Annual report pursuant to Section 13 and 15(d)

Condensed Financial Information of Registrant

v2.4.0.6
Condensed Financial Information of Registrant
12 Months Ended
Dec. 31, 2011
Condensed Financial Information of Registrant [Abstract]  
CONDENSED FINANCIAL INFORMATION OF REGISTRANT SCHEDULE 1 CONDENSED FINANCIAL INFORMATION OF REGISTRANT

SCHEDULE 1 — CONDENSED FINANCIAL INFORMATION OF REGISTRANT

CINEMARK HOLDINGS, INC.

PARENT COMPANY BALANCE SHEETS

(In thousands, except share data)

 

                 
    December 31,
2010
    December 31,
2011
 

Assets

               

Cash and cash equivalents

  $ 232     $ 156  

Investment in subsidiaries

    1,029,101       1,014,532  
   

 

 

   

 

 

 

Total assets

  $ 1,029,333     $ 1,014,688  
   

 

 

   

 

 

 

Liabilities and equity

               
     

Liabilities

               

Accounts payable to subsidiaries

  $ 6,728     $ —    

Accrued other current liabilities

    149       780  

Other long-term liabilities

    909       1,031  
   

 

 

   

 

 

 

Total liabilities

    7,786       1,811  
     

Commitments and contingencies

               
     

Equity

               

Common stock, $0.001 par value: 300,000,000 shares authorized; 117,110,703 shares issued and 113,750,844 shares outstanding at December 31, 2010 and 117,593,329 shares issued and 114,201,737 shares outstanding at December 31, 2011

    117       118  

Additional paid-in-capital

    1,037,586       1,047,237  

Treasury stock, 3,359,859 and 3,391,592 common shares at cost at December 31, 2010 and 2011, respectively

    (44,725     (45,219

Retained earnings

    388       34,423  

Accumulated other comprehensive income (loss)

    28,181       (23,682
   

 

 

   

 

 

 

Total equity

    1,021,547       1,012,877  
   

 

 

   

 

 

 

Total liabilities and equity

  $ 1,029,333     $ 1,014,688  
   

 

 

   

 

 

 

The accompanying notes are an integral part of the consolidated financial statements.

 

CINEMARK HOLDINGS, INC.

PARENT COMPANY STATEMENTS OF INCOME

YEARS ENDED DECEMBER 31, 2009, 2010 AND 2011

(in thousands)

 

                         
    Year Ended December 31,  
    2009     2010     2011  

Revenues

  $ —       $ —       $ —    

Cost of operations

    1,536       2,030       2,193  
   

 

 

   

 

 

   

 

 

 

Operating loss

    (1,536     (2,030     (2,193
       

Other income

    94       1       —    
   

 

 

   

 

 

   

 

 

 

Loss before income taxes and equity in income of subsidiaries

    (1,442     (2,029     (2,193
       

Income taxes

    519       762       823  
       

Equity in income of subsidiaries, net of taxes

    98,031       147,387       131,927  
   

 

 

   

 

 

   

 

 

 

Net income

  $ 97,108     $ 146,120     $ 130,557  
   

 

 

   

 

 

   

 

 

 

The accompanying notes are an integral part of the consolidated financial statements.

CINEMARK HOLDINGS, INC.

PARENT COMPANY STATEMENTS OF CASH FLOWS

YEARS ENDED DECEMBER 31, 2009, 2010 AND 2011

(in thousands)

 

                         
    Year Ended December 31,  
    2009     2010     2011  

Operating Activities

                       

Net income

  $ 97,108     $ 146,120     $ 130,557  
       

Adjustments to reconcile net income to cash provided by (used for) operating activities:

                       

Share based awards compensation expense

    500       765       666  

Equity in income of subsidiaries

    (98,031     (147,387     (131,927

Changes in other assets and liabilities

    9,171       (561     1,516  
   

 

 

   

 

 

   

 

 

 

Net cash provided by (used for) operating activities

    8,748       (1,063     812  
       

Investing Activities

                       

Investments in subsidiaries; Cinemark, Inc. and Cinemark USA, Inc.

    (18,000     —         —    

Dividends received from subsidiaries; Cinemark, Inc. and Cinemark USA, Inc.

    58,625       78,100       95,000  
   

 

 

   

 

 

   

 

 

 

Net cash provided by investing activities

    40,625       78,100       95,000  
       

Financing Activities

                       

Proceeds from stock option exercises

    2,524       7,914       444  

Payroll taxes paid as a result of immaculate option exercises

    (8,972     (416     (494

Dividends paid to stockholders

    (78,643     (84,502     (95,838
   

 

 

   

 

 

   

 

 

 

Net cash used for financing activities

    (85,091     (77,004     (95,888
   

 

 

   

 

 

   

 

 

 

Increase (decrease) in cash and cash equivalents

    (35,718     33       (76
       

Cash and cash equivalents:

                       

Beginning of period

    35,917       199       232  
   

 

 

   

 

 

   

 

 

 

End of period

  $ 199     $ 232     $ 156  
   

 

 

   

 

 

   

 

 

 

The accompanying notes are an integral part of the consolidated financial statements.

