Note 14 – Guarantor Subsidiaries

The 2017 Notes and 2018 Notes issued by our wholly-owned subsidiary, Cott Beverages, Inc., are unconditionally guaranteed on a senior basis pursuant to guarantees by Cott Corporation and certain other wholly-owned subsidiaries (the “Guarantor Subsidiaries”). The guarantees of the Guarantor Subsidiaries are subject to release in limited circumstances only upon the occurrence of certain customary conditions.

We have not presented separate financial statements and separate disclosures have not been provided concerning subsidiary guarantors because management has determined such information is not material to the holders of the above-mentioned notes.

The following supplemental financial information sets forth on an unconsolidated basis, our Balance Sheets, Statements of Operations and Cash Flows for Cott Corporation, Cott Beverages Inc., Guarantor Subsidiaries and our other subsidiaries (the “Non-guarantor Subsidiaries”). The supplemental financial information reflects our investments and those of Cott Beverages Inc. in their respective subsidiaries using the equity method of accounting.

In the third quarter of 2012, Cott revised the financial statements of certain Non-guarantor Subsidiaries to properly reflect their capitalization and subsequent investment in certain Guarantor Subsidiaries resulting from a reorganization completed in connection with the Cliffstar Acquisition. These Non-guarantor Subsidiaries, which have no business operations and no operating assets, hold, directly or indirectly, the Company's investments in substantially all of the Guarantor Subsidiaries and therefore may be viewed for purposes of the below disclosure as in substance Guarantor Subsidiaries, themselves. Cott has therefore included these Non-guarantor Subsidiaries as Guarantor Subsidiaries in the supplemental financial information below and has revised the Consolidated Balance Sheet as of September 29, 2012 and December 31, 2011. While this revision does not change the assets available to satisfy the guarantee made by the Guarantor Subsidiaries, the inclusion of these Non-guarantor Subsidiaries in the Guarantor Subsidiay column for purpose of the below disclosure results in the December 31, 2011 investment in subsidiaries and equity accounts for Non-guarantor Subsidiaries being reduced by $225.3 million. There was no change to the Consolidated Balance Sheets nor any changes to the Consolidating Statements of Operations and Cash Flows for the periods presented.

Condensed Consolidating Statements of Operations

(in millions of U.S. dollars)

Unaudited


	For the Three Months Ended September 29, 2012
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Revenue, net	$	52.6		$	220.2		$	271.6		$	46.9		$	(7.5	)	$	583.8
Cost of sales		42.1			187.2			246.7			42.1			(7.5	)		510.6


Gross profit		10.5			33.0			24.9			4.8			—			73.2
Selling, general and administrative expenses		8.1			18.3			15.1			2.3			—			43.8
Loss on disposal of property, plant & equipment		—			0.2			0.1			0.5			—			0.8


Operating income		2.4			14.5			9.7			2.0			—			28.6

Other (income) expense, net		(0.4	)		(1.1	)		0.1			(0.1	)		—			(1.5	)
Intercompany interest (income) expense, net		—			(3.5	)		3.5			—			—			—
Interest expense, net		—			12.8			0.2			0.1			—			13.1


Income before income tax expense (benefit) and equity income		2.8			6.3			5.9			2.0			—			17.0

Income tax expense (benefit)		0.9			1.2			(1.0	)		0.1			—			1.2
Equity income		12.6			1.5			6.5			—			(20.6	)		—


Net income	$	14.5		$	6.6		$	13.4		$	1.9		$	(20.6	)	$	15.8

Less: Net income attributable to non-controlling interests		—			—			—			1.3			—			1.3


Net income attributed to Cott Corporation	$	14.5		$	6.6		$	13.4		$	0.6		$	(20.6	)	$	14.5

Comprehensive income attributed to Cott Corporation	$	27.2		$	26.8		$	24.0		$	9.6		$	(60.4	)	$	27.2

Condensed Consolidating Statements of Operations

(in millions of U.S. dollars)

