We believe we are the global leader in information protection and storage
services. We help organizations around the world reduce the costs and risks
associated with information protection and storage. We offer comprehensive records
management and data protection solutions, along with the expertise and experience
to address complex information challenges such as rising storage costs, litigation,
regulatory compliance and disaster recovery. Founded in an underground facility
near Hudson, New York in 1951, Iron Mountain is a trusted partner to more than
100,000 corporate clients throughout North America, Europe, Latin America and
Asia Pacific.
Our information protection and storage services can be broadly divided into
three major service categories: records management, data protection and recovery,
and information destruction. We offer both physical services and technology
solutions in each of these categories. Media formats can be broadly divided
into physical and electronic records. We define physical records to include
paper documents, as well as all other non-electronic media such as microfilm
and microfiche, master audio and videotapes, film, X-rays and blueprints. Electronic
records include various forms of magnetic media such as computer tapes and hard
drives and optical disks.
Our physical records management services include: records management program
development and implementation based on best-practices to help customers comply
with specific regulatory requirements, implementation of policy-based programs
that feature secure, cost-effective storage for all major media, including paper
(which is the dominant form of records storage), flexible retrieval access and
retention management. Our technology-based records management services are comprised
primarily of digital archiving and related services for secure, legally compliant
and cost-effective long-term archiving of electronic records. Within the records
management services category, we have developed specialized services for vital
records and regulated industries such as healthcare, energy and financial services.
Our physical data protection & recovery services include disaster preparedness,
planning, support and secure, off-site vaulting of data backup media for fast
and efficient data recovery in the event of a disaster, human error or virus.
Our technology-based data protection & recovery services include online
backup and recovery solutions (also known as electronic vaulting) for desktop
and laptop computers and remote servers. Additionally, we serve as a trusted,
neutral third party and offer technology escrow services to protect and manage
source code and other proprietary information.
Our information destruction services are comprised almost exclusively of secure
shredding services. Secure shredding services complete the life cycle of a record
and involve the shredding of sensitive documents in a way that ensures privacy
and a secure chain of custody for the records. These services typically include
either the scheduled pick-up of loose office records which customers accumulate
in specially designed secure containers we provide or the shredding of documents
stored in records facilities upon the expiration of their scheduled retention
periods. Our technology-based information destruction services include DataDefense,
which provides automatic, intelligent encryption of sensitive PC data and, when
behaviors that are inconsistent with authorized use are detected, that data
is automatically eliminated and the PC is disabled—this is designed to
render the data useless to unauthorized users.
We generate our revenues by providing storage for both physical and electronic
records in a variety of information media formats, core records management,
data protection & recovery, and information destruction services and an
expanding menu of complementary products and services to a large and diverse
customer base. Providing outsourced information protection and storage services
is the mainstay of our customer relationships and provides the foundation for
our revenue growth. Core services, which are a vital part of a comprehensive
records management program, consist primarily of the handling and transportation
of stored records and information. In our secure shredding operations, core
services consist primarily of the scheduled collection and handling of records
and documents generated by business operations. As is the case with storage
revenues, core service revenues are highly recurring in nature and therefore
very predictable.
Customers
Our customer base is diversified in terms of revenues and industry concentration.
As of December 31, 2007, we had over 100,000 corporate clients in a variety
of industries. We currently provide services to commercial, legal, banking,
healthcare, accounting, insurance, entertainment and government organizations,
including more than 93% of the Fortune 1000 and more than 90% of the FTSE 100.
No customer accounted for more than 2% of our consolidated revenues for the
years ended December 31, 2005, 2006 and 2007.
Competition
We compete with our current and potential customers internal information
protection and storage services capabilities. We can provide no assurance that
these organizations will begin or continue to use an outside company such as
Iron Mountain for their future information protection and storage services.
We compete with multiple information protection and storage services providers
in all geographic areas where we operate. We believe that competition for customers
is based on price, reputation for reliability, quality of service and scope
and scale of technology and that we generally compete effectively based on these
factors.
We also compete with other information protection and storage services providers
for companies to acquire. Some of our competitors may possess substantial financial
and other resources. If any such competitor were to devote additional resources
to the information protection and storage services business and such acquisition
candidates or focus their strategy on our markets, our results of operations
could be adversely affected.