Guarantor Subsidiaries |
Note
18. Guarantor Subsidiaries
On April 16,
2012, Actuant Corporation (the “Parent”) issued $300.0
million of 5.625% Senior Notes. All of our material domestic wholly
owned subsidiaries (the “Guarantors”) fully and
unconditionally guarantee (except for certain customary
limitations) the 5.625% Senior Notes on a joint and several basis.
There are no significant restrictions on the ability of the
Guarantors to make distributions to the Parent. The following
tables present the results of operations, financial position and
cash flows of Actuant Corporation and its subsidiaries, the
Guarantor and non-Guarantor entities, and the eliminations
necessary to arrive at the information for the Company on a
consolidated basis.
Certain assets,
liabilities and expenses have not been allocated to the Guarantors
and non-Guarantors and therefore are included in the Parent column
in the accompanying consolidating financial statements. These items
are of a corporate or consolidated nature and include, but are not
limited to, tax provisions and related assets and liabilities,
certain employee benefit obligations, prepaid and accrued insurance
and corporate indebtedness. Intercompany activity in the
consolidating financial statements primarily includes loan
activity, purchases and sales of goods or services and dividends.
Intercompany balances also reflect certain non-cash transactions
including transfers of assets and liabilities between the Parent,
Guarantor and non-Guarantor, allocation of non-cash expenses from
the Parent to the Guarantors and non-Guarantors, the impact of
foreign currency rate changes and non-cash intercompany
dividends.
CONDENSED
CONSOLIDATING STATEMENTS OF EARNINGS
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
August 31, 2012 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
Net sales
|
|
$ |
206,894 |
|
|
$ |
569,848 |
|
|
$ |
828,600 |
|
|
$ |
— |
|
|
$ |
1,605,342 |
|
Cost of products
sold
|
|
|
69,907 |
|
|
|
397,780 |
|
|
|
520,284 |
|
|
|
— |
|
|
|
987,971 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit
|
|
|
136,987 |
|
|
|
172,068 |
|
|
|
308,316 |
|
|
|
— |
|
|
|
617,371 |
|
Selling, administrative and
engineering expenses
|
|
|
83,486 |
|
|
|
102,829 |
|
|
|
166,560 |
|
|
|
— |
|
|
|
352,875 |
|
Restructuring
charges
|
|
|
(292 |
) |
|
|
2,484 |
|
|
|
624 |
|
|
|
— |
|
|
|
2,816 |
|
Impairment
charge
|
|
|
— |
|
|
|
— |
|
|
|
62,464 |
|
|
|
— |
|
|
|
62,464 |
|
Amortization of intangible
assets
|
|
|
1,341 |
|
|
|
13,680 |
|
|
|
14,253 |
|
|
|
|
|
|
|
29,274 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit
|
|
|
52,452 |
|
|
|
53,075 |
|
|
|
64,415 |
|
|
|
— |
|
|
|
169,942 |
|
Financing costs,
net
|
|
|
29,983 |
|
|
|
(14 |
) |
|
|
(409 |
) |
|
|
— |
|
|
|
29,560 |
|
Intercompany expense
(income), net
|
|
|
(32,185 |
) |
|
|
6,281 |
|
|
|
25,904 |
|
|
|
— |
|
|
|
— |
|
Debt refinancing
charges
|
|
|
16,830 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
16,830 |
|
Other expense (income),
net
|
|
|
1,351 |
|
|
|
1,912
|
|
|
|
(25 |
) |
|
|
|
|
|
|
3,238 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings before income tax
expense
|
|
|
36,473 |
|
|
|
44,896 |
|
|
|
38,945 |
|
|
|
— |
|
|
|
120,314 |
|
Income tax
expense
