Herbalife Ltd. (NYSE: HLF) today reported first quarter net sales of
$1.3 billion, reflecting an increase of 12 percent compared to the same
period in 2013 on volume point growth of 9 percent. Adjusted1
net income for the quarter was $151.1 million, or $1.50 per diluted
share, as compared to 2013 first quarter adjusted net income of $137.4
million, or $1.27 per diluted share. GAAP net income for the quarter was
$74.6 million, or $0.74 per diluted share, compared to $118.9 million,
or $1.10 per diluted share for the same period in 2013, primarily due to
a foreign exchange loss for Venezuela during the quarter ended March 31,
2014.
"We continue to achieve record earnings, strong sales growth and
enhanced profitability," said Michael O. Johnson, Herbalife's chairman
and CEO. “Our performance reflects the demand for our exceptional
products, as well as the hard work of our independent members who
continue to cultivate and grow their base of satisfied customers
worldwide. In addition, we are pleased to raise our expectations for the
balance of 2014. This reflects our confidence that Herbalife is
well-positioned to continue to grow and play an increasingly important
role in improving nutrition and reducing obesity around the world.”
For the quarter ended March 31, 2014 the company generated cash flow
from operations of $190.6 million, an increase of 39 percent compared to
2013; paid cash dividends of $30.4 million; invested $49.7 million in
capital expenditures; and spent $685.8 million for approximately 9.9
million outstanding common shares under our prepaid forward share
repurchase agreement. As of April 25, 2014, the company has spent $255
million during the month of April to repurchase approximately 4.5
million outstanding common shares under our existing repurchase program
and pursuant to a Rule 10b5-1 trading plan.
As of March 31, 2014 we moved to the SICAD I rate of 10.7 Venezuelan
bolivar per U.S. dollar for US GAAP remeasurement purposes. This change
impacted our 2014 Q1 reported results by $89.3 million before tax and we
have normalized this impact out of our adjusted results.
First Quarter and Fiscal 2014 Key Metrics3,4
Regional Volume Point and Average Active Sales Leader Metrics
|
|
Volume Points (Mil)
|
|
|
Average Active Sales Leaders
|
Region
|
|
1Q'14
|
|
Yr/Yr % Chg
|
|
|
1Q'14
|
|
Yr/Yr % Chg
|
North America
|
|
336.5
|
|
9
|
%
|
|
|
74,241
|
|
9
|
%
|
Asia Pacific
|
|
302.1
|
|
(6
|
%)
|
|
|
71,627
|
|
4
|
%
|
EMEA
|
|
202.2
|
|
25
|
%
|
|
|
54,113
|
|
17
|
%
|
Mexico
|
|
220.2
|
|
7
|
%
|
|
|
63,568
|
|
6
|
%
|
South & Central America
|
|
227.7
|
|
4
|
%
|
|
|
61,862
|
|
19
|
%
|
China
|
|
91.1
|
|
91
|
%
|
|
|
16,648
|
|
40
|
%
|
Worldwide Total
|
|
1,379.8
|
|
9
|
%
|
|
|
329,902
|
|
11
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
2014 Second Quarter and Full Year Guidance
Forward guidance excludes the impact of expenses (primarily for legal
and advisory services) relating to the company's response to information
put into the marketplace by a short seller, which the company believes
to be inaccurate and misleading, expenses related to a FTC inquiry, and
the impact of non-cash interest costs associated with the company’s
Convertible Notes. Forward guidance is based on the average daily
exchange rates of the first two weeks of April. Included in the guidance
is the use of the GAAP rate for Venezuela of 10.7 to 1 for the balance
of the year and excludes the potential impact of future devaluation of
the Venezuelan bolivar and future repatriation, if any, of existing cash
balances in Venezuela.
