Cash America 2013 Annual Report Download - page 126

101
revolving line of credit may be increased up to an additional $100.0 million with the consent of any increasing lenders.
When the Company amended its Domestic and Multi-currency Line of Credit, it also extended the maturity date of its
2018 Variable Rate Notes and its standby letter of credit facility (each of which were entered into originally on the same
date as the Domestic and Multi-currency Line of Credit) from March 31, 2015 to March 31, 2018.
As of December 31, 2013, the Company’s available borrowings under its Domestic and Multi-currency Line of
Credit were $86.3 million. Management believes that the borrowings available under the Company’s Domestic and
Multi-currency Line of Credit, anticipated cash generated from operations and current working capital of $862.1 million
is sufficient to meet the Company’s anticipated capital requirements for its business, including the planned redemption
in 2014 of the remainder of the Company’s outstanding 2029 Convertible Notes, which was $103.0 million as of
December 31, 2013.
The Company had standby letters of credit of $17.6 million issued under its $20.0 million standby letter of credit
facility as of December 31, 2013.
2012 comparison to 2011
Net cash provided by financing activities decreased $44.6 million, or 86.4%, from $51.6 million of cash
provided in 2012 to $7.0 million provided in 2013. This was primarily due to a $41.8 million decrease in the amount of
borrowings, net of repayments and debt issuance costs, in 2012 compared to 2011, which are described in further detail
below. During 2012, the Company used $4.6 million more than in 2011 for the repurchase of shares of Company
common stock primarily through open market transactions, pursuant to a 2011 authorization by the Board of Directors of
the Company. Additionally, the Company used $5.6 million of cash for the purchase of the outstanding shares of
minority interest shareholders associated with the Company’s Mexico-based pawn operations.
In August 2012, the Company issued and sold a total of $52.0 million in long-term notes in two series, including
$47.0 million aggregate principal amount of its 6.00% Series A Senior Notes due August 28, 2019 (the “Series A
Notes”) and $5.0 million aggregate principal amount of its 6.58% Series B Senior Notes due August 28, 2022 (the
“Series B Notes,” and together with the Series A Notes, the “Notes”). The Notes were sold in a private placement
pursuant to a Note Purchase Agreement dated August 28, 2012 by and among the Company and certain purchasers listed
therein. The Notes are senior unsecured obligations of the Company. The Series A Notes are payable in five annual
installments of $9.4 million beginning August 28, 2015, and the Series B Notes are payable in seven annual installments
of approximately $0.7 million beginning August 28, 2016. In addition, the Company may, at its option, prepay all or a
minimum portion of $1.0 million of the Notes at a price equal to the principal amount thereof plus a make-whole
premium and accrued interest. The Notes are guaranteed by all of the Company’s domestic subsidiaries. The Company
used a portion of the net proceeds of the offering to repay existing indebtedness, including outstanding balances under
the Domestic and Multi-Currency Line, and used the remaining portion for general corporate purposes.
