 |
|
|
 |
CONSOLIDATED FINANCIAL STATEMENTS |
|
|
| CONSOLIDATED STATEMENTS OF CASH FLOW |
FISCAL |
|
|
| (In thousands) |
2002 |
2003 |
2004 |
|
Cash flows from operating activities:
Net income from continuing operations |
$ |
53,615 |
|
$ |
263,202 |
|
$ |
317,030 |
|
 |
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation |
|
58,841 |
|
|
73,776 |
|
|
77,604 |
|
|
| Acquisition-related charges |
|
159,395 |
|
|
33,947 |
|
|
24,472 |
|
|
| Amortization of purchased software |
|
7,159 |
|
|
13,796 |
|
|
13,456 |
|
|
| Amortization of other purchased intangible assets |
|
- |
|
|
2,677 |
|
|
5,982 |
|
|
| Charge for purchased research and development |
|
2,151 |
|
|
8,859 |
|
|
- |
|
|
| Amortization of deferred compensation not related to acquisitions |
|
2,534 |
|
|
2,714 |
|
|
6,232 |
|
|
| Charge (credit) for vacant facilities |
|
13,237 |
|
|
(1,069 |
) |
|
729 |
|
|
| Loss on disposal of property and equipment |
|
3,227 |
|
|
2,348 |
|
|
2,754 |
|
|
| Loss on impairment of goodwill and purchased intangible assets |
|
27,270 |
|
|
- |
|
|
18,664 |
|
|
| Loss on impairment of long-lived asset |
|
27,000 |
|
|
- |
|
|
- |
|
|
| Amortization of premiums and discounts on available-for-sale debt securities |
|
9,328 |
|
|
7,978 |
|
|
12,449 |
|
|
| Net realized (gains) losses on sales of available-for-sale debt securities |
|
(1,716 |
) |
|
(1,836 |
) |
|
(391 |
) |
|
| Net (gains) losses from marketable securities and other investments |
|
15,535 |
|
|
(10,912 |
) |
|
(1,729 |
) |
|
| Deferred income taxes |
|
(21,575 |
) |
|
22,541 |
|
|
51,695 |
|
|
| Tax benefit from employee stock options |
|
53,246 |
|
|
47,780 |
|
|
27,061 |
|
|
| Gain on foreign exchange transactions |
|
(140 |
) |
|
(5,362 |
) |
|
(3,088 |
) |
|
| Net gain on divestiture of businesses |
|
(8,308 |
) |
|
- |
|
|
- |
|
|
| Subtotal |
|
400,799 |
|
|
460,439 |
|
|
552,920 |
|
|
Changes in operating assets and liabilities:
Accounts receivable |
|
(11,520 |
) |
|
(31,672 |
) |
|
(1,920 |
) |
|
| Income taxes receivable |
|
(2,187 |
) |
|
2,187 |
|
|
- |
|
|
| Prepaid expenses and other current assets |
|
(11,144 |
) |
|
23,446 |
|
|
(12,783 |
) |
|
| Accounts payable |
|
8,522 |
|
|
(14,968 |
) |
|
11,498 |
|
|
| Accrued compensation and related liabilities |
|
21,578 |
|
|
31,019 |
|
|
16,185 |
|
|
| Deferred revenue |
|
12,488 |
|
|
24,429 |
|
|
44,305 |
|
|
| Income taxes payable |
|
(65,726 |
) |
|
82,590 |
|
|
(54,646 |
) |
|
| Other current liabilities |
|
(1,187 |
) |
|
(7,282 |
) |
|
19,016 |
|
|
| Total changes in operating assets and liabilities |
|
(49,176 |
) |
|
109,749 |
|
|
21,655 |
|
|
| Net cash provided by operating activities |
|
351,623 |
|
|
570,188 |
|
|
574,575 |
|
|
Cash flows from investing activities:
Purchases of available-for-sale debt securities |
|
(2,849,548 |
) |
|
(2,302,536 |
) |
|
(3,554,863 |
) |
|
| Liquidation and maturity of available-for-sale debt securities |
|
3,144,644 |
|
|
2,071,902 |
|
|
3,490,533 |
|
|
| Proceeds from the sale of marketable securities |
|
23,435 |
|
|
37,546 |
|
|
- |
|
|
| Net change in funds held for payroll customers' money market funds and other cash equivalents |
|
(50,938 |
) |
|
(5,598 |
) |
|
77,166 |
|
|
| Purchases of property and equipment |
|
(43,496 |
) |
|
(41,696 |
) |
|
(52,260 |
) |
|
| Capitalization of internal use software |
|
(19,923 |
) |
|
(43,048 |
) |
|
(65,879 |
) |
|
| Change in other assets |
|
(9,582 |
) |
|
(122 |
) |
|
814 |
|
|
| Net change in payroll customer fund deposits |
|
51,087 |
|
|
5,626 |
|
|
17,034 |
|
|
| Acquisitions of businesses, net of cash acquired |
|
(284,065 |
) |
|
(214,807 |
) |
|
(123,550 |
) |
|
| Net cash used in investing activities |
|
(38,386 |
) |
|
(492,733 |
) |
|
(211,005 |
) |
|
Cash flows from financing activities:
Change in long-term obligations |
|
(11,333 |
) |
|
(3,297 |
) |
|
(15,492 |
) |
|
| Net proceeds from issuance of common stock under stock plans |
|
133,565 |
|
|
155,861 |
|
|
119,140 |
|
|
| Purchase of treasury stock |
|
(318,350 |
) |
|
(814,327 |
) |
|
(610,184 |
) |
|
| Net cash used in financing activities |
|
(196,118 |
) |
|
(661,763 |
) |
|
(506,536 |
) |
|
| Net cash provided by discontinued operations |
|
225,210 |
|
|
341,372 |
|
|
- |
|
|
| Effect of exchange rates on cash and cash equivalents |
|
(291 |
) |
|
4,031 |
|
|
172 |
|
|
| Net increase (decrease) in cash and cash equivalents |
|
342,038 |
|
|
(238,905 |
) |
|
(142,794 |
) |
|
| Cash and cash equivalents at beginning of period |
|
66,910 |
|
|
408,948 |
|
|
170,043 |
|
|
| Cash and cash equivalents at end of period |
$ |
408,948 |
|
$ |
170,043 |
|
$ |
27,249 |
|
|
|
|
Supplemental disclosure of cash flow information:
Interest paid |
$ |
1,768 |
|
$ |
890 |
|
$ |
314 |
|
|
|
|
| Income taxes paid (refunded) |
$ |
101,645 |
|
$ |
(21,684 |
) |
$ |
112,357 |
|
|
|
|
| Capital lease obligations incurred for aquisition of equipment |
$ |
- |
|
$ |
- |
|
$ |
7,435 |
|
|
|
|
See accompanying notes.
|
|
|