|
|
Three Months Ending
|
|
Twelve Months Ending
|
|
|
June 30, 2014
|
|
December 31, 2014
|
|
|
Low
|
|
High
|
|
Low
|
|
High
|
Volume Point Growth vs 2013
|
|
|
7.0
|
%
|
|
|
9.0
|
%
|
|
|
8.0
|
%
|
|
|
10.0
|
%
|
Net Sales Growth vs 2013
|
|
|
10.0
|
%
|
|
|
12.0
|
%
|
|
|
10.0
|
%
|
|
|
12.0
|
%
|
Diluted EPS as adjusted
|
|
$
|
1.51
|
|
|
$
|
1.55
|
|
|
$
|
6.10
|
|
|
$
|
6.30
|
|
Cap Ex ($ millions)
|
|
$
|
55.0
|
|
|
$
|
65.0
|
|
|
$
|
175.0
|
|
|
$
|
195.0
|
|
Effective Tax Rate
|
|
|
28.0
|
%
|
|
|
30.0
|
%
|
|
|
28.0
|
%
|
|
|
30.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Board of Directors Accelerates Cash Returns to Shareholders
The company’s board of directors also announced today that, as part of
its goal to accelerate cash returns to shareholders, it has approved
terminating the company’s quarterly cash dividend and instead utilizing
the cash to repurchase additional shares of the company’s outstanding
common stock during the second quarter of 2014.
The company now expects to repurchase a total of $581 million of its
outstanding common stock during the second quarter of 2014 as part of
its previously announced $1.5 billion share repurchase program. The $581
million is comprised of the approximately $315 million expected to be
purchased in April as part of a 10b5-1 trading plan ($255 million
already completed as of Friday, April 25); plus the $50 million included
in previous guidance and $216 million that otherwise was expected to be
returned to shareholders in the form of quarterly cash dividends over
the next eight quarters.
Mr. Johnson stated, “Our strong sustained financial performance and the
current market valuation of our shares make repurchasing stock the most
attractive method of returning capital to shareholders and reflects our
continued commitment to creating long-term value for our shareholders.”
First Quarter Earnings Conference Call
Herbalife senior management will host an investor conference call to
discuss its recent financial results and provide an update on current
business trends on Tuesday, April 29, 2014 at 8 a.m. PDT (11 a.m. EDT).
The dial-in number for this conference call for domestic callers is
(877) 317-1296 and (706) 634-5671 for international callers (conference
ID 24490341). Live audio of the conference call will be simultaneously
webcast in the investor relations section of the company's website at http://ir.herbalife.com.
An audio replay will be available following the completion of the
conference call in MP3 format or by dialing (855) 859-2056 for
domestic callers or (404) 537-3406 for international callers (conference
ID 24490341). The webcast of the teleconference will be archived and
available on Herbalife's website.
About Herbalife Ltd.
Herbalife Ltd. (NYSE:HLF) is a global nutrition company that sells
weight-management, nutrition and personal care products intended to
support a healthy lifestyle. Herbalife products are sold in more than 90
countries to and through a network of independent members. The company
supports the Herbalife Family Foundation and its Casa Herbalife program
to help bring good nutrition to children. Herbalife's website contains a
significant amount of financial and other information about the company
at http://ir.Herbalife.com.
The company encourages investors to visit its website from time to time,
as information is updated and new information is posted.
1 See Schedule A – “Reconciliation of Non-GAAP Financial
Measures” for more detail.
2 Adjusted diluted EPS
excludes non-cash interest expense associated with the company’s
Convertible Notes, foreign exchange losses related to Venezuela, costs
associated with the FTC inquiry and the defense against misinformation
associated with a short seller.
3 Supplemental tables
that include additional business metrics can be found at http://www.ir.herbalife.com.
4
Worldwide Average Active Sales Leaders may not equal the sum of the
Average Active Sales Leaders in each region due to the calculation being
an average of Sales Leaders active in a period, not a summation, and the
fact that some Sales Leaders are active in more than one region but are
counted only once in the worldwide amount.
