EX-99.1 2 c23630exv99w1.htm EXHIBIT 99.1 Exhibit 99.1
Exhibit 99.1
(IMAGE)
     
Contact:
  Jake Elguicze
 
  Treasurer and
 
  Vice President of Investor Relations
 
  610-948-2836
     
FOR IMMEDIATE RELEASE   October 25, 2011
TELEFLEX REPORTS THIRD QUARTER 2011 RESULTS
Revenue of $371.9 million — up 7.8%; up 3.2% constant currency
Limerick, PA — Teleflex Incorporated (NYSE: TFX) today announced financial results for the third quarter and nine months ended September 25, 2011.
THREE MONTH RESULTS
Third quarter 2011 net revenues were $371.9 million, an increase of 7.8% over the prior year period. Excluding the impact of foreign exchange, third quarter 2011 net revenues increased 3.2% over the prior year period.
Third quarter 2011 GAAP diluted earnings per share from continuing operations was $0.82, an increase of 203.7% over the prior year period. During the third quarter of 2010, Teleflex recorded losses on the extinguishment of debt totaling $20.9 million, net of tax. Third quarter 2011 adjusted diluted earnings per share from continuing operations were $1.03, a increase of 4.0% over the prior year period. The increase in adjusted diluted earnings per share is related to an increase in sales volume, improved pricing, as well as a reduction in interest expense. This was somewhat offset by higher manufacturing, raw material and fuel-related costs, and the continued investment in sales, marketing and research and development activities.
“Despite operating within a challenging macro environment, our momentum continued to build during the third quarter of 2011,” said Benson Smith, Chairman, President and CEO. “Our team’s renewed focus led to revenue growth across nearly every region and product family. Improved sales volumes contributed to our top line growth, as did select price increases within the Asia Pacific and North American regions. In addition, during the third quarter, we were awarded 11 group purchasing organization contracts, and we introduced five new products to the marketplace, positioning the Company for sustainable and profitable future growth.”
Added Mr. Smith, “Our profitability during the quarter was favorably impacted by expanded gross and operating margins on a sequential basis, as well as a lower tax rate. Overall, we are continuing to make progress toward the achievement of our longer-term growth objectives.”

 

 

 

NINE MONTH RESULTS
Net revenues for the first nine months of 2011 were $1.1 billion, an increase of 6.7% over the prior year period. Excluding the impact of foreign exchange, net revenues for the first nine months of 2011 increased 3.4% over the prior year period.
GAAP diluted earnings per share from continuing operations for the first nine months of 2011 was $1.94, an increase of 3.7% over the prior year period. Adjusted diluted earnings per share from continuing operations for the first nine months of 2011 was $2.85, a decrease of 3.1% over the prior year period. The decline in adjusted diluted earnings per share is related to higher manufacturing, raw material and fuel-related freight costs, unfavorable product mix and the continued investment in sales, marketing and research and development expenses. This was somewhat offset by an increase in sales volume and reduced interest expense.
THIRD QUARTER NET REVENUE BY PRODUCT GROUP
Critical Care third quarter 2011 net revenues were $245.1 million, an increase of 8.5% over the prior year period on an as reported basis. Excluding the impact of foreign exchange, third quarter 2011 net revenues increased 3.6% over the prior year period. The increase in revenue was due to higher sales of vascular access, anesthesia and urology products.
Surgical Care third quarter 2011 net revenues were $66.0 million, an increase of 7.1% over the prior year period on an as reported basis. Excluding the impact of foreign exchange, third quarter 2011 net revenues increased 1.9% over the prior year period. The increase in revenue was due to higher sales of ligation products.
Cardiac Care third quarter 2011 net revenues were $18.1 million, an increase of 4.0% over the prior year period. Excluding the impact of foreign exchange, third quarter 2011 net revenues decreased 1.7% over the prior year period. The decrease in revenue was due to lower sales of intra-aortic balloon pumps, due to a slight slowdown in the purchase of capital equipment.
OEM and Development Services third quarter 2011 net revenues were $42.4 million, an increase of 7.3% over the prior year period on an as reported basis. Excluding the impact of foreign exchange, third quarter 2011 net revenues increased 5.6% over the prior year period. The increase in revenue was due to higher sales of specialty suture, catheter fabrication and orthopedic implant products.
                                         
