Einstein Bros 2012 Annual Report Download - page 35

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10-K
http://www.sec.gov/Archives/edgar/data/949373/000119312513085036/d445565d10k.htm[9/11/2014 10:07:50 AM]
A portion of the revolver remains available, subject to certain conditions, to finance our ongoing working capital, capital expenditure and
general corporate needs. In addition, the entire revolver is available for letters of credit, which reduce the availability on the line. As of January 1,
2013, our availability under the revolver was $31.6 million. On January 28, 2013, we paid $6.7 million towards the revolver, thereby increasing the
availability under the revolver to $38.3 million.
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Table of Contents
Working Capital
Our working capital position increased by $5.2 million in fiscal 2012. We began fiscal 2012 with working capital of $0.2 million and ended
fiscal 2012 with $5.4 million.
January 3, January 1,
2012 2013 Change
(in thousands)
Current assets:
Cash and cash equivalents $ 8,652 $ 17,432 $ 8,780
Restricted cash 889 998 109
Accounts receivable 7,774 9,024 1,250
Inventories 5,562 5,382 (180)
Current deferred income tax assets, net 9,013 8,190 (823)
Prepaid expenses 6,483 7,059 576
Other current assets 526 661 135
Total current assets 38,899 48,746 9,847
Current liabilities:
Accounts payable $ 6,591 $ 10,243 $ 3,652
Accrued expenses and other current liabilities 24,611 28,104 3,493
Current portion of long-term debt 7,500 5,000 (2,500)
Total current liabilities 38,702 43,347 4,645
Working capital surplus $ 197 $ 5,399 $ 5,202
The increase in working capital is primarily due to the increase in our cash balance, which we attribute to strong cash flow from operations,
which increased $9.4 million from fiscal 2011. As of January 1, 2013 we had unrestricted cash of $17.4 million, representing an increase in
unrestricted cash of $8.8 million during fiscal 2012. In addition to changes in our unrestricted cash, other elements of working capital fluctuated in
the normal course of business. On January 28, 2013, using existing cash on hand, we paid $6.7 million towards our long-term debt.
Free Cash Flow
Free Cash Flow increased by $7.2 million in fiscal 2012, primarily due to an increase of $9.4 million in net cash provided by operations
while net cash used in investing activities decreased by $2.2 million.
Fiscal year ended
January 3, January 1,
2012 2013
(in thousands)
Net cash provided by operating activities $ 39,110 $ 48,511
Net cash used in investing activities (23,685) (25,861)
Free cash flow 15,425 22,650
Net cash used in financing activities (18,541) (13,870)
Net (decrease) increase in cash and cash equivalents (3,116) 8,780
Cash and cash equivalents, beginning of period 11,768 8,652
Cash and cash equivalents, end of period $ 8,652 $ 17,432
Based upon our projections for 2013, we believe our various sources of capital, including availability under our existing credit facility, and
cash flow provided by operating activities, are adequate to finance operations and capital expenditures as well as to satisfy the repayment of current
debt obligations.
43