Condensed Consolidating Guarantor Information

12 Months Ended

Dec. 31, 2011

Condensed Consolidating Guarantor Information [Abstract]

Condensed Consolidating Guarantor Information

19.    Condensed Consolidating Guarantor Information

As discussed in Note 10, Debt, Visant's obligations under the Credit Facilities and the Senior Notes are guaranteed by certain of its wholly-owned subsidiaries on a full, unconditional and joint and several basis. The following tables present condensed consolidating financial information for Visant, as issuer, and its guarantor and non-guarantor subsidiaries. Immaterial amounts previously reported in the "Guarantors" and "Eliminations" column for "Net sales" and "Cost of products sold" in the years ended January 1, 2011 and January 2, 2010 have been adjusted in order to present the elimination of transactions amongst guarantors.

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS

2011

							Non-
In thousands	Visant			Guarantors			Guarantors		Eliminations			Total
Net sales	$	—		$	1,154,477		$	86,383	$	(23,068	)	$	1,217,792
Cost of products sold		—			538,404			57,221		(23,014	)		572,611
Gross profit		—			616,073			29,162		(54	)		645,181
Selling and administrative expenses		2,943			427,731			19,127		—			449,801
Gain on sale of assets		—			(910	)		—		—			(910	)
Special charges		320			44,064			29		—			44,413
Operating (loss) income		(3,263	)		145,188			10,006		(54	)		151,877
Net interest expense		161,931			140,055			142		(137,992	)		164,136
(Loss) income before income taxes		(165,194	)		5,133			9,864		137,938			(12,259	)
(Benefit from) provision for income taxes		(8,966	)		9,906			1,709		(24	)		2,625
(Loss) income from operations		(156,228	)		(4,773	)		8,155		137,962			(14,884	)
Equity (earnings) in subsidiary, net of tax		(141,344	)		(8,155	)		—		149,499			—
Net (loss) income	$	(14,884	)	$	3,382		$	8,155	$	(11,537	)	$	(14,884	)

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS

2010

In thousands	Visant			Guarantors			Non- Guarantors		Eliminations			Total
Net sales	$	—		$	1,193,546		$	60,200	$	(12,859	)	$	1,240,887
Cost of products sold		—			553,225			36,299		(12,674	)		576,850
Gross profit		—			640,321			23,901		(185	)		664,037
Selling and administrative expenses		4,751			439,652			16,824		—			461,227
Loss on sale of assets		—			269			—		—			269
Special charges		—			4,298			422		—			4,720
Operating (loss) income		(4,751	)		196,102			6,655		(185	)		197,821
Loss on repurchase and redemption of debt		9,693			—			—		—			9,693
(Loss) income before interest and taxes		(14,444	)		196,102			6,655		(185	)		188,128
Net interest expense		88,853			54,919			36		(52,515	)		91,293
(Loss) income before income taxes		(103,297	)		141,183			6,619		52,330			96,835
(Benefit from) provision for income taxes		(18,896	)		59,035			601		(72	)		40,668
(Loss) income from operations		(84,401	)		82,148			6,018		52,402			56,167
Equity (earnings) in subsidiary, net of tax		(140,568	)		(6,018	)		—		146,586			—
Net income	$	56,167		$	88,166		$	6,018	$	(94,184	)	$	56,167

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS

2009

In thousands	Visant			Guarantors			Non- Guarantors		Eliminations			Total
Net sales	$	—		$	1,215,250		$	51,567	$	(11,492	)	$	1,255,325
Cost of products sold		—			569,287			30,936		(11,440	)		588,783
Gross profit		—			645,963			20,631		(52	)		666,542
Selling and administrative expenses		—			437,118			14,185		—			451,303
Gain on disposal of fixed assets		—			(1,405	)		—		—			(1,405	)
Special charges		(1	)		14,465			22		—			14,486
Operating income		1			195,785			6,424		(52	)		202,158
Net interest expense		67,193			41,815			173		(53,892	)		55,289
(Loss) income before income taxes		(67,192	)		153,970			6,251		53,840			146,869
(Benefit from) provision for income taxes		(4,244	)		59,412			1,061		(20	)		56,209
(Loss) income from operations		(62,948	)		94,558			5,190		53,860			90,660
Equity (earnings) loss in subsidiary, net of tax		(153,608	)		(5,190	)		—		158,798			—
Net income	$	90,660		$	99,748		$	5,190	$	(104,938	)	$	90,660