    Three Months Ended     % Increase/ (Decrease)  
    September 25,     September 26,     Constant     Foreign     Total  
    2011     2010     Currency     Currency     Change  
    (Dollars in millions)                          
Critical Care
   $ 245.1     $ 226.0       3.6 %     4.9 %     8.5 %
Surgical Care
     66.0       61.6       1.9 %     5.2 %     7.1 %
Cardiac Care
     18.1       17.4       (1.7 %)     5.7 %     4.0 %
OEM
     42.4       39.5       5.6 %     1.7 %     7.3 %
Other
     0.3       0.5       (57.4 %)     17.4 %     (40.0 %)
 
                              
Total
   $ 371.9     $ 345.0       3.2 %     4.6 %     7.8 %
 
                              

 

 

 

OTHER FINANCIAL HIGHLIGHTS AND KEY PERFORMANCE METRICS
Depreciation and amortization expense of intangible assets and deferred financing costs and debt discount for the first nine months of 2011 was $74.5 million compared to $68.5 million for the first nine months of 2010.
Cash and cash equivalents at September 25, 2011 were $371.7 million.
Net accounts receivable at September 25, 2011 were $277.3 million.
Net inventories at September 25, 2011 were $311.4 million.
Net debt obligations at September 25, 2011 were $683.0 million.
December 31, 2010 balance sheet amounts were not referenced above because businesses were either sold or reclassified to discontinued operations during 2011 and the Company does not find comparisons to the December 31, 2010 balance sheet amounts to be meaningful.
2011 OUTLOOK
The Company’s financial estimates for 2011 are as follows:
Revenue in the range of $1.51 billion to $1.53 billion. This compares to the Company’s prior expectation for full year 2011 revenue in the range of $1.44 billion to $1.47 billion. The revised revenue guidance is associated with foreign currency fluctuations and the translation of foreign revenues into U.S. dollars. In terms of constant currency revenue growth, the Company expects to be between 3.0% to 3.5% for full year 2011. This compares to the Company’s prior expectation of constant currency revenue growth between 2.5% to 3.5% for full year 2011.
Adjusted earnings per share in the range of $4.05 to $4.10. This compares to the Company’s prior expectation for full year 2011 adjusted earnings per share in the range of $4.05 to $4.25. The reduction in the high-end of the EPS guidance range is due to the Company’s nine month year-to-date performance, as well as the Company’s expectations for the fourth quarter.
Cash flow from continuing operations for the full year is expected to be in the range of $150 to $180 million. This compares to the Company’s prior expectation for full year 2011 cash flow from continuing operations in the range of $180 to $210 million. The revised cash flow from operations guidance is primarily related to higher than expected inventory levels associated with the Company’s previously announced efforts to focus on gaining additional market share and reducing the amount of time required to fulfill customer orders, as well as an increase in accounts receivable.
2011 OUTLOOK EARNINGS PER SHARE RECONCILIATION
                 
    Low     High  
 
                
Diluted earnings per share attributable to common shareholders
   $ 2.75     $ 2.80  
 
                
Special items, net of tax
   $ 0.45     $ 0.45  
 
                
Intangible amortization expense, net of tax
   $ 0.70     $ 0.70  
 
                
Amortization of debt discount on convertible notes, net of tax
   $ 0.15     $ 0.15  
 
            
 
                
Adjusted earnings per share
   $ 4.05     $ 4.10  
 
            

 

 

 

CONFERENCE CALL WEBCAST AND ADDITIONAL INFORMATION
As previously announced, Teleflex will comment on its financial results on a conference call to be held today at 8:00 a.m. (ET). The call will be available live and archived on the company’s website at www.teleflex.com and the accompanying presentation will be posted prior to the call. An audio replay will be available until October 30, 2011, 12:00pm (ET), by calling 888-286-8010 (U.S./Canada) or 617-801-6888 (International), Passcode: 62497743.
ADDITIONAL NOTES
Constant currency revenue and growth exclude the impact of translating the results of international subsidiaries at different currency exchange rates from period to period. Constant currency revenue and growth include activity of a purchased company beyond the initial twelve months after the date of acquisition.
Certain financial information is presented on a rounded basis, which may cause minor differences.
Product group results and commentary exclude the impact of discontinued operations, items included in restructuring and impairment charges, and losses and other charges set forth in the condensed consolidated statements of income.
NOTES ON NON-GAAP FINANCIAL MEASURES
This press release includes certain non-GAAP financial measures. These measures include (i) adjusted diluted earnings per share, which excludes the effect of charges associated with our restructuring programs and asset impairments, losses and other charges related to refinancing transactions, costs associated with severance payments and benefits to be provided to our former chief executive officer, intangible amortization expense and the amortization of debt discount on convertible notes; (ii) constant currency revenue and growth, which exclude the impact of translating the results of international subsidiaries at different currency exchange rates from period to period; and (iii) cash flow from operations, excluding the impact of the adoption of an amendment to Financial Accounting Standards Board Accounting Standards Codification topic 860, “Transfers and Servicing”. Consistent with past practice, adjusted diluted earnings per share has not been adjusted to exclude the benefit resulting from the forfeiture of equity awards. Management believes these measures are useful to investors because they eliminate items that do not reflect Teleflex’s day-to-day operations. In addition, management uses these financial measures for internal managerial purposes, when publicly providing guidance on possible future results, and to assist in our evaluation of period-to-period comparisons. These financial measures are presented in addition to results presented in accordance with GAAP and should not be relied upon as a substitute for GAAP financial measures. Tables reconciling these non-GAAP measures to the most directly comparable GAAP measures are set forth below.

