Rayovac 2010 Annual Report Download - page 107

SPECTRUM BRANDS HOLDINGS, INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
(In thousands)
Successor
Company Predecessor Company
Year Ended
September 30,
2010
Period from
August 31, 2009
through
September 30, 2009
Period from
October 1, 2008
through
August 30, 2009
Year Ended
September 30,
2008
Cash flows from operating activities:
Net (loss) income ............................................... $ (190,107) $(70,785) $ 1,013,941 $(931,545)
Income (loss) from discontinued operations .......................... (2,735) 408 (86,802) (26,187)
(Loss) income from continuing operations ........................... (187,372) (71,193) 1,100,743 (905,358)
Adjustments to reconcile net (loss) income to net cash provided by
operating activities:
Depreciation .................................................. 54,822 5,158 36,745 52,236
Amortization of intangibles ....................................... 45,920 3,513 19,099 27,687
Amortization of debt issuance costs ................................ 9,030 314 13,338 8,387
Amortization of unearned restricted stock compensation ................ 16,676 — 2,636 5,098
Impairment of goodwill and intangibles ............................. — — 34,391 861,234
Non-cash goodwill adjustment due to release of valuation allowance ...... — 47,443 — —
Fresh-start reporting adjustments .................................. — — (1,087,566) —
Gain on cancelation of debt ....................................... — — (146,555) —
Administrative related reorganization items .......................... 3,646 3,962 91,312 —
Payments for administrative related reorganization items ................ (47,173) — — —
Deferred income taxes ........................................... 51,731 3,498 22,046 (37,237)
Non-cash increase to cost of goods sold due to inventory valuations ....... 34,865 — — —
Non-cash interest expense on 12% Notes ............................ 24,555 — — —
Write off of unamortized discount on retired debt ..................... 59,162 — — —
Write off of debt issuance costs .................................... 6,551 — 2,358 —
Non-cash restructuring and related charges .......................... 16,359 1,299 28,368 29,726
Non-cash debt accretion ......................................... 18,302 2,861 — —
Changes in assets and liabilities:
Accounts receivable ............................................. 12,702 5,699 68,203 8,655
Inventories .................................................... (66,127) 48,995 9,004 12,086
Prepaid expenses and other current assets ............................ 2,025 1,256 5,131 13,738
Accounts payable and accrued liabilities ............................ 86,497 22,438 (80,463) (62,165)
Other assets and liabilities ........................................ (73,612) (6,565) (88,996) (18,990)
Net cash provided (used) by operating activities of continuing operations ...... 68,559 68,678 29,794 (4,903)
Net cash provided (used) by operating activities of discontinued operations ..... (11,221) 6,273 (28,187) (5,259)
Net cash provided (used) by operating activities ........................ 57,338 74,951 1,607 (10,162)
Cash flows from investing activities:
Purchases of property, plant and equipment .......................... (40,316) (2,718) (8,066) (18,928)
Proceeds from sale of property, plant and equipment ................... 388 71 379 285
Payments for acquisitions, net of cash acquired ....................... (2,577) — (8,460) —
Net cash used by investing activities of continuing operations ................ (42,505) (2,647) (16,147) (18,643)
Net cash (used) provided by investing activities of discontinued operations ..... — — (855) 12,376
Net cash used by investing activities .................................. (42,505) (2,647) (17,002) (6,267)
Cash flows from financing activities:
Proceeds from new Senior Credit Facilities, excluding new ABL Revolving
Credit Facility, net of discount .................................. 1,474,755 — — —
Payment of extinguished senior credit facilities, excluding old ABL
revolving credit facility ........................................ (1,278,760) — — —
Reduction of other debt .......................................... (8,456) (4,603) (120,583) (425,073)
Proceeds from other debt financing ................................. 13,688 — — 477,759
Debt issuance costs, net of refund .................................. (55,024) (287) (17,199) (152)
Extinguished ABL Revolving Credit Facility ......................... (33,225) (31,775) 65,000 —
(Payments of) proceeds on supplemental loan ........................ (45,000) — 45,000 —
Treasury stock purchases ......................................... (2,207) — (61) (744)
Net cash (used) provided by financing activities ........................ 65,771 (36,665) (27,843) 51,790
Effect of exchange rate changes on cash and cash equivalents due to Venezuela
hyperinflation ................................................... (8,048) — — —
Effect of exchange rate changes on cash and cash equivalents ................ 258 1,002 (376) (441)
Net increase (decrease) in cash and cash equivalents ....................... 72,814 36,641 (43,614) 34,920
Cash and cash equivalents, beginning of period ........................... 97,800 61,159 104,773 69,853
Cash and cash equivalents, end of period .............................. $ 170,614 $ 97,800 $ 61,159 $ 104,773
Supplemental disclosure of cash flow information:
Cash paid for interest ................................................ $ 136,429 $ 5,828 $ 158,380 $ 227,290
Cash paid for income taxes, net ........................................ 36,951 1,336 18,768 16,999
See accompanying notes to consolidated financial statements.
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