Guarantor/Non-Guarantor Financial Information |
Guarantor/Non-Guarantor Financial Information
The $450.0 million and $600.0 million aggregate principal amount of 2023 Senior Notes and 2026 Senior Notes (collectively the "Senior Notes"), respectively, are general unsecured senior obligations of Tempur Sealy International and are fully and unconditionally guaranteed on a senior unsecured basis, jointly and severally, by the Combined Guarantor Subsidiaries. The $375.0 million aggregate principal amount of 2020 Senior Notes were general unsecured senior obligations at December 31, 2015 but were redeemed in full in 2016. The foreign subsidiaries (the "Combined Non-Guarantor Subsidiaries") represent the foreign operations of the Company and do not guarantee the Senior Notes. A subsidiary guarantor will be released from its obligations under the applicable indenture governing the Senior Notes when: (a) the subsidiary guarantor is sold or sells all or substantially all of its assets; (b) the subsidiary is declared "unrestricted" under the applicable indenture governing the Senior Notes; (c) the subsidiary’s guarantee of indebtedness under the 2016 Credit Agreement (as it may be amended, refinanced or replaced) is released (other than a discharge through repayment); or (d) the requirements for legal or covenant defeasance or discharge of the applicable indenture have been satisfied. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions, including transactions with the Company’s wholly-owned subsidiary guarantors and non-guarantor subsidiaries. The Company has accounted for its investments in its subsidiaries under the equity method.
The following financial information presents Consolidated Balance Sheets as of December 31, 2016 and December 31, 2015, and the related Consolidated Statements of Income and Comprehensive Income and Cash Flows for the years ended December 31, 2016, 2015 and 2014 for Tempur Sealy International, Combined Guarantor Subsidiaries and Combined Non-Guarantor Subsidiaries.
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Statements of Income and Comprehensive Income Year Ended December 31, 2016 (in millions)
| | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | Net sales | $ | — |
| | $ | 2,355.9 |
| | $ | 835.9 |
| | $ | (64.5 | ) | | $ | 3,127.3 |
| Cost of sales | — |
| | 1,409.4 |
| | 473.0 |
| | (64.5 | ) | | 1,817.9 |
| Gross profit | — |
| | 946.5 |
| | 362.9 |
| | — |
| | 1,309.4 |
| Selling and marketing expenses | 2.9 |
| | 458.6 |
| | 187.0 |
| | — |
| | 648.5 |
| General, administrative and other expenses | 14.8 |
| | 186.8 |
| | 76.6 |
| | — |
| | 278.2 |
| Equity income in earnings of unconsolidated affiliates | — |
| | — |
| | (13.3 | ) | | — |
| | (13.3 | ) | Royalty income, net of royalty expense | — |
| | (19.5 | ) | | — |
| | — |
| | (19.5 | ) | Operating (loss) income | (17.7 | ) | | 320.6 |
| | 112.6 |
| | — |
| | 415.5 |
| | | | | | | | | | | Other expense, net: | | | | | | | | | | Third party interest expense, net | 66.0 |
| | 15.4 |