 

 

 

RECONCILIATION OF INCOME FROM CONTINUING OPERATIONS
                 
    Three Months Ended     Three Months Ended  
    September 25, 2011     September 26, 2010  
    (Dollars in thousands, except per share)  
Income and diluted earnings per share attributable to common
   $ 33,463     $ 10,761  
shareholders
   $ 0.82     $ 0.27  
 
                
Restructuring and impairment charges
     —       1,141  
Tax benefit
     —       (380 )
 
            
Restructuring and impairment charges, net of tax
     —       761  
 
            
 
     —     $ 0.02  
 
                
Losses and other charges (A)
     —       32,742  
Tax benefit
     —       (11,866 )
 
            
Losses and other charges, net of tax
     —       20,876  
 
            
 
     —     $ 0.52  
 
                
Amortization of debt discount on convertible notes
     2,455       1,536  
Tax benefit
     (892 )     (557 )
 
            
Amortization of debt discount on convertible notes, net of tax
     1,563       979  
 
            
 
   $ 0.04     $ 0.02  
 
                
Intangible amortization expense
     11,081       10,403  
Tax benefit
     (4,054 )     (3,794 )
 
            
Intangible amortization expense, net of tax
     7,027       6,609  
 
            
 
   $ 0.17     $ 0.16  
 
                
Adjusted income and diluted earnings per share
   $ 42,053     $ 39,986  
 
            
 
   $ 1.03     $ 0.99  
     
(A)   In 2010, losses and other charges include approximately $20.9 million, net of tax, or $0.52 per share, related to the loss on extinguishment of debt.

 

 

 

RECONCILIATION OF INCOME FROM CONTINUING OPERATIONS
                 
    Nine Months Ended     Nine Months Ended  
    September 25, 2011     September 26, 2010  
    (Dollars in thousands, except per share)  
Income and diluted earnings per share attributable to common
   $ 79,018     $ 75,425  
shareholders
   $ 1.94     $ 1.87  
 
                
Restructuring and impairment charges
     710       1,679  
Tax benefit
     (250 )     (652 )
 
            
Restructuring and impairment charges, net of tax
     460       1,027  
 
            
 
   $ 0.01     $ 0.03  
 
                
Losses and other charges (A)
     20,913       32,742  
Tax benefit
     (7,601 )     (11,866 )
 
            
Losses and other charges, net of tax
     13,312       20,876  
 
            
 
   $ 0.33     $ 0.52  
 
                
Amortization of debt discount on convertible notes
     7,212       1,536  
Tax benefit
     (2,621 )     (557 )
 
            
Amortization of debt discount on convertible notes, net of tax
     4,591       979  
 
            
 
   $ 0.11     $ 0.02  
 
                
Intangible amortization expense
     33,196       31,788  
Tax benefit
     (12,117 )     (11,538 )
 
            
Intangible amortization expense, net of tax
     21,079       20,250  
 
            
 
   $ 0.52     $ 0.50  
 
                
Tax adjustments (B)
     (2,165 )     —  
 
            
 
   $ (0.05 )     —  
 
                
Adjusted income and diluted earnings per share
   $ 116,295     $ 118,557  
 
            
 
   $ 2.85     $ 2.94  
     
(A)   In 2011, losses and other charges include approximately $9.8 million, net of tax, or $0.24 per share, related to the loss on extinguishment of debt; approximately $3.5 million, net of tax, or $0.09 per share, in charges related to severance payments and benefits to be provided to our former chief executive officer. In 2010, losses and other charges include approximately $20.9 million, net of tax, or $0.52 per share, related to the loss on extinguishment of debt.
 