CONDENSED CONSOLIDATING BALANCE SHEET

2011

In thousands	Visant			Guarantors			Non- Guarantors		Eliminations			Total
ASSETS
Cash and cash equivalents	$	30,138		$	2,334		$	3,542	$	—		$	36,014
Accounts receivable, net		1,099			96,626			15,113		—			112,838
Inventories		—			104,998			4,652		(360	)		109,290
Salespersons overdrafts, net		—			29,158			916		—			30,074
Prepaid expenses and other current assets		—			18,434			879		—			19,313
Income tax receivable		2,022			—			—		—			2,022
Intercompany receivable		—			12,400			—		(12,400	)		—
Deferred income taxes		3,006			18,806			84		—			21,896
Total current assets		36,265			282,756			25,186		(12,760	)		331,447
Property, plant and equipment, net		172			208,524			1,354		—			210,050
Goodwill		—			959,004			24,110		—			983,114
Intangibles, net		—			438,022			10,372		—			448,394
Deferred financing costs, net		52,486			—			—		—			52,486
Deferred income taxes		—			—			2,564		—			2,564
Intercompany receivable		592,610			14,303			56,229		(663,142	)		—
Other assets		847			10,429			257		—			11,533
Investment in subsidiaries		812,921			97,270			—		(910,191	)		—
Prepaid pension costs		—			4,906			—		—			4,906
	$	1,495,301		$	2,015,214		$	120,072	$	(1,586,093	)	$	2,044,494
LIABILITIES AND STOCKHOLDER'S (DEFICIT) EQUITY
Accounts payable	$	5,135		$	44,647		$	5,570	$	(2	)	$	55,350
Accrued employee compensation		6,579			21,405			2,563		—			30,547
Customer deposits		—			168,904			8,092		—			176,996
Commissions payable		—			20,651			714		—			21,365
Income taxes payable		28,478			1,414			62		(142	)		29,812
Interest payable		34,204			90			—		—			34,294
Current portion of long-term debt and capital leases		12			3,996			18		—			4,026
Intercompany payable		12,075			(4,275	)		4,598		(12,398	)		—
Other accrued liabilities		13,553			21,673			1,158		—			36,384
Total current liabilities		100,036			278,505			22,775		(12,542	)		388,774
Long-term debt and capital leases, less current maturities		1,905,214			8,351			14		—			1,913,579
Intercompany payable		14,303			649,057			—		(663,360	)		—
Deferred income taxes		(5,783	)		163,878			—		—			158,095
Pension liabilities, net		18,274			78,900			—		—			97,174
Other noncurrent liabilities		21,236			23,602			13		—			44,851
Total liabilities		2,053,280			1,202,293			22,802		(675,902	)		2,602,473
Mezzanine equity		578			—			—		—			578
Stockholder's (deficit) equity		(558,557	)		812,921			97,270		(910,191	)		(558,557	)
	$	1,495,301		$	2,015,214		$	120,072	$	(1,586,093	)	$	2,044,494

