Nutrisystem 2011 Annual Report Download - page 57

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Cash Flow Information
The Company made payments for income taxes of $6,049, $16,660 and $11,449 in 2011, 2010, and 2009,
respectively. Interest payments in 2011, 2010 and 2009 were $655, $283 and $304, respectively. During 2011,
the Company had non-cash capital additions of $1,198 of unpaid invoices in accounts payable and accrued
expenses. During 2010, the Company had non-cash capital additions of $3,991 through a tenant improvement
allowance and $1,664 of unpaid invoices in accounts payable and accrued expenses.
Recently Issued Accounting Pronouncements
Accounting Standards Update No. 2011-05 – “Comprehensive Income (Topic 220): Presentation of
Comprehensive Income” (“ASU No. 2011-05”) amends existing guidance by allowing only two options for
presenting the components of net income and other comprehensive income: (1) in a single continuous financial
statement, statement of comprehensive income or (2) in two separate but consecutive financial statements,
consisting of an income statement followed by a separate statement of other comprehensive income. ASU
No. 2011-05 requires retrospective application, and it is effective for fiscal years, and interim periods within
those years, beginning after December 15, 2011, with early adoption permitted. The Company believes the
adoption of this update will change the order in which certain financial statements are presented and provide
additional detail on those financial statements when applicable, but will not have any other impact on its
consolidated financial position or results of operations.
Use of Estimates
The preparation of financial statements in accordance with U.S. generally accepted accounting principles
requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities
at the date of the financial statements and the reported amounts of revenue and operating expenses during the
reporting period. Actual results could differ from these estimates.
Reclassifications
Certain immaterial reclassifications have been made to prior year amounts to conform to the current year
presentation.
3. CASH, CASH EQUIVALENTS AND MARKETABLE SECURITIES
At December 31, 2011, cash, cash equivalents and marketable securities of continuing operations consisted of the
following:
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Estimated
Fair
Value
Cash .................................................. $12,465 $ 0 $0 $12,465
Money market account .................................... 35,129 0 0 35,129
Municipal income fund .................................... 10,000 13 0 10,013
$57,594 $13 $0 $57,607
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