Estee Lauder 2009 Annual Report Download - page 121

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YEAR ENDED JUNE 30 2009 2008 2007
(In millions)
Cash Flows from Operating Activities
Net earnings $ 218.4 $ 473.8 $ 449.2
Adjustments to reconcile net earnings to net cash fl ows from operating activities:
Depreciation and amortization 254.0 250.7 207.2
Deferred income taxes (108.2) (115.6) 9.9
Minority interest, net of tax 8.4 10.2 7.1
Non-cash stock-based compensation 51.5 47.2 43.3
Excess tax benefi ts from stock-based compensation arrangements (1.4) (1.1) (9.4)
Loss on disposal of property, plant and equipment 11.4 12.5 13.4
Goodwill, intangible asset and other long-lived asset impairments 63.1 14.0 11.1
Non-cash charges associated with restructuring activities 12.2 — —
Discontinued operations, net of tax — — (0.5)
Other non-cash items 1.2 1.7 0.7
Changes in operating assets and liabilities:
Decrease (increase) in accounts receivable, net 103.8 (86.5) (68.0)
Decrease (increase) in inventory and promotional merchandise, net 125.7 (70.7) (70.8)
Decrease (increase) in other assets (72.2) (5.7) (26.3)
Increase (decrease) in accounts payable (11.9) 17.1 46.4
Increase in accrued income taxes 24.5 122.6 44.9
Increase (decrease) in other liabilities 15.5 19.9 9.1
Net cash fl ows provided by operating activities of continuing operations
696.0 690.1 667.3
Net cash fl ows used for operating activities of discontinued operations — — (5.7)
Net cash fl ows provided by operating activities 696.0 690.1 661.6
Cash Flows from Investing Activities
Capital expenditures (279.8) (357.8) (312.1)
Acquisition of businesses, net of cash acquired (68.5) (116.0) (61.2)
Proceeds from disposition of long-term investments 9.2 — —
Purchases of long-term investments (0.4) (4.7) (0.5)
Net cash fl ows used for investing activities (339.5) (478.5) (373.8)
Cash Flows from Financing Activities
Increase (decrease) in short-term debt, net (93.5) 54.8 (31.6)
Proceeds from issuance of long-term debt, net 297.7 — 590.6
Net settlement of interest rate derivatives — — (11.1)
Repayments and redemptions of long-term debt (10.1) (5.9) (5.6)
Net proceeds from stock-based compensation transactions 109.6 117.3 154.1
Excess tax benefi ts from stock-based compensation arrangements 1.4 1.1 9.4
Payments to acquire treasury stock (62.6) (129.6) (1,004.3)
Dividends paid to stockholders (108.4) (106.6) (103.6)
Distributions made to minority holders of consolidated subsidiaries (8.3) (9.2) (9.5)
Net cash fl ows provided by (used for) fi nancing activities 125.8 (78.1) (411.6)
Effect of Exchange Rate Changes on Cash and Cash Equivalents (19.5) 14.5 8.9
Net Increase (Decrease) in Cash and Cash Equivalents 462.8 148.0 (114.9)
Cash and Cash Equivalents at Beginning of Year 401.7 253.7 368.6
Cash and Cash Equivalents at End of Year $ 864.5 $ 401.7 $ 253.7
See notes to consolidated fi nancial statements.
120 THE EST{E LAUDER COMPANIES INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS