Panera Bread 2009 Annual Report Download - page 39

We had working capital of $179.8 million at December 29, 2009 compared to $24.4 million at December 30,
2008. The increase in working capital resulted primarily from the previously described increase in cash and cash
equivalents of $171.7 million, a $8.7 million increase in deferred income taxes and a $3.4 million increase in trade
and other accounts receivable, partially offset by an increase in accrued expenses of $25.9 million. We believe that
our cash flow from operations and available borrowings under our existing credit facility will be sufficient to fund
our cash requirements for the foreseeable future.
A summary of our cash flows, for the periods indicated, are as follows (in thousands):
Cash provided by (used in):
December 29,
2009
December 30,
2008
December 25,
2007
For the Fiscal Year Ended
Operating activities ............................ $214,904 $ 157,324 $ 154,245
Investing activities ............................. $(49,219) $ (48,705) $(197,493)
Financing activities ............................ $ 6,005 $(102,151) $ 59,393
Net increase in cash and cash equivalents .......... $171,690 $ 6,468 $ 16,145
Operating Activities
Cash flows provided by operating activities in fiscal 2009 primarily resulted from net income, adjusted for
non-cash items such as depreciation and amortization, stock-based compensation expense, deferred income taxes,
and the tax benefit from exercise of stock options, an increase in non-acquisition accrued expenses, accounts
payable and deferred rent, partially offset by an increase in non-acquisition prepaid expenses. Cash flows provided
by operating activities in fiscal 2008 primarily resulted from net income, adjusted for non-cash items such as
depreciation and amortization, stock-based compensation expense, deferred taxes, and the tax benefit from exercise
of stock options, a decrease in trade and other accounts receivable, an increase in deferred rent, an increase in other
long-term liabilities and non-acquisition accrued expenses, partially offset by an increase in prepaid expenses. Cash
flows provided by operating activities in fiscal 2007 primarily resulted from net income, adjusted for non-cash items
such as depreciation and amortization, stock-based compensation expense, deferred taxes, and the tax benefit from
exercise of stock options, a decrease in prepaid expenses and deferred rent and non-acquisition accrued expenses,
partially offset by an increase in trade and other receivables.
Investing Activities
Capital Expenditures
Capital expenditures are the largest ongoing component of our investing activities and include expenditures for
new Company-owned bakery-cafes and fresh dough facilities, improvements to existing Company-owned bakery-
cafes and fresh dough facilities, and other capital needs. A summary of capital expenditures for the periods
indicated consisted of the following (in thousands):
December 29,
2009
December 30,
2008
December 25,
2007
For the Fiscal Year Ended
New bakery-cafe and fresh dough facilities .......... $28,036 $39,122 $ 92,864
Bakery-cafe and fresh dough facility improvements .... 21,695 20,665 27,617
Other capital needs ............................ 4,953 3,376 3,652
Total..................................... $54,684 $63,163 $124,133
Our capital requirements, including development costs related to the opening or acquisition of additional
bakery-cafes and fresh dough facilities and maintenance and remodel expenditures, have and will continue to be
significant. Our future capital requirements and the adequacy of available funds will depend on many factors,
including the pace of expansion, real estate markets, site locations, and the nature of the arrangements negotiated
with landlords. We believe that our cash flows from operations and available borrowings under our existing credit
facility will be sufficient to fund our capital requirements in both our short-term and long-term future. We currently
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