Cabela's 2013 Annual Report Download - page 67

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57
On August 28, 2013, pursuant to the provisions of the Reform Act, the SEC, the Federal Reserve, the FDIC,
and certain other federal agencies re-proposed regulations requiring securitization sponsors to retain an economic
interest in assets that they securitize. We cannot predict at this time whether WFB’s existing forms of risk retention
will satisfy the regulatory requirements, whether structural changes will be necessary, or whether the final rules
will impact the Financial Services segment’s ability or desire to continue to rely on the securitization market
for funding.
Operating, Investing and Financing Activities
The following table presents changes in our cash and cash equivalents for the years ended:
2013 2012 2011
(In Thousands)
Net cash provided by operating activities $ 345,004 $ 234,629 $ 366,468
Net cash used in investing activities (793,031) (612,367) (532,040)
Net cash provided by financing activities 358,349 361,809 333,832
2013 versus 2012
Operating Activities – Cash from operating activities increased $110 million in 2013 compared to 2012.
This increase was primarily the result of higher earnings of $51 million in 2013, a decrease in income taxes paid
of $54 million, and a $51 million decrease from 2012 in prepaid expenses related to the Visa interchange funding
of our Financial Services segment. In 2013, we paid $83 million in income taxes compared to $137 million in
2012. Partially offsetting these increases to cash from operating activities was a reduction in accounts payable of
$24 million compared to 2012 and a net change in cash expended of $34 million for inventories. Our inventories
increased $92 million at December 28, 2013, to $645 million, compared to 2012, while inventories increased
$58 million at December 29, 2012, resulting in a net cash outflow of $34 million. The increase in inventories in
2013 was primarily due to the addition of new retail stores.
Investing Activities – Cash used in investing activities increased $181 million in 2013 compared to 2012.
Cash paid for property and equipment additions totaled $333 million in 2013 compared to $214 million in 2012. At
December 28, 2013, we estimated total capital expenditures for the development, construction, and completion of
retail stores to approximate $384 million through the next 12 months. We expect to fund these estimated capital
expenditures with funds from operations. In addition, we had a net decrease in cash of $51 million related to our
credit card loans originated from outside sources.
The following table presents the growth of our retail stores, and the activity of economic development bonds
related to the construction of these stores and related projects, for the years ended:
2013 2012
(Dollars in Thousands)
Cash paid for property and equipment additions $ 333,009 $ 214,267
Proceeds from retirements and maturities of economic development bonds 3,473 3,151
Number of new retail stores opened during the year, including the
Winnipeg relocation 11 6
Number of retail stores at the end of the year 50 40
Retail square footage at the end of the year 5,890,000 5,142,000