v2.3.0.15
SUPPLEMENTAL GUARANTOR INFORMATION
9 Months Ended
Sep. 30, 2011
SUPPLEMENTAL GUARANTOR INFORMATION 
SUPPLEMENTAL GUARANTOR INFORMATION

17. SUPPLEMENTAL GUARANTOR INFORMATION

        Georgia Gulf Corporation is in essence a holding company for all of its wholly and majority owned subsidiaries. Our payment obligations under the indenture for our 9.0% senior secured notes are guaranteed by Georgia Gulf Lake Charles, LLC, Georgia Gulf Chemicals & Vinyls, LLC, Royal Mouldings Limited, Royal Plastics Group (USA) Limited, Rome Delaware Corporation, Plastic Trends, Inc., Royal Group Sales (USA) Limited, Royal Outdoor Products, Inc., Royal Window and Door Profiles Plant 13 Inc., Royal Window and Door Profiles Plant 14 Inc., and Exterior Portfolio LLC, all of which are wholly-owned subsidiaries (the "Guarantor Subsidiaries") of Georgia Gulf Corporation. The guarantees are full, unconditional and joint and several. Investments in subsidiaries in the following tables reflect investments in wholly owned entities within Georgia Gulf Corporation. The Company's Guarantor Subsidiaries and Non-Guarantor Subsidiaries (defined below) are not consistent with the Company's business groups or geographic operations; accordingly this basis of presentation is not included to present the Company's financial condition, results of operations or cash flows for any purpose other than to comply with the specific requirements for subsidiary guarantor reporting. We are required to present condensed consolidating financial information in order for the subsidiary guarantors of the Company's public debt to be exempt from certain reporting obligations under the Securities Exchange Act of 1934.

        The following condensed consolidating balance sheet information, statements of operations information and statements of cash flows information present the combined financial statements of the parent company, and the combined financial statements of our Guarantor Subsidiaries and our remaining subsidiaries (the "Non-Guarantor Subsidiaries"). Separate financial statements of the Guarantor Subsidiaries are not presented because we have determined that they would not be material to investors.

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Balance Sheet Information
September 30, 2011
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Assets

                               

Cash and cash equivalents

  $   $ 29,008   $ 16,302   $   $ 45,310  

Receivables, net

        769,353     98,751     (456,175 )   411,929  

Inventories

        260,565     100,169         360,734  

Prepaid expenses

    33     11,888     3,852         15,773  

Income tax receivable

        115     441         556  

Deferred income taxes

        9,223             9,223  
                       
 

Total current assets

    33     1,080,152     219,515     (456,175 )   843,525  

Property, plant and equipment, net

    748     422,799     217,481         641,028  

Long term receivables—affiliates

    437,815             (437,815 )    

Goodwill

        103,275     107,237         210,512  

Intangibles, net

        45,121     2,378         47,499  

Deferred income taxes

            5,845         5,845  

Other assets

    17,866     59,590     8,873         86,329  

Investment in Subsidiaries

    1,189,062             (1,189,062 )    
                       
 

Total assets

  $ 1,645,524   $ 1,710,937   $ 561,329   $ (2,083,052 ) $ 1,834,738  
                       

Liabilities and Stockholders' Equity

                               

Current portion of long-term debt

  $ 66,384   $   $   $   $ 66,384  

Accounts payable

    440,339     234,712     37,191     (446,775 )   265,467  

Interest payable

    12,754         43         12,797  

Income taxes payable

    (1,214 )   4,006     1,504         4,296  

Accrued compensation

    758     11,671     11,685         24,114  

Liability for unrecognized income tax benefits and other tax reserves

        816             816  

Other accrued liabilites

    419     36,469     26,213         63,101  
                       
 

Total current liabilities

    519,440     287,674     76,636     (446,775 )   436,975  

Long-term debt

    520,964         112,321         633,285  

Long-term payables—affiliates

            447,215     (447,215 )    

Liability for unrecognized income tax benefits

        7,302     27,012         34,314  

Deferred income taxes

    12,501     175,220             187,721  

Other non-current liabilities

    91,165     42,736     2,295     (95,207 )   40,989  
                       
 

Total liabilities

    1,144,070     512,932     665,479     (989,197 )   1,333,284  
                       

Total stockholders' equity (deficit)

    501,454     1,198,005     (104,150 )   (1,093,855 )   501,454  
                       
 

Total liabilities and stockholders' equity

  $ 1,645,524   $ 1,710,937   $ 561,329   $ (2,083,052 ) $ 1,834,738  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Balance Sheet Information
December 31, 2010
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Cash and cash equivalents

  $   $ 93,681   $ 29,077   $   $ 122,758  

Receivables, net

    72     580,625     66,537     (379,572 )   267,662  

Inventories

        174,231     87,004         261,235  

Prepaid expenses

    147     12,712     3,747         16,606  

Income tax receivable

        844     55         899  

Deferred income taxes

        7,266             7,266  
                       
 

Total current assets

    219     869,359     186,420     (379,572 )   676,426  

Property, plant and equipment, net

    228     413,137     239,772         653,137  

Long term receivables—affiliates

    457,500             (457,500 )    

