Mattel 2010 Annual Report Download - page 64

MATTEL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Year
2010 2009 2008
(In thousands)
Cash Flows From Operating Activities:
Net income ................................................. $ 684,863 $ 528,704 $ 379,636
Adjustments to reconcile net income to net cash flows from operating
activities:
Depreciation ............................................ 149,977 152,065 160,048
Amortization ............................................ 15,831 17,765 12,047
Asset impairments ........................................ 15,444 11,146 4,000
Deferred income taxes .................................... (3,871) (21,971) (13,535)
Tax benefits from share-based payment arrangements ............ (7,530) (36,726) 2,303
Share-based compensation ................................. 67,138 49,962 35,757
(Decrease) increase from changes in assets and liabilities:
Accounts receivable ...................................... (394,688) 154,909 (20,159)
Inventories .............................................. (106,182) 137,072 (96,645)
Prepaid expenses and other current assets ..................... (5,464) (5,350) (24,064)
Accounts payable, accrued liabilities, and income taxes payable . . . 109,061 (10,472) (10,341)
Other, net ............................................... 3,391 (32,063) 7,291
Net cash flows from operating activities .......................... 527,970 945,041 436,338
Cash Flows From Investing Activities:
Purchases of tools, dies, and molds .............................. (81,405) (76,994) (84,012)
Purchases of other property, plant, and equipment ................... (55,249) (43,493) (114,796)
Payments for businesses acquired ................................ (15,761) (3,299) (58,396)
(Payments) proceeds from foreign currency forward exchange
contracts ................................................. (7,322) 15,774 23,633
Increase in investments ........................................ — — (85,300)
Proceeds from sale of investments ............................... 10,549 73,132 —
Proceeds from sale of other property, plant, and equipment ........... 2,538 1,351 7,199
Net cash flows used for investing activities ........................ (146,650) (33,529) (311,672)
Cash Flows From Financing Activities:
Payments of short-term borrowings .............................. (7,404) (451,815) (976,266)
Proceeds from short-term borrowings ............................ 5,454 453,090 633,410
Payments of long-term borrowings ............................... (50,000) (150,000) (50,000)
Net proceeds from long-term borrowings .......................... 493,175 — 347,183
Payment of credit facility renewal costs ........................... — (11,452) —
Share repurchases ............................................ (446,704) — (90,570)
Payment of dividends on common stock .......................... (291,256) (271,353) (268,854)
Proceeds from exercise of stock options ........................... 73,364 30,896 18,303
Tax benefits from share-based payment arrangements ................ 7,530 36,726 (2,303)
Other, net ................................................... (8,975) (12,182) (6,598)
Net cash flows used for financing activities ........................ (224,816) (376,090) (395,695)
Effect of Currency Exchange Rate Changes on Cash .............. 7,622 (36,119) (12,425)
Increase (Decrease) in Cash and Equivalents .................... 164,126 499,303 (283,454)
Cash and Equivalents at Beginning of Year ...................... 1,116,997 617,694 901,148
Cash and Equivalents at End of Year ........................... $1,281,123 $1,116,997 $ 617,694
Supplemental Cash Flow Information:
Cash paid during the year for:
Income taxes, gross ....................................... $ 149,327 $ 131,333 $ 118,347
Interest ................................................. 53,023 69,503 77,466
The accompanying notes are an integral part of these statements.
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