Supplemental Consolidating Guarantor and Non-Guarantor Financial Information (Tables)
|
12 Months Ended |
Dec. 31, 2012
|
Consolidating Statements of Comprehensive Income |
Consolidating
Statements of Comprehensive Income
For the year
ended December 31, 2012
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
Net sales
|
|
$ |
— |
|
|
$ |
517,135 |
|
|
$ |
18,837 |
|
|
$ |
19,493 |
|
|
$ |
— |
|
|
$ |
555,465 |
|
Cost of sales
|
|
|
— |
|
|
|
247,964 |
|
|
|
14,162 |
|
|
|
12,878 |
|
|
|
12 |
|
|
|
275,016 |
|
Selling, general and
administrative expenses
|
|
|
1,043 |
|
|
|
174,667 |
|
|
|
3,717 |
|
|
|
8,903 |
|
|
|
— |
|
|
|
188,330 |
|
Acquisition and integration
expense
|
|
|
— |
|
|
|
3,031 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,031 |
|
Depreciation
|
|
|
— |
|
|
|
21,839 |
|
|
|
88 |
|
|
|
82 |
|
|
|
— |
|
|
|
22,009 |
|
Amortization
|
|
|
18,058 |
|
|
|
3,298 |
|
|
|
— |
|
|
|
396 |
|
|
|
— |
|
|
|
21,752 |
|
Intercompany administrative
(income) expense
|
|
|
— |
|
|
|
(347 |
) |
|
|
— |
|
|
|
347 |
|
|
|
— |
|
|
|
— |
|
Management and transaction
fees to related party
|
|
|
— |
|
|
|
155 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
155 |
|
Other (income) expense,
net
|
|
|
(358 |
) |
|
|
4,877 |
|
|
|
(11 |
) |
|
|
(304 |
) |
|
|
— |
|
|
|
4,204 |
|
Income from
operations
|
|
|
(18,743 |
) |
|
|
61,651 |
|
|
|
881 |
|
|
|
(2,809 |
) |
|
|
(12 |
) |
|
|
40,968 |
|
Intercompany interest
(income) expense
|
|
|
(12,232 |
) |
|
|
12,232 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Interest expense,
net
|
|
|
(279 |
) |
|
|
41,415 |
|
|
|
— |
|
|
|
2 |
|
|
|
— |
|
|
|
41,138 |
|
Interest expense on junior
subordinated debentures
|
|
|
12,610 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,610 |
|
Investment income on trust
common securities
|
|
|
(378 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(378 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before equity
in subsidiaries’ income
|
|
|
(18,464 |
) |
|
|
8,004 |
|
|
|
881 |
|
|
|
(2,811 |
) |
|
|
(12 |
) |
|
|
(12,402 |
) |
Equity in
subsidiaries’ income (loss)
|
|
|
4,786 |
|
|
|
(2,023 |
) |
|
|
— |
|
|
|
— |
|
|
|
(2,763 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before income
taxes
|
|
|
(13,678 |
) |
|
|
5,981 |
|
|
|
881 |
|
|
|
(2,811 |
) |
|
|
(2,775 |
) |
|
|
(12,402 |
) |
Income tax provision
(benefit)
|
|
|
(6,456 |
) |
|
|
1,195 |
|
|
|
333 |
|
|
|
(240 |
) |
|
|
— |
|
|
|
(5,168 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(7,222 |
) |
|
$ |
4,786 |
|
|
$ |
548 |
|
|
$ |
(2,571 |
) |
|
$ |
(2,775 |
) |
|
$ |
(7,234 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustments
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,051 |
|
|
|
— |
|
|
|
1,051 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
(loss)
|
|
$ |
(7,222 |
) |
|
$ |
4,786 |
|
|
$ |
548 |
|
|
$ |
(1,520 |
) |
|
$ |
(2,775 |
) |
|
$ |
(6,183 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Statements of Comprehensive Income
For the year
ended December 31, 2011
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
Net sales
|
|
$ |
— |
|
|
$ |
465,033 |
|
|
$ |
23,634 |
|
|
$ |
17,859 |
|
|
$ |
— |
|
|
$ |
506,526 |
|
Cost of sales
|
|
|
— |
|
|
|
227,719 |
|
|
|
14,627 |
|
|
|
10,223 |
|
|
|
(78 |
) |
|
|
252,491 |
|
Selling, general and
administrative expenses
|
|
|
19 |
|
|
|
155,891 |
|
|
|
7,026 |
|
|
|
6,830 |
|
|
|
— |
|
|
|
169,766 |
|
Acquisition and integration
expense
|
|
|
— |
|
|
|
2,642 |
|
|
|
— |
|
|
|
163 |
|
|
|
— |
|
|
|
2,805 |
|
Depreciation
|
|
|
— |
|
|
|
21,139 |
|
|
|
121 |
|
|
|
73 |
|
|
|
— |
|
|
|
21,333 |
|
Amortization
|
|
|
18,433 |
|
|
|
2,077 |
|
|
|
207 |
|
|
|
— |
|
|
|
— |
|
|
|
20,717 |
|
Intercompany administrative
(income) expense
|
|
|
— |
|
|
|
(240 |
) |
|
|
— |
|
|
|
238 |
|
|
|
2 |
|
|
|
— |
|
Management and transaction
fees to related party
|
|
|
— |
|
|
|
110 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
110 |
|
Other (income) expense,
net
|
|
|
(19 |
) |
|
|
447 |
|
|
|
(16 |
) |
|
|
441 |
|
|
|
(2 |
) |
|
|
851 |
|
Income from
operations
|
|
|
(18,433 |
) |
|
|
55,248 |
|
|
|
1,669 |
|
|
|
(109 |
) |
|
|
78 |
|
|
|
38,453 |
|
Intercompany interest
(income) expense
|
|
|
(12,231 |
) |
|
|
12,231 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Interest expense,
net
|
|
|
(426 |
) |
|
|
41,105 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
40,679 |
|
Interest expense on junior
subordinated debentures
|
|
|
12,610 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,610 |
|
Investment income on trust
common securities
|
|
|
(378 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(378 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before equity
in subsidiaries’ income
|
|
|
(18,008 |
) |
|
|
1,912 |
|
|
|
1,669 |
|
|
|
(109 |
) |
|
|
78 |
|
|
|
(14,458 |
) |
Equity in
subsidiaries’ income (loss)
|
|
|
2,599 |
|
|
|
836 |
|
|
|
— |
|
|
|
— |
|
|
|
(3,435 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before income
taxes
|
|
|
(15,409 |
) |
|
|
2,748 |
|
|
|
1,669 |
|
|
|
(109 |
) |
|
|
(3,357 |
) |
|
|