Goodwill

        97,572     112,059         209,631  

Intangible assets, net

        11,875     2,476         14,351  

Deferred income taxes

            8,078         8,078  

Other assets

    18,572     75,416     10,090         104,078  

Investment in subsidiaries

    1,081,369             (1,081,369 )    
                       
 

Total assets

  $ 1,557,888   $ 1,467,359   $ 558,895   $ (1,918,441 ) $ 1,665,701  
                       

Current portion of long-term debt

  $ 22,128   $ 4   $   $   $ 22,132  

Accounts payable

    375,604     112,422     24,185     (379,572 )   132,639  

Interest payable

    22,528         30         22,558  

Income taxes payable

        1,683     1,227         2,910  

Accrued compensation

        23,863     14,519         38,382  

Liability for unrecognized income tax benefits and other tax reserves

        2,897     5,925         8,822  

Other accrued liabilities

    419     23,162     24,955         48,536  
                       
 

Total current liabilities

    420,679     164,031     70,841     (379,572 )   275,979  

Long-term debt

    555,425         112,385         667,810  

Long-term payables—affiliates

            457,500     (457,500 )    

Liability for unrecognized income tax benefits

        6,919     39,965         46,884  

Deferred income taxes

    19,144     170,661             189,805  

Other non-current liabilities

    118,048     44,379     2,913     (124,709 )   40,631  
                       
 

Total liabilities

    1,113,296     385,990     683,604     (961,781 )   1,221,109  
                       

Total stockholders' equity (deficit)

    444,592     1,081,369     (124,709 )   (956,660 )   444,592  
                       
 

Total liabilities and stockholders' equity

  $ 1,557,888   $ 1,467,359   $ 558,895   $ (1,918,441 ) $ 1,665,701  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Statement of Income Information
Three Months Ended September 30, 2011
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Net sales

  $   $ 794,512   $ 178,685   $ (43,561 ) $ 929,636  

Operating costs and expenses:

                               
 

Cost of sales

        726,966     148,403     (43,561 )   831,808  
 

Selling, general and administrative expenses

    7,011     20,800     15,601         43,412  
 

Restructuring expense

        1             1  
                       
   

Total operating costs and expenses

    7,011     747,767     164,004     (43,561 )   875,221  
                       

Operating (loss) income

    (7,011 )   46,745     14,681         54,415  
                       

Other (expense) income

                               
 

Interest (expense) income, net

    (19,160 )   8,683     (6,226 )       (16,703 )
 

Foreign exchange (loss) gain

    (57 )   25     192         160  
 

Equity in income of subsidiaries

    61,069     1,650         (62,719 )    
                       

Income before income taxes

    34,841     57,103     8,647     (62,719 )   37,872  
                       

Provision (benefit) for income taxes

    483     10,777     (7,746 )       3,514  
                       

Net income

  $ 34,358   $ 46,326   $ 16,393   $ (62,719 ) $ 34,358  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Statement of Income Information
Three Months Ended September 30, 2010
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Net sales

  $ 4,360   $ 630,738   $ 173,135   $ (50,191 ) $ 758,042  

Operating costs and expenses:

                               
 

Cost of sales

        563,174     143,896     (45,832 )   661,238  
 

Selling, general and administrative expenses

    4,754     24,088     18,959     (4,359 )   43,442  
 

Restructuring expense

            136           136  
                       

Total operating costs and expenses

    4,754     587,262     162,991     (50,191 )   704,816  
                       

Operating (loss) income

    (394 )   43,476     10,144         53,226  

Other (expense) income:

                               
 

Interest (expense) income, net

    (17,030 )   5,247     (5,550 )       (17,333 )
 

Foreign exchange gain (loss)

    143     (2 )   (25 )       116  
 

Equity in income of subsidiaries

    100,667     997         (101,664 )    
                       
 

Income before income taxes

    83,386     49,718     4,569     (101,664 )   36,009  

Provision (benefit) for income taxes

    58,428     (41,979 )   (5,398 )       11,051  
                       

Net income

  $ 24,958   $ 91,697   $ 9,967   $ (101,664 ) $ 24,958  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Statement of Income Information
Nine Months Ended September 30, 2011
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Net sales

  $   $ 2,177,274   $ 519,026   $ (147,016 ) $ 2,549,284  

Operating costs and expenses:

                               
 

Cost of sales

        2,001,477     438,300     (147,016 )   2,292,761  
 

Selling, general and administrative expenses

    25,828     55,696     48,556         130,080  
 

Restructuring (income) expense

        (1,132 )   1,009         (123 )
                       
   

Total operating costs and expenses

    25,828     2,056,041     487,865     (147,016 )   2,422,718  
                       

Operating (loss) income

    (25,828 )   121,233     31,161         126,566  

Other (expense) income

                               
 

Interest (expense) income, net

    (56,686 )   24,851     (18,257 )       (50,092 )
 

Foreign exchange (loss) gain

    (21 )   70     (829 )       (780 )
 

