Supplemental Guarantor Information (Tables)

9 Months Ended

Feb. 29, 2012

Supplemental Guarantor Information

Condensed Consolidating Income Statement

CONDENSED CONSOLIDATING INCOME STATEMENT

THREE MONTHS ENDED FEBRUARY 29, 2012

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Revenue:
Rental uniforms and ancillary products	$	—	$	550,167	$	141,867	$	52,652	$	(23,674)	$	721,012
Other services		—		361,849		8,504		27,785		(107,038)		291,100
Equity in net income of affiliates		76,035		—		—		—		(76,035)		—
		76,035		912,016		150,371		80,437		(206,747)		1,012,112
Costs and expenses (income):
Cost of rental uniforms and ancillary products		—		350,615		80,270		35,984		(56,911)		409,958
Cost of other services		—		240,568		(5,902)		17,532		(75,947)		176,251
Selling and administrative expenses		—		286,257		(17,100)		22,926		(3,716)		288,367
Operating income		76,035		34,576		93,103		3,995		(70,173)		137,536
Interest income		—		(54)		(280)		(202)		163		(373)
Interest expense (income)		—		17,559		(333)		(7)		—		17,219
Income before income taxes		76,035		17,071		93,716		4,204		(70,336)		120,690
Income taxes		—		7,114		36,109		1,438		(6)		44,655
Net income	$	76,035	$	9,957	$	57,607	$	2,766	$	(70,330)	$	76,035

CONDENSED CONSOLIDATING INCOME STATEMENT

THREE MONTHS ENDED FEBRUARY 28, 2011

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Revenue:
Rental uniforms and ancillary products	$	—	$	509,321	$	129,038	$	49,677	$	(23,060)	$	664,976
Other services		—		330,075		98,708		27,289		(183,221)		272,851
Equity in net income of affiliates		59,070		—		—		—		(59,070)		—
		59,070		839,396		227,746		76,966		(265,351)		937,827
Costs and expenses (income):
Cost of rental uniforms and ancillary products		—		326,000		75,562		33,991		(55,329)		380,224
Cost of other services		—		211,754		88,918		17,490		(152,480)		165,682
Selling and administrative expenses		—		264,019		(1,666)		23,555		(2,863)		283,045
Operating income		59,070		37,623		64,932		1,930		(54,679)		108,876
Interest income		—		(140)		(97)		(43)		—		(280)
Interest expense (income)		—		13,002		(498)		16		—		12,520
Income before income taxes		59,070		24,761		65,527		1,957		(54,679)		96,636
Income taxes		—		9,923		26,931		717		(5)		37,566
Net income	$	59,070	$	14,838	$	38,596	$	1,240	$	(54,674)	$	59,070

CONDENSED CONSOLIDATING INCOME STATEMENT

NINE MONTHS ENDED FEBRUARY 29, 2012

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Revenue:
Rental uniforms and ancillary products	$	—	$	1,662,058	$	425,455	$	156,511	$	(80,800)	$	2,163,224
Other services		—		1,087,507		40,176		86,425		(328,914)		885,194
Equity in net income of affiliates		219,023		—		—		—		(219,023)		—
		219,023		2,749,565		465,631		242,936		(628,737)		3,048,418
Costs and expenses (income):
Cost of rental uniforms and ancillary products		—		1,053,496		248,561		107,163		(185,609)		1,223,611
Cost of other services		—		698,073		(4,168)		53,662		(217,500)		530,067
Selling and administrative expenses		—		828,080		6,297		71,391		(9,823)		895,945
Operating income		219,023		169,916		214,941		10,720		(215,805)		398,795
Interest income		—		(211)		(518)		(575)		163		(1,141)
Interest expense (income)		—		53,148		(1,214)		347		—		52,281
Income before income taxes		219,023		116,979		216,673		10,948		(215,968)		347,655
Income taxes		—		44,011		81,518		3,121		(18)		128,632
Net income	$	219,023	$	72,968	$	135,155	$	7,827	$	(215,950)	$	219,023