(14,458 |
) |
Income tax provision
(benefit)
|
|
|
(5,552 |
) |
|
|
149 |
|
|
|
608 |
|
|
|
116 |
|
|
|
— |
|
|
|
(4,679 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(9,857 |
) |
|
$ |
2,599 |
|
|
$ |
1,061 |
|
|
$ |
(225 |
) |
|
$ |
(3,357 |
) |
|
$ |
(9,779 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustments
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(179 |
) |
|
|
— |
|
|
|
(179 |
) |
Change in derivative
security value
|
|
|
— |
|
|
|
624 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
624 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
(loss)
|
|
$ |
(9,857 |
) |
|
$ |
3,223 |
|
|
$ |
1,061 |
|
|
$ |
(404 |
) |
|
$ |
(3,357 |
) |
|
$ |
(9,334 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Statements of Comprehensive Income
For the seven
months ended December 31, 2010
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
Net sales
|
|
$ |
— |
|
|
$ |
258,391 |
|
|
$ |
10,087 |
|
|
$ |
8,202 |
|
|
$ |
— |
|
|
$ |
276,680 |
|
Cost of sales
|
|
|
— |
|
|
|
124,556 |
|
|
|
7,709 |
|
|
|
4,241 |
|
|
|
48 |
|
|
|
136,554 |
|
Selling, general and
administrative expenses
|
|
|
283 |
|
|
|
84,773 |
|
|
|
1,964 |
|
|
|
3,740 |
|
|
|
— |
|
|
|
90,760 |
|
Acquisition and integration
expense
|
|
|
— |
|
|
|
11,145 |
|
|
|
— |
|
|
|
5 |
|
|
|
— |
|
|
|
11,150 |
|
Depreciation
|
|
|
— |
|
|
|
10,924 |
|
|
|
50 |
|
|
|
33 |
|
|
|
— |
|
|
|
11,007 |
|
Amortization
|
|
|
10,669 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
10,669 |
|
Intercompany administrative
(income) expense
|
|
|
— |
|
|
|
(140 |
) |
|
|
— |
|
|
|
140 |
|
|
|
— |
|
|
|
— |
|
Management and transaction
fees to related party
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Other (income) expense,
net
|
|
|
(283 |
) |
|
|
450 |
|
|
|
2 |
|
|
|
(314 |
) |
|
|
— |
|
|
|
(145 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
|
|
(10,669 |
) |
|
|
26,683 |
|
|
|
362 |
|
|
|
357 |
|
|
|
(48 |
) |
|
|
16,685 |
|
Intercompany interest
(income) expense
|
|
|
(7,135 |
) |
|
|
7,136 |
|
|
|
— |
|
|
|
— |
|
|
|
(1 |
) |
|
|
— |
|
Interest expense,
net
|
|
|
(248 |
) |
|
|
20,959 |
|
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
20,712 |
|
Interest on mandatorily
redeemable preferred stock and management purchased
options
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Interest expense on junior
subordinated debentures
|
|
|
7,356 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
7,356 |
|
Investment income on trust
common securities
|
|
|
(220 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(220 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before equity
in subsidiaries’ income
|
|
|
(10,422 |
) |
|
|
(1,412 |
) |
|
|
362 |
|
|
|
357 |
|
|
|
(48 |
) |
|
|
(11,163 |
) |
Equity in
subsidiaries’ income (loss)
|
|
|
(977 |
) |
|
|
435 |
|
|
|
— |
|
|
|
— |
|
|
|
542 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before income
taxes
|
|
|
(11,399 |
) |
|
|
(977 |
) |
|
|
362 |
|
|
|
357 |
|
|
|
494 |
|
|
|
(11,163 |
) |
Income tax provision
(benefit)
|
|
|
(3,409 |
) |
|
|
— |
|
|
|
138 |
|
|
|
146 |
|
|
|
— |
|
|
|
(3,125 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(7,990 |
) |
|
$ |
(977 |
) |
|
$ |
224 |
|
|
$ |
211 |
|
|
$ |
494 |
|
|
$ |
(8,038 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustments
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1 |
) |
|
|
— |
|
|
|
(1 |
) |
Change in derivative
security value
|
|
|
— |
|
|
|
(624 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(624 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
(loss)
|
|
$ |
(7,990 |
) |
|
$ |
(1,601 |
) |
|
$ |
224 |
|
|
$ |
210 |
|
|
$ |
494 |
|
|
$ |
(8,663 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Statements of Comprehensive Income
For the five
months ended May 28, 2010
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Predecessor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
Net sales
|
|
$ |
— |
|
|
$ |
175,470 |
|
|
$ |
6,244 |
|
|
$ |
4,002 |
|
|
$ |
— |
|
|
$ |
185,716 |
|
Cost of sales
|
|
|
— |
|
|
|
83,169 |
|
|
|
4,679 |
|
|
|
1,925 |
|
|
|
— |
|
|
|
89,773 |
|
Selling, general and
administrative expenses
|
|
|
19,069 |
|
|
|
60,784 |
|
|
|
1,396 |
|
|
|
1,601 |
|
|
|
— |
|
|
|
82,850 |
|
Acquisition and
integration
|
|
|
— |
|
|
|
11,342 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
11,342 |
|
Depreciation
|
|
|
— |
|
|
|
7,192 |
|
|
|
32 |
|
|
|
59 |
|
|
|
— |
|
|
|
7,283 |
|
Amortization
|
|
|
2,663 |
|
|
|
— |
|
|
|
15 |
|
|
|
— |
|
|
|
— |
|
|
|
2,678 |
|
Intercompany administrative
(income) expense
|
|
|
— |
|
|
|
(100 |
) |
|
|
— |
|
|
|
100 |
|
|
|
— |
|
|
|
— |
|
Management and transaction
fees to related party
|
|
|
438 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
438 |
|
Other (income) expense,
net
|
|
|
(16 |
) |
|
|
(11 |
) |
|
|
217 |
|
|
|
(76 |
) |
|
|
— |
|
|
|
114 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
|
(22,154 |
) |
|
|
13,094 |
|
|
|
(95 |
) |
|
|
393 |
|
|
|
— |
|
|
|
(8,762 |
) |
Intercompany interest
(income) expense
|
|
|
(5,097 |
) |
|
|
5,096 |
|
