Separate Financial Information of Subsidiary Guarantors of Indebtedness:

Under the terms of the Company’s Senior Notes and the Revolver (collectively, the “Domestic Indebtedness”), Briggs & Stratton Power Products Group, LLC, a 100% owned subsidiary of the Company, is the joint and several guarantor of the Domestic Indebtedness (the “Guarantor”). The guarantees are full and unconditional guarantees. Additionally, if at any time a domestic subsidiary of the Company constitutes a significant domestic subsidiary, then such domestic subsidiary will also become a guarantor of the Domestic Indebtedness. Currently, all of the Domestic Indebtedness is unsecured. If the Company were to fail to make a payment of interest or principal on its due date, the Guarantor is obligated to pay the outstanding Domestic Indebtedness.

The Company had the following outstanding amounts related to the guaranteed debt (in thousands):



	June 29, 2014 Carrying Amount		Maximum Guarantee
6.875% Senior Notes	$	225,000	$	225,000
Multicurrency Credit Agreement	$	—	$	500,000

The following condensed supplemental consolidating financial information reflects the summarized financial information of Briggs & Stratton, its Guarantors and Non-Guarantor Subsidiaries (in thousands):



CONSOLIDATING BALANCE SHEET: As of June 29, 2014	Briggs & Stratton Corporation		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
CURRENT ASSETS:
Cash and Cash Equivalents	$	138,926	$	2,680	$	53,062	$	—		$	194,668
Accounts Receivable, Net	86,099		100,062		34,429		—			220,590
Intercompany Accounts Receivable	15,987		3,492		32,826		(52,305		)	—
Inventories, Net	165,159		146,749		64,195		—			376,103
Deferred Tax Asset	33,343		13,904		1,711		—			48,958
Prepaid Expenses and Other	17,436		3,508		9,072					30,016
Total Current Assets	$	456,950	$	270,395	$	195,295	$	(52,305	)	$	870,335
OTHER ASSETS:
Goodwill	$	128,300	$	—	$	16,222	$	—		$	144,522
Investments	27,137		—		—		—			27,137
Investments in Subsidiaries	470,391		—		—		(470,391		)	—
Intercompany Note Receivable	49,293		84,567		13,876		(147,736		)	—
Debt Issuance Costs, Net	4,671		—		—		—			4,671
Other Intangible Assets, Net	—		55,909		24,408		—			80,317
Long-Term Deferred Tax Asset	32,507		—		677		(18,006		)	15,178
Other Long-Term Assets, Net	7,120		2,088		1,331		—			10,539
Total Other Assets	$	719,419	$	142,564	$	56,514	$	(636,133	)	$	282,364
PLANT AND EQUIPMENT, NET	241,166		39,863		15,978		—			297,007
TOTAL ASSETS	$	1,417,535	$	452,822	$	267,787	$	(688,438	)	$	1,449,706

CURRENT LIABILITIES:
Accounts Payable	105,532		45,171		18,568		—			169,271
Intercompany Accounts Payable	21,859		6,002		24,444		(52,305		)	—
Accrued Liabilities	85,735		31,863		16,318		—			133,916
Total Current Liabilities	$	213,126	$	83,036	$	59,330	$	(52,305	)	$	303,187
OTHER LIABILITIES:
Accrued Pension Cost	125,481		421		627		—			126,529
Accrued Employee Benefits	24,491		—		—		—			24,491
Accrued Postretirement Health Care Obligation	44,928		14,362		—		—			59,290
Accrued Warranty	9,300		8,378		—		—			17,678
Intercompany Note Payable	85,343		—		62,393		(147,736		)	—
Deferred Tax Liabilities			18,006		—		(18,006		)	—
Other Long-Term Liabilities	17,432		2,659		1,006		—			21,097
Long-Term Debt	225,000		—		—		—			225,000
Total Other Liabilities	$	531,975	$	43,826	$	64,026	$	(165,742	)	$	474,085
TOTAL SHAREHOLDERS’ INVESTMENT:	672,434		325,960		144,431		(470,391		)	672,434
TOTAL LIABILITIES AND SHAREHOLDERS’ INVESTMENT	$	1,417,535	$	452,822	$	267,787	$	(688,438	)	$	1,449,706



