Plantronics 2001 Annual Report Download - page 8

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We have a $100 million revolving credit facility, including a $10 million letter-of-credit
subfacility, with a major bank, both of which expire in November 2001. As of March 31, 2001,
we had no cash borrowings under the revolving credit facility or under the letter-of-credit
subfacility. The terms of the credit facility contain covenants that materially limit our
ability to incur debt, make capital expenditures and pay dividends, among other matters.
These covenants may adversely affect our financial position to the extent we cannot
comply with them. We are currently in compliance with the covenants under this agreement.
We believe that our current cash balance and cash to be provided by operations, together
with available borrowing capacity under our revolving credit facility and letter of credit sub-
facility, will be sufficient to fund operations for at least the next twelve months.
Investing Activities. During fiscal 2001, we purchased marketable securities of $25.9 million
and received proceeds from maturities of marketable securities of $17.8 million. Expendi-
tures for capital and other assets of $14.9 million in the fiscal year ended March 31, 2001
were incurred principally in tooling for new products, expansion of manufacturing capacity,
facilities expansions both in the U.S. and Europe, and investments in computer and
telephone equipment.
Financing Activities. In the fiscal year ended March 31, 2001, we sold 99,925 shares of our treasury
stock for approximately $2.8 million and repurchased 1,333,100 shares of our Common Stock
for approximately $40.1 million. As of March 31, 2001, we remained authorized to repurchase
approximately 721,621 shares under all repurchase plans.
We received $15.1 million in proceeds from the exercise of stock options during the fiscal
year ended March 31, 2001.
Effective January 15, 1999, we repurchased all of our Senior Notes. The transaction resulted
in a net extraordinary charge of approximately $1.0 million, or approximately $0.02 per
diluted share, in fiscal 1999.
Plantronics 2001 Annual Report 4