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Subsidiary Guarantors
6 Months Ended
Jun. 29, 2013
Condensed Financial Statements, Captions [Line Items]  
Subsidiary Guarantors
Subsidiary Guarantors
The Company’s payment obligations under its 9.125% notes are fully and unconditionally guaranteed, jointly and severally, on a senior basis, by its domestic 100% owned subsidiaries, Gentek Holdings, LLC and Gentek Building Products, Inc. AMH New Finance, Inc. is a co-issuer of the 9.125% notes and is a domestic 100% owned subsidiary of the Company having no operations, revenues or cash flows for the periods presented.
Associated Materials Canada Limited, Gentek Canada Holdings Limited and Gentek Buildings Products Limited Partnership are Canadian companies and do not guarantee the 9.125% notes. In the opinion of management, separate financial statements of the respective Subsidiary Guarantors would not provide additional material information that would be useful in assessing the financial composition of the Subsidiary Guarantors.
ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING BALANCE SHEET
June 29, 2013
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Reclassification/
Eliminations
 
Consolidated
Assets
 
 
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
9,278

 
$

 
$

 
$
3,824

 
$

 
$
13,102

Accounts receivable, net
110,803

 

 
13,607

 
32,233

 

 
156,643

Intercompany receivables
380,259

 

 
53,635

 
1,794

 
(435,688
)
 

Inventories
118,365

 

 
10,878

 
39,256

 

 
168,499

Income taxes receivable

 

 
29

 
1,763

 

 
1,792

Deferred income taxes
5,317

 

 
3,417

 

 

 
8,734

Prepaid expenses and other current assets
8,103

 

 
860

 
3,489

 

 
12,452

Total current assets
632,125

 

 
82,426

 
82,359

 
(435,688
)
 
361,222

Property, plant and equipment, net
64,655

 

 
1,730

 
35,712

 

 
102,097

Goodwill
300,642

 

 
24,650

 
149,134

 

 
474,426

Other intangible assets, net
389,748

 

 
44,879

 
144,078

 

 
578,705

Investment in subsidiaries
(48,645
)
 

 
(140,116
)
 

 
188,761

 

Intercompany receivable

 
835,809

 

 

 
(835,809
)
 

Other assets
22,806

 

 
88

 
2,082

 

 
24,976

Total assets
$
1,361,331

 
$
835,809

 
$
13,657

 
$
413,365

 
$
(1,082,736
)
 
$
1,541,426

Liabilities and Member’s Equity
 
 
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
 
 
Accounts payable
$
91,677

 
$

 
$
12,188

 
$
34,594

 
$

 
$
138,459

Intercompany payables
1,794

 

 

 
433,894

 
(435,688
)
 

Accrued liabilities
59,877

 

 
8,349

 
8,983

 

 
77,209

Deferred income taxes
1,415

 

 

 
3,289

 

 
4,704

Income taxes payable
1,434

 

 

 
1,140

 

 
2,574

Total current liabilities
156,197

 

 
20,537

 
481,900

 
(435,688
)
 
222,946

Deferred income taxes
76,969

 

 
17,633

 
34,362

 

 
128,964

Other liabilities
89,933

 

 
24,132

 
32,465

 

 
146,530

Long-term debt
855,809

 
835,809

 

 
4,754

 
(835,809
)
 
860,563

Member’s equity
182,423

 

 
(48,645
)
 
(140,116
)
 
188,761

 
182,423

Total liabilities and member’s equity
$
1,361,331

 
$
835,809

 
$
13,657

 
$
413,365

 
$
(1,082,736
)
 
$
1,541,426



ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS
For The Quarter Ended June 29, 2013
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Reclassification/
Eliminations
 
Consolidated
Net sales
$
248,981

 
$

 
$
49,065

 
$
78,405

 
$
(51,876
)
 
$
324,575

Cost of sales
188,018

 

 
45,957

 
60,281

 
(51,876
)
 
242,380

Gross profit
60,963

 

 
3,108

 
18,124

 

 
82,195

Selling, general and administrative expenses
49,868

 

 
1,369

 
11,566

 

 
62,803

Income from operations
11,095

 

 
1,739

 
6,558

 

 
19,392

Interest expense, net
19,741

 

