XML 45 R34.htm IDEA: XBRL DOCUMENT v3.8.0.1
Supplemental Guarantor Information (Tables)
 9 Months Ended
Feb. 28, 2018
Condensed Financial Information of Parent Company Only Disclosure [Abstract]  
Consolidating Condensed Income Statement
Consolidating Condensed Income Statement
Three Months Ended February 28, 2018
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Uniform rental and facility services
$
—

 
$
1,059,184

 
$
169,308

 
$
100,941

 
$
(44,917
)
 
$
1,284,516

Other
—

 
437,042

 
56

 
21,396

 
(153,872
)
 
304,622

Equity in net income of affiliates
295,789

 
—

 
—

 
—

 
(295,789
)
 
—

 
295,789

 
1,496,226

 
169,364

 
122,337

 
(494,578
)
 
1,589,138

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of uniform rental and facility services
—

 
617,276

 
106,066

 
64,952

 
(70,156
)
 
718,138

Cost of other
—

 
301,217

 
(24,654
)
 
14,888

 
(120,914
)
 
170,537

Selling and administrative expenses
—

 
491,924

 
(28,110
)
 
33,959

 
(7,155
)
 
490,618

G&K Services, Inc. transaction and
    integration expenses
—

 
5,101

 
3,968

 
752

 
—

 
9,821

Operating income
295,789

 
80,708

 
112,094

 
7,786

 
(296,353
)
 
200,024

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(103
)
 
(24
)
 
(259
)
 
2

 
(384
)
Interest expense (income)
—

 
26,105

 
(207
)
 
3

 
—

 
25,901

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
295,789


54,706


112,325


8,042


(296,355
)

174,507

Income tax (benefit) expense
—

 
(88,275
)
 
(38,777
)
 
5,820

 
(50
)
 
(121,282
)
Income from continuing operations
295,789


142,981


151,102


2,222


(296,305
)
 
295,789

 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) from discontinued operations, net of tax
6,306

 
7,269

 
(1,012
)
 
—

 
(6,257
)
 
6,306

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
302,095

 
$
150,250

 
$
150,090

 
$
2,222

 
$
(302,562
)
 
$
302,095


Consolidating Condensed Income Statement
Three Months Ended February 28, 2017
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Uniform rental and facility services
$
—

 
$
821,386

 
$
147,293

 
$
57,082

 
$
(37,583
)
 
$
988,178

Other
—

 
383,043

 
297

 
16,672

 
(132,823
)
 
267,189

Equity in net income of affiliates
116,954

 
—

 
—

 
—

 
(116,954
)
 
—

 
116,954

 
1,204,429

 
147,590

 
73,754

 
(287,360
)
 
1,255,367

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of uniform rental and facility services
—

 
472,256

 
92,273

 
36,877

 
(58,616
)
 
542,790

Cost of other
—

 
264,965

 
(19,449
)
 
12,462

 
(105,325
)
 
152,653

Selling and administrative expenses
—

 
396,225

 
(51,465
)
 
20,883

 
(7,054
)
 
358,589

G&K Services, Inc. transaction and
   integration expenses
—

 
—

 
9,344

 
—

 
—

 
9,344

Operating income
116,954

 
70,983

 
116,887

 
3,532

 
(116,365
)
 
191,991

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(2
)
 
(6
)
 
(4
)
 
1

 
(11
)
Interest expense (income)
—

 
14,981

 
(1,193
)
 
(92
)
 
—

 
13,696

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
116,954

 
56,004

 
118,086

 
3,628

 
(116,366
)
 
178,306

Income taxes
—

 
19,186

 
40,474

 
1,712

 
(20
)
 
61,352

Income from continuing operations
116,954


36,818


77,612


1,916


(116,346
)

116,954

 
 
 
 
 
 
 
 
 
 
 


Income from discontinued operations, net of tax
1,051

 
791

 
447

 
9

 
(1,247
)
 
1,051

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
118,005


$
37,609


$
78,059


$
1,925


$
(117,593
)

