EX-99.2 7 a2022q1ex992.htm EX-99.2 Document

EXHIBIT 99.2
Vector Group Ltd.
Condensed Consolidating Financial Statements
March 31, 2022
(in thousands of dollars)

Presented herein are Condensed Consolidating Balance Sheet as of March 31, 2022 and the related Condensed Consolidating Statements of Operations for the three months ended March 31, 2022 of Vector Group Ltd. (Parent/Issuer), the guarantor subsidiaries (Subsidiary Guarantors) and the subsidiaries that are not guarantors (Subsidiary Non-Guarantors).
CONDENSED CONSOLIDATING BALANCE SHEETS
March 31, 2022
SubsidiaryConsolidated
Parent/SubsidiaryNon-ConsolidatingVector Group
IssuerGuarantorsGuarantorsAdjustmentsLtd.
ASSETS:
Current assets:
Cash and cash equivalents$180,993 $45,602 $11,710 $— $238,305 
Investment securities at fair value133,338 — — — 133,338 
Accounts receivable - trade, net— 29,873 12 — 29,885 
Intercompany receivables2,302 — — (2,302)— 
Inventories— 97,991 — — 97,991 
Income taxes receivable, net10,436 — 1,197 (11,633)— 
Other current assets1,376 5,998 729 — 8,103 
Total current assets328,445 179,464 13,648 (13,935)507,622 
Property, plant and equipment, net374 25,220 10,485 — 36,079 
Investments in real estate, net— — 9,039 — 9,039 
Long-term investment securities at fair value49,799 — — — 49,799 
Investments in real estate ventures— — 111,503 — 111,503 
Operating lease right-of-use assets4,363 5,727 43 — 10,133 
Investments in consolidated subsidiaries262,958 — — (262,958)— 
Intangible assets— 107,511 — — 107,511 
Other assets16,501 61,379 3,004 — 80,884 
Total assets$662,440 $379,301 $147,722 $(276,893)$912,570 
LIABILITIES AND STOCKHOLDERS' DEFICIENCY:
Current liabilities:
Current portion of notes payable and long-term debt$— $52 $24 $— $76 
Intercompany payables— 406 1,896 (2,302)— 
Income taxes payable, net— 15,095 — (11,633)3,462 
Current payments due under the Master Settlement Agreement— 68,591 — — 68,591 
Current operating lease liability1,839 1,982 39 — 3,860 
Other current liabilities39,517 97,915 2,529 — 139,961 
Total current liabilities41,356 184,041 4,488 (13,935)215,950 
Notes payable, long-term debt and other obligations, less current portion1,399,601 30 — — 1,399,631 
Non-current employee benefits60,852 8,312 — — 69,164 
Deferred income taxes, net(4,596)24,806 11,097 — 31,307 
Non-current operating lease liability3,671 4,214 — — 7,885 
Other liabilities, including litigation accruals and payments due under the Master Settlement Agreement2,208 26,672 1,370 (965)29,285 
Total liabilities1,503,092 248,075 16,955 (14,900)1,753,222 
Commitments and contingencies
Total stockholders' (deficiency) equity(840,652)131,226 130,767 (261,993)(840,652)
Total liabilities and stockholders' deficiency$662,440 $379,301 $147,722 $(276,893)$912,570 


CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

Three Months Ended March 31, 2022
SubsidiaryConsolidated
  Parent/  SubsidiaryNon-ConsolidatingVector Group
  Issuer  GuarantorsGuarantorsAdjustments        Ltd.        
Revenues$— $309,048 $3,252 $(258)$312,042 
Expenses:
Cost of sales— 211,537 1,278 — 212,815 
Operating, selling, administrative and general expenses6,772 16,426 1,089 (258)24,029 
Litigation settlement and judgment expense— 72 — — 72 
Management fee expense— 3,375 — (3,375)— 
Operating (loss) income(6,772)77,638 885 3,375 75,126 
Other income (expenses):
Interest expense(24,483)(615)— — (25,098)
Equity in losses from real estate ventures— — (1,877)— (1,877)
Equity in losses from investments(2,242)— — — (2,242)
Equity in earnings (losses) in consolidated subsidiaries58,986 — — (58,986)— 
Management fee income3,375 — — (3,375)— 
Other, net(3,220)2,097 1,659 (1,681)(1,145)
Income before provision for income taxes25,644 79,120 667 (60,667)44,764 
Income tax benefit (expense)6,898 (19,361)241 — (12,222)
Net income$32,542 $59,759 $908 $(60,667)$32,542 
Comprehensive income$32,799 $59,779 $908 $(60,687)$32,799