| | 3.8 |
| | — |
| | 85.2 |
| Intercompany interest (income) expense, net | (4.1 | ) | | (0.1 | ) | | 4.2 |
| | — |
| | — |
| Interest expense, net | 61.9 |
| | 15.3 |
| | 8.0 |
| | — |
| | 85.2 |
| Loss on extinguishment of debt | 34.3 |
| | 12.9 |
| | — |
| | — |
| | 47.2 |
| Other (income) expense, net | — |
| | (1.4 | ) | | 1.2 |
| | — |
| | (0.2 | ) | Total other expense | 96.2 |
| | 26.8 |
| | 9.2 |
| | — |
| | 132.2 |
| | | | | | | | | | | Income from equity investees | 271.6 |
| | 76.8 |
| | — |
| | (348.4 | ) | | — |
| | | | | | | | | | | Income before income taxes | 157.7 |
| | 370.6 |
| | 103.4 |
| | (348.4 | ) | | 283.3 |
| Income tax benefit (provision) | 38.8 |
| | (99.0 | ) | | (26.6 | ) | | — |
| | (86.8 | ) | Net income before non-controlling interest | 196.5 |
| | 271.6 |
| | 76.8 |
| | (348.4 | ) | | 196.5 |
| Less: net loss attributable to non-controlling interests | (5.6 | ) | | — |
| | (5.6 | ) | | 5.6 |
| | (5.6 | ) | Net income attributable to Tempur Sealy International, Inc. | $ | 202.1 |
| | $ | 271.6 |
| | $ | 82.4 |
| | $ | (354.0 | ) | | $ | 202.1 |
| | | | | | | | | | | Comprehensive income | $ | 190.8 |
| | $ | 271.7 |
| | $ | 71.2 |
| | $ | (342.9 | ) | | $ | 190.8 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Statements of Income and Comprehensive Income Year Ended December 31, 2015 (in millions)
| | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | Net sales | $ | — |
| | $ | 2,422.9 |
| | $ | 778.9 |
| | $ | (50.6 | ) | | $ | 3,151.2 |
| Cost of sales | — |
| | 1,532.6 |
| | 420.3 |
| | (50.6 | ) | | 1,902.3 |
| Gross profit | — |
| | 890.3 |
| | 358.6 |
| | — |
| | 1,248.9 |
| Selling and marketing expenses | 4.1 |
| | 460.1 |
| | 183.8 |
| | — |
| | 648.0 |
| General, administrative and other expenses | 20.8 |
| | 232.6 |
| | 68.6 |
| | — |
| | 322.0 |
| Equity income in earnings of unconsolidated affiliates | — |
| | — |
| | (11.9 | ) | | — |
| | (11.9 | ) | Royalty income, net of royalty expense | — |
| | (18.3 | ) | | — |
| | — |
| | (18.3 | ) | Operating (loss) income | (24.9 | ) | | 215.9 |
| | 118.1 |
| | — |
| | 309.1 |
| | | | | | | | | | | Other expense, net: | | | | | | | | | | Third party interest expense, net | 27.2 |
| | 66.2 |
| | 2.7 |
| | — |
| | 96.1 |
| Intercompany interest expense (income), net | 32.9 |
| | (35.5 | ) | | 2.6 |
| | — |
| | — |
| Interest expense, net | 60.1 |
| | 30.7 |
| | 5.3 |
| | — |
| | 96.1 |
| Other (income) expense, net | — |
| | (8.1 | ) | | 21.0 |
| | — |
| | 12.9 |
| Total other expense | 60.1 |
| | 22.6 |
| | 26.3 |
| | — |
| | 109.0 |
| | | | | | | | | | | Income from equity investees | 132.9 |
| | 64.7 |
| | — |
| | (197.6 | ) | | — |
| | | | | | | | | | | Income before income taxes | 47.9 |
| | 258.0 |
| | 91.8 |
| | (197.6 | ) | | 200.1 |
| Income tax benefit (provision) | 26.8 |
| | (125.1 | ) | | (27.1 | ) | | — |
| | (125.4 | ) | Net income before non-controlling interest | 74.7 |
| | 132.9 |
| | 64.7 |
| | (197.6 | ) | | 74.7 |
| Less: net income attributable to non-controlling interests | 1.2 |