Unaudited


	For the Nine Months Ended September 29, 2012
	Cott Corporation		Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Revenue, net	$	157.6	$	669.9		$	799.1		$	131.5		$	(24.7	)	$	1,733.4
Cost of sales		126.7		564.4			719.4			118.7			(24.7	)		1,504.5


Gross profit		30.9		105.5			79.7			12.8			—			228.9
Selling, general and administrative expenses		23.4		58.0			45.1			7.9			—			134.4
Loss on disposal of property, plant & equipment		—		0.6			0.6			0.5			—			1.7


Operating income		7.5		46.9			34.0			4.4			—			92.8

Other expense (income), net		0.1		(1.0	)		(0.8	)		(0.5	)		—			(2.2	)
Intercompany interest (income) expense, net		—		(8.2	)		8.2			—			—			—
Interest expense, net		0.2		39.8			0.5			0.1			—			40.6


Income before income tax expense (benefit) and equity income		7.2		16.3			26.1			4.8			—			54.4

Income tax expense (benefit)		4.1		1.8			(0.4	)		—			—			5.5
Equity income		42.4		3.8			18.3			—			(64.5	)		—


Net income	$	45.5	$	18.3		$	44.8		$	4.8		$	(64.5	)	$	48.9

Less: Net income attributable to non-controlling interests		—		—			—			3.4			—			3.4


Net income attributed to Cott Corporation	$	45.5	$	18.3		$	44.8		$	1.4		$	(64.5	)	$	45.5

Comprehensive income (loss) attributed to Cott Corporation	$	58.8	$	44.2		$	(38.0	)	$	55.2		$	(61.4	)	$	58.8

Condensed Consolidating Statements of Operations

(in millions of U.S. dollars)

Unaudited


	For the Three Months Ended October 1, 2011
	Cott Corporation		Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Revenue, net	$	55.7	$	241.7		$	277.7		$	45.5		$	(9.3	)	$	611.3
Cost of sales		43.9		217.0			251.3			40.8			(9.3	)		543.7


Gross profit		11.8		24.7			26.4			4.7			—			67.6
Selling, general and administrative expenses		7.0		15.3			12.7			3.1			—			38.1
Loss on disposal of property, plant & equipment		—		0.4			0.1			—			—			0.5


Operating income		4.8		9.0			13.6			1.6			—			29.0

Other expense (income), net		1.2		(1.0	)		0.5			0.6			—			1.3
Intercompany interest (income) expense, net		—		(2.1	)		2.1			—			—			—
Interest expense, net		0.1		13.7			0.5			0.1			—			14.4


Income (loss) before income tax expense (benefit) and equity income		3.5		(1.6	)		10.5			0.9			—			13.3

Income tax expense (benefit)		1.0		(2.2	)		(2.8	)		—			—			(4.0	)
Equity income		13.7		1.2			1.9			—			(16.8	)		—


Net income	$	16.2	$	1.8		$	15.2		$	0.9		$	(16.8	)	$	17.3

Less: Net income attributable to non-controlling interests		—		—			—			1.1			—			1.1


Net income (loss) attributed to Cott Corporation	$	16.2	$	1.8		$	15.2		$	(0.2	)	$	(16.8	)	$	16.2

Comprehensive income (loss) attributed to Cott Corporation	$	1.1	$	(12.9	)	$	7.9		$	(12.6	)	$	17.6		$	1.1

Condensed Consolidating Statements of Operations

(in millions of U.S. dollars)

Unaudited


	For the Nine Months Ended October 1, 2011
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Elimination Entries			Consolidated

Revenue, net	$	158.4		$	711.0		$	818.6		$	125.9	$	(28.5	)	$	1,785.4
Cost of sales		126.4			625.8			724.7			111.8		(28.5	)		1,560.2


Gross profit		32.0			85.2			93.9			14.1		—			225.2
Selling, general and administrative expenses		24.8			55.8			37.8			9.9		—			128.3
Loss on disposal of property, plant & equipment		—			0.4			0.1			—		—			0.5


