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Supplemental Guarantor Information
6 Months Ended
Nov. 30, 2013
Condensed Financial Information of Parent Company Only Disclosure [Abstract]  
Supplemental Guarantor Information
Supplemental Guarantor Information
 
Cintas Corporation No. 2 (Corp. 2) is the indirectly, wholly-owned principal operating subsidiary of Cintas.  Corp. 2 is the issuer of the $1,300.0 million aggregate principal amount of long-term senior notes, which are unconditionally guaranteed, jointly and severally, by Cintas Corporation and its wholly-owned, direct and indirect domestic subsidiaries.
 
As allowed by SEC rules, the following condensed consolidating financial statements are provided as an alternative to filing separate financial statements of the guarantors.  Each of the subsidiaries presented in the following condensed consolidating financial statements has been fully consolidated in Cintas’ consolidated financial statements.  The following condensed consolidating financial statements should be read in conjunction with the consolidated financial statements of Cintas and notes thereto of which this note is an integral part.
 
Condensed consolidating financial statements for Cintas, Corp. 2, the subsidiary guarantors and non-guarantors are presented on the following pages: 



Condensed Consolidating Income Statement
Three Months Ended November 30, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Revenue:
 

 
 

 
 

 
 

 
 

 
 

Rental uniforms and ancillary products
$
—

 
$
614,742

 
$
164,985

 
$
56,104

 
$
(31,515
)
 
$
804,316

Other services
—

 
419,533

 
9,166

 
34,784

 
(124,046
)
 
339,437

Equity in net income of affiliates
84,862

 
—

 
—

 
—

 
(84,862
)
 
—

 
84,862

 
1,034,275

 
174,151

 
90,888

 
(240,423
)
 
1,143,753

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of rental uniforms and ancillary products
—

 
390,215

 
96,831

 
39,465

 
(67,399
)
 
459,112

Cost of other services
—

 
272,410

 
(3,091
)
 
21,156

 
(82,753
)
 
207,722

Selling and administrative expenses
—

 
314,421

 
(10,965
)
 
25,483

 
(4,992
)
 
323,947

Operating income
84,862

 
57,229

 
91,376

 
4,784

 
(85,279
)
 
152,972

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(11
)
 
(72
)
 
(2
)
 
1

 
(84
)
Interest expense
—

 
16,468

 
17

 
—

 
—

 
16,485

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
84,862

 
40,772

 
91,431

 
4,786

 
(85,280
)
 
136,571

Income taxes
—

 
15,500

 
34,709

 
1,514

 
(14
)
 
51,709

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
84,862

 
$
25,272

 
$
56,722

 
$
3,272

 
$
(85,266
)
 
$
84,862


Condensed Consolidating Income Statement
Three Months Ended November 30, 2012
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Revenue:
 

 
 

 
 

 
 

 
 

 
 

Rental uniforms and ancillary products
$
—

 
$
575,274

 
$
152,771

 
$
55,370

 
$
(27,576
)
 
$
755,839

Other services
—

 
387,265

 
10,630

 
28,964

 
(122,312
)
 
304,547

Equity in net income of affiliates
78,027

 
—

 
—

 
—

 
(78,027
)
 
—

 
78,027

 
962,539

 
163,401

 
84,334

 
(227,915
)
 
1,060,386

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of rental uniforms and ancillary products
—

 
367,645

 
95,014

 
38,923

 
(62,680
)
 
438,902

Cost of other services
—

 
256,524

 
(6,949
)
 
18,564

 
(78,691
)
 
189,448

Selling and administrative expenses
—

 
280,259

 
(7,023
)
 
23,705

 
(3,928
)
 
293,013

Operating income
78,027

 
58,111

 
82,359

 
3,142

 
(82,616
)
 
139,023

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(13
)
 
(126
)
 
(10
)
 
—

 
(149
)
Interest expense (income)
—

 
16,277

 
18

 
(1
)
 
—

 
16,294

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
78,027

 
41,847

 
82,467

 
3,153

 
(82,616
)
 
122,878

Income taxes
—

 
14,876

 
29,241

 
746

 
(12
)
 
44,851

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
78,027

 
$
26,971

 
$
53,226

 
$
2,407

 
$
(82,604
)
 
$
78,027



Condensed Consolidating Income Statement
Six Months Ended November 30, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Revenue:
 

 
 

 
 

 
 

 
 