|
|
|
5,590 |
|
|
|
10,063 |
|
|
|
17,371 |
|
|
|
— |
|
|
|
33,024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings before equity
in earnings of subsidiaries
|
|
|
30,883 |
|
|
|
34,833 |
|
|
|
21,574 |
|
|
|
— |
|
|
|
87,290 |
|
Equity in earnings of
subsidiaries
|
|
|
56,407 |
|
|
|
14,373 |
|
|
|
1,649 |
|
|
|
(72,429 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Earnings
|
|
$ |
87,290 |
|
|
$ |
49,206 |
|
|
$ |
23,223 |
|
|
$ |
(72,429 |
) |
|
$ |
87,290 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
August 31, 2011 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
Net sales
|
|
$ |
170,094 |
|
|
$ |
523,294 |
|
|
$ |
751,935 |
|
|
$ |
— |
|
|
$ |
1,445,323 |
|
Cost of products
sold
|
|
|
55,290 |
|
|
|
365,431 |
|
|
|
468,703 |
|
|
|
— |
|
|
|
889,424 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit
|
|
|
114,804 |
|
|
|
157,863 |
|
|
|
283,232 |
|
|
|
— |
|
|
|
555,899 |
|
Selling, administrative and
engineering expenses
|
|
|
89,682 |
|
|
|
96,313 |
|
|
|
146,644 |
|
|
|
— |
|
|
|
332,639 |
|
Restructuring
charges
|
|
|
1,546 |
|
|
|
218 |
|
|
|
459 |
|
|
|
— |
|
|
|
2,223 |
|
Amortization of intangible
assets
|
|
|
335 |
|
|
|
14,931 |
|
|
|
12,201 |
|
|
|
— |
|
|
|
27,467 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit
|
|
|
23,241 |
|
|
|
46,401 |
|
|
|
123,928 |
|
|
|
— |
|
|
|
193,570 |
|
Financing costs,
net
|
|
|
31,912 |
|
|
|
(1 |
) |
|
|
208 |
|
|
|
— |
|
|
|
32,119 |
|
Intercompany expense
(income), net
|
|
|
(16,924 |
) |
|
|
14,670 |
|
|
|
2,254 |
|
|
|
— |
|
|
|
— |
|
Other expense (income),
net
|
|
|
(4,519 |
) |
|
|
133 |
|
|
|
6,630 |
|
|
|
— |
|
|
|
2,244 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings before income tax
expense
|
|
|
12,772 |
|
|
|
31,599 |
|
|
|
114,836 |
|
|
|
— |
|
|
|
159,207 |
|
Income tax
expense
|
|
|
2,873 |
|
|
|
6,948 |
|
|
|
24,890 |
|
|
|
— |
|
|
|
34,711 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings before equity
in earnings of subsidiaries
|
|
|
9,899 |
|
|
|
24,651 |
|
|
|
89,946 |
|
|
|
— |
|
|
|
124,496 |
|
Equity in earnings of
subsidiaries
|
|
|
112,364 |
|
|
|
77,395 |
|
|
|
6,261 |
|
|
|
(196,020 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from continuing
operations
|
|
|
122,263 |
|
|
|
102,046 |
|
|
|
96,207 |
|
|
|
(196,020 |
) |
|
|
124,496 |
|
Loss from discontinued
operations
|
|
|
(10,704 |
) |
|
|
— |
|
|
|
(2,233 |
) |
|
|
— |
|
|
|
(12,937 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Earnings
|
|
$ |
111,559 |
|
|
$ |
102,046 |
|
|
$ |
93,974 |
|
|
$ |
(196,020 |
) |
|
$ |
111,559 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
August 31, 2010 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
Net sales
|
|
$ |
143,783 |
|
|
$ |
456,961 |
|
|
$ |
559,764 |
|
|
$ |
— |
|
|
$ |
1,160,508 |
|
Cost of products
sold
|
|
|
47,370 |
|
|
|
333,829 |
|
|
|
352,057 |
|
|
|
— |
|
|
|
733,256 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit
|
|
|
96,413 |
|
|
|
123,132 |
|
|
|
207,707 |
|
|
|
— |
|
|
|
427,252 |
|
Selling, administrative and
engineering expenses
|
|
|
75,814 |
|
|
|
87,987 |
|
|
|
104,065 |
|
|
|
— |
|
|
|
267,866 |
|
Restructuring
charges
|
|
|
2,054 |
|
|
|
7,418 |
|
|
|
6,125 |
|
|
|
— |
|
|
|
15,597 |
|
Amortization of intangible
