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Other
Other income of $0.1 million in 2012 consists of the following unusual items: (i) a $7.2 million gain resulting from the partial reversal of contingent consideration associated with the acquisition of Piller's; (ii) a $6.9 million loss resulting from the write-down of redundant real estate assets to their fair market value; and (iii) a $0.2 million loss resulting from the settlement of a legal claim dating back to 2001.
FREE CASH FLOW
The following table provides a reconciliation of free cash flow to cash flow from operating activities:
(in thousands of dollars) 52 weeks 53 weeks ended ended Dec 29, 2012 Dec 31, 2011Cash flow from operating activities 50,830 29,524Changes in non-cash working capital (6,368) 6,050Deferred revenue - 1,118Acquisition transaction costs 197 1,594Restructuring costs 5,705 2,819Capital maintenance expenditures (3,513) (2,880)----------------------------------------------------------------------------Free cash flow 46,851 38,225--------------------------------------------------------------------------------------------------------------------------------------------------------
FORWARD LOOKING STATEMENTS
This discussion and analysis contains forward looking statements with respect to the Company, including its business operations, strategy and financial performance and condition. These statements generally can be identified by the use of forward looking words such as "may", "could", "should", "would", "will", "expect", "intend", "plan", "estimate", "project", "anticipate", "believe" or "continue", or the negative thereof or similar variations.
Although management believes that the expectations reflected in such forward looking statements are reasonable and represent the Company's internal expectations and belief as of March 13, 2013, such statements involve unknown risks and uncertainties beyond the Company's control which may cause its actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward looking statements.
Factors that could cause actual results to differ materially from the Company's expectations include, among other things: (i) seasonal and/or weather related fluctuations in the Company's sales; (ii) changes in consumer discretionary spending resulting from changes in economic conditions and/or general consumer confidence levels; (iii) changes in the cost of raw materials used in the production of the Company's products; (iv) changes in the cost of products sourced from third party manufacturers and sold through the Company's proprietary distribution networks; (v) risks associated with the Company's conversion from a publicly traded income trust to a publicly traded corporation, including related changes in Canada's income tax laws; (vi) changes in the Company's relationships with its larger customers; (vii) potential liabilities and expenses resulting from defects in the Company's products; (viii) changes in consumer food product preferences; (ix) competition from other food manufacturers and distributors; (x) execution risk associated with the Company's growth initiatives; (xi) risks associated with the Company's business acquisition strategies; and (xii) new government regulations affecting the Company's business and operations. Details on these risk factors as well as other factors can be found in the Company's 2012 MD&A, which is filed electronically through SEDAR and is available online at www.sedar.com.