| | 1.2 |
| | — |
| | (1.2 | ) | | 1.2 |
| Net income attributable to Tempur Sealy International, Inc. | $ | 73.5 |
| | $ | 131.7 |
| | $ | 64.7 |
| | $ | (196.4 | ) | | $ | 73.5 |
| | | | | | | | | | | Comprehensive income (loss) | $ | 19.1 |
| | $ | 130.9 |
| | $ | (3.3 | ) | | $ | (127.6 | ) | | $ | 19.1 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Statements of Income and Comprehensive Income Year Ended December 31, 2014 (in millions) | | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | Net sales | $ | — |
| | $ | 2,229.5 |
| | $ | 802.9 |
| | $ | (42.6 | ) | | $ | 2,989.8 |
| Cost of sales | — |
| | 1,465.3 |
| | 416.7 |
| | (42.6 | ) | | 1,839.4 |
| Gross profit | — |
| | 764.2 |
| | 386.2 |
| | — |
| | 1,150.4 |
| Selling and marketing expenses | 2.4 |
| | 431.2 |
| | 186.3 |
| | — |
| | 619.9 |
| General, administrative and other expenses | 13.4 |
| | 200.5 |
| | 66.7 |
| | — |
| | 280.6 |
| Equity income in earnings of unconsolidated affiliates | — |
| | — |
| | (8.3 | ) | | — |
| | (8.3 | ) | Royalty income, net of royalty expense | — |
| | (18.1 | ) | | — |
| | — |
| | (18.1 | ) | Operating (loss) income | (15.8 | ) | | 150.6 |
| | 141.5 |
| | — |
| | 276.3 |
| | | | | | | | | | | Other expense, net: | | | | | | | | | | Third party interest expense, net | 27.0 |
| | 62.4 |
| | 2.5 |
| | — |
| | 91.9 |
| Intercompany interest expense (income), net | 32.7 |
| | (34.6 | ) | | 1.9 |
| | — |
| | — |
| Interest expense, net | 59.7 |
| | 27.8 |
| | 4.4 |
| | — |
| | 91.9 |
| Loss on disposal, net | — |
| | 23.2 |
| | — |
| | — |
| | 23.2 |
| Other (income) expense, net | — |
| | (17.2 | ) | | 3.5 |
| | — |
| | (13.7 | ) | Total other expense | 59.7 |
| | 33.8 |
| | 7.9 |
| | — |
| | 101.4 |
| | | | | | | | | | | Income from equity investees | 159.2 |
| | 98.7 |
| | — |
| | (257.9 | ) | | — |
| | | | | | | | | | | Income before income taxes | 83.7 |
| | 215.5 |
| | 133.6 |
| | (257.9 | ) | | 174.9 |
| Income tax benefit (provision) | 26.3 |
| | (56.3 | ) | | (34.9 | ) | | — |
| | (64.9 | ) | Net income before non-controlling interest | 110.0 |
| | 159.2 |
| | 98.7 |
| | (257.9 | ) | | 110.0 |
| Less: net income attributable to non-controlling interests | 1.1 |
| | 1.1 |
| | — |
| | (1.1 | ) | | 1.1 |
| Net income attributable to Tempur Sealy International, Inc. | $ | 108.9 |
| | $ | 158.1 |
| | $ | 98.7 |
| | $ | (256.8 | ) | | $ | 108.9 |
| | | | | | | | | | | Comprehensive income | $ | 66.9 |
| | $ | 163.3 |
| | $ | 60.3 |
| | $ | (223.6 | ) | | $ | 66.9 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Balance Sheets December 31, 2016 (in millions) | | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | ASSETS | | | | | | | | | | | | | | | | | | | | Current Assets: | | | | | | | | | | Cash and cash equivalents | $ | — |
| | $ | 7.9 |
| | $ | 57.8 |
| | $ | — |
| | $ | 65.7 |
| Accounts receivable, net | — |
| | 197.7 |
| | 147.4 |
| | — |
| | 345.1 |
| Inventories | — |
| | 117.1 |
| | 79.7 |
| | — |
| | 196.8 |