assets
|
|
|
— |
|
|
|
14,463 |
|
|
|
7,554 |
|
|
|
— |
|
|
|
22,017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit
|
|
|
18,545 |
|
|
|
13,264 |
|
|
|
89,963 |
|
|
|
— |
|
|
|
121,772 |
|
Financing costs,
net
|
|
|
31,589 |
|
|
|
17 |
|
|
|
253 |
|
|
|
— |
|
|
|
31,859 |
|
Intercompany expense
(income), net
|
|
|
(21,388 |
) |
|
|
2,610 |
|
|
|
18,778 |
|
|
|
— |
|
|
|
— |
|
Other expense (income),
net
|
|
|
(55 |
) |
|
|
1,613 |
|
|
|
(847 |
) |
|
|
— |
|
|
|
711 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from continuing
operations before income tax expense
|
|
|
8,399 |
|
|
|
9,024 |
|
|
|
71,779 |
|
|
|
— |
|
|
|
89,202 |
|
Income tax
expense
|
|
|
2,930 |
|
|
|
2,355 |
|
|
|
13,561 |
|
|
|
— |
|
|
|
18,846 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings from
continuing operations before equity in earnings (loss) of
subsidiaries
|
|
|
5,469 |
|
|
|
6,669 |
|
|
|
58,218 |
|
|
|
— |
|
|
|
70,356 |
|
Equity in earnings (loss)
of subsidiaries
|
|
|
18,562 |
|
|
|
2,011 |
|
|
|
(3,920 |
) |
|
|
(16,653 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from continuing
operations
|
|
|
24,031 |
|
|
|
8,680 |
|
|
|
54,298 |
|
|
|
(16,653 |
) |
|
|
70,356 |
|
Loss from discontinuing
operations
|
|
|
— |
|
|
|
— |
|
|
|
(46,325 |
) |
|
|
— |
|
|
|
(46,325 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Earnings
|
|
$ |
24,031 |
|
|
$ |
8,680 |
|
|
$ |
7,973 |
|
|
$ |
(16,653 |
) |
|
$ |
24,031 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONDENSED
CONSOLIDATING BALANCE SHEETS
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
August 31,
2012 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets
|
|
$ |
88,559 |
|
|
$ |
151,168 |
|
|
$ |
321,554 |
|
|
$ |
— |
|
|
$ |
561,281 |
|
Property, plant &
equipment, net
|
|
|
6,944 |
|
|
|
31,818 |
|
|
|
77,122 |
|
|
|
— |
|
|
|
115,884 |
|
Goodwill
|
|
|
62,543 |
|
|
|
433,193 |
|
|
|
370,676 |
|
|
|
— |
|
|
|
866,412 |
|
Other intangibles,
net
|
|
|
14,522 |
|
|
|
206,194 |
|
|
|
225,168 |
|
|
|
— |
|
|
|
445,884 |
|
Intercompany
receivable
|
|
|
— |
|
|
|
418,253 |
|
|
|
307,282 |
|
|
|
(725,535 |
) |
|
|
— |
|
Investment in
subsidiaries
|
|
|
1,886,478 |
|
|
|
250,738 |
|
|
|
90,770 |
|
|
|
(2,227,986 |
) |
|
|
— |
|
Other long-term
assets
|
|
|
12,297 |
|
|
|
22 |
|
|
|
5,339 |
|
|
|
— |
|
|
|
17,658 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$ |
2,071,343 |
|
|
$ |
1,491,386 |
|
|
$ |
1,397,911 |
|
|
$ |
(2,953,521 |
) |
|
$ |
2,007,119 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES &
SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
$ |
76,686 |
|
|
$ |
63,105 |
|
|
$ |
179,215 |
|
|
$ |
— |
|
|
$ |
319,006 |
|
Long-term debt
|
|
|
390,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
390,000 |
|
Deferred income
taxes
|
|
|
91,604 |
|
|
|
— |
|
|
|
41,049 |
|
|
|
— |
|
|
|
132,653 |
|
Pension and post-retirement
benefit liabilities
|
|
|
22,500 |
|
|
|
— |
|
|
|
3,942 |
|
|
|
— |
|
|
|
26,442 |
|
Other long-term
liabilities
|
|
|
59,929 |
|
|
|
620 |
|
|
|
26,633 |
|
|
|
— |
|
|
|
87,182 |
|
Intercompany
payable
|
|
|
378,788 |
|
|
|
— |
|
|
|
346,747 |
|
|
|
(725,535 |
) |
|
|
— |
|
Shareholders’
equity
|
|
|
1,051,836 |
|
|
|
1,427,661 |
|
|
|
800,325 |
|
|
|
(2,227,986 |
