Hamilton Beach 2010 Annual Report Download - page 5

c c c 2c c c
(5) Cash Flow before Financing Activities is equal to net cash provided by operating activities less net cash used for investing activities.
(6) 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 goodwill and other intangible assets impairment charges, income taxes, non-controlling interest (income) expense, discontinued operations
and extraordinary gain 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 deter-
mined using U.S. generally accepted accounting principles are presented above. A reconciliation of cash flow provided by operating activities to Adjusted EBITDA is presented below.
(7) Includes employees of the unconsolidated mining subsidiaries and excludes employees of Red River.
$ 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)
$ 213.8
11,300
$ 34.6
19.5
(10.9)
44.7
(6.5)
$ 81.4
$ (33.9)
(3.7)
(3.9)
(18.2)
(0.2)
$ (59.9)
$ 0.7
15.8
(14.8)
26.5
(6.7)
$ 21.5
$ 64.4
$ 201.7
10,600
$ (27.3)
18.0
(6.4)
23.2
(2.6)
$ 4.9
$ (37.5)
(5.7)
(6.0)
(15.9)
(6.3)
$ (71.4)
$ (64.8)
12.3
(12.4)
7.3
(8.9)
$ (66.5)
$ (83.2)
$ 106.6
9,500
Year Ended December 31
2010(4) 2009(4) 2008(1)(4) 2007 2006
(In millions)
Reconciliation of cash flow from operations
to Adjusted EBITDA(6)
Cash flow from operations . . . . . . . . . . . . . . . . . . . . . . . . . .
Change in working capital items . . . . . . . . . . . . . . . . . . . . . .
Gain (loss) on sale of assets and businesses . . . . . . . . . . . .
Discontinued operations . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Restructuring (charges) reversals . . . . . . . . . . . . . . . . . . . . .
Difference between deferred income
taxes and total tax provision . . . . . . . . . . . . . . . . . . . . . . .
Other non-cash items . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest expense, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Adjusted EBITDA(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Calculation of Adjusted EBITDA(6)
Net income (loss) attributable to stockholders . . . . . . . . . .
Goodwill and other intangible
assets impairment charges . . . . . . . . . . . . . . . . . . . . . . . .
Discontinued operations, net of tax . . . . . . . . . . . . . . . . . . .
Extraordinary gain, net-of-tax . . . . . . . . . . . . . . . . . . . . . . . .
Noncontrolling interest (income) loss . . . . . . . . . . . . . . . . .
Income tax provision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Depreciation, depletion and amortization expense . . . . .
Adjusted EBITDA(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
$ 63.1
48.9
(5.9)
–
1.9
6.9
34.1
24.8
$ 173.8
$ 79.5
–
–
–
(0.1)
17.4
27.4
(2.6)
52.2
$ 173.8
$ 115.9
35.5
5.4
42.0
(41.8)
$ 157.0
$ 5.8
(2.1)
(1.1)
34.5
(14.0)
$ 23.1
$ 121.7
33.4
4.3
76.5
(55.8)
$ 180.1
$ (64.1)
$ 111.5
8,600
$ 157.0
(114.5)
10.0
8.4
(9.3)
(4.2)
35.1
29.0
$ 111.5
$ 31.1
–
(22.6)
–
(0.1)
20.5
32.2
(3.2)
53.6
$ 111.5
$ 173.5
(21.6)
25.6
(4.8)
(0.8)
19.4
(11.8)
34.3
$ 213.8
$ 106.8
–
(2.8)
(12.8)
(0.7)
28.5
41.8
(7.5)
60.5
$ 213.8
$ 81.4
77.2
1.3
(2.0)
(8.6)
19.1
4.6
28.7
$ 201.7
$ 90.4
–
(0.6)
–
(0.1)
24.3
40.7
(12.0)
59.0
$ 201.7
$ 4.9
96.6
0.1
(4.6)
(9.1)
(1.6)
(12.7)
33.0
$ 106.6
$ (437.6)
435.7
(2.3)
–
0.2
18.7
40.6
(7.6)
58.9
$ 106.6
Year Ended December 31
2010(4) 2009(4) 2008(1)(4) 2007 2006
(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 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Provided by (used for) investing activities . . . . . . . . . . . . . .
Cash Flow before Financing Activities(5)
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(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Total employees at December 31(7) . . . . . . . . . . . . . . . . . . .
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. For certain pre-tax disclosures included in the “To Our Stockholders” letter beginning on page 3, the resulting
after-tax amount and the related income tax amount have been included. Certain after-tax amounts are considered non-GAAP measures in accordance with Regulation G. Management
believes that after-tax information is useful in analyzing the Company’s net income.
$ 47.5
15.0
6.3
25.9
(31.6)
$ 63.1
$ (8.5)
(2.2)
(2.7)
6.9
0.7
$ (5.8)
$ 39.0
12.8
3.6
32.8
(30.9)
$ 57.3
$ (43.3)
$ 173.8
8,900