Hormel Foods 2014 Annual Report Download - page 39

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37
Consolidated Statements of Cash Flows
Fiscal Year Ended
October 26, October 27, October 28,
(in thousands) 2014 2013 2012
Operating Activities
Net earnings $ 606,026 $ 530,076 $ 504,961
Adjustments to reconcile to net cash provided by operating activities:
Depreciation 120,692 115,371 110,519
Amortization of intangibles 9,352 9,479 8,975
Equity in earnings of affiliates, net of dividends 5,246 13,507 (1,583)
Provision for deferred income taxes 9,800 1,067 4,668
Gain on property/equipment sales and plant facilities (1,667) (2,127) (170)
Non-cash investment activities (1,387) (2,705) (3,514)
Stock-based compensation expense 14,393 17,596 16,710
Excess tax benefit from stock-based compensation (24,700) (23,406) (8,847)
Other – 963 –
Changes in operating assets and liabilities, net of acquisitions:
Increase in accounts receivable (20,486) (44,459) (45,931)
(Increase) decrease in inventories (21,645) 31,699 (64,698)
Decrease (increase) in prepaid expenses and other current assets 11,592 (9,792) 7,194
(Decrease) increase in pension and post-retirement benefits (32,644) 11,283 (10,019)
Increase (decrease) in accounts payable and accrued expenses 72,307 (10,747) (484)
Net Cash Provided by Operating Activities 746,879 637,805 517,781
Investing Activities
Net sale of trading securities – 77,558 –
Acquisitions of businesses/intangibles (466,204) (665,415) (168)
Purchases of property/equipment (159,138) (106,762) (132,303)
Proceeds from sales of property/equipment 10,285 10,164 4,564
(Increase) decrease in investments, equity in
affiliates, and other assets (1,718) (6,619) 21,143
Net Cash Used in Investing Activities (616,775) (691,074) (106,764)
Financing Activities
Proceeds from short-term debt 115,000 25,000 –
Principal payments on short-term debt (115,000) (25,000) –
Dividends paid on common stock (203,156) (174,320) (152,204)
Share repurchase (58,937) (70,819) (61,366)
Proceeds from exercise of stock options 10,523 30,212 14,700
Excess tax benefit from stock-based compensation 24,700 23,406 8,847
Distribution to noncontrolling interest (2,500) (4,000) (3,500)
Proceeds from noncontrolling interest – – 774
Net Cash Used in Financing Activities (229,370) (195,521) (192,749)
Effect of Exchange Rate Changes on Cash (574) 416 990
(Decrease) Increase in Cash and Cash Equivalents (99,840) (248,374) 219,258
Cash and cash equivalents at beginning of year 434,014 682,388 463,130
Cash and Cash Equivalents at End of Year $ 334,174 $ 434,014 $ 682,388
See Notes to Consolidated Financial Statements.