DigitalGlobe, Inc.
Unaudited Condensed Consolidated Balance Sheets
March 31, December 31,
(in millions, except par value) 2014 2013
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ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 170.5 $ 229.1
Restricted cash 5.4 6.9
Accounts receivable, net of allowance for
doubtful accounts of $0.5 and $2.4,
respectively 119.1 116.3
Prepaid and current assets 26.8 33.8
Deferred taxes 5.5 5.9
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Total current assets 327.3 392.0
Property and equipment, net of accumulated
depreciation of $935.7 and $880.6,
respectively 2,178.2 2,177.5
Goodwill 484.9 459.3
Intangible assets, net of accumulated
amortization of $11.2 and $8.7, respectively 51.4 39.9
Aerial image library, net of accumulated
amortization of $42.9 and $41.3, respectively 7.5 9.1
Long-term restricted cash 4.0 4.5
Long-term deferred contract costs 41.0 44.9
Other assets 39.0 38.6
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Total assets $ 3,133.3 $ 3,165.8
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 11.7 $ 20.9
Current portion of long-term debt 5.5 5.5
Other accrued liabilities 57.0 80.3
Current portion of deferred revenue 75.9 81.3
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Total current liabilities 150.1 188.0
Deferred revenue 369.3 374.6
Long-term debt, net of discount 1,135.9 1,137.1
Long-term deferred tax liability, net 83.7 80.0
Other liabilities 6.0 2.8
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Total liabilities $ 1,745.0 $ 1,782.5
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COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
DigitalGlobe, Inc. stockholders' equity:
Series A convertible preferred stock, $0.001
par value, 0.08 shares authorized; 0.08
shares issued and outstanding at March 31,
2014; and 0.08 shares issued and
outstanding at December 31, 2013 - -
Common stock; $0.001 par value; 250.0 shares
authorized; 75.6 shares issued and 75.4
shares outstanding at March 31, 2014; and
75.5 shares issued and 75.3 shares
outstanding at December 31, 2013 0.2 0.2
Treasury stock, at cost; 0.2 shares at March
31, 2014 and December 31, 2013 (4.2) (3.5)
Additional paid-in capital 1,461.0 1,457.5
Accumulated deficit (70.5) (70.9)
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Total DigitalGlobe, Inc. stockholders' equity 1,386.5 1,383.3
Noncontrolling interest 1.8 -
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Total stockholders' equity 1,388.3 1,383.3
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Total liabilities and stockholders' equity $ 3,133.3 $ 3,165.8
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DigitalGlobe, Inc.
Unaudited Condensed Consolidated Statements of Cash Flows
For the three months ended
March 31,
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(in millions) 2014 2013
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CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $ 0.4 $ (60.6)
Adjustments to reconcile net income (loss) to
net cash provided by operating activities:
Depreciation and amortization expense 57.6 47.3
Amortization of aerial image library,
deferred contract costs and lease incentive 5.0 3.9
Non-cash stock-based compensation expense,
net of capitalized stock-based compensation
expense 3.9 10.8
Loss on abandonment of asset 1.2 -
Amortization of debt issuance costs and
accretion of debt discount, net of
capitalized interest - 1.1
Write-off of debt issuance costs and debt
discount - 12.8
Deferred income taxes 3.8 (19.4)
Changes in working capital, net of assets
acquired and liabilities assumed in business
combinations:
Accounts receivable, net 0.1 6.7
Other current and non-current assets 6.3 (2.4)
Accounts payable (12.1) (0.7)
Accrued liabilities (12.7) (25.4)
Deferred revenue (13.6) 12.3
Cash fees paid for early extinguishment of
long-term debt and debt discount - (13.8)
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Net cash flows provided by (used in) operating
activities 39.9 (27.4)
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CASH FLOWS FROM INVESTING ACTIVITIES:
Construction in progress additions (61.8) (63.1)
Acquisition of businesses, net of cash
acquired (35.7) (524.0)
Other property and equipment additions (2.2) (7.2)
Decrease in restricted cash 2.0 0.8
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Net cash flows used in investing activities (97.7) (593.5)
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CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of debt - 1,150.0
Repayment of debt (1.4) (481.2)
Payment of debt issuance costs - (36.2)
Proceeds from exercise of stock options 1.8 14.6
Preferred stock dividend payment (1.0) -
Other (0.2) 1.2
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Net cash flows (used in) provided by financing
activities (0.8) 648.4
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Net (decrease) increase in cash and cash
equivalents (58.6) 27.5
Cash and cash equivalents, beginning of period 229.1 246.2
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Cash and cash equivalents, end of period $ 170.5 $ 273.7
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SUPPLEMENTAL CASH FLOW INFORMATION:
Changes to non-cash property, equipment and
construction in progress accruals, including
interest 12.0 (4.8)
Capital lease obligations (3.1) -
Issuance of shares of common and convertible
preferred stock for acquisition of business - 836.5
Stock-based compensation awards issued in
acquisition of business, net of income taxes - 13.4
Non-cash preferred stock dividend accrual (1.0) (1.0)
