OTHER FINANCIAL INFORMATION | WESCO International, Inc. has outstanding $344.9 million in aggregate principal amount of 2029 Debentures. The 2029 Debentures are fully and unconditionally guaranteed by WESCO Distribution, Inc., a 100% owned subsidiary of WESCO International, Inc., on a senior subordinated basis to all existing and future senior indebtedness of WESCO Distribution, Inc. WESCO Distribution, Inc. has outstanding $500 million in aggregate principal amount of 5.375% Senior Notes due 2021 (the "2021 Notes"). The 2021 Notes are unsecured senior obligations of WESCO Distribution, Inc. and are fully and unconditionally guaranteed on a senior unsecured basis by WESCO International, Inc. Condensed consolidating financial information for WESCO International, Inc., WESCO Distribution, Inc. and the non-guarantor subsidiaries is presented in the following tables. Condensed Consolidating Balance Sheet March 31, 2016 (In thousands of dollars) WESCO International, Inc. WESCO Distribution, Inc. Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Consolidated Cash and cash equivalents $ — $ 36,166 $ 111,668 $ — $ 147,834 Trade accounts receivable, net — — 1,091,504 — 1,091,504 Inventories — 393,120 450,986 — 844,106 Prepaid expenses and other current assets 8 34,281 165,680 (8,971 ) 190,998 Total current assets 8 463,567 1,819,838 (8,971 ) 2,274,442 Intercompany receivables, net — — 1,931,545 (1,931,545 ) — Property, buildings and equipment, net — 54,688 112,851 — 167,539 Intangible assets, net — 3,909 417,807 — 421,716 Goodwill — 255,251 1,507,442 — 1,762,693 Investments in affiliates 3,429,718 3,900,638 — (7,330,356 ) — Other assets — 23,745 40,693 — 64,438 Total assets $ 3,429,726 $ 4,701,798 $ 5,830,176 $ (9,270,872 ) $ 4,690,828 Accounts payable $ — $ 404,468 $ 330,443 $ — $ 734,911 Short-term debt — — 48,251 — 48,251 Other current liabilities 10,082 62,450 136,579 (8,971 ) 200,140 Total current liabilities 10,082 466,918 515,273 (8,971 ) 983,302 Intercompany payables, net 1,323,843 607,702 — (1,931,545 ) — Long-term debt, net 178,896 717,869 494,462 — 1,391,227 Other noncurrent liabilities 19,101 226,601 177,115 — 422,817 Total WESCO International, Inc. stockholders' equity 1,897,804 2,682,708 4,647,648 (7,330,356 ) 1,897,804 Noncontrolling interests — — (4,322 ) — (4,322 ) Total liabilities and stockholders’ equity $ 3,429,726 $ 4,701,798 $ 5,830,176 $ (9,270,872 ) $ 4,690,828 Condensed Consolidating Balance Sheet December 31, 2015 (In thousands of dollars) WESCO International, Inc. WESCO Distribution, Inc. Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Consolidated Cash and cash equivalents $ — $ 38,963 $ 121,316 $ — $ 160,279 Trade accounts receivable, net — — 1,075,257 — 1,075,257 Inventories — 376,641 433,426 — 810,067 Prepaid expenses and other current assets 15 47,290 173,596 (8,970 ) 211,931 Total current assets 15 462,894 1,803,595 (8,970 ) 2,257,534 Intercompany receivables, net — — 1,964,848 (1,964,848 ) — Property, buildings and equipment, net — 56,921 109,818 — 166,739 Intangible assets, net — 4,072 399,577 — 403,649 Goodwill — 255,251 1,426,411 — 1,681,662 Investments in affiliates 3,309,006 3,827,069 — (7,136,075 ) — Other assets — 32,601 27,541 — 60,142 Total assets $ 3,309,021 $ 4,638,808 $ 5,731,790 $ (9,109,893 ) $ 4,569,726 Accounts payable $ — $ 414,524 $ 300,995 $ — $ 715,519 Short-term debt — — 43,314 — 43,314 Other current liabilities 15,254 55,129 127,555 (8,970 ) 188,968 Total current liabilities 15,254 469,653 471,864 (8,970 ) 947,801 Intercompany payables, net 1,320,240 644,608 — (1,964,848 ) — Long-term debt, net 177,753 737,490 523,819 — 1,439,062 Other noncurrent liabilities 19,102 216,515 173,375 — 408,992 Total WESCO International, Inc. stockholders' equity 1,776,672 2,570,542 4,565,533 (7,136,075 ) 1,776,672 Noncontrolling interests — — (2,801 ) — (2,801 ) Total liabilities and stockholders’ equity $ 3,309,021 $ 4,638,808 $ 5,731,790 $ (9,109,893 ) $ 4,569,726 Condensed Consolidating Statement of Income (Loss) and Comprehensive Income Three Months Ended March 31, 2016 (In thousands of dollars) WESCO International, Inc. WESCO Distribution, Inc. Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Consolidated Net sales $ — $ 800,490 $ 1,000,045 $ (24,574 ) $ 1,775,961 Cost of goods sold (excluding depreciation and amortization) — 639,673 805,694 (24,574 ) 1,420,793 Selling, general and administrative expenses (378 ) 80,208 189,456 — 269,286 Depreciation and amortization — 5,106 11,268 — 16,374 Results of affiliates’ operations 38,459 (8,684 ) — (29,775 ) — Interest expense (income), net 6,318 18,859 (6,348 ) — 18,829 Provision for income taxes (2,015 ) 18,046 114 — 16,145 Net income (loss) 34,534 29,914 (139 ) (29,775 ) 34,534 Net loss attributable to noncontrolling interests — — (1,519 ) — (1,519 ) Net income attributable to WESCO International, Inc. $ 34,534 $ 29,914 $ 1,380 $ (29,775 ) $ 36,053 Other comprehensive income (loss): Foreign currency translation adjustments 82,270 82,270 82,270 (164,540 ) 82,270 Post retirement benefit plan adjustments $ (16 ) $ (16 ) $ (16 ) $ 32 $ (16 ) Comprehensive income attributable to WESCO International, Inc. $ 116,788 $ 112,168 $ 83,634 $ (194,283 ) $ 118,307 Condensed Consolidating Statement of Income and Comprehensive Loss Three Months Ended March 31, 2015 (In thousands of dollars) WESCO International, Inc. WESCO Distribution, Inc. Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Consolidated Net sales $ — $ 839,282 $ 1,005,250 $ (28,202 ) $ 1,816,330 Cost of goods sold (excluding depreciation and amortization) — 669,806 807,035 (28,202 ) 1,448,639 Selling, general and administrative expenses 8 136,411 128,166 — 264,585 Depreciation and amortization — 4,834 11,087 — 15,921 Results of affiliates’ operations 51,165 36,268 — (87,433 ) — Interest expense (income), net 6,187 18,640 (3,933 ) — 20,894 Provision for income taxes (1,822 ) 2,821 18,499 — 19,498 Net income 46,792 43,038 44,396 (87,433 ) 46,793 Net loss attributable to noncontrolling interests — — (238 ) — (238 ) Net income attributable to WESCO International, Inc. $ 46,792 $ 43,038 $ 44,634 $ (87,433 ) $ 47,031 Other comprehensive loss: Foreign currency translation adjustments (113,814 ) (113,814 ) (113,814 ) 227,628 (113,814 ) Comprehensive loss attributable to WESCO International, Inc. $ (67,022 ) $ (70,776 ) $ (69,180 ) $ 140,195 $ (66,783 ) Condensed Consolidating Statement of Cash Flows Three Months Ended March 31, 2016 (In thousands of dollars) WESCO International, Inc. WESCO Distribution, Inc. Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Consolidated Net cash (used in) provided by operating activities $ (3,138 ) $ 62,678 $ 19,028 $ — $ 78,568 Investing activities: Capital expenditures — (3,084 ) (524 ) — (3,608 ) Acquisition payments, net of cash acquired — (50,348 ) — — (50,348 ) Dividends received from subsidiaries — 15,310 — (15,310 ) — Other — (14,548 ) (3,783 ) 10,183 (8,148 ) Net cash used in investing activities — (52,670 ) (4,307 ) (5,127 ) (62,104 ) Financing activities: Borrowings 3,603 284,972 69,969 (14,548 ) 343,996 Repayments — (309,337 ) (84,893 ) 4,365 (389,865 ) Increase in bank overdrafts — 11,972 — — 11,972 Dividends paid by subsidiaries — — (15,310 ) 15,310 — Other (465 ) (412 ) — — (877 ) Net cash provided by (used in) financing activities 3,138 (12,805 ) (30,234 ) 5,127 (34,774 ) Effect of exchange rate changes on cash and cash equivalents — — 5,865 — 5,865 Net change in cash and cash equivalents — (2,797 ) (9,648 ) — (12,445 ) Cash and cash equivalents at the beginning of period — 38,963 121,316 — 160,279 Cash and cash equivalents at the end of period $ — $ 36,166 $ 111,668 $ — $ 147,834 Condensed Consolidating Statement of Cash Flows Three Months Ended March 31, 2015 (In thousands of dollars) WESCO International, Inc. WESCO Distribution, Inc. Non-Guarantor Subsidiaries Consolidating and Eliminating Entries Consolidated Net cash (used in) provided by operating activities $ (4,441 ) $ 53,333 $ 41,164 $ — $ 90,056 Investing activities: Capital expenditures — (4,005 ) (1,021 ) — (5,026 ) Dividends received from subsidiaries — 16,090 — (16,090 ) — Other — (43,850 ) 5,150 39,485 785 Net cash used in investing activities — (31,765 ) 4,129 23,395 (4,241 ) Financing activities: Borrowings 32,125 218,699 162,325 (43,850 ) 369,299 Repayments — (226,064 ) (166,580 ) 4,365 (388,279 ) Equity activities (27,602 ) — — — (27,602 ) Decrease in bank overdrafts — (6,725 ) — — (6,725 ) Dividends paid by subsidiaries — — (16,090 ) 16,090 — Other (82 ) (402 ) — — (484 ) Net cash provided by (used in) financing activities 4,441 (14,492 ) (20,345 ) (23,395 ) (53,791 ) Effect of exchange rate changes on cash and cash equivalents — — (5,992 ) — (5,992 ) Net change in cash and cash equivalents — 7,076 18,956 — 26,032 Cash and cash equivalents at the beginning of period — 32,508 95,811 — 128,319 Cash and cash equivalents at the end of period $ — $ 39,584 $ 114,767 $ — $ 154,351 Revisions The unaudited Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2015 was revised to appropriately present dividends paid by the non-guarantor subsidiaries and dividends received by WESCO Distribution, Inc. The revisions did not impact the consolidated amounts previously reported, nor did they impact the Company's obligations under the 2021 Notes or the 2029 Debentures. As described in Note 1, the Company adopted certain accounting pronouncements during the first quarter of 2016 that were effective beginning this fiscal year. The adoption of such guidance resulted in certain reclassifications to amounts previously reported in the Condensed Consolidating Balance Sheet at December 31, 2015 . |