Neiman Marcus 2003 Annual Report Download - page 43

THE NEIMAN MARCUS GROUP, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
Years Ended
(in thousands)
July 31,
2004
August 2,
2003
August 3,
2002
CASH FLOWS - OPERATING ACTIVITIES
Net earnings $ 204,832 $ 109,303 $ 99,574
Change in accounting — non-cash writedown of intangible assets, net of
taxes — 14,801 —
Earnings before change in accounting principle 204,832 124,104 99,574
Adjustments to reconcile net earnings to net cash provided by operating
activities:
Depreciation 93,801 78,976 76,809
Amortization of intangible assets — — 5,284
Deferred income taxes 23,274 7,444 (10,335)
Effect of change in vacation policy — — (16,576)
Impairment and other charges 3,853 — 13,233
Minority interest 3,549 2,488 1,017
Other – primarily costs related to defined benefit pension and other
long-term benefit plans 33,222 24,189 13,987
362,531 237,201 182,993
Changes in operating assets and liabilities:
(Increase) decrease in accounts receivable (529,092) (2,817) 929
Increase in merchandise inventories (33,215) (30,218) (7,977)
Decrease (increase) in other current assets 12,026 (22,135) 2,402
Increase in accounts payable and accrued liabilities 40,414 17,770 34,047
Funding of defined benefit pension plan (45,000)(30,760)—
Net cash (used for) provided by operating activities (192,336)169,041 212,394
CASH FLOWS - INVESTING ACTIVITIES
Capital expenditures (118,130) (99,994) (149,246)
Transactions related to undivided interests in NMG Credit Card Master
Trust:
Purchases of held-to-maturity securities (240,808) (956,390) (946,936)
Maturities of held-to-maturity securities 483,373 922,427 959,051
Proceeds from sale of assets 3,183 — —
Net cash provided by (used for) investing activities 127,618 (133,957)(137,131)
CASH FLOWS - FINANCING ACTIVITIES
Proceeds from borrowings 2,750 81,051 130,240
Repayment of debt (1,500) (81,051) (130,000)
Borrowings under Credit Card Facility 225,000 — —
Acquisition of treasury stock (7,553) (15,020) —
Cash dividends paid (12,632) — —
Distributions paid (3,727) (2,432) (1,688)
Proceeds from exercises of stock options and restricted stock grants 23,797 10,680 7,532
Net cash provided by (used for) financing activities 226,135 (6,772)6,084
CASH AND CASH EQUIVALENTS
Increase during the year 161,417 28,312 81,347
Beginning balance 206,950 178,638 97,291
Ending balance $ 368,367 $ 206,950 $ 178,638
SUPPLEMENTAL SCHEDULE OF CASH FLOW INFORMATION
Cash paid during the year for:
Interest $ 17,833 $ 18,071 $ 18,434
Income taxes $ 104,742 $ 61,860 $ 62,858
See Notes to Consolidated Financial Statements.
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