(B)   The tax adjustment represents a net benefit resulting from the resolution (including the expiration of statutes of limitations) of various prior years’ U.S. federal, state and foreign tax matters.

 

 

 

RECONCILIATION OF CASH FLOW FROM OPERATIONS
                 
    Nine Months Ended     Nine Months Ended  
    September 25, 2011     September 26, 2010  
    (Dollars in thousands)  
 
                
Cash flow from operations as reported
   $ 64,693     $ 103,873  
 
                
Add: Impact of the adoption of the amendment to Accounting Standards Codification topic 860 “Transfers and Servicing”
     —       39,700  
 
                
Less: Tax refund on sale of ATI business
     —       59,499  
 
            
 
                
Adjusted cash flow from operations
   $ 64,693     $ 84,074  
RECONCILIATION OF NET DEBT OBLIGATIONS
                 
    September 25, 2011     December 31, 2010  
    (Dollars in thousands)  
 
                
Note payable and current portion of long-term borrowings
   $ 29,700     $ 103,711  
 
                
Long term borrowings
     952,322       813,409  
 
                
Unamortized debt discount
     72,678       79,891  
 
            
 
                
Total debt obligations
     1,054,700       997,011  
 
                
Less: cash and cash equivalents
     371,699       208,452  
 
            
 
                
Net debt obligations
   $ 683,001     $ 788,559  
 
            
ABOUT TELEFLEX INCORPORATED
Teleflex is a leading global provider of specialty medical devices for a range of procedures in critical care and surgery. Our mission is to provide solutions that enable healthcare providers to improve outcomes and enhance patient and provider safety. Headquartered in Limerick, PA, Teleflex employs approximately 11,600 people worldwide and serves healthcare providers in more than 130 countries. For additional information about Teleflex please refer to www.teleflex.com.
CAUTION CONCERNING FORWARD-LOOKING INFORMATION
This press release contains forward-looking statements, including, but not limited to, statements relating to forecasted 2011 total revenue, adjusted earnings per share and cash flow from continuing operations. Actual results could differ materially from those in the forward-looking statements due to, among other things, conditions in the end markets we serve, customer reaction to new products and programs, our ability to achieve sales growth, price increases or cost reductions; changes in the reimbursement practices of third party payors; our ability to realize efficiencies and to execute on our strategic initiatives; changes in material costs and surcharges; market acceptance and unanticipated difficulties in connection with the introduction of new products and product line extensions; product recalls; unanticipated difficulties in connection with the consolidation of manufacturing and administrative functions; unanticipated difficulties, expenditures and delays in complying with government regulations applicable to our businesses; the impact of government healthcare reform legislation; our ability to meet our debt obligations; changes in general and international economic conditions; and other factors described or incorporated in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K and the disclosure incorporated into Part II, Item 1A of our Quarterly Report on Form 10-Q for the quarter ended June 26, 2011.

 

 

 

TELEFLEX INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
                 
    Three Months Ended  
    September 25,     September 26,  
    2011     2010  
    (Dollars and shares in thousands,  
    except per share)  
 
                
Net revenues
   $ 371,891     $ 345,041  
Cost of goods sold
     193,617       178,477  
 
            
Gross profit
     178,274       166,564  
Selling, general and administrative expenses
     102,911       101,542  
Research and development expenses
     12,325       10,571  
Net gain on sales of businesses and assets
     —       (183 )
Restructuring and other impairment charges
     (173 )     1,141  
 
            
Income from continuing operations before interest, loss on extinguishments of debt and taxes
     63,211       53,493  
Interest expense
     19,177       20,047  
Interest income
     (318 )     (219 )
Loss on extinguishments of debt
     —       30,354  
 
            
Income from continuing operations before taxes
     44,352       3,311  
Taxes (benefit) on income from continuing operations
     10,600       (7,676 )
 
            
Income from continuing operations
     33,752       10,987  
 
            
Operating income from discontinued operations (including loss on disposal of $4 in 2011)
     13,282       14,143  
Taxes on income from discontinued operations
     2,969       2,595  
 
            
Income from discontinued operations
     10,313       11,548  
 
            
Net income
     44,065       22,535  
Less: Income from continuing operations attributable to noncontrolling interest
     289       226  
Income from discontinued operations attributable to noncontrolling interest
     125       113  
 
            
Net income attributable to common shareholders
   $ 43,651     $ 22,196  
 
            
 