$
118,005


























Consolidating Condensed Income Statement
Nine Months Ended February 28, 2018
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Uniform rental and facility services
$
—

 
$
3,245,720

 
$
504,523

 
$
298,469

 
$
(144,374
)
 
$
3,904,338

Other
—

 
1,299,883

 
50

 
63,686

 
(460,875
)
 
902,744

Equity in net income of affiliates
594,634

 
—

 
—

 
—

 
(594,634
)
 
—

 
594,634

 
4,545,603

 
504,573

 
362,155

 
(1,199,883
)
 
4,807,082

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of uniform rental and facility services
—

 
1,867,547

 
311,039

 
190,689

 
(220,314
)
 
2,148,961

Cost of other
—

 
892,201

 
(69,369
)
 
45,061

 
(365,957
)
 
501,936

Selling and administrative expenses
—

 
1,531,248

 
(161,065
)
 
95,076

 
(20,274
)
 
1,444,985

G&K Services, Inc. transaction and
   integration expenses
—

 
10,814

 
14,722

 
1,330

 
—

 
26,866

Operating income
594,634

 
243,793

 
409,246

 
29,999

 
(593,338
)
 
684,334

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(179
)
 
(182
)
 
(613
)
 
2

 
(972
)
Interest expense (income)
—

 
86,110

 
(659
)
 
(104
)
 
—

 
85,347

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
594,634

 
157,862

 
410,087

 
30,716

 
(593,340
)
 
599,959

Income tax (benefit) expense
—

 
(57,256
)
 
50,760

 
11,915

 
(94
)
 
5,325

Income from continuing operations
594,634


215,118


359,327


18,801


(593,246
)

594,634

 
 
 
 
 
 
 
 
 
 
 


Income (loss) from discontinued
    operations, net of tax
61,781

 
71,643

 
(9,911
)
 
—

 
(61,732
)
 
61,781

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
656,415


$
286,761


$
349,416


$
18,801


$
(654,978
)

$
656,415























Consolidating Condensed Income Statement
Nine Months Ended February 28, 2017
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Uniform rental and facility services
$
—

 
$
2,489,238

 
$
446,327

 
$
172,355

 
$
(125,445
)
 
$
2,982,475

Other
—

 
1,162,088

 
1,898

 
53,709

 
(407,076
)
 
810,619

Equity in net income of affiliates
375,112

 
—

 
—

 
—

 
(375,112
)
 
—

 
375,112

 
3,651,326

 
448,225

 
226,064

 
(907,633
)
 
3,793,094

Costs and expenses (income):
 

 
 

 
 

 
 

 
 

 
 

Cost of uniform rental and facility services
—

 
1,430,876

 
277,268

 
111,594

 
(188,353
)
 
1,631,385

Cost of other
—

 
800,503

 
(53,929
)
 
39,926

 
(326,360
)
 
460,140

Selling and administrative expenses
—

 
1,202,428

 
(150,455
)
 
59,851


(22,117
)
 
1,089,707

G&K Services, Inc. transaction and
   integration expenses
—

 
—

 
15,478

 
—

 
—

 
15,478

Operating income
375,112

 
217,519

 
359,863

 
14,693

 
(370,803
)
 
596,384

 
 
 
 
 
 
 
 
 
 
 
 
Interest income
—

 
(2
)
 
(30
)
 
(77
)
 
2

 
(107
)
Interest expense (income)
—

 
44,336

 
(3,071
)
 
(130
)
 
—

 
41,135

 
 
 
 
 
 
 
 
 
 
 
 
Income before income taxes
375,112

 
173,185

 
362,964

 
14,900

 
(370,805
)
 
555,356

Income taxes
—

 
56,490

 
118,652

 
5,176

 
(74
)
 
180,244

Income from continuing operations
375,112


116,695


244,312


9,724


(370,731
)

375,112

 
 
 
 
 
 
 
 
 
 
 


Income from discontinued operations,
   net of tax
21,361

 
19,789

 
447

 
1,950

 
(22,186
)
 
21,361

 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
396,473


$
136,484


$
244,759


$
11,674


$
(392,917
)