 

CINEMARK HOLDINGS, INC.

NOTES TO PARENT COMPANY FINANCIAL STATEMENTS

In thousands, except share and per share data

1.    BASIS OF PRESENTATION

On August 2, 2006, Cinemark Holdings, Inc. was formed as the Delaware holding company of Cinemark, Inc. On April 24, 2007, Cinemark Holdings, Inc. completed an initial public offering of its common stock. Effective December 11, 2009, Cinemark, Inc. was merged into Cinemark Holdings, Inc. and Cinemark Holdings, Inc. became the holding company of Cinemark USA, Inc.

Cinemark Holdings, Inc. conducts substantially all of its operations through its subsidiaries. There are significant restrictions over Cinemark Holdings, Inc.’s ability to obtain funds from its subsidiaries through dividends, loans or advances. Accordingly, these financial statements have been presented on a “parent-only” basis.

2.    DIVIDEND PAYMENTS

In August 2007, Cinemark Holdings, Inc. initiated a quarterly dividend policy, which was amended in November 2010. Below is a summary of dividends declared for the fiscal periods indicated.

 

                                 

          Date

          Declared

 

Date of
Record

   

Date

Paid

   

Amount per
Common
Share (2)

   

Total
Dividends  (1)

 
        02/13/09     03/05/09       03/20/09     $ 0.18     $ 19,619  
        05/13/09     06/02/09       06/18/09     $ 0.18     $ 19,734  
        07/29/09     08/17/09       09/01/09     $ 0.18     $ 19,739  
        11/04/09     11/25/09       12/10/09     $ 0.18     $ 19,752  
                           

 

 

 

Total — Year ended December 31, 2009

  

          $ 78,844  
                           

 

 

 
        02/25/10     03/05/10       03/19/10     $ 0.18     $ 20,104  
        05/13/10     06/04/10       06/18/10     $ 0.18     $ 20,313  
        07/29/10     08/17/10       09/01/10     $ 0.18     $ 20,519  
        11/02/10     11/22/10       12/07/10     $ 0.21     $ 24,201  
                           

 

 

 

Total — Year ended December 31, 2010

  

          $ 85,137  
                           

 

 

 
        02/24/11     03/04/11       03/16/11     $ 0.21     $ 24,056  
        05/12/11     06/06/11       06/17/11     $ 0.21     $ 24,152  
        08/03/11     08/17/11       09/01/11     $ 0.21     $ 24,157  
        11/03/11     11/18/11       12/07/11     $ 0.21     $ 24,157  
                           

 

 

 

Total — Year ended December 31, 2011

  

          $ 96,522  
                           

 

 

 

 

(1) 

Of the dividends recorded during 2009, 2010 and 2011, $201, $635 and $684, respectively, were related to outstanding restricted stock units and will not be paid until such units vest. See Notes 19 and 20 to the Company’s consolidated financial statements included elsewhere in this annual report on Form 10-K.

(2) 

Beginning with the dividend declared on November 2, 2010, the Company’s board of directors raised the quarterly dividend to $0.21 per common share.

3.    DIVIDENDS RECEIVED FROM SUBSIDIARIES

During the year ended December 31, 2009, Cinemark Holdings, Inc. received cash dividends of $39,050 from its former subsidiary, Cinemark, Inc. During the years ended December 31, 2009, 2010 and 2011, Cinemark Holdings, Inc. received cash dividends of $19,575, $78,100 and $95,000, respectively, from its subsidiary, Cinemark USA, Inc.

 

4.    LONG-TERM DEBT

Cinemark Holdings, Inc. has no direct outstanding debt obligations, but its subsidiaries do. For a discussion of the debt obligations of Cinemark Holdings, Inc.’s subsidiaries, see Note 13 to the Company’s consolidated financial statements included elsewhere in this annual report on Form 10-K.

5.    CAPITAL STOCK

Cinemark Holdings, Inc.’s capital stock along with its long-term incentive plan and related activity are discussed in Note 19 of the Company’s consolidated financial statements included elsewhere in this annual report on Form 10-K.

6.    COMMITMENTS AND CONTINGENCIES

Cinemark Holdings, Inc. has no direct commitments and contingencies, but its subsidiaries do. See Note 22 of the Company’s consolidated financial statements included elsewhere in this annual report on Form 10-K.