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, 2014

(In thousands)



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

Revenue:
Rental uniforms and ancillary products	$	—	$	664,057		$	180,725		$	55,155		$	(34,509	)	$	865,428
Other services	—		362,596			8,224			19,488			(132,357		)	257,951
Equity in net income of affiliates	103,446		—			—			—			(103,446		)	—
	103,446		1,026,653			188,949			74,643			(270,312		)	1,123,379
Costs and expenses (income):
Cost of rental uniforms and ancillary products	—		405,805			103,225			37,924			(68,994		)	477,960
Cost of other services	—		245,641			(3,938		)	11,791			(89,499		)	163,995
Selling and administrative expenses	—		309,060			(20,210		)	18,450			(7,051		)	300,249
Operating income	103,446		66,147			109,872			6,478			(104,768		)	181,175

Interest income	—		(5		)	(15		)	—			1			(19		)
Interest expense	—		16,435			(497		)	(9		)	—			15,929

Income before income taxes	103,446		49,717			110,384			6,487			(104,769		)	165,265
Income taxes	—		18,598			41,639			1,601			(19		)	61,819
Income from continuing operations	103,446		31,119			68,745			4,886			(104,750		)	103,446

Income from discontinued operations, net of tax	16,966		15,215			—			1,751			(16,966		)	16,966

Net income	$	120,412	$	46,334		$	68,745		$	6,637		$	(121,716	)	$	120,412

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			410,548			9,165			23,948			(124,046		)	319,615
Equity in net income of affiliates	84,456		—			—			—			(84,456		)	—
	84,456		1,025,290			174,150			80,052			(240,017		)	1,123,931
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	—		268,458			(3,091		)	15,124			(82,751		)	197,740
Selling and administrative expenses	—		310,278			(10,963		)	20,546			(4,993		)	314,868
Operating income	84,456		56,339			91,373			4,917			(84,874		)	152,211

Interest income	—		(11		)	(72		)	(2		)	1			(84		)
Interest expense	—		16,468			16			1			—			16,485

Income before income taxes	84,456		39,882			91,429			4,918			(84,875		)	135,810
Income taxes	—		15,147			34,707			1,514			(14		)	51,354
Income from continuing operations	84,456		24,735			56,722			3,404			(84,861		)	84,456

Income (loss) from discontinued operations, net of tax	406		537			—			(131		)	(406		)	406

Net income	$	84,862	$	25,272		$	56,722		$	3,273		$	(85,267	)	$	84,862

Condensed Consolidating Income Statement

Six Months Ended November 30, 2014

(In thousands)



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

Revenue:
Rental uniforms and ancillary products	$	—	$	1,323,044		$	357,431		$	111,436		$	(69,611	)	$	1,722,300
Other services	—		705,963			15,180			36,812			(254,799		)	503,156
Equity in net income of affiliates	213,237		—			—			—			(213,237		)	—
	213,237		2,029,007			372,611			148,248			(537,647		)	2,225,456
Costs and expenses (income):
Cost of rental uniforms and ancillary products	—		804,077			207,384			75,900			(138,792		)	948,569
Cost of other services	—		473,880			(9,087		)	23,058			(170,334		)	317,517
Selling and administrative expenses	—		623,063			(33,164		)	37,524			(12,716		)	614,707
Operating income	213,237		127,987			207,478			11,766			(215,805		)	344,663

Gain on deconsolidation of Shredding business	—		6,619			—			—			—			6,619

Gain on sale of stock of an equity method investment	—		—			21,739			—			—			21,739

Interest income	—		(10		)	(63		)	—			1			(72		)
Interest expense (income)	—		32,844			(327		)	(5		)	—			32,512

Income before income taxes	213,237		101,772			229,607			11,771			(215,806		)	340,581
Income taxes	—		37,876			85,846			3,652			(30		)	127,344
Income from continuing operations	213,237		63,896			143,761			8,119			(215,776		)	213,237

Income from discontinued operations, net of tax	17,283		15,588			—			1,695			(17,283		)	17,283

