DIVERSEY, INC.

CIK:0001175757|SEC Filings

Comprehensive Income (Loss)

6 Months Ended

Jul. 01, 2011

Other Comprehensive Income Noncontrolling Interest Disclosure Abstract

Other Comprehensive Income Noncontrolling Interest Text Block

15. Stockholder's Equity

During the six months ended July 1, 2011, the Company declared a dividend payable to Holdings of $69,980. The Company settled $5,645 in cash with the remaining $64,335 recorded as a noncash settlement against Due from Parent note receivable.

Comprehensive income (loss) for the three and six months ended July 1, 2011 and July 2, 2010 are as follows:

				Three Months Ended				Six Months Ended
				July 1, 2011		July 2, 2010		July 1, 2011		July 2, 2010
Net income			$	40,351	$	20,757	$	45,631	$	20,864
Foreign currency translation adjustments				35,470		(41,886)		68,310		(76,218)
Adjustments to pension and post-retirement
	liabilities, net of tax			(2,297)		(5,013)		(2,581)		(2,929)
Unrealized gains on derivatives, net of tax				316		(232)		566		(44)
		Total comprehensive income (loss)	$	73,840	$	(26,374)	$	111,926	$	(58,327)

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands	6 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands	Jul. 01, 2011	Jul. 02, 2010
Cash flows from operating activities:
Net income	$ 45,631	$ 20,864
Adjustments to reconcile net income(loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	50,387	45,453
Amortization of intangibles	7,855	8,737
Amortization and direct expense of debt issuance costs	7,480	5,164
Accretion of original issue discount	1,039	1,015
Deferred income taxes non cash	813	17,437
Loss on disposal of discontinued operations	0	754
Loss From Divestitures	0	101
Japan inventory loss	701	0
Loss on property, plant and equipment disposals	(193)	103
Other Operating Activities Cash Flow Statement	3,319	8,476
Changes in operating assets and liabilities, net of effects from acquisitions and divestitures of businesses:
Accounts receivable	(49,148)	(11,613)
Due from parent (net of due to parent)	850	24,950
Change in Inventories	(52,672)	(30,751)
Increase Decrease In Other Current Assets	2,442	(5,712)
Accounts payable and accrued expenses	(34,459)	(110,832)
Increase Decrease In Other Noncurrent Assets	(14,337)	3,381
Increase Decrease In Other Noncurrent Liabilities	(13,779)	(7,528)
Net cash used in operating activities	(44,071)	(30,001)
Cash flows from investing activities:
Payments to Acquire Property, Plant, and Equipment	(38,807)	(30,237)
Expenditures for capitalized computer software	(10,783)	(5,977)
Proceeds from property, plant and equipment disposals	646	3,200
Payments To Acquire Businesses Gross	(2,463)	0
Net costs of divestiture of businesses	0	(855)
Net cash used in investing activities	(51,407)	(33,869)
Cash flows from financing activities:
Proceeds from short-term borrowings, net	15,606	(915)
Repayments of long-term borrowings	(4,893)	(4,619)
Payments Of Debt Issuance Costs	(2,806)	(4,254)
Payments Of Dividends Common Stock	(5,730)	(81)
Net cash provided by (used in) financing activities	2,177	(9,869)
Effect of exchange rate changes on cash and cash equivalents	2,563	(4,256)
Change in cash and cash equivalents	(90,738)	(77,995)
Beginning balance	157,754	249,440
Ending balance	67,016	171,445
Cash Paid During Period Abstract
Interest Paid Net Of Interest Received	40,863	53,252
Income Taxes Paid	34,030	14,469
Other Noncash Investing And Financing Items Abstract
Dividend Payable to Parent Offset By Due From Parent Note Receivable	$ 64,335	$ 0

CONSOLIDATED BALANCE SHEETS (USD $) In Thousands	Jul. 01, 2011	Dec. 31, 2010
Current assets:
Cash and cash equivalents	$ 67,016	$ 157,754
Restricted cash	12,099	20,407
Accounts receivable, less allowance of $20,576 and $19,888 respectively	630,241	563,006
Accounts receivable related parties	9,786	6,433
Due from parent current	0	9,129
Inventories	327,487	263,247
Deferred income taxes	24,041	24,532
Other current assets	166,562	163,020
Total current assets	1,237,232	1,207,528
Property, plant and equipment, net	426,399	410,507
Capitalized software, net	53,087	52,980
Due from parent non current	0	55,112
Goodwill	1,313,944	1,246,103
Other intangibles, net	199,359	194,175
Other assets	163,469	142,919
Total assets	3,393,490	3,309,324
Current liabilities:
Short-term borrowings	40,041	24,205
Current portion of long-term borrowings	9,885	9,498
Accounts payable	357,531	327,831
Accounts payable related parties	31,432	23,794
Due To parent current	5,414	0
Accrued expenses	411,329	459,496
Total current liabilities	855,632	844,824
Pension and other post-retirement benefits	231,446	226,682
Long-term borrowings	1,220,571	1,192,146
Deferred income taxes-Non Current	121,158	113,638
Other liabilities	147,168	151,910
Total liabilities	2,575,975	2,529,200
Stockholders equity:
Preferred Stock	0	0
Common stock $1.00 par value, 200,000 shares authorized, 24,422 shares issued and outstanding	24	24
Capital in excess of par value	744,313	744,313
Accumulated deficit	(242,643)	(213,739)
Accumulated other comprehensive income	315,821	249,526
Total stockholders equity	817,515	780,124
LIABILITIES AND STOCKHOLDERS EQUITY TOTAL	$ 3,393,490	$ 3,309,324