) |
|
|
1,051,836 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and
shareholders’ equity
|
|
$ |
2,071,343 |
|
|
$ |
1,491,386 |
|
|
$ |
1,397,911 |
|
|
$ |
(2,953,521 |
) |
|
$ |
2,007,119 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
August 31,
2011 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets
|
|
$ |
85,785 |
|
|
$ |
155,067 |
|
|
$ |
308,001 |
|
|
$ |
— |
|
|
$ |
548,853 |
|
Property, plant &
equipment, net
|
|
|
4,327 |
|
|
|
37,133 |
|
|
|
87,189 |
|
|
|
— |
|
|
|
128,649 |
|
Goodwill
|
|
|
62,543 |
|
|
|
432,184 |
|
|
|
393,739 |
|
|
|
— |
|
|
|
888,466 |
|
Other intangibles,
net
|
|
|
15,861 |
|
|
|
216,277 |
|
|
|
247,268 |
|
|
|
— |
|
|
|
479,406 |
|
Intercompany
receivable
|
|
|
— |
|
|
|
277,157 |
|
|
|
45,770 |
|
|
|
(322,927 |
) |
|
|
— |
|
Investment in
subsidiaries
|
|
|
1,859,779 |
|
|
|
379,170 |
|
|
|
67,795 |
|
|
|
(2,306,744 |
) |
|
|
— |
|
Other long-term
assets
|
|
|
10,862 |
|
|
|
51 |
|
|
|
6,930 |
|
|
|
— |
|
|
|
17,843 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$ |
2,039,157 |
|
|
$ |
1,497,039 |
|
|
$ |
1,156,692 |
|
|
$ |
(2,629,671 |
) |
|
$ |
2,063,217 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES &
SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
$ |
76,300 |
|
|
$ |
70,126 |
|
|
$ |
184,099 |
|
|
$ |
— |
|
|
$ |
330,525 |
|
Long-term debt
|
|
|
522,727 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
522,727 |
|
Deferred income
taxes
|
|
|
122,272 |
|
|
|
— |
|
|
|
49,987 |
|
|
|
— |
|
|
|
172,259 |
|
Pension and post-retirement
benefit liabilities
|
|
|
16,452 |
|
|
|
— |
|
|
|
2,412 |
|
|
|
— |
|
|
|
18,864 |
|
Other long-term
liabilities
|
|
|
59,466 |
|
|
|
779 |
|
|
|
39,584 |
|
|
|
— |
|
|
|
99,829 |
|
Intercompany
payable
|
|
|
322,927 |
|
|
|
— |
|
|
|
— |
|
|
|
(322,927 |
) |
|
|
— |
|
Shareholders’
equity
|
|
|
919,013 |
|
|
|
1,426,134 |
|
|
|
880,610 |
|
|
|
(2,306,744 |
) |
|
|
919,013 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and
shareholders’ equity
|
|
$ |
2,039,157 |
|
|
$ |
1,497,039 |
|
|
$ |
1,156,692 |
|
|
$ |
(2,629,671 |
) |
|
$ |
2,063,217 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONDENSED
CONSOLIDATING STATEMENTS OF CASH FLOWS
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
August 31, 2012 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
Operating
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
|
$ |
97,454 |
|
|
$ |
20,363 |
|
|
$ |
64,512 |
|
|
$ |
— |
|
|
$ |
182,329 |
|
|
|
|
|
|
|
Investing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from sale of
property, plant & equipment
|
|
|
1,909 |
|
|
|
353 |
|
|
|
6,239 |
|
|
|
— |
|
|
|
8,501 |
|
Capital
expenditures
|
|
|
(5,062 |
) |
|
|
(4,069 |
) |
|
|
(13,609 |
) |
|
|
— |
|
|
|
(22,740 |
) |
Business acquisitions, net
of cash acquired
|
|
|
(290 |
) |
|
|
— |
|
|
|
(69,977 |
) |
|
|
— |
|
|
|
(70,267 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash used in investing
activities
|
|
|
(3,443 |
) |
|
|
(3,716 |
) |
|
|
(77,347 |
) |
|
|
— |
|
|
|
(84,506 |
) |
|
|
|
|
|
|
Financing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net repayments on revolving
credit facilities
|
|
|
(57,990 |
) |
|
|
— |
|
|
|
(177 |
) |
|
|
— |
|
|
|
(58,167 |
) |
Intercompany loan
activity