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
— |
|
Interest expense,
net
|
|
|
(154 |
) |
|
|
8,480 |
|
|
|
— |
|
|
|
2 |
|
|
|
(1 |
) |
|
|
8,327 |
|
Interest on mandatorily
redeemable preferred stock and management purchased
options
|
|
|
5,488 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,488 |
|
Interest expense on junior
subordinated debentures
|
|
|
5,254 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,254 |
|
Investment income on trust
common securities
|
|
|
(158 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(158 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before equity
in subsidiaries’ income
|
|
|
(27,487 |
) |
|
|
(482 |
) |
|
|
(95 |
) |
|
|
391 |
|
|
|
— |
|
|
|
(27,673 |
) |
Equity in
subsidiaries’ income (loss)
|
|
|
(398 |
) |
|
|
84 |
|
|
|
— |
|
|
|
— |
|
|
|
314 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before income
taxes
|
|
|
(27,885 |
) |
|
|
(398 |
) |
|
|
(95 |
) |
|
|
391 |
|
|
|
314 |
|
|
|
(27,673 |
) |
Income tax provision
(benefit)
|
|
|
(2,677 |
) |
|
|
— |
|
|
|
48 |
|
|
|
164 |
|
|
|
— |
|
|
|
(2,465 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(25,208 |
) |
|
$ |
(398 |
) |
|
$ |
(143 |
) |
|
$ |
227 |
|
|
$ |
314 |
|
|
$ |
(25,208 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustments
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
17 |
|
|
|
— |
|
|
|
17 |
|
Change in derivative
security value
|
|
|
— |
|
|
|
1,161 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,161 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
(loss)
|
|
$ |
(25,208 |
) |
|
$ |
763 |
|
|
$ |
(143 |
) |
|
$ |
244 |
|
|
$ |
314 |
|
|
$ |
(24,030 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating Statements of Balance Sheets |
Consolidating
Balance Sheet
As of
December 31, 2012
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The
Hillman
Companies, Inc.
|
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$ |
1 |
|
|
$ |
62,917 |
|
|
$ |
429 |
|
|
$ |
2,201 |
|
|
$ |
— |
|
|
$ |
65,548 |
|
Restricted
investments
|
|
|
846 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
846 |
|
Accounts
receivable
|
|
|
— |
|
|
|
65,916 |
|
|
|
6,473 |
|
|
|
(10,045 |
) |
|
|
— |
|
|
|
62,344 |
|
Inventories
|
|
|
— |
|
|
|
105,028 |
|
|
|
4,678 |
|
|
|
4,404 |
|
|
|
(272 |
) |
|
|
113,838 |
|
Deferred income
taxes
|
|
|
10,359 |
|
|
|
— |
|
|
|
610 |
|
|
|
221 |
|
|
|
(726 |
) |
|
|
10,464 |
|
Other current
assets
|
|
|
— |
|
|
|
6,526 |
|
|
|
145 |
|
|
|
1,835 |
|
|
|
— |
|
|
|
8,506 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
assets
|
|
|
11,206 |
|
|
|
240,387 |
|
|
|
12,335 |
|
|
|
(1,384 |
) |
|
|
(998 |
) |
|
|
261,546 |
|
Intercompany notes
receivable
|
|
|
105,446 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(105,446 |
) |
|
|
— |
|
Investments in
subsidiaries
|
|
|
(637,376 |
) |
|
|
27,204 |
|
|
|
— |
|
|
|
— |
|
|
|
610,172 |
|
|
|
— |
|
Property and
equipment
|
|
|
— |
|
|
|
67,902 |
|
|
|
191 |
|
|
|
399 |
|
|
|
— |
|
|
|
68,492 |
|
Goodwill
|
|
|
418,946 |
|
|
|
24,512 |
|
|
|
58 |
|
|
|
11,542 |
|
|
|
280 |
|
|
|
455,338 |
|
Other
intangibles
|
|
|
311,832 |
|
|
|
46,047 |
|
|
|
250 |
|
|
|
8,515 |
|
|
|
— |
|
|
|
366,644 |
|
Restricted
investments
|
|
|
3,399 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,399 |
|
Deferred income
taxes
|
|
|
29,492 |
|
|
|
— |
|
|
|
(411 |
) |
|
|
977 |
|
|
|
(30,058 |
) |
|
|
— |
|
Deferred financing
fees
|
|
|
— |
|
|
|
12,858 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,858 |
|
Investment in trust common
securities
|
|
|
3,261 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,261 |
|
Other assets
|
|
|
— |
|
|
|
3,521 |
|
|
|
25 |
|
|
|
709 |
|
|
|
— |
|
|
|
4,255 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$ |
246,206 |
|
|
$ |
422,431 |
|
|
$ |
12,448 |
|
|
$ |
20,758 |
|
|
$ |
473,950 |
|
|
$ |
1,175,793 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
$ |
— |
|
|
$ |
31,873 |
|
|
$ |
517 |
|
|
$ |
181 |
|
|
$ |
— |
|
|
$ |
32,571 |
|
Current portion of senior
term loans
|
|
|
— |
|
|
|
3,200 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,200 |
|
Current portion of
capitalized lease and other obligations
|
|
|
— |
|
|
|
819 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
819 |
|
Accrued
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and
wages
|
|
|
— |
|
|
|
8,930 |
|
|
|
217 |
|
|
|
204 |
|
|
|
— |
|
|
|
9,351 |
|
Pricing
allowances
|
|
|
— |
|
|
|
3,457 |
|
|
|
3 |
|
|
|
597 |
|
|
|
— |
|
|
|
4,057 |
|
Income and other
taxes
|
|
|
(625 |
) |
|
|
2,447 |
|
|
|
25 |
|
|
|
645 |
|
|
|
— |
|
|
|
2,492 |
|
Interest
|
|
|
— |
|
|
|
2,868 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,868 |
|
Deferred
compensation
|
|
|
846 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
846 |
|
Other accrued
expenses
|
|
|
— |
|
|
|
9,822 |
|
|
|
40 |
|
|
|
1,535 |
|
|
|
— |
|
|
|
11,397 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
|
221 |
|
|
|
63,416 |
|
|
|
802 |
|
|
|
3,162 |
|
|
|
— |
|
|
|
67,601 |
|
Consolidating
Balance Sheet
As of
December 31, 2012
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc.