CONDENSED CONSOLIDATING BALANCE SHEET

2010

In thousands	Visant			Guarantors		Non- Guarantors		Eliminations			Total
ASSETS
Cash and cash equivalents	$	46,794		$	8,098	$	5,305	$	—		$	60,197
Accounts receivable, net		1,307			104,973		5,960		—			112,240
Inventories		—			98,897		3,856		(307	)		102,446
Salespersons overdrafts, net		—			29,592		1,027		—			30,619
Prepaid expenses and other current assets		1,416			16,531		348		—			18,295
Intercompany receivable		379			12,331		—		(12,710	)		—
Deferred income taxes		2,932			17,983		139		—			21,054
Total current assets		52,828			288,405		16,635		(13,017	)		344,851
Property, plant and equipment, net		324			213,306		821		—			214,451
Goodwill		—			983,904		24,595		—			1,008,499
Intangibles, net		—			493,305		10,504		—			503,809
Deferred financing costs, net		50,174			—		—		—			50,174
Deferred income taxes		—			—		2,690		—			2,690
Intercompany receivable		1,127,989			504,988		52,879		(1,685,856	)		—
Other assets		2,184			11,533		72		—			13,789
Investment in subsidiaries		838,540			90,252		—		(928,792	)		—
Prepaid pension costs		—			5,712		—		—			5,712
	$	2,072,039		$	2,591,405	$	108,196	$	(2,627,665	)	$	2,143,975
LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY
Accounts payable	$	5,676		$	43,782	$	2,270	$	—		$	51,728
Accrued employee compensation		6,834			21,776		2,238		—			30,848
Customer deposits		—			175,042		8,266		—			183,308
Commissions payable		—			21,161		804		—			21,965
Income taxes payable		25,686			2,174		1,536		(119	)		29,277
Interest payable		37,815			99		—		—			37,914
Current portion of long-term debt and capital leases		12,513			3,740		7		—			16,260
Intercompany payable		7,879			3,757		1,074		(12,710	)		—
Other accrued liabilities		7,046			24,671		627		—			32,344
Total current liabilities		103,449			296,202		16,822		(12,829	)		403,644
Long-term debt and capital leases, less current maturities		1,960,675			11,787		7		—			1,972,469
Intercompany payable		504,866			1,181,178		—		(1,686,044	)		—
Deferred income taxes		(11,979	)		193,659		—		—			181,680
Pension liabilities, net		606			53,067		—		—			53,673
Other noncurrent liabilities		24,434			16,972		1,115		—			42,521
Total liabilities		2,582,051			1,752,865		17,944		(1,698,873	)		2,653,987
Mezzanine equity		145			—		—		—			145
Stockholders' (deficit) equity		(510,157	)		838,540		90,252		(928,792	)		(510,157	)
	$	2,072,039		$	2,591,405	$	108,196	$	(2,627,665	)	$	2,143,975

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

2011

In thousands	Visant			Guarantors			Non- Guarantors			Eliminations			Total
Net (loss) income	$	(14,884	)	$	3,382		$	8,155		$	(11,537	)		(14,884	)
Other cash provided by (used in) operating activities		24,825			109,545			(8,495	)		11,538			137,413
Net cash provided by (used in) operating activities		9,941			112,927			(340	)		1			122,529
Purchases of property, plant and equipment		—			(54,648	)		(877	)		—			(55,525	)
Additions to intangibles		—			(212	)		—			—			(212	)
Proceeds from sale of property and equipment		—			6,734			—			—			6,734
Acquisition of business, net of cash acquired		—			(4,681	)		—			—			(4,681	)
Other investing activities, net		—			(1,233	)		1,233			—			—
Net cash (used in) provided by investing activities		—			(54,040	)		356			—			(53,684	)
Short-term borrowings		83,000			—			—			—			83,000
Short-term repayments		(83,000	)		—			—			—			(83,000	)
Repayments of long-term debt and capital leases		(72,479	)		(3,802	)		(16	)		—			(76,297	)
Proceeds from issuance of long-term debt		—			349			—			—			349
Intercompany payable (receivable)		62,461			(62,460	)		—			(1	)		—
Dividends		—			1,262			(1,262	)		—			—
Debt financing costs		(16,579	)		—			—			—			(16,579	)
Net cash used in financing activities		(26,597	)		(64,651	)		(1,278	)		(1	)		(92,527	)
Effect of exchange rate changes on cash and cash equivalents		—			—			(501	)		—			(501	)
Decrease in cash and cash equivalents		(16,656	)		(5,764	)		(1,763	)		—			(24,183	)
Cash and cash equivalents, beginning of period		46,794			8,098			5,305			—			60,197
Cash and cash equivalents, end of period	$	30,138		$	2,334		$	3,542		$	—		$	36,014

