El Pollo Loco 2015 Annual Report Download - page 62

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Table of Contents
The following table presents summary cash flow information for the periods indicated (in thousands).
Operating Activities
In fiscal 2014, net cash provided by operating activities increased by $6.4 million compared to fiscal 2013. This was due primarily to
(i) increased revenue, due primarily to company-operated comparable restaurant sales growth, and (ii) lower interest payments, due to the 2013
Refinancing and our IPO, the majority of the proceeds of which were used to repay the 2013 Second Lien Term Loan. The increases above were
partially offset by a reduction in payable balance to our primary food distributor, which resulted in early pay discounts and lower cost to the
Company.
In fiscal 2013, net cash provided by operating activities increased by $0.3 million as cash generated by increased revenue was partially offset by
an increase in cash payments for interest expense due to the 2013 Refinancing, which required payment of accrued interest through its date of
closing.
Investing Activities
In fiscal 2014, net cash used in investing activities increased by $7.6 million compared to fiscal 2013. This was due primarily to increased capital
expenditures related to new restaurants, partially offset by sales proceeds from the San Antonio transaction. In fiscal 2014, we incurred capital
expenditures of approximately $26.8 million, consisting of $15.6 million related to new restaurants, $7.5 million related to the remodeling of
existing restaurants, and $3.7 million related to maintenance and other corporate capital expenditures.
In fiscal 2013, cash used in investing activities declined by $1.2 million versus fiscal 2012, primarily due to reduced capital expenditures.
Capital expenditures consist of cash paid related to new restaurant construction, the remodel and maintenance of existing restaurants, and other
corporate expenditures.
Financing Activities
In fiscal 2014, net cash used by financing activities decreased by $0.2 million compared to fiscal 2013. This was due primarily to proceeds from
our IPO which were used for the repayment of the 2013 Credit Agreements, along with cash from our balance sheet.
In fiscal 2013, cash used in financing activities increased by $8.5 million versus fiscal 2012, primarily due to costs incurred to refinance the 2011
Financing Agreements.
Debt and Other Obligations
New Credit Agreement
On December 11, 2014, we refinanced our debt, with EPL, Intermediate, and Holdings entering into a credit agreement with Bank of America,
N.A., as administrative agent, swingline lender, and letter of credit issuer, the lenders party thereto, and the other parties thereto, which provides
for the 2014 Revolver. The 2014 Revolver includes a sub limit of $15 million for letters of credit and a sub limit of $15 million for swingline
loans. At
58
Fiscal Year
(Amounts in thousands)
2014
2013
2012
Net cash provided by (used in)
Operating activities
$
26,085
$
19,700
$
19,409
Investing activities
(21,401
)
(13,787
)
(14,993
)
Financing activities
(10,200
)
(10,385
)
(1,920
)
Net (decrease) increase in cash
$
(5,516
)
$
(4,472
)
$
2,496