| Income tax receivable | 234.2 |
| | — |
| | — |
| | (234.2 | ) | | — |
| Prepaid expenses and other current assets | — |
| | 48.9 |
| | 15.0 |
| | — |
| | 63.9 |
| Total Current Assets | 234.2 |
| | 371.6 |
| | 299.9 |
| | (234.2 | ) | | 671.5 |
| Property, plant and equipment, net | — |
| | 346.9 |
| | 75.3 |
| | — |
| | 422.2 |
| Goodwill | — |
| | 500.2 |
| | 222.3 |
| | — |
| | 722.5 |
| Other intangible assets, net | — |
| | 589.8 |
| | 88.9 |
| | — |
| | 678.7 |
| Deferred income taxes | 20.6 |
| | — |
| | 22.5 |
| | (20.6 | ) | | 22.5 |
| Other non-current assets | — |
| | 41.7 |
| | 143.5 |
| | — |
| | 185.2 |
| Net investment in subsidiaries | 2,207.4 |
| | 77.7 |
| | — |
| | (2,285.1 | ) | | — |
| Due from affiliates | 168.4 |
| | 1,874.7 |
| | 14.3 |
| | (2,057.4 | ) | | — |
| Total Assets | $ | 2,630.6 |
| | $ | 3,802.6 |
| | $ | 866.7 |
| | $ | (4,597.3 | ) | | $ | 2,702.6 |
| | | | | | | | | | | LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | Current Liabilities: | | | | | | | | | | Accounts payable | $ | 0.1 |
| | $ | 157.0 |
| | $ | 62.2 |
| | $ | — |
| | $ | 219.3 |
| Accrued expenses and other current liabilities | 6.8 |
| | 172.6 |
| | 70.7 |
| | — |
| | 250.1 |
| Income taxes payable | — |
| | 235.9 |
| | 4.1 |
| | (234.2 | ) | | 5.8 |
| Current portion of long-term debt | — |
| | 34.4 |
| | 35.9 |
| | — |
| | 70.3 |
| Total Current Liabilities | 6.9 |
| | 599.9 |
| | 172.9 |
| | (234.2 | ) | | 545.5 |
| Long-term debt, net | 1,040.4 |
| | 776.5 |
| | 0.9 |
| | — |
| | 1,817.8 |
| Deferred income taxes | — |
| | 174.9 |
| | 20.3 |
| | (20.6 | ) | | 174.6 |
| Other non-current liabilities | — |
| | 43.3 |
| | 126.0 |
| | — |
| | 169.3 |
| Due to affiliates | 1,587.9 |
| | 0.6 |
| | 468.9 |
| | (2,057.4 | ) | | — |
| Total Liabilities | 2,635.2 |
| | 1,595.2 |
| | 789.0 |
| | (2,312.2 | ) | | 2,707.2 |
| | | | | | | | | | | Redeemable non-controlling interest | 7.6 |
| | — |
| | 7.6 |
| | (7.6 | ) | | 7.6 |
| | | | | | | | | | | Total stockholders’ (deficit) equity, net of non-controlling interests in subsidiaries | (15.2 | ) | | 2,207.4 |
| | 67.1 |
| | (2,274.5 | ) | | (15.2 | ) | Non-controlling interest in subsidiaries | 3.0 |
| | — |
| | 3.0 |
| | (3.0 | ) | | 3.0 |
| Total Stockholder's (Deficit) Equity | (12.2 | ) | | 2,207.4 |
| | 70.1 |
| | (2,277.5 | ) | | (12.2 | ) | Total Liabilities and Stockholders’ (Deficit) Equity | $ | 2,630.6 |
| | $ | 3,802.6 |
| | $ | 866.7 |
| | $ | (4,597.3 | ) | | $ | 2,702.6 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Balance Sheets December 31, 2015 (in millions) | | | | | | | | | | | | | | | | | | | | |
| Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | ASSETS | | | | | | | | | | | | | | | | | | | | Current Assets: | | | | | | | | | | Cash and cash equivalents | $ | — |
| | $ | 119.7 |
| | $ | 34.2 |
| | $ | — |
| | $ | 153.9 |
| Accounts receivable, net | — |
| | 231.9 |
| | 147.5 |
| | — |
| | 379.4 |
| Inventories | — |
| | 145.3 |
| | 53.9 |
| | — |
| | 199.2 |
| Income tax receivable | 193.1 |
