Hasbro 2008 Annual Report Download - page 53

HASBRO, INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
Fiscal Years Ended in December
(Thousands of Dollars)
2008 2007 2006
Cash flows from operating activities
Net earnings ............................................ $306,766 333,003 230,055
Adjustments to reconcile net earnings to net cash
provided by operating activities:
Depreciation of plant and equipment ........................ 87,873 88,804 67,773
Amortization .......................................... 78,265 67,716 78,934
Loss on impairment of investment .......................... — — 2,629
Change in fair value of liabilities potentially
settleable in common stock............................ — 44,370 31,770
Deferred income taxes ................................... 24,994 37,578 24,967
Stock-based compensation ................................ 35,221 29,402 22,832
Change in operating assets and liabilities:
Increase in accounts receivable ............................ (14,220) (74,941) (10,708)
Increase in inventories ................................... (69,871) (44,267) (17,623)
Decrease (increase) in prepaid expenses and other current assets .... 74,734 79,247 (35,174)
Increase (decrease) in accounts payable and accrued liabilities ..... 56,143 64,936 (35,639)
Other, including long-term advances ........................ 13,280 (24,054) (39,169)
Net cash provided by operating activities ................... 593,185 601,794 320,647
Cash flows from investing activities
Additions to property, plant and equipment ..................... (117,143) (91,532) (82,103)
Investments and acquisitions, net of cash acquired ................ (154,757) (18,000) —
Purchases of short-term investments........................... (42,000) (43,700) (941,120)
Proceeds from sales of short-term investments ................... 42,000 43,700 941,120
Other ................................................. (20) (2,933) (1,501)
Net cash utilized by investing activities .................... (271,920) (112,465) (83,604)
Cash flows from financing activities
Net proceeds from borrowings with original maturities of more than
three months .......................................... — 346,009 —
Repayments of borrowings with original maturities of more than three
months .............................................. (135,092) — (32,743)
Net repayments of other short-term borrowings .................. (645) (1,150) (3,726)
Purchases of common stock................................. (360,244) (584,349) (456,744)
Purchase of Lucas warrants ................................. — (200,000) —
Stock option transactions ................................... 120,895 82,661 86,257
Excess tax benefits from stock-based compensation ............... 24,760 17,009 14,959
Dividends paid .......................................... (107,065) (94,097) (75,282)
Net cash utilized by financing activities .................... (457,391) (433,917) (467,279)
Effect of exchange rate changes on cash ......................... (7,942) 3,646 3,368
(Decrease) increase in cash and cash equivalents.............. (144,068) 59,058 (226,868)
Cash and cash equivalents at beginning of year .................... 774,458 715,400 942,268
Cash and cash equivalents at end of year ......................... $630,390 774,458 715,400
Supplemental information
Interest paid . . ...................................... $ 50,696 27,374 26,228
Income taxes paid .................................... $ 49,152 123,325 84,901
See notes (4) and (11) for disclosure of financing and investing activities not affecting cash.
See accompanying notes to consolidated financial statements.
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