Redbox 2004 Annual Report Download - page 42

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COINSTAR, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Year Ended December 31,
2004 2003 2002
OPERATING ACTIVITIES:
Net income ............................................................................................................................. $ 20,368 $ 19,555 $ 58,513
Adjustments to reconcile income from operations to net cash provided by operating
activities:
Depreciation and other...................................................................................................... 35,302
27,006 25,810
Amortization of intangible assets...................................................................................... 2,014 138 —
Amortization of deferred financing fees............................................................................ 456 — 41
Loss on early retirement of debt........................................................................................ 706 — 6,308
Non-cash earnings from subsidiary................................................................................... (184) — —
Non-cash stock-based compensation................................................................................. 38 (65) 878
Deferred income taxes....................................................................................................... 8,597 10,558 (42,555)
Cash provided (used) by changes in operating assets and liabilities, net of effects of
business acquisitions:
Accounts receivable .......................................................................................................... (1,754) —
—
Inventory........................................................................................................................... (2,956) — —
Prepaid expenses and other current assets......................................................................... (4,969) (542) (319)
Other assets ....................................................................................................................... (1,522) (159)
—
Accounts payable.............................................................................................................. 2,702 (1,047) (2,652)
Accrued liabilities payable to retailers .............................................................................. (1,436) (876)
7,380
Accrued liabilities ............................................................................................................. 3,237 (1,066) (1,531)
Net cash provided by operating activities.......................................................................... 60,599 53,502 51,873
INVESTING ACTIVITIES:
Proceeds from (purchase of) available-for-sale securities................................................. 24 (352) —
Purchase of property and equipment................................................................................. (42,784) (24,891) (22,375)
Acquisition of ACMI, net of cash acquired of $11,505..................................................... (227,766) —
—
Other acquisitions, net of cash acquired of $1,087............................................................ (8,585) — —
Proceeds from sale of fixed assets..................................................................................... 218 27 263
Purchase of intangible assets............................................................................................. — (783) —
Net cash used by investing activities (278,893) (25,999) (22,112)
FINANCING ACTIVITIES:
Proceeds from common stock offering, net of cash paid for offering costs of $4,626 ...... 81,624 — —
Principal payments on long-term debt and capital lease obligations ................................. (59,199) (27,519) (85,846)
Borrowings under long-term debt ..................................................................................... 250,000
7,500 58,000
Premium payments for early retirement of debt................................................................ — — (4,878)
Repurchase of common stock............................................................................................ —
(15,287) (7,496)
Proceeds from exercise of stock options and issuance of shares under employee stock
purchase plan ............................................................................................................... 7,309
3,699 8,276
Financing costs associated with long-term credit facility.................................................. (5,459) — (1,196)
Net cash provided (used) by financing activities............................................................... 274,275 (31,607) (33,140)
Effect of exchange rate changes on cash........................................................................... 1,142
925 287
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND CASH BEING
PROCESSED......................................................................................................................... 57,123
(3,179) (3,092)
CASH, CASH EQUIVALENTS AND CASH BEING PROCESSED:
Beginning of year.............................................................................................................. 99,664
102,843 105,935
End of year........................................................................................................................ $ 156,787 $ 99,664 $ 102,843
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid during the year for interest................................................................................ $ 4,914 $ 1,486 $ 5,013
Cash paid during the period for taxes................................................................................ 880 1,015 —
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING AND FINANCING
ACTIVITIES:
Purchase of vehicles financed by capital lease obligations ............................................... $ 2,614 $ 1,001 $ 1,203
Accrued acquisition costs.................................................................................................. 293 — —
Unpaid fees for common stock offering............................................................................ 486 — —
See notes to consolidated financial statements