ARCADIA RESOURCES, INC. | Three-Month Period Ended | ||
CONSOLIDATED STATEMENTS OF CASH FLOWS | June 30, | ||
(IN THOUSANDS) | (Unaudited) | ||
2010 | 2009 | ||
Operating activities | |||
Net loss for the period | $ (4,042) | $ (4,573) | |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Provision for doubtful accounts | 310 | 873 | |
Depreciation of property and equipment | 165 | 531 | |
Amortization of intangible assets | 143 | 246 | |
Gain on business disposals | (787) | (216) | |
Non-cash interest expense | 661 | 584 | |
Amortization of deferred financing costs and debt discounts | 69 | 52 | |
Stock-based compensation expense | 364 | 285 | |
Change in fair value of warrant liability | 642 | - | |
Changes in operating assets and liabilities, net of acquisitions: | |||
Accounts receivable | 81 | 1,750 | |
Inventories | (561) | 639 | |
Other assets | (281) | 233 | |
Accounts payable | (535) | (547) | |
Accrued expenses | (723) | (1,146) | |
Due to affiliated agencies | (388) | (327) | |
Net cash used in operating activities | (4,882) | (1,616) | |
Investing activities | |||
Business acquisitions, net of cash acquired | (21) | (190) | |
Proceeds from business disposal | 787 | 9,157 | |
Increase in restricted cash | - | (500) | |
Purchases of property and equipment | (235) | (75) | |
Net cash provided by investing activities | 531 | 8,392 | |
Financing activities | |||
Lines of credit, net activity | 4,409 | (3,577) | |
Payments on notes payable and capital lease obligations | (766) | (4,204) | |
Proceeds from exercise of stock options | 1 | - | |
Net cash provided by (used in) financing activities | 3,644 | (7,781) | |
Net change in cash and cash equivalents | (707) | (1,005) | |
Cash and cash equivalents, beginning of period | 5,444 | 1,522 | |
Cash and cash equivalents, end of period | $ 4,737 | $ 517 | |
Supplementary information: | |||
Cash paid during the period for: | |||
Interest | $ 116 | $ 209 | |
Income taxes | 96 | 14 | |
Non-cash investing / financing activities: | |||
Capital lease | - | 70 | |
Accounts payable converted to notes payable | - | 750 | |
Accrued interest converted to notes payable | 661 | 628 | |