Adaptec 2006 Annual Report Download - page 67

Table of Contents
PMC-Sierra, Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
December 31,
2006
December 31,
2005
December 26,
2004
Cash flows from operating activities:
Net (loss) income $ (99,892) $ 27,986 $ 51,681
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Stock-based compensation 37,908 215 697
In-process research and development 35,300 — —
Amortization of intangible assets 36,990 2,344 1,012
Depreciation of property and equipment 10,820 9,563 14,300
Amortization of debt issuance costs 968 191 509
Loss (gain) on investments and other assets 1,269 (1,255) (9,242)
Reversal of write-down of excess inventory, net — (1,904) (219)
Gain on disposal of property and equipment — (184) —
Loss on extinguishment of debt — 1,618 1,845
Impairment of purchased intangible assets — 538 175
Changes in operating assets and liabilities:
Accounts receivable 2,203 (11,868) 1,714
Inventories (6,181) 3,681 2,671
Prepaid expenses and other current assets (15,416) 3,489 (3,831)
Accounts payable and accrued liabilities (14,296) 6,416 (21,076)
Income taxes payable 44,664 4,749 20,147
Accrued restructuring costs (2,576) 2,095 (2,531)
Deferred income 336 3,357 (8,074)
Net cash provided by operating activities 32,097 51,031 49,778
Cash flows from investing activities:
Acquisition of businesses, net of cash acquired (419,436) — —
Purchases of short-term available-for-sale investments — (138,759) (15,921)
Proceeds from sales and maturities of short-term available-for-sale investments 222,357 173,422 14,067
Purchases of long-term available-for-sale investments in bonds and notes — (35,231) (191,980)
Proceeds from sales and maturities of long-term available-for-sale investments in bonds and
notes — 71,021 126,087
Purchases of investments and other assets — (5,693) (6,074)
Proceeds from sales of other investments 5,445 772 20,067
Proceeds from refund of wafer fabrication deposits — 1,634 —
Purchases of property and equipment (8,011) (5,156) (9,922)
Proceeds from sale of property — 2,604 —
Purchase of intangible assets (5,144) (3,454) (5,921)
Net cash (used in) provided by investing activities (204,789) 61,160 (69,597)
Cash flows from financing activities:
Repurchase of convertible subordinated notes — (70,177) (106,929)
Proceeds from issuance of senior convertible notes — 225,000 —
Payment of debt issuance costs — (6,788) —
Proceeds from issuance of common stock 26,040 24,064 22,065
Net cash provided by (used in) financing activities 26,040 172,099 (84,864)
Net (decrease) increase in cash and cash equivalents (146,652) 284,290 (104,683)
Cash and cash equivalents, beginning of the year 405,566 121,276 225,959
Cash and cash equivalents, end of the year $ 258,914 $ 405,566 $ 121,276
Supplemental disclosures of cash flow information:
Cash paid for interest $ 5,063 $ 1,085 $ 4,134
Cash refund of income taxes 2,241 3,224 22,316
Cash paid for income taxes 6,891 3,200 163
Supplemental disclosures of non-cash investing and financing activities:
Issuance of common stock and assumption of stock options on acquisition $ 254,546 $ — $ —
Conversion of PMC-Sierra special shares into common stock 629 1,072 85
See notes to the consolidated financial statements.
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Source: PMC SIERRA INC, 10-K, March 01, 2007 Powered by Morningstar® Document Research℠