Operating income		7.2			29.0			56.0			4.2		—			96.4

Other expense (income), net		1.3			(0.3	)		0.6			0.5		—			2.1
Intercompany interest (income) expense, net		(3.5	)		(1.9	)		5.4			—		—			—
Interest expense, net		0.3			41.3			1.6			0.2		—			43.4


Income (loss) before income tax expense (benefit) and equity income (loss)		9.1			(10.1	)		48.4			3.5		—			50.9

Income tax expense (benefit)		2.1			(1.0	)		(3.0	)		0.2		—			(1.7	)
Equity income (loss)		42.5			3.4			(5.3	)		—		(40.6	)		—


Net income (loss)	$	49.5		$	(5.7	)	$	46.1		$	3.3	$	(40.6	)	$	52.6

Less: Net income attributable to non-controlling interests		—			—			—			3.1		—			3.1


Net income (loss) attributed to Cott Corporation	$	49.5		$	(5.7	)	$	46.1		$	0.2	$	(40.6	)	$	49.5

Comprehensive income (loss) attributed to Cott Corporation	$	45.4		$	(2.7	)	$	142.3		$	21.3	$	(160.9	)	$	45.4

Consolidating Balance Sheets

(in millions of U.S. dollars)

Unaudited


	As of September 29, 2012
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated
ASSETS
*Current assets*
Cash & cash equivalents	$	40.5		$	8.1		$	33.3		$	6.2		$	—		$	88.1
Accounts receivable, net of allowance		18.7			114.5			179.6			17.0			(77.7	)		252.1
Income taxes recoverable		—			2.9			—			—			—			2.9
Inventories		23.1			75.1			113.0			7.9			—			219.1
Prepaid expenses and other assets		1.5			14.9			8.5			0.1			—			25.0


Total current assets		83.8			215.5			334.4			31.2			(77.7	)		587.2

Property, plant & equipment		50.7			184.8			243.3			9.3			—			488.1
Goodwill		27.9			4.5			98.4			—			—			130.8
Intangibles and other assets		1.1			104.0			203.5			15.5			—			324.1
Deferred income taxes		2.5			—			—			0.3			—			2.8
Other tax receivable		0.4			—			0.6			—			—			1.0
Due from affiliates		35.5			176.0			78.1			41.8			(331.4	)		—
Investments in subsidiaries		491.3			392.7			832.3			—			(1,716.3	)		—


Total assets	$	693.2		$	1,077.5		$	1,790.6		$	98.1		$	(2,125.4	)	$	1,534.0


LIABILITIES AND EQUITY
*Current liabilities*
Current maturities of long-term debt	$	—		$	1.2		$	0.2		$	0.4		$	—		$	1.8
Accounts payable and accrued liabilities		31.7			117.5			163.2			12.4			(77.7	)		247.1


Total current liabilities		31.7			118.7			163.4			12.8			(77.7	)		248.9

Long-term debt		0.3			598.8			1.5			1.5			—			602.1
Deferred income taxes		—			30.3			6.4			0.8			—			37.5
Other long-term liabilities		0.2			3.6			11.6			—			—			15.4
Due to affiliates		43.2			76.7			178.7			32.8			(331.4	)		—


Total liabilities		75.4			828.1			361.6			47.9			(409.1	)		903.9

*Equity*
Capital stock, no par		395.7			574.5			1,750.8			83.5			(2,408.8	)		395.7
Treasury stock		(2.1	)		—			—			—			—			(2.1	)
Additional paid-in-capital		46.1			—			—			—			—			46.1
Retained earnings (deficit)		189.5			(341.8	)		(332.5	)		(44.4	)		718.7			189.5
Accumulated other comprehensive (loss) income		(11.4	)		16.7			10.7			(1.2	)		(26.2	)		(11.4	)