 
 

Rental uniforms and ancillary products
$
—

 
$
1,220,500

 
$
327,550

 
$
111,069

 
$
(61,937
)
 
$
1,597,182

Other services
—

 
824,107

 
17,714

 
66,170

 
(241,077
)
 
666,914

Equity in net income of affiliates
162,616

 
—

 
—

 
—

 
(162,616
)
 
—

 
162,616

 
2,044,607

 
345,264

 
177,239

 
(465,630
)
 
2,264,096

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of rental uniforms and ancillary products
—

 
773,934

 
194,998

 
78,021

 
(133,110
)
 
913,843

Cost of other services
—

 
533,005

 
(6,202
)
 
40,220

 
(159,669
)
 
407,354

Selling and administrative expenses
—

 
623,182

 
(15,824
)
 
51,696

 
(9,197
)
 
649,857

Operating income
162,616

 
114,486

 
172,292

 
7,302

 
(163,654
)
 
293,042

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(19
)
 
(125
)
 
(14,696
)
 
14,688

 
(152
)
Interest expense
—

 
32,948

 
61

 
(1
)
 
—

 
33,008

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
162,616

 
81,557

 
172,356

 
21,999

 
(178,342
)
 
260,186

Income taxes
—

 
30,604

 
64,677

 
2,333

 
(44
)
 
97,570

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
162,616

 
$
50,953

 
$
107,679

 
$
19,666

 
$
(178,298
)
 
$
162,616

Condensed Consolidating Income Statement
Six Months Ended November 30, 2012
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Revenue:
 

 
 

 
 

 
 

 
 

 
 

Rental uniforms and ancillary products
$
—

 
$
1,151,559

 
$
305,588

 
$
109,154

 
$
(55,619
)
 
$
1,510,682

Other services
—

 
756,671

 
21,509

 
58,342

 
(235,493
)
 
601,029

Equity in net income of affiliates
154,760

 
—

 
—

 
—

 
(154,760
)
 
—

 
154,760

 
1,908,230

 
327,097

 
167,496

 
(445,872
)
 
2,111,711

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of rental uniforms and ancillary products
—

 
731,842

 
184,356

 
75,543

 
(124,691
)
 
867,050

Cost of other services
—

 
492,855

 
(9,366
)
 
36,272

 
(153,011
)
 
366,750

Selling and administrative expenses
—

 
570,903

 
(11,162
)
 
48,006

 
(8,153
)
 
599,594

Operating income
154,760

 
112,630

 
163,269

 
7,675

 
(160,017
)
 
278,317

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(31
)
 
(161
)
 
(34
)
 
—

 
(226
)
Interest expense
—

 
32,843

 
49

 
—

 
—

 
32,892

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
154,760

 
79,818

 
163,381

 
7,709

 
(160,017
)
 
245,651

Income taxes
—

 
29,255

 
59,883

 
1,770

 
(17
)
 
90,891

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
154,760

 
$
50,563

 
$
103,498

 
$
5,939

 
$
(160,000
)
 
$
154,760


Condensed Consolidating Statement of Comprehensive Income
Three Months Ended November 30, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
84,862

 
$
25,272

 
$
56,722

 
$
3,272

 
$
(85,266
)
 
$
84,862

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive (loss) income, net of tax:
 
 
 
 
 
 
 
 
 
 
 
       Foreign currency translation
           adjustments
—

 
(2
)
 
—

 
2,042

 
—

 
2,040

      Change in fair value of derivatives
—

 
—

 
—

 
(189
)
 
—

 
(189
)
      Amortization of interest rate lock
          agreements
—

 
488

 
—

 
—

 
—

 
488

      Change in fair value of available-for-
          sale securities
—

 
—

 
—

 
(4
)
 
—

 
(4
)
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income
—

 
486

 
—

 
1,849

 
—

 
2,335

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
84,862

 
$
25,758

 
$
56,722

 
$
5,121

 
$
(85,266
)
 
$
87,197


Condensed Consolidating Statement of Comprehensive Income
Three Months Ended November 30, 2012
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
78,027

 
$
26,971

 
$
53,226

 
$
2,407

 
$
(82,604
)
 
$
78,027

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive (loss) income, net of tax:
 
 
 
 
 
 
 
 
 
 
 
       Foreign currency translation
           adjustments
—

 
(1
)
 
