CULP, INC. FINANCIAL INFORMATION RELEASE | |
CONSOLIDATED STATEMENTS OF CASH FLOWS | |
FOR THE SIX MONTHS ENDED NOVEMBER 2, 2008 AND OCTOBER 28, 2007 | |
Unaudited | |
(Amounts in Thousands) | |
| | | |
| | | SIX MONTHS ENDED |
| | | Amounts |
| | | November 2, | | October 28, |
| | | 2008 | | | 2007 | |
| | | | | |
Cash flows from operating activities: | | | | | |
Net (loss) income | | $ | (40,088 | ) | | 2,405 | |
Adjustments to reconcile net (loss) income to net cash | | | | | |
provided by operating activities: | | | | | |
Depreciation | | | 4,723 | | | 2,892 | |
Amortization of other assets | | | 208 | | | 186 | |
Stock-based compensation | | | 219 | | | 366 | |
Excess tax benefit related to stock options exercised | | | - | | | (21 | ) |
Deferred income taxes | | | 33,534 | | | 266 | |
Restructuring expenses, net of gain on sale of related assets | | | 7,812 | | | 73 | |
Changes in assets and liabilities, net of effects of acquisition of business: | | | |
Accounts receivable | | | 8,272 | | | 6,625 | |
Inventories | | | 526 | | | (888 | ) |
Other current assets | | | 211 | | | 553 | |
Other assets | | | 88 | | | (31 | ) |
Accounts payable | | | (3,203 | ) | | (1,687 | ) |
Accrued expenses | | | (3,048 | ) | | 370 | |
Accrued restructuring | | | 358 | | | (1,002 | ) |
Income taxes | | | (2,698 | ) | | (250 | ) |
Net cash provided by operating activities | | | 6,914 | | | 9,857 | |
| | | | | |
Cash flows from investing activities: | | | | | |
Capital expenditures | | | (1,333 | ) | | (3,385 | ) |
Net cash paid for acquisition of business | | | (11,365 | ) | | - | |
Proceeds from the sale of buildings and equipment | | | - | | | 2,045 | |
Net cash used in investing activities | | | (12,698 | ) | | (1,340 | ) |
| | | | | |
Cash flows from financing activities: | | | | | |
Proceeds from lines of credit | | | - | | | 1,423 | |
Proceeds from the issuance of long-term debt | | | 11,000 | | | - | |
Payments on vendor-financed capital expenditures | | | (874 | ) | | (499 | ) |
Payments on capital lease obligation | | | (412 | ) | | - | |
Payments on long-term debt | | | (237 | ) | | (3,206 | ) |
Debt issuance costs | | | (106 | ) | | - | |
Proceeds from common stock issued | | | 21 | | | 405 | |
Excess tax benefit related to stock options exercised | | | - | | | 21 | |
Net cash provided by (used in) financing activities | | | 9,392 | | | (1,856 | ) |
| | | | | |
Increase in cash and cash equivalents | | | 3,608 | | | 6,661 | |
| | | | | |
Cash and cash equivalents at beginning of period | | | 4,914 | | | 10,169 | |
| | | | | |
Cash and cash equivalents at end of period | | $ | 8,522 | | | 16,830 | |
| | | | | |
| | | | | |
Free Cash Flow (1) | | $ | 4,295 | | | 8,039 | |
| | | | | |
| | | | | |
| | | | | |
(1) Free Cash Flow reconciliation is as follows: | | | 2nd Qtr | | 2nd Qtr |
| | | FY 2009 | | FY 2008 |
A) | Net cash provided by operating activities | | $ | 6,914 | | | 9,857 | |
B) | Minus: Capital Expenditures | | | (1,333 | ) | | (3,385 | ) |
C) | Add: Proceeds from the sale of buildings and equipment | | | - | | | 2,045 | |
D) | Minus: Payments on vendor-financed capital expenditures | | | (874 | ) | | (499 | ) |
E) | Minus: Payments on capital lease obligation | | | (412 | ) | | - | |
F) | Add: Excess tax benefit related to stock options exercised | | | - | | | 21 | |
| | $ | 4,295 | | | 8,039 | |