Pep Boys 2008 Annual Report Download - page 131

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THE PEP BOYS—MANNY, MOE & JACK AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Years ended January 31, 2009, February 2, 2008 and February 3, 2007
(dollar amounts in thousands, except share data)
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
Subsidiary
Subsidiary Non- Consolidation
January 31, 2009 Pep Boys Guarantors Guarantors Elimination Consolidated
Cash Flows from Operating Activities:
Net (Loss) Earnings ............................. $(30,429) $ 49,819 $ 5,864 $(55,683) $ (30,429)
Adjustments to Reconcile Net (Loss) Earnings to Net Cash (Used
in) Provided By Continuing Operations:
Net loss from discontinued operations .................. 148 1,443 — — 1,591
Depreciation and amortization ....................... 25,442 47,427 682 (344) 73,207
Amortization of Deferred Gain from asset sale ............ (3,468) (7,161) — 344 (10,285)
Accretion of asset disposal obligation .................. 91 172 — — 263
Stock compensation expense ........................ 2,743 — — — 2,743
Equity in earnings of subsidiaries ..................... (55,683) — — 55,683 —
Gain on debt retirement .......................... (3,460) — — — (3,460)
Deferred income taxes ............................ 10,733 (17,190) 199 — (6,258)
Gain from disposition of assets ...................... (3,394) (6,322) — — (9,716)
Loss from asset impairments ........................ 531 2,896 — — 3,427
Change in fair value of derivatives .................... 177 — — — 177
Dividends received from subsidiary .................... 2,464 — — (2,464) —
Excess tax benefits from stock based awards .............. (3) — — — (3)
Increase in cash surrender value of life insurance policies ...... 100 — — — 100
Changes in operating assets and liabilities:
Decrease in accounts receivable, prepaid expenses and other . . . . 17,926 2,211 5,079 (1,312) 23,904
Increase in merchandise inventories ................... (328) (3,451) — — (3,779)
Decrease in accounts payable ....................... (33,083) — — — (33,083)
(Decrease) increase in accrued expenses ................. (28,591) 211 (7,925) 1,312 (34,993)
Decrease in other long-term liabilities .................. (10,154) (1,838) — — (11,992)
Net cash (used in) provided by continuing operations ........ (108,238) 68,217 3,899 (2,464) (38,586)
Net cash used in discontinued operations ................ (82) (839) — — (921)
Net Cash (Used in) Provided by Operating Activities ......... (108,320) 67,378 3,899 (2,464) (39,507)
Cash Flows from Investing Activities:
Cash paid for property and equipment .................. (44,727) (107,156) — — (151,883)
Proceeds from disposition of assets .................... 64,876 145,759 — — 210,635
Life insurance proceeds received ..................... 15,588 — — — 15,588
Net cash provided by continuing operations ............... 35,737 38,603 — — 74,340
Net cash provided by discontinued operations ............. 3,047 1,339 — — 4,386
Net Cash Provided by Investing Activities ................ 38,784 39,942 — — 78,726
Cash Flows from Financing Activities:
Borrowings under line of credit agreements ............... 87,659 117,503 — — 205,162
Payments under line of credit agreements ................ (95,428) (127,917) — — (223,345)
Excess tax benefits from stock based awards .............. 3 3
Borrowings on trade payable program liability ............. 196,680 — — — 196,680
Payments on trade payable program liability .............. (179,004) — — — (179,004)
Payments for finance issuance costs .................... (6,847) (89) — — (6,936)
Proceeds from lease financing ....................... 4,676 3,985 — — 8,661
Reduction of long-term debt ........................ (26,189) (339) — — (26,528)
Payments on capital lease obligations ................... (270) — — — (270)
Intercompany borrowings (payments) .................. 102,037 (100,725) (1,312) — —
Dividends paid ................................ (14,111) — (2,464) 2,464 (14,111)
Proceeds from exercise of stock options ................. 23 — — — 23
Proceeds from dividend reinvestment plan ............... 852 — — — 852
Net Cash Provided by (Used in) Financing Activities ......... 70,081 (107,582) (3,776) 2,464 (38,813)
Net Increase (Decrease) in Cash ..................... 545 (262) 123 — 406
Cash and Cash Equivalents at Beginning of Year ........... 12,208 6,655 2,063 — 20,926
Cash and Cash Equivalents at End of Year ............... $ 12,753 $ 6,393 $ 2,186 $ — $ 21,332
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