—

 
1,676

 
—

 
1,675

      Change in fair value of derivatives
—

 
—

 
—

 
—

 
—

 
—

      Amortization of interest rate lock
          agreements
—

 
488

 
—

 
—

 
—

 
488

      Change in fair value of available-for-
          sale securities
—

 
—

 
(7
)
 
(3
)
 
—

 
(10
)
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
—

 
487

 
(7
)
 
1,673

 
—

 
2,153

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
78,027

 
$
27,458

 
$
53,219

 
$
4,080

 
$
(82,604
)
 
$
80,180


Condensed Consolidating Statement of Comprehensive Income
Six Months Ended November 30, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
162,616

 
$
50,953

 
$
107,679

 
$
19,666

 
$
(178,298
)
 
$
162,616

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
 
 
       Foreign currency translation
           adjustments
—

 
5

 
—

 
1,389

 
—

 
1,394

      Change in fair value of derivatives
—

 
(189
)
 
—

 
—

 
—

 
(189
)
      Amortization of interest rate lock
          agreements
—

 
976

 
—

 
—

 
—

 
976

      Change in fair value of available-for-
          sale securities
—

 
—

 
(13
)
 
(5
)
 
—

 
(18
)
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
—

 
792

 
(13
)
 
1,384

 
—

 
2,163

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
162,616

 
$
51,745

 
$
107,666

 
$
21,050

 
$
(178,298
)
 
$
164,779


Condensed Consolidating Statement of Comprehensive Income
Six Months Ended November 30, 2012
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
154,760

 
$
50,563

 
$
103,498

 
$
5,939

 
$
(160,000
)
 
$
154,760

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
 
 
       Foreign currency translation
           adjustments
—

 
7

 
—

 
8,685

 
—

 
8,692

      Change in fair value of derivatives
—

 
(151
)
 
—

 
—

 
—

 
(151
)
      Amortization of interest rate lock
          agreements
—

 
976

 
—

 
—

 
—

 
976

      Change in fair value of available-for-
          sale securities
—

 
—

 
(7
)
 
(5
)
 
—

 
(12
)
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
—

 
832

 
(7
)
 
8,680

 
—

 
9,505

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
154,760

 
$
51,395

 
$
103,491

 
$
14,619

 
$
(160,000
)
 
$
164,265





Condensed Consolidating Balance Sheet
As of November 30, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
Assets
 

 
 

 
 

 
 

 
 

 
 

Current assets:
 

 
 

 
 

 
 

 
 

 
 

Cash and cash equivalents
$
—

 
$
69,393

 
$
210,433

 
$
29,508

 
$
—

 
$
309,334

Marketable securities
—

 
—

 
—

 
4,156

 
—

 
4,156

Accounts receivable, net
—

 
373,929

 
100,455

 
46,139

 
—

 
520,523

Inventories, net
—

 
216,588

 
20,080

 
9,677

 
3,141

 
249,486

Uniforms and other rental items in service
—

 
374,341

 
114,913

 
39,148

 
(19,733
)
 
508,669

Income taxes, current
—

 
—

 
(2,349
)
 
2,349

 
—

 
—

Deferred tax asset (liability)
—

 
522

 
(522
)
 
—

 
—

 
—

Prepaid expenses
—

 
6,994

 
16,054

 
3,566

 
—

 
26,614

Total current assets
—

 
1,041,767

 
459,064

 
134,543

 
(16,592
)
 
1,618,782

 
 
 
 
 
 
 
 
 
 
 
 
Property and equipment, at cost, net
—

 
633,412

 
249,859

 
105,626

 
—

 
988,897

 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
—

 
—

 
1,454,848

 
78,113

 
—

 
1,532,961

Service contracts, net
—

 
82,847

 
104

 
5,443

 
—

 
88,394

Other assets, net
1,642,439

 
1,627,184

 
2,874,230

 
794,512

 
(6,802,001
)
 
136,364

 
$
1,642,439

 
$
3,385,210

 
$
5,038,105

 
$
1,118,237

 
$
(6,818,593
)
 
$
4,365,398

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders’ Equity
 

 
 

 
 

 
 

 
 

 
 

Current liabilities:
 

 
 

 
 

 
 

 
 

 
 

Accounts payable
$
(465,247
)
 
$
(595,836
)
 