|
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY (CONTINUED) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intercompany debt
payable
|
|
|
— |
|
|
|
105,446 |
|
|
|
— |
|
|
|
— |
|
|
|
(105,446 |
) |
|
|
— |
|
Long term senior term
loans
|
|
|
— |
|
|
|
307,727 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
307,727 |
|
Long term portion of
capitalized lease and other obligations
|
|
|
— |
|
|
|
245 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
245 |
|
Long term senior
notes
|
|
|
— |
|
|
|
272,942 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
272,942 |
|
Junior subordinated
debentures
|
|
|
115,132 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
115,132 |
|
Deferred
compensation
|
|
|
3,399 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,399 |
|
Deferred income taxes,
net
|
|
|
146,042 |
|
|
|
— |
|
|
|
219 |
|
|
|
2,472 |
|
|
|
(30,784 |
) |
|
|
117,949 |
|
Other non-current
liabilities
|
|
|
714 |
|
|
|
5,473 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,187 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
|
265,508 |
|
|
|
755,249 |
|
|
|
1,021 |
|
|
|
5,634 |
|
|
|
(136,230 |
) |
|
|
891,182 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock with put
options:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock, $.01 par,
5,000 shares authorized, 198.4 issued and outstanding at
December 31, 2012.
|
|
|
14,116 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
14,116 |
|
|
|
|
|
|
|
|
Commitments and
Contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders’
Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, $.01 par,
5,000 shares authorized, none issued and outstanding at
December 31, 2012.
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Common Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock, $.01 par,
5,000 shares authorized, 4,801.6 issued and outstanding at
December 31, 2012.
|
|
|
— |
|
|
|
— |
|
|
|
50 |
|
|
|
— |
|
|
|
(50 |
) |
|
|
— |
|
Additional paid-in
capital
|
|
|
117,261 |
|
|
|
(131,642 |
) |
|
|
10,304 |
|
|
|
17,192 |
|
|
|
281,560 |
|
|
|
294,675 |
|
Accumulated
deficit
|
|
|
(150,679 |
) |
|
|
(201,176 |
) |
|
|
1,073 |
|
|
|
(2,458 |
) |
|
|
328,189 |
|
|
|
(25,051 |
) |
Accumulated other
comprehensive loss
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
390 |
|
|
|
481 |
|
|
|
871 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders’
equity
|
|
|
(33,418 |
) |
|
|
(332,818 |
) |
|
|
11,427 |
|
|
|
15,124 |
|
|
|
610,180 |
|
|
|
270,495 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and
stockholders’ equity
|
|
$ |
246,206 |
|
|
$ |
422,431 |
|
|
$ |
12,448 |
|
|
$ |
20,758 |
|
|
$ |
473,950 |
|
|
$ |
1,175,793 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Balance Sheet
As of
December 31, 2011
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$ |
1 |
|
|
$ |
8,852 |
|
|
$ |
547 |
|
|
$ |
2,627 |
|
|
$ |
— |
|
|
$ |
12,027 |
|
Restricted
investments
|
|
|
364 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
364 |
|
Accounts
receivable
|
|
|
— |
|
|
|
59,429 |
|
|
|
1,273 |
|
|
|
2,863 |
|
|
|
— |
|
|
|
63,565 |
|
Inventories
|
|
|
— |
|
|
|
95,757 |
|
|
|
5,117 |
|
|
|
3,361 |
|
|
|
(260 |
) |
|
|
103,975 |
|
Deferred income
taxes
|
|
|
8,176 |
|
|
|
1,676 |
|
|
|
587 |
|
|
|
211 |
|
|
|
(742 |
) |
|
|
9,908 |
|
Other current
assets
|
|
|
— |
|
|
|
10,620 |
|
|
|
3,976 |
|
|
|
(8,950 |
) |
|
|
— |
|
|
|
5,646 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
assets
|
|
|
8,541 |
|
|
|
176,334 |
|
|
|
11,500 |
|
|
|
112 |
|
|
|
(1,002 |
) |
|
|
195,485 |
|
Intercompany notes
receivable
|
|
|
105,446 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(105,446 |
) |
|
|
— |
|
Investments in
subsidiaries
|
|
|
(628,481 |
) |
|
|
91,378 |
|
|
|
— |
|
|
|
— |
|
|
|
537,103 |
|
|
|
— |
|
Property and
equipment
|
|
|
— |
|
|
|
65,897 |
|
|
|
174 |
|
|
|
271 |
|
|
|
— |
|
|
|
66,342 |
|
Goodwill
|
|
|
419,752 |
|
|
|
26,409 |
|
|
|
58 |
|
|
|
10,944 |
|
|
|
280 |
|
|
|
457,443 |
|
Other
intangibles
|
|
|
329,891 |
|
|
|
47,655 |
|
|
|
250 |
|
|
|
8,406 |
|
|
|
— |
|
|
|
386,202 |
|
Restricted
investments
|
|
|
3,390 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,390 |
|
Deferred income
taxes
|
|
|
28,200 |
|
|
|
321 |
|
|
|
(108 |
) |
|
|
561 |
|
|
|
(28,974 |
) |
|
|
— |
|
Deferred financing
fees
|
|
|
— |
|
|
|
13,055 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
13,055 |
|
Investment in trust common
securities
|
|
|
3,261 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,261 |
|
Other assets
|
|
|
— |
|
|
|
1,676 |