$
396,473
Consolidating Condensed Statement of Comprehensive Income
Consolidating Condensed Statement of Comprehensive Income
Three Months Ended February 28, 2018
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
302,095

 
$
150,250

 
$
150,090

 
$
2,222

 
$
(302,562
)
 
$
302,095

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
2,374

 
—

 
—

 
2,374

 
(2,374
)
 
2,374

Amortization of interest rate lock agreements
(294
)
 
(294
)
 
—

 
—

 
294

 
(294
)
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
2,080

 
(294
)
 
—

 
2,374

 
(2,080
)
 
2,080

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
304,175

 
$
149,956

 
$
150,090

 
$
4,596

 
$
(304,642
)
 
$
304,175


Consolidating Condensed Statement of Comprehensive Income
Three Months Ended February 28, 2017
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
118,005

 
$
37,609

 
$
78,059

 
$
1,925

 
$
(117,593
)
 
$
118,005

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income,
   net of tax:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
2,400

 
—

 
—

 
2,400

 
(2,400
)
 
2,400

Change in fair value of cash
   flow hedges
2,560

 
2,560

 
—

 
—

 
(2,560
)
 
2,560

Amortization of interest rate lock agreements
385

 
385

 
—

 
—

 
(385
)
 
385

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income
5,345

 
2,945

 
—

 
2,400

 
(5,345
)
 
5,345

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
123,350

 
$
40,554

 
$
78,059

 
$
4,325

 
$
(122,938
)
 
$
123,350



































Consolidating Condensed Statement of Comprehensive Income
Nine Months Ended February 28, 2018
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
656,415

 
$
286,761

 
$
349,416

 
$
18,801

 
$
(654,978
)
 
$
656,415

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss),
   net of tax:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
26,184

 
—

 
—

 
26,184

 
(26,184
)
 
26,184

Amortization of interest rate lock agreements
(638
)
 
(638
)
 
—

 
—

 
638

 
(638
)
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
25,546

 
(638
)
 
—

 
26,184

 
(25,546
)
 
25,546

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
681,961

 
$
286,123

 
$
349,416

 
$
44,985

 
$
(680,524
)
 
$
681,961



































Consolidating Condensed Statement of Comprehensive Income
Nine Months Ended February 28, 2017
(In thousands)

 
Cintas
Corporation
 
Corp. 2
 
Subsidiary
Guarantors
 
Non-
Guarantors
 
Eliminations
 
Cintas
Corporation
Consolidated
 
 
 
 
 
 
 
 
 
 
 
 
Net income
$
396,473

 
$
136,484

 
$
244,759

 
$
11,674

 
$
(392,917
)
 
$
396,473

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive (loss) income,
   net of tax:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
(5,135
)
 
—

 
—

 
(5,135
)
 
5,135

 
(5,135
)
Change in fair value of cash flow
    hedges
16,913

 
16,913

 
—

 
—

 
(16,913
)
 
16,913

Amortization of interest rate lock agreements
1,155

 
1,155

 
—

 
—

 
(1,155
)
 
1,155

 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss)
12,933

 
18,068

 
—

 
(5,135
)
 
(12,933
)
 
12,933

 
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income
$
409,406

 
$
154,552

 
$
244,759

 
$
6,539

 
$
(405,850
)
 
$
409,406
Consolidating Condensed Balance Sheet
Consolidating Condensed Balance Sheet
As of February 28, 2018
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Current assets:
 

 
 

 
 

 
 

 
 

 
 

Cash and cash equivalents
$
—

 
$
45,105

 
$
15,109

 
$
92,349

 
$
—

 
$
152,563

Marketable securities
—

 
—

 
—

 
33,693

 
—

 
33,693

Accounts receivable, net
—

 
601,742

 
117,281

 
60,197

 
—

 
779,220

Inventories, net
—

 
224,418

 
36,861

 
13,540

 
—

 
274,819

Uniforms and other rental items
    in service
—

 
566,950

 
80,852

 
53,738

 
(19,102
)
 
682,438

Income taxes, current
—

 
(9,604
)
 
