observable at commonly quoted intervals, such as interest rates, foreign exchange rates, and yield curves. Upon the prior approval of the administrative agent, we may increase the total commitments by $25million for a total commitment under the Revolving Credit Facility of $75million. merchant relationships, and (2)deferred acquisition cost representing the estimated cost of buying out the commissions of vested salespersons at some point in the future. Before becoming an editor, she was NerdWallet's authority on taxes and small business. Previously, the debit processing funds in transit were netted against receivables. Financial Network National Bank to SunTrust Banks. We have no obligation to repurchase shares under the authorization, and the specific timing and amount of the Such data is not required to be encrypted while in transit under current payment card industry guidelines. to let us know you're having trouble. This increase was primarily due to the 22.6% increase in the number of payroll processing customers from 7,249 at June30, 2008 to 8,887 at June30, 2009. If you want fee information before you contact a sales representative, Square discloses their flat-rate pricing on their website. This decline also reflects our reporting of Network Services bank card processing revenues net of dues and assessments because the daily cash settlement with Network Nous sommes dsols pour la gne occasionne. 141(R) and other GAAP. On June 19, 2009, we filed a Motion for Transfer of Tag-Along Action Pursuant to 28 U.S.C. and administrative expenses, adding personnel and marketing initiatives to continue building our corporate, information technology and. settlements or pursuant to litigation, for amounts that are significantly greater than the amount we have reserved to date in respect of those claims. los inconvenientes que esto te pueda causar. On August1, 2006, our Board of Directors authorized management to repurchase up to Under this transitional method, we are required to record Generally, when we have cash available for investment we fund these advances to our merchants first with our cash, then by incurring a payable to our sponsor banks when that cash has been expended. An increase in amortization of signing bonuses On July 14, 2009, Eric Kirkham filed a Verified Shareholder Derivative Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2)has been subject to such filing requirements for the past 90 days. On May30, 2008, we entered into an amended and restated credit agreement (the Amended and Processing System Intrusion. ended June30, 2008 to $1.5 million in the three months ended June30, 2009. Substantially Level 3. We report Network Services settled bank card processing revenues capitalized increased from $2.8 million in the six months ended June30, 2008 to $6.2 million in the six months ended June30, 2009. administrative expenses increased 45.9%, from $16.7 million in the three months ended June30, 2008 to $24.4 million in the three months ended June30, 2009. acquisition costs increased 6.8% from $23.7 million in the six months ended June30, 2008 to $25.3 million in the six months ended June30, 2009. 51, Consolidated Financial Statements. the Company, we, us, and our refer to Heartland Payment Systems, Inc. and our subsidiaries. Under the terms of the Amended and Restated Credit Agreement, the Company may borrow, at its option, at interest rates equal to one, two, between the financial statements and the tax basis of assets and liabilities using enacted tax rates. Cash Flow Provided by Operating Activities. lowest priority in the hierarchy. Notwithstanding our belief that we and our sponsor banks have strong defenses against the claims that are the subject of the settlement offer, we decided to make the settlement offer in an attempt to avoid the costs and uncertainty of Gross requisite service period. In the six months ended June30, 2009 and the year ended December31, 2008, the Company incurred merchant credit losses of $3.0 million and $5.1 million, respectively, on total SME dollar volume processed of $28.5 billion and $57.9 Also, the Company increases in receivables, current and deferred tax assets and property and equipment. June30, 2009 and December31, 2008: Vested Relationship Managers and sales managers, Unvested Relationship Managers and sales managers. Cost of POS Systems, Payment Processing and Employee Management | Heartland The objective of As the majority of our SME transactions involve the delivery of the product or service at the time of the for the three months ended June30, 2009 was 5.9%, an increase from 4.2% for the three months ended June30, 2008. Other major determinants of operating cash flow are net signing bonus payments, which consume operating cash as we install new merchants, and payouts on the accrued buyout liability, which represent the costs of We periodically review our space requirements and may acquire new space to meet our business needs or consolidate and dispose of or sublet facilities which are no longer Our payroll operations general and administrative expenses increased by 27.8%, from $2.4 million in the six months ended June30, 2008 to $3.1 v. Robert O. Carr, Mitchell L. Hollin, Robert H. Niehaus, Marc J. Ostro, Jonathan J. Palmer, George F. Raymond, Richard W. Vague and Robert H.B. Heartlands card processing functionality enables small businesses to accept a variety of payments, including: Digital wallets, including Apple Pay, Google Pay and Samsung Pay. during the period from the date we acquired it through December31, 2008 and in the six months ended June30, 2009, respectively. the three and six months ended June 30, 2009, the Company expensed a total of $19.4 million and $32.0 million, respectively, or about $0.32 and $0.52 per share, respectively, associated with the Processing System Intrusion. About the authors: Tina Orem is an editor at NerdWallet. or $23.02 per share during the six months ended June30, 2008. The actions generally assert various common-law claims such as claims for negligence and breach of contract, as well as, in some cases, statutory claims such as violation of the Fair Credit Reporting Act, state data breach notification statutes, and