Plantronics 2013 Annual Report Download - page 48

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Investing Activities
Net cash used for investing activities during the year ended March 31, 2013 increased from the year ended March 31, 2012 due
to the following:
• An increase in net cash used for purchases of short- and long-term investments
• An increase in capital expenditures related primarily to the purchase of a new manufacturing facility in Tijuana, Mexico
and costs incurred to commence implementation of a new enterprise resource planning ("ERP") system
• The acquisition of all the equity interests in Tonalite B.V. ("Tonalite"), a product and design company specializing in
wireless wearable products and miniaturization technology
Net cash used for investing activities during the year ended March 31, 2012 decreased from the year ended March 31, 2011 due
to an increase in net proceeds from the sale and maturity of short-term investments. This decrease was partially offset by the
following:
• An increase in net cash used for purchases of long-term investments
• A decrease in proceeds from the sale of property, plant and equipment
We anticipate our capital expenditures in fiscal year 2014 to range from $48.0 million to $52.0 million. The increase from fiscal
year 2013 is related to continued costs associated with the purchase and related construction of a new manufacturing facility in
Mexico. The estimated remaining costs associated with this facility include solar upgrades, labs, and other building furnishings,
including furniture and fixtures. We expect to complete the required upgrades and move into the new facility in the first quarter
of fiscal year 2014. As part of this move, we will recognize a one-time lease charge of approximately $2.0 million, representing
the costs we would otherwise continue to incur under the original terms of the leased facilities we plan to vacate when we move
into the new facility. We will also recognize one-time lease charge in the first quarter of fiscal year 2014 of approximately $1.0
million when we exit a leased facility at our Corporate headquarters, which is part of the restructuring program we commenced
in the third quarter of fiscal year 2013. In addition, we will continue to incur costs related to the implementation of a new ERP
system, which we expect to place in service at the start of our fiscal year 2015. The remainder of the anticipated capital expenditures
for fiscal year 2014 consists primarily of building and leasehold improvements at our U.S. headquarters, other IT-related
expenditures, and tooling for new products. We will continue to evaluate new business opportunities and new markets; as a result,
our future growth within the existing business or new opportunities and markets may dictate the need for additional facilities and
capital expenditures to support that growth.
Financing Activities
Net cash used for financing activities during the year ended March 31, 2013 decreased from the year ended March 31, 2012 due
to a decrease in the level of common stock repurchases, driven by our participation in accelerated share repurchase ("ASR")
agreements in fiscal year 2012 that did not recur in fiscal year 2013. This decrease was partially offset by the following:
• An increase in net cash used to repay all outstanding amounts due under our revolving line of credit
• A decrease in proceeds from employees' exercise of stock options
• An increase in cash dividend payments, resulting from the doubling of our per share cash dividend amounts over prior
years
Net cash used for financing activities during the year ended March 31, 2012 increased over the year ended March 31, 2011 due
to the following:
• An increase in the level of common stock repurchases, resulting from our participation in ASR agreements
• A decrease in proceeds from employees' exercise of stock options
These increases were partially offset by net proceeds received under our revolving line of credit.
On May 7, 2013, we announced that our Board of Directors ("the Board") declared a cash dividend of $0.10 per share of our
common stock, payable on June 10, 2013 to stockholders of record at the close of business on May 20, 2013. We expect to continue
paying a quarterly dividend of $0.10 per share of our common stock; however, the actual declaration of dividends and the
establishment of record and payment dates are subject to final determination by the Audit Committee of the Board each quarter
after its review of our financial performance and financial position.
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