FORWARD-LOOKING STATEMENTS
Although we believe that the expectations reflected in any of our
forward-looking statements are reasonable, actual results could differ
materially from those projected or assumed in any of our forward-looking
statements. Our future financial condition and results of operations, as
well as any forward-looking statements, are subject to change and to
inherent risks and uncertainties, such as those disclosed or
incorporated by reference in our filings with the Securities and
Exchange Commission. Important factors that could cause our actual
results, performance and achievements, or industry results to differ
materially from estimates or projections contained in our
forward-looking statements include, among others, the following:
-
our relationship with, and our ability to influence the actions of,
our Members;
-
improper action by our employees or Members in violation of applicable
law;
-
adverse publicity associated with our products or network marketing
organization, including our ability to comfort the marketplace and
regulators regarding our compliance with applicable laws;
-
changing consumer preferences and demands;
-
our reliance upon, or the loss or departure of any member of, our
senior management team which could negatively impact our Member
relations and operating results;
-
the competitive nature of our business;
-
regulatory matters governing our products, including potential
governmental or regulatory actions concerning the safety or efficacy
of our products and network marketing program, including the direct
selling market in which we operate;
-
legal challenges to our network marketing program;
-
risks associated with operating internationally and the effect of
economic factors, including foreign exchange, inflation, disruptions
or conflicts with our third party importers, pricing and currency
devaluation risks, especially in countries such as Venezuela;
-
uncertainties relating to the application of transfer pricing, duties,
value added taxes, and other tax regulations, and changes thereto;
-
uncertainties relating to interpretation and enforcement of
legislation in China governing direct selling;
-
uncertainties relating to the interpretation, enforcement or amendment
of legislation in India governing direct selling;
-
our inability to obtain the necessary licenses to expand our direct
selling business in China;
-
adverse changes in the Chinese economy, Chinese legal system or
Chinese governmental policies;
-
our dependence on increased penetration of existing markets;
-
contractual limitations on our ability to expand our business;
-
our reliance on our information technology infrastructure and outside
manufacturers;
-
the sufficiency of trademarks and other intellectual property rights;
-
product concentration;
-
changes in tax laws, treaties or regulations, or their interpretation;
-
taxation relating to our Members;
-
product liability claims;
-
whether we will purchase any of our shares in the open markets or
otherwise; and
-
share price volatility related to, among other things, speculative
trading and certain traders shorting our common shares.
We do not undertake any obligation to update or release any revisions
to any forward-looking statement or to report any events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events, except as required by law.
RESULTS OF OPERATIONS:
|
|
|
|
|
Herbalife Ltd. and Subsidiaries
|
Condensed Consolidated Statements of Income
|
(In thousands, except per share amounts)
|
(Unaudited)
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
3/31/2014
|
|
3/31/2013
|
|
|
|
|
|
North America
|
|
$
|
247,860
|
|
$
|
221,473
|
Mexico
|
|
|
142,663
|
|
|
132,889
|
South and Central America
|
|
|
244,623
|
|
|
219,515
|
EMEA
|
|
|
211,135
|
|
|
169,585
|
Asia Pacific
|
|
|
280,496
|
|
|
311,747
|
China
|
|
|
135,872
|
|
|
68,438
|
Worldwide net sales
|
|
|
1,262,649
|
|
|
1,123,647
|
Cost of Sales
|
|
|
251,165
|
|
|
225,977
|
Gross Profit
|
|
|
1,011,484
|
|
|
897,670
|
Royalty Overrides
|
|
|
381,819
|
|
|
364,029
|
Selling, General and Administrative Expenses (1)
|
|
|
502,062
|
|
|
364,720
|
Operating Income
|
|
|
127,603
|
|
|
168,921
|
Interest Expense, net
|
|
|
14,961
|
|
|
5,373
|
Other Expense, net (1)