primarily due to the result of including NWS debit interchange for the full 2009 period and only one month in the 2008 period and higher SME bank card processing volume in the six months ended June30, 2009. Standards Board (FASB) Technical Bulletin No. The Processing System Intrusion requires us to make assumptions and estimates concerning the outcomes and related costs and losses in connection with The loss reserve was established using historical loss rates, applied to recent processing volume. The JPML is expected to hear that motion in its next hearing session in September 2009. Compounding residual income can increase your income by tens of thousands each year. June30, 2009 Compared to December31, 2008. the government inquiries and investigations described above and additional governmental inquiries or investigations relating to the Processing System Intrusion that may be commenced. The accrual of these fines and the settlement offer resulted in the Company recording a $14.4 million reserve for Processing System Intrusion at June 30, 2009, which is included within the $19.4 million expensed for year-over-year increase in SME merchant processing revenues. cards to cardholders whose transaction information is alleged to have been placed at risk in the course of the Processing System Intrusion), seeking damages allegedly arising out of the Processing System Intrusion and other related relief. Heartland Payment Systems is essentially a merchant services provider, which means it provides small businesses with one or more merchant accounts. As such, we were returned to los inconvenientes que esto te pueda causar. the effect of the acquisition was not material. accordance with SFAS No. accounts. These condensed consolidated financial statements are unaudited. Our processing and servicing costs for three months ended June30, 2009 increased to 11.9% of our total revenues, up from 10.9% of total revenues for the three Principal payments due under the Term Credit Facility as of June30, 2009 were as follows: The Amended and Restated Credit Agreement contains covenants, which include the maintenance of with our cash, then by incurring a payable to our sponsor banks when that cash has been expended. At June30, 2009, the cumulative foreign currency translation loss was $1.7 million. No. On May30, 2008, the Company borrowed $50million under the Revolving Credit Facility and $25 million under the Term Credit Facility. statements include all normal recurring adjustments necessary for a fair presentation of our financial position at June30, 2009, our results of operations, our changes in stockholders equity and our cash flows for the six months ended growth or contraction, which represents the change in bank card processing volume for all bank card merchants that were processing with us in the same month a year earlier, contracted 9.7% on average in the three months ended June30, 2009, The original four securities class actions were identified as potential tag-along actions to In re: Heartland Payment We pay our sponsor banks the prime rate on payroll customers. for the six months ended June30, 2009 was the cash payments we made related to the Processing System Intrusion. data was captured. Gross processing revenue also includes American Express and Discover fees, customer service fees, fees for processing chargebacks, termination fees on terminated contracts, check processing fees, gift and loyalty card Provision for processing system intrusion. Si continas recibiendo este mensaje, infrmanos del problema The increase was primarily due to the addition of Network Services general and administrative expenses, outcome of such lawsuits, investigations and inquiries. include overnight bank deposits. Assets (FSP FAS 142-3). In addition, a putative merchant class action has been commenced that seeks to represent all merchants against whom Heartland asserts or has asserted a Heartland Territory Manager Salaries | Glassdoor Requirements for Guarantees, Including Indirect Guarantees of Indebtedness of Other (FIN 45), the Companys obligation to stand ready to perform is minimal. Aiutaci a proteggere Glassdoor dimostrando che sei una persona reale. Search job openings, see if they fit - company salaries, reviews, and more posted by Heartland Payment Systems employees. resulting soft consumer spending, and the costs we incurred related to the Processing. Receivables from merchants also include receivables from the sale of point of sale terminal equipment and check processing terminals. Positive signing bonus adjustments occur when the actual gross We refer to these residual commissions as the owned The weighted-average fair Net revenue, which we define as total revenues less interchange fees To date, we have not received any response to our settlement offer and it should not be assumed that we will resolve the claims that are the To date the Company has not received any response to the settlement offer and it should not be assumed that the Company will regulations. into an amendment (the Amendment) to our amended and restated credit agreement dated May 30, 2008 (the Credit Agreement) with JPMorgan Chase Bank, N.A., as administrative agent, and the lenders party to the Credit Agreement. We pay our sponsor banks the prime rate on these payables. Equipment-related income decreased by 2.5%, from $12.9 million in the six months ended June30, 2008 to state unfair and deceptive practices statutes. 27 Heartland reviews. The Chockstone acquisition expands our ability to equip merchants nationwide with enhanced gift card and loyalty programs. Systems, Inc. Computer System Intrusion Litigation, MDL No. 160 did not have a material effect on the The decrease in interest expense for the three months ended June30, 2009 was due to lower interest rates incurred on our borrowings under our Credit Facility and payables to our sponsor banks. Companys segments for the three and six month periods ended June30, 2009 and 2008 was as follows: The Company presents earnings per share data in accordance with SFAS No. activities was $7.9 million for the six months ended June30, 2009, compared to net cash provided of $52.9 million for the six months ended June30, 2008.