Invacare 2013 Annual Report Download - page 122

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INVACARE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS-(Continued)
FS-48
Supplemental Guarantor Information
Effective February 12, 2007, substantially all of the domestic subsidiaries (the “Guarantor Subsidiaries”) of the Company
became guarantors of the indebtedness of Invacare Corporation under its 4.125% Convertible Senior Subordinated Debentures
due 2027 (the “Debentures”) with an original aggregate principal amount of $135,000,000. The majority of the Company’s wholly
owned subsidiaries are not guaranteeing the indebtedness of the Debentures (the “Non-Guarantor Subsidiaries”). Each of the
Guarantor Subsidiaries has fully and unconditionally guaranteed, on a joint and several basis, to pay principal, premium, and
interest related to the Debentures and each of the Guarantor Subsidiaries are directly or indirectly wholly-owned subsidiaries of
the Company.
Presented below are the consolidating condensed financial statements of Invacare Corporation (Parent), its combined
Guarantor Subsidiaries and combined Non-Guarantor Subsidiaries with their investments in subsidiaries accounted for using the
equity method. The Company does not believe that separate financial statements of the Guarantor Subsidiaries are material to
investors and accordingly, separate financial statements and other disclosures related to the Guarantor Subsidiaries are not presented.
CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS
The
Company
(Parent)
Combined
Guarantor
Subsidiaries
Combined
Non-Guarantor
Subsidiaries Eliminations Total
(in thousands)
Year ended December 31, 2013
Net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 241,871 $ 478,814 $ 720,978 $ (89,304) $ 1,352,359
Cost of products sold . . . . . . . . . . . . . . . . . 211,896 346,464 506,308 (89,775) 974,893
Gross Profit . . . . . . . . . . . . . . . . . . . . 29,975 132,350 214,670 471 377,466
Selling, general and administrative
expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . 123,377 98,222 177,530 2,694 401,823
Charge related to restructuring activities . . 6,356 79 2,901 — 9,336
Asset write-downs to intangibles . . . . . . . . — 1,250 273 — 1,523
Income (loss) from equity investee . . . . . . 133,350 29,644 286 (163,280) —
Interest (income) expense—net . . . . . . . . . (1,661) 3,783 1,002 — 3,124
Earnings (Loss) from Continuing
Operations Before Income Taxes. . . 35,253 58,660 33,250 (165,503)(38,340)
Income taxes. . . . . . . . . . . . . . . . . . . . . . . . 2,202 — 10,458 — 12,660
Net Earnings (Loss) from
Continuing Operations . . . . . . . . . . . $ 33,051 $ 58,660 $ 22,792 $ (165,503) $ (51,000)
Net Earnings from Discontinued
Operations . . . . . . . . . . . . . . . . . . . . . — 84,051 — — 84,051
Net Earnings (Loss). . . . . . . . . . . . . . $ 33,051 $ 142,711 $ 22,792 $ (165,503) $ 33,051
Other Comprehensive Income (Loss),
net of Tax. . . . . . . . . . . . . . . . . . . . . . . . . . 12,413 (2,309) 17,797 (15,488) 12,413
Comprehensive Income (Loss) . . . . . . . . $ 45,464 $ 140,402 $ 40,589 $ (180,991) $ 45,464