$
1,099,424

 
$
26,885

 
$
38,016

 
$
103,242

Accrued compensation and related liabilities
—

 
41,288

 
12,425

 
4,936

 
—

 
58,649

Accrued liabilities
—

 
67,916

 
281,526

 
11,185

 
—

 
360,627

Income taxes, current
—

 
8,987

 
(4,749
)
 
—

 
—

 
4,238

Deferred tax liability
—

 
—

 
78,229

 
8,862

 
—

 
87,091

Long-term debt due within one year
—

 
984

 
(270
)
 
—

 
—

 
714

Total current liabilities
(465,247
)
 
(476,661
)
 
1,466,585

 
51,868

 
38,016

 
614,561

 
 
 
 
 
 
 
 
 
 
 
 
Long-term liabilities:
 

 
 

 
 

 
 

 
 

 
 

Long-term debt due after one year
—

 
1,309,750

 
(9,883
)
 
748

 
—

 
1,300,615

Deferred income taxes
—

 
(6
)
 
215,929

 
(5,736
)
 
—

 
210,187

Accrued liabilities
—

 
—

 
91,022

 
1,041

 
—

 
92,063

Total long-term liabilities
—

 
1,309,744

 
297,068

 
(3,947
)
 
—

 
1,602,865

Total shareholders’ equity
2,107,686

 
2,552,127

 
3,274,452

 
1,070,316

 
(6,856,609
)
 
2,147,972

 
$
1,642,439

 
$
3,385,210

 
$
5,038,105

 
$
1,118,237

 
$
(6,818,593
)
 
$
4,365,398


Condensed Consolidating Balance Sheet
As of May 31, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
Assets
 

 
 

 
 

 
 

 
 

 
 

Current assets:
 

 
 

 
 

 
 

 
 

 
 

Cash and cash equivalents
$
—

 
$
54,511

 
$
247,070

 
$
50,692

 
$
—

 
$
352,273

Marketable securities
—

 
—

 
5,680

 
—

 
—

 
5,680

Accounts receivable, net
—

 
355,429

 
96,569

 
44,051

 
—

 
496,049

Inventories, net
—

 
201,260

 
25,584

 
10,342

 
3,254

 
240,440

Uniforms and other rental items in service
—

 
363,662

 
113,024

 
38,917

 
(18,851
)
 
496,752

Income taxes, current
—

 
4,172

 
3,437

 
1,493

 
—

 
9,102

Deferred tax asset (liability)
—

 
534

 
(534
)
 
—

 
—

 
—

Prepaid expenses
—

 
7,450

 
12,909

 
4,171

 
—

 
24,530

Total current assets
—

 
987,018

 
503,739

 
149,666

 
(15,597
)
 
1,624,826

 
 
 
 
 
 
 
 
 
 
 
 
Property and equipment, at cost, net
—

 
631,480

 
259,586

 
95,637

 
—

 
986,703

 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
—

 
—

 
1,449,445

 
68,115

 
—

 
1,517,560

Service contracts, net
—

 
88,157

 
166

 
3,830

 
—

 
92,153

Other assets, net
1,698,122

 
1,627,505

 
2,698,197

 
768,903

 
(6,668,337
)
 
124,390

 
$
1,698,122

 
$
3,334,160

 
$
4,911,133

 
$
1,086,151

 
$
(6,683,934
)
 
$
4,345,632

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders’ Equity
 

 
 

 
 

 
 

 
 

 
 

Current liabilities:
 

 
 

 
 

 
 

 
 

 
 

Accounts payable
$
(465,247
)
 
$
(561,454
)
 
$
1,084,986

 
$
24,728

 
$
38,016

 
$
121,029

Accrued compensation and related liabilities
—

 
54,591

 
17,642

 
5,817

 
—

 
78,050

Accrued liabilities
—

 
67,490

 
193,261

 
11,837

 
(767
)
 
271,821

Deferred tax liability
—

 
—

 
68,231

 
8,938

 
—

 
77,169

Long-term debt due within one year
—

 
8,436

 
(249
)
 
—

 
—

 
8,187

Total current liabilities
(465,247
)
 
(430,937
)
 
1,363,871

 
51,320

 
37,249

 
556,256

 
 
 
 
 
 
 
 
 
 
 
 
Long-term liabilities:
 

 
 

 
 

 
 

 
 

 
 

Long-term debt due after one year
—

 
1,310,384

 
(11,020
)
 
