Advance Auto Parts 2006 Annual Report Download - page 56

Download and view the complete annual report

Please find page 56 of the 2006 Advance Auto Parts annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 112

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112

Investing Activities
For fiscal 2006, net cash used in investing activities decreased by $44.2 million to $258.6 million. Significant
components of this decrease consisted of:
x$111.8 million related to acquisitions in 2005, of which $12.5 million was paid in 2006;
xincrease in capital expenditures of $42.4 million used primarily to accelerate our square footage growth
through adding new stores (including ownership of selected new stores) and remodeling existing stores.
For fiscal 2005, net cash used in investing activities increased by $136.0 million to $302.8 million. Significant
components of this increase consisted of:
x$99.3 million used to acquire AI and Lappen Auto Supply, net of cash acquired; and
xcapital expenditures of $36.4 million used primarily to accelerate our square footage growth through new
stores (including ownership of selected new stores), the acquisition of certain leased stores and an increase
in store relocations.
Financing Activities
For fiscal 2006, net cash used in financing activities increased by $70.3 million to $104.6 million. Significant
components of this increase consisted of:
x$46.0 million cash outflow resulting from the timing of bank overdrafts;
x$54.3 million decrease in financed vendor accounts payable;
x$504.0 million cash inflow resulting from an increase in net borrowings;
x$433.8 million used for early extinguishment of debt in fiscal 2006;
x$19.2 million paid in dividends in fiscal 2006;
x$36.0 million increase in cash used to repurchase shares of our common stock under our stock repurchase
program;
x$15.1 million decrease in proceeds from the exercise of stock options; and
x$26.3 million increase resulting from the repayment of secured borrowings in 2005.
For fiscal 2005, net cash used in financing activities decreased by $14.5 million to $34.3 million. Significant
components of this decrease consisted of:
x$40.9 million cash inflow resulting from the timing of bank overdrafts;
x$161.2 million cash outflow resulting from a reduction in net borrowings;
x$105.0 million used for early extinguishment of debt in fiscal 2004;
x$44.8 million decrease in cash used to repurchase shares of our common stock under our stock repurchase
program;
x$32.6 million decrease resulting from the repayment of secured borrowings in connection with the
reduction of trade receivables discussed above; and
x$14.0 million in cash from the increase in financed vendor accounts payable and proceeds from the exercise
of stock options.
33