Total Cott Corporation equity		617.8			249.4			1,429.0			37.9			(1,716.3	)		617.8
Non-controlling interests		—			—			—			12.3			—			12.3

Total equity		617.8			249.4			1,429.0			50.2			(1,716.3	)		630.1


Total liabilities and equity	$	693.2		$	1,077.5		$	1,790.6		$	98.1		$	(2,125.4	)	$	1,534.0

Consolidating Balance Sheets

(in millions of U.S. dollars)


	As of December 31, 2011
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated
ASSETS
*Current assets*
Cash & cash equivalents	$	13.7		$	20.7		$	58.9		$	7.6		$	—		$	100.9
Accounts receivable, net of allowance		22.4			97.2			136.3			14.6			(59.7	)		210.8
Income taxes recoverable		—			8.8			0.8			0.3			—			9.9
Inventories		18.1			60.2			124.2			7.5			—			210.0
Prepaid expenses and other assets		1.8			13.8			3.6			0.1			—			19.3


Total current assets		56.0			200.7			323.8			30.1			(59.7	)		550.9

Property, plant & equipment		48.0			179.3			245.1			9.8			—			482.2
Goodwill		26.9			4.5			98.2			—			—			129.6
Intangibles and other assets		0.9			105.3			216.5			18.4			—			341.1
Deferred income taxes		4.1			—			—			—			—			4.1
Other tax receivable		0.5			—			0.5			—			—			1.0
Due from affiliates		30.3			166.4			79.1			41.9			(317.7	)		—
Investments in subsidiaries		459.8			365.5			572.3			—			(1,397.6	)		—


Total assets	$	626.5		$	1,021.7		$	1,535.5		$	100.2		$	(1,775.0	)	$	1,508.9


LIABILITIES AND EQUITY
*Current liabilities*
Current maturities of long-term debt	$	—		$	2.9		$	0.1		$	0.4		$	—		$	3.4
Accounts payable and accrued liabilities		27.1			117.1			181.2			15.4			(59.7	)		281.1


Total current liabilities		27.1			120.0			181.3			15.8			(59.7	)		284.5

Long-term debt		0.2			599.0			1.2			1.7			—			602.1
Deferred income taxes		—			26.8			6.8			0.5			—			34.1
Other long-term liabilities		0.2			3.5			16.3			—			—			20.0
Due to affiliates		43.2			77.8			168.9			27.8			(317.7	)		—


Total liabilities		70.7			827.1			374.5			45.8			(377.4	)		940.7

*Equity*
Capital stock, no par		395.9			569.3			1,396.5			82.8			(2,048.6	)		395.9
Treasury stock		(2.1	)		—			—			—			—			(2.1	)
Additional paid-in-capital		42.6			—			—			—			—			42.6
Retained earnings (deficit)		144.1			(365.5	)		(329.0	)		(42.1	)		736.6			144.1
Accumulated other comprehensive (loss) income		(24.7	)		(9.2	)		93.5			1.3			(85.6	)		(24.7	)

Total Cott Corporation equity		555.8			194.6			1,161.0			42.0			(1,397.6	)		555.8
Non-controlling interests		—			—			—			12.4			—			12.4

Total equity		555.8			194.6			1,161.0			54.4			(1,397.6	)		568.2


Total liabilities and equity	$	626.5		$	1,021.7		$	1,535.5		$	100.2		$	(1,775.0	)	$	1,508.9

Consolidating Statements of Condensed Cash Flows

(in millions of U.S. dollars)

Unaudited


	For the Three Months Ended September 29, 2012
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Operating Activities
Net income	$	14.5		$	6.6		$	13.4		$	1.9		$	(20.6	)	$	15.8
Depreciation & amortization		1.6			9.4			12.1			1.6			—			24.7
Amortization of financing fees		0.1			0.6			0.1			—			—			0.8
Share-based compensation expense		0.2			0.9			0.3			(0.1	)		—			1.3
Increase (decrease) in deferred income taxes		0.6			1.2			(1.3	)		0.1			—			0.6
Loss on disposal of property, plant & equipment		—			0.2			0.1			0.5			—			0.8
Equity loss, net of distributions		(12.6	)		(1.5	)		(6.5	)		—			20.6			—
Intercompany transactions		2.1			2.1			—			—			(4.2	)		—
Other non-cash items		(0.4	)		(1.0	)		—			—			—			(1.4	)

