QUEBECOR INC. AND ITS SUBSIDIARIESCONSOLIDATED STATEMENTS OF CASH FLOWS(in millions of Canadian dollars) Three months ended Twelve months ended(unaudited) December 31 December 31-------------------------------------------------------------------------------------------------------------------------------------------------------- 2012 2011 2012 2011----------------------------------------------------------------------------Cash flows related to operating activities Net income $ 9.3 $ 164.4 $ 267.5 $ 383.0 Adjustments for: Amortization of property, plant and equipment 128.5 105.9 459.7 391.3 Amortization of intangible assets 38.9 32.3 140.6 120.9 Loss (gain) on valuation and translation of financial instruments 44.0 (82.5) (197.5) (54.6) Gain on disposal of assets and businesses - - (12.9) - Impairment of assets - - 7.5 1.5 Impairment of goodwill and intangible assets - - 201.5 - Loss on debt refinancing 60.4 - 67.7 6.6 Amortization of financing costs and long-term debt discount 3.6 3.6 14.5 12.8 Deferred income taxes (27.1) 73.0 43.1 159.1 Other 4.5 (3.0) 5.6 (2.1) --------------------------------------------------- 262.1 293.7 997.3 1,018.5 Net change in non-cash balances related to operating activities 16.5 (117.6) 125.3 (152.2) ---------------------------------------------------Cash flows provided by operating activities 278.6 176.1 1,122.6 866.3 ---------------------------------------------------Cash flows related to investing activities Non-controlling interests acquisition (1,000.0) - (1,000.0) - Business acquisitions (1.2) - (2.0) (55.7) Business disposals - - 18.7 - Additions to property, plant and equipment (159.0) (206.9) (710.6) (781.0) Additions to intangible assets (36.0) (29.1) (94.9) (91.6) Proceeds from disposals of assets 2.3 4.5 8.4 12.0 Other (0.9) - (1.5) 3.2 ---------------------------------------------------Cash flows used in investing activities (1,194.8) (231.5) (1,781.9) (913.1) ---------------------------------------------------Cash flows related to financing activities Net change in bank indebtedness (0.2) (0.5) (2.9) (1.5) Net change under revolving facilities (11.2) 6.7 (23.6) 2.7 Issuance of long-term debt, net of financing fees 1,314.2 71.0 2,136.7 685.8 Repayments of long-term debt (487.5) (6.8) (1,236.8) (487.9) Settlement of hedging contracts (3.1) - (43.6) (160.2) Issuance of Class B shares - - 3.6 - Repurchase of Class B shares (12.5) (6.2) (38.3) (30.2) Dividends (3.1) (3.2) (12.6) (12.8) Dividends paid to non- controlling shareholders (6.5) (11.3) (40.6) (46.5) Other (0.3) (0.1) (0.3) 1.0 ---------------------------------------------------Cash flows provided by (used in) financing activities 789.8 49.6 741.6 (49.6) ---------------------------------------------------Net change in cash and cash equivalents (126.4) (5.8) 82.3 (96.4)Effect of exchange rate changes on cash and cash equivalents denominated in foreign currencies 0.5 (0.2) - 0.1Cash and cash equivalents at beginning of period 354.6 152.4 146.4 242.7 ---------------------------------------------------Cash and cash equivalents at end of period $ 228.7 $ 146.4 $ 228.7 $ 146.4 --------------------------------------------------- ---------------------------------------------------Cash and cash equivalents consist of Cash $ 76.0 $ 29.9 $ 76.0 $ 29.9 Cash equivalents 152.7 116.5 152.7 116.5 --------------------------------------------------- $ 228.7 $ 146.4 $ 228.7 $ 146.4 --------------------------------------------------- ---------------------------------------------------Interest and taxes reflected as operating activities Cash interest payments $ 137.3 $ 134.4 $ 305.6 $ 320.5 Cash income tax payments (net of refunds) 0.6 0.4 6.6 30.7 --------------------------------------------------- ---------------------------------------------------QUEBECOR INC. AND ITS SUBSIDIARIESCONSOLIDATED BALANCE SHEETS(in millions of Canadian dollars)(unaudited) December 31 December 31---------------------------------------------------------------------------- 2012 2011----------------------------------------------------------------------------AssetsCurrent assets Cash and cash equivalents $ 228.7 $ 146.4 Accounts receivable 578.7 603.7 Income taxes 10.6 29.0 Inventories 255.5 283.6 Prepaid expenses 38.0 31.3 ------------------------- 1,111.5 1,094.0Non-current assets Property, plant and equipment 3,405.8 3,211.1 Intangible assets 956.7 1,041.0 Goodwill 3,371.6 3,543.8 Derivative financial instruments 35.7 34.9 Deferred income taxes 23.9 20.6 Other assets 102.6 93.4 ------------------------- 7,896.3 7,944.8 -------------------------Total assets $ 9,007.8 $ 9,038.8 ------------------------- -------------------------Liabilities and equityCurrent liabilities Bank indebtedness $ 1.3 $ 4.2 Accounts payable and accrued charges 804.5 776.5 Provisions 45.9 33.7 Deferred revenue 289.0 295.7 Income taxes 33.9 2.7 Derivative financial instruments 28.5 - Current portion of long-term debt 22.2 114.5 ------------------------- 1,225.3 1,227.3Non-current liabilities Long-term debt 4,507.8 3,688.3 Derivative financial instruments 270.1 315.4 Other liabilities 467.1 344.7 Deferred income taxes 594.7 592.5 ------------------------- 5,839.7 4,940.9Equity Capital stock 335.1 339.5 Contributed surplus 2.3 0.9 Equity component of convertible debentures 398.3 - Retained earnings 549.2 1,077.2 Accumulated other comprehensive income 26.9 8.6 ------------------------- Equity attributable to shareholders 1,311.8 1,426.2 Non-controlling interests 631.0 1,444.4 ------------------------- 1,942.8 2,870.6 -------------------------Total liabilities and equity $ 9,007.8 $ 9,038.8 ------------------------- -------------------------
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Contacts:
Jean-Francois Pruneau
Chief Financial Officer
Quebecor Inc. and Quebecor Media Inc.
jean-francois.pruneau@quebecor.com
514 380-4144
Martin Tremblay
Vice President, Public Affairs
Quebecor Media Inc.
martin.tremblay@quebecor.com
514 380-1985