|
|
|
25 |
|
|
|
972 |
|
|
|
— |
|
|
|
2,673 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$ |
270,000 |
|
|
$ |
422,725 |
|
|
$ |
11,899 |
|
|
$ |
21,266 |
|
|
$ |
401,961 |
|
|
$ |
1,127,851 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
$ |
— |
|
|
$ |
29,997 |
|
|
$ |
655 |
|
|
$ |
621 |
|
|
$ |
— |
|
|
$ |
31,273 |
|
Current portion of senior
term loans
|
|
|
— |
|
|
|
3,200 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,200 |
|
Current portion of
capitalized lease obligations
|
|
|
— |
|
|
|
31 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
31 |
|
Additional acquisition
consideration
|
|
|
— |
|
|
|
12,387 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,387 |
|
Accrued
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and
wages
|
|
|
— |
|
|
|
5,303 |
|
|
|
110 |
|
|
|
215 |
|
|
|
— |
|
|
|
5,628 |
|
Pricing
allowances
|
|
|
— |
|
|
|
5,291 |
|
|
|
— |
|
|
|
437 |
|
|
|
— |
|
|
|
5,728 |
|
Income and other
taxes
|
|
|
(549 |
) |
|
|
2,342 |
|
|
|
15 |
|
|
|
445 |
|
|
|
— |
|
|
|
2,253 |
|
Interest
|
|
|
— |
|
|
|
2,203 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,203 |
|
Deferred
compensation
|
|
|
364 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
364 |
|
Other accrued
expenses
|
|
|
— |
|
|
|
8,762 |
|
|
|
39 |
|
|
|
406 |
|
|
|
— |
|
|
|
9,207 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
|
(185 |
) |
|
|
69,516 |
|
|
|
819 |
|
|
|
2,124 |
|
|
|
— |
|
|
|
72,274 |
|
Consolidating
Balance Sheet
As of
December 31, 2011
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc.
|
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY (CONTINUED) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intercompany debt
payable
|
|
|
— |
|
|
|
105,446 |
|
|
|
— |
|
|
|
— |
|
|
|
(105,446 |
) |
|
|
— |
|
Long term senior term
loans
|
|
|
— |
|
|
|
310,550 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
310,550 |
|
Bank revolving
credit
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Long term portion of
capitalized lease obligations
|
|
|
— |
|
|
|
103 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
103 |
|
Long term senior
notes
|
|
|
— |
|
|
|
204,248 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
204,248 |
|
Junior subordinated
debentures
|
|
|
115,411 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
115,411 |
|
Deferred
compensation
|
|
|
3,390 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,390 |
|
Deferred income taxes,
net
|
|
|
149,704 |
|
|
|
448 |
|
|
|
199 |
|
|
|
3,253 |
|
|
|
(29,716 |
) |
|
|
123,888 |
|
Other non-current
liabilities
|
|
|
— |
|
|
|
7,193 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
7,193 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
|
268,320 |
|
|
|
697,504 |
|
|
|
1,018 |
|
|
|
5,377 |
|
|
|
(135,162 |
) |
|
|
837,057 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock with put
options:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock, $.01 par,
5,000 shares authorized, 198.4 issued and outstanding at
December 31, 2011.
|
|
|
12,247 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,247 |
|
|
|
|
|
|
|
|
Commitments and
Contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders’
Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, $.01 par,
5,000 shares authorized, none issued and outstanding at
December 31, 2011.
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Common Stock:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock, $.01 par,
5,000 shares authorized, 4,801.6 issued and outstanding at
December 31, 2011.
|
|
|
— |
|
|
|
— |
|
|
|
50 |
|
|
|
— |
|
|
|
(50 |
) |
|
|
— |
|
Additional paid-in
capital
|
|
|
117,221 |
|
|
|
(68,624 |
) |
|
|
10,306 |
|
|
|
16,437 |
|
|
|
221,204 |
|
|
|
296,544 |
|
Accumulated
deficit
|
|
|
(127,788 |
) |
|
|
(206,155 |
) |
|
|
525 |
|
|
|
113 |
|
|
|
315,488 |
|
|
|
(17,817 |
) |
Accumulated other
comprehensive loss
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(661 |
) |
|
|
481 |
|
|
|
(180 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders’
equity
|
|
|
(10,567 |
) |
|
|
(274,779 |
) |
|
|
10,881 |
|
|
|
15,889 |
|
|
|
537,123 |
|
|
|
278,547 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and
stockholders’ equity
|
|
$ |
270,000 |
|
|
$ |
422,725 |
|
|
$ |
11,899 |
|
|
$ |
21,266 |
|
|
$ |
401,961 |
|
|
$ |
1,127,851 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating Statements of Cash Flows |
Consolidating
Statement of Cash Flows
For the year
ended December 31, 2012
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The
Hillman
Companies, Inc.