Net change in operating assets and liabilities, net of acquisition		16.4			0.9			(3.4	)		(2.7	)		4.2			15.4

Net cash provided by operating activities		22.5			19.4			14.8			1.3			—			58.0


Investing Activities
Acquisition		—			(4.7	)		—			—			—			(4.7	)
Additions to property, plant & equipment		(1.2	)		(9.0	)		(1.7	)		(1.3	)		—			(13.2	)
Additions to intangibles and other assets		(0.5	)		(1.1	)		0.6			—			—			(1.0	)
Proceeds from sale of property, plant & equipment		—			—			—			1.3			—			1.3
Proceeds from insurance recoveries		—			1.7			—			—			—			1.7
Advances to affiliates		—			—			—			(1.6	)		1.6			—

Net cash used in investing activities		(1.7	)		(13.1	)		(1.1	)		(1.6	)		1.6			(15.9	)


Financing Activities
Payments of long-term debt		0.1			(0.2	)		—			(0.1	)		—			(0.2	)
Advances from affiliates		1.6			—			—			—			(1.6	)		—
Distributions to non-controlling interests		—			—			—			(1.9	)		—			(1.9	)
Financing fees		—			(1.2	)		—			—			—			(1.2	)

Net cash provided by (used in) financing activities		1.7			(1.4	)		—			(2.0	)		(1.6	)		(3.3	)

Effect of exchange rate changes on cash		1.2			—			0.8			0.2			—			2.2

Net increase (decrease) in cash & cash equivalents		23.7			4.9			14.5			(2.1	)		—			41.0

Cash & cash equivalents, beginning of period		16.8			3.2			18.8			8.3			—			47.1

Cash & cash equivalents, end of period	$	40.5		$	8.1		$	33.3		$	6.2		$	—		$	88.1

Consolidating Statements of Condensed Cash Flows

(in millions of U.S. dollars)

Unaudited


	For the Nine Months Ended September 29, 2012
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Operating Activities
Net income	$	45.5		$	18.3		$	44.8		$	4.8		$	(64.5	)	$	48.9
Depreciation & amortization		4.7			27.1			36.0			4.4			—			72.2
Amortization of financing fees		0.2			2.5			0.2			—			—			2.9
Share-based compensation expense		1.0			1.7			0.8			—			—			3.5
Increase (decrease) in deferred income taxes		1.7			3.7			(0.7	)		(0.1	)		—			4.6
Gain on bargain purchase		—			—			(0.9	)		—			—			(0.9	)
Loss on disposal of property, plant & equipment		—			0.6			0.6			0.5			—			1.7
Equity loss, net of distributions		(42.4	)		(3.8	)		(18.3	)		—			64.5			—
Intercompany transactions		18.3			3.5			—			—			(21.8	)		—
Other non-cash items		—			(0.8	)		—			—			—			(0.8	)
Net change in operating assets and liabilities, net of acquisition		(2.3	)		(20.1	)		(76.2	)		(2.3	)		21.8			(79.1	)

Net cash provided by (used in) operating activities		26.7			32.7			(13.7	)		7.3			—			53.0


Investing Activities
Acquisition		—			(4.7	)		(5.0	)		—			—			(9.7	)
Additions to property, plant & equipment		(5.4	)		(33.8	)		(9.8	)		(1.6	)		—			(50.6	)
Additions to intangibles and other assets		(0.5	)		(4.7	)		0.5			—			—			(4.7	)
Proceeds from sale of property, plant & equipment		—			—			1.0			1.3			—			2.3
Proceeds from insurance recoveries		—			1.7			—			—			—			1.7
Advances to affiliates		—			—			—			(5.1	)		5.1			—

