940 | ' | 34,940 | ' | 35,943 | |||||
Jamaica [Member] | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 26,340 | ' | 26,340 | ' | 26,730 | |||||
Bermuda [Member] | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 7,685 | ' | 7,685 | ' | 14,667 | |||||
Switzerland [Member] | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 28,743 | ' | 28,743 | ' | 4,522 | |||||
India | ' | ' | ' | ' | ' | |||||
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | 5,506 | ' | 5,506 | ' | 4,429 | |||||
Other [Member] | ' | ' | ' | ' | ' | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | |||||
Revenue | 194,998 | [3] | 191,609 | [3] | 315,187 | [3] | 306,310 | [3] | ' | |
Long-Lived Assets | ' | ' | ' | ' | ' | |||||
Long-live assets in Netherlands | $4,411 | ' | $4,411 | ' | $4,884 | |||||
[1] | Excludes goodwill of $144,483 and $140,893, intangible assets, net of $27,160 and $30,337, deferred tax assets of $4,151 and $581 and the investment in equity interests of $14,466 and $11,248 as of December 31, 2013 and June 30, 2013, respectively. | |||||||||
[2] | (2) Other revenue includes miscellaneous items which account for less than 1% of revenue. | |||||||||
[3] | (1) Our non-United States revenue includes the Netherlands, our country of domicile. Revenue earned in any individual country outside the United States was not greater than 10% of consolidated revenue for the years presented. |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | 6 Months Ended |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 |
Commitments And Contingencies (Textuals) [Abstract] | ' |
Unrecorded unconditional purchase obligation | $16,163 |
Installment obligation | 18,153 |
Tax payment term | '7 years 6 months |
Plaza Create contingent share purchase commitment, shares [Member] | ' |
Other Commitments [Line Items] | ' |
Other purchase commitment, number of shares | 800,000 |
Plaza Create share purchase commitment, amount [Member] | ' |
Other Commitments [Line Items] | ' |
Other Commitment | 4,900 |
Japan joint venture commitment [Member] | ' |
Other Commitments [Line Items] | ' |
Other Commitment | 5,100 |
Inventory | ' |
Commitments And Contingencies (Textuals) [Abstract] | ' |
Unrecorded unconditional purchase obligation | 7,742 |
Production and Computer Equipment [Domain] | ' |
Commitments And Contingencies (Textuals) [Abstract] | ' |
Unrecorded unconditional purchase obligation | 5,552 |
Other purchase commitments [Member] | ' |
Commitments And Contingencies (Textuals) [Abstract] | ' |
Unrecorded unconditional purchase obligation | $2,869 |
Restructuring_Details
Restructuring (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | ||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ||
Restructuring and Related Cost, Cost Incurred to Date | $2,986 | $2,986 | ' | ||
General and administrative expense | ' | ' | ' | ||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ||
Restructuring Charges | 2,663 | ' | ' | ||
Marketing and selling expense | ' | ' | ' | ||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ||
Restructuring Charges | 66 | ' | ' | ||
Technology and development expense | ' | ' | ' | ||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ||
Restructuring Charges | 257 | ' | ' | ||
Employee Termination Benefits | ' | ' | ' | ||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ||
Restructuring Reserve | 201 | 201 | 0 | ||
Restructuring Charges | 2,372 | ' | ' | ||
Restructuring and Related Cost, Incurred Cost | 2,372 | 2,372 | ' | ||
Cash Payments | -2,171 | ' | ' | ||
Facility Closing [Member] | ' | ' | ' | ||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ||
Restructuring Reserve | 113 | 113 | 0 | ||
Restructuring Charges | 142 | ' | ' | ||
Restructuring and Related Cost, Incurred Cost | 614 | [1] | 614 | [1] | ' |
Cash Payments | -29 | ' | ' | ||
Restructuring and Related Cost, Accelerated Depreciation | ' | $472 | ' | ||
[1] | Inclusive of $472 of accelerated depreciation related to property, plant and equipment. |