Note 18—Guarantor and Non-guarantor Financial Statements

Our senior secured notes are, jointly and severally, fully and unconditionally guaranteed, on a senior basis, by all of our existing and future 100% owned domestic subsidiaries ("Guarantor Subsidiaries"). The non-guarantor subsidiaries are our foreign subsidiaries and discontinued operations. The following condensed financial information illustrates the composition of the combined Guarantor Subsidiaries:

CONDENSED CONSOLIDATED BALANCE SHEETS

	December 31, 2014
(In thousands)	Parent		Guarantor Subsidiaries			Non-guarantor Subsidiaries		Eliminations			Total
ASSETS
Cash and cash equivalents	$	22,710	$	—		$	7,063	$	—		$	29,773
Accounts and other receivables, net		35,630		20,994			6,543		403			63,570
Intercompany receivable		191,272		5,086			53,055		(249,413	)		—
Inventories		18,693		21,352			3,423		(403	)		43,065
Other current assets		4,970		3,386			5,116		—			13,472
Total current assets		273,275		50,818			75,200		(249,413	)		149,880
Property, plant, and equipment, net		78,603		101,648			31,932		—			212,183
Goodwill		96,283		4,414			—		—			100,697
Intangible assets, net		115,465		2,498			—		—			117,963
Investments in and advances to subsidiaries and affiliates		128,372		—			—		(128,372	)		—
Other non-current assets		3,118		3,774			10,807		—			17,699
TOTAL	$	695,116	$	163,152		$	117,939	$	(377,785	)	$	598,422
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	$	15,209	$	31,931		$	9,312	$	—		$	56,452
Intercompany payable		249,407		—			6		(249,413	)		—
Accrued payroll and compensation		4,002		5,458			1,160		—			10,620
Accrued interest payable		12,428		—			—		—			12,428
Accrued and other liabilities		4,183		10,060			3,328		—			17,571
Total current liabilities		285,229		47,449			13,806		(249,413	)		97,071
Long term debt		323,234		—			—		—			323,234
Deferred and non-current income taxes		41,775		(20,736	)		332		—			21,371
Other non-current liabilities		14,075		93,245			18,623		—			125,943
Stockholders' equity		30,803		43,194			85,178		(128,372	)		30,803
TOTAL	$	695,116	$	163,152		$	117,939	$	(377,785	)	$	598,422

	December 31, 2013
(In thousands)	Parent		Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
ASSETS
Cash and cash equivalents	$	31,018	$	—		$	2,408			—		$	33,426
Accounts and other receivables, net		31,871		19,955			7,694			—			59,520
Intercompany Receivable		—		164,940			79,722			(244,662	)		—
Inventories		16,858		20,759			2,022			(310	)		39,329
Other current assets		7,159		4,357			5,477			—			16,993
Total current assets		86,906		210,011			97,323			(244,972	)		149,268
Property, plant, and equipment, net		80,286		103,800			35,538			—			219,624
Goodwill		96,283		4,414			—			—			100,697
Intangible assets, net		122,764		2,666			—			—			125,430
Investments in and advances to subsidiaries and affiliates		128,059		—			—			(128,059	)		—
Other non-current assets		5,971		1,791			8,996			—			16,758
TOTAL	$	520,269	$	322,682		$	141,857		$	(373,031	)	$	611,777
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	$	12,092	$	28,215		$	7,220			—		$	47,527
Intercompany payable		42,428		175,666			26,878			(244,972	)		—
Accrued payroll and compensation		1,604		5,776			1,383			—			8,763
Accrued interest payable		12,535		—			—			—			12,535
Accrued and other liabilities		4,225		11,979			4,970			—			21,174
Total current liabilities		72,884		221,636			40,451			(244,972	)		89,999
Long term debt		330,183		—			—			—			330,183
Deferred and non-current income taxes		36,970		(19,108	)		(334	)		—			17,528
Other non-current liabilities		18,348		75,769			18,066			—			112,183
Stockholders' equity		61,884		44,385			83,674			(128,059	)		61,884
TOTAL	$	520,269	$	322,682		$	141,857		$	(373,031	)	$	611,777