Net income	$	230,520	$	79,484		$	143,761		$	9,814		$	(233,059	)	$	230,520

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	—		805,741			17,714			44,617			(241,077		)	626,995
Equity in net income of affiliates	161,854		—			—			—			(161,854		)	—
	161,854		2,026,241			345,264			155,686			(464,868		)	2,224,177
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	—		524,697			(6,214		)	28,344			(159,667		)	387,160
Selling and administrative expenses	—		614,383			(15,822		)	41,988			(9,198		)	631,351
Operating income	161,854		113,227			172,302			7,333			(162,893		)	291,823

Interest income	—		(19		)	(125		)	(14,696		)	14,688			(152		)
Interest expense	—		32,948			60			—			—			33,008

Income before income taxes	161,854		80,298			172,367			22,029			(177,581		)	258,967
Income taxes	—		30,136			64,688			2,333			(44		)	97,113
Income from continuing operations	161,854		50,162			107,679			19,696			(177,537		)	161,854

Income (loss) from discontinued operations, net of tax	762		791			—			(29		)	(762		)	762

Net income	$	162,616	$	50,953		$	107,679		$	19,667		$	(178,299	)	$	162,616

Condensed Consolidating Statement of Comprehensive Income

Three Months Ended November 30, 2014

(In thousands)



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

Net income	$	120,412	$	46,334	$	68,745	$	6,637		$	(121,716	)	$	120,412

Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	—		—		—		(9,778		)	—			(9,778		)
Change in fair value of derivatives	—		—		—		(21		)	—			(21		)
Amortization of interest rate lock agreements	—		488		—		—			—			488
Change in fair value of available-for-sale securities	—		—		—		3			—			3

Other comprehensive income (loss)	—		488		—		(9,796		)	—			(9,308		)

Comprehensive income (loss)	$	120,412	$	46,822	$	68,745	$	(3,159	)	$	(121,716	)	$	111,104

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	$	3,273		$	(85,267	)	$	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	$	5,122		$	(85,267	)	$	87,197

Condensed Consolidating Statement of Comprehensive Income

Six Months Ended November 30, 2014

(In thousands)



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

Net income	$	230,520	$	79,484	$	143,761	$	9,814		$	(233,059	)	$	230,520

Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	—		—		—		(11,893		)	—			(11,893		)
Change in fair value of derivatives	—		—		—		(4		)	—			(4		)
Amortization of interest rate lock agreements	—		976		—		—			—			976
Change in fair value of available-for-sale securities	—		—		—		3			—			3

Other comprehensive income (loss)	—		976		—		(11,894		)	—			(10,918		)

Comprehensive income (loss)	$	230,520	$	80,460	$	143,761	$	(2,080	)	$	(233,059	)	$	219,602

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		$	19,667		$	(178,299	)	$	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		$	21,051		$	(178,299	)	$	164,779

Condensed Consolidating Balance Sheet

As of November 30, 2014

(In thousands)



	Cintas Corporation			Corp. 2			Subsidiary Guarantors			Non- Guarantors			Eliminations			Cintas Corporation Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—		$	78,454		$	640,555		$	107,715		$	—		$	826,724
Accounts receivable, net	—			369,156			106,807			34,190			—			510,153
Inventories, net	—			205,260			17,486			9,994			3,120			235,860
Uniforms and other rental items in service	—			391,666			117,622			38,663			(19,619		)	528,332
Deferred tax asset (liability)	—			484			(484		)	—			—			—
Assets held for sale	—			21,320			—			—			—			21,320
Prepaid expenses and other current assets	—			4,798			17,696			1,097			—			23,591
Total current assets	—			1,071,138			899,682			191,659			(16,499		)	2,145,980

Property and equipment, at cost, net	—			511,671			257,085			76,371			—			845,127