|
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries
|
|
|
Non-
Guarantor
Subsidiaries
|
|
|
Consolidating
Adjustments
|
|
|
Consolidated |
|
|
|
|
|
|
|
|
Cash flows from operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(12,008 |
) |
|
$ |
6,809 |
|
|
$ |
548 |
|
|
$ |
(2,571 |
) |
|
$ |
(12 |
) |
|
$ |
(7,234 |
) |
Adjustments to reconcile
net loss to net cash (used for) provided by operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
18,058 |
|
|
|
25,137 |
|
|
|
88 |
|
|
|
478 |
|
|
|
— |
|
|
|
43,761 |
|
Dispositions of property
and equipment
|
|
|
— |
|
|
|
271 |
|
|
|
21 |
|
|
|
— |
|
|
|
— |
|
|
|
292 |
|
Deferred income tax
provision (benefit)
|
|
|
(6,382 |
) |
|
|
1,686 |
|
|
|
300 |
|
|
|
(1,207 |
) |
|
|
— |
|
|
|
(5,603 |
) |
Deferred financing and
original issue discount amortization
|
|
|
(279 |
) |
|
|
2,459 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,180 |
|
Stock-based compensation
expense
|
|
|
714 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
714 |
|
Other non-cash interest and
change in value of interest rate swap
|
|
|
— |
|
|
|
(787 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(787 |
) |
Changes in operating
items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
— |
|
|
|
2,431 |
|
|
|
(50 |
) |
|
|
(1,005 |
) |
|
|
— |
|
|
|
1,376 |
|
Inventories
|
|
|
— |
|
|
|
(9,788 |
) |
|
|
439 |
|
|
|
(1,043 |
) |
|
|
12 |
|
|
|
(10,380 |
) |
Other assets
|
|
|
— |
|
|
|
(6,003 |
) |
|
|
(1,319 |
) |
|
|
3,391 |
|
|
|
— |
|
|
|
(3,931 |
) |
Accounts payable
|
|
|
— |
|
|
|
(568 |
) |
|
|
(138 |
) |
|
|
(440 |
) |
|
|
— |
|
|
|
(1,146 |
) |
Other accrued
liabilities
|
|
|
(76 |
) |
|
|
3,623 |
|
|
|
121 |
|
|
|
1,478 |
|
|
|
— |
|
|
|
5,146 |
|
Other items, net
|
|
|
(27 |
) |
|
|
(1,645 |
) |
|
|
(3 |
) |
|
|
705 |
|
|
|
— |
|
|
|
(970 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by (used
for) operating activities
|
|
|
— |
|
|
|
23,625 |
|
|
|
7 |
|
|
|
(214 |
) |
|
|
— |
|
|
|
23,418 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from sale of
property and equipment
|
|
|
— |
|
|
|
— |
|
|
|
3 |
|
|
|
— |
|
|
|
— |
|
|
|
3 |
|
Capital
expenditures
|
|
|
— |
|
|
|
(23,973 |
) |
|
|
(128 |
) |
|
|
(212 |
) |
|
|
— |
|
|
|
(24,313 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used for investing
activities
|
|
|
— |
|
|
|
(23,973 |
) |
|
|
(125 |
) |
|
|
(212 |
) |
|
|
— |
|
|
|
(24,310 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Repayments of senior term
loans
|
|
|
— |
|
|
|
(3,200 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(3,200 |
) |
Borrowings of revolving
credit loans
|
|
|
— |
|
|
|
19,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
19,000 |
|
Repayments of revolving
credit loans
|
|
|
— |
|
|
|
(19,000 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(19,000 |
) |
Payment of additional
acquisition consideration
|
|
|
— |
|
|
|
(12,387 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(12,387 |
) |
Principal payments under
capitalized lease obligations
|
|
|
— |
|
|
|
(47 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(47 |
) |
Borrowings under other
credit obligations
|
|
|
— |
|
|
|
1,119 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,119 |
|
Repayments of other credit
obligations
|
|
|
— |
|
|
|
(297 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(297 |
) |
Borrowings of senior
notes
|
|
|
— |
|
|
|
65,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
65,000 |
|
Premium on senior
notes
|
|
|
— |
|
|
|
4,225 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
4,225 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash (used for)
provided by financing activities
|
|
|
— |
|
|
|
54,413 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
54,413 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in
cash and cash equivalents
|
|
|
— |
|
|
|
54,065 |
|
|
|
(118 |
) |
|
|
(426 |
) |
|
|
— |
|
|
|
53,521 |
|
Cash and cash equivalents
at beginning of period
|
|
|
1 |
|
|
|
8,852 |
|
|
|
547 |
|
|
|
2,627 |
|
|
|
— |
|
|
|
12,027 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
at end of period
|
|
$ |
1 |
|
|
$ |
62,917 |
|
|
$ |
429 |
|
|
$ |
2,201 |
|
|
$ |
— |
|
|
$ |
65,548 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Statement of Cash Flows
For the year
ended December 31, 2011
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The
Hillman
Companies, Inc.
|
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries
|
|
|
Non-
Guarantor
Subsidiaries
|
|
|
Consolidating
Adjustments
|
|
|
Consolidated |
|
|
|
|
|
|
|
|
Cash flows from operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(12,456 |
) |
|
$ |
1,763 |
|
|
$ |
1,061 |
|
|
$ |
(225 |
) |
|
$ |
78 |
|
|
$ |
(9,779 |
) |
Adjustments to reconcile
net loss to net cash (used for) provided by operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
18,433 |
|
|
|
23,216 |
|
|
|
328 |
|
|
|
73 |
|
|
|
— |
|
|
|
42,050 |
|
Dispositions of property
and equipment
|
|
|
— |
|
|
|
42 |
|
|
|
11 |
|
|
|
— |
|
|
|
— |
|
|
|
53 |
|
Deferred income tax
provision (benefit)
|
|
|
(8,866 |
) |
|
|
(203 |
) |
|
|
1,350 |
|
|
|
3,085 |
|
|
|
— |
|
|
|
(4,634 |
) |
Deferred financing and
original issue discount amortization
|
|
|
(803 |
) |
|
|
2,814 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,011 |
|
Other non-cash interest and
change in value of interest rate swap
|
|
|
— |
|
|
|
1,250 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,250 |
|
Changes in operating
items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
— |
|
|
|
(6,673 |
) |
|
|
2,162 |
|
|
|
70 |
|
|
|
— |
|
|
|