848

 
767

 
1,300,979

Deferred income taxes
—

 
(6
)
 
216,368

 
(5,879
)
 
—

 
210,483

Accrued liabilities
—

 
—

 
75,571

 
851

 
—

 
76,422

Total long-term liabilities
—

 
1,310,378

 
280,919

 
(4,180
)
 
767

 
1,587,884

Total shareholders’ equity
2,163,369

 
2,454,719

 
3,266,343

 
1,039,011

 
(6,721,950
)
 
2,201,492

 
$
1,698,122

 
$
3,334,160

 
$
4,911,133

 
$
1,086,151

 
$
(6,683,934
)
 
$
4,345,632














Condensed Consolidating Statement of Cash Flows
Six Months Ended November 30, 2013
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from operating activities:
 

 
 

 
 

 
 

 
 

 
 

Net income
$
162,616

 
$
50,953

 
$
107,679

 
$
19,666

 
$
(178,298
)
 
$
162,616

Adjustments to reconcile net income to net cash provided by (used in) operating activities
 

 
 

 
 

 
 

 
 

 
 

Depreciation
—

 
51,331

 
26,590

 
7,259

 
—

 
85,180

Amortization of intangible assets
—

 
10,683

 
83

 
975

 
—

 
11,741

Stock-based compensation
14,624

 
—

 
—

 
—

 
—

 
14,624

Deferred income taxes
—

 
—

 
9,553

 
(254
)
 
—

 
9,299

Changes in current assets and liabilities, net of acquisitions of businesses:
 

 
 

 
 

 
 

 
 

 
 

Accounts receivable, net
—

 
(18,508
)
 
(3,886
)
 
(1,361
)
 
—

 
(23,755
)
Inventories, net
—

 
(15,354
)
 
5,503

 
506

 
113

 
(9,232
)
Uniforms and other rental items in service
—

 
(10,679
)
 
(1,888
)
 
(1,009
)
 
882

 
(12,694
)
Prepaid expenses
—

 
484

 
(3,146
)
 
886

 
—

 
(1,776
)
Accounts payable
—

 
(27,917
)
 
7,208

 
1,494

 
—

 
(19,215
)
Accrued compensation and related liabilities
—

 
(13,303
)
 
(5,217
)
 
(861
)
 
—

 
(19,381
)
Accrued liabilities
—

 
2,366

 
10,523

 
(2,269
)
 
767

 
11,387

Income taxes payable
—

 
13,163

 
1,038

 
(715
)
 
—

 
13,486

Net cash provided by operating activities
177,240

 
43,219

 
154,040

 
24,317

 
(176,536
)
 
222,280

 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 

 
 

 
 

 
 

 
 

 
 

Capital expenditures
—

 
(53,379
)
 
(17,113
)
 
(6,293
)
 
—

 
(76,785
)
Proceeds from redemption of marketable securities
—

 
—

 
5,659

 
39,455

 
—

 
45,114

Purchase of marketable securities and investments


 
(1,034
)
 
(35,506
)
 
(43,699
)
 
24,826

 
(55,413
)
Acquisitions of businesses, net of cash acquired
—

 
(12,364
)
 
(125
)
 
(20,025
)
 
—

 
(32,514
)
Other
(37,637
)
 
45,550

 
(146,725
)
 
(14,594
)
 
152,477

 
(929
)
Net cash used in investing activities
(37,637
)
 
(21,227
)
 
(193,810
)
 
(45,156
)
 
177,303

 
(120,527
)
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 

 
 

 
 

 
 

 
 

 
 

Proceeds from issuance of debt
—

 
—

 
2,109

 
(2,109
)
 
—

 
—

Repayment of debt
—

 
(8,086
)
 
1,024

 
(8
)
 
(767
)
 
(7,837
)
Exercise of stock-based compensation awards
21,311

 
—

 
—

 
—

 
—

 
21,311

Repurchase of common stock
(164,200
)
 
—

 
—

 
—

 
—

 
(164,200
)
Other
3,286

 
976

 
—

 
2,061

 
—

 
6,323

Net cash (used in) provided by financing activities
(139,603
)
 
(7,110
)
 
3,133

 
(56
)
 
(767
)
 
(144,403
)
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
—

 
—

 
—

 
(289
)
 
—

 
(289
)
 
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in cash and cash equivalents
—

 
14,882

 
(36,637
)
 
(21,184
)
 