26,083

 
5,172

 
—

 
21,651

Prepaid expenses and other
    current assets
—

 
11,877

 
22,147

 
1,168

 
—

 
35,192

Total current assets
—

 
1,440,488

 
298,333

 
259,857

 
(19,102
)
 
1,979,576

 
 
 
 
 
 
 
 
 
 
 
 
Property and equipment, net
—

 
883,749

 
370,764

 
113,067

 
—

 
1,367,580

 
 
 
 
 
 
 
 
 
 
 
 
Investments (1)
321,083

 
3,599,114

 
949,739

 
1,714,070

 
(6,405,479
)
 
178,527

Goodwill
—

 
—

 
2,778,361

 
41,618

 
(112
)
 
2,819,867

Service contracts, net
—

 
477,353

 
—

 
80,124

 
—

 
557,477

Other assets, net
2,107,667

 
515

 
3,637,566

 
15,932

 
(5,736,114
)
 
25,566

 
$
2,428,750

 
$
6,401,219

 
$
8,034,763

 
$
2,224,668

 
$
(12,160,807
)
 
$
6,928,593

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders’ Equity
 
 

 
 

 
 

 
 

 
 

Current liabilities:
 

 
 

 
 

 
 

 
 

 
 

Accounts payable
$
(465,247
)
 
$
(1,610,462
)
 
$
2,334,145

 
$
(124,204
)
 
$
37,949

 
$
172,181

Accrued compensation and
   related liabilities
—

 
82,519

 
56,234

 
6,313

 
—

 
145,066

Accrued liabilities
—

 
124,021

 
260,301

 
28,504

 
—

 
412,826

Debt due within one year
—

 
187,500

 
—

 
—

 
—

 
187,500

Total current liabilities
(465,247
)
 
(1,216,422
)
 
2,650,680

 
(89,387
)
 
37,949

 
917,573

 
 
 
 
 
 
 
 
 
 
 
 
Long-term liabilities:
 

 
 

 
 

 
 

 
 

 
 

Debt due after one year
—

 
2,534,370

 
—

 
390

 
—

 
2,534,760

Deferred income taxes
—

 
222,968

 
107,306

 
46,391

 
—

 
376,665

Accrued liabilities
—

 
40,006

 
164,312

 
1,280

 
—

 
205,598

Total long-term liabilities
—

 
2,797,344

 
271,618

 
48,061

 
—

 
3,117,023

 
 
 
 
 
 
 
 
 
 
 
 
Total shareholders’ equity
2,893,997

 
4,820,297

 
5,112,465

 
2,265,994

 
(12,198,756
)
 
2,893,997

 
$
2,428,750

 
$
6,401,219

 
$
8,034,763

 
$
2,224,668

 
$
(12,160,807
)
 
$
6,928,593


(1) Investments include inter-company investment activity. Corp 2 and Subsidiary Guarantors hold $21.1 million and $157.5 million , respectively, of the $178.5 million consolidated net investments.

Consolidating Condensed Balance Sheet
As of May 31, 2017
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Current assets:
 

 
 

 
 

 
 

 
 

 
 

Cash and cash equivalents
$
—

 
$
48,658

 
$
17,302

 
$
103,306

 
$
—

 
$
169,266

Marketable securities
—

 
—

 
—

 
22,219

 
—

 
22,219

Accounts receivable, net
—

 
543,769

 
137,881

 
54,358

 
—

 
736,008

Inventories, net
—

 
243,677

 
21,466

 
14,461

 
(1,386
)
 
278,218

Uniforms and other rental items
    in service
—

 
531,295

 
78,012

 
45,388

 
(18,993
)
 
635,702

Income taxes, current
—

 
16,173

 
25,138

 
3,009

 
—

 
44,320

Prepaid expenses and other
   current assets
—

 
13,234

 
16,188

 
710

 
—

 
30,132

Assets held for sale
—

 
23,095

 
15,518

 
—

 
—

 
38,613

Total current assets
—

 
1,419,901

 
311,505

 
243,451

 
(20,379
)
 