 

 
650

 

 
20,391

Foreign currency loss

 

 

 
178

 

 
178

(Loss) income before income taxes
(8,646
)
 

 
1,739

 
5,730

 

 
(1,177
)
Income tax expense (benefit)
469

 

 
(42
)
 
1,535

 

 
1,962

(Loss) income before equity income (loss) from subsidiaries
(9,115
)
 

 
1,781

 
4,195

 

 
(3,139
)
Equity income (loss) from subsidiaries
5,976

 

 
4,195

 

 
(10,171
)
 

Net (loss) income
(3,139
)
 

 
5,976

 
4,195

 
(10,171
)
 
(3,139
)
Other comprehensive income (loss):
 
 
 
 
 
 
 
 
 
 
 
Pension and other postretirement benefit adjustments, net of tax
152

 

 
108

 
100

 
(208
)
 
152

Foreign currency translation adjustments, net of tax
(9,729
)
 

 
(9,729
)
 
(9,729
)
 
19,458

 
(9,729
)
Total comprehensive (loss) income
$
(12,716
)
 
$

 
$
(3,645
)
 
$
(5,434
)
 
$
9,079

 
$
(12,716
)

ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS
For The Six Months Ended June 29, 2013
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Reclassification/
Eliminations
 
Consolidated
Net sales
$
410,744

 
$

 
$
84,895

 
$
124,605

 
$
(86,685
)
 
$
533,559

Cost of sales
316,319

 

 
79,284

 
97,692

 
(86,685
)
 
406,610

Gross profit
94,425

 

 
5,611

 
26,913

 

 
126,949

Selling, general and administrative expenses
94,272

 

 
2,804

 
22,562

 

 
119,638

Income from operations
153

 

 
2,807

 
4,351

 

 
7,311

Interest expense, net
38,194

 

 

 
1,038

 

 
39,232

Foreign currency loss

 

 

 
431

 

 
431

(Loss) income before income taxes
(38,041
)
 

 
2,807

 
2,882

 

 
(32,352
)
Income tax expense (benefit)
1,415

 

 
(76
)
 
792

 

 
2,131

(Loss) income before equity income (loss) from subsidiaries
(39,456
)
 

 
2,883

 
2,090

 

 
(34,483
)
Equity income (loss) from subsidiaries
4,973

 

 
2,090

 

 
(7,063
)
 

Net (loss) income
(34,483
)
 

 
4,973

 
2,090

 
(7,063
)
 
(34,483
)
Other comprehensive income (loss):
 
 
 
 
 
 
 
 
 
 
 
Pension and other postretirement benefit adjustments, net of tax
305

 

 
218

 
202

 
(420
)
 
305

Foreign currency translation adjustments, net of tax
(15,272
)
 

 
(15,272
)
 
(15,272
)
 
30,544

 
(15,272
)
Total comprehensive (loss) income
$
(49,450
)
 
$

 
$
(10,081
)
 
$
(12,980
)
 
$
23,061

 
$
(49,450
)


ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
For the Six Months Ended June 29, 2013
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Consolidated
Net cash used in operating activities
$
(37,182
)
 
$

 
$
(2,452
)
 
$
(330
)
 
$
(39,964
)
Investing Activities
 
 
 
 
 
 
 
 
 
Capital expenditures
(4,149
)
 

 
(10
)
 
(308
)
 
(4,467
)
Supply center acquisition
(348
)
 

 

 

 
(348
)
Proceeds from the sale of assets
47

 

 

 

 
47

Net cash used in investing activities
(4,450
)
 

 
(10
)
 
(308
)
 
(4,768
)
Financing Activities
 
 
 
 
 
 
 
 
 
Borrowings under ABL facilities
69,891

 

 

 
31,053

 
100,944

Payments under ABL facilities
(119,391
)
 

 

 
(34,767
)
 
(154,158
)
Intercompany transactions
(9,023
)
 

 
2,462

 
6,561

 

Equity contribution from parent
742

 

 

 

 
742

Issuance of senior notes
106,000

 

 

 

 
106,000

Financing costs
(4,629
)
 

 

 
(475
)
 
(5,104
)
Net cash provided by financing activities
43,590

 