Loss on early redemption of debt

    (1,100 )               (1,100 )
 

Equity (loss) in income of subsidiaries

    129,548     (355 )       (129,193 )    
                       

Income before income taxes

    45,913     145,799     12,075     (129,193 )   74,594  
                       

(Benefit) provision for income taxes

    (15,160 )   38,681     (10,000 )       13,521  
                       

Net income

  $ 61,073   $ 107,118   $ 22,075   $ (129,193 ) $ 61,073  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Statement of Income Information
Nine Months Ended September 30, 2010
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Net sales

  $ 12,456   $ 1,790,487   $ 479,791   $ (157,536 ) $ 2,125,198  

Operating costs and expenses:

                               
 

Cost of sales

        1,671,110     400,357     (145,080 )   1,926,387  
 

Selling, general and administrative expenses

    18,735     63,605     48,010     (12,456 )   117,894  
 

Restructuring expense (income)

        592     (321 )         271  
                       

Total operating costs and expenses

    18,735     1,735,307     448,046     (157,536 )   2,044,552  
                       

Operating (loss) income

    (6,279 )   55,180     31,745         80,646  

Other (expense) income:

                               
 

Interest (expense) income, net

    (55,501 )   18,566     (15,657 )       (52,592 )
 

Foreign exchange gain (loss)

    73         (391 )       (318 )
 

Equity in income of subsidiaries

    89,059     2,437         (91,496 )    
                       
 

Income before income taxes

    27,352     76,183     15,697     (91,496 )   27,736  

(Benefit) provision for income taxes

    (265 )   9,052     (8,668 )       119  
                       

Net income

  $ 27,617   $ 67,131   $ 24,365   $ (91,496 ) $ 27,617  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Statement of Cash Flows Information
Nine Months Ended September 30, 2011
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Net cash provided by (used in) operating activities

  $ 61,249   $ (28,523 ) $ (12,521 ) $   $ 20,205  
                       

Cash flows from investing activities:

                               
 

Capital expenditures

    (600 )   (37,143 )   (6,504 )       (44,247 )
 

Proceeds from sale of property, plant and equipment

        301     25         326  
 

Acquisition, net of cash acquired

        (71,371 )           (71,371 )
                       

Net cash used in investing activities

    (600 )   (108,213 )   (6,479 )       (115,292 )
                       

Cash flows from financing activities:

                               
 

Repayments on ABL Revolver

    (382,300 )       (33,267 )       (415,567 )
 

Borrowings on ABL Revolver

    413,900         38,605         452,505  
 

Repayment of long-term debt

    (22,913 )   (4 )           (22,917 )
 

Fees paid to amend or issue debt facilities and equity

    (863 )       (617 )       (1,480 )
 

Intercompany financing to fund acquisition

    (72,067 )   72,067              
 

Excess tax benefits from share-based payment arrangements

    3,555                 3,555  
 

Stock compensation plan activity

    39                 39  
                       

Net cash (used in) provided by financing activities

    (60,649 )   72,063     4,721         16,135  
                       

Effect of exchange rate changes on cash and cash equivalents

            1,504         1,504  
                       

Net change in cash and cash equivalents

        (64,673 )   (12,775 )       (77,448 )

Cash and cash equivalents at beginning of period

        93,681     29,077         122,758  
                       

Cash and cash equivalents at end of period

  $   $ 29,008   $ 16,302   $   $ 45,310  
                       

Georgia Gulf Corporation and Subsidiaries
Supplemental Condensed Consolidating Statement of Cash Flows Information
Nine Months Ended September 30, 2010
(Unaudited)

(In thousands)
  Parent
Company
  Guarantor
Subsidiaries
  Non-Guarantor
Subsidiaries
  Eliminations   Consolidated  

Net cash provided by (used in) operating activities

  $ 20,211   $ 22,452   $ (4,144 ) $   $ 38,519  
                       

Cash flows from investing activities:

                               

Capital expenditures

        (22,403 )   (9,396 )       (31,799 )

Proceeds from sale of property, plant and equipment, and assets held-for sale

            1,603         1,603  
                       

Net cash used in investing activities

        (22,403 )   (7,793 )       (30,196 )

Cash flows from financing activities:

                               

Repayments on ABL revolver

    (430,943 )       (50,266 )       (481,209 )

Borrowings on ABL revolver

    410,143         62,065         472,208  

Repayment of long-term debt

        (33 )           (33 )

Stock compensation plan activity

    (145 )               (145 )

Fees paid to amend or issue debt facilities

    (3,267 )       82         (3,185 )

Excess tax benefits from share-based payment arrangements

    4,001                 4,001  
                       

Net cash (used in) provided by financing activities

    (20,211 )   (33 )   11,881         (8,363 )
                       

Effect of exchange rate changes on cash

            (107 )       (107 )
                       

Net change in cash and cash equivalents

        16     (163 )       (147 )

Cash and cash equivalents at beginning of period

        24,880     13,917         38,797  
                       

Cash and cash equivalents at end of period

  $   $ 24,896   $ 13,754   $   $ 38,650