Lifetime Fitness 2007 Annual Report Download - page 48

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42
LIFE TIME FITNESS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Year Ended December 31,
2007 2006 2005
(In thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income ........................................................................................................... $ 68,019 $ 50,565 $ 41,213
Adjustments to reconcile net income to net cash provided by operating
activities:
Depreciation and amortization .......................................................................... 59,014 47,560 38,346
Deferred income taxes ...................................................................................... 11,505 3,165 3,315
Loss on disposal of property and equipment, net .............................................. 354 946 539
Amortization of deferred financing costs.......................................................... 853 696 1,025
Share-based compensation................................................................................ 7,746 7,556 388
Excess tax benefit from stock option exercises................................................. (4,605) (10,229) —
Changes in operating assets and liabilities ........................................................ (544) 25,425 22,870
Other ................................................................................................................ (136) 168 256
Net cash provided by operating activities ...................................................... 142,206 125,852 107,952
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment (excluding non-cash purchases
supplementally noted below) ............................................................................ (415,822) (261,767) (190,355)
Proceeds from sale of property and equipment .................................................... 5,054 6,629 4,411
Proceeds from property insurance settlement....................................................... 78 581 —
Increase in other assets......................................................................................... (4,488) (7,803) (3,083)
Decrease (increase) in restricted cash................................................................... (2,029) (823) 8,177
Net cash used in investing activities .............................................................. (417,207) (263,183) (180,850)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from long-term borrowings................................................................... 113,455 — 5,652
Repayments on long-term borrowings ................................................................. (11,181) (19,120) (23,971)
Proceeds from revolving credit facility, net ......................................................... 67,800 134,000 80,678
Increase in deferred financing costs ..................................................................... (2,160) (842) (1,175)
Proceeds from common stock offering, net of underwriting discount and
offering costs..................................................................................................... 92,502 — —
Excess tax benefit from exercise of stock options................................................ 4,605 10,229 —
Proceeds from exercise of stock options .............................................................. 8,454 15,264 6,183
Net cash provided by financing activities ......................................................... 273,475 139,531 67,367
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS ................... (1,526) 2,200 (5,531)
CASH AND CASH EQUIVALENTS – Beginning of period................................. 6,880 4,680 10,211
CASH AND CASH EQUIVALENTS – End of period........................................... $ 5,354 $ 6,880 $ 4,680
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash payments for interest, net of capitalized interest of $8,425, $5,308 and
$3,965, respectively .......................................................................................... $ 30,621 $ 22,183 $ 17,212
Cash payments for income taxes.......................................................................... $ 33,746 $ 17,005 $ 13,227
SUPPLEMENTAL SCHEDULE OF NON-CASH INVESTING AND
FINANCING ACTIVITIES:
Purchases of property and equipment purchases financed through capital
lease obligations................................................................................................ $ 1,445 $ — $ 96
Purchases of property purchase financed through notes payable.......................... $ 95 $ 1,620 $ —
Purchases of property and equipment in accounts payable................................... $ 10,218 $ 22,594 $ 8,773
Non-cash share-based compensation capitalized to projects under
development...................................................................................................... $ 744 $ 1,055 $ —
See notes to consolidated financial statements.