|
|
|
(11,482 |
) |
|
|
(16,556 |
) |
|
|
28,038 |
|
|
|
— |
|
|
|
— |
|
Principal repayment of term
loans
|
|
|
(2,500 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,500 |
) |
Repurchases of 2%
Convertible Notes
|
|
|
(102 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(102 |
) |
Proceeds from issuance of
5.625% Senior Notes
|
|
|
300,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
300,000 |
|
Redemption of 6.875% Senior
Notes
|
|
|
(250,000 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(250,000 |
) |
Debt issuance
costs
|
|
|
(5,490 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(5,490 |
) |
Purchase of treasury
shares
|
|
|
(63,083 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(63,083 |
) |
Stock option exercises and
related tax benefits
|
|
|
10,913 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
10,913 |
|
Cash dividend
|
|
|
(2,748 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,748 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash provided (used in)
financing activities
|
|
|
(82,482 |
) |
|
|
(16,556 |
) |
|
|
27,861 |
|
|
|
— |
|
|
|
(71,177 |
) |
Effect of exchange rate
changes on cash
|
|
|
— |
|
|
|
— |
|
|
|
(2,683 |
) |
|
|
— |
|
|
|
(2,683 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase in cash and
cash equivalents
|
|
|
11,529 |
|
|
|
91 |
|
|
|
12,343 |
|
|
|
— |
|
|
|
23,963 |
|
Cash and cash equivalents—beginning of
period
|
|
|
872 |
|
|
|
— |
|
|
|
43,349 |
|
|
|
— |
|
|
|
44,221 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents—end of period
|
|
$ |
12,401 |
|
|
$ |
91 |
|
|
$ |
55,692 |
|
|
$ |
— |
|
|
$ |
68,184 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
August 31, 2011 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
Operating
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
|
$ |
92,573 |
|
|
$ |
3,122 |
|
|
$ |
77,404 |
|
|
$ |
(1,533 |
) |
|
$ |
171,566 |
|
|
|
|
|
|
|
Investing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from sale of
property, plant & equipment
|
|
|
103 |
|
|
|
313 |
|
|
|
1,363 |
|
|
|
— |
|
|
|
1,779 |
|
Proceeds from sale of
business
|
|
|
— |
|
|
|
— |
|
|
|
3,463 |
|
|
|
— |
|
|
|
3,463 |
|
Capital
expenditures
|
|
|
(5,284 |
) |
|
|
(4,740 |
) |
|
|
(13,072 |
) |
|
|
— |
|
|
|
(23,096 |
) |
Business acquisitions, net
of cash acquired
|
|
|
(153,409 |
) |
|
|
(350 |
) |
|
|
(159,697 |
) |
|
|
— |
|
|
|
(313,456 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash used in investing
activities
|
|
|
(158,590 |
) |
|
|
(4,777 |
) |
|
|
(167,943 |
) |
|
|
— |
|
|
|
(331,310 |
) |
|
|
|
|
|
|
Financing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net borrowings on revolving
credit facilities
|
|
|
58,000 |
|
|
|
— |
|
|
|
204 |
|
|
|
— |
|
|
|
58,204 |
|
Proceeds from issuance of
term loans
|
|
|
100,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
100,000 |
|
Repurchases of 2%
Convertible Notes
|
|
|
(34 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(34 |
) |
Intercompany loan
activity
|
|
|
(96,454 |
) |
|
|
1,655 |
|
|
|
94,799 |
|
|
|
— |
|
|
|
— |
|
Debt issuance
costs
|
|
|
(5,197 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(5,197 |
) |
Stock option exercises and
related tax benefits
|
|
|