 
2,462

 
2,372

 
48,424

Effect of exchange rate changes on cash and cash equivalents

 

 

 
(184
)
 
(184
)
Net increase in cash and cash equivalents
1,958

 

 

 
1,550

 
3,508

Cash and cash equivalents at beginning of period
7,320

 

 

 
2,274

 
9,594

Cash and cash equivalents at end of period
$
9,278

 
$

 
$

 
$
3,824

 
$
13,102

 
ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING BALANCE SHEET
December 29, 2012
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Reclassification/
Eliminations
 
Consolidated
Assets
 
 
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
7,320

 
$

 
$

 
$
2,274

 
$

 
$
9,594

Accounts receivable, net
91,556

 

 
9,179

 
20,652

 

 
121,387

Intercompany receivables
371,236

 

 
56,097

 
1,794

 
(429,127
)
 

Inventories
83,523

 

 
7,359

 
27,083

 

 
117,965

Income taxes receivable

 

 

 
2,690

 

 
2,690

Deferred income taxes
5,317

 

 
3,417

 

 

 
8,734

Prepaid expenses and other current assets
5,025

 

 
784

 
2,962

 

 
8,771

Total current assets
563,977

 

 
76,836

 
57,455

 
(429,127
)
 
269,141

Property, plant and equipment, net
67,236

 

 
1,947

 
39,269

 

 
108,452

Goodwill
300,641

 

 
24,650

 
157,322

 

 
482,613

Other intangible assets, net
399,650

 

 
45,104

 
154,890

 

 
599,644

Investment in subsidiaries
(38,564
)
 

 
(127,136
)
 

 
165,700

 

Intercompany receivable

 
730,000

 

 

 
(730,000
)
 

Other assets
20,207

 

 
171

 
2,056

 

 
22,434

Total assets
$
1,313,147

 
$
730,000

 
$
21,572

 
$
410,992

 
$
(993,427
)
 
$
1,482,284

Liabilities and Member’s Equity
 
 
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
 
 
Accounts payable
$
54,003

 
$

 
$
4,826

 
$
15,482

 
$

 
$
74,311

Intercompany payables
1,794

 

 

 
427,333

 
(429,127
)
 

Accrued liabilities
55,599

 

 
10,173

 
9,525

 

 
75,297

Deferred income taxes

 

 

 
3,469

 

 
3,469

Income taxes payable
1,495

 

 
3,053

 
1,149

 

 
5,697

Total current liabilities
112,891

 

 
18,052

 
456,958

 
(429,127
)
 
158,774

Deferred income taxes
76,968

 

 
17,633

 
36,176

 

 
130,777

Other liabilities
92,733

 

 
24,451

 
36,289

 

 
153,473

Long-term debt
799,500

 
730,000

 

 
8,705

 
(730,000
)
 
808,205

Member’s equity
231,055

 

 
(38,564
)
 
(127,136
)
 
165,700

 
231,055

Total liabilities and member’s equity
$
1,313,147

 
$
730,000

 
$
21,572

 
$
410,992

 
$
(993,427
)
 
$
1,482,284



ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS
For The Quarter Ended June 30, 2012
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Reclassification/
Eliminations
 
Consolidated
Net sales
$
235,619

 
$

 
$
48,412

 
$
81,971

 
$
(51,611
)
 
$
314,391

Cost of sales
176,115

 

 
45,164

 
64,017

 
(51,611
)
 
233,685

Gross profit
59,504

 

 
3,248

 
17,954

 

 
80,706

Selling, general and administrative expenses
47,605

 

 
1,294

 
10,643

 

 
59,542

Income from operations
11,899

 

 
1,954

 
7,311

 

 
21,164

Interest expense, net
18,399

 

 

 
526

 

 
18,925

Foreign currency loss

 

 

 
199

 

 
199

(Loss) income before income taxes
(6,500
)
 

 
1,954

 
6,586

 

 
2,040

Income tax expense (benefit)
41

 

 
(88
)
 
1,714

 

 
1,667

(Loss) income before equity income (loss) from subsidiaries
(6,541
)
 

 
2,042

 
4,872

 

 
373

Equity income (loss) from subsidiaries
6,914

 

 
4,872

 

