Snapple 2013 Annual Report Download - page 48

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Letters of Credit Facilities
We currently have letters of credit facilities available in addition to the portion of the Revolver reserved for issuance of letters
of credit. Under these incremental letters of credit facilities, $90 million is available for the issuance of letters of credit, $63 million
of which was utilized as of December 31, 2013 and $27 million of which remains available for use.
Liquidity
Based on our current and anticipated level of operations, we believe that our operating cash flows will be sufficient to meet
our anticipated obligations for the next twelve months. To the extent that our operating cash flows are not sufficient to meet our
liquidity needs, we may utilize cash on hand or amounts available under our financing arrangements, if necessary.
The following table summarizes our cash activity for the years ended December 31, 2013, 2012 and 2011 (in millions):
For the Year Ended
December 31,
2013 2012 2011
Net cash provided by operating activities $ 866 $ 482 $ 783
Net cash used in investing activities (195)(217)(240)
Net cash used in financing activities (880)(603)(152)
NET CASH PROVIDED BY OPERATING ACTIVITIES
Net cash provided by operating activities increased $384 million for the year ended December 31, 2013, as compared to the
year ended December 31, 2012, primarily due to the favorable comparison of the 2012 tax payments of $531 million resulting
from the licensing agreements with PepsiCo and Coca-Cola, partially offset by unfavorable working capital comparisons to the
prior year.
Net cash provided by operating activities decreased $301 million for the year ended December 31, 2012, as compared to the
year ended December 31, 2011, primarily due to the tax payments of $531 million resulting from the licensing agreements with
PepsiCo and Coca-Cola. The impact of the tax payments was partially offset by favorability in our working capital primarily due
to improved trade accounts receivable of $91 million, which was driven by lower sales in the fourth quarter of 2012 and higher
collections.
NET CASH USED IN INVESTING ACTIVITIES
Cash used in investing activities for the year ended December 31, 2013, consisted primarily of purchases of property, plant
and equipment of $179 million and cash paid to liquidate the liabilities assumed and expenses incurred in connection with the
acquisition of DP/7UP West of $10 million. Purchases of property, plant and equipment have decreased over the prior period in
line with our focus on reducing our purchases, net of proceeds from disposal of property, plant and equipment, in an amount
slightly below 3.00% of our current year net sales.
Net cash used in investing activities decreased $23 million for the year ended December 31, 2012, as compared to the year
ended December 31, 2011, driven primarily by lower purchases of property, plant and equipment. Purchases of property, plant
and equipment decreased for the year ended December 31, 2012 over the year ended December 31, 2011 in line with our focus
on reducing our purchases, net of proceeds from disposal of property, plant and equipment. For the year ended December 31,
2012, the amount of these purchases was equal to approximately 3.50% of net sales, while it was approximately 4.00% of net
sales for the year ended December 31, 2011.
NET CASH USED IN FINANCING ACTIVITIES
2013
Net cash used in financing activities for the year ended December 31, 2013 primarily consisted of stock repurchases of $400
million and dividend payments of $302 million.
On May 1, 2013, we repaid $250 million of our 6.12% senior notes due May 1, 2013 at maturity.