Dollar General 2007 Annual Report Download - page 84
Download and view the complete annual report
Please find page 84 of the 2007 Dollar General 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.-
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
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
-
179
-
180
-
181
-
182
-
183
 |
 |
82
increase of $0.2 million and $4.2 million, respectively. There was no change in the reserve for
potential income tax penalties during the Successor period.
The Company believes that it is reasonably possible that the reserve for uncertain tax
positions may be reduced by approximately $64.8 million in the coming twelve months as a
result of the settlement of currently ongoing state income tax examinations and the anticipated
filing of an income tax accounting method change request that is expected to resolve certain
uncertainties related to accounting methods employed by the Company. The reasonably possible
change of $64.8 million is included in both current liabilities ($21.2 million) and other
noncurrent liabilities ($43.6 million) in the consolidated balance sheet as of February 1, 2008.
Also, as of February 1, 2008 (after the merger and the related application of purchase
accounting), approximately $0.3 million of the reserve for uncertain tax positions would impact
the Company’ s effective income tax rate if the Company were to recognize the tax benefit for
these positions.
A reconciliation of the reserve associated with uncertain income tax positions from
February 3, 2007 (the date of adoption) through February 1, 2008 is as follows:
(In thousands)
Balance as of February 3, 2007 $ 77,864
Increases – tax positions taken in the current year 19,568
Increases – tax positions taken in prior years 1,149
Decrease – tax positions taken in prior years (9)
Statute expirations (185)
Settlements (1,787)
Balance as of February 1, 2008 $ 96,600
6. Current and long-term obligations
Current and long-term obligations consist of the following:
Successor Predecessor
(In thousands) February 1, 2008 February 2, 2007
Senior secured term loan facility $ 2,300,000 $-
Senior secured asset-based revolving credit facility 102,500 -
10 5/8% Senior Notes due July 15, 2015, net of discount of
$22,083 1,152,917
-
11 7/8/12 5/8% Senior Subordinated Notes due July 15, 2017 700,000 -
8 5/8% Notes due June 15, 2010, net of discount of $- and $146,
respectively 1,822
199,832
Capital lease obligations 10,268 55,711
Tax increment financing due February 1, 2035 14,495 14,495
4,282,002 270,038
Less: current portion (3,246) (8,080)
Long-term portion $ 4,278,756 $ 261,958
On July 6, 2007, the Company entered into two senior secured credit agreements (the
“New Credit Facilities”). The New Credit Facilities provide financing of $3,425.0 million,
consisting of $2,300.0 million in a senior secured term loan facility which matures on July 6,