8,235 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
8,235 |
|
Cash dividend
|
|
|
(2,716 |
) |
|
|
— |
|
|
|
(1,533 |
) |
|
|
1,533 |
|
|
|
(2,716 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash provided by financing
activities
|
|
|
61,834 |
|
|
|
1,655 |
|
|
|
93,470 |
|
|
|
1,533 |
|
|
|
158,492 |
|
Effect of exchange rate
changes on cash
|
|
|
— |
|
|
|
— |
|
|
|
5,251 |
|
|
|
— |
|
|
|
5,251 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase (decrease)
in cash and cash equivalents
|
|
|
(4,183 |
) |
|
|
— |
|
|
|
8,182 |
|
|
|
— |
|
|
|
3,999 |
|
Cash and cash
equivalents—beginning of period
|
|
|
5,055 |
|
|
|
— |
|
|
|
35,167 |
|
|
|
— |
|
|
|
40,222 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents—end of period
|
|
$ |
872 |
|
|
$ |
— |
|
|
$ |
43,349 |
|
|
$ |
— |
|
|
$ |
44,221 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONDENSED
CONSOLIDATING STATEMENTS OF CASH FLOWS
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
August 31, 2010 |
|
|
|
Parent |
|
|
Guarantors |
|
|
Non-Guarantors |
|
|
Eliminations |
|
|
Consolidated |
|
Operating
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by (used
in) operating activities
|
|
$ |
137,143 |
|
|
$ |
(6,739 |
) |
|
$ |
42,827 |
|
|
$ |
(52,145 |
) |
|
$ |
121,086 |
|
Investing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from sale of
property, plant & equipment
|
|
|
1 |
|
|
|
439 |
|
|
|
796 |
|
|
|
— |
|
|
|
1,236 |
|
Proceeds from sale of
businesses
|
|
|
— |
|
|
|
— |
|
|
|
7,516 |
|
|
|
— |
|
|
|
7,516 |
|
Capital
expenditures
|
|
|
(1,219 |
) |
|
|
(8,309 |
) |
|
|
(10,438 |
) |
|
|
— |
|
|
|
(19,966 |
) |
Business acquisitions, net
of cash acquired
|
|
|
— |
|
|
|
(9,374 |
) |
|
|
(36,492 |
) |
|
|
— |
|
|
|
(45,866 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash used in investing
activities
|
|
|
(1,218 |
) |
|
|
(17,244 |
) |
|
|
(38,618 |
) |
|
|
— |
|
|
|
(57,080 |
) |
Financing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net repayments on revolving
credit facilities
|
|
|
(12,608 |
) |
|
|
— |
|
|
|
(1,705 |
) |
|
|
— |
|
|
|
(14,313 |
) |
Repurchases of 2%
Convertible Notes
|
|
|
(22,894 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(22,894 |
) |
Intercompany loan
activity
|
|
|
(96,107 |
) |
|
|
55,378 |
|
|
|
40,729 |
|
|
|
— |
|
|
|
— |
|
Stock option exercises and
related tax benefits
|
|
|
3,315 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,315 |
|
Cash dividend
|
|
|
(2,702 |
) |
|
|
(31,395 |
) |
|
|
(20,750 |
) |
|
|
52,145 |
|
|
|
(2,702 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash provided by (used in)
financing activities
|
|
|
(130,996 |
) |
|
|
23,983 |
|
|
|
18,274 |
|
|
|
52,145 |
|
|
|
(36,594 |
) |
Effect of exchange rate
changes on cash
|
|
|
— |
|
|
|
— |
|
|
|
1,425 |
|
|
|
— |
|
|
|
1,425 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase in cash and
cash equivalents
|
|
|
4,929 |
|
|
|
— |
|
|
|
23,908 |
|
|
|
— |
|
|
|
28,837 |
|
Cash and cash
equivalents—beginning of period
|
|
|
126 |
|
|
|
— |
|
|
|
11,259 |
|
|
|
— |
|
|
|
11,385 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents—end of period
|
|
$ |
5,055 |
|
|
$ |
— |
|
|
$ |
35,167 |
|
|
$ |
— |
|
|
$ |
40,222 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|