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

	Year Ended December 31, 2014
(In thousands)	Parent			Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
Net sales	$	473,264		$	313,242		$	131,269		$	(212,597	)	$	705,178
Cost of goods sold		426,969			293,644			121,939			(210,852	)		631,700
Gross profit		46,295			19,598			9,330			(1,745	)		73,478
Operating expenses		39,428			1,228			184			—			40,840
Income (loss) from operations		6,867			18,370			9,146			(1,745	)		32,638
Other income (expense):
Interest expense, net		(34,777	)		(226	)		1,290			—			(33,713	)
Equity in earnings of subsidiaries		23,581			—			—			(23,581	)		—
Other income (expense), net		(2,571	)		453			(1,388	)		—			(3,506	)
Income (loss) before income taxes from continuing operations		(6,900	)		18,597			9,048			(25,326	)		(4,581	)
Income tax provision (benefit)		(4,593	)		1,068			998			—			(2,527	)
Income (loss) from continuing operations		(2,307	)		17,529			8,050			(25,326	)		(2,054	)
Discontinued operations, net of tax		—			—			(253	)		—			(253	)
Net income (loss)	$	(2,307	)	$	17,529		$	7,797		$	(25,326	)	$	(2,307	)

Comprehensive income (loss)	$	(33,233	)	$	(19,022	)	$	(2,521	)	$	21,543		$	(33,233	)

	Year Ended December 31, 2013
(In thousands)	Parent			Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
Net sales	$	429,175		$	288,220		$	132,776		$	(207,288	)	$	642,883
Cost of goods sold		403,996			277,955			123,535			(206,559	)		598,927
Gross profit		25,179			10,265			9,241			(729	)		43,956
Operating expenses		43,118			1,747			323			—			45,188
Income (loss) from operations		(17,939	)		8,518			8,918			(729	)		(1,232	)
Other income (expense):
Interest expense, net		(35,664	)		(800	)		1,437			—			(35,027	)
Equity in earnings of subsidiaries		11,786			—			—			(11,786	)		—
Other income (expense), net		(259	)		222			(283	)		—			(320	)
Income (loss) before income taxes from continuing operations		(42,076	)		7,940			10,072			(12,515	)		(36,579	)
Income tax provision (benefit)		(3,763	)		(8,438	)		1,957			—			(10,244	)
Income (loss) from continuing operations		(38,313	)		16,378			8,115			(12,515	)		(26,335	)
Discontinued operations, net of tax		—			—			(11,978	)		—			(11,978	)
Net income (loss)	$	(38,313	)	$	16,378		$	(3,863	)	$	(12,515	)	$	(38,313	)

Comprehensive income (loss)	$	(5,191	)	$	32,012		$	10,044		$	(42,056	)	$	(5,191	)

	Year Ended December 31, 2012
(In thousands)	Parent			Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
Net sales	$	438,350		$	398,662		$	146,620		$	(188,998	)	$	794,634
Cost of goods sold		420,062			371,192			141,377			(188,998	)		743,633
Gross profit		18,288			27,470			5,243			—			51,001
Operating expenses		16,384			173,557			290			—			190,231
Income (loss) from operations		1,904			(146,087	)		4,953			—			(139,230	)
Other income expense:
Interest expense, net		(34,672	)		(239	)		(27	)		—			(34,938	)
Equity in earnings of subsidiaries		(147,264	)		—			—			147,264			—
Other income (expense), net		1,167			243			(2,274	)		—			(864	)
Income (loss) before income taxes from continuing operations		(178,865	)		(146,083	)		2,652			147,264			(175,032	)
Income tax provision (benefit)		(858	)		—			(799	)		—			(1,657	)
Income (loss) from continuing operations		(178,007	)		(146,083	)		3,451			147,264			(173,375	)
Discontinued operations, net of tax		—			—			(4,632	)		—			(4,632	)
Net income (loss)	$	(178,007	)	$	(146,083	)	$	(1,181	)	$	147,264		$	(178,007	)

Comprehensive income (loss)	$	(195,419	)	$	(153,548	)	$	(8,663	)	$	162,211		$	(195,419	)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

	Year Ended December 31, 2014
(In thousands)	Parent Company			Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(2,307	)	$	17,529		$	7,797		$	(25,326	)	$	(2,307	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation		11,261			18,301			4,173			—			33,735
Amortization – deferred financing costs		2,479			—			—			—			2,479
Amortization – other intangible assets		7,970			168			—			—			8,138
(Gain) loss on disposal of assets		593			(228	)		27			—			392
Deferred income taxes		(3,097	)		925			(139	)		—			(2,311	)
Non-cash stock-based compensation		2,456			—			—			—			2,456
Equity in earnings of subsidiaries and affiliates		(24,923	)		—			—			24,923			—
Change in other operating items		57,454			(62,615	)		(5,309	)		403			(10,067	)
Net cash provided by (used in) operating activities		51,886			(25,920	)		6,549			—			32,515

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant, and equipment		(10,151	)		(14,813	)		(681	)		—			(25,645	)
Proceeds from notes receivable		(628	)		(200,078	)		(39,249	)		239,955			—
Payment on notes receivable		(19,031	)		162,777			38,036			(181,782	)		—
Other		(671	)		1,305			—			—			634
Net cash provided by (used in) investing activities		(30,481	)		(50,809	)		(1,894	)		58,173			(25,011	)

