World Fuel Services 2013 Annual Report Download - page 38

We believe that available funds from existing cash and cash equivalents and our Credit Facility, together with cash flows generated by
operations, remain sufficient to fund our working capital and capital expenditure requirements for at least the next twelve months. In
addition, to further enhance our liquidity profile, we may choose to raise additional funds which may or may not be needed for
additional working capital, capital expenditures or other strategic investments. Our opinions concerning liquidity are based on currently
available information. To the extent this information proves to be inaccurate, or if circumstances change, future availability of trade
credit or other sources of financing may be reduced and our liquidity would be adversely affected. Factors that may affect the
availability of trade credit or other forms of financing include our financial performance (as measured by various factors, including cash
provided from operating activities), the state of worldwide credit markets, and our levels of outstanding debt. Depending on the
severity and direct impact of these factors on us, financing may be limited or unavailable on terms favorable to us.
Contractual Obligations and Off-Balance Sheet Arrangements
Our significant contractual obligations and off-balance sheet arrangements are set forth below. For additional information on any of the
following and other contractual obligations and off-balance sheet arrangements, see Notes 6 and 7 in the notes to the consolidated
financial statements in Item 15 of this 2013 10-K Report.
Contractual Obligations
As of December 31, 2013, our contractual obligations were as follows (in thousands):
Total < 1 year 1-3 years 3-5 years > 5 years
Debt and interest obligations $529,388 $ 28,720 $ 49,626 $451,042 $ —
Operating lease obligations 160,872 31,649 54,562 34,259 40,402
Employment agreement obligations 15,643 8,188 7,455 — —
Derivatives obligations 20,139 19,637 502 — —
Purchase commitment obligations 13,880 13,880 — — —
Other obligations 7,653 2,673 4,586 394 —
Total $747,575 $104,747 $116,731 $485,695 $40,402
Debt and Interest Obligations. These obligations include principal and interest payments on fixed-rate and variable-rate, fixed-term
debt based on the expected payment dates.
Other Obligations. These obligations primarily consist of deferred compensation arrangements.
Unrecognized Income Tax Liabilities. As of December 31, 2013, our liabilities for unrecognized income tax benefits (‘‘Unrecognized Tax
Liabilities’’) were $36.2 million. The timing of any settlement of our Unrecognized Tax Liabilities with the respective taxing authority
cannot be reasonably estimated.
Off-Balance Sheet Arrangements
Letters of Credit and Bank Guarantees. In the normal course of business, we are required to provide letters of credit to certain
suppliers. A majority of these letters of credit expire within one year from their issuance, and expired letters of credit are renewed as
needed. As of December 31, 2013, we had issued letters of credit and bank guarantees totaling $158.0 million under our Credit Facility
and other uncommitted credit lines. For additional information on our Credit Facility and other credit lines, see the discussion in
‘‘Liquidity and Capital Resources’’ above.
Surety Bonds. In the normal course of business, we are required to post bid, performance and garnishment bonds, primarily in our
aviation and land segments. As of December 31, 2013, we had $34.1 million in outstanding bonds that were arranged in order to
satisfy various security requirements.
Recent Accounting Pronouncements
Information regarding recent accounting pronouncements is included in Note 1 to the accompanying consolidated financial
statements included in this 2013 10-K Report.
32