WeightWatchers 2015 Annual Report Download - page 65

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Investing Activities
Fiscal 2015
Net cash used in investing activities totaled $40.3 million in fiscal 2015, a decrease of $28.7 million as
compared to fiscal 2014. This decrease was primarily attributable to the lower investment in acquisitions in fiscal
2015 versus the prior year. For additional information on our acquisitions, see “Item 6. Selected Financial Data”.
In addition, we invested $15.4 million less in our technology and operating infrastructure in the fiscal 2015 as
compared to fiscal 2014. See “—Transformation Plan” for a discussion of our strategic initiatives driving our
investing activities.
Fiscal 2014
Net cash used for investing activities totaled $69.0 million in fiscal 2014, a decrease of $76.4 million as
compared to fiscal 2013. This decrease was primarily attributable to the lower aggregate investment in
acquisitions in fiscal 2014 versus the prior year. For additional information on our acquisitions, see “Item 6.
Selected Financial Data”. In addition, in fiscal 2014, although we invested in technology and operating
infrastructure, as well as healthcare initiatives, we incurred lower capital expenditures as compared to fiscal 2013
which had expenditures in connection with the move of our headquarters and our previously disclosed retail
initiative to upgrade our meetings centers.
Fiscal 2013
Net cash used for investing activities totaled $145.3 million in fiscal 2013, an increase of $35.9 million as
compared to fiscal 2012. This increase was primarily attributable to the $83.8 million aggregate purchase price
paid for franchise acquisitions completed in fiscal 2013. In fiscal 2013, we acquired substantially all of the assets
of the following franchisees: Weight Watchers of Alberta Ltd. and Weight Watchers of Saskatchewan Ltd. for an
aggregate purchase price of $35.0 million, Weight Watchers of West Virginia, Inc. for a net purchase price of
$16.0 million, Weight Watchers of Columbus, Inc. for a net purchase price of $23.3 million, Weight Watchers of
Northern Nevada, Inc. for a net purchase price of $4.0 million, Weight Watchers of Manitoba Ltd. for a net
purchase price of $5.2 million, and Weight Watchers of Franklin and St. Lawrence Counties Inc. for a net
purchase price of $0.3 million. In addition, we incurred capital expenditures in connection with the move of our
headquarters, our retail initiative and capitalized software expenditures to support our customer relationship
management platform and other global systems initiatives.
Financing Activities
Fiscal 2015
Net cash used in financing activities totaled $68.6 million in fiscal 2015, primarily due to $137.1 million of
debt prepayments in connection with the debt tender offers discussed below and scheduled debt repayments of
$21.0 million offset by the proceeds of our revolver borrowing of $48.0 million under the Revolving Facility as
well as the $43.2 million cash payment we received, offset by $1.7 million of related legal fees, from the sale of
our common stock to Ms. Winfrey in fiscal 2015. For a discussion of the debt tender offers, see “—Long-Term
Debt”.
Fiscal 2014
Net cash used in financing activities totaled $29.4 million in fiscal 2014, primarily due to term loan
payments under the WWI Credit Facility of $30.0 million.
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