Neiman Marcus 2009 Annual Report Download - page 136

Table of Contents
Fiscal year ended August 2, 2008
(in thousands) Company NMG
Non-
Guarantor
Subsidiaries Eliminations Consolidated
CASH FLOWS—OPERATING
ACTIVITIES
Net earnings (loss) $ 142,813 $ 142,813 $ 350,625 $ (493,438) $ 142,813
Adjustments to reconcile net earnings (loss) to
net cash provided by operating activities:
Depreciation and amortization expense — 204,389 30,431 — 234,820
Deferred income taxes — (44,627) — — (44,627)
Impairment of Horchow tradename — — 31,261 — 31,261
Gain on curtailment of defined benefit
retirement obligations — (32,450) — — (32,450)
Other, primarily costs related to defined
benefit pension and other long-term benefit
plans — 21,677 320 — 21,997
Intercompany royalty income payable
(receivable) — 273,584 (273,584) — —
Equity in (earnings) loss of subsidiaries (142,813) (350,625) — 493,438 —
Changes in operating assets and liabilities, net — 60,247 (128,736)— (68,489)
Net cash provided by operating activities — 275,008 10,317 — 285,325
CASH FLOWS—INVESTING ACTIVITIES
Capital expenditures — (172,237) (11,215) — (183,452)
Purchases of short-term investments — (10,000) — — (10,000)
Sales of short-term investments — 10,000 — — 10,000
Net cash used for investing activities — (172,237)(11,215)— (183,452)
CASH FLOWS—FINANCING ACTIVITIES
Repayment of borrowings — (3,900)— — (3,900)
Net cash used for financing activities — (3,900)— — (3,900)
CASH AND CASH EQUIVALENTS
Increase (decrease) during the period — 98,871 (898) — 97,973
Beginning balance — 139,333 1,874 — 141,207
Ending balance $ — $ 238,204 $ 976 $ — $ 239,180
Senior Notes and Senior Subordinated Notes. All of NMG's obligations under the Senior Notes and the Senior
Subordinated Notes, as well as its obligations under the Asset-Based Revolving Credit Facility and the Senior Secured Term Loan
Facility, are guaranteed by the Company and certain of NMG's existing and future domestic subsidiaries (principally, Bergdorf
Goodman, Inc. through which NMG conducts the operations of its Bergdorf Goodman stores and NM Nevada Trust which holds legal
title to certain real property and intangible assets used by the Company in conducting its operations). The guarantees by the Company
and each subsidiary guarantor are full and unconditional and joint and several. Currently, NMG conducts no operations through
subsidiaries that do not guarantee the Senior Notes or the Senior Subordinated Notes. Previously, the non-guarantor subsidiaries of
NMG included an operating subsidiary domiciled in Canada providing support services to our Direct Marketing operation through
January 2009.
Information with respect to non-guarantor subsidiaries with respect to the Senior Notes and Senior Subordinated Notes is as
follows:
(in thousands)
July 31,
2010
August 1,
2009
Total assets $ — $ 332
Net assets $ — $ 332
Fiscal year ended
(in thousands)
July 31,
2010
August 1,
2009
August 2,
2008
Revenues $ — $ — $ —
Net earnings (loss) — 282 (1,066)
Net cash used for operating
activities (32) (341) (875)
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