|
|
|
3,161
|
|
|
-
|
Income before income taxes
|
|
|
109,481
|
|
|
163,548
|
Income Taxes
|
|
|
34,853
|
|
|
44,675
|
Net Income
|
|
|
74,628
|
|
|
118,873
|
|
|
|
|
|
Basic Shares
|
|
|
95,397
|
|
|
104,121
|
Diluted Shares
|
|
|
100,780
|
|
|
108,068
|
|
|
|
|
|
Basic EPS
|
|
$
|
0.78
|
|
$
|
1.14
|
Diluted EPS
|
|
$
|
0.74
|
|
$
|
1.10
|
|
|
|
|
|
Dividends declared per share
|
|
$
|
0.30
|
|
$
|
0.30
|
|
|
|
|
|
|
|
|
|
|
(1) As discussed in Note 2 of the quarterly report on
Form 10-Q for the quarter ended March 31, 2014, Selling, General
and Administrative Expenses and Other Expense, net for the three
months ended March 31, 2014 includes an $89.3 million pre-tax
unfavorable impact related to the remeasurement of Venezuela
Bolivar-denominated assets and liabilities at the SICAD I rate of
10.7 Venezuela Bolivars per U.S. dollar.
|
|
Herbalife Ltd. and Subsidiaries
|
Condensed Consolidated Balance Sheets
|
(In thousands)
|
(Unaudited)
|
|
|
Mar 31,
|
|
Dec 31,
|
|
|
|
2014
|
|
|
|
2013
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
Current Assets:
|
|
|
|
|
Cash & cash equivalents
|
|
$
|
1,261,921
|
|
|
$
|
972,974
|
|
Receivables, net
|
|
|
118,610
|
|
|
|
100,326
|
|
Inventories
|
|
|
324,992
|
|
|
|
351,201
|
|
Prepaid expenses and other current assets
|
|
|
162,842
|
|
|
|
148,774
|
|
Deferred income taxes
|
|
|
67,739
|
|
|
|
69,845
|
|
Total Current Assets
|
|
|
1,936,104
|
|
|
|
1,643,120
|
|
|
|
|
|
|
Property, net
|
|
|
346,363
|
|
|
|
318,860
|
|
Deferred compensation plan assets
|
|
|
26,969
|
|
|
|
26,821
|
|
Deferred financing cost, net
|
|
|
27,367
|
|
|
|
4,896
|
|
Other assets
|
|
|
103,567
|
|
|
|
63,713
|
|
Marketing related intangibles and other intangible assets, net
|
|
|
310,729
|
|
|
|
310,801
|
|
Goodwill
|
|
|
105,490
|
|
|
|
105,490
|
|
Total Assets
|
|
$
|
2,856,589
|
|
|
$
|
2,473,701
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
|
|
Current Liabilities:
|
|
|
|
|
Accounts payable
|
|
$
|
87,174
|
|
|
$
|
82,665
|
|
Royalty overrides
|
|
|
259,758
|
|
|
|
266,952
|
|
Accrued compensation
|
|
|
74,940
|
|
|
|
111,905
|
|
Accrued expenses
|
|
|
276,532
|
|
|
|
267,501
|
|
Current portion of long-term debt
|
|
|
87,509
|
|
|
|
81,250
|
|
Advance sales deposits
|
|
|
83,592
|
|
|
|
68,079
|
|
Income taxes payable
|
|
|
32,400
|
|
|
|
43,826
|
|
Total Current Liabilities
|
|
|
901,905
|
|
|
|
922,178
|
|
|
|
|
|
|
Non-current liabilities
|
|
|
|
|
Long-term debt, net of current portion
|
|
|
1,760,778
|
|
|
|
850,019
|
|
Deferred compensation plan liability
|
|
|
40,523
|
|
|
|
37,226
|
|
Deferred income taxes
|
|
|
63,182
|
|
|
|
66,026
|
|
Other non-current liabilities
|
|
|
48,095
|
|
|
|
46,806
|
|
Total Liabilities
|
|
|
2,814,483
|
|
|
|
1,922,255
|
|
|
|
|
|
|
Contingencies
|
|
|
|
|
|
|
|
|
|
Shareholders' equity:
|
|
|
|
|
Common shares
|
|
|
101
|
|
|
|
101
|
|
Paid-in capital in excess of par value
|
|
|
423,515
|
|
|
|
323,860
|
|
Accumulated other comprehensive loss
|
|
|
(22,485
|
)
|
|
|
(19,794
|
)
|
(Accumulated deficit) retained earnings
|
|
|
(359,025
|
)
|
|
|
247,279
|
|
Total Shareholders' Equity
|
|
|
42,106
|
|
|
|
551,446
|
|
|
|
|
|
|
Total Liabilities and Shareholders' Equity
|
|
$
|
2,856,589
|
|
|
$
|
2,473,701
|
|
|
|
|
|
|
|
|
|
|
|
Herbalife Ltd. and Subsidiaries
|
Condensed Consolidated Statements of Cash Flows
|
(In thousands)
|
(Unaudited)
|
|
|
|
Three Months Ended
|
|
|
|
3/31/2014
|
|
|
|
3/31/2013
|
|
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
Net income
|
|
$
|
74,628
|
|
|
$
|
118,873
|
|
Adjustments to reconcile net income to net cash provided by
|
|
|
|
|
operating activities:
|
|
|
|
|
Depreciation and amortization
|
|
|
21,283
|
|
|
|
20,964
|
|
Excess tax benefits from share-based payment arrangements
|
|
|
(3,154
|
)
|
|
|
(447
|
)
|
Share based compensation expenses
|
|
|
10,995
|
|
|
|
7,866
|
|
Non-cash interest expense and amortization of deferred financing and
issuance costs
|
|
|
7,154
|
|
|
|
650
|
|
Deferred income taxes
|
|
|
(2,313
|
)
|
|
|
(3,773
|
)
|
Inventory write-downs
|
|
|
11,037
|
|
|
|
6,554
|
|
Unrealized foreign exchange transaction loss (gain)
|
|
|
3,390
|
|
|
|
(10,971
|
)
|
Foreign exchange loss relating to Venezuela
|
|
|
86,108
|
|
|
|
15,116
|
|
Other
|
|
|
4,462
|
|
|
|
(890
|
)
|
Changes in operating assets and liabilities:
|
|
|
|
|
Receivables
|
|
|
(17,953
|
)
|
|
|
3,216
|
|
Inventories
|
|
|
14,198
|
|
|
|
(1,542
|
)
|
Prepaid expenses and other current assets
|
|
|
(23,850
|
)
|
|
|
(8,200
|
)
|
Other assets
|
|
|
(5,180
|
)
|
|
|
(15
|
)
|
Accounts payable
|
|
|
6,224
|
|
|
|
4,900
|
|
Royalty overrides
|
|
|
(3,703
|
)
|
|
|
(21,472
|
)
|
Accrued expenses and accrued compensation
|
|
|
(12,487
|
)
|
|
|
(15,517
|
)
|
Advance sales deposits
|
|
|
17,416
|
|
|
|
(3,857
|
)
|
Income taxes
|
|
|
(903
|
)
|
|
|
23,097
|
|
Deferred compensation plan liability
|
|
|
3,297
|
|
|
|
3,075
|
|
NET CASH PROVIDED BY OPERATING ACTIVITIES
|
|
|
190,649
|
|
|
|
137,627
|
|
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
Purchases of property, plant and equipment
|
|
|
(58,517
|
)
|
|
|
(24,856
|
)
|
Proceeds from sale of property, plant and equipment
|
|
|
2
|
|
|
|
24
|
|
Investments in Venezuelan bonds
|
|
|
(3,224
|
)
|
|
|
-
|
|
NET CASH USED IN INVESTING ACTIVITIES
|
|
|
(61,739
|
)
|
|
|
(24,832
|
)
|
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
Dividends paid
|
|
|
(30,399
|
)
|
|
|
(30,904
|
)
|
Dividends received
|
|
|
3,444
|
|
|
|
-
|
|
Payments for capped call transactions
|
|
|
(123,825
|
)
|
|
|
-
|
|
Borrowings from long-term debt
|
|
|
1,150,000
|
|
|
|
513,223
|
|
Principal payments on long-term debt
|
|
|
(18,750
|
)
|
|
|
(25,509
|
)
|
Debt issuance costs
|
|
|
(28,837
|
)
|
|
|
-
|
|
Share repurchases
|
|
|
(694,503
|
)
|
|
|
(164,485
|
)
|
Excess tax benefits from share-based payment arrangements
|
|
|
3,154
|
|
|
|
447
|
|
Proceeds from exercise of stock options and sale of stock under
employee stock purchase plan
|
|
|
60
|
|
|
|
425
|
|
NET CASH PROVIDED BY FINANCING ACTIVITIES
|
|
|
260,344
|
|
|
|
293,197
|
|
EFFECT OF EXCHANGE RATE CHANGES ON CASH
|
|
|
(100,307
|
)
|
|
|
(17,052
|
)
|
NET CHANGE IN CASH AND CASH EQUIVALENTS
|
|
|
288,947
|
|
|
|
388,940
|
|
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD
|
|
|
972,974
|
|
|
|
333,534
|
|
CASH AND CASH EQUIVALENTS, END OF PERIOD
|
|
|
1,261,921
|
|
|
|
722,474
|
|
CASH PAID DURING THE PERIOD
|
|
|
|
|
Interest paid
|
|
$
|
7,533
|
|
|
$
|
5,486
|
|
Income taxes paid
|
|
$
|
39,403
|
|
|
$
|
31,853
|
|
NON CASH ACTIVITIES
|
|
|
|
|
Accrued capital expenditures
|
|
$
|
20,452
|
|
|
$
|
10,070
|
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL INFORMATION
SCHEDULE A: RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(unaudited
and unreviewed), (dollars in thousands, except per share data)
In addition to its reported results, the company has included in the
tables below adjusted results that the Securities and Exchange
Commission defines as “non-GAAP financial measures.” Management
believes that such non-GAAP financial measures, when read in conjunction
with the company’s reported results, can provide useful supplemental
information for investors in analyzing period to period comparisons of
the company’s results.