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

2010

In thousands	Visant			Guarantors			Non- Guarantors			Eliminations			Total
Net income	$	56,167		$	88,166		$	6,018		$	(94,184	)	$	56,167
Other cash (used in) provided by operating activities		(17,216	)		81,238			(9,638	)		94,184			148,568
Net cash provided by (used in) operating activities		38,951			169,404			(3,620	)		—			204,735
Purchases of property, plant and equipment		—			(50,108	)		(115	)		—			(50,223	)
Additions to intangibles		—			(1,039	)		—			—			(1,039	)
Proceeds from sale of property and equipment		—			751			—			—			751
Acquisition of businesses, net of cash acquired		—			(9,896	)		—			—			(9,896	)
Other investing activities, net		—			9			—			—			9
Net cash used in investing activities		—			(60,283	)		(115	)		—			(60,398	)
Short-term borrowings		329,400			—			—			—			329,400
Short-term repayments		(329,400	)		—			—			—			(329,400	)
Repayment of long-term debt and capital leases		(820,721	)		(2,916	)		(561	)		—			(824,198	)
Proceeds from issuance of long-term debt		1,975,000			8,234			—			—			1,983,234
Intercompany payable (receivable)		111,217			(111,217	)		—			—			—
Distribution to shareholder		(1,303,731	)		—			—			—			(1,303,731	)
Debt financing costs and related expenses		(52,262	)		—			—			—			(52,262	)
Other financing activities		—			1,051			(1,051	)		—			—
Net cash used in financing activities		(90,497	)		(104,848	)		(1,612	)		—			(196,957	)
Effect of exchange rate changes on cash and cash equivalents		—			—			(276	)		—			(276	)
(Decrease) increase in cash and cash equivalents		(51,546	)		4,273			(5,623	)		—			(52,896	)
Cash and cash equivalents, beginning of period		98,340			3,825			10,928			—			113,093
Cash and cash equivalents, end of period	$	46,794		$	8,098		$	5,305		$	—		$	60,197

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

2009

In thousands	Visant			Guarantors			Non- Guarantors			Eliminations			Total
Net income	$	90,660		$	99,748		$	5,190		$	(104,938	)	$	90,660
Other cash (used in) provided by operating activities		(109,842	)		119,575			(1,596	)		108,293			116,430
Net cash (used in) provided by operating activities		(19,182	)		219,323			3,594			3,355			207,090
Purchases of property, plant and equipment		—			(46,136	)		(2	)		—			(46,138	)
Additions to intangibles		—			(917	)		—			—			(917	)
Proceeds from sale of property and equipment		—			3,491			—			—			3,491
Acquisition of business, net of cash acquired		1,432			(2,301	)		—			—			(869	)
Net cash provided by (used in) investing activities		1,432			(45,863	)		(2	)		—			(44,433	)
Short-term (repayments) borrowings		(137,000	)		1,069			—			—			(135,931	)
Repayment of long-term debt and capital leases		—			(71	)		(7	)		—			(78	)
Proceeds from issuance of long-term debt		—			8,394			—			—			8,394
Intercompany payable (receivable)		189,839			(186,484	)		—			(3,355	)		—
Distribution to shareholder		(36,569	)		—			—			—			(36,569	)
Debt financing costs and related expenses		(2,697	)		(44	)		(43	)		—			(2,784	)
Other financing activities		—			1,002			(1,002	)					—
Net cash provided by (used in) financing activities		13,573			(176,134	)		(1,052	)		(3,355	)		(166,968	)
Effect of exchange rate changes on cash and cash equivalents		—			—			(197	)		—			(197	)
(Decrease) increase in cash and cash equivalents		(4,177	)		(2,674	)		2,343			—			(4,508	)
Cash and cash equivalents, beginning of period		102,517			6,499			8,585			—			117,601
Cash and cash equivalents, end of period	$	98,340		$	3,825		$	10,928		$	—		$	113,093