1,954,478

 
 
 
 
 
 
 
 
 
 
 
 
Property and equipment, net
—

 
851,018

 
364,724

 
107,759

 
—

 
1,323,501

 
 
 
 
 
 
 
 
 
 
 
 
Investments (1)
321,083

 
3,605,457

 
929,657

 
1,711,070

 
(6,402,479
)
 
164,788

Goodwill
—

 
—

 
2,742,898

 
39,549

 
(112
)
 
2,782,335

Service contracts, net
—

 
505,698

 
—

 
81,290

 
—

 
586,988

Other assets, net
1,516,463

 
14,705

 
3,489,653

 
11,983

 
(5,000,837
)
 
31,967

 
$
1,837,546

 
$
6,396,779

 
$
7,838,437

 
$
2,195,102

 
$
(11,423,807
)
 
$
6,844,057

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders’ Equity
 
 

 
 

 
 

 
 

 
 

Current liabilities:
 

 
 

 
 

 
 

 
 

 
 

Accounts payable
$
(465,247
)
 
$
(1,596,731
)
 
$
2,292,388

 
$
(91,467
)
 
$
38,108

 
$
177,051

Accrued compensation and
  related liabilities
—

 
94,505

 
42,866

 
12,264

 
—

 
149,635

Accrued liabilities
—

 
191,819

 
219,303

 
18,687

 
—

 
429,809

Debt due within one year
—

 
362,900

 
—

 
—

 
—

 
362,900

Liabilities held for sale
—

 
11,457

 
—

 
—

 
—

 
11,457

Total current liabilities
(465,247
)
 
(936,050
)
 
2,554,557

 
(60,516
)
 
38,108

 
1,130,852

 
 
 
 
 
 
 
 
 
 
 
 
Long-term liabilities:
 

 
 

 
 

 
 

 
 

 
 

Debt due after one year
—

 
2,770,234

 
—

 
390

 
—

 
2,770,624

Deferred income taxes
—

 
—

 
436,613

 
32,715

 
—

 
469,328

Accrued liabilities
—

 
28,384

 
140,923

 
1,153

 
—

 
170,460

Total long-term liabilities
—

 
2,798,618

 
577,536

 
34,258

 
—

 
3,410,412

 
 
 
 
 
 
 
 
 
 
 
 
Total shareholders’ equity
2,302,793

 
4,534,211

 
4,706,344

 
2,221,360

 
(11,461,915
)
 
2,302,793

 
$
1,837,546

 
$
6,396,779

 
$
7,838,437

 
$
2,195,102

 
$
(11,423,807
)
 
$
6,844,057



(1) Investments include inter-company investment activity. Corp 2 and Subsidiary Guarantors hold $29.0 million and $135.8 million, respectively, of the $164.8 million consolidated net investments.
Consolidating Condensed Statement of Cash Flows
Consolidating Condensed Statement of Cash Flows
Nine Months Ended February 28, 2018
(In thousands)

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

 
 

 
 

 
 

 
 

 
 

Net income
$
656,415

 
$
286,761

 
$
349,416

 
$
18,801

 
$
(654,978
)
 
$
656,415

Adjustments to reconcile net income to net
   cash provided by operating activities
 

 
 

 
 

 
 

 
 

 
 

Depreciation
—

 
94,846

 
52,162

 
10,311

 
—

 
157,319

Amortization of intangible assets
—

 
37,338

 
3,824

 
6,421

 
—

 
47,583

Stock-based compensation
86,044

 
—

 
—

 
—

 
—

 
86,044

Gain on sale of business
—

 
(114,581
)
 
15,521

 
—

 
—

 
(99,060
)
Deferred income taxes
—

 
(82,475
)
 
(39,692
)
 
1,739

 


 
(120,428
)
Changes in current assets and liabilities, net of acquisitions of businesses:
 

 
 

 
 

 
 

 
 

 
 

Accounts receivable, net
—

 
(57,631
)
 
20,615

 
(3,030
)
 
—

 
(40,046
)
Inventories, net
—

 
17,558

 
(15,487
)
 
