EX-99.2 3 c98260exv99w2.htm EXHIBIT 99.2 Exhibit 99.2
Exhibit 99.2
TELEFLEX INCORPORATED AND SUBSIDIARIES
Pro Forma Condensed Consolidated Cash Flows
To Reflect Discontinued Operations
(Unaudited)
                         
    For the Year Ended December 31,  
    2009     2008     2007  
    (Dollars in thousands)  
Cash Flows from Operating Activities of Continuing Operations:
                        
Net income
   $ 314,011     $ 154,602     $ 177,162  
Adjustments to reconcile net income to net cash provided by operating activities:
                        
Income from discontinued operations
     (172,585 )     (58,563 )     (210,586 )
Depreciation expense
     54,477       57,152       40,967  
Amortization expense of intangible assets
     44,917       45,163       19,438  
Amortization expense of deferred financing costs
     5,511       5,330       6,946  
In-process research and development charge
     —       —       30,000  
Stock-based compensation
     8,970       8,271       7,237  
Net loss (gain) on sales of businesses and assets
     2,597       (296 )     1,110  
Impairment of long-lived assets
     5,788       10,399       3,868  
Impairment of goodwill
     6,728       —       2,448  
Other
     3,131       13,093       8,427  
Changes in operating assets and liabilities, net of effects of acquisitions and disposals:
                        
Accounts receivable
     9,520       11,521       1,210  
Inventories
     37,000       (14,320 )     55,913  
Prepaid expenses and other current assets
     509       4,468       (730 )
Accounts payable and accrued expenses
     (28,640 )     2,737       17,985  
Income taxes receivable and payable, net and deferred income taxes
     (107,019 )     (137,032 )     71,743  
 
                  
Net cash provided by operating activities from continuing operations
     184,915       102,525       233,138  
 
                  
Cash Flows from Financing Activities of Continuing Operations:
                        
Proceeds from long-term borrowings
     10,018       92,897       1,620,000  
Reduction in long-term borrowings
     (357,608 )     (226,687 )     (463,391 )
Payments of debt issuance and amendment costs
     —       (656 )     (21,565 )
(Decrease) increase in notes payable and current borrowings
     (1,452 )     (492 )     1,321  
Proceeds from stock compensation plans
     1,553       7,955       24,171  
Payments to noncontrolling interest shareholders
     (702 )     (739 )     (189 )
Dividends
     (54,022 )     (53,047 )     (48,929 )
 
                  
Net cash (used in) provided by financing activities from continuing operations
     (402,213 )     (180,769 )     1,111,418  
 
                  
Cash Flows from Investing Activities of Continuing Operations:
                        
Expenditures for property, plant and equipment
     (28,833 )     (33,231 )     (39,676 )
Proceeds from sales of businesses and assets
     314,513       8,464       702,314  
Payments for businesses and intangibles acquired, net of cash acquired
     (1,730 )     (6,083 )     (2,174,517 )
(Investments in) proceeds from affiliates
     —       (320 )     446  
 
                  
Net cash provided by (used in) investing activities from continuing operations
     283,950       (31,170 )     (1,511,433 )
 
                  
Cash Flows from Discontinued Operations:
                        
Net cash provided by operating activities
     19,256       68,644       160,450  
Net cash used in financing activities
     (11,075 )     (37,240 )     (25,959 )
Net cash used in investing activities
     (2,749 )     (8,281 )     (28,162 )
 
                  
Net cash provided by discontinued operations
     5,432       23,123       106,329  
 
                  
Effect of exchange rate changes on cash and cash equivalents
     8,946       (7,776 )     13,481  
 
                  
Net increase (decrease) in cash and cash equivalents
     81,030       (94,067 )     (47,067 )
Cash and cash equivalents at the beginning of the period
     107,275       201,342       248,409  
 
                  
Cash and cash equivalents at the end of the period
   $ 188,305     $ 107,275     $ 201,342  
 
                  

 

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TELEFLEX INCORPORATED AND SUBSIDIARIES
Pro Forma Condensed Consolidated Cash Flows
To Reflect Discontinued Operations
(Unaudited)
                         
    For the Three     For the Six     For the Nine  
    Months Ended     Months Ended     Months Ended  
    March 29,     June 28,     September 27,  
    2009     2009     2009  
    (Dollars in thousands)  
Cash Flows from Operating Activities of Continuing Operations:
                        
Net income
   $ 225,607     $ 232,379     $ 270,996  
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
                        
Income from discontinued operations
     (201,011 )     (173,685 )     (177,698 )
Depreciation expense
     13,771       27,768       41,353  
Amortization expense of intangible assets
     10,918       21,795       32,917  
Amortization expense of deferred financing costs
     2,641       3,610       4,556  
Stock-based compensation
     2,151       4,063       6,711  
Net loss on sales of businesses and assets
     2,597       2,597       2,597  
Impairment of long-lived assets
     —       2,474       5,788  
Impairment of goodwill
     —       6,728       6,728  
Other
     717       2,932       195  
Changes in operating assets and liabilities, net of effects of acquisitions and disposals:
                        
Accounts receivable
     (16,170 )     1,950       11,587  
Inventories
     (11,004 )     (7,337 )     7,432  
Prepaid expenses and other current assets
     1,830       1,607       2,325  
Accounts payable and accrued expenses
     (34,089 )     (35,675 )     (44,868 )
Income taxes receivable and payable, net and deferred income taxes
     (5,599 )     (118,474 )     (95,016 )
 
                  
Net cash (used in) provided by operating activities from continuing operations
     (7,641 )     (27,268 )     75,603  
 
                  
 
                        
Cash Flows from Financing Activities of Continuing Operations:
                        
Proceeds from long-term borrowings
     10,000       10,000       10,018  
Reduction in long-term borrowings
     (249,178 )     (249,178 )     (300,268 )
Decrease in notes payable and current borrowings
     (659 )     (651 )     (836 )
Proceeds from stock compensation plans
     367       367       750  
Payments to noncontrolling interest shareholders
     (295 )     (295 )     (702 )
Dividends
     (13,511 )     (27,014 )     (40,521 )
 
                  
Net cash used in financing activities from continuing operations
     (253,276 )     (266,771 )     (331,559 )
 
                  
 
                        
Cash Flows from Investing Activities of Continuing Operations:
                        
Expenditures for property, plant and equipment
     (6,525 )     (14,206 )     (20,302 )
Proceeds from sales of businesses and assets
     296,883       300,000       314,513  
Payments for businesses and intangibles acquired, net of cash acquired
     (1,108 )     (541 )     (1,730 )
 
                  
Net cash provided by investing activities from continuing operations
     289,250       285,253       292,481  
 
                  
 
                        
Cash Flows from Discontinued Operations:
                        
Net cash provided by operating activities
     20,370       25,639       19,976  
Net cash used in financing activities
     (11,075 )     (11,075 )     (11,075 )
Net cash used in investing activities
     (1,598 )     (1,975 )     (2,356 )
 
                  
Net cash provided by discontinued operations
     7,697       12,589       6,545  
 
                  
Effect of exchange rate changes on cash and cash equivalents
     (254 )     3,192       8,444  
 
                  
Net increase in cash and cash equivalents
     35,776       6,995       51,514  
Cash and cash equivalents at the beginning of the period
     107,275       107,275       107,275  
 
                  
Cash and cash equivalents at the end of the period
   $ 143,051     $ 114,270     $ 158,789  
 
                  

 

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