Investments	321,083			2,083,114			891,165			949,301			(3,787,799		)	456,864
Goodwill	—			—			1,172,788			16,684			(112		)	1,189,360
Service contracts, net	—			41,531			42			17			—			41,590
Other assets, net	1,399,495			7,798			2,253,641			8,628			(3,650,912		)	18,650
	$	1,720,578		$	3,715,252		$	5,474,403		$	1,242,660		$	(7,455,322	)	$	4,697,571

Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable	$	(465,246	)	$	(691,066	)	$	1,265,849		$	24,070		$	38,022		$	171,629
Accrued compensation and related liabilities	—			39,839			16,441			4,168			—			60,448
Accrued liabilities	—			67,586			423,483			11,792			—			502,861
Income taxes, current	—			10,396			6,596			467			—			17,459
Deferred tax liability	—			—			89,787			8,526			—			98,313
Liabilities held for sale	—			1,054			—			—			—			1,054
Long-term debt due within one year	—			292			(292		)	—			—			—
Total current liabilities	(465,246		)	(571,899		)	1,801,864			49,023			38,022			851,764

Long-term liabilities:
Long-term debt due after one year	—			1,308,842			(9,242		)	400			—			1,300,000
Deferred income taxes	—			(6		)	237,161			(3,558		)	—			233,597
Accrued liabilities	—			—			107,860			1,016			—			108,876
Total long-term liabilities	—			1,308,836			335,779			(2,142		)	—			1,642,473
Total shareholders’ equity	2,185,824			2,978,315			3,336,760			1,195,779			(7,493,344		)	2,203,334
	$	1,720,578		$	3,715,252		$	5,474,403		$	1,242,660		$	(7,455,322	)	$	4,697,571

Condensed Consolidating Balance Sheet

As of May 31, 2014

(In thousands)



	Cintas Corporation			Corp. 2			Subsidiary Guarantors			Non- Guarantors			Eliminations			Cintas Corporation Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—		$	73,540		$	399,525		$	40,223		$	—		$	513,288
Accounts receivable, net	—			366,629			97,869			43,929			—			508,427
Inventories, net	—			215,974			20,745			9,650			4,870			251,239
Uniforms and other rental items in service	—			374,666			112,467			38,240			(18,836		)	506,537
Income taxes, current	—			1,549			(1,549		)	—			—			—
Prepaid expenses and other current assets	—			7,058			14,752			4,380			—			26,190
Total current assets	—			1,039,416			643,809			136,422			(13,966		)	1,805,681

Property and equipment, at cost, net	—			533,665			225,677			96,360			—			855,702

Investments	321,083			2,081,094			893,647			1,015,343			(3,852,810		)	458,357
Goodwill	—			—			1,211,716			55,807			(112		)	1,267,411
Service contracts, net	—			51,248			53			4,374			—			55,675
Other assets, net	1,378,100			8,900			2,189,527			9,044			(3,565,945		)	19,626
	$	1,699,183		$	3,714,323		$	5,164,429		$	1,317,350		$	(7,432,833	)	$	4,462,452

Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable	$	(465,247	)	$	(545,526	)	$	1,092,545		$	30,281		$	38,017		$	150,070
Accrued compensation and related liabilities	—			56,581			22,590			5,855			—			85,026
Accrued liabilities	—			79,614			208,983			11,876			(746		)	299,727
Income taxes, current	—			—			4,915			1,045			—			5,960
Deferred tax liability	—			(510		)	80,575			8,780			—			88,845
Long-term debt due within one year	—			773			(270		)	—			—			503
Total current liabilities	(465,247		)	(409,068		)	1,409,338			57,837			37,271			630,131

Long-term liabilities:
Long-term debt due after one year	—			1,309,611			(10,380		)	500			746			1,300,477
Deferred income taxes	—			(6		)	251,924			(5,874		)	—			246,044
Accrued liabilities	—			—			92,069			873			—			92,942
Total long-term liabilities	—			1,309,605			333,613			(4,501		)	746			1,639,463
Total shareholders’ equity	2,164,430			2,813,786			3,421,478			1,264,014			(7,470,850		)	2,192,858
	$	1,699,183		$	3,714,323		$	5,164,429		$	1,317,350		$	(7,432,833	)	$	4,462,452

