2K Sports 2008 Annual Report Download - page 74

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TAKE-TWO INTERACTIVE SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
For the Years Ended October 31,
2008 2007 2006
Operating activities:
Net income (loss) $ 97,097 $(138,406) $(184,889)
Adjustments to reconcile net income (loss) to net cash provided
by (used for) operating activities:
Amortization and write-off of software development costs and
licenses 146,102 106,675 146,569
Depreciation and amortization of long-lived assets 25,755 27,449 26,399
Impairment of goodwill and long-lived assets —— 15,608
Amortization and write-off of intellectual property 2,350 8,626 10,500
Stock-based compensation 40,387 17,329 21,931
Provision (benefit) for deferred income taxes (391) (1,718) 17,360
Loss on disposal of fixed assets 1,306 ——
Foreign currency transaction loss (gain) and other 5,659 (1,656) (2,070)
(Gain) loss on sale and deconsolidation (277) 4,469 —
Changes in assets and liabilities, net of effect from purchases
and disposal of businesses:
Accounts receivable, net (52,421) 39,159 56,651
Inventory (4,904) (10,203) 40,707
Software development costs and licenses (157,076) (160,643) (141,985)
Prepaid expenses, other current and other non-current assets 16,831 18,270 (30,086)
Accounts payable, accrued expenses, deferred revenue and
other liabilities 31,008 26,604 66,667
Total adjustments 54,329 74,361 228,251
Net cash provided by (used for) operating activities 151,426 (64,045) 43,362
Investing activities:
Purchase of fixed assets (12,277) (21,594) (25,084)
Cash received from sale of business 3,000 2,778 —
Payments for purchases of businesses, net of cash acquired (7,503) (5,795) (191)
Net cash used for investing activities (16,780) (24,611) (25,275)
Financing activities:
Proceeds from exercise of options 25,962 9,503 2,808
Borrowings on line of credit 135,000 18,000 —
Payments on line of credit (83,000) ——
Payment of debt issuance costs (962) (1,809) —
Excess tax benefit on exercise of stock options —— 163
Net cash provided by financing activities 77,000 25,694 2,971
Effects of exchange rates on cash and cash equivalents (9,126) 8,239 4,227
Net increase (decrease) in cash and cash equivalents 202,520 (54,723) 25,285
Cash and cash equivalents, beginning of year 77,757 132,480 107,195
Cash and cash equivalents, end of year $ 280,277 $ 77,757 $ 132,480
See accompanying Notes.
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