CONDENSED CONSOLIDATING INCOME STATEMENT

NINE MONTHS ENDED FEBRUARY 28, 2011

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Revenue:
Rental uniforms and ancillary products	$	—	$	1,522,229	$	393,250	$	143,484	$	(78,576)	$	1,980,387
Other services		—		1,002,435		357,282		78,806		(620,613)		817,910
Equity in net income of affiliates		176,213		—		—		—		(176,213)		—
		176,213		2,524,664		750,532		222,290		(875,402)		2,798,297
Costs and expenses (income):
Cost of rental uniforms and ancillary products		—		978,149		232,115		96,549		(177,603)		1,129,210
Cost of other services		—		651,265		306,777		49,007		(514,202)		492,847
Selling and administrative expenses		—		789,686		15,086		65,402		(5,400)		864,774
Operating income		176,213		105,564		196,554		11,332		(178,197)		311,466
Interest income		—		(494)		(567)		(100,222)		100,031		(1,252)
Interest expense (income)		—		38,413		(1,488)		30		—		36,955
Income before income taxes		176,213		67,645		198,609		111,524		(278,228)		275,763
Income taxes		—		23,093		67,801		8,658		(2)		99,550
Net income	$	176,213	$	44,552	$	130,808	$	102,866	$	(278,226)	$	176,213

Condensed Consolidating Balance Sheet

CONDENSED CONSOLIDATING BALANCE SHEET

AS OF FEBRUARY 29, 2012

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	50,717	$	130,113	$	37,153	$	—	$	217,983
Marketable securities		—		—		—		134,631		—		134,631
Accounts receivable, net		—		318,653		80,102		40,895		—		439,650
Inventories, net		—		234,005		19,968		11,812		9,888		275,673
Uniforms and other rental items in service		—		328,774		95,552		36,165		(26,016)		434,475
Income taxes, current (receivable)		—		(8,657)		25,182		20,861		—		37,386
Deferred tax asset (liability)		—		554		58,685		(2,817)		—		56,422
Prepaid expenses and other		—		7,438		19,048		2,830		—		29,316
Total current assets		—		931,484		428,650		281,530		(16,128)		1,625,536
Property and equipment, at cost, net		—		596,314		263,074		84,646		—		944,034
Goodwill		—		—		1,418,031		68,434		—		1,486,465
Service contracts, net		—		75,445		400		5,821		—		81,666
Other assets, net		1,680,305		1,628,580		2,338,440		396,865		(5,928,724)		115,466
	$	1,680,305	$	3,231,823	$	4,448,595	$	837,296	$	(5,944,852)	$	4,253,167
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts (receivable) payable	$	(465,247)	$	(391,280)	$	902,666	$	31,408	$	38,019	$	115,566
Accrued compensation and related liabilities		—		58,323		19,456		5,228		—		83,007
Accrued liabilities		—		37,552		175,316		11,487		—		224,355
Long-term debt due within one year		—		225,863		(230)		—		—		225,633
Total current liabilities		(465,247)		(69,542)		1,097,208		48,123		38,019		648,561
Long-term liabilities:
Long-term debt due after one year		—		1,068,930		(11,045)		1,391		—		1,059,276
Deferred (credit) income taxes		—		(6)		200,877		5,176		—		206,047
Accrued liabilities		—		—		141,908		748		—		142,656
Total long-term liabilities		—		1,068,924		331,740		7,315		—		1,407,979
Total shareholders’ equity		2,145,552		2,232,441		3,019,647		781,858		(5,982,871)		2,196,627
	$	1,680,305	$	3,231,823	$	4,448,595	$	837,296	$	(5,944,852)	$	4,253,167

