Juno 2014 Annual Report Download - page 65

Table of Contents
the year ended December 31, 2013 and a $40.0 million decrease in deferred taxes. Changes in working capital can cause variation in our cash flows provided
by operating activities due to seasonality, timing and other factors.
Net cash used for investing activities from continuing operations was relatively flat. Net cash used for investing activities from continuing operations
increased due to a $1.5 million increase in purchases of property and equipment, as well as a $0.3 million increase in proceeds from sales of investments,
largely offset by a $0.8 million cash payment for acquisitions paid in the year ended December 31, 2013 and a $0.3 million decrease in purchases of rights,
content and intellectual property.
Capital expenditures for the year ended December 31, 2014 totaled $12.1 million. At December 31, 2014 and December 31, 2013, we had $2.8 million
and $0.4 million, respectively, of property and equipment that was not yet paid for and was included in accounts payable and other liabilities in the
consolidated balance sheets. We currently anticipate that our total capital expenditures for 2015 will be in the range of $14.8 million to $16.8 million, which
includes the aforementioned $2.8 million of purchases on account at December 31, 2014. The actual amount of future capital expenditures may fluctuate due
to a number of factors, including, without limitation, potential future acquisitions and new business initiatives, which are difficult to predict and which could
change significantly over time. Additionally, technological advances may require us to make capital expenditures to develop or acquire new equipment or
technology in order to replace aging or technologically obsolete equipment.
Net cash used for financing activities from continuing operations decreased by $28.1 million, or 95%. The decrease was primarily due to the decision, in
January 2014, to discontinue the payment of quarterly cash dividends. We paid cash dividends totaling $31.0 million in the year ended December 31, 2013.
The decrease was also due to $3.4 million cash paid for contingent consideration in the year ended December 31, 2013, as well as a $1.5 million decrease in
repurchases of common stock in the year ended December 31, 2014, compared to the year ended December 31, 2013. These decreases were partially offset by
a $6.7 million decrease in proceeds from exercises of stock options and employee stock purchase plans, as well as a $1.1 million decrease in excess tax
benefits from equity awards in the year ended December 31, 2014, compared to the year ended December 31, 2013.
Future cash flows from financing activities may also be affected by our repurchases of our common stock. United Online, Inc.'s Board of Directors
authorized a common stock repurchase program (the "Program") that allows United Online, Inc. to repurchase shares of its common stock through open
market or privately negotiated transactions based on prevailing market conditions and other factors. United Online, Inc.'s Board of Directors has approved
and ratified the Program through December 31, 2014, which date was recently extended by the Board of Directors (in October 2014) to December 31, 2015.
There were no repurchases under the Program during the years ended December 31, 2014 or 2013 and, at December 31, 2014, the authorization remaining
under the Program was $80.0 million.
Cash flows from financing activities may also be negatively impacted by the withholding of a portion of shares underlying the restricted stock units we
grant to employees. In general, we currently do not collect the minimum statutory employee withholding taxes from employees upon vesting of restricted
stock units. Instead, we automatically withhold, from the restricted stock units that vest, the portion of those shares with a fair market value equal to the
amount of the minimum statutory employee withholding taxes due. We then pay the minimum statutory withholding taxes in cash. The withholding of these
shares, although accounted for as a common stock repurchase, does not reduce the amount available under the Program. Similar to repurchases of common
stock under the Program, the net effect of such withholding will adversely impact our cash flows from financing activities. The amounts remitted in the years
ended December 31, 2014 and 2013 were $2.8 million and $4.3 million, respectively, for which we withheld 0.3 million and 0.3 million shares of common
stock, respectively, that were underlying the restricted stock units that vested. The amount we pay in future periods will
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