Company: LPSN
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001102993-25-000187
Chunk: 82

Company: LIVEPERSON INC
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 82
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%Expected life (in years)8.68Expected volatility83.00%Any significant changes in the inputs may result in significantly higher or lower fair value measurements. Refer to Note 8 – Senior Notes, Capped Call Transactions, Warrants and Preferred Stock for additional information.The changes in fair value of the Level 3 Warrants of the dates presented are as follows:September 30,2025December 31,2024(In thousands)Balance, beginning of year$17,498 $— Issuance of Warrants— 5,266 Settlement of Warrants(1,297)— Change in the fair value(8,758)12,232 Balance, end of period$7,443 $17,498 

Note 10. Commitments and Contingencies

Employee Benefit PlansThe Company has a 401(k) defined contribution plan covering all eligible employees. The Company’s 401(k) policy is a Safe Harbor Plan, whereby the Company matches 100% of the first 3% of eligible compensation and 50% of the next 2% of eligible compensation. The match is immediately vested. Salaries and related expenses include $0.4 million and $1.6 million of employer matching contributions for the three and nine months ended September 30, 2025, respectively and $0.5 million and $2.3 million of employer matching contributions for the three and nine months ended September 30, 2024, respectively.Letters of CreditAs of September 30, 2025, the Company had letters of credit totaling $0.5 million outstanding as a security deposit for the due performance by the Company of the terms and conditions of a supply contract.Contractual obligationsThe Company’s purchase obligations consist of agreements to purchase goods and services entered into in the ordinary course of business. The Company has purchase obligation agreements primarily relating to contracts with vendors in connection with Information Technology (“IT”) infrastructure and cloud computing services. During the three months ended September 30, 2025, the Company entered into a new three-year contract for $76.4 million in purchase commitments over a three-year term.  Total purchase commitments including those under this new contract are as follows: $6.3 million for the remainder of 2025, $21.2 million for 2026, $24.6 million for 2027, and $25.5 million for 2028.IndemnificationsThe Company enters into