                
Earnings per share available to common shareholders:
                
Basic:
                
Income from continuing operations
   $ 0.82     $ 0.27  
Income from discontinued operations
   $ 0.25     $ 0.29  
 
            
Net income
   $ 1.07     $ 0.56  
 
            
 
                
Diluted:
                
Income from continuing operations
   $ 0.82     $ 0.27  
Income from discontinued operations
   $ 0.25     $ 0.28  
 
            
Net income
   $ 1.07     $ 0.55  
 
            
 
                
Dividends per common share
   $ 0.34     $ 0.34  
 
                
Weighted average common shares outstanding:
                
Basic
     40,684       39,933  
Diluted
     40,943       40,254  
 
                
Amounts attributable to common shareholders:
                
Income from continuing operations, net of tax
   $ 33,463     $ 10,761  
Income from discontinued operations, net of tax
     10,188       11,435  
 
            
Net income
   $ 43,651     $ 22,196  
 
            

 

 

 

TELEFLEX INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
                 
    Nine Months Ended  
    September 25,     September 26,  
    2011     2010  
    (Dollars and shares in thousands,  
    except per share)  
 
                
Net revenues
   $ 1,117,181     $ 1,047,005  
Cost of goods sold
     590,371       535,329  
 
            
Gross profit
     526,810       511,676  
Selling, general and administrative expenses
     317,338       296,961  
Research and development expenses
     35,819       30,170  
Net gain on sales of businesses and assets
     —       (183 )
Restructuring and other impairment charges
     3,598       1,679  
 
            
Income from continuing operations before interest, loss on extinguishments of debt and taxes
     170,055       183,049  
Interest expense
     51,108       58,501  
Interest income
     (676 )     (575 )
Loss on extinguishments of debt
     15,413       30,354  
 
            
Income from continuing operations before taxes
     104,210       94,769  
Taxes on income from continuing operations
     24,422       18,687  
 
            
Income from continuing operations
     79,788       76,082  
 
            
Operating income from discontinued operations (including gain on disposal of $52,265 in 2011 and $38,562 in 2010, respectively)
     72,148       74,152  
Taxes (benefit) on income from discontinued operations
     (4,810 )     29,215  
 
            
Income from discontinued operations
     76,958       44,937  
 
            
Net income
     156,746       121,019  
Less: Income from continuing operations attributable to noncontrolling interest
     770       657  
Income from discontinued operations attributable to noncontrolling interest
     443       346  
 
            
Net income attributable to common shareholders
   $ 155,533     $ 120,016  
 
            
 
                
Earnings per share available to common shareholders:
                
Basic:
                
Income from continuing operations
   $ 1.95     $ 1.89  
Income from discontinued operations
   $ 1.89     $ 1.12  
 
            
Net income
   $ 3.85     $ 3.01  
 
            
 
                
Diluted:
                
Income from continuing operations
   $ 1.94     $ 1.87  
Income from discontinued operations
   $ 1.88     $ 1.11  
 
            
Net income
   $ 3.82     $ 2.98  
 
            
 
                
Dividends per common share
   $ 1.02     $ 1.02  
 
                
Weighted average common shares outstanding:
                
Basic
     40,426       39,879  
Diluted
     40,738       40,269  
 
                
Amounts attributable to common shareholders:
                
Income from continuing operations, net of tax
   $ 79,018     $ 75,425  
Income from discontinued operations, net of tax
     76,515       44,591  
 
            
Net income
   $ 155,533     $ 120,016  
 
            

 

 

 

TELEFLEX INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
                 
    September 25,     December 31,  
    2011     2010  
    (Dollars in thousands)  
ASSETS
                
Current assets
                
Cash and cash equivalents
   $ 371,699     $ 208,452  
Accounts receivable, net
     277,340       294,196  
Inventories, net
     311,417       338,598  
Prepaid expenses and other current assets
     33,069       28,831  
Prepaid taxes
     41,527       3,888  
Deferred tax assets
     33,085       39,309  
Assets held for sale
     118,293       7,959  
 
            
Total current assets
     1,186,430       921,233  
Property, plant and equipment, net
     250,582       287,705  
Goodwill
     1,456,710       1,442,411  
Intangible assets, net
     897,846       918,522  
Investments in affiliates
     2,161       4,899  
Deferred tax assets
     340       358  
Other assets
     74,642       68,027  
 
            
Total assets
   $ 3,868,711     $ 3,643,155  
 
            
 
