PAYLESS SHOESOURCE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
As Restated | ||||||||
January 29, | January 31, | |||||||
(dollars in millions) | 2005 | 2004 | ||||||
ASSETS: | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 289.6 | $ | 136.7 | ||||
Marketable securities, available for sale | 5.0 | 10.0 | ||||||
Restricted cash | 3.0 | 33.5 | ||||||
Inventories | 345.3 | 375.2 | ||||||
Current deferred income taxes | 21.9 | 17.1 | ||||||
Other current assets | 56.6 | 64.9 | ||||||
Current assets of discontinued operations | 8.5 | 24.2 | ||||||
Total current assets | 729.9 | 661.6 | ||||||
Property and Equipment: | ||||||||
Land | 8.0 | 8.0 | ||||||
Buildings and leasehold improvements | 673.3 | 679.8 | ||||||
Furniture, fixtures and equipment | 509.8 | 494.6 | ||||||
Property under capital lease | 3.8 | 4.6 | ||||||
Total property and equipment | 1,194.9 | 1,187.0 | ||||||
Accumulated depreciation and amortization | (772.6 | ) | (763.5 | ) | ||||
Property and equipment, net | 422.3 | 423.5 | ||||||
Favorable leases, net | 21.7 | 28.8 | ||||||
Deferred income taxes | 36.4 | 34.2 | ||||||
Goodwill, net | 5.9 | 5.9 | ||||||
Other assets | 23.5 | 22.7 | ||||||
Noncurrent assets of discontinued operations | 0.1 | 27.6 | ||||||
TOTAL ASSETS | $ | 1,239.8 | $ | 1,204.3 | ||||
LIABILITIES AND EQUITY: | ||||||||
Current liabilities: | ||||||||
Current maturities of long-term debt | $ | 0.3 | $ | 0.9 | ||||
Notes payable | 3.0 | 33.5 | ||||||
Accounts payable | 160.3 | 129.6 | ||||||
Accrued expenses | 159.7 | 123.9 | ||||||
Current liabilities of discontinued operations | 15.0 | 5.8 | ||||||
Total current liabilities | 338.3 | 293.7 | ||||||
Long-term debt | 204.3 | 202.8 | ||||||
Other liabilities | 93.6 | 85.6 | ||||||
Noncurrent liabilities of discontinued operations | — | 2.1 | ||||||
Minority interest | 8.6 | 15.7 | ||||||
Equity | 595.0 | 604.4 | ||||||
TOTAL LIABILITIES AND EQUITY | $ | 1,239.8 | $ | 1,204.3 | ||||
PAYLESS SHOESOURCE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
As Restated | ||||||||
January 29, | January 31, | |||||||
(dollars in millions) | 2005 | 2004 | ||||||
OPERATING ACTIVITIES: | ||||||||
Net loss | $ | (2.0 | ) | $ | (0.1 | ) | ||
Loss from discontinued operations, net of income taxes and minority interest | (37.1 | ) | (17.0 | ) | ||||
Net earnings from continuing operations | 35.1 | 16.9 | ||||||
Adjustments for non-cash items included in net earnings from continuing operations: | ||||||||
Non-cash component of restructuring charges | 10.8 | — | ||||||
Loss on impairment and disposal of assets | 7.0 | 10.9 | ||||||
Depreciation and amortization | 94.6 | 96.2 | ||||||
Amortization of deferred financing costs | 0.9 | 4.0 | ||||||
Amortization of unearned restricted stock | 0.7 | 0.8 | ||||||
Deferred income taxes | (6.4 | ) | 1.3 | |||||
Minority interest, net of income taxes | (3.6 | ) | (3.7 | ) | ||||
Changes in working capital: | ||||||||
Inventories | 31.0 | 60.8 | ||||||
Other current assets | 8.4 | (8.7 | ) | |||||
Accounts payable | 30.7 | 27.7 | ||||||
Accrued expenses | 35.3 | 4.2 | ||||||
Other assets and liabilities, net | 6.1 | 14.5 | ||||||
Cash flow provided by operating activities from continuing operations | 250.6 | 224.9 | ||||||
Net cash provided by (used in) discontinued operations | 6.6 | (14.9 | ) | |||||
INVESTING ACTIVITIES: | ||||||||
Capital expenditures | (104.9 | ) | (116.3 | ) | ||||
Dispositions of property and equipment | 3.0 | 1.0 | ||||||
Purchases of marketable securities | (13.0 | ) | (10.0 | ) | ||||
Sales of marketable securities | 18.0 | — | ||||||
Cash flow used in investing activities from continuing operations | (96.9 | ) | (125.3 | ) | ||||
FINANCING ACTIVITIES: | ||||||||
(Payment) issuance of notes payable | (30.5 | ) | 5.0 | |||||
Restricted cash | 30.5 | (5.0 | ) | |||||
Issuance of debt | 2.4 | 196.7 | ||||||
Payment of deferred financing costs | (0.2 | ) | (7.1 | ) | ||||
Repayments of debt | (1.5 | ) | (216.9 | ) | ||||
Issuances of common stock | 1.6 | 0.6 | ||||||
Purchases of common stock | (11.4 | ) | (1.7 | ) | ||||
Contributions by minority owners | 3.7 | 4.4 | ||||||
Cash flow used in financing activities from continuing operations | (5.4 | ) | (24.0 | ) | ||||
Effect of exchange rate changes on cash | (2.0 | ) | 4.3 | |||||
Increase in cash and cash equivalents | 152.9 | 65.0 | ||||||
Cash and cash equivalents, beginning of period | 136.7 | 71.7 | ||||||
Cash and cash equivalents, end of period | $ | 289.6 | $ | 136.7 | ||||