| (In thousands) For the years ended December 31, |
|||||||||
| operating activities | 2007 | 2006 | 2005 | ||||||
| Net income | $ | 324,261 | $ | 266,925 | $ | 203,358 | |||
| Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization |
27,366 | 23,932 | 18,500 | ||||||
| Provision for doubtful accounts | 6,745 | 7,084 | 8,878 | ||||||
| Stock-based compensation | 38,002 | 47,292 | 28,436 | ||||||
| Deferred income taxes | (8,915 | ) | (8,882 | ) | (503 | ) | |||
| Loss on sale/disposal of assets | 309 | 80 | 177 | ||||||
| Changes in operating elements, net of effects of acquisitions: Receivables |
(153,232 | ) | (55,489 | ) | (150,788 | ) | |||
| Prepaid expenses and other | (5,206 | ) | (1,303 | ) | (2,366 | ) | |||
| Accounts payable and outstanding checks | 70,456 | 57,590 | 78,857 | ||||||
| Accrued compensation and profit-sharing contribution | 5,506 | 5,044 | 31,527 | ||||||
| Accrued income taxes and other | 3,138 | 1,104 | 8,029 | ||||||
| Net cash provided by operating activities | 308,430 | 343,377 | 224,105 | ||||||
investing activities |
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| Purchases of property and equipment | (43,713 | ) | (43,243 | ) | (21,824 | ) | |||
| Sales of property and equipment | – | 1,700 | – | ||||||
| Cash paid for acquisitions, net of cash acquired | (22,220 | ) | (39,724 | ) | (60,153 | ) | |||
| Purchases of available-for-sale securities | (204,020 | ) | (119,864 | ) | (114,696 | ) | |||
| Sales/maturities of available-for-sale securities | 214,299 | 118,838 | 113,747 | ||||||
| Other | (68 | ) | 1,056 | (3,748 | ) | ||||
| Net cash used for investing activities | (55,722 | ) | (81,237 | ) | (86,674 | ) | |||
financing activities |
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| Proceeds from stock issued for employee benefit plans | 13,740 | 18,184 | 15,549 | ||||||
| Repurchase of common stock | (167,323 | ) | (85,270 | ) | (38,842 | ) | |||
| Cash dividends | (125,183 | ) | (90,837 | ) | (51,458 | ) | |||
| Excess tax benefit on stock-based compensation | 16,668 | 12,078 | 4,983 | ||||||
| Proceeds from short-term borrowings | 23,559 | 25,984 | 7,066 | ||||||
| Payments on short-term borrowings | (23,559 | ) | (25,984 | ) | (7,066 | ) | |||
| Net cash used for financing activities | (262,098 | ) | (145,845 | ) | (69,768 | ) | |||
| Effect of exchange rates on cash | (317 | ) | 1,669 | (3,511 | ) | ||||
| Net increase (decrease) in cash and cash equivalents | (9,707 | ) | 117,964 | 64,152 | |||||
| Cash and cash equivalents, beginning of year | 348,592 | 230,628 | 166,476 | ||||||
| Cash and cash equivalents, end of year | $ | 338,885 | $ | 348,592 | $ | 230,628 | |||
| Cash paid for income taxes | $ | 190,517 | $ | 163,103 | $ | 121,168 | |||
| Cash paid for interest | $ | 172 | $ | 180 | $ | 303 | |||
| Supplemental disclosure of noncash activities: Restricted stock awarded |
$ | 16,011 | $ | 14,014 | $ | 79,840 | |||
| Stock issued for acquisition | $ | – | $ | – | $ | 10,419 | |||
The accompanying notes are an integral part of these consolidated financial statements.