(4,441 |
) |
Inventories
|
|
|
— |
|
|
|
(7,647 |
) |
|
|
5,527 |
|
|
|
23 |
|
|
|
(78 |
) |
|
|
(2,175 |
) |
Other assets
|
|
|
— |
|
|
|
(4,691 |
) |
|
|
92 |
|
|
|
1,348 |
|
|
|
— |
|
|
|
(3,251 |
) |
Accounts payable
|
|
|
— |
|
|
|
387 |
|
|
|
(4 |
) |
|
|
289 |
|
|
|
— |
|
|
|
672 |
|
Other accrued
liabilities
|
|
|
(265 |
) |
|
|
4,053 |
|
|
|
(1,708 |
) |
|
|
211 |
|
|
|
— |
|
|
|
2,291 |
|
Other items, net
|
|
|
3,957 |
|
|
|
8,989 |
|
|
|
(9,361 |
) |
|
|
(3,419 |
) |
|
|
— |
|
|
|
166 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by (used
for) operating activities
|
|
|
— |
|
|
|
23,300 |
|
|
|
(542 |
) |
|
|
1,455 |
|
|
|
— |
|
|
|
24,213 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Payment for TagWorks
acquisition
|
|
|
— |
|
|
|
(40,271 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(40,271 |
) |
Payment for Ook
acquisition
|
|
|
— |
|
|
|
(15,323 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(15,323 |
) |
Capital
expenditures
|
|
|
— |
|
|
|
(17,778 |
) |
|
|
(30 |
) |
|
|
(127 |
) |
|
|
— |
|
|
|
(17,935 |
) |
Other, net
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used for investing
activities
|
|
|
— |
|
|
|
(73,372 |
) |
|
|
(30 |
) |
|
|
(127 |
) |
|
|
— |
|
|
|
(73,529 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrowings of senior term
loans
|
|
|
— |
|
|
|
30,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
30,000 |
|
Repayments of senior term
loans
|
|
|
— |
|
|
|
(2,975 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,975 |
) |
Discount on senior term
loans
|
|
|
— |
|
|
|
(2,000 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,000 |
) |
Borrowings of revolving
credit loans
|
|
|
— |
|
|
|
9,444 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
9,444 |
|
Repayments of revolving
credit loans
|
|
|
— |
|
|
|
(21,444 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(21,444 |
) |
Payment of additional
acquisition consideration
|
|
|
— |
|
|
|
(12,490 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(12,490 |
) |
Principal payments under
capitalized lease obligations
|
|
|
— |
|
|
|
(30 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(30 |
) |
Borrowings of senior
notes
|
|
|
— |
|
|
|
50,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
50,000 |
|
Premium on senior
notes
|
|
|
— |
|
|
|
4,625 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
4,625 |
|
Financing fees,
net
|
|
|
— |
|
|
|
(1,372 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,372 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash (used for)
provided by financing activities
|
|
|
— |
|
|
|
53,758 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
53,758 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in
cash and cash equivalents
|
|
|
— |
|
|
|
3,686 |
|
|
|
(572 |
) |
|
|
1,328 |
|
|
|
— |
|
|
|
4,442 |
|
Cash and cash equivalents
at beginning of period
|
|
|
1 |
|
|
|
5,166 |
|
|
|
1,119 |
|
|
|
1,299 |
|
|
|
— |
|
|
|
7,585 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
at end of period
|
|
$ |
1 |
|
|
$ |
8,852 |
|
|
$ |
547 |
|
|
$ |
2,627 |
|
|
$ |
— |
|
|
$ |
12,027 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Statement of Cash Flows
For the seven
months ended December 31, 2010
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Successor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc.
|
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
|
|
|
|
|
|
|
Cash flows from operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$ |
(7,013 |
) |
|
$ |
(1,401 |
) |
|
$ |
224 |
|
|
$ |
211 |
|
|
$ |
(59 |
) |
|
$ |
(8,038 |
) |
Adjustments to reconcile
net loss to net cash (used for) provided by operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
10,669 |
|
|
|
10,924 |
|
|
|
50 |
|
|
|
33 |
|
|
|
— |
|
|
|
21,676 |
|
Dispositions of property
and equipment
|
|
|
— |
|
|
|
60 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
60 |
|
Deferred income tax
provision (benefit)
|
|
|
(8,031 |
) |
|
|
(1,125 |
) |
|
|
176 |
|
|
|
3,320 |
|
|
|
— |
|
|
|
(5,660 |
) |
Deferred financing and
original issue discount amortization
|
|
|
2,590 |
|
|
|
(1,296 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,294 |
|
Other non-cash interest and
change in value of interest rate swap
|
|
|
— |
|
|
|
392 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
392 |
|
Changes in operating
items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
— |
|
|
|
14,195 |
|
|
|
727 |
|
|
|
(236 |
) |
|
|
— |
|
|
|
14,686 |
|
Inventories
|
|
|
— |
|
|
|
(11,030 |
) |
|
|
(100 |
) |
|
|
(590 |
) |
|
|
59 |
|
|
|
(11,661 |
) |
Other assets
|
|
|
— |
|
|
|
(2,626 |
) |
|
|
38 |
|
|
|
1,444 |
|
|
|
(12 |
) |
|
|
(1,156 |
) |
Accounts payable
|
|
|
— |
|
|
|
7,229 |
|
|
|
(374 |
) |
|
|
196 |
|
|
|
— |
|
|
|
7,051 |
|
Other accrued
liabilities
|
|
|
(69 |
) |
|
|
(11,228 |
) |
|
|
4 |
|
|
|
417 |
|
|
|
5,096 |
|
|
|
(5,780 |
) |
Other items, net
|
|
|
199,620 |
|
|
|
(214,228 |
) |
|
|
21,567 |
|
|
|
(3,540 |
) |
|
|
(5,084 |
) |
|
|
(1,665 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by (used
for) operating activities
|
|
|
197,766 |
|
|
|
(210,134 |
) |
|
|
22,312 |
|
|
|
1,255 |
|
|
|
— |
|
|
|
11,199 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Payments for Quick Tag and
Laser Key licenses
|
|
|
— |
|
|
|
(12,750 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(12,750 |
) |
Payment for Servalite
acquisition
|
|
|
— |
|
|
|
— |
|
|
|
(21,335 |
) |
|
|
|
|
|
|
|
|
|
|
(21,335 |
) |
Capital
expenditures
|
|
|
— |
|
|
|
(9,518 |
) |
|
|
(64 |
) |
|
|
(93 |
) |
|
|
— |
|
|
|
(9,675 |
) |
Other, net
