Starbucks 2006 Annual Report Download - page 43

Download and view the complete annual report

Please find page 43 of the 2006 Starbucks annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 83

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83

CONSOLIDATED STATEMENTS OF CASH FLOWS
In thousands
FISCAL YEAR ENDED Oct 1, 2006 Oct 2, 2005 Oct 3, 2004
OPERATING ACTIVITIES
Net earnings $ 564,259 $ 494,370 $ 388,880
Adjustments to reconcile net earnings to net cash provided by operating activities:
Cumulative effect of accounting change for FIN 47, net of taxes 17,214 — —
Depreciation and amortization 412,625 367,207 314,047
Provision for impairments and asset disposals 19,622 19,464 17,948
Deferred income taxes, net (84,324) (31,253) (3,770)
Equity in income of investees (60,570) (49,537) (31,707)
Distributions of income from equity investees 49,238 30,919 38,328
Stock-based compensation 105,664 — —
Tax benefit from exercise of stock options 1,318 109,978 63,405
Excess tax benefit from exercise of stock options (117,368) — —
Net amortization of premium on securities 2,013 10,097 11,603
Cash provided/(used) by changes in operating assets and liabilities:
Inventories (85,527) (121,618) (77,662)
Accounts payable 104,966 9,717 27,948
Accrued compensation and related costs 54,424 22,711 54,929
Accrued taxes 132,725 14,435 7,677
Deferred revenue 56,547 53,276 47,590
Other operating assets and liabilities (41,193) (6,851) 3,702
Net cash provided by operating activities 1,131,633 922,915 862,918
INVESTING ACTIVITIES
Purchase of available-for-sale securities (639,192) (643,488) (887,969)
Maturity of available-for-sale securities 269,134 469,554 170,789
Sale of available-for-sale securities 431,181 626,113 452,467
Acquisitions, net of cash acquired (91,734) (21,583) (7,515)
Net purchases of equity, other investments and other assets (39,199) (7,915) (64,747)
Net additions to property, plant and equipment (771,230) (643,296) (416,917)
Net cash used by investing activities (841,040) (220,615) (753,892)
FINANCING ACTIVITIES
Proceeds from issuance of common stock 159,249 163,555 137,590
Excess tax benefit from exercise of stock options 117,368 — —
Net borrowings under revolving credit facility 423,000 277,000 —
Principal payments on long-term debt (898) (735) (722)
Repurchase of common stock (854,045) (1,113,647) (203,413)
Net cash used by financing activities (155,326) (673,827) (66,545)
Effect of exchange rate changes on cash and cash equivalents 3,530 283 3,110
Net increase in cash and cash equivalents 138,797 28,756 45,591
CASH AND CASH EQUIVALENTS
Beginning of period 173,809 145,053 99,462
End of period $ 312,606 $ 173,809 $ 145,053
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid during the year for:
Interest $ 10,576 $ 1,060 $ 370
Income taxes $ 274,134 $ 227,812 $ 172,759
See Notes to Consolidated Financial Statements.
STARBUCKS CORPORATION, FORM 10-K 39