The following is a reconciliation of net income, presented and
reported in accordance with U.S. generally accepted accounting
principles, to net income adjusted for certain items:
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
3/31/2014
|
|
3/31/2013
|
|
|
(in thousands)
|
|
|
|
|
|
Net income, as reported
|
|
$
|
74,628
|
|
$
|
118,873
|
Remeasurement loss relating to Venezuela (1)(2)
|
|
|
66,602
|
|
|
10,524
|
Expenses incurred responding to attacks on the Company's business
model (1)(3)
|
|
|
3,307
|
|
|
7,979
|
Expenses related to the FTC inquiry (1)(4)
|
|
|
670
|
|
|
-
|
Non-cash interest expense and amortization of non-cash issuance
costs (5)
|
|
|
5,843
|
|
|
-
|
Net income, as adjusted
|
|
$
|
151,050
|
|
$
|
137,376
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following is a reconciliation of diluted earnings per share,
presented and reported in accordance with U.S. generally accepted
accounting principles, to diluted earnings per share adjusted for
certain items:
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
3/31/2014
|
|
3/31/2013
|
|
|
|
|
|
Diluted earnings per share, as reported
|
|
$
|
0.74
|
|
$
|
1.10
|
Remeasurement loss relating to Venezuela (1)(2)
|
|
|
0.66
|
|
|
0.10
|
Expenses incurred responding to attacks on the Company's business
model (1)(3)
|
|
|
0.03
|
|
|
0.07
|
Expenses related to the FTC inquiry (1)(4)
|
|
|
0.01
|
|
|
-
|
Non-cash interest expense and amortization of non-cash issuance
costs (5)
|
|
|
0.06
|
|
|
-
|
Diluted earnings per share, as adjusted
|
|
$
|
1.50
|
|
$
|
1.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Based on interim income tax reporting rules, these
expenses are not considered discrete items. As a result, the
company's 2014 full year effective tax rate is impacted by these
items. When applying the full year effective tax rate to
year-to-date income, the company's year-to-date tax provision
recorded with respect to these non-GAAP adjustments is different
from the forecasted full-year tax provision impact of these items.
As a consequence, adjustments to the year-to-date and quarterly
tax impacts will be recorded as the adjusted full year effective
tax rate is applied to income in subsequent periods. Additionally,
adjustments to items unrelated to these non-GAAP adjustments may
have an effect on the income tax impact of these non-GAAP
adjustments in subsequent periods. The company plans to update the
income tax impact of these items in subsequent interim reporting
periods.
|
(2) Net of $22,666 and $4,591 tax benefit for the three
months ended March 31, 2014 and 2013, respectively.
|
(3) Net of $995 and $1,515 tax benefit for the three
months ended March 31, 2014 and 2013, respectively.
|
(4) Net of $240 tax benefit for the three months ended
March 31, 2014.
|
(5) Relates to non-cash expense on our convertible notes
and prepaid forward share repurchase contract
|
|
|
|
The following is a reconciliation of total long-term debt to net debt:
|
|
|
3/31/2014
|
|
|
12/31/2013
|
|
|
|
|
|
|
Total long-term debt (current and long-term portion)
|
|
$
|
1,848,287
|
|
$
|
931,269
|
|
Less: Cash and cash equivalents
|
|
|
1,261,921
|
|
|
972,974
|
|
Net debt
|
|
$
|
586,366
|
|
$
|
(41,705
|
)
|
|
|
|
|
|
|
|
|
Copyright Business Wire 2014