| | — |
| | — |
| | (193.1 | ) | | — |
| Prepaid expenses and other current assets | — |
| | 45.6 |
| | 31.0 |
| | — |
| | 76.6 |
| Total Current Assets | 193.1 |
| | 542.5 |
| | 266.6 |
| | (193.1 | ) | | 809.1 |
| Property, plant and equipment, net | — |
| | 300.1 |
| | 61.6 |
| | — |
| | 361.7 |
| Goodwill | — |
| | 501.4 |
| | 208.0 |
| | — |
| | 709.4 |
| Other intangible assets, net | — |
| | 612.9 |
| | 82.5 |
| | — |
| | 695.4 |
| Deferred tax asset | 16.0 |
| | — |
| | 12.2 |
| | (16.0 | ) | | 12.2 |
| Other non-current assets | — |
| | 23.3 |
| | 44.4 |
| | — |
| | 67.7 |
| Net investment in subsidiaries | 1,960.5 |
| | — |
| | — |
| | (1,960.5 | ) | | — |
| Due from affiliates | 548.1 |
| | 1,655.3 |
| | 4.8 |
| | (2,208.2 | ) | | — |
| Total Assets | $ | 2,717.7 |
| | $ | 3,635.5 |
| | $ | 680.1 |
| | $ | (4,377.8 | ) | | $ | 2,655.5 |
| | | | | | | | | | | LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | Current Liabilities: | | | | | | | | | | Accounts payable | $ | — |
| | $ | 212.2 |
| | $ | 54.1 |
| | $ | — |
| | $ | 266.3 |
| Accrued expenses and other current liabilities | 1.4 |
| | 183.8 |
| | 68.8 |
| | — |
| | 254.0 |
| Income taxes payable | — |
| | 196.0 |
| | 8.3 |
| | (193.1 | ) | | 11.2 |
| Current portion of long-term debt | — |
| | 168.7 |
| | 12.8 |
| | — |
| | 181.5 |
| Total Current Liabilities | 1.4 |
| | 760.7 |
| | 144.0 |
| | (193.1 | ) | | 713.0 |
| Long-term debt, net | 811.9 |
| | 461.4 |
| | — |
| | — |
| | 1,273.3 |
| Deferred income taxes | — |
| | 189.8 |
| | 21.6 |
| | (16.0 | ) | | 195.4 |
| Other non-current liabilities | — |
| | 166.6 |
| | 4.6 |
| | — |
| | 171.2 |
| Due to affiliates | 1,601.8 |
| | 96.5 |
| | 604.9 |
| | (2,303.2 | ) | | — |
| Total Liabilities | 2,415.1 |
| | 1,675.0 |
| | 775.1 |
| | (2,512.3 | ) | | 2,352.9 |
| | | | | | | | | | | Redeemable non-controlling interest | 12.4 |
| | 12.4 |
| | — |
| | (12.4 | ) | | 12.4 |
| | | | | | | | | | | Total Stockholders’ (Deficit) Equity | 290.2 |
| | 1,948.1 |
| | (95.0 | ) | | (1,853.1 | ) | | 290.2 |
| Total Liabilities and Stockholders’ (Deficit) Equity | $ | 2,717.7 |
| | $ | 3,635.5 |
| | $ | 680.1 |
| | $ | (4,377.8 | ) | | $ | 2,655.5 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Statements of Cash Flows Year Ended December 31, 2016 (in millions)
| | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | Net cash (used in) provided by operating activities | $ | (63.1 | ) | | $ | 110.7 |
| | $ | 117.9 |
| | $ | — |
| | $ | 165.5 |
| | | | | | | | | | | CASH FLOWS FROM INVESTING ACTIVITIES: | | | | | | | | | | Contributions (paid to) received from subsidiaries and affiliates | — |
| | (76.7 | ) | | 76.7 |
| | — |
| | — |
| Purchases of property, plant and equipment | — |
| | (43.0 | ) | | (19.4 | ) | | | | (62.4 | ) | Net cash (used in) provided by investing activities | — |
| | (119.7 | ) | | 57.3 |
| | — |
| | (62.4 | ) | | | | | | | | | | | CASH FLOWS FROM FINANCING ACTIVITIES: | | | | | | | | | | Proceeds from borrowings under long-term debt obligations | 600.0 |