                
LIABILITIES AND EQUITY
                
 
                
Current liabilities
                
Current borrowings
   $ 29,700     $ 103,711  
Accounts payable
     76,245       84,846  
Accrued expenses
     112,575       117,488  
Payroll and benefit-related liabilities
     66,544       71,418  
Derivative liabilities
     15,330       15,634  
Accrued interest
     13,623       18,347  
Income taxes payable
     10,699       4,886  
Deferred tax liabilities
     5,725       4,433  
Liabilities held for sale
     53,531       —  
 
            
Total current liabilities
     383,972       420,763  
Long-term borrowings
     952,322       813,409  
Deferred tax liabilities
     383,557       370,819  
Pension and postretirement benefit liabilities
     110,501       141,769  
Noncurrent liability for uncertain tax positions
     63,949       62,602  
Other liabilities
     37,413       46,515  
 
            
Total liabilities
     1,931,714       1,855,877  
Commitments and contingencies
                
Total common shareholders’ equity
     1,932,151       1,783,376  
Noncontrolling interest
     4,846       3,902  
 
            
Total equity
     1,936,997       1,787,278  
 
            
Total liabilities and equity
   $ 3,868,711     $ 3,643,155  
 
            

 

 

 

TELEFLEX INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
                 
    Nine Months Ended  
    September 25,        
    2011     September 26, 2010  
    (Dollars in thousands)  
Cash Flows from Operating Activities of Continuing Operations:
                
Net income
   $ 156,746     $ 121,019  
Adjustments to reconcile net income to net cash provided by operating activities:
                
Income from discontinued operations
     (76,958 )     (44,937 )
Depreciation expense
     31,244       32,267  
Amortization expense of intangible assets
     33,196       31,789  
Amortization expense of deferred financing costs and debt discount
     10,064       4,425  
Loss on extinguishments of debt
     15,413       30,354  
Gain on call options and warrants
     —       (407 )
Debt modification costs
     —       2,795  
Stock-based compensation
     2,469       6,946  
Impairment of investments in affiliates
     3,060       —  
Net gain on sales of businesses and assets
     —       (183 )
Deferred income taxes, net
     (2,561 )     29,754  
Other
     (2,125 )     (27,099 )
Changes in operating assets and liabilities, net of effects of acquisitions and disposals:
                
Accounts receivable
     (41,260 )     (48,436 )
Inventories
     (40,539 )     (17,544 )
Prepaid expenses and other current assets
     (7,380 )     1,845  
Accounts payable and accrued expenses
     5,614       (22,149 )
Income taxes, net
     (22,290 )     3,434  
 
            
Net cash provided by operating activities from continuing operations
     64,693       103,873  
 
            
 
                
Cash Flows from Investing Activities of Continuing Operations:
                
Expenditures for property, plant and equipment
     (27,561 )     (21,263 )
Proceeds from sales of businesses and assets, net of cash sold
     100,905       75,943  
Payments for businesses and intangibles acquired, net of cash acquired
     (30,570 )     (82 )
 
            
Net cash provided by investing activities from continuing operations
     42,774       54,598  
 
            
 
                
Cash Flows from Financing Activities of Continuing Operations:
                
Proceeds from long-term borrowings
     515,000       400,000  
Repayment of long-term borrowings
     (455,800 )     (460,770 )
Increase in notes payable and current borrowings
     —       34,700  
Proceeds from stock compensation plans
     32,930       8,470  
Payments to noncontrolling interest shareholders
     —       (637 )
Dividends
     (41,278 )     (40,704 )
Debt and equity issuance and amendment fees
     (18,510 )     (48,041 )
Purchase of call options
     —       (88,000 )
Proceeds from sale of warrants
     —       59,400  
 
            
Net cash provided by (used in) financing activities from continuing operations
     32,342       (135,582 )
 
            
 
                
Cash Flows from Discontinued Operations:
                
Net cash provided by operating activities
     25,446       42,223  
Net cash used in investing activities
     (1,744 )     (2,722 )
Net cash used in financing activities
     —       (1,124 )
 
            
Net cash provided by discontinued operations
     23,702       38,377  
 
            
 
                
Effect of exchange rate changes on cash and cash equivalents
     (264 )     (1,814 )
 
            
Net increase in cash and cash equivalents
     163,247       59,452  
Cash and cash equivalents at the beginning of the period
     208,452       188,305  
 
            
Cash and cash equivalents at the end of the period
   $ 371,699     $ 247,757