CONDENSED CONSOLIDATING BALANCE SHEET

AS OF MAY 31, 2011

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—	$	54,957	$	313,283	$	69,866	$	—	$	438,106
Marketable securities		—		—		—		87,220		—		87,220
Accounts receivable, net		—		312,033		76,484		40,614		—		429,131
Inventories, net		—		204,536		24,943		13,266		6,913		249,658
Uniforms and other rental items in service		—		302,897		82,148		34,895		(26,114)		393,826
Income taxes, current		—		949		8,355		24,238		—		33,542
Deferred tax asset (liability)		—		566		47,905		(2,658)		—		45,813
Prepaid expenses and other		—		5,738		13,732		4,011		—		23,481
Total current assets		—		881,676		566,850		271,452		(19,201)		1,700,777
Property and equipment, at cost, net		—		587,701		274,086		84,431		—		946,218
Goodwill		—		—		1,416,926		70,956		—		1,487,882
Service contracts, net		—		94,379		663		7,270		—		102,312
Other assets, net		1,778,595		1,629,598		2,070,017		369,527		(5,732,986)		114,751
	$	1,778,595	$	3,193,354	$	4,328,542	$	803,636	$	(5,752,187)	$	4,351,940
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts (receivable) payable	$	(465,247)	$	(329,430)	$	855,739	$	11,198	$	38,019	$	110,279
Accrued compensation and related liabilities		—		55,138		20,153		4,543		—		79,834
Accrued liabilities		—		61,399		154,861		27,235		(804)		242,691
Long-term debt due within one year		—		855		480		—		—		1,335
Total current liabilities		(465,247)		(212,038)		1,031,233		42,976		37,215		434,139
Long-term liabilities:
Long-term debt due after one year		—		1,294,674		(12,433)		1,745		804		1,284,790
Deferred (credit) income taxes		—		(7)		190,701		5,627		—		196,321
Accrued liabilities		—		—		133,427		614		—		134,041
Total long-term liabilities		—		1,294,667		311,695		7,986		804		1,615,152
Total shareholders’ equity		2,243,842		2,110,725		2,985,614		752,674		(5,790,206)		2,302,649
	$	1,778,595	$	3,193,354	$	4,328,542	$	803,636	$	(5,752,187)	$	4,351,940

Condensed Consolidating Statement of Cash Flows

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

NINE MONTHS ENDED FEBRUARY 29, 2012

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Cash flows from operating activities:
Net income	$	219,023	$	72,968	$	135,155	$	7,827	$	(215,950)	$	219,023
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation		—		70,252		35,841		9,473		—		115,566
Amortization of deferred charges		—		25,474		308		3,738		—		29,520
Stock-based compensation		15,023		—		—		—		—		15,023
Deferred income taxes		—		—		(710)		(285)		—		(995)
Changes in current assets and liabilities, net of acquisitions of businesses:
Accounts receivable, net		—		(6,542)		(3,844)		(1,374)		—		(11,760)
Inventories, net		—		(29,357)		4,975		399		(2,975)		(26,958)
Uniforms and other rental items in service		—		(25,877)		(13,403)		(1,057)		(98)		(40,435)
Prepaid expenses and other		—		(1,698)		(5,316)		1,037		—		(5,977)
Accounts payable		—		(61,326)		45,955		21,743		—		6,372
Accrued compensation and related liabilities		—		3,185		(698)		764		—		3,251
Accrued liabilities		—		(11,899)		29,797		(9,375)		804		9,327
Income taxes payable		—		9,603		(16,827)		2,981		—		(4,243)
Net cash provided by (used in) operating activities		234,046		44,783		211,233		35,871		(218,219)		307,714
Cash flows from investing activities:
Capital expenditures		—		(80,939)		(24,837)		(11,940)		—		(117,716)
Proceeds from redemption of marketable securities		—		—		—		519,955		—		519,955
Purchase of marketable securities and investments		—		(2,552)		(35,293)		(568,963)		30,404		(576,404)
Acquisitions of businesses, net of cash acquired		—		(15,632)		(65)		(5,185)		—		(20,882)
Other, net		98,271		49,778		(334,530)		(285)		188,619		1,853
Net cash provided by (used in) investing activities		98,271		(49,345)		(394,725)		(66,418)		219,023		(193,194)
Cash flows from financing activities:
Repayment of debt		—		(736)		324		—		(804)		(1,216)
Exercise of stock-based compensation awards		356		—		—		—		—		356
Dividends paid		(70,800)		—		—		(20)		—		(70,820)
Repurchase of common stock		(262,682)		—		—		—		—		(262,682)
Other, net		809		1,131		—		(550)		—		1,390
Net cash (used in) provided by financing activities		(332,317)		395		324		(570)		(804)		(332,972)
Effect of exchange rate changes on cash and cash equivalents		—		(73)		(2)		(1,596)		—		(1,671)
Net decrease in cash and cash equivalents		—		(4,240)		(183,170)		(32,713)		—		(220,123)
Cash and cash equivalents at beginning of period		—		54,957		313,283		69,866		—		438,106
Cash and cash equivalents at end of period	$	—	$	50,717	$	130,113	$	37,153	$	—	$	217,983