CONSOLIDATING BALANCE SHEET: As of June 30, 2013	Briggs & Stratton Corporation		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
CURRENT ASSETS:
Cash and Cash Equivalents	$	162,628	$	1,275	$	24,542	$	—		$	188,445
Accounts Receivable, Net	80,017		80,531		30,252		—			190,800
Intercompany Accounts Receivable	11,987		5,971		46,366		(64,324		)	—
Inventories, Net	165,600		175,523		66,972		—			408,095
Deferred Tax Asset	32,543		13,923		1,068		—			47,534
Prepaid Expenses and Other	15,194		1,967		6,946		—			24,107
Total Current Assets	$	467,969	$	279,190	$	176,146	$	(64,324	)	$	858,981
OTHER ASSETS:
Goodwill	$	128,300	$	—	$	19,052	$	—		$	147,352
Investments	19,764		—		—		—			19,764
Investments in Subsidiaries	520,604		—		—		(520,604		)	—
Intercompany Note Receivable	45,747		81,844		14,486		(142,077		)	—
Debt Issuance Costs, Net	4,710		—		—		—			4,710
Other Intangible Assets, Net	—		62,612		25,368		—			87,980
Long-Term Deferred Tax Asset	48,694		—		83		(21,233		)	27,544
Other Long-Term Assets, Net	9,810		2,957		1,258		—			14,025
Total Other Assets	$	777,629	$	147,413	$	60,247	$	(683,914	)	$	301,375
PLANT AND EQUIPMENT, NET	224,002		45,475		17,718		—			287,195
TOTAL ASSETS	$	1,469,600	$	472,078	$	254,111	$	(748,238	)	$	1,447,551

CURRENT LIABILITIES:
Accounts Payable	91,965		37,112		14,112		—			143,189
Intercompany Accounts Payable	38,078		5,197		21,049		(64,324		)	—
Short-Term Debt	—		—		300		—			300
Accrued Liabilities	111,146		7,452		12,668		—			131,266
Total Current Liabilities	$	241,189	$	49,761	$	48,129	$	(64,324	)	$	274,755
OTHER LIABILITIES:
Accrued Pension Cost	149,614		472		45		—			150,131
Accrued Employee Benefits	23,458		—		—		—			23,458
Accrued Postretirement Health Care Obligation	57,298		15,397		—		—			72,695
Accrued Warranty	9,400		9,471		—		—			18,871
Intercompany Note Payable	85,095				56,982		(142,077		)	—
Deferred Tax Liabilities	—		21,233		—		(21,233		)	—
Other Long-Term Liabilities	10,608		3,070		1,025		—			14,703
Long-Term Debt	225,000				—		—			225,000
Total Other Liabilities	$	560,473	$	49,643	$	58,052	$	(163,310	)	$	504,858
TOTAL SHAREHOLDERS’ INVESTMENT:	667,938		372,674		147,930		(520,604		)	667,938
TOTAL LIABILITIES AND SHAREHOLDERS’ INVESTMENT	$	1,469,600	$	472,078	$	254,111	$	(748,238	)	$	1,447,551



CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) For the Fiscal Year Ended June 29, 2014	Briggs & Stratton Corporation			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net Sales	$	1,156,394		$	599,013		$	304,160		$	(200,507	)	$	1,859,060
Cost of Goods Sold	928,557			544,313			234,073			(200,507		)	1,506,436
Restructuring Charges	3,830			228			1,783			—			5,841
Gross Profit	224,007			54,472			68,304			—			346,783
Engineering, Selling, General and Administrative Expenses	163,594			76,021			51,752			—			291,367
Restructuring Charges	77			67			554			—			698
Goodwill and Tradename Impairment	—			5,500			2,960			—			8,460
Equity in Loss from Subsidiaries	5,622			—			—			(5,622		)	—
Income (Loss) from Operations	54,714			(27,116		)	13,038			5,622			46,258
Interest Expense	(18,431		)	(6		)	(29		)	—			(18,466		)
Other Income, Net	8,251			152			939			—			9,342
Income (Loss) Before Provision for Income Taxes	44,534			(26,970		)	13,948			5,622			37,134
Provision (Credit) for Income Taxes	16,187			(9,889		)	2,489			—			8,787
Net Income (Loss)	$	28,347		$	(17,081	)	$	11,459		$	5,622		$	28,347
Comprehensive Income (Loss)	$	58,018		$	(16,836	)	$	12,832		$	4,004		$	58,018
For the Fiscal Year Ended June 30, 2013
Net Sales	$	1,126,562		$	695,137		$	277,516		$	(236,717	)	$	1,862,498
Cost of Goods Sold	916,859			626,266			208,189			(236,717		)	1,514,597
Restructuring Charges	9,614			8,618			529			—			18,761
Gross Profit	200,089			60,253			68,798			—			329,140
Engineering, Selling, General and Administrative Expenses	161,465			71,434			43,289			—			276,188
Restructuring Charges	3,435			—			—			—			3,435
Goodwill Impairment	—			83,314			6,766			—			90,080
Equity in Loss from Subsidiaries	45,191			—			—			(45,191		)	—
Income (Loss) from Operations	(10,002		)	(94,495		)	18,743			45,191			(40,563		)
Interest Expense	(18,369		)	(3		)	(147		)	—			(18,519		)
Other Income, Net	6,225			286			430			—			6,941
Income (Loss) Before Provision for Income Taxes	(22,146		)	(94,212		)	19,026			45,191			(52,141		)
Provision (Credit) for Income Taxes	11,511			(30,902		)	907			—			(18,484		)
Net Income (Loss)	$	(33,657	)	$	(63,310	)	$	18,119		$	45,191		$	(33,657	)
Comprehensive Income (Loss)	$	64,119		$	(62,068	)	$	16,779		$	45,289		$	64,119
For the Fiscal Year Ended July 1, 2012
Net Sales	$	1,235,805		$	835,011		$	321,216		$	(325,499	)	$	2,066,533
Cost of Goods Sold	1,007,493			744,103			258,951			(325,499		)	1,685,048
Restructuring Charges	4,235			28,790			11,735			—			44,760
Gross Profit	224,077			62,118			50,530			—			336,725
Engineering, Selling, General and Administrative Expenses	167,133			80,915			42,333			—			290,381
Restructuring Charges	4,001			1,106			—			—			5,107
Equity in Loss from Subsidiaries	5,881			—			—			(5,881		)	—
Income (Loss) from Operations	47,062			(19,903		)	8,197			5,881			41,237
Interest Expense	(18,347		)	(33		)	(162		)	—			(18,542		)
Other Income, Net	4,830			207			2,141			—			7,178
Income (Loss) Before Provision for Income Taxes	33,545			(19,729		)	10,176			5,881			29,873
Provision (Credit) for Income Taxes	4,539			(8,897		)	5,225			—			867
Net Income (Loss)	$	29,006		$	(10,832	)	$	4,951		$	5,881		$	29,006
Comprehensive Income (Loss)	$	(50,200	)	$	(12,062	)	$	(2,529	)	$	14,591		$	(50,200	)



CONSOLIDATING STATEMENT OF CASH FLOWS: For the Fiscal Year Ended June 29, 2014	Briggs & Stratton Corporation			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Cash Provided by Operating Activities	$	77,161		$	6,816		$	43,102		$	—	$	127,079
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to Plant and Equipment	(55,775		)	(2,718		)	(1,878		)	—		(60,371		)
Proceeds Received on Disposition of Plant and Equipment	170			33			425			—		628
Cash Investment in Subsidiary	13,307			—			(13,307		)	—		—
Net Cash Used in Investing Activities	(42,298		)	(2,685		)	(14,760		)	—		(59,743		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net Borrowings (Repayments) on Loans, Notes Payable and Long-Term Debt	2,726			(2,726		)	(300		)	—		(300		)
Debt Issuance Costs	(949		)	—			—			—		(949		)
Cash Dividends Paid	(22,697		)	—			—			—		(22,697		)
Stock Option Exercise Proceeds and Tax Benefits	5,402			—			—			—		5,402
Treasury Stock Repurchases	(43,047		)	—			—			—		(43,047		)
Net Cash Provided by (Used in) Financing Activities	(58,565		)	(2,726		)	(300		)	—		(61,591		)
EFFECT OF FOREIGN CURRENCY EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			478			—		478
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(23,702		)	1,405			28,520			—		6,223
Cash and Cash Equivalents, Beginning of Year	162,628			1,275			24,542			—		188,445
Cash and Cash Equivalents, End of Year	$	138,926		$	2,680		$	53,062		$	—	$	194,668



CONSOLIDATING STATEMENT OF CASH FLOWS: For the Fiscal Year Ended June 30, 2013	Briggs & Stratton Corporation			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Cash Provided by Operating Activities	$	69,746		$	40,812		$	50,255		$	—	$	160,813
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to Plant and Equipment	(36,306		)	(6,120		)	(2,452		)	—		(44,878		)
Cash Paid for Acquisition, Net of Cash Acquired	—			—			(59,627		)	—		(59,627		)
Proceeds Received on Disposition of Plant and Equipment	70			6,068			6,354			—		12,492
Cash Investment in Subsidiary	(15,194		)	—			15,194			—		—
Net Cash Used in Investing Activities	(51,430		)	(52		)	(40,531		)	—		(92,013		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net Borrowings (Repayments) on Loans, Notes Payable and Long-Term Debt	44,860			(44,860		)	(2,700		)	—		(2,700		)
Cash Dividends Paid	(23,285		)	—			—			—		(23,285		)
Stock Option Exercise Proceeds and Tax Benefits	19,988			—			—			—		19,988
Treasury Stock Repurchases	(30,359		)	—			—			—		(30,359		)
Net Cash Provided by (Used in) Financing Activities	11,204			(44,860		)	(2,700		)	—		(36,356		)
EFFECT OF FOREIGN CURRENCY EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			(74		)	—		(74		)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	29,520			(4,100		)	6,950			—		32,370
Cash and Cash Equivalents, Beginning of Year	133,108			5,375			17,592			—		156,075
Cash and Cash Equivalents, End of Year	$	162,628		$	1,275		$	24,542		$	—	$	188,445



CONSOLIDATING STATEMENT OF CASH FLOWS: For the Fiscal Year Ended July 1, 2012	Briggs & Stratton Corporation			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Cash Provided by (Used in)Operating Activities	$	82,114		$	2,879		$	(19,032	)	$	—	$	65,961
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to Plant and Equipment	(40,456		)	(6,588		)	(2,529		)	—		(49,573		)
Cash Paid for Acquisition, Net of Cash Received	—			—			(2,673		)	—		(2,673		)
Proceeds Received on Disposition of Plant and Equipment	141			1,278			38			—		1,457
Cash Investment in Subsidiary	2,141			—			(2,141		)	—		—
Net Cash Used in Investing Activities	(38,174		)	(5,310		)	(7,305		)	—		(50,789		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net Borrowings on Loans, Notes Payable and Long-Term Debt	(6,434		)	6,434			—			—		—
Debt Issuance Costs	(2,007		)	—			—			—		(2,007		)
Cash Dividends Paid	(22,011		)	—			—			—		(22,011		)
Stock Option Exercise Proceeds and Tax Benefits	235			—			—			—		235
Treasury Stock Repurchases	(39,287		)	—			—			—		(39,287		)
Net Cash Provided by (Used in) Financing Activities	(69,504		)	6,434			—			—		(63,070		)
EFFECT OF FOREIGN CURRENCY EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			(5,666		)	—		(5,666		)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(25,564		)	4,003			(32,003		)	—		(53,564		)
Cash and Cash Equivalents, Beginning of Year	158,672			1,372			49,595			—		209,639
Cash and Cash Equivalents, End of Year	$	133,108		$	5,375		$	17,592		$	—	$	156,075