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Table of Contents
During fiscal 2011 , the Company received proceeds of $160.0 million
from borrowings under the accounts receivable securitization
program and repaid $109.6 million for the 3.75% Notes acquired in the Bell acquisition which were tendered during fiscal 2011
. The Company
also received proceeds of $8.9 million , net of repayments, related to its revolving credit facility and other debt.
Other financing activities, net, during fiscal 2013 , 2012 and 2011
were primarily a result of cash received for the exercise of stock options
and the associated excess tax benefit.
Cash Flows from Investing Activities
During fiscal 2013 , the Company used $262.3 million of cash for acquisitions, net of cash acquired, and $97.4 million
for capital
expenditures primarily related to system development costs and computer hardware and software purchases. Also during fiscal 2013
, the
Company received $3.6 million , net of cash divested, for an earn-
out payment associated with a divestiture completed in a prior year and a small
divestiture in TS Asia.
During fiscal 2012 , the Company used $313.2 million of cash for acquisitions, net of cash acquired, and $128.7 million
for capital
expenditures primarily related to system development costs and computer hardware and software purchases.
During fiscal 2011 , the Company used $691.0 million of cash for acquisitions, net of cash acquired, and $148.7 million
for capital
expenditures primarily related to system development costs and computer hardware and software expenditures. Also during fiscal 2011
, the
Company received $19.1 million of proceeds associated with a divestiture and $10.6 million of proceeds from the sale of fixed assets.
Capital Structure
The Company uses a variety of financing arrangements, both short-term and long-
term, to fund its operations in addition to funds
generated from cash flow from operations. The Company also uses diversified sources of funding so that it does not become overly dependent on
one source and to achieve lower cost of funding through these different alternatives. These financing arrangements include public bonds, short-
term and long-term bank loans and an accounts receivable securitization program. For a detailed description of the Company’
s external financing
arrangements outstanding at June 29, 2013 , refer to Note 7 to the consolidated financial statements appearing in Item 15 of this Report.
The following table summarizes the Company’s capital structure as of the end of fiscal 2013
with a comparison with the end of fiscal
2012 :
Financing Transactions
The Company has a five-year $1.0 billion
senior unsecured revolving credit facility (the "2012 Credit Facility") with a syndicate of banks,
which expires in November 2016. In connection with the 2012 Credit Facility, the Company terminated its existing unsecured $500.0 million
credit facility (the "2008 Credit Facility"), which was to expire in September 2012. Under the 2012 Credit Facility, the Company may elect from
various interest rate options, currencies and maturities. As of the end of fiscal 2013 , there were $6.7 million
in borrowings outstanding under the
2012 Credit Facility included in “long-term debt” in the consolidated financial statements. In addition, there were $2.3 million
in letters of credit
issued under the 2012 Credit Facility, which represents a utilization of the 2012 Credit Facility capacity but is not recorded in the consolidated
balance sheet as the letters of credit are not debt. As of June 30, 2012 , there were $110.1 million in borrowings outstanding included in “long-
term debt” in the consolidated financial statements and $17.2 million in letters of credit issued.
In August 2012, the Company amended its accounts receivable securitization program (the "Securitization Program" or “Program”)
with a
group of financial institutions to allow the Company to sell, on a revolving basis, an undivided interest of up to $800.0 million (
$750.0 million
prior to the amendment) in eligible receivables while retaining a subordinated interest in a portion
27
June 29,
2013
% of Total
Capitalization
June 30,
2012
% of Total
Capitalization
(Dollars in thousands)
Short-term debt
$
838,190
13.2%
$
872,404
14.4%
Long-term debt
1,206,993
19.1
1,271,985
21.0
Total debt
2,045,183
32.3
2,144,389
35.4
Shareholders’ equity
4,289,125
67.7
3,905,732
64.6
Total capitalization
$
6,334,308
100.0
$
6,050,121
100.0