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

NINE MONTHS ENDED FEBRUARY 28, 2011

(In thousands)

												Cintas
		Cintas				Subsidiary		Non-				Corporation
		Corporation		Corp. 2		Guarantors		Guarantors		Eliminations		Consolidated
Cash flows from operating activities:
Net income	$	176,213	$	44,552	$	130,808	$	102,866	$	(278,226)	$	176,213
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation		—		69,852		33,635		8,639		—		112,126
Amortization of deferred charges		—		28,627		440		3,099		—		32,166
Stock-based compensation		9,813		—		—		—		—		9,813
Deferred income taxes		—		—		21,765		759		—		22,524
Changes in current assets and liabilities, net of acquisitions of businesses:
Accounts receivable, net		—		(25,663)		(2,628)		(4,553)		—		(32,844)
Inventories, net		—		(47,047)		(7,932)		(1,980)		(4,661)		(61,620)
Uniforms and other rental items in service		—		(31,532)		(7,456)		(6,094)		6,649		(38,433)
Prepaid expenses and other		—		380		(1,645)		(1,153)		—		(2,418)
Accounts payable		—		106,371		(103,373)		23,980		(4)		26,974
Accrued compensation and related liabilities		—		5,310		(5,397)		328		—		241
Accrued liabilities		—		(17,146)		(27,601)		3,264		820		(40,663)
Income taxes payable (receivable)		—		13,019		(162)		(8,981)		—		3,876
Net cash provided by (used in) operating activities		186,026		146,723		30,454		120,174		(275,422)		207,955
Cash flows from investing activities:
Capital expenditures		—		(65,579)		(67,560)		(9,159)		—		(142,298)
Proceeds from redemption of marketable securities		—		—		23,106		114,773		—		137,879
Purchase of marketable securities and investments		—		(17,645)		(49,287)		(7,882)		51,640		(23,174)
Acquisitions of businesses, net of cash acquired		—		(126,371)		—		(32,146)		—		(158,517)
Other		89,738		55,099		(272,758)		(99,526)		224,602		(2,845)
Net cash provided by (used in) investing activities		89,738		(154,496)		(366,499)		(33,940)		276,242		(188,955)
Cash flows from financing activities:
Proceeds from issuance of debt		—		303,000		1,781		—		—		304,781
Repayment of debt		—		(282,160)		225		—		(820)		(282,755)
Dividends paid		(71,801)		—		—		(11)		—		(71,812)
Repurchase of common stock		(203,214)		—		—		—		—		(203,214)
Other		(749)		575		—		1,104		—		930
Net cash (used in) provided by financing activities		(275,764)		21,415		2,006		1,093		(820)		(252,070)
Effect of exchange rate changes on cash and cash equivalents		—		324		—		6,196		—		6,520
Net increase (decrease) in cash and cash equivalents		—		13,966		(334,039)		93,523		—		(226,550)
Cash and cash equivalents at beginning of period		—		34,905		339,702		36,674		—		411,281
Cash and cash equivalents at end of period	$	—	$	48,871	$	5,663	$	130,197	$	—	$	184,731