EX-99.1 3 exhibit99.htm NOTE A FROM 10-K exhibit99.htm
Exhibit 99.1
 
Restatement:  Cash flows from operating activities in the consolidated statements of cash flows for the years ended December 31, 2006 and 2005 have been restated from amounts previously reported to properly separate the effects of exchange rate changes on cash, which were previously reflected in certain line items of the consolidated statements of cash flows for those years. The impact of this restatement was to increase (decrease) the reported cash flows from operating activities for 2006 and 2005 by approximately ($5.7) million and $4.6 million, respectively, and to reflect the effect of foreign exchange rates on cash as a reconciling item after cash provided by (used in) operating, investing and financing activities, before the total change in cash and cash equivalents, as an increase (decrease) in cash of $5.7 million and ($4.6) million for the years ended December 31, 2006 and 2005, respectively. There was no change in cash and cash equivalents from amounts previously reported at the end of those periods.

The results of this restatement on the recorded amounts and a disclosure within the 2006 and 2005 consolidated statements of cash flows are as follow (thousands of dollars):
 
   
For the year ended December 31, 2006
  
For the year ended December 31, 2005
  
   
As previously reported
  
As restated
  
As previously reported
  
As restated
  
Adjustments to reconcile net earnings to net cash provided by operating activities:
                          
Depreciation and amortization
   $  9,942   $ 10,939   $  9,865   $  9,865  
Change in prepaid pension costs, net
  
 
17,182
  
 
        17,178
  
 
11,525
  
 
11,525
  
Deferred taxes
    
13,063
    
12,412
    
11,615
    
11,155
  
Accounts receivable
    
22,616
    
28,269
    
(33,561
 )   
(33,560
 ) 
Inventories
    
(36,939
 )   
(35,477
 )  
(2,344
 )   
(2,344
 ) 
Other current assets
    
5,271
    
5,577
    
(1,906
 )  
(1,906
 ) 
Accounts payable and accrued expenses
    
(46,438
 )  
(49,965
 )  
9,134
    
9,482
  
Payroll and related expenses
    
1,200
    
179
    
(636
 )  
(636
 ) 
Other long-term liabilities
    
1,757
    
1,548
    
15,111
    
15,257
  
Other operating activities
    
4,384
    
(4,296
 )  
(3,640
 )  
914
  
                           
Net cash provided by operating activities of continuing operations
    
25,891
    
20,217
    
57,783
    
62,372
  
                           
Net cash provided by (used in) continuing operations
    
(107,465
 )   
(113,139
 )  
21,025
    
25,614
  
                           
Effect of exchange rate changes on cash and cash equivalents
    
-
    
5,674
    
-
    
(4,589
 ) 
                           
Supplemental Information
                          
Effect of exchange rates on cash and cash equivalents
    
1,659
    
-
    
(7,928
 )  
-