CASH FLOWS FROM FINANCING ACTIVITIES:
Payment on notes payable		(147,455	)		(52,327	)		—			181,782			(18,000	)
Proceeds from notes payable		117,742			132,213			—			(239,955	)		10,000
Other		—			(3,157	)		—			—			(3,157	)
Net cash provided by (used in) financing activities		(29,713	)		76,729			—			(58,173	)		(11,157	)

Net increase (decrease) in cash and cash equivalents		(8,308	)		—			4,655			—			(3,653	)
Cash and cash equivalents, beginning of period		31,018			—			2,408			—			33,426
Cash and cash equivalents, end of period	$	22,710		$	—		$	7,063		$	—		$	29,773

	Year Ended December 31, 2013
(In thousands)	Parent Company			Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(38,313	)	$	16,378		$	(3,863	)	$	(12,515	)	$	(38,313	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and impairment		10,503			19,584			5,492			—			35,579
Amortization – deferred financing costs		2,684			—			—			—			2,684
Amortization – other intangible assets		8,583			167			—			—			8,750
(Gain) loss on disposal of assets		761			176			11,150			—			12,087
Deferred income taxes		(3,910	)		(8,438	)		(687	)		—			(13,035	)
Non-cash stock-based compensation		2,411			—			—			—			2,411
Equity in earnings of subsidiaries and affiliates		(12,205	)		—			—			12,205			—
Change in other operating items		77,131			(50,391	)		(39,139	)		310			(12,089	)
Net cash provided by (used in) operating activities		47,645			(22,524	)		(27,047	)		—			(1,926	)

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant, and equipment		(15,283	)		(19,573	)		(3,999	)		—			(38,855	)
Proceeds from notes receivable		(73,047	)		(185,927	)		(39,204	)		298,178			—
Payment on notes receivable		29,207			187,368			37,991			(254,566	)		—
Other		14,944			—			32,000			—			46,944
Net cash provided by (used in) investing activities		(44,179	)		(18,132	)		26,788			43,612			8,089

CASH FLOWS FROM FINANCING ACTIVITIES:
Payment on notes payable		(245,359	)		(29,207	)		—			254,566			(20,000	)
Proceeds from notes payable		250,131			73,047			—			(298,178	)		25,000
Other		(1,333	)		(3,155	)		—			—			(4,488	)
Net cash provided by (used in)financing activities		3,439			40,685			—			(43,612	)		512

Net increase (decrease) in cash and cash equivalents		6,905			29			(259	)		—			6,675
Cash and cash equivalents, beginning of period		24,113			(29	)		2,667			—			26,751
Cash and cash equivalents, end of period	$	31,018		$	—		$	2,408		$	—		$	33,426

	Year Ended December 31, 2012
(In thousands)	Parent Company			Guarantor Subsidiaries			Non-guarantor Subsidiaries			Eliminations			Total
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(178,007	)	$	(146,083	)	$	(1,181	)	$	147,264		$	(178,007	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation		10,493			159,067			12,306			—			181,866
Amortization – deferred financing costs		2,759			—			—			—			2,759
Amortization – other intangible assets		8,616			2,365			—			—			10,981
Loss on disposal of assets		(1,950	)		2,718			107			—			875
Deferred income taxes		(1,571	)		—			(2,232	)		—			(3,803	)
Non-cash stock-based compensation		3,119			—			—			—			3,119
Equity in earnings of subsidiaries and affiliates		147,264			—			—			(147,264	)		—
Change in other operating items		35,877			(19,495	)		(5,444	)		—			10,938
Net cash provided by (used in) operating activities		26,600			(1,428	)		3,556			—			28,728

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant, and equipment		(25,152	)		(24,200	)		(9,842	)		—			(59,194	)
Other		(37,823	)		28,844			9,979			—			1,000
Net cash provided by (used in) investing activities		(62,975	)		4,644			137			—			(58,194	)

CASH FLOWS FROM FINANCING ACTIVITIES:
Increase in revolving credit advance		8,910			—			(8,910	)		—			—
Other		—			(698	)		—			—			(698	)
Net cash provided by (used in) financing activities		8,910			(698	)		(8,910	)		—			(698	)

Net increase (decrease) in cash and cash equivalents		(27,465	)		2,518			(5,217	)		—			(30,164	)
Cash and cash equivalents, beginning of period		51,578			(2,547	)		7,884			—			56,915
Cash and cash equivalents, end of period	$	24,113		$	(29	)	$	2,667		$	—		$	26,751