| | 1,523.6 |
| | 109.7 |
| | — |
| | 2,233.3 |
| Repayments of borrowings under long-term debt obligations | (375.0 | ) | | (1,406.2 | ) | | (86.5 | ) | | — |
| | (1,867.7 | ) | Net activity in investment in and advances from (to) subsidiaries and affiliates | 383.1 |
| | (212.5 | ) | | (170.6 | ) | | — |
| | — |
| Proceeds from exercise of stock options | 15.7 |
| | — |
| | — |
| | — |
| | 15.7 |
| Excess tax benefit from stock-based compensation | 7.0 |
| | — |
| | — |
| | — |
| | 7.0 |
| Treasury stock repurchased | (535.0 | ) | | — |
| | — |
| | — |
| | (535.0 | ) | Payment of deferred financing costs | (3.1 | ) | | (3.8 | ) | | — |
| | — |
| | (6.9 | ) | Fees paid to lenders | (6.0 | ) | | (1.8 | ) | | — |
| | — |
| | (7.8 | ) | Call premium on 2020 Senior Notes | (23.6 | ) | | — |
| | — |
| | — |
| | (23.6 | ) | Other | — |
| | (2.1 | ) | | 2.0 |
| | — |
| | (0.1 | ) | Net cash provided by (used in) financing activities | 63.1 |
| | (102.8 | ) | | (145.4 | ) | | — |
| | (185.1 | ) | | | | | | | | | | | NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | — |
| | — |
| | (6.2 | ) | | — |
| | (6.2 | ) | (Decrease) increase in cash and cash equivalents | — |
| | (111.8 | ) | | 23.6 |
| | — |
| | (88.2 | ) | CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | — |
| | 119.7 |
| | 34.2 |
| | — |
| | 153.9 |
| CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | — |
| | $ | 7.9 |
| | $ | 57.8 |
| | $ | — |
| | $ | 65.7 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Statements of Cash Flows Year Ended December 31, 2015 (in millions)
| | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | Net cash (used in) provided by operating activities | $ | (87.0 | ) | | $ | 274.7 |
| | $ | 46.5 |
| | $ | — |
| | $ | 234.2 |
| | | | | | | | | | | CASH FLOWS FROM INVESTING ACTIVITIES: | | | | | | | | | | Proceeds from disposition of business | — |
| | 7.2 |
| | — |
| | — |
| | 7.2 |
| Purchases of property, plant and equipment | — |
| | (49.9 | ) | | (16.0 | ) | | — |
| | (65.9 | ) | Other | — |
| | (0.7 | ) | | (0.3 | ) | | — |
| | (1.0 | ) | Net cash used in investing activities | — |
| | (43.4 | ) | | (16.3 | ) | | — |
| | (59.7 | ) | | | | | | | | | | | CASH FLOWS FROM FINANCING ACTIVITIES: | | | | | | | | | | Proceeds from borrowings under long-term debt obligations | 450.0 |
| | 402.9 |
| | 10.6 |
| | — |
| | 863.5 |
| Repayments of borrowings under long-term debt obligations | — |
| | (988.3 | ) | | — |
| | — |
| | (988.3 | ) | Net activity in investment in and advances (to) from subsidiaries and affiliates | (401.3 | ) | | 453.4 |
| | (52.1 | ) | | — |
| | — |
| Proceeds from exercise of stock options | 20.4 |
| | — |
| | — |
| | — |
| | 20.4 |
| Excess tax benefit from stock-based compensation | 21.8 |
| | — |
| | — |
| | — |
| | 21.8 |
| Proceeds from purchase of treasury shares by CEO | 5.0 |
| | — |
| | — |
| | — |
| | 5.0 |
| Treasury stock repurchased | (1.3 | ) | | — |
| | — |
| | — |
| | (1.3 | ) | Payment of deferred financing costs | (8.0 | ) | | — |
