Harman Kardon 2011 Annual Report Download - page 68

HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
Year Ended June 30,
(in thousands) 2011 2010 2009
Cash flows from operating activities:
Net income (loss) attributable to Harman International Industries, Incorporated .......... $135,916 $ 158,769 $(431,504)
Adjustments to reconcile net income (loss) attributable to Harman International Industries,
Incorporated to net cash provided by operating activities:
(Income) loss from discontinued operations, net of income taxes ...................... 0 (9,394) 9,159
Gain on sale of QNX Entities .................................................. 0 (114,197) 0
Goodwill impairment ........................................................ 0 12,292 317,743
Loss on deconsolidation of variable interest entity .................................. 0 13,122 0
Depreciation and amortization ................................................. 123,264 127,654 145,786
Deferred income tax (benefit) expense ........................................... (8,926) 3,954 (107,789)
Noncontrolling interest ....................................................... 0 5,289 752
Loss (gain) on disposition of assets ............................................. 1,272 593 (13,753)
Share-based compensation .................................................... 17,973 21,320 9,770
Non-cash interest expense ..................................................... 19,258 12,250 13,871
Changes in operating assets and liabilities, net of acquisitions:
Decrease (increase) in:
Receivables ............................................................ (4,222) (144,100) 117,587
Inventories ............................................................. (25,534) (40,055) 27,775
Other current assets ...................................................... 9,733 (10,194) 83,327
Increase (decrease) in:
Accounts payable ....................................................... 49,707 180,064 (81,531)
Accrued warranties ...................................................... 23,067 20,586 (18,324)
Accrued other liabilities .................................................. (12,535) (17,344) 13,056
Income taxes payable .................................................... 5,378 (5,410) (2,781)
Other operating activities ................................................. (2,601) (23,773) (21,346)
Net cash from continuing operations provided by operating activities ...................... 331,750 191,426 61,798
Net cash from discontinued operations provided by operating activities ..................... 0 49,013 12,653
Net cash provided by operating activities ............................................. 331,750 240,439 74,451
Cash flows from investing activities:
Purchases of short-term investments ............................................. (599,495) 0 0
Maturities of short-term investments ............................................ 282,173 0 0
Acquisitions, net of cash received ............................................... (14,800) (63,843) 0
Deconsolidation of variable interest entity ........................................ 0 (11,347) 0
Contingent purchase price consideration ......................................... 0 0 (7,443)
Proceeds from sale of QNX Entities, net of cash paid ............................... 0 199,560 0
Proceeds from asset dispositions ................................................ 3,005 2,531 22,882
Capital expenditures ......................................................... (108,357) (60,033) (79,122)
Other items, net ............................................................. 2,974 0 (2,601)
Net cash from continuing operations (used in) provided by investing activities ............... (434,500) 66,868 (66,284)
Net cash from discontinued operations (used in) provided by investing activities ............. 0 (167) (728)
Net cash (used in) provided by investing activities ..................................... (434,500) 66,701 (67,012)
Cash flows from financing activities:
Net decrease in short-term borrowings ........................................... (12,461) 0 0
Net increase in long-term borrowings ............................................ 5,066 5,073 936
Net (repayments) borrowings under revolving credit facility .......................... 0 (228,890) 197,000
Issuance of common stock .................................................... 0 0 189,723
Dividends paid to shareholders ................................................. (3,525) 0 (2,207)
Share-based payment arrangements ............................................. 9,544 1,557 142
Debt issuance costs .......................................................... (7,002) 0 (9,733)
Excess tax benefits from share-based payment arrangements ......................... 0 0 126
Net cash from continuing operations (used in) provided by financing activities ............... (8,378) (222,260) 375,987
Net cash from discontinued operations used in financing activities ......................... 0 0 (1)
Net cash (used in) provided by financing activities ..................................... (8,378) (222,260) 375,986
Effect of exchange rate changes on cash ............................................. 69,450 (25,669) (20,175)
Net (decrease) increase in cash and cash equivalents .................................... (41,678) 59,211 363,250
Cash and cash equivalents at beginning of period ...................................... 645,570 586,359 223,109
Cash and cash equivalents at end of period ........................................... $603,892 $ 645,570 $ 586,359
See accompanying Notes to the Consolidated Financial Statements.
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