Rayovac 2009 Annual Report Download - page 150

Table of Contents
Index to Financial Statements SPECTRUM BRANDS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(In thousands, except per share amounts)
Effects of Plan Adjustments
(a) The Plan’s impact resulted in a net decrease of $25,551 on cash and cash equivalents. The significant sources and uses of cash were as follows:
Sources:
Amounts borrowed under the exit facility $ 65,000
Amounts borrowed under new supplemental loan agreement 45,000
Total Sources $110,000
Uses:
Repayment of un−reimbursed letters of credit $ 20,005
Repayment of supplemental loans 45,000
Repayment of certain amounts under the term loan agreement, current portion 3,440
Repayment of certain amounts under the term loan agreement, net of current portion 3,440
Payment of pre−petition foreign exchange contracts recorded in accounts payable 204
Payment of lender cure payments, terminated derivative contracts and other 48,066
Payment of debt issuance costs on exit facility 8,949
Payment of other accrued liabilities 6,447
Total Uses $135,551
Net Cash Uses $ (25,551)
(b) The Company incurred $8,949 of debt issuance costs under the exit facility. These debt issuance costs are classified as long−term assets and will be
amortized over the life of the exit facility.
(c) The adjustment to current maturities of long−term debt reflects the $20,005 payment of the Predecessor Company’s un−reimbursed letters of credit,
the $45,000 repayment of the Predecessor Company’s supplemental loan, and the $3,440 payment of certain amounts under the term loan agreement.
The adjustment to current maturities of long−term debt also reflects the $65,000 funding from the exit facility. The adjustment to the current
maturities of long−term debt are:
Repayment of unreimbursed letters of credit $ 20,005
Repayment of supplemental loan 45,000
Repayment of certain amounts under the term loan agreement, current portion 3,440
Amounts borrowed under the exit facility (65,000)
$ 3,445
(d) Reflects payment of $204 related to pre−petition foreign exchange derivative contracts.
(e) Total adjustment of $59,581 reflects term lender cure payments of $33,995, terminated interest rate swap derivative contract payments of $12,068 and
other accrued interest of $2,003. Additionally, this adjustment includes $11,515 of accrued default interest as provided in the August 2009
amendment of the Senior Term Credit Facility, which was assumed by the Successor Company and included in the principal balance of the loans at
emergence (See Note 8, Debt, for additional information).
(f) Reflects the payment of professional fees related to the reorganization in the amount of $6,447 offset by the reclassification of $15,580 related to
rejected lease obligations previously recorded as liabilities subject to compromise (see note(i)). These rejected lease obligations are to be paid by the
Successor Company in subsequent periods. As of September 30, 2009, the Company’s rejected lease obligation was reduced to $6,181.
147