| | — |
| | — |
| | (8.0 | ) | Other | — |
| | (3.0 | ) | | (0.8 | ) | | — |
| | (3.8 | ) | Net cash provided by (used in) financing activities | 86.6 |
| | (135.0 | ) | | (42.3 | ) | | — |
| | (90.7 | ) | | | | | | | | | | | NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | — |
| | — |
| | 7.6 |
| | — |
| | 7.6 |
| (Decrease) increase in cash and cash equivalents | (0.4 | ) | | 96.3 |
| | (4.5 | ) | | — |
| | 91.4 |
| CASH AND CASH EQUIVALENTS, BEGININNG OF PERIOD | 0.4 |
| | 23.4 |
| | 38.7 |
| | — |
| | 62.5 |
| CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | — |
| | $ | 119.7 |
| | $ | 34.2 |
| | $ | — |
| | $ | 153.9 |
|
TEMPUR SEALY INTERNATIONAL, INC. Supplemental Consolidated Statements of Cash Flows Year Ended December 31, 2014 (in millions) | | | | | | | | | | | | | | | | | | | | | | Tempur Sealy International, Inc. (Ultimate Parent) | | Combined Guarantor Subsidiaries | | Combined Non-Guarantor Subsidiaries | | Eliminations | | Consolidated | Net cash (used in) provided by operating activities | $ | (62.7 | ) | | $ | 191.5 |
| | $ | 96.4 |
| | $ | — |
| | $ | 225.2 |
| | | | | | | | | | | CASH FLOWS FROM INVESTING ACTIVITIES: | | | | | | | | | | Acquisition of business, net of cash acquired | — |
| | — |
| | (8.5 | ) | | — |
| | (8.5 | ) | Proceeds from disposition of business | — |
| | 43.5 |
| | — |
| | — |
| | 43.5 |
| Purchases of property, plant and equipment | — |
| | (31.3 | ) | | (16.2 | ) | | — |
| | (47.5 | ) | Other | — |
| | 3.0 |
| | (0.9 | ) | | — |
| | 2.1 |
| Net cash provided by (used in) investing activities | — |
| | 15.2 |
| | (25.6 | ) | | — |
| | (10.4 | ) | | | | | | | | | | | CASH FLOWS FROM FINANCING ACTIVITIES: | | | | | | | | | | Proceeds from borrowings under long-term debt obligations | — |
| | 271.5 |
| | — |
| | — |
| | 271.5 |
| Repayments of borrowings under long-term debt obligations | — |
| | (510.9 | ) | | — |
| | — |
| | (510.9 | ) | Net activity in investment in and advances from (to) subsidiaries and affiliates | 59.3 |
| | 32.1 |
| | (91.4 | ) | | — |
| | — |
| Proceeds from exercise of stock options | 4.3 |
| | — |
| | — |
| | — |
| | 4.3 |
| Excess tax benefit from stock-based compensation | 1.7 |
| | — |
| | — |
| | — |
| | 1.7 |
| Treasury stock repurchased | (2.2 | ) | | — |
| | — |
| | — |
| | (2.2 | ) | Payment of deferred financing costs | — |
| | (3.1 | ) | | — |
| | — |
| | (3.1 | ) | Other | — |
| | (1.7 | ) | | 2.3 |
| | — |
| | 0.6 |
| Net cash provided by (used in) financing activities | 63.1 |
| | (212.1 | ) | | (89.1 | ) | | — |
| | (238.1 | ) | | | | | | | | | | | NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | — |
| | — |
| | 4.8 |
| | — |
| | 4.8 |
| Increase (decrease) in cash and cash equivalents | 0.4 |
| | (5.4 | ) | | (13.5 | ) | | — |
| | (18.5 | ) | CASH AND CASH EQUIVALENTS, BEGININNG OF PERIOD | — |
| | 28.8 |
| | 52.2 |
| | — |
| | 81.0 |
| CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | 0.4 |
| | $ | 23.4 |
| | $ | 38.7 |
| | $ | — |
| | $ | 62.5 |
|
|