3,326

 
(1,386
)
 
4,011

Uniforms and other rental items
   in service
—

 
(33,728
)
 
(2,748
)
 
(7,683
)
 
109

 
(44,050
)
Prepaid expenses and other
   current assets
—

 
1,252

 
(19,495
)
 
318

 
—

 
(17,925
)
Accounts payable
—

 
3,657

 
23,201

 
(27,279
)
 
(159
)
 
(580
)
Accrued compensation and related liabilities
—

 
(12,519
)
 
13,106

 
(2,796
)
 
—

 
(2,209
)
Accrued liabilities and other
—

 
(85,980
)
 
91,624

 
5,353

 
—

 
10,997

Income taxes, current
—

 
25,777

 
(930
)
 
(2,054
)
 
—

 
22,793

Net cash provided by operating activities
742,459

 
80,275

 
491,117

 
3,427

 
(656,414
)
 
660,864

 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 

 
 

 
 

 
 

 
 

 
 

Capital expenditures
—

 
(127,736
)
 
(59,018
)
 
(9,286
)
 
—

 
(196,040
)
Proceeds from redemption of marketable securities and investments
—

 
13,589

 
(1,189
)
 
133,902

 
—

 
146,302

Purchase of marketable securities and investments
—

 
6,343

 
(22,521
)
 
(144,350
)
 
3,000

 
(157,528
)
Proceeds from sale of business
—

 
127,835

 
—

 
—

 
—

 
127,835

Acquisitions of businesses
—

 
(12,298
)
 
—

 
—

 
—

 
(12,298
)
Other, net
(565,726
)
 
323,643

 
(413,382
)
 
3,797

 
653,414

 
1,746

Net cash (used in) provided by investing
    activities
(565,726
)
 
331,376

 
(496,110
)
 
(15,937
)
 
656,414

 
(89,983
)
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 

 
 

 
 

 
 

 
 

 
 

Payments of commercial paper, net
—

 
137,000

 
—

 
—

 
—

 
137,000

Proceeds from issuance of debt
—

 
—

 
2,810

 
(2,810
)
 
—

 
—

Repayment of debt
—

 
(550,000
)
 
—

 
—

 
—

 
(550,000
)
Proceeds from exercise of stock-based compensation awards
35,838

 
—

 
—

 
—

 
—

 
35,838

Dividends paid
(175,521
)
 
—

 
—

 
(68
)
 
—

 
(175,589
)
Repurchase of common stock
(37,050
)
 
—

 
—

 
—

 
—

 
(37,050
)
Other, net
—

 
(2,204
)
 
(10
)
 
(275
)
 
—

 
(2,489
)
Net cash (used in) provided by financing activities
(176,733
)
 
(415,204
)
 
2,800

 
(3,153
)
 
—

 
(592,290
)
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash
    and cash equivalents
—

 
—

 
—

 
4,706

 
—

 
4,706

 
 
 
 
 
 
 
 
 
 
 
 
Net decrease in cash and cash
    equivalents
—

 
(3,553
)
 
(2,193
)
 
(10,957
)
 
—

 
(16,703
)
Cash and cash equivalents at beginning of period
—

 
48,658

 
17,302

 
103,306

 
—

 
169,266

Cash and cash equivalents at end of period
$
—

 
$
45,105

 
$
15,109

 
$
92,349

 
$
—

 
$
152,563

Consolidating Condensed Statement of Cash Flows
Nine Months Ended February 28, 2017
(In thousands

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

 
 

 
 

 
 

 
 

 
 

Net income
$
396,473

 
$
136,484

 
$
244,759

 
$
11,674

 
$
(392,917
)
 
$
396,473

Adjustments to reconcile net income to net
    cash provided by operating activities
 

 
 

 
 

 
 

 
 

 
 

Depreciation
—

 
79,459

 
33,697

 
7,337

 
—

 
120,493

Amortization of intangible assets
—

 
10,288

 
262

 
671

 
—

 
11,221

Stock-based compensation
63,578

 
—

 
—

 
—

 
—

 
63,578

Gain on Shred-it
—

 
(23,935
)
 