Condensed Consolidating Statement of Cash Flows

Six Months Ended November 30, 2014

(In thousands)



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

Cash flows from operating activities:
Net income	$	230,520		$	79,484		$	143,761		$	9,814		$	(233,059	)	$	230,520
Adjustments to reconcile net income to net cash provided by (used in) operating activities
Depreciation	—			38,814			25,972			5,665			—			70,451
Amortization of intangible assets	—			7,251			27			424			—			7,702
Stock-based compensation	24,785			—			—			—			—			24,785
Gain on sale of Storage businesses	—			(31,113		)	—			(3,024		)	—			(34,137		)
Gain on deconsolidation of Shredding business	—			(6,619		)	—			—			—			(6,619		)
Gain on sale of stock of an equity method investment	—			—			(21,739		)	—			—			(21,739		)
Deferred income taxes				26			9,073			1,247			—			10,346
Changes in current assets and liabilities, net of acquisitions of businesses:
Accounts receivable, net	—			(6,468		)	(8,938		)	2,659			—			(12,747		)
Inventories, net	—			10,737			3,258			(898		)	1,750			14,847
Uniforms and other rental items in service	—			(17,000		)	(5,155		)	(2,101		)	783			(23,473		)
Prepaid expenses and other current assets	—			327			(2,943		)	(6		)	—			(2,622		)
Accounts payable	—			(144,224		)	171,596			605			5			27,982
Accrued compensation and related liabilities	—			(16,742		)	(6,148		)	(2,221		)	—			(25,111		)
Accrued liabilities	—			(8,174		)	28,401			3,807			746			24,780
Income taxes, current	—			11,945			(3,814		)	(523		)	—			7,608
Net cash provided by (used in) operating activities	255,305			(81,756		)	333,351			15,448			(229,775		)	292,573

Cash flows from investing activities:
Capital expenditures	—			(49,870		)	(57,388		)	(5,767		)	—			(113,025		)
Purchase of marketable securities and investments	—			(2,020		)	55,053			—			(65,011		)	(11,978		)
Proceeds from Storage transactions, net of cash contributed	—			93,387			—			60,609			—			153,996
Proceeds from Shredding transaction	—			3,344			—			—			—			3,344
Proceeds from sale of stock of an equity method investment	—			—			29,933			—			—			29,933
Dividends received on equity method investment	—			—			5,247			—			—			5,247
Acquisitions of businesses, net of cash acquired	—			(3,015		)	—			—			—			(3,015		)
Other, net	(214,210		)	44,502			(126,280		)	2,137			295,532			1,681
Net cash (used in) provided by investing activities	(214,210		)	86,328			(93,435		)	56,979			230,521			66,183

Cash flows from financing activities:
Repayment of debt	—			(634		)	1,114			(98		)	(746		)	(364		)
Exercise of stock-based compensation awards	22,478			—			—			(6		)	—			22,472
Repurchase of common stock	(63,573		)	—			—			—			—			(63,573		)
Other, net	—			976			—			782			—			1,758
Net cash provided by (used in) financing activities	(41,095		)	342			1,114			678			(746		)	(39,707		)

Effect of exchange rate changes on cash and cash equivalents	—			—			—			(5,613		)	—			(5,613		)

Net increase in cash and cash equivalents	—			4,914			241,030			67,492			—			313,436
Cash and cash equivalents at beginning of period	—			73,540			399,525			40,223			—			513,288
Cash and cash equivalents at end of period	$	—		$	78,454		$	640,555		$	107,715		$	—		$	826,724

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		$	19,667		$	(178,299	)	$	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, current	—			13,163			1,038			(715		)	—			13,486
Net cash provided by operating activities	177,240			43,219			154,040			24,318			(176,537		)	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, net	(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, net	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		)	(21,183		)	(1		)	(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		$	29,509		$	(1	)	$	309,334