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Consolidated Statements of Cash Flows (Unaudited) (USD $)
In Thousands
9 Months Ended
Sep. 30, 2011
Sep. 30, 2010
Cash flows from operating activities  
Net income (loss)$ (10,004)$ 128
Adjustments to reconcile net income (loss) to net cash provided by operating activities  
Deferred income taxes(218)(203)
Change in liability for uncertain tax positions110100
Depreciation of property and equipment342323
Amortization of software910667
Amortization of intangible assets9382
Amortization of deferred financing costs330417
Amortization of debt discount4083
Loan termination fee accrual548176
Bad debt expense24268
Share-based compensation351369
Write-down of inventory for obsolescence77114
Goodwill impairment9,911 
Loss on disposal of fixed assets924
Other, primarily effect of foreign currency loss and bank fees184140
Changes in operating assets and liabilities  
(Increase) decrease in trade accounts receivable(484)1,071
Decrease in other receivables251441
(Increase) decrease in inventories1,392(3,591)
(Increase) decrease in prepaids and other current assets(355)484
(Increase) decrease in other assets25(26)
Increase (decrease) in accounts payable283(5)
Increase (decrease) in accrued expenses and other current liabilities392(370)
Decrease in foreign tax settlement(454)(248)
Net cash provided by operating activities3,757444
Cash flows from investing activities  
Proceeds from sale of fixed assets5 
Purchases of property and equipment(279)(582)
Investments in software development(1,923)(1,872)
Net cash used in investing activities(2,197)(2,454)
Cash flows from financing activities  
Proceeds from bank borrowings and lines of credit63,03875,112
Principal payments on bank borrowings and lines of credit(65,114)(75,025)
Proceeds from issuance of preferred stock, net of costs 1,268
Payment of loan amendment fees(110)(15)
Payment of dividends on preferred stock(51)(169)
Net cash provided by (used in) financing activities(2,237)1,171
Effect of exchange rate changes on cash and cash equivalents19523
Net decrease in cash and cash equivalents(482)(816)
Cash and cash equivalents at beginning of period1,3911,800
Cash and cash equivalents at end of period909984
Supplemental disclosures of non-cash investing and financing activities:  
Preferred stock issued for services 120
Preferred stock dividends490210
Purchase of equipment under capital lease obligation4149
Conversion of preferred stock to common stock$ 30$ 75