Net cash used in investing activities		(5.9	)		(41.5	)		(13.3	)		(5.4	)		5.1			(61.0	)


Financing Activities
Payments of long-term debt		0.1			(2.6	)		—			(0.3	)		—			(2.8	)
Borrowings under ABL		—			24.5			—			—			—			24.5
Payments under ABL		—			(24.5	)		—			—			—			(24.5	)
Advances from affiliates		5.1			—			—			—			(5.1	)		—
Distributions to non-controlling interests		—			—			—			(3.3	)		—			(3.3	)
Common share repurchase		(0.3	)		—			—			—			—			(0.3	)
Financing fees		—			(1.2	)		—			—			—			(1.2	)

Net cash provided by (used in) financing activities		4.9			(3.8	)		—			(3.6	)		(5.1	)		(7.6	)

Effect of exchange rate changes on cash		1.1			—			1.4			0.3			—			2.8

Net increase (decrease) in cash & cash equivalents		26.8			(12.6	)		(25.6	)		(1.4	)		—			(12.8	)

Cash & cash equivalents, beginning of period		13.7			20.7			58.9			7.6			—			100.9

Cash & cash equivalents, end of period	$	40.5		$	8.1		$	33.3		$	6.2		$	—		$	88.1

Consolidating Statements of Condensed Cash Flows

(in millions of U.S. dollars)

Unaudited


	For the Three Months Ended October 1, 2011
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Operating Activities
Net income	$	16.2		$	1.8		$	15.2		$	0.9		$	(16.8	)	$	17.3
Depreciation & amortization		1.5			8.8			12.1			1.6			—			24.0
Amortization of financing fees		0.1			0.9			0.1			—			—			1.1
Share-based compensation expense		—			(1.6	)		—			—			—			(1.6	)
Increase (decrease) in deferred income taxes		0.5			(1.7	)		(2.8	)		(0.2	)		—			(4.2	)
Loss on disposal of property, plant & equipment		—			0.4			0.1			—			—			0.5
Contract termination payments		(0.8	)		(2.3	)		—			—			—			(3.1	)
Equity loss, net of distributions		(14.0	)		(1.3	)		(1.4	)		—			16.7			—
Intercompany transactions		8.9			5.1			—			—			(14.0	)		—
Other non-cash items		—			(0.1	)		—			—			—			(0.1	)
Net change in operating assets and liabilities, net of acquisition		(12.0	)		206.6			(174.9	)		(3.8	)		14.1			30.0


Net cash provided by (used in) operating activities		0.4			216.6			(151.6	)		(1.5	)		—			63.9


Investing Activities
Acquisition		—			(25.7	)		—			—			—			(25.7	)
Additions to property, plant & equipment		(1.3	)		(5.7	)		(1.1	)		—			—			(8.1	)
Additions to intangibles and other assets		—			(0.9	)		(0.4	)		(0.1	)		—			(1.4	)
Proceeds from sale of property, plant & equipment		—			0.1			—			—			—			0.1
Other investing activities		—			(0.1	)		—			—			—			(0.1	)
Advances to affiliates		—			—			162.5			5.1			(167.6	)		—


Net cash (used in) provided by investing activities		(1.3	)		(32.3	)		161.0			5.0			(167.6	)		(35.2	)


Financing Activities
Payments of long-term debt		—			(1.6	)		—			(0.2	)		—			(1.8	)
Borrowings under ABL		—			80.7			—			—			—			80.7
Payments under ABL		—			(100.7	)		—			—			—			(100.7	)
Advances from affiliates		(5.1	)		(162.5	)		—			—			167.6			—
Distributions to non-controlling interests		—			—			—			(1.7	)		—			(1.7	)
Exercise of options		—			0.2			—			—			—			0.2

