Vistance Networks, Inc. 10-K

ITEM 2. PROPERTIES Our facilities are used primarily for manufacturing, distribution and administration. Facilities primarily used for manufacturing may also be used for distribution, engineering, research and development, storage, administration, sales and customer service. Facilities primarily used for administration may also be used for research and development, sales and customer service. As of December 31, 2021, our principal facilities, grouped according to the facility’s primary use, were as follows: Location Approximate square feet Principal segments Owned or leased Administrative facilities: Hickory, NC (1) 84,000 Corporate headquarters Owned Horsham, PA 325,000 Corporate Owned Suwanee, GA 103,000 Corporate Leased Shakopee, MN 177,000 VCN Leased Bangalore, India 151,000 Home & Broadband Leased Saltaire, UK 112,000 Home Leased Lowell, MA 144,000 Broadband Leased Santa Clara, CA 132,000 Broadband & Home Leased Richardson, TX 100,000 OWN Leased Richardson, TX (1) (2) 100,000 OWN Owned Manufacturing and distribution facilities: Catawba, NC (1) 1,000,000 Broadband Owned Claremont, NC (1) 589,000 VCN & Broadband Owned Kessel-Lo, Belgium 431,000 Broadband Owned Suzhou, China (3) 400,000 OWN & VCN Owned Suzhou, China (3) 363,000 Broadband Owned Goa, India (3) 353,000 OWN & VCN Owned Juarez, Mexico 327,000 VCN Owned Santa Teresa, NM 300,000 Broadband & VCN Leased Brno, Czech Republic 281,000 Broadband Leased Reynosa, Mexico 279,000 OWN Owned Veenendaal, Netherlands 215,000 OWN & VCN Leased Greensboro, NC (4) 196,000 VCN Leased Juarez, Mexico 189,000 Broadband Leased Cary, NC 151,000 Home & Broadband Owned Mission, TX 150,000 VCN Leased Suzhou, China 225,000 Broadband, VCN & OWN Leased Delicias, Mexico 139,000 VCN Owned Campbellfield, Australia 133,000 OWN Leased Bray, Ireland 130,000 VCN Owned Tijuana, Mexico 128,000 Broadband & VCN Leased Buchdorf, Germany 109,000 VCN Owned Vacant facilities and properties: Joliet, IL (5) 690,000 Corporate Leased Sorocaba, Brazil (6) 157,000 OWN Owned Orland Park, IL (7) — Corporate Owned (1) Our interest in each of these properties is encumbered by a mortgage or deed of trust lien securing our senior secured credit facilities (see Note 7 in the Notes to Consolidated Financial Statements included elsewhere in this Annual Report on Form 10-K). (2) The Richardson, TX facility is actively being marketed for sale. (3) The buildings in these facilities are owned while the land is held under long-term lease agreements. (4) The Greensboro, NC facility was sold in 2021, and we are currently leasing from the buyer through a short-term leaseback agreement. (5) The Joliet, IL facility is vacant, and the lease expires in February 2022. (6) The Sorocaba, Brazil facility is being passively marketed for sale. (7) The building at the Orland Park, IL facility was demolished and cleared and the 73 acre parcel is vacant. 39 We believe that our facilities and equipment generally are well maintained, in good condition and suitable for our purposes and adequate for our present operations. While we currently have excess manufacturing capacity in certain of our facilities, utilization is subject to change based on customer demand. We can give no assurances that we will not have excess manufacturing capacity or encounter capacity constraints over the long term.