—

 
(1,941
)
 
—

 
(25,876
)
Deferred income taxes
—

 
(11,104
)
 
7,406

 
226

 
—

 
(3,472
)
Changes in current assets and liabilities, net of acquisitions of businesses:
 

 
 

 
 

 
 

 
 

 
 

Accounts receivable, net
—

 
(21,965
)
 
(5,959
)
 
(722
)
 
—

 
(28,646
)
Inventories, net
—

 
(21,588
)
 
2,079

 
(2,177
)
 
(1,678
)
 
(23,364
)
Uniforms and other rental items in service
—

 
3,662

 
(2,753
)
 
1,031

 
(1,993
)
 
(53
)
Prepaid expenses and other current
    assets
—

 
(6,460
)
 
(5,037
)
 
110

 
—

 
(11,387
)
Accounts payable
—

 
(36,312
)
 
45,593

 
6,143

 
114

 
15,538

Accrued compensation and related liabilities
—

 
(3,243
)
 
(3,099
)
 
530

 
—

 
(5,812
)
Accrued liabilities and other
—

 
(10,958
)
 
5,110

 
(231
)
 
—

 
(6,079
)
Income taxes, current
—

 
10,886

 
(29,632
)
 
(110
)
 
—

 
(18,856
)
Net cash provided by operating activities
460,051

 
105,214

 
292,426

 
22,541

 
(396,474
)
 
483,758

 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 

 
 

 
 

 
 

 
 

 
 

Capital expenditures
—

 
(125,995
)
 
(77,025
)
 
(15,601
)
 
—

 
(218,621
)
Proceeds from redemption of marketable securities
—

 
—

 
—

 
172,506

 
—

 
172,506

Purchase of marketable securities and investments
—

 
(5,644
)
 
(41,180
)
 
(102,418
)
 
23,608

 
(125,634
)
Proceeds from sale of investment in Shred-it
—

 
23,935

 
—

 
1,941

 
—

 
25,876

Acquisitions of businesses, net of cash acquired
—

 
(9,097
)
 
—

 
(10,533
)
 
—

 
(19,630
)
Other, net
(322,723
)
 
166,718

 
(218,390
)
 
1,557

 
372,866

 
28

Net cash (used in) provided by investing activities
(322,723
)
 
49,917

 
(336,595
)
 
47,452

 
396,474

 
(165,475
)
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 

 
 

 
 

 
 

 
 

 
 

Issuance of commercial paper, net
—

 
99,500

 
—

 
—

 
—

 
99,500

Proceeds from issuance of debt
—

 
—

 
(2,000
)
 
2,000

 
—

 
—

Repayment of debt
—

 
(250,000
)
 
—

 
—

 
—

 
(250,000
)
Prepaid short-term debt financing fees
—

 
(13,949
)
 
—

 
—

 
—

 
(13,949
)
Proceeds from exercise of stock-based compensation awards
25,114

 
—

 
—

 
—

 
—

 
25,114

Dividends paid
(142,388
)
 
—

 
—

 
(56
)
 
—

 
(142,444
)
Repurchase of common stock
(20,054
)
 
—

 
—

 
—

 
—

 
(20,054
)
Other, net
—

 
(5,801
)
 
—

 
—

 
—

 
(5,801
)
Net cash (used in) provided by financing activities
(137,328
)
 
(170,250
)
 
(2,000
)
 
1,944

 
—

 
(307,634
)
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
—

 
—

 
—

 
(2,762
)
 
—

 
(2,762
)
 
 
 
 
 
 
 
 
 
 
 
 
Net (decrease) increase in cash and cash
    equivalents
—

 
(15,119
)
 
(46,169
)
 
69,175

 
—

 
7,887

Cash and cash equivalents at beginning of period
—

 
57,893

 
55,392

 
26,072

 
—

 
139,357

Cash and cash equivalents at end of period
$
—

 
$
42,774

 
$
9,223

 
$
95,247

 
$
—

 
$
147,244