Wendy's 2010 Annual Report Download - page 154

WENDY’S/ARBY’S GROUP, INC. AND SUBSIDIARIES
WENDY’S/ARBY’S RESTAURANTS, LLC AND SUBSIDIARIES
COMBINED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—CONTINUED
(In Thousands Except Per Share Amounts)
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS
For the year ended December 28, 2008
Parent
Guarantor
Subsidiaries
Non-
guarantor
Subsidiaries Eliminations Total
Cash flows from continuing operating activities:
Net (loss) income .............................. $(365,086) $(365,086) $ 2,962 $ 362,124 $(365,086)
Adjustments to reconcile net (loss) income to net cash
provided by continuing operating activities:
Equity in loss (income) from continuing operations
of subsidiaries ........................... 365,086 (2,962) — (362,124) —
Depreciation and amortization ................ — 82,979 2,079 — 85,058
Impairment of other long-lived assets ........... — 9,580 — — 9,580
Tax sharing payments to Wendy’s/Arby’s ........ — (17,000) — — (17,000)
Write-off and amortization of deferred financing
costs .................................. — 3,753 — — 3,753
Distributions received from joint venture ........ — — 2,864 — 2,864
Share-based compensation provision ........... — 8,770 — — 8,770
Non-cash rent expense ...................... — 3,103 — — 3,103
Accretion of long-term debt .................. — 2,452 — — 2,452
Provision for doubtful accounts ............... — 556 114 — 670
Deferred income tax benefit, net .............. — (62,519) (204) — (62,723)
Other operating transactions with affiliates ....... — 10,859 (5,596) — 5,263
Equity in earnings in joint venture ............. — — (1,974) — (1,974)
Net recognition of vendor incentive ............ — (6,459) — — (6,459)
Goodwill impairment ....................... — 460,075 — — 460,075
Other, net ............................... — 17,163 (12,811) — 4,352
Changes in operating assets and liabilities:
Accounts and notes receivable ............. — (2,670) 1,303 — (1,367)
Inventories ........................... — (70) (70) — (140)
Prepaid expenses and other current assets .... — 14,135 5,665 — 19,800
Accounts payable, accrued expenses and other
current liabilities ..................... — (40,780) (9,246) — (50,026)
Net cash provided by (used in)
continuing operating activities ...... — 115,879 (14,914) — 100,965
Cash flows from continuing investing activities:
Capital expenditures ........................ — (102,904) (3,020) — (105,924)
Proceeds from dispositions ................... — 1,322 — — 1,322
Cost of acquisitions, less cash acquired .......... — (9,622) — — (9,622)
Increase in cash from the Wendy’s merger ....... — 171,421 28,364 — 199,785
Other, net ............................... — (129) — — (129)
Net cash provided by continuing
investing activities ................ — 60,088 25,344 — 85,432
Cash flows from continuing financing activities:
Proceeds from long-term debt ................ — 17,753 — — 17,753
Repayments of notes payable and long-term
debt .................................. — (175,521) — — (175,521)
Capital contributions from Wendy’s/Arby’s ...... — 150,177 — — 150,177
Advances to Wendy’s/Arby’s ................. — (155,000) — — (155,000)
Other, net ............................... — (659) — — (659)
Net cash used in continuing financing
activities ....................... — (163,250) — — (163,250)
Net cash provided by continuing operations before effect of
exchange rate changes on cash ...................... — 12,717 10,430 — 23,147
Effect of exchange rate changes on cash ................. — — (4,123) — (4,123)
Net increase in cash and cash equivalents ................ — 12,717 6,307 — 19,024
Cash and cash equivalents at beginning of year ............ — 41,810 2,246 — 44,056
Cash and cash equivalents at end of year ................. $ — $ 54,527 $ 8,553 $ — $ 63,080
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