 
(11,786
)
 

Net income (loss)
373

 

 
6,914

 
4,872

 
(11,786
)
 
373

Other comprehensive income (loss):
 
 
 
 
 
 
 
 
 
 
 
Pension and other postretirement benefit adjustments, net of tax
24

 

 
24

 
24

 
(48
)
 
24

Foreign currency translation adjustments, net of tax
(6,513
)
 

 
(6,513
)
 
(6,513
)
 
13,026

 
(6,513
)
Total comprehensive (loss) income
$
(6,116
)
 
$

 
$
425

 
$
(1,617
)
 
$
1,192

 
$
(6,116
)

ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS
For The Six Months Ended June 30, 2012
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Reclassification/
Eliminations
 
Consolidated
Net sales
$
395,479

 
$

 
$
85,733

 
$
134,495

 
$
(88,362
)
 
$
527,345

Cost of sales
304,158

 

 
81,476

 
108,273

 
(88,362
)
 
405,545

Gross profit
91,321

 

 
4,257

 
26,222

 

 
121,800

Selling, general and administrative expenses
94,768

 

 
3,179

 
21,065

 

 
119,012

(Loss) income from operations
(3,447
)
 

 
1,078

 
5,157

 

 
2,788

Interest expense, net
36,777

 

 

 
835

 

 
37,612

Foreign currency loss

 

 

 
237

 

 
237

(Loss) income before income taxes
(40,224
)
 

 
1,078

 
4,085

 

 
(35,061
)
Income tax expense (benefit)
1,406

 

 
(36
)
 
1,066

 

 
2,436

(Loss) income before equity income (loss) from subsidiaries
(41,630
)
 

 
1,114

 
3,019

 

 
(37,497
)
Equity income (loss) from subsidiaries
4,133

 

 
3,019

 

 
(7,152
)
 

Net (loss) income
(37,497
)
 

 
4,133

 
3,019

 
(7,152
)
 
(37,497
)
Other comprehensive income (loss):
 
 
 
 
 
 
 
 
 
 
 
Pension and other postretirement benefit adjustments, net of tax
24

 

 
24

 
24

 
(48
)
 
24

Foreign currency translation adjustments, net of tax
1,441

 

 
1,441

 
1,441

 
(2,882
)
 
1,441

Total comprehensive (loss) income
$
(36,032
)
 
$

 
$
5,598

 
$
4,484

 
$
(10,082
)
 
$
(36,032
)


ASSOCIATED MATERIALS, LLC AND SUBSIDIARIES
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
For The Six Months Ended June 30, 2012
(Unaudited, in thousands)
 
Company
 
Co-Issuer
 
Subsidiary
Guarantors
 
Non-Guarantor
Subsidiaries
 
Consolidated
Net cash (used in) provided by operating activities
$
(41,943
)
 
$

 
$
10,991

 
$
(4,270
)
 
$
(35,222
)
Investing Activities
 
 
 
 
 
 
 
 
 
Capital expenditures
(1,498
)
 

 
(67
)
 
(242
)
 
(1,807
)
Proceeds from the sale of assets
7

 

 

 

 
7

Net cash used in investing activities
(1,491
)
 

 
(67
)
 
(242
)
 
(1,800
)
Financing Activities
 
 
 
 
 
 
 
 
 
Borrowings under ABL facilities
59,945

 

 

 
57,356

 
117,301

Payments under ABL facilities
(49,501
)
 

 

 
(35,685
)
 
(85,186
)
Intercompany transactions
31,178

 

 
(10,924
)
 
(20,254
)
 

Equity contribution from parent
80

 

 

 

 
80

Financing costs
(100
)
 

 

 
(11
)
 
(111
)
Net cash provided by (used in) financing activities
41,602

 

 
(10,924
)
 
1,406

 
32,084

Effect of exchange rate changes on cash and cash equivalents

 

 

 
(37
)
 
(37
)
Net decrease in cash and cash equivalents
(1,832
)
 

 

 
(3,143
)
 
(4,975
)
Cash and cash equivalents at beginning of period
7,855

 

 

 
3,519

 
11,374

Cash and cash equivalents at end of period
$
6,023

 
$

 
$

 
$
376

 
$
6,399