Twenty-First Century Fox 2011 Annual Report Download - page 28

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)
Net cash used in investing activities for the fiscal years ended June 30, 2011 and 2010 is as follows (in millions):
For the years ended June 30, 2011 2010
Net cash used in investing activities $(2,247) $(313)
The increase in net cash used in investing activities during the fiscal year ended June 30, 2011 as compared to fiscal 2010 was primarily due to
the absence of proceeds from the sale of the financial indexes businesses and the majority of the Company’s eastern European television stations
which were sold in fiscal 2010, cash utilized for the Company’s acquisitions of Shine and Wireless Generation in fiscal 2011 and higher capital
expenditures. The increase in capital expenditures was primarily due to higher equipment purchases at the DBS segment and higher facility and
equipment purchases at the Publishing segment.
Net cash provided by (used in) financing activities for the fiscal years ended June 30, 2011 and 2010 is as follows (in millions):
For the years ended June 30, 2011 2010
Net cash provided by (used in) financing activities $1,360 $(1,445)
The change in net cash provided by financing activities for the fiscal year ended June 30, 2011 as compared to the net cash used in financing
activities for fiscal 2010 was primarily due to higher borrowings and lower repayments of borrowings. During fiscal 2011, News America
Incorporated, a wholly-owned subsidiary of the Company, (“NAI”), issued $2.5 billion in senior notes as compared to fiscal 2010 which included
the issuance of $1.0 billion in senior notes. During fiscal 2011, NAI redeemed a portion of its 9.25% Senior Debentures due in February 2013 for
$262 million and $82 million of its LYONs. The Company also repaid approximately $134 million assumed as part of the Shine acquisition in
fiscal 2011. In fiscal 2010, NAI redeemed its 0.75% Senior Exchangeable BUCS for $1.6 billion, its 5% TOPrS for $134 million and its 4.75%
Senior Notes due March 2010 for $150 million.
The total dividends declared related to fiscal 2011 results were $0.17 per share of Class A Common Stock and Class B Common Stock. In
August 2011, the Company declared the final dividend on fiscal 2011 results of $0.095 per share for Class A Common Stock and Class B
Common Stock. This together with the interim dividend of $0.075 per share of Class A Common Stock and Class B Common Stock constitute the
total dividend relating to fiscal 2011.
Based on the number of shares outstanding as of June 30, 2011, the total aggregate cash dividends expected to be paid to stockholders in fiscal
2012 is approximately $450 million.
Sources and Uses of Cash – Fiscal 2010 vs. Fiscal 2009
Net cash provided by operating activities for the fiscal years ended June 30, 2010 and 2009 is as follows (in millions):
For the years ended June 30, 2010 2009
Net cash provided by operating activities $3,854 $2,248
The increase in net cash provided by operating activities during fiscal 2010 as compared to fiscal 2009 primarily reflects higher profits and
worldwide theatrical receipts at the Filmed Entertainment segment, higher affiliate receipts at the Cable Network Programming segment, higher
receipts at the book publishing business and lower tax payments. The increase was partially offset by the $500 million payment relating to the
settlement of the Valassis litigation, higher payments for programming rights, higher pension contributions and higher interest payments.
Net cash used in investing activities for the fiscal years ended June 30, 2010 and 2009 is as follows (in millions):
For the years ended June 30, 2010 2009
Net cash used in investing activities $(313) $(627)
Net cash used in investing activities during the fiscal year ended June 30, 2010 decreased as compared to fiscal 2009, primarily due to a
reduction in cash used for acquisitions and lower property, plant and equipment purchases. This was partially offset by lower cash proceeds from
disposals. Fiscal 2009 included proceeds from the sale of eight of the Company’s television stations and a portion of the Company’s interest in
NDS. Fiscal 2010 included cash proceeds of $840 million related to the disposition of the financial indexes businesses and $372 million related to
the sale of a majority of the Company’s eastern European television stations.
Net cash (used in) provided by financing activities for the fiscal years ended June 30, 2010 and 2009 is as follows (in millions):
For the years ended June 30, 2010 2009
Net cash (used in) provided by financing activities $(1,445) $315
26 News Corporation