Hamilton Beach 2007 Annual Report Download - page 7

[3]
(1) Cash Flow before Financing Activities is equal to net cash provided by operating activities less net cash used for investing activities.
(2) Adjusted EBITDA is provided solely as a supplemental disclosure with respect to liquidity because management believes it provides useful information
regarding a company’s ability to service its indebtedness. Adjusted EBITDA does not represent cash flow from operations, as defined by U.S. generally accepted accounting
principles. You should not consider Adjusted EBITDA as a substitute for net income or net loss, or as an indicator of our operating performance or whether cash
flows will be sufficient to fund our cash needs. NACCO defines Adjusted EBITDA as income before income taxes, minority interest (income) expense, extraordinary
gain (loss) and cumulative effect of accounting changes plus net interest expense and depreciation, depletion and amortization expense. Adjusted EBITDA is not a
measurement under U.S. generally accepted accounting principles and is not necessarily comparable with similarly titled measures of other companies. Net cash flows
from operating, investing and financing activities as determined using U.S. generally accepted accounting principles are presented above. A reconciliation of cash flow
from operations to Adjusted EBITDA is presented below.
(3) Includes employees of the unconsolidated project mining subsidiaries.
Year Ended December 31
2007 2006 2005 2004 2003
(In millions, except employee data)
Cash Flow Data:
Operating Activities
NACCO Materials Handling Group . . . . . . . . . . . . . .
Hamilton Beach Brands . . . . . . . . . . . . . . . . . . . . . . . .
Kitchen Collection . . . . . . . . . . . . . . . . . . . . . . . . . . . .
North American Coal Corporation . . . . . . . . . . . . . .
NACCO and Other . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Provided by operating activities . . . . . . . . . . . . . . . . . .
Investing Activities
NACCO Materials Handling Group . . . . . . . . . . . . . .
Hamilton Beach Brands . . . . . . . . . . . . . . . . . . . . . . . .
Kitchen Collection . . . . . . . . . . . . . . . . . . . . . . . . . . . .
North American Coal Corporation . . . . . . . . . . . . . .
NACCO and Other . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Used for investing activities . . . . . . . . . . . . . . . . . . . . .
Cash Flow before Financing Activities
(1)
NACCO Materials Handling Group . . . . . . . . . . . . . .
Hamilton Beach Brands . . . . . . . . . . . . . . . . . . . . . . . .
Kitchen Collection . . . . . . . . . . . . . . . . . . . . . . . . . . . .
North American Coal Corporation . . . . . . . . . . . . . . .
NACCO and Other . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Consolidated Cash Flow before Financing Activities . . . .
Provided by (used for) financing activities . . . . . . . . . .
Other Data:
Adjusted EBITDA(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Total employees at December 31(3) . . . . . . . . . . . . . . . .
$ 34.6
19.5
(10.9)
44.9
(6.5)
$ 81.6
$ (33.9)
(3.7)
(3.9)
(18.2)
(0.2)
$ (59.9)
$ 0.7
15.8
(14.8)
26.7
(6.7)
$ 21.7
$ 64.4
$ 201.8
10,600
$ 50.1
34.7
6.5
36.1
(3.8)
$ 123.6
$(11.1)
(4.5)
(1.3)
(26.3)
0.1
$ (43.1)
$ 39.0
30.2
5.2
9.8
(3.7)
$ 80.5
$ (71.9)
$181.3
11 , 6 0 0
$ 80.0
17.7
(0.6)
41.1
(12.0)
$ 126.2
$(17.3)
(5.5)
(2.2)
(15.3)
–
$ (40.3)
$ 62.7
12.2
(2.8)
25.8
(12.0)
$ 85.9
$ (4.1)
$ 160.4
11,600
$ 11.9
31.8
0.1
26.4
5.0
$ 75.2
$ (30.1)
(3.8)
(1.0)
(21.4)
–
$ (56.3)
$ (18.2)
28.0
(0.9)
5.0
5.0
$ 18.9
$ (1.8)
$177.7
11,100
$ 84.8
28.7
17.2
38.7
4.1
$ 173.5
$ (30.6)
7. 2
(16.1)
4.2
–
$ (35.3)
$ 54.2
35.9
1.1
42.9
4.1
$ 138.2
$ (105.8)
$217.5
11,300
Year Ended December 31
2007 2006 2005 2004 2003
(In millions)
Reconciliation of Cash Flow
From Operations to Adjusted EBITDA:(2)
Cash flow from operations . . . . . . . . . . . . . . . . . . . . . . . . .
Change in working capital items . . . . . . . . . . . . . . . . . . . .
Gain (loss) on sale of assets and businesses . . . . . . . . .
Restructuring (charges) reversals . . . . . . . . . . . . . . . . . . .
Difference between deferred income taxes and
total tax provision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Other non-cash items . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest expense, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Adjusted EBITDA(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Calculation of Adjusted EBITDA: (2)
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Cumulative effect of accounting changes, net-of-tax . . .
Extraordinary gain, net-of-tax . . . . . . . . . . . . . . . . . . . . . . .
Minority interest income . . . . . . . . . . . . . . . . . . . . . . . . . . .
Income tax provision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Depreciation, depletion and amortization expense
Adjusted EBITDA(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
$ 81.6
75.4
1.3
(8.6)
19.0
4.4
28.7
$ 201.8
$ 89.3
–
–
(0.1)
23.1
40.7
(12.0)
60.8
$ 201.8
$ 123.6
14.1
(1.5)
1.2
4.9
(8.9)
47.9
$ 181.3
$ 52.8
(1.2)
(1.8)
(0.6)
15.8
51.0
(3.1)
68.4
$ 181.3
$ 126.2
0.6
(0.6)
(7.6)
7. 2
(10.6)
45.2
$ 160.4
$ 47.9
–
(0.5)
(0.4)
5.3
47.4
(2.2)
62.9
$ 160.4
$ 75.2
45.5
0.6
(2.7)
20.7
(4.9)
43.3
$ 177.7
$ 62.5
–
(4.7)
(0.1)
13.1
47.5
(4.2)
63.6
$ 177.7
$ 173.5
(22.4)
25.6
(0.8)
19.1
(11.8)
34.3
$ 217.5
$ 106.2
–
(12.8)
(0.7)
27.8
41.8
(7.5)
62.7
$ 217.5
This Annual Report contains references to non-GAAP financial measures. Presentations of, and quantitative reconciliations to, the most directly comparable
financial measures calculated and presented in accordance with GAAP appear on this page and pages 42 and 43.