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used for investing
activities
|
|
|
— |
|
|
|
(22,268 |
) |
|
|
(21,399 |
) |
|
|
(93 |
) |
|
|
— |
|
|
|
(43,760 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrowings of senior term
loans
|
|
|
— |
|
|
|
290,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
290,000 |
|
Repayments of senior term
loans
|
|
|
— |
|
|
|
(149,756 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(149,756 |
) |
Borrowings of revolving
credit loans
|
|
|
— |
|
|
|
12,600 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
12,600 |
|
Repayments of revolving
credit loans
|
|
|
— |
|
|
|
(600 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(600 |
) |
Principal payments under
capitalized lease obligations
|
|
|
— |
|
|
|
(50 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(50 |
) |
Repayments of unsecured
subordinated notes
|
|
|
— |
|
|
|
(49,820 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(49,820 |
) |
Borrowings of senior
notes
|
|
|
— |
|
|
|
150,000 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
150,000 |
|
Financing fees,
net
|
|
|
— |
|
|
|
(15,729 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(15,729 |
) |
Purchase predecessor equity
securities
|
|
|
(506,407 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(506,407 |
) |
Proceeds from sale of
successor equity securities
|
|
|
308,641 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
308,641 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash (used for)
provided by financing activities
|
|
|
(197,766 |
) |
|
|
236,645 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
38,879 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in
cash and cash equivalents
|
|
|
— |
|
|
|
4,243 |
|
|
|
913 |
|
|
|
1,162 |
|
|
|
— |
|
|
|
6,318 |
|
Cash and cash equivalents
at beginning of period
|
|
|
1 |
|
|
|
923 |
|
|
|
206 |
|
|
|
137 |
|
|
|
— |
|
|
|
1,267 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
at end of period
|
|
$ |
1 |
|
|
$ |
5,166 |
|
|
$ |
1,119 |
|
|
$ |
1,299 |
|
|
$ |
— |
|
|
$ |
7,585 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidating
Statement of Cash Flows
For the five
months ended May 28, 2010
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Predecessor |
|
|
|
Guarantors
The Hillman
Companies, Inc. |
|
|
Issuer
The Hillman
Group, Inc. |
|
|
Guarantor
Subsidiaries |
|
|
Non-
Guarantor
Subsidiaries |
|
|
Consolidating
Adjustments |
|
|
Consolidated |
|
Cash flows from operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss
|
|
$ |
(24,810 |
) |
|
$ |
(493 |
) |
|
$ |
(143 |
) |
|
$ |
227 |
|
|
$ |
11 |
|
|
$ |
(25,208 |
) |
Adjustments to reconcile
net loss to net cash (used for) provided by operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
2,663 |
|
|
|
7,192 |
|
|
|
47 |
|
|
|
59 |
|
|
|
— |
|
|
|
9,961 |
|
Dispositions of property
and equipment
|
|
|
— |
|
|
|
74 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
74 |
|
Deferred income tax
provision (benefit)
|
|
|
(2,757 |
) |
|
|
733 |
|
|
|
45 |
|
|
|
58 |
|
|
|
— |
|
|
|
(1,921 |
) |
Deferred financing and
original issue discount amortization
|
|
|
(155 |
) |
|
|
670 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
515 |
|
Interest on mandatorily
redeemable preferred stock and management purchased
options
|
|
|
5,488 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
5,488 |
|
Stock-based compensation
expense
|
|
|
19,053 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
19,053 |
|
Changes in operating
items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
— |
|
|
|
(15,724 |
) |
|
|
(658 |
) |
|
|
(434 |
) |
|
|
— |
|
|
|
(16,816 |
) |
Inventories
|
|
|
— |
|
|
|
2,383 |
|
|
|
477 |
|
|
|
110 |
|
|
|
(11 |
) |
|
|
2,959 |
|
Other assets
|
|
|
— |
|
|
|
597 |
|
|
|
(178 |
) |
|
|
(307 |
) |
|
|
12 |
|
|
|
124 |
|
Accounts payable
|
|
|
— |
|
|
|
1,890 |
|
|
|
(71 |
) |
|
|
11 |
|
|
|
— |
|
|
|
1,830 |
|
Other accrued
liabilities
|
|
|
(332 |
) |
|
|
9,561 |
|
|
|
176 |
|
|
|
43 |
|
|
|
(5,096 |
) |
|
|
4,352 |
|
Other items, net
|
|
|
850 |
|
|
|
(6,843 |
) |
|
|
— |
|
|
|
15 |
|
|
|
5,084 |
|
|
|
(894 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by (used
for) operating activities
|
|
|
— |
|
|
|
40 |
|
|
|
(305 |
) |
|
|
(218 |
) |
|
|
— |
|
|
|
(483 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
expenditures
|
|
|
— |
|
|
|
(5,396 |
) |
|
|
(7 |
) |
|
|
(8 |
) |
|
|
— |
|
|
|
(5,411 |
) |
Other, net
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used for investing
activities
|
|
|
— |
|
|
|
(5,396 |
) |
|
|
(7 |
) |
|
|
(8 |
) |
|
|
— |
|
|
|
(5,411 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Repayments of senior term
loans
|
|
|
— |
|
|
|
(9,544 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(9,544 |
) |
Principal payments under
capitalized lease obligations
|
|
|
— |
|
|
|
(459 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(459 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used for financing
activities
|
|
|
— |
|
|
|
(10,003 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(10,003 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net decrease in cash and
cash equivalents
|
|
|
— |
|
|
|
(15,359 |
) |
|
|
(312 |
) |
|
|
(226 |
) |
|
|
— |
|
|
|
(15,897 |
) |
Cash and cash equivalents
at beginning of period
|
|
|
1 |
|
|
|
16,282 |
|
|
|
518 |
|
|
|
363 |
|
|
|
— |
|
|
|
17,164 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
at end of period
|
|
$ |
1 |
|
|
$ |
923 |
|
|
$ |
206 |
|
|
$ |
137 |
|
|
$ |
— |
|
|
$ |
1,267 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|