Net cash used in financing activities		(5.1	)		(183.9	)		—			(1.9	)		167.6			(23.3	)

Effect of exchange rate changes on cash		(0.4	)		—			(0.4	)		(0.4	)		—			(1.2	)

Net (decrease) increase in cash & cash equivalents		(6.4	)		0.4			9.0			1.2			—			4.2

Cash & cash equivalents, beginning of period		8.7			1.5			8.4			5.4			—			24.0

Cash & cash equivalents, end of period	$	2.3		$	1.9		$	17.4		$	6.6		$	—		$	28.2

Consolidating Statements of Condensed Cash Flows

(in millions of U.S. dollars)

Unaudited


	For the Nine Months Ended October 1, 2011
	Cott Corporation			Cott Beverages Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Entries			Consolidated

Operating Activities
Net income (loss)	$	49.5		$	(5.7	)	$	46.1		$	3.3		$	(40.6	)	$	52.6
Depreciation & amortization		4.5			26.1			36.2			4.6			—			71.4
Amortization of financing fees		0.2			2.5			0.2			—			—			2.9
Share-based compensation expense		1.0			0.6			0.6			—			—			2.2
Increase (decrease) in deferred income taxes		1.4			(0.5	)		(3.0	)		(0.2	)		—			(2.3	)
Loss on disposal of property, plant & equipment		—			0.4			0.1			—			—			0.5
Contract termination payments		(0.8	)		(2.3	)		—			—			—			(3.1	)
Equity (loss) income, net of distributions		(42.8	)		(3.5	)		5.8			—			40.5			—
Intercompany transactions		15.8			7.8			—			—			(23.6	)		—
Other non-cash items		—			1.7			—			—			—			1.7

Net change in operating assets and liabilities, net of acquisition		(28.8	)		185.0			(242.7	)		(3.5	)		23.7			(66.3	)


Net cash provided by (used in) operating activities		—			212.1			(156.7	)		4.2			—			59.6


Investing Activities
Acquisition		—			(25.7	)		—			—			—			(25.7	)
Additions to property, plant & equipment		(3.5	)		(19.9	)		(8.0	)		—			—			(31.4	)
Additions to intangibles and other assets		1.4			(3.5	)		(0.5	)		(1.3	)		—			(3.9	)
Proceeds from sale of property, plant & equipment		—			0.1			—			—			—			0.1
Other investing activities		—			(1.8	)		—			—			—			(1.8	)
Advances to affiliates		—			—			156.1			3.2			(159.3	)		—


Net cash (used in) provided by investing activities		(2.1	)		(50.8	)		147.6			1.9			(159.3	)		(62.7	)


Financing Activities
Payments of long-term debt		—			(4.8	)		—			(0.4	)		—			(5.2	)
Borrowings under ABL		—			224.1			—			—			—			224.1
Payments under ABL		—			(231.9	)		—			—			—			(231.9	)
Advances from affiliates		(3.2	)		(156.1	)		—			—			159.3			—
Distributions to non-controlling interests		—			—			—			(4.2	)		—			(4.2	)
Exercise of options		—			0.3			—			—			—			0.3
Financing fees		—			(0.1	)		—			—			—			(0.1	)

Net cash used in financing activities		(3.2	)		(168.5	)		—			(4.6	)		159.3			(17.0	)

Effect of exchange rate changes on cash		(0.2	)		—			0.5			(0.2	)		—			0.1

Net (decrease) increase in cash & cash equivalents		(5.5	)		(7.2	)		(8.6	)		1.3			—			(20.0	)

Cash & cash equivalents, beginning of period		7.8			9.1			26.0			5.3			—			48.2

Cash & cash equivalents, end of period	$	2.3		$	1.9		$	17.4		$	6.6		$	—		$	28.2

Note 15 – Subsequent Event

On October 31, 2012, the Board of Directors declared a dividend of CAD $0.06 per share on common shares, payable in cash on December 20, 2012 to shareowners of record at the close of business on December 4, 2012.