eBay 2012 Annual Report Download - page 54

ITEM 1B: UNRESOLVED STAFF COMMENTS
Not applicable.
ITEM 2: PROPERTIES
We own and lease various properties in the U.S. and 33 other countries around the world. We use the properties for executive and
administrative offices, data centers, product development offices, fulfillment centers and customer service offices. As of December 31, 2012 ,
our owned and leased properties provided us with aggregate square footage as follows:
* We also own approximately 96 acres of land in Utah, of which approximately 60 aces are currently under development and the remaining acres
remain available for future development, if necessary, to accommodate future growth.
Our corporate headquarters are located in San Jose, California and occupy approximately 0.2 million square feet. As of December 31,
2012 , the total square footage generally used by each of our reportable segments was as follows:
From time to time we consider various alternatives related to long-term facilities needs. While we believe our existing facilities are
adequate to meet our immediate needs, it may become necessary to develop and improve land we own or lease or acquire additional or
alternative space to accommodate any future growth.
ITEM 3: LEGAL PROCEEDINGS
Overview
We are involved in legal proceedings on an ongoing basis. If we believe that a loss arising from such matters is probable and can be
reasonably estimated, we accrue the estimated liability in our financial statements. If only a range of estimated losses can be determined, we
accrue an amount within the range that, in our judgment, reflects the most likely outcome; if none of the estimates within that range is a better
estimate than any other amount, we accrue the low end of the range. Amounts accrued for legal proceedings for which we believe a loss is
probable were not material for the year ended December 31, 2012. Except as otherwise noted, we have concluded that reasonably possible losses
arising directly from the proceedings (i.e., monetary damages or amounts paid in judgment or settlement) in excess of our accruals are also not
material. For those proceedings in which an unfavorable outcome is reasonably possible but not probable, we have disclosed an estimate of the
reasonably possible loss or range of losses or we have concluded that an estimate of the reasonably possible loss or range of losses arising
directly from the proceeding (i.e., monetary damages or amounts paid in judgment or settlement) are not material. If we cannot estimate the
probable or reasonably possible loss or range of losses arising from a legal proceeding, we have disclosed that fact.
In assessing the materiality of a legal proceeding, we evaluate, among other factors, the amount of monetary damages claimed, as well as
the potential impact of non-
monetary remedies sought by plaintiffs (e.g., injunctive relief) that may require us to change our business practices in
a manner that could have a material adverse impact on our business. With respect to the matters disclosed in this Item 3: Legal Proceedings, we
are unable to estimate the possible loss or range of losses that could potentially result from the application of such non-monetary remedies.
Specific Matters
In August 2006, Louis Vuitton Malletier and Christian Dior Couture filed two lawsuits in the Paris Court of Commerce against eBay Inc.
and eBay International AG. Among other things, the complaint alleged that we violated French tort law by negligently broadcasting listings
posted by third parties offering counterfeit items bearing plaintiffs' trademarks and by purchasing certain advertising keywords. Around
September 2006, Parfums Christian Dior, Kenzo Parfums, Parfums Givenchy,
52
United States
Other Countries Total
(In millions)
Owned facilities*
2.6
—
2.6
Leased facilities
4.9
3.0
7.9
Total facilities
7.5
3.0
10.5
Marketplaces
Payments GSI Total
(In millions)
Total facilities
2.9
2.7
4.7
10.3