—

 
(42,939
)
Cash and cash equivalents at beginning of period
—

 
54,511

 
247,070

 
50,692

 
—

 
352,273

Cash and cash equivalents at end of period
$
—

 
$
69,393

 
$
210,433

 
$
29,508

 
$
—

 
$
309,334

Condensed Consolidating Statement of Cash Flows
Six Months Ended November 30, 2012
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from operating activities:
 

 
 

 
 

 
 

 
 

 
 

Net income
$
154,760

 
$
50,563

 
$
103,498

 
$
5,939

 
$
(160,000
)
 
$
154,760

Adjustments to reconcile net income to net cash provided by (used in) operating activities
 

 
 

 
 

 
 

 
 

 
 

Depreciation
—

 
48,061

 
26,608

 
6,652

 
—

 
81,321

Amortization of intangible assets
—

 
10,318

 
117

 
1,538

 
—

 
11,973

Stock-based compensation
11,084

 
—

 
—

 
—

 
—

 
11,084

Deferred income taxes
—

 
(1
)
 
23,065

 
287

 
—

 
23,351

Changes in current assets and liabilities, net of acquisitions of businesses:
 

 
 

 
 

 
 

 
 

 
 

Accounts receivable, net
—

 
(20,450
)
 
(7,242
)
 
3,164

 
—

 
(24,528
)
Inventories, net
—

 
9,838

 
(2,262
)
 
687

 
7,197

 
15,460

Uniforms and other rental items in service
—

 
(15,915
)
 
(8,877
)
 
(1,244
)
 
(2,069
)
 
(28,105
)
Prepaid expenses
—

 
152

 
(1,170
)
 
816

 
—

 
(202
)
Accounts payable
—

 
(41,309
)
 
63,503

 
825

 
—

 
23,019

Accrued compensation and related liabilities
—

 
(26,353
)
 
(9,260
)
 
(1,286
)
 
—

 
(36,899
)
Accrued liabilities
—

 
(7,450
)
 
4,532

 
(2,438
)
 
786

 
(4,570
)
Income taxes payable
—

 
10,815

 
(8,365
)
 
(1,851
)
 
—

 
599

Net cash provided by operating activities
165,844

 
18,269

 
184,147

 
13,089

 
(154,086
)
 
227,263

 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 

 
 

 
 

 
 

 
 

 
 

Capital expenditures
—

 
(57,660
)
 
(29,923
)
 
(11,479
)
 
—

 
(99,062
)
Proceeds from redemption of marketable securities
—

 
—

 
1,065

 
40,388

 
—

 
41,453

Purchase of marketable securities and investments
—

 
557

 
(17,931
)
 
(64,295
)
 
1,615

 
(80,054
)
Acquisitions of businesses, net of cash acquired
—

 
(51,984
)
 
—

 
(1,259
)
 
—

 
(53,243
)
Other
(11,749
)
 
57,625

 
(201,693
)
 
1,887

 
153,257

 
(673
)
Net cash used in investing activities
(11,749
)
 
(51,462
)
 
(248,482
)
 
(34,758
)
 
154,872

 
(191,579
)
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 

 
 

 
 

 
 

 
 

 
 

Proceeds from issuance of debt
—

 
250,000

 
—

 
—

 
—

 
250,000

Repayment of debt
—

 
(225,542
)
 
1,016

 
—

 
(786
)
 
(225,312
)
Exercise of stock-based compensation awards
2,357

 
—

 
—

 
—

 
—

 
2,357

Repurchase of common stock
(159,175
)
 
—

 
—

 
—

 
—

 
(159,175
)
Other
2,723

 
(4,965
)
 
—

 
(234
)
 
—

 
(2,476
)
Net cash (used in) provided by financing activities
(154,095
)
 
19,493

 
1,016

 
(234
)
 
(786
)
 
(134,606
)
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
—

 
(1
)
 
1,485

 
100

 
—

 
1,584

 
 
 
 
 
 
 
 
 
 
 
 
Net decrease in cash and cash equivalents
—

 
(13,701
)
 
(61,834
)
 
(21,803
)
 
—

 
(97,338
)
Cash and cash equivalents at beginning of period
—

 
58,737

 
229,287

 
51,801

 
—

 
339,825

Cash and cash equivalents at end of period
$
—

 
$
45,